Burberry reported a fifth consecutive quarter of comparable sales growth on Thursday, 12 November 2026, and returned to an operating profit for the first half of its financial year. The results cover the 26 weeks to 26 September 2026, two years after chief executive Joshua Schulman launched the company’s turnaround plan, Burberry Forward.
The key numbers
- £1,098 million: first-half revenue, up 6% from £1,032 million.
- 4%: comparable retail sales growth in the first half, with 5% in the first quarter and 4% in the second.
- £62 million: adjusted operating profit, up from £19 million. The adjusted margin rose to 5.7% from 1.9%.
- £54 million: reported operating profit, against a loss of £18 million a year earlier.
- 17%: growth in wholesale revenue, ahead of the company’s guidance.
- 12%: comparable sales growth in the Americas, the strongest region.
What Burberry reported
According to the company’s results release, revenue rose 6% and gross margin improved by 40 basis points to 68.3%. Operating costs were flat at constant exchange rates, which allowed more of the sales growth to reach profit. Profit before tax was £19 million, against a £48 million loss in the same period last year, Alliance News reported.
Comparable retail sales measure sales in stores open for more than a year, plus online. Burberry’s have now risen for five quarters in a row. Schulman said in the release that the run of growth and a better quality of sales showed that “our strategy is working”.
Regions
Three of Burberry’s four regions grew. Comparable sales for the half rose 12% in the Americas, 7% in Greater China and 3% in Asia Pacific. Growth in Greater China slowed from 9% in the first quarter to 5% in the second.
Europe, the Middle East, India and Africa (EMEIA) fell 2%. Burberry attributed this to fewer tourists and lower footfall, particularly in its outlet stores, according to TheIndustry.fashion. The same report noted that Schulman has called for the return of VAT-free shopping for international visitors to the UK.
Products and channels
Sales grew in womenswear, menswear, childrenswear and accessories. Outerwear, the category at the centre of the turnaround plan, grew at a double-digit rate. Leather goods had a strong half and their growth picked up in the second quarter.
Retail revenue was £896 million and wholesale revenue was £174 million, according to Home of Direct Commerce. Online sales grew at a mid-teens percentage rate. Burberry ended the half with 412 directly operated stores, after opening seven and closing five.
Cash, debt and dividend
Burberry had a free cash outflow of £147 million in the half, compared with an outflow of £50 million a year earlier. The company said this was in line with its plan, as it built up stock ahead of its busiest selling season. Net debt, including lease liabilities, was £988 million, or 1.7 times adjusted earnings before interest, tax, depreciation and amortisation, according to ADVFN. The board did not declare an interim dividend.
How the market reacted
Burberry shares rose about 9% in morning trading, Quartz reported. Analysts had expected comparable sales growth of 3% for the second quarter, according to The Wall Street Journal as cited by Quartz. Adjusted operating profit of £62 million compared with a company-compiled consensus of £44 million, Alliance News reported.
The background: Burberry Forward
Schulman, a former chief executive of Michael Kors and Coach, became Burberry’s chief executive in July 2024. In November 2024, after first-half revenue had fallen 22%, he set out Burberry Forward. The plan refocused the company on outerwear and scarves, on what it calls “Timeless British Luxury”, and on pricing that matches its strength in each category, according to Burberry’s 2024/25 annual report.
Comparable sales returned to growth in the second quarter of the 2025/26 financial year, the first increase in two years. For that full year, revenue was £2.42 billion, flat at constant exchange rates, and Schulman restated an ambition to return to £3 billion in annual sales, according to The Impression.
What comes next
For the full year to March 2027, Burberry expects revenue growth and a higher margin, while noting an uncertain external environment. It expects wholesale revenue to grow 10% to 12%, and is targeting annual cost savings of about £100 million, of which £80 million was delivered last year. The company will hold a Capital Markets Day in London in March 2027.
Sources: Burberry interim results release via EuropaWire, 12 November 2026; Alliance News; TheIndustry.fashion; Home of Direct Commerce; ADVFN; Quartz; Burberry Annual Report 2024/25; The Impression.
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