Burberry Posts £49M Pretax Profit After Loss

Burberry returned to profitability for the fiscal year ended March 28, posting pretax profits of 49 million pounds compared with losses of 66 million pounds the previous year. The London-listed luxury fashion house credited the turnaround to a 5 percent rise in same-store sales during its final quarter and cost reductions totaling 80 million pounds, part of a broader overhaul targeting 100 million pounds in annual savings by next year.

Chief Executive Joshua Schulman described the results as a "meaningful inflection point" for the company during a call with journalists. "We've returned to profitable comparable sales growth, with a strong fourth quarter driven by momentum in Greater China and the Americas," he said. "Our strategy is working and there are clear opportunities for further growth."

The Burberry Forward initiative, launched amid recent struggles in the luxury sector, emphasized the brand's British heritage, including trench coats, scarves and its signature check pattern. This shift followed unsuccessful attempts to modernize the label and aimed to attract younger shoppers, including Generation Z, while prioritizing bestselling outerwear. Comparable retail sales grew 2...