Home / Knowledge / News / Apparel/Garments / H&M posts 10% sales growth in Q3 FY'12
H&M posts 10% sales growth in Q3 FY'12
27
Sep '12
Hennes & Mauritz AB (H&M) releases the Interim Report for the nine month of fiscal year (1st Dec 2011 – 31st Aug 2012).

Nine Month

  • The H&M Group’s sales including VAT increased by 11 percent in local currencies and in SEK and amounted to SEK 103,018 m (92,619) in the first nine months of the financial year. Sales in comparable units increased by 2 percent. Sales excluding VAT increased by 12 percent to SEK 88,297 m (79,047).
  • Profit after financial items increased by 11 percent and amounted to SEK 15,649 m (14,140). Group profit after tax was SEK 11,580 m (10,464), corresponding to SEK 7.00 (6.32) per share.

The Third Quarter

  • The H&M Group’s sales including VAT increased by 10 percent in local currencies in the third quarter. Sales in comparable units were unchanged. Converted into SEK, sales excluding VAT amounted to SEK 28,806 m (26,912), an increase of 7 percent.
  • Gross profit amounted to SEK 16,771 m (15,766), corresponding to a gross margin of 58.2 percent (58.6).
  • Profit after financial items increased to SEK 4,895 m (4,850). Group profit after tax was SEK 3,622 m (3,589), corresponding to SEK 2.19 (2.17) per share.
  • Sales and profits in the third quarter have been affected by large negative currency translation effects. This has led to a negative impact of approximately SEK 200 m on profits after financial items compared to the third quarter 2011.
  • H&M is ramping up the pace of expansion. The expansion plan for the financial year 2012 has been increased to around 300 new stores net from 275 previously planned.
  • H&M’s first stores in Latvia and Malaysia were very well received at the openings in September.
  • Sales in the period 1 – 25 September 2012 increased by 14 percent in local currencies compared to the same period last year (calendar adjusted).
  • Chile will become H&M’s first market south of the equator when the first H&M store opens in Santiago de Chile during the first half of 2013.
  • Lithuania will become a new H&M market in autumn 2013 when the first H&M stores open in Vilnius.

Comments by Karl-Johan Persson, CEO

“H&M continued to gain market share and increased sales by 10 percent in local currencies in the quarter which proves that we have an attractive offering that is appreciated by customers worldwide.

“Conditions in the fashion retail industry continued to be challenging in many markets – both as regards the weather and the macro-economic climate. The profit increase in the third quarter was damped by large negative currency translation effects. But viewed over the nine-month period, profit after financial items increased by 11 percent to more than SEK 15.6 billion.

"We are continuing our long-term work by constantly making our customer offering even stronger and at the same time building for the future with many new initiatives such as & Other Stories, a new fashion brand that will be launched in separate stores and online during spring 2013.


Must ReadView All

Indian govt approves special package for leather, footwear

Textiles | On 16th Dec 2017

Indian govt approves special package for leather, footwear

The Union Cabinet chaired by PM Narendra Modi has approved a special...

EU parliament resolution calls for Cambodia sanctions

Apparel/Garments | On 16th Dec 2017

EU parliament resolution calls for Cambodia sanctions

Following the ongoing crackdown in Cambodia on the opposition and...

Affordable prices to be hit if US pulls out of NAFTA: NRF

Apparel/Garments | On 16th Dec 2017

Affordable prices to be hit if US pulls out of NAFTA: NRF

US retailers’ ability to offer consumers quality products at...

Interviews View All

Manfred Mentges
Sedo Treepoint GmbH

We see a higher demand in colour management systems, as customers see big...

Giovanni Pizzamiglio, Paolo Crespi & Riccardo Robustelli
Epson, For.Tex & F.lli Robustelli

‘The percentage share of printing in the global textile market is pretty...

Headhonchos
Textiles & allied industry

Textiles industry is always in the forefront in accepting latest technology

Suresh P Bagrecha

Komal Texfab, founded in 1981, is into manufacturing of knitted fabrics,...

Abhishek Pachauri

Reckon Industries adapts latest systems for manufacturing from designing...

Vikas Banduke

Softech Controls Private Limited (SCPL) is a part of the Cotmac Group, an...

Mark Paterson
Technical Absorbents Ltd

Mark Paterson, R&D manager of Technical Absorbents Ltd talks about Super...

Giorgio Mantovani
Corman S.p.A

Giorgio Mantovani, MD of Corman, with a presence in both Milano and New...

Iago Castro Asensio
RCfil Distribuciones S.L.

Iago Castro Asensio, International Business Manager of RCfil...

Sidharth Sinha
Sidharth Sinha

<b>Sidharth Sinha</b> has contributed to the successful rebirth and...

Silvia Venturini Fendi
Fendi s.r.l

"Yes, my confidence and positive attitude are my strengths and should be...

Ritu Kumar
Label Ritu Kumar

‘Classics will return’ "There are a lot of people wearing western clothes ...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

December 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

news category


Related Categories:

Planning to Take the Leap towards
Sustainability?

Do you see sustainability as a route to business growth?

Yes No

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes No

Active Poll

Do you see sustainability as a route to business growth?

Yes
69.6%
No
12.0%
Skip
18.5%

Total Votes: 92

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes No

Active Poll

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes
62.0%
No
30.4%
Skip
7.6%

Total Votes: 92

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes No

Active Poll

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes
87.0%
No
9.8%
Skip
3.3%

Total Votes: 92

Thanks for your valuable feedback. Claim your free latest sustainability e-book.

Active Poll

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes
81.5%
No
8.7%
Skip
9.8%

Total Votes: 92


E-News Insight
Subscribe Today and Get the
Latest News Update in Your Mail Box.
Advanced Search