Karl-Johan Persson’s ambitious expansion of H&M group continued this year, as it opened a plethora of stores and announced a string of new launches.
The group’s & Other Stories fascia opened three UK stores this year, in east London, Liverpool and Bristol. The H&M chain teamed up with British textile and wallpaper brand GP&J Baker for a womenswear collection in August, and its latest high-profile designer collaboration – with Moschino – hit selected shops in November.
Further launches from the group included online luxury label Nyden and an affordable bridal range in April, and discount fashion site Afound in June.
Group sales including VAT rose 9% to SEK64bn (£5.6bn) in the three months to 31 August. Persson’s ongoing focus on digital contributed to the growth and increased market share. However, profit after financial items fell 25% to SEK4bn (£346m).
The group said implementing new logistics systems in the US, France, Italy and Belgium in the spring led to extraordinary costs of around SEK400m (£34m) in the third quarter. In November, the group announced it will close its Cheap Monday fascia.
However, Persson remains positive about the future growth of the group, insisting it is “on the right track”.