Luxury fashion house Burberry reported a pre-tax loss of £80 million in the first half, with revenues down 22% compared to the previous year. Despite challenging numbers, investors responded positively to a new business strategy announced by CEO Joshua Schulman, resulting in a 20% increase in share price. The company aims to regain £3 billion in annual revenue, rebuild margins, and drive cash generation. Burberry has faced rumors of a potential takeover and dropped out of the FTSE 100 earlier this year. The luxury goods sector as a whole has been impacted by weak consumer demand, particularly in China, where the property market crisis has affected spending. Falling interest rates in major economies could alleviate some pressure on the sector, but uncertainties such as trade tariffs and geopolitical tensions remain. Investors will closely monitor these factors when evaluating the outlook for luxury stocks.
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British Carmaker Jaguar Land Rover Pauses Shipments to U.S.
Jaguar Land Rover, a British luxury automaker, announced a pause in shipments to the United States in response to President Trump's 25% auto tariffs, affecting its 38,000 cars exported to the US in the last quarter of 2024. The company cited the importance of the US market and its short-term actions to address the new trading terms, as British luxury carmakers face challenges due to limited production sites. Shares in Tata Motors, the Indian parent...
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