H&M beats estimates in fourth quarter, grows 5% in full year
In the fourth quarter, the group gained impulse with 12% rise of sales, reaching 56.42 billion Swedish kronor (5.5 billion euros), its best quarter in three years.
H&M saves the fiscal year. The group, the world’s number two in fashion distribution, has ended 2018 (concluded on November 30th) with a growth of 5%, above the 4% rise it scored in 2017 and lightly in line with the expectations of analysts. The company will publicly disclose its annual report and complete results next January 31st.
The group had a revenue of 210.41 billion Swedish krona (20.52 billion euros) last fiscal year, ahead of the 200 billion Swedish krona (19.5 billion euros) it had in fiscal 2017. At constant exchange rates, H&M’s volume of business grew up by 3%.
In the fourth quarter (between September and October), H&M gained strength once more with a growth of 12%, reaching 56.42 billion Swedish kronor (5.5 billion euros). It is its best quarter in three years.
The group, immersed in a deep restructuring process after its 2017 “disappointing” results, has improved them during this year. In the first quarter, the company shrunk by 1.7% its sales, recovering lightly going up by 1.2% in the second and rising up to 9% in the third one. The company has announced that, after the next year, it will only disclose its sales excluding the VAT as a measure for business evolution. After the presentation of the results, the shares of H&M dropped by 2.9%.
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