H&M January takings rise as cost cutting pays off
WORLD number two fashion retailer Hennes & Mauritz said yesterday sales at its established stores grew in January for a second consecutive month, by three per cent in local currencies.
The budget clothing firm and rivals such as Zara owner Inditex have had to slash prices to shift a build-up of stock caused by unusually mild weather and a squeeze on consumer spending in recent months.
H&M’s total January turnover, including stores opened in the past year, rose 12 per cent in local currencies, matching a preliminary figure.
H&M last month said markdowns would be large in the current quarter and it was braced for tough times in many markets this year, as it posted a surprise fifth straight drop in quarterly profit, for the September to November period.