Sweden-based apparel retailer H&M has reported surge in its sales in the first nine months of the year. The retailer’s sales excluding VAT zoomed by 22 per cent to SEK 132,167 m (108,775); in local currencies the increase was 12 per cent. Profit after financial items amounted to SEK 20,094 m (18,096), an increase of 11 per cent.
Particularly in the third quarter, H&M noted increase in sales by 19 per cent to SEK 46,024 m; and gross profit amounted to SEK 25,712 m (22,627), marking a surge of 14 per cent.
“So far this year our sales have exceeded SEK 153 billion including VAT, an increase of more than 20 percent – an acknowledgement that our collections are well appreciated worldwide. Sales were also good in the third quarter even though sales in August were negatively affected by the unseasonably warm weather in many of our large European markets. When the weather became more normal in September, sales took off again and we are looking forward to an exciting fashion autumn,” avers Karl-Johan Persson, CEO of the company.
The brand is buoyant about future too as it plans to open approximately 240 new stores net – which is almost three new stores per day, in the fourth quarter of the year. India and South Africa will become two new and exciting H&M countries this autumn, when it’ll open its first store in New Delhi in the next few days and in Cape Town later on in October. Next year, the company will open stores in three new markets: New Zealand, Cyprus and Puerto Rico.
