UK trend group Burberry has appointed a brand new boss because it appears to halt a droop in gross sales.
The corporate stated Joshua Schulman, the previous boss of US model Michael Kors, will take over as chief government.
Mr Schulman replaces Jonathan Akeroyd, who’s leaving Burberry “with fast impact by mutual settlement with the board”, the corporate stated.
His departure got here as Burberry reported a pointy fall in gross sales and warned that if present developments proceed its income can be under expectations.
It additionally stated it was suspending dividend funds for the present monetary yr.
Burberry – famed for its distinctive camel, purple and black examine sample – stated retail revenues fell by 21% within the three months to 29 June.
Chairman Gerry Murphy known as the figures “disappointing” with the posh market “proving tougher than anticipated”.
He stated the actions Burberry was taking, together with chopping prices, would enhance its efficiency within the second half of the yr.
Burberry’s gross sales have been struggling amid a downturn in demand for luxurious items, with buying and selling in China and the Americas seeing a number of the largest falls.
In its newest replace, Burberry stated gross sales within the Asia Pacific area have been down 23% from a yr earlier with gross sales in mainland China falling 21%. Gross sales within the Americas additionally dropped by 23%.
In Might this yr, the corporate had introduced a 40% fall in full-year income.
Burberry is just not the one luxurious model to endure from the downturn. In March, luxurious items firm Kering issued a revenue warning after it stated demand for its Gucci model had slumped in China.
Mr Murphy stated he was “happy” with Mr Schulman’s appointment.
“Josh is a confirmed chief with an excellent report of constructing world luxurious manufacturers and driving worthwhile progress,” he added.
Mr Schulman, who was additionally head of Jimmy Choo in London between 2007 and 2012, stated he was “deeply honoured” to guide Burberry.
“Burberry is a rare luxurious model, quintessentially British, equal elements heritage and innovation.”
