H&M

H&M

13 August 2015

Important legal information

H&M, the largest apparel brand in Europe has published strong data from their German and Swedish entities. As the group’s store-reach is global but has a peculiar exposure to the German market (25% of sales), the numbers could be a valid indicator for sales expectations. According to Handelsbanken Research, July sales expectation raised from 9% to 14% due to recent data. However, the margin reduction from 60,8% last year to 59,4% this year continued due to the strong dollar. The Handelsbanken outlook for the remaining months was also linked to a further expected strong USD that would put pressure on purchasing costs and further decrease gross margin.

New rumors came up about a new flagship label, which could be launched in 2017 and according to CEO Karl-Johan Persson will be completely different from H&M and its sister brands. The last time H&M added a new type of store to its portfolio was in 2013 with & Other Stories. He further pointed out, that the Swedish brand will further expand its smaller labels, such as Cos or Weekday. However the company doesn’t expect the individual brands to increase sales figures significantly.

 

 

 

02/12/2022 04:02:41