Buxton favourite Burberry delivers the goods

Luxury fashion house Burberry Group, a long standing favourite of Schroders' Richard Buxton, has continued to beat market expectations as the group reported a rise in revenue for the first half of the year.

The group's total revenue rose 30% on an underlying basis to £830m, while underlying retail revenue increased 45% to £528m.

Buxton holds a 3.62% position in Burberry in his £2.6bn Schroder UK Alpha Plus fund but the stock had a rough ride over the past three months of market upheaval, falling from highs of £16.00 at the end of July.

Fears of a slowdown in Chinese demand for luxury goods contributed to the slump as Burberry earns almost a third of its revenue from Asia.

However, the group has managed to shrug off these concerns as Chinese consumers continue to back its products and the stock has rebounded 12% in the past week from £10.73 on October 4.

Burberry's results boosted its shares this morning, up 4.43% to £13.20, as the FTSE started to recover from early morning falls.

Sentiment had been derailed following Slovakia's rejection of measures to revamp the eurozone's European Financial Stability Facility (EFSF) rescue fund but the FTSE 100 was up 0.11% to 5401.78 at around 9.50am.

In the US, the Dow Jones ended trading flat, down 0.15% or 17 points to 11,416, as the latest twist in Europe's debt crisis subdued investors.

Overnight in Asia, the Nikkei closed down 0.4% to 8,738.