Burberry products are known for their distinctive checked pattern

The firm, well-known for its beige check trademark, also announced a �250m ($463m) share buyback programme to be completed by March 2006.

Burberry chief executive Rose Marie Bravo said the firm "delivered a strong first half performance" with sales up 14% to �347m.

However, UK retail demand was subdued in the initial weeks of the second half.

In line with many other UK clothing retailers, Burberry has suffered from wet and warm weather conditions which have hit fashion outlets.

Conservative outlook

Burberry has been opening new stores in Europe, the US and Asia, and said it intends to open at least four new outlets in the second half.

It has also introduced new lines, such as mini-capes.

Ms Bravo said performance had been "driven by the continued execution of our core strategies and the balance of our business across product categories, channels and regions".

But it said it was planning retail sales "conservatively" for the rest of the financial year.

Wholesale sales are expected to show mid-to-high single digit percentage growth for the spring and summer 2005 season.

The company also announced the appointment of Brian Blake as an executive director of the company.

Mr Blake, who is currently chief operating officer of the company, spent 17 years at the Gucci Group.

Burberry is majority-owned by retail group GUS, which partially floated the fashion house in July 2002.