Rental of fashion house Burberry sales warning

  The proliferation of Burberry showed signs of hesitation today as luxury fashion house has warned its profits would be at the lower end of expectations.

The group, the 196 shops, 207 shops concessions, 48 ​​and 58 issued franchisee across the world, said to a like-for-like sales area within 10 weeks of 8 Stop September and began declining in recent weeks. Total revenue, including new premises increased by 6%.

The luxury goods company, famous for its red tick, black and camel warned Adjusted pre-tax for the year to 31 March will be at the lower end of market expectations.

Burberry, founded in 1856, has spent much of the year, in contrast to the gloomy outlook on retail because of its strong exposure to emerging markets, particularly China.

Burberry CEO Angela Ahrendts warns external environment was "more difficult."

She added: "In this context, we take care of discretionary costs, and appropriate measures to protect the short-term profitability."

Platforms like-for-like sales in the second quarter to date are a significant slowdown in the increase of 6% in the first quarter to 30 June reported

Burberry reported a 24% increase in annual profits of £ 366 million in the last fiscal year, while total sales also rose by 24% to £ 1.9bn key Asian markets are stronger, and flagship stores successfully in London and Paris.

Burberry announced its intention to add another 12% to 14% of the retail space in this exercise, but do not give information about new openings in the update today.

The group of large format stores, as laid his website focuses, in order to Regent Street, London.

It is due to a trading update ahead of its preliminary results on October 11 for the six months to 30 September 7 November leave.

Burberry shares fell by 17% during the warning wiped £ 1 billion of its market value and leaving the camp at its lowest point of the year.

The current range of market forecasts for the fiscal year was for Burberry make profits from £ 407 million to £ 455 million.

Investec Securities analyst Bathany Hocking said: "We were fans of Burberry, and still think, that the positioning in the luxury segment strategy and management team to lead long-term sector outperformance.

"Today's announcement does not mean that a significant slowdown and Burberry is not immune to broader macroeconomic turbulence."