H&M Group sales rise 12% in first quarter

H&M Group has reported a 12% increase in sales to £4.3 billion (SEK54.8 billion) for the first quarter, compared to £3.8 billion (SEK49.1 billion) in the same period last year.

In local currencies, net sales increased 3% from 1 December 2022 to 28 February 2023. Excluding Russia, Belarus and Ukraine, the rise was 16% in Swedish krona and 7% in local currencies.

During the quarter, H&M Group partnered with recycling, waste and water management company Remondis to establish a co-owned company to collect, sort and sell used and unwanted garments and textiles. The company, called Looper Textile Co., aims to become a preferred feedstock provider to businesses taking part in textile resale and recycling.

This was followed by the launch of H&M's latest collection via its ‘Innovation Stories’ platform. The collection presents 60s-inspired looks with "innovative sustainable embellishments". H&M Innovation Stories was first launched in 2021. Each themed collection in its portfolio is dedicated to promoting more sustainable materials, technologies and production processes.

Earlier this year, H&M Group reported a 12% increase in sales to £17.6 billion (SEK223.5 billion) for the full year ending 30 November 2022. The group, which owns brands including COS, Monki and & Other Stories, was impacted by one-time costs due to its decision to wind down operations in Russia, as well as a cost and efficiency programme. Overall, the group's operating profit stood at £5.6 billion (SEK 7.1 billion).

H&M Group will publish its full three-month report on 30 March 2023.