H&M hits predicted revenue targets
Fashion force H&M yesterday posted slight rises in its sales from last month as well as a three percent improvement from 2009’s figure.
The retailer, which started in Sweden before expanding its business around the world, commented that total sales, which take into account stores that have recently been opened, were up 13% in October. For the stores that have been opened a year or more, figures on overall sales were in line with what analysts had previously forecast.
By turnover, H&M is currently the world’s third-largest clothing retailer, although it doesn’t release absolute sales figures nor does it comment on those that are published by others. Regarding how its products have been doing however, a spokesman for the company confiremed that tuxedos for and tailcoats for men and women had become the essential products for the ongoing fashion season season.
From the results, it is easy to see that the global recovery has definitely helped the retailer improve its fortunes. While improvements were made in October, September saw sales up 8% with August enjoying a massive 14% rise. Due to ongoing concerns among consumers in the Eurozone, where government debts are sky high, coupled with uncertainties on quantitative easing over the Atlantic, it is feared that this success might be short lived.
While details of October were released, it was also reported that pre-tax profits for H & M in its third quarter, which runs from June to August, increased to an amazing 5.74bn Swedish crowns – roughly £520m.