H&M, the Sweden-based fast fashion retailer, has witnessed a 9 per cent rise in its third quarter sales to post US $ 6.46 billion.
However, the numbers were still less than expected in the three months that ended 31 August 2021. Even compared to the third quarter of 2019, the net sales were down by 11 per cent.
The retailer said lockdowns and pandemic-related restrictions affected the performance of the retailer, but as restrictions got eased, its bricks-and-mortar sales improved in many markets.
The investors, however, aren’t fully satisfied as the numbers, unlike H&M’s rival Inditex, haven’t yet reached pre-pandemic levels.
However, H&M is still on the path of recovery with more full-price sales and good cost control. By the end of Q3, only 100 stores were temporarily closed (compared to 180 at the start of the quarter), and if everything goes well, more stores should reopen soon.
Founded in 1947, H&M is known for its fast-fashion apparels for men, women, teenagers and children. It generated US $ 24.8 billion in 2019.
The Swedish fashion retailer will be out with its full fiscal third-quarter earnings report on 30 September 2021.
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