Rumours of Burberry's impending fall from grace may have been a bit premature, as the stock bounced back this morning after a reassuring update.

"Against record prior year comparatives, Burberry delivered 8% total revenue growth and 10% retail growth in the first half, albeit slowing in the second quarter. In a more challenging external environment, footfall declined but brand momentum remained strong, particularly with our higher spending luxury consumer," said Angela Ahrendts, Burberry's Chief Executive Officer.

The two key things that investors picked up on were a recovery in the like-for-like sales growth rate towards the end of the reporting period, and a better outlook on the operating margin.

The retail/wholesale operating margin in the six months to September 30th 2012 is now expected to be at least in line with the same period last year (14.9%), rather than lower as previously guided. This reflects the quality of the revenue performance and tight control of discretionary spend, the group said.

Broker Investec seemed to sum up the mood when it said the mood was one of "slight relief".

The shares shot higher, pulling the Personal Goods sector with them.

The Electronic & Electrical Equipment sector is the worst performing sector, as it is dragged down by lighting, power and electronics system manufacturer LPA.

The firm found the market hard to please as it announced a double contract win, worth £0.7m, and said trading in the final quarter of the year ended September 30th remained strong, with current expectations likely to be met or exceeded.

Trading since then had also been strong, the firm said, but warned conditions were "unusually good" as a result of several medium sized contracts requiring delivery over a short period of time.

The current financial year is expected to be one of transition, the firm said, during which time it is committing investment to its technical, commercial and sales resources to secure the opportunities it sees for the future growth.

Top performing sectors so far today
Personal Goods 17,890.11 +10.21%
Oil Equipment, Services & Distribution 25,451.14 +1.75%
Household Goods & Home Construction 7,560.84 +1.74%
Banks 4,021.05 +1.58%
Chemicals 8,480.14 +1.57%

Bottom performing sectors so far today
Electronic & Electrical Equipment 3,344.59 -0.42%
Electricity 8,845.13 -0.41%
Real Estate Investment & Services 1,773.21 -0.34%
Automobiles & Parts 4,989.43 -0.33%
Pharmaceuticals & Biotechnology 9,673.37 -0.24%

JH

Related share prices
LPA Group (LPA) share price
Burberry Group (BRBY) share price