Advertisement

H&M

Swedish clothing giant H&M bounces back into profit despite pandemic

AFP/The Local
AFP/The Local - [email protected]
Swedish clothing giant H&M bounces back into profit despite pandemic

H&M has climbed back into profit months after coronavirus lockdowns around the world forced it to close shops.

Advertisement

The news sent H&M's share price surging on Tuesday.

H&M had tumbled into a loss in its March-May quarter when, like many other non-essential retailers, lockdowns around the world forced it to close shops.

And while sales for the June-August quarter were still down 19 percent from last year to 50.9 billion Swedish kronor (4.9 billion euros, $5.8 billion), a move towards higher value collections, less discounting, and cost cutting helped it turn a profit, the company said in a preliminary earnings statement.

Advertisement

The preliminary pre-tax profit of approximately 2.0 billion kronor was much more than the 250 million expected by analysts, sending H&M shares climbing by more than 10 percent in morning trading in Stockholm.

The group is to publish its complete third quarter results on October 1st.

More

Join the conversation in our comments section below. Share your own views and experience and if you have a question or suggestion for our journalists then email us at [email protected].
Please keep comments civil, constructive and on topic – and make sure to read our terms of use before getting involved.

Please log in to leave a comment.

See Also