She turned around and smiled.

Literal

She [topic-は] turned-around [then-て] smiled.

振り向く (ふりむく) means 'to turn around, to look back' — a compound verb from 振る ('to swing, to turn') + 向く ('to face'). ほほえむ (微笑む, 'to smile') is more literary and gentle than 笑う ('to laugh/smile'), suggesting a soft, warm smile. The te-form connects the two actions in quick sequence.