LONDON — Burberry Group's retail sales in the key third quarter fell short of the company's expectations, remaining flat at reported rates and increasing one percent on an underlying basis.Sales in the October to December period were 603 million pounds, or $917 million, in what chief creative and chief executive officer Christopher Bailey said was "a tougher environment than expected" for the luxury sector as a whole.The company saw Mainland China and Korea both return to growth in the three months.Burberry said the one percent underlying growth in the quarter came from new space, with comparable sales unchanged year-on-year.By comparison, in the first half Burberry's retail sales grew 3.5 percent on a reported basis, and 2 percent on an underlying one.Looking ahead, Burberry said it expects adjusted profit before tax for the full year ending March 31 to be broadly in line with market forecasts, and supported by a further reduction in management bonuses, additional discretionary cost savings, and a boost from foreign exchange rates.In the 2016-17 fiscal year, the company said the outlook for demand in luxury remains uncertain, adding that "underlying cost pressures persist" for the sector.Burberry cited a return to growth in Mainland China, although problems in Hong Kong and Macau continue to weigh on sales, and Asia-Pacific overall saw a midsingle-digit percentage decline in comparable sales.Burberry said that excluding Hong Kong and Macau, comparable sales grew by a midsingle-digit percentage, with growth also resuming in Korea.Comparable sales in Hong Kong declined again by more than 20 percent, driven by a further significant decline in footfall, although stores remain profitable, Burberry said.Bailey said the outlook for the luxury sector as a whole remains uncertain as the consumer and environment evolve. "However, we are anticipating and responding to these changes through an intense focus on new growth opportunities and the acceleration of our productivity and efficiency agenda," it noted.
In honor the @CFDA’s announcement of @iamnaomicampbell receiving the Fashion Icon Award at the 2018 #CFDAAwards, which will take place on June 4, here’s a #tbt of the supermodel on @michaelkors’ runway in 1991. #wwdfashion #wwdarchive (📷: George Chinsee)
“I was making the guacamole when my scout saw me,” says model @stuckinteenage on being discovered just six months ago while working at @chipotlemexicangrill. Since then Williams has signed with @dnamodels, walked in her first show at @calvinklein and landed on the cover of @vogueitalia – a high point of any model’s career. To read @lisajlockwood’s full interview with the model on her experiences thus far, head to WWD.com – link in bio. (📷: George Chinsee)
“I love the idea of dialogue, period. It’s where I’ve always gotten my inspiration from: hearing other women speak, their journeys and their paths,” said @hereisgina, who delivered the keynote speech during @sxsw for @createcultivate in partnership with @fossil. For her two panels, Rodriguez chose female empowering, female-led and female entrepreneurs to focus on. Head to WWD.com to read more about her thoughts on Time’s Up, growing up in a family of women and why we “need a girls’ club.” #wwdeye #sxsw (📷: @jgreenery)
Leading luxury brand are shaking things up to keep up with streetwear. Case in point: the arrival of @mrkimjones as artistic director of @diorhomme. Jones, who succeeds @Kris_Van_Assche, is seen as one of the handful of designers who can actually straddle the luxury and streetwear worlds — which could lead to even more changes at established brands. What could this mean for the rest of the menswear landscape? Head to WWD.com to find out what experts predict #wwdfashion (📷: @franckmura)
“It’s like buying groceries. You’re going to buy the best mango, the best mozzarella, the best things. You have to, or others are going to take it all,” said @gabrielahearst on why she uses only the finest fabrics. Last week, Hearst received her first @cfda nomination for Womenswear Designer of the Year, and earlier this month she opened a permanent showroom in Paris. To read @jessiredale’s interview with the designer and find out why this is shaping up to be a big year for her, head to WWD.com. #wwdfashion (📷: @francoisgoize)
“It’s an interesting thing, playing a younger version of your mother. It’s an interesting concept. I adore my mom and love her in every capacity, but it was just something that had never crossed my mind,” says @anniemstarke on playing a young Joan Castleman in “The Wife.” The same role will be played by her mother Glenn Close. Read more about her growing up in the film industry as the daughter of producer John H. Starke and Close and what she has planned for the future #wwdeye (📷: @nataliamantini)
@asics is launching a new streetwear sneaker inspired by its latest ambassador, @steveaoki. The Hyper-Kenzen x Aoki, which will launch at @footlocker stores exclusively tomorrow, is a slip-on style that incorporates the brand’s proprietary Gel technology through beads integrated into the midsole for comfort and endurance. Read the full story on WWD.com.