Overview

• Operating profit rose to SEK4.91 billion, taking the operating margin to about 8.6%, as management cited gross‑margin gains and strict cost control.
• Sales increased 2% in local currencies, but reported net sales fell due to a stronger Swedish krona that H&M said reduced growth by roughly five percentage points.
• H&M has shut 135 stores over the past nine months, trimming the footprint by 4% year over year, and it expects additional closures in the coming quarter.
• Administrative expenses fell about 5% and inventory was reduced around 9%, moves the company says helped lift profitability.
• H&M launched its brand in Brazil during the quarter and flagged potential to expand further across Latin America.