H&M profits jump sevenfold as it aims to double sales by 2030

// H&M profits increase as the retailer bounces back from effects of Covid-19

// Gross profit grew 12.3% to £8.34bn in the full year

H&M has recorded a “strong recovery” as full-year profits increased in the year to November 30, 2021, a nearly a sevenfold increase on the previous year’s earnings of SEK 2 billion (£163.1 million).

The fashion retailer recorded a profit after financial items of SEK 14.3 billion (£1.14 billion) during the period while gross profit grew 12.3% to SEK 105 billion (£8.34 billion). Sales across the group rose 6% in constant currencies to SEK 198.97 billion (£15.8 billion).

H&M chief executive Helena Helmersson set out ambitious plans to double group sales by 2030 while halving its carbon emissions, when unveiling the profits rise.

It will open stores in six new markets in 2022 – Kosovo, North Macedonia, Ecuador, Costa Rica, Guatemala and Cambodia – and launch an online proposition in Belarus, Kazakhstan, Ukraine, Colombia and Peru.

Helmersson said the group “can fully focus on growth again” after the trading landscape returned to “a more normalised situation” following the Covid-19 crisis.

“By quickly taking decisive action we have succeeded in managing the negative effects of the pandemic,” she said.

“We ended the year strongly with sales back at the same level as before the pandemic and with profitability better than it has been for several years.

“We see significant opportunities to grow both sustainably and profitably. The goal for 2030 is to double sales while at the same time halving our carbon footprint.”

Sales across the group rose 6% in constant currencies to SEK 198.97 billion (£15.8 billion) during the financial year.

Gross margin climbed 2.8 percentage points to 52.8%, aided by growth in full-price sales and digital sales rose 24% year on year in constant currencies, accounting for 32% of total sales.

In its fourth quarter, H&M posted an 8% uplift in net sales to SEK 56.8 billion (£4.5 billion), as sales growth in its UK business outpaced its other major markets. UK revenues surged 36% in constant currencies to SEK 4.3 billion (£430.5 million) over the quarter.

Helmersson said: “While we respect the ongoing challenges brought by the pandemic, we have demonstrated our ability to quickly adapt and seize opportunities that arise.

“Customer focus, quick action and flexibility have been key in managing the pandemic and will be just as important going forward.

“Customers must always feel confident that with us they will be able to find the best combination of fashion, price, quality and sustainability.

“With continued satisfied customers and strong relations with all our partners, we are optimistic about the opportunities for long-term and sustainable growth for the H&M Group.”

Click here to sign up to Retail Gazette‘s free daily email newsletter

The post H&M profits jump sevenfold as it aims to double sales by 2030 appeared first on Retail Gazette.

from Retail Gazette https://ift.tt/3g3iz3E
via IFTTT

Comments

Eagle Labs launches impirica CBD brand

ST. PETERSBURG, Fla. — Eagle Labs has launched impirica, a new brand of CBD intended to eliminate consumer fear, and increase confidence, in trying the exciting new cannabidiol category. Michael Law Although most Americans have now heard about CBD, many are very confused and concerned about product quality. This is inhibiting trial in the category and holding back conversion into sales. In fact, a 2017 study by Johns Hopkins University found that two out of three CBD products on the shelf did not contain the amount of CBD reflected on the label. Furthermore, in 2018 and 2019, the FDA sent notices to a substantial number of CBD manufacturers advising them of serious concerns about product quality or egregious medical claims. The impirica brand looks different than most CBD brands — the brand name itself connotes testing and trust, says Eagle Labs chief commercial officer Michael Law. “It doesn’t use the traditional category colors of browns and greens, and you won’t find a hemp...

Coronavirus Recovery: Canadian Small Businesses Must Focus on Easing Employee, Customer Fears

By M. Tina Dacin and Laura Rees A small business has been given the green light to reopen amid the COVID-19 pandemic . What does it need to consider for employees and customers? Small business owners are reorganizing physical space to account for continued distancing requirements and rethinking supply chains to deliver products and services in new ways to meet changing demand patterns. But they must not forget the hearts and minds of employees and customers. That doesn’t mean replacing a focus on the bottom line, but it helps address the need for a new set of expectations and ways of communicating in terms of product or service offerings, delivery methods and real-time feedback. Based on our expertise in organizational behaviour and past research we’ve conducted, we provide a set of recommendations to help small businesses thrive in our new COVID-19 economy by looking after the hearts and minds of the people most important to businesses — employees and customers. Fear, Anxi...

World's 1st Pizza Subscription Service Launches in Toronto

general assembly subscription user opening delivery box of pizza. photo: general assembly pizza By Mario Toneguzzi Toronto-based General Assembly Pizza has launched what it describes as the world’s first pizza subscription service as it also plans to aggressively expand its product offering in the near future by opening a new concept in the market. "Since opening our doors in 2017, we have pushed for the best guest-experience possible — that's why our dough is 100 percent naturally leavened, that's why we have a purpose-built 400-square-foot pick-up and delivery area, and that's why we’ve launched a direct-to-consumer subscription-based ecommerce platform,” said Founder & CEO Ali Khan Lalani. “In 2020, providing the best guest experience means General Assembly Pizza has to be more than a restaurant. I'm proud to say that after almost six months of planning, many roadblocks, and countless pivots — all while maintaining our day-to-day restaurant operatio...

Latest Retail Insight, News, Information & Articles from all top sources for the Internet.

Search This Blog