Burberry has reported profits, even as it forecast continuing growth with a sustained caution. Profits for the fiscal year ending March 31 rose 18.2 percent to 109.9 million pounds, from 93 million pounds, thanks to drum-tight cost controls, pricing and sourcing gains and fewer markdowns.

Sales, as reported last month, rose 5.9 percent to $1.32 billion, or 715.5 million pounds, from $1.14 billion, or 675.8 million pounds, driven in part by the success of Prorsum, Burberry's high-end collection that it shows on the Milan runway. Currency conversions were made at average exchange rates for the respective periods.

In a statement Tuesday, the company dubbed Prorsum the "highlight" of the year in the Burberry women's business, which generates about 34 percent of overall revenue. However, Burberry was cautious about the current fiscal year, which began on April 1. The statement said consumer response to the spring collections was "muted" in certain markets, and first-half wholesale sales, including orders for the fall 2005 season, were broadly flat against last year.

Industry sources said those markets showing a muted response are mainly the U.S., the U.K. and Spain, among the company's three largest markets. Those countries were already slowing down in growth terms last year. Tuesday's statement said sales in Europe - Burberry's biggest market - rose 2.8 percent, while sales in North America rose 2.2 percent. By contrast, sales in Asia Pacific grew by 14.8 percent. The statement added that Burberry has begun a 250 million pound, share repurchase program with 58 million pounds, completed as of March 31.