Burberry Beats Market Predictions in Growth

Burberry Group, who specialise in luxury coats and handbags saw its stock rise and beat City predictions for the fourth quarter of 2010.

The company, which has 173 retail stores, 175 concessions, 46 outlets and 59 franchise stores reported total revenue of £470 million, easily surpassing the City's estimate of £434. The increase accounts for a 27 percent rise - excluding its discontinued Spanish business.

Chief executive Angela Ahrendts said Burberry had seen "strong, consistent growth in both retail and wholesale and in every product division and region."

"As a result, we now expect adjusted profit before tax for the current financial year to be at the top end of market expectations," she said.

"Ongoing initiatives in retail, digital, product development and new markets underpin our confidence in the future."

Further afield in China, Burberry saw a 30 percent increase, which marks a growing presence abroad - only as far back as the third quarter did the retailer open stores in Beijing, along with other outlets in locations including Brazil, Mexico, and Milan in Italy.

Asset manager Investec commented to Reuters: 'The shares deserve a premium as they offer one of the few convincing global growth stories within our universe and continue to compare favourably with the best of the luxury and retail growth stories.'

Stock jumped four percent, or 41 pence.

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