Dec 9 - Luxury fashion group Mulberry said it was breaking through as an international brand and full-year profit would beat forecasts amid soaring sales of its trademark leather handbags.

Chief executive Godfrey Davis told Reuters the group would continue its drive into overseas markets, and expected the number of stores and concessions abroad, currently 38, to overtake the 44 it has in Britain during the next 12 months.

Mulberry bags

"As a result of the increasing international knowledge of the brand, we are getting a lot more tourist business in our shops as well. The message is spreading out," Davis said in a telephone interview on Thursday.

Mulberry said it remained cautious about the global economic environment, though there was little sign this was affecting demand for its handbags, which mostly cost 500 to 900 pounds.

Pretax profit tripled to 4.7 million pounds in the six months to September 30, including a 29 percent rise in sales at stores open at least a year and a 76 percent increase in wholesale shipments.

Like-for-like retail sales had accelerated to 47 percent in the 10 weeks ended December 4, while orders for spring/summer 2011 were nearly double the prior-year period with four months of the selling season still to go.

"Mulberry continues to trounce expectations and we believe that it is on the verge of becoming a truly global brand," said Altium analyst Philip Dorgan.

He raised his full-year profit forecast to 15 million pounds from 13 million, and his share price target to 1,000 pence from 650 pence, arguing the group would grow sales to 200 million pounds a year from 70 million over the next two years.

Mulberry shares, which have more than quadrupled this year, were marked up about 3 percent at 897 pence by 8:30 a.m.

Davis said the group's core Bayswater, Alexa, Daria and Mitzy handbags were selling well across all geographies, and that men's bags and scarves were in demand too.

He also has high hopes for the new Tillie family of bags, priced at 600 to 700 pounds, which will be delivered in January.

Mulberry, which employs around 800 people, said it was expanding its factory in Somerset, southwest England, to meet growing demand, creating 60 jobs.

By Mark Potter