Financial News

INTERIM RESULTS

18 NOVEMBER 2003

Burberry Group plc reports interim results for its first half ended 30 September 2003.

Financial highlights

EBITA* increased 21%, to £66.9m from £55.1m
EBITA margin expanded from 20.1% to 20.8%
Diluted EPS before goodwill amortisation increased 25% to 9.0p
Gross profit margin maintained at 55.6% (vs. 55.8%)
Total revenues increased by 17% (16% underlying**) to £321.3m
- Retail sales up 25% (20% underlying) to £107.2m
- Wholesale sales increased 14% (13% underlying) to £183.4m
- Licensing revenue up 13% (15% underlying) to £30.7m
Interim dividend of 1.5p per Ordinary Share declared (vs. 1.0p)

*EBITA represents operating profit before interest, taxation, IPO related items and goodwill amortisation.
**Underlying figures are calculated at constant exchange rates and exclude the impact of the July 2002 acquisition of the operations of Burberry's distributor in Korea (the 'Korea acquisition').

Strategic highlights

Launched iconic Burberry Brit fragrance to strong consumer response
Opened three Burberry stores, including 8,000 square foot store in Milan, the international fashion capital
Progress in Spain repositioning demonstrated by return to revenue growth
Brand priorities advanced in Japan
Continued to extend reach in underdeveloped markets with planned opening of Moscow store

Summary of results

	Six months ended 30 September 2003	Six months ended 30 September 2002

	As reported £m	Before IPO related charges £m	IPO related charges £m	As reported £m
Turnover	321.3	273.7	-	273.7
Operating profit before goodwill amortisation (EBITA)	66.9	55.1	(22.2)^A	32.9
Profit before interest and taxation	63.4	52.2	(22.2)	30.0
Profit after tax	41.9	33.4	(17.4)	16.0
Earnings per share

- basic	8.5p	6.7p	(3.5p)	3.2p
- diluted	8.3p	6.6p	(3.4p)	3.2p
Earnings per share before goodwill amortisation
- basic	9.1p	7.3p	(3.5p)	3.8p
- diluted	9.0p	7.2p	(3.5p)	3.7p

Note A: The charge of £22.2m for IPO related items consists of the exceptional charge in connection with the grant of awards under the Restricted Share Plan and associated national insurance liability, together with the cost of gift of shares to employees under the All Employee Share Plan and other IPO costs.

John Peace, Chairman of Burberry, commenting on the interim results: "This strong first half performance in the context of a challenging trading environment highlights the strength of the Burberry brand and the dedication and talents of its management team."

Rose Marie Bravo, Chief Executive, stated, "Burberry's encouraging performance in the first half was driven by the continued execution of our strategies. It also reflects the diversity of our business across product categories, channels and regions.
With these results, Burberry is trading in line with the consensus range of expectations for the financial year."

Management will discuss these results during a presentation to analysts and institutions at 2:00pm today at Merrill Lynch Financial Centre (telephone +44 (0) 20 7404 5959). The presentation will also be broadcast live on the Internet at www.burberryplc.com and can be accessed by telephone at 0845 245 3421 (UK) and +44 1452 542 300 (international). Replay: +44 1452 550 000.

Enquiries:

Burberry		+44 (0) 20 7968 0411
Mike Metcalf	COO and CFO
Matt McEvoy	Strategy and IR






Brunswick		+44 (0) 20 7404 5959
Susan Gilchrist
Charlotte Elston

Certain statements made in this announcement are forward looking statements. Such statements are based on current expectations and are subject to a number of risks and uncertainties that could cause actual results to differ materially from any expected future results in forward looking statements.

This announcement does not constitute an invitation to underwrite, subscribe for or otherwise acquire or dispose of any Burberry Group plc or GUS plc shares. Past performance is not a guide to future performance and persons needing advice should consult an independent financial adviser.

View the full Interim Results Announcement in PDF format.

To view PDFs you need the Adobe Reader. This program is available free of charge from the Adobe website.