LONDON May 18 Britain's Burberry
reported a 21 percent underlying drop in pretax profit to 462
million pounds, dragged down by weak wholesale demand in the
United States, and showing the challenge facing Marco Gobbetti
when he becomes CEO in July.
The luxury group, which is known for its trenchcoats, has
benefited from the drop in the value of the pound in the last
year, resulting in a 10 percent gain in adjusted profit at
reported exchange rates.
It said this effect would reverse in the current year, with
an adverse impact of about 30 million pounds ($38.9 million).
Analysts were expecting the company to report adjusted
pretax profit of 460 million pounds, according to a
They expect pretax profit to edge up to 468 million pounds
for the current year.
($1 = 0.7720 pounds)
(Reporting by Paul Sandle; editing by Kate Holton)