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Economic turmoil in China has taken its toll on fashion house Burberry (LON:BRBY), although first half sales still rose.
Burberry said a "more challenging external environment" affected second quarter demand from luxury consumers, particularly Chinese customers.
Underlying retail revenue rose 2% to £774mln while comparable sales increased 1%.
Travelling luxury customers helped the chain to achieve double-digit growth in Europe, the Middle East, India and Asia, particularly continental Europe.
There was low single-digit percentage growth in the Americas, made up of uneven demand in the US and double-digit percentage growth in the rest of the Americas.
But there was a mid single-digit percentage decline in Asia Pacific, with Hong Kong decelerating further in the second quarter.
Shares in Burberry dropped 111 points or 7.8% to 1308p.
AJ Bell investment director Russ Mould said: "China’s slowdown has wreaked havoc among heavyweight miners and now the ramifications are being felt by the iconic and very British luxury brand Burberry.
"China has been the engine for the group’s growth in recent years but the impact of an increasingly challenging environment for luxury customers is being felt and has forced Burberry to take swift action to control costs and limit the impact of weak sales on its full year figures."
Hargreaves Lansdown Stockbrokers head of equities, Richard Hunter, said: "The news from Burberry is chequered once more, with an underwhelming second quarter not quite sufficient to take the shine from a reasonable first half of the year.
"However, as can be seen from the share price reaction, the market is in no mood to take prisoners at present.
"For the year as a whole, it remains to be seen whether this quarter is exceptional or indicative. The share price of late has certainly been the subject of concern, having dropped 20% over the last six months, as compared to an 11% dip for the wider FTSE100.
"Having previously been upgraded ahead of the first quarter update, market consensus has more recently dropped back to a hold, albeit a strong one, and may come under some further pressure in the short term."