Burberry Spies Difficulties Ahead, Despite 13% Jump in Profits

LONDON — First-half profits at Burberry Group Plc rose 13 percent to 74.8 million pounds, or $144.4 million, on top of a 20 percent rise in sales.

However, Burberry said trading in the second half has been more difficult, especially in the U.S., and if the current trends continue, adjusted profit before tax for the fiscal year will be in the “mid to lower half of market expectations.”

In a statement, Burberry also said it was also planning for second-half wholesale revenue to be down by a single-digit percentage, on an underlying basis, partly as a result of an expected decrease in U.S. department store reorders.

As reported, sales for the period rose 20 percent to 539.1 million pounds, or $1.04 billion. Dollar figures have been converted at average exchange rates for the six-month period to Sept. 30.