(Image Source: H&M)
Hennes & Mauritz (H&M) is expecting their retail sales to return to profitability as they make a recovery from the pandemic outbreak. The company is expecting its pre-tax profit to reach $230 million in the 3rd quarter.
At the peak of the pandemic, the Swedish Group closed four in five of its stores across Europe and the US. Whilst about 200 out of its 5,000 stores still remain closed as of August, H&M appears to be on the road to recovery; with fewer discounted sales, strong cost control, and improved flexibility in its supply chain.
The company’s e-commerce retail sales have seen steady growth now that everyone is shopping online. Helena Helmersson, H&M’s Chief Executive hopes to emerge from the pandemic “stronger” than before.