Year of the fire horse brings glad tidings as Burberry’s bet on China pays off

Burberry's Lunar New Year collection has driven its resurgence in China FTSE 100 fashion house Burberry had spooked the market with its drastic cost-cutting turnaround, but its full-year results saw the brand canter back to profit. Felix Armstrong looks at the firm’s renewed focus on Chinese consumers

Year of the fire horse brings glad tidings as Burberry’s bet on China pays off. British luxury brand Burberry has identified a symbol of “luck and prosperity” according to its latest collection for the Chinese New Year, which has become a big deal for a company that has turned to the east to return to profit. In the Chinese zodiac calendar it’s the year of the fire horse, and some of the good luck associated with it has boosted the London-based firm’s stable of luxury apparel. A resurgence in the Chinese market spurred galloping sales which helped it ride back to profit this year. The FTSE 100 fashion house has endured a tumultuous few years which saw it temporarily slip out of the blue-chip index and embark on a £60m cost-cutting plan which came at the expense of 1,700 jobs. One year after unveiling the £66m losses which sent the luxury...