Burberry returns to growth as turnaround starts to bear fruit

By Yadarisa Shabong and Helen Reid

(Reuters) -Burberry reported a 2% rise in second-quarter comparable store sales on Thursday, beating market expectations, as the British luxury brand’s turnaround measures started to bear fruit and its China business showed signs of recovery.

The return to growth signals a potential turning point for the 169-year-old trench coat maker after CEO Joshua Schulman moved to refocus Burberry on outerwear and scarves, marketing an accessible vision of Britishness to global consumers.

Schulman also cut a fifth of the workforce in a bid to streamline operations and restore profitability.

Analysts had expected comparable store sales to grow 1%, according to a company-compiled poll, after falling for seven quarters in a row.

Burberry said comparable sales in Ch