10 Questions for Management

Research evidence excerpt

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M

Foundation

August 11, 2026 11:53 AM GMT

Burberry | Europe

Morgan Stanley & Co. International plc+

Grace Smalley, CFA

Equity Analyst

10 Questions for Management

Natasha Bonnet

Equity Analyst

Edouard Aubin

Equity Analyst

What's new? We dig into key areas of questions those meeting with Burberry

management might find interesting to ask, based on topical investor debates. Given

Cedric Norest

the detailed context and background included in our questions, this note also serves

Research Associate

as a useful refresher of Burberry's overall strategy. We continue to see Burberry as

executing solidly on the company's turnaround strategy; and remain Overweight.

See more here: Addressing Investor Pushback; Stay Overweight

#1 - LFL & Luxury Backdrop: Burberry reported Q1 LFL growth of +5% (=consensus),

showing continued MSD% LFLs despite the tougher comparison base (FY26: Q1 -1%,

Q2 +2%, Q3 +3%, Q4 +5%), incremental headwinds from the Middle East and

tourism, as well as a low-season quarter for Burberry.

• Looking ahead, what is giving mgmt confidence in FY27 LFL growth? In

Burberry (BRBY.L, BRBY LN)

Top Pick

Brands | United Kingdom

Stock Rating

Industry View

Price target

Shr price, close (Aug 10, 2026)

52-Week Range

Mkt cap, curr (mn)

Net debt (03/27e) (mn)*

EV, curr (mn)*

Overweight

In-Line

1,350p

1,171p

1,377-976p

£4,219

£(365)

£4,122

particular in H2 as Burberry will once again lap a tougher comparison base?

* = GAAP or approximated based on GAAP

How does mgmt think about the pushback that the initial "easy wins" of the

Fiscal Year Ending

03/26 03/27e 03/28e 03/29e

top-line strategy are complete, and that further incremental gains from here

Sales / Revenue

(£mn)**

EBIT (£mn)**

EPS (p)**

Prior EPS (p)**

P/E**

EV/revenue*

EV/EBIT**

DPS (p)

Div yld (%)

FCF yld ratio (%)**

2,420

2,559

2,714

2,883

160

15.2

72.0

1.6

24.1

0.0

8.5

251

36.9

31.8

1.5

15.4

0.0

7.8

357

59.0

19.8

1.3

9.9

20.0

1.7

9.5

447

78.3

15.0

1.1

7.2

25.0

2.1

11.4

to drive further growth will prove more difficult?

• Regionally, the Americas, Greater China and Korea remained clear bright

spots in Q1.…