Spring collection boosts H&M
Profits up for fashion retailer
Clothing retailer Hennes & Mauritz has seen its performance boosted by a strong customer response to its spring lines.
H&M said its well received collections have contributed to the group’s best-ever operating margin in a second quarter, with an 18 per cent increase during May at comparable currency rates.
Second-quarter profit in the three months to the end of May rose 34 per cent to SEK2.35bn, with sales up 17 per cent to SEK15.5bn. Operating margins rose to 22.8 per cent from 19.8 per cent, The company told journalists margins were helped by lower quota costs, the weak dollar, and fewer price reductions. Average selling prices improved by 3 per cent to 4 per cent for the spring/summer collection.
H&M’s expansion plans for the rest of the year will see up to 90 stores opened, with al focus on the US, Germany, the UK, Spain and Poland.
