Burberry Group PLC has unveiled lower sales for the third quarter as the luxury fashion brand continues to grapple with turnaround efforts.
Revenue declined by 7% to £659 million over the three months to December, Burberry reported on Friday.
Sales across the Asia Pacific region declined by 9%, as revenue also fell in Europe, the Middle East and African but ticked up in the Americas.
Currency had provided a headwind over the quarter, with revenue down 3% at constant exchange rates and a £25 million hit to profit expected over the full year.
Chief executive Joshua Schulman noted response had been positive to the likes of outerwear and festive campaigns since flagging turnaround plans in November, though.
“These activations resonated with a broad range of luxury customers leading to an improvement in brand desirability and strength in outerwear and scarves,” he said.
“The acceleration of our core categories reinforces our belief that Burberry has the most opportunity where we have the most authenticity and that our strategic plan will deliver sustainable, profitable growth over time.”
Burberry added its was now “more likely” second-half results would broadly offset the company’s first-half adjusted operating loss, despite declining sales.
“However, we recognise that it is still very early in our transformation and there remains much to do,” Schulman said.