Financial Information- Business
1. What is (are) the principal activity(ies) of this business?
Burberry Group PLC is a company located in Britain. It is British brand with unique aspects due to its global recognition. Since its inception, it has grown popular due to its product styles and design with extreme quality. The company’s principle activity s clothing, accessories for men, women and children. These cloth lines are sold in varied parts of the world with the help of networks of about 260 directly operated stores and concessions.
The company has grown popular due to its diversified product range. The owner of the gabardine proffers male and female, both adults and children age groups, an extensive English lifestyle luxury apparel and accessories.
Burberry operated in the international luxury sector that is projected to be about GBP 128 Billion global market. It works through three business segments: retail, wholesale and licensing. Additionally, the brand is defined by the quality of its products with the brand remaining true to the brand values. In regards to Burberry Plc. Annual Report, the business is balanced in non-apparel (36 percent), women’s clothing (35 percent) and men’s clothing (24 percent). While it similarly has a decent demand for apparel and non-apparel pieces.
2.Comment on the outcome of the auditor’s report for Burberry Group Plc. Briefly discuss the importance the auditor’s report with respect to financial information.
Burberry Group PLC in regard to investment analysis, it is projected to be successful in the market. This projection has been of consensus due to sentiment of investment analysts in 2013. Prior to this, forecasts advised investors to stick to their positions.
With a 12 month price target for Burberry Group plc, there is a median target of about 1670 with a top estimate of about 2,200 and a low projection of 1500. The median estimate shows an 11 percent rise from its initial price.
In 2013, the company reported a dividend of 0.29 GBP. This shows a 16 percent rise from the previous year. Analysis projected a 0.32 GBP for the next financial year, a rise of about 9 percent.
In November 2013, Burberry Group plc reported the next year’s earnings of about 0.284 for every share. This outcome was in connection to the consensus of analysis and it under-performed the previous’ year’s outcome for the same time length by 2 percent. The company’s earnings reported was 0.70 for every share in May the same year.
In terms of revenue, Burberry Group plc reported a semi year 2014 revenue of about 1.03 billion. This was an improvement of the consensus by analysts that focused on the company. This was a 17 percent rise from the initial year’s outcome. Additionally, it had revenues for 2013 of 2 billion which was 7.6 percent above the previous year’s outcome.
Bibliography
Burberry Plc, 2013. Burberry. Acquired on 3rd January 2014 from: http://www.burberryplc.com/investor_relations/results_and_presentations?year=2013
Investegate, 2013. Burberry Group PLC (BRBY). Acquired on 3rd January 2014 from: http://www.investegate.co.uk/article.aspx?id=201307121237472285J