Luxury fashion house Burberry continues to perform strongly with revenue surging up 21 per cent to £574m during the third quarter.

The surge in sales has been led by Asia which drove the brand’s revenue up 36 per cent over the three months to December 31. Its retail revenue in Europe rose 20 per cent.

“We are very pleased. We think it was a strong performance during a key period. Softer markets were southern Europe and Korea. We are now up against very strong competition and the comparables are growing more difficult to beat each period but we are pleased with the performance,” said CFO Stacey Cartwright.

While enjoying a strong sales in Asia and northern Europe, Burberry faced weaker sales in the US where it grew just four per cent.

“The low number (in the US market) was due to planned rationalisations of wholesale channels, and comparable mainline store sales growth was in the high single digits, with good growth momentum at key department store partners,” analysts at UBS said.

Burberry’s biggest hit items were coats, leather bags, knitwear, men’s accessories and aftershave.

Apart from Asia and northern Europe, Burberry also sees strong performance in Paris where it launched a new flagship store. Sao Paulo in Brazil is also a profitable market for the luxury brand.

In its home country, Burberry plans to open a new store in Regent St prior to the London Olympics, set to be its largest in the world.

“Burberry has delivered another strong performance, with a 21 per cent increase in revenue in this important third quarter. Looking ahead, we remain focused on executing our proven core strategies to achieve long-term sustainable growth, while staying mindful of the challenging macro environment,” said CEO Angela Ahrendts.

As of end of last year, Burberry had 189 stores and 208 concessions.

GB