
H&M chief executive Daniel Ervér said he was confident that the fashion giant is “on track” as full-year profits jumped and sales rose.
The retailer posted a 28% increase in operating profit to £1.2bn (SEK 17.3bn) in the year to 30 November, up from £1.06bn (SEK 14.5bn).
Net sales edged up 1% to £17.1bn (SEK 234.4bn), aided by a 3% increase in fourth quarter revenue to £4.5bn (SEK 62.2bn).
H&M said its final quarter started with strong sales in September as its autumn collection was “well received” by shoppers.
However, the fashion retailer flagged that end of quarter sales was affected by a later Black Friday, which meant a large value of orders were reported as sales in December. Revenue for the retailer from 1 December to 28 January rose 4% in local currencies.
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Ervér said: “After one year as CEO, I’m confident that we are on the right track. We have set a clear direction focusing fully on our core business: improving what makes the biggest difference for the customer and removing what doesn’t.
“We are proud of the progress we have made to further strengthen our products, shopping experience, and brand building. While there is a lot left to do, we have a strong plan to drive the long-term growth we are aiming for.
“As we look ahead to 2025, we will continue to strengthen our core business and elevate our customer offering, while continuing the strong work on cost efficiency.
“We speed up our product creation processes, increase the precision in aligning supply with demand, and improve the product availability for our customers online as well as in stores by integrating both channels more closely with each other.
“We are maintaining the level of investments compared to last year and will primarily target our stores and supply chain. We will also enhance our digital experience and continue to reinforce our brand presence in major fashion cities.
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