H&M to take on its rival Inditex after posting 20pc earnings lift

 
Joseph Millis
SWEDISH clothing giant Hennes & Mauritz (H&M) yesterday ann­ounced a nearly 20 per cent rise in sales in August, beating forecasts after a warm European summer.

The company posted net sales of 38.8bn Swedish krone (£3.3bn) excluding sales tax for June through August, beating a forecast of 37.8bn krone and compared with 32bn krone in the same period last year.

H&M has benefited from a recovering US economy, a stronger online presence and a broader product offering, which includes new brands such as & Other Stories and sales of homeware.

H&M still lags behind Zara-owner Inditex by annual sales, but last month it took its rival on Inditex in its home market with its first Spanish online store.