H&M closes 135 stores globally as cost-cutting boosts profits
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H&M says more store closures are on the way
- H&M reported stronger-than-expected profits following aggressive cost-cutting measures, including further store closures.
- The Swedish clothing retailer confirmed the closure of 135 stores over the past nine months, with additional closures anticipated in the current quarter.
- The majority of these closures were in Asia, Oceania, and Africa, as well as 21 locations in Western Europe, affecting H&M and Monki-branded stores.
- Operating profits for the quarter ending August rose to 4.91 billion Swedish krona (£390 million), surpassing analyst predictions and reversing previous declines.
- Despite the reduction in store numbers, sales increased by 2 per cent to 57 billion krona (£4.51 billion), though CEO Daniel Erver noted continued customer caution amid economic uncertainty.