FILE PHOTO: A view shows an H&M warehouse at Magna Park in Milton Keynes, Britain, September 26, 2021. REUTERS/Andrew Boyers/File Photo
January 28, 2022
STOCKHOLM (Reuters) -Sweden’s H&M reported on Friday a bigger profit rise than expected for the September-November period on the back of well-received collections and cost control.
Pretax profit at the world’s second-biggest fashion retailer grew to 6.00 billion crowns ($640.1 million) from a year-earlier 3.67 billion in the period, its fiscal fourth quarter. Analysts polled by Refinitiv had on average forecast a 5.43 billion crown profit.
“The strong result for the quarter is mainly a result of well-received collections with more full-price sales, lower mark-downs and good cost control,” the group said in a statement.
H&M proposed an ordinary dividend of 6.50 crowns per share to be paid in two instalments, and authorisation for a 3 billion share buy-back programme.
H&M said it aimed to double sales by 2030 while at the same time halve its carbon footprint, and that it aimed for profitability to exceed 10% over time.
“To achieve the ambitious growth and climate goals, investments are being increased. For 2022 capex is expected to amount to around 10 billion crowns,” it said.
($1 = 9.3736 Swedish crowns)
(Reporting by Anna Ringstrom; Editing by Simon Johnson)
Source: One America News Network
