Riccardo Tisci Setting the Stage for Brand Transformation at Burberry  Burberry reported a 1.1% retail revenue decline for 3Q19 to £711 million. Comparable store sales rose 1%, driven by mid-single-digit comps in mainland China and Korea. There was very little change in price, thus the increase in comps was volume driven. A net two store closures eliminated 1% of retail selling space. The company noted a “consistent performance” across its three reporting regions — Asia Pacific; Europe, Middle East, India and Africa (EMEIA); and the Americas. In Asia Pacific, comps in Hong Kong and Japan declined, with Japan particularly impacted by weaker tourist flows, offsetting the strength in Mainland China and Korea. In EMEIA, Europe remained subdued, impacted by the macro situation particularly in France, where protests have disrupted commerce. In the U.K, Burberry saw improved buying patterns from 2Q19 as spending by Chinese tourists returned to growth. The Middle East remained challenging, impacted by the oil sector undermining the macro-economy. Burberry management said the company experienced slowing traffic in U.S. stores due to softening consumer sentiment. Burberry is in the first stage of its multiyear transformation and repositioning strategy and is seeing a positive response to limited edition products designed by Ricardo Tisci, sold predominately via social media. B Series, monthly drops of Riccardo Tisci products, have bolstered its social media presence. These collections resonate with new and younger customers, and were endorsed by key influencers globally. In China, Burberry’s reach (number of followers) on WeChat expanded 50%. Jing Daily said it thought the B Series was the most exciting luxury campaign on the WeChat platform. The arrival of Riccardo Tisci product to retail and wholesale doors will be incremental during the coming 12 months, with a limited arrival of runway product in the final month of 4Q19, building to about 50% in May and more than 60% by September. In 3Q19 wholesale accounts placed orders for his Autumn/Winter 2019 collection, which arrives in store beginning in May. In the U.S., luxury wholesale orders per door have doubled and have shown a significant increase in EMEIA. Outlook The only change to prior guidance was a reduction in expected capital expenditures, from £150 million to £130 million, related to the phased introduction of the company’s new store concept to upgrade its shops.