H&M quarterly results were worse than expected

Swedish clothing chain H&M informedthat for the third quarter of its fiscal year 2022 (ended August 31), its sales amounted to 57.45 billion Swedish kronor (€5.4 billion), up 3% from a year earlier. Such results turned out to be worse than the forecasts of analysts, who had expected sales growth by 5%. After the release of the results, H&M shares fell 1.6%.

Some observers assumedthat such results of the Swedish company can be explained by the fact that during the reporting period it could not compete with the Spanish Inditex (brands Zara, Bershka, etc.). The day before Inditex reported about receiving revenue and profit that exceeded all forecasts. H&M itself attributed the weak sales growth to “a difficult situation at the beginning of the quarter in many of the company’s key markets.” At the same time, the company noted that the situation at the beginning of this quarter is better, as can be seen from the sales of the autumn collection.

Evgeniy Khvostik