second quarter (
- The
H&M group's net sales increased by 3 percent in the second quarter toSEK 59,605 m (57,616). In local currencies net sales increased by 3 percent. -
Gross profit increased by 11 percent to
SEK 33,569 m (30,338). This corresponds to a gross margin of 56.3 percent (52.7). -
Selling and administrative expenses increased by 3 percent to
SEK 26,446 m (25,585). In local currencies the increase was 2 percent. -
Operating profit increased to
SEK 7,098 m (4,741), corresponding to an operating margin of 11.9 percent (8.2). -
Adjusted for one-time costs associated with the cost and efficiency programme, operating profit amounted to
SEK 7,297 m (4,671), corresponding to an operating margin of 12.2 percent (8.1). -
The result after tax increased by 52 percent to
SEK 4,995 m (3,288), corresponding toSEK 3.11 (2.02) per share. -
Significant improvement in cash flow from operating activities, which increased to
SEK 12,600 m (7,499).
First half-year (
- The
H&M group's net sales increased by 1 percent in the first half-year toSEK 113,274 m (112,488). In local currencies, net sales were in line with the previous year. -
Gross profit increased to
SEK 61,224 m (56,224). This corresponds to a gross margin of 54.0 percent (50.0). - Selling and administrative expenses increased by 1 percent in SEK. In local currencies these expenses were in line with the previous year.
-
Operating profit increased to
SEK 9,175 m (5,466), corresponding to an operating margin of 8.1 percent (4.9). -
The result after tax increased to
SEK 6,196 m (3,828), corresponding toSEK 3.85 (2.35) per share. -
Cash flow from operating activities increased to
SEK 16,567 m (12,485). -
Financial net cash increased to
SEK 7,961 m (7,700). Cash and cash equivalents plus undrawn credit facilities wereSEK 42,572 m (38,813). -
Stock-in-trade decreased by 1 percent to
SEK 38,518 m (38,802). Currency adjusted the stock-in-trade increased by 2 percent compared with the previous year. The stock-in-trade in SEK represented 16.3 percent (16.7) of rolling 12-month sales.
-
Sales for the month of
June 2024 are expected to decrease by 6 percent in local currencies compared with the same period last year. The June figure is to be seen in the light of strong comparative figures from 2023. The unstable weather in many of theH&M group's large markets at the start ofJune 2024 had a negative impact on sales, but sales recovered as the weather normalised at the end of the month. A well-composed inventory has also enabled a later start to sale compared with the previous year. -
Environmental organisation Stand.earth awarded the
H&M group the highest overall score among leading brands in the fashion industry for its climate work. -
At the annual general meeting on
3 May 2024 , a general authorisation was passed for the board to be able to buy back the company's own B shares until the 2025 annual general meeting. If the board chooses to utilise this authority, amounts and other details will be communicated before repurchases are initiated.
"We achieved our best results for many years in the second quarter, showing once more the
- Daniel Ervér, CEO.
* Operating profit adjusted for one-time costs.
Comments by Daniel Ervér, CEO
Strong profitability development and good sales growth
The
With a sharp increase in profit for four consecutive quarters, we are well on the way to achieving our long-term goal of profitability exceeding 10 percent over time. Our goal of an operating margin of 10 percent for full-year 2024 remains in place. However, the conditions for achieving that level this year have become more challenging as it is assessed that external factors that influence our purchasing costs and sales revenues, including materials and foreign currency, will have a more negative impact than we expected in the second half of the year. The most important prerequisite for achieving our goal is that sales growth is further strengthened in the second half of the year compared with the second quarter increase.
In the second quarter we achieved our best profit and cash flow for many years, and now we are taking the next steps with forward-looking initiatives to strengthen the brand, the customer offering and the shopping experience. We have one of the fashion industry's largest design teams that has created amazing collections for this autumn. Our customers will be able to discover what's new this autumn in exciting ways through global and local fashion campaigns, unique events and inspiring collaborations. Our upgraded stores in
The
Communication in conjunction with the six-month report
The six-month report, i.e.,
Location:
To book interviews in conjunction with the six-month report on
Please note that there will not be a separate telephone conference in the afternoon CEST.
Contact
+46 73 465 93 92 | |
Daniel Ervér, CEO | +46 8 796 55 00 (switchboard) |
+46 8 796 55 00 (switchboard) |
SE-106 38 Stockholm
Phone: +46 8 796 55 00, e-mail: info@hm.com
Registered office:
For more information about the
Information in this interim report is that which
https://news.cision.com/h---m-hennes---mauritz-ab/r/h---m-hennes---mauritz-ab-six-month-report-2024,c4007456
https://mb.cision.com/Main/769/4007456/2887894.pdf
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