Burberry has seen their sales rise for the first time in two years by 2% in the second quarter and in the first half of the year they remained flat compared to a 20% fall the previous year.
The fashion retailer reported in the six months to 27 September pre-tax losses of £48 million against losses of £80 million the previous year.
On an underlying earnings bases, Burberry hit £19 million of operating profit from losses of £41 million the previous year.
Joshua Schulman, chief executive of Burberry, said, “We have begun to see customers return to the brand they love, resulting in comparable store sales growth for the first time in two years.
“While it is still early days and there is more to do, we now have proof points that Burberry Forward is the right strategic path to restore brand relevance and value creation.”
Burberry said in a statement, “We are still in the early stages of our turnaround, and the macroeconomic environment remains uncertain.
“Our focus this year is to build on the early progress we have made in reigniting brand desire, as a key requisite to growing the topline.
“We expect to see the impact of our initiatives build as the year progresses.”
Robyn Duffy, consumer markets senior analyst at RSM UK, said, “There will be a sigh of relief at Burberry today as a period of decline in comparable sales comes to an end.”
She added, “Ongoing softness in Chinese demand and uncertainty around US tariffs present near-term risks, although Burberry’s European manufacturing base should offer some protection.
“The next test will be whether the momentum seen in second quarter can extend through the key festive trading period and into 2026-27.”
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