Burberry warns of hit to profits as luxury demand slows

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British luxury fashion house Burberry has cut its full-year profit forecast following a weak Christmas trading period, blaming a slowdown in demand for luxury goods and foreign exchange rates.

In November, the company predicted that adjusted operating profit could land at the “lower end” of the consensus forecast range of £552mn to £668mn.

On Friday, Burberry said: “We experienced a further deceleration in our key December trading period and we now expect our full-year results to be below our previous guidance.”

It now expects adjusted operating profit for the financial year to March to be in the range of £410mn to £460mn.

This is a developing story