UK luxury brand Burberry beat forecasts with a 9% rise in third quarter underlying revenue after a particularly strong week in the run up to Christmas.
The 157-year-old seller of raincoats and leather goods, known for its camel, red and black check pattern, said it made £613m sterling of revenues in the three months to December 31.
That compared with analysts' average forecast of £602m, according to a company poll, and £574m the same time last year.
However the group trimmed its wholesale revenue guidance for the second half after growth in the US, Asia travel retail and emerging markets was more than offset by weaker European markets.
Last September Burberry sent shock waves through the luxury industry by warning of a broad-based slowdown in spending - particularly in China, which had been the driving force of a boom in demand for luxury goods. But it has calmed investors with subsequent statements.
Third quarter retail revenue was up an underlying 13% to £464m, with scarves, mens tailoring and accessories outperforming and the firm selling a higher proportion of goods from its top-end Prorsum and London lines.
Comparable store sales growth was 6% versus analysts' consensus forecast of a rise of 2% and a second quarter increase of 1%.
Wholesale revenue at £120m was down an underlying 5% and Burberry is now forecasting underlying wholesale revenue to fall by "a low to mid single-digit percentage" year-on-year in the second half, reflecting lower sales to small specialty accounts in Europe. Its previous guidance was for a broadly unchanged performance.
Third quarter licensing revenue was £29m, up 4%.
"We expect the external global environment to remain challenging," said the company's chief executive Angela Ahrendts.
