What’s to blame?
British fashion brand Burberry has reported a fall in its annual profits. This comes amid a “challenging” trading environment particularly in the US and Hong Kong.
Pre-tax profits for the year to 31 March managed to fall five per cent to £394.8m. The firm was hit with poor wholesale trading in the US.
Despite this bad news, the weak pound managed to attract tourists and helped boost the company’s performance in the UK.
These results come as the last for Christopher Bailey as he is set to stand down as chief executive.
Bailey will continue his role as chief creative officer. Marco Gobetti will take over as chief executive in July.
Bailey said: “2017 was a year of transition for Burberry in a fast-changing luxury market.”
“The actions we have taken to lay the foundations for future growth are yielding early benefits and I remain confident that these will build over time.”