H&M releases disappointing results for July

  • Written by 
  • Published in Fashion
  •   

Fashion giant H&M has published very disappointing results for July yesterday. The Swedes sold 6% less on a like-for-like basis (not including new stores), which is even worse than the already low expectations of -5.1%. 

 

Including the 240 stores that H&M opened since July 2010, the chain managed a 3% turnover growth – also lower than analysts' expectations. The German branch, the most important market for H&M, even witnessed a status quo. The new results were the worst in 16 months for the world's second largest fashion retailer.

 

Experts fear that these negative results for one of the world's fashion powerhouses are an indication that smaller colleagues will experience even steeper turnover falls. However, the world's number one, Inditex, has managed to avoid such a scenario by heavily betting on growth markets, where demand keeps on rising – as opposed to the stagnating European markets.


Questions or comments? Please feel free to contact the editors
Gap sends out profit alert

Gap sends out profit alert

02/03/2015

American fashion company Gap has forecast lower full-year profits because of a strong dollar and the brand's waning popularity.

C&A's new ad campaign focuses on the "real life"

C&A's new ad campaign focuses on the "real life"

26/02/2015

Clothing chain C&A has taken a swipe at ready-to-wear and haute couture fashion shows with its own ad campaign, which will launch in March 2015. It is called "Today's look...

American Supreme Court to tackle Abercrombie's hijab

American Supreme Court to tackle Abercrombie's hijab

26/02/2015

The American Supreme Court is currently tackling the case of a young Muslim woman who was not hired by Abercrombie & Fitch because of her headscarf. It looks like the...

Topshop opens first continental flagship store in Amsterdam

Topshop opens first continental flagship store in Amsterdam

25/02/2015

British chain Topshop will open its first flagship store on the European mainland tomorrow in Amsterdam. The 1,200 sqm store will have three floors: two dedicated to Topshop's collections for...

SuperGroup's CFO is bankrupt and steps down

SuperGroup's CFO is bankrupt and steps down

25/02/2015

SuperDry's parent holding SuperGroup has lost its CFO, Shaun Wills, who has been declared bankrupt on 10 February and he has stepped down at SuperGroup as a result.

Intimacy amortization gives Van de Velde profit hammering

Intimacy amortization gives Van de Velde profit hammering

24/02/2015

Lingerie manufacturer Van de Velde has had to deal with a 92 % profit drop, down to 2.5 million euro, as the Belgian company has written off its entire stake...

Benetton donates money to fund for Rana Plaza victims

Benetton donates money to fund for Rana Plaza victims

23/02/2015

Italian fashion brand Benetton has pledged donate money to the fund for the Rana Plaza victims. Back in 2013, more than 1,000 people died because of a disaster in that...

Adidas on the lookout for new CEO

Adidas on the lookout for new CEO

23/02/2015

Even though Herbert Hainer had categorically denied the rumour up till now, his Adidas reign seems to be nearly over. The group is looking for a new CEO, who will...

Primark turnover growth boosts parent company

Primark turnover growth boosts parent company

23/02/2015

For its first half of its fiscal year 2014/15, Associated British Foods forecasts turnover growth at its clothing chain Primark, that should cancel out the negative results at other branches. 

Kering's financial results suffer from Gucci drop

Kering's financial results suffer from Gucci drop

17/02/2015

Sales for French Kering's main luxury brand, Gucci, have dropped for the first time in a long time. Added to subsidiary Puma's relaunch costs and the negative exchange rate effects...

Puma lowers quarterly loss 96 %

Puma lowers quarterly loss 96 %

17/02/2015

German sports product manufacturer Puma has managed to almost completely get rid of its net loss in its fourth quarter, but analysts had forecast an actual profit. Nevertheless, CEO Gulden...

Levi's profits drop because of investments

Levi's profits drop because of investments

13/02/2015

2014 profits have dropped for American jeans brand Levi's, following retail network investments and discount campaigns meant to improve sales. Those did work though, as turnover did increase.