Burberry Group (LON:BRBY) Releases Earnings Results
by Scott Moore · The Cerbat GemBurberry Group (LON:BRBY – Get Free Report) issued its quarterly earnings results on Thursday. The company reported GBX 15.20 EPS for the quarter, Digital Look Earnings reports. Burberry Group had a negative return on equity of 2.99% and a negative net margin of 1.12%.The company had revenue of GBX 242 billion for the quarter.
Here are the key takeaways from Burberry Group’s conference call:
- Burberry said it returned to comparable sales growth in FY2026, ending the year at +5% in Q4, with especially strong momentum in Greater China and the Americas.
- Gross margin improved sharply to 67.9% as the company benefited from a better sales mix, more full-price selling, and lower markdowns after inventory reset actions.
- Adjusted operating profit rose to GBP 160 million from GBP 26 million last year, while free cash flow improved to GBP 141 million and leverage fell to 1.6x net debt/EBITDA.
- Management highlighted strong brand momentum in outerwear and scarves, plus early signs that growth is extending into leather goods, knitwear, and other categories.
- For FY2027, Burberry expects revenue growth and margin expansion, but cautioned that the macro and geopolitical backdrop remains uncertain; it also reiterated plans for about GBP 100 million of annualized cost savings and around GBP 120 million of capex.
Burberry Group Trading Down 6.8%
BRBY stock traded down GBX 79.50 during mid-day trading on Thursday, reaching GBX 1,083. The company’s stock had a trading volume of 2,906,204 shares, compared to its average volume of 25,667,338. The company has a market cap of £3.88 billion, a price-to-earnings ratio of -150.42, a price-to-earnings-growth ratio of 1.66 and a beta of 0.68. The business’s 50 day moving average price is GBX 1,111.86 and its 200 day moving average price is GBX 1,181.11. The company has a current ratio of 1.88, a quick ratio of 1.63 and a debt-to-equity ratio of 173.32. Burberry Group has a 12 month low of GBX 939.20 and a 12 month high of GBX 1,376.50.
Insiders Place Their Bets
In other Burberry Group news, insider Stella King bought 608 shares of the stock in a transaction on Friday, March 20th. The stock was acquired at an average cost of GBX 1,024 per share, for a total transaction of £6,225.92. Insiders own 0.54% of the company’s stock.
Analyst Upgrades and Downgrades
A number of brokerages recently commented on BRBY. Royal Bank Of Canada restated an “outperform” rating and issued a GBX 1,400 price target on shares of Burberry Group in a research report on Thursday, January 22nd. Berenberg Bank lowered Burberry Group to a “hold” rating and set a GBX 1,080 price objective on the stock. in a research note on Tuesday, May 5th. UBS Group reaffirmed a “buy” rating and issued a GBX 1,410 price objective on shares of Burberry Group in a research note on Monday. Citigroup lifted their price objective on Burberry Group from GBX 1,570 to GBX 1,590 and gave the stock a “buy” rating in a research note on Monday, January 26th. Finally, Barclays raised Burberry Group to an “overweight” rating and lifted their price objective for the stock from GBX 1,340 to GBX 1,450 in a research note on Tuesday, January 27th. Six analysts have rated the stock with a Buy rating, one has assigned a Hold rating and two have given a Sell rating to the company. According to MarketBeat.com, the company currently has an average rating of “Hold” and an average target price of GBX 1,293.33.
View Our Latest Stock Analysis on Burberry Group
Burberry Group Company Profile
Burberry Group plc, together with its subsidiaries, manufactures, retails, and wholesales luxury goods under the Burberry brand. The company operates in two segments, Retail/Wholesale and Licensing. It provides womenswear, menswear, childrenswear, beauty, eyewear, shoes, and accessories, as well as leather goods, such as bags. The company also licenses third parties to manufacture and distribute products using the Burberry trademarks. It sells its products through Burberry mainline stores, concessions, outlets, digital commerce, Burberry franchisees, department stores, and multi-brand specialty accounts, as well as through Burberry.com website.