CEO Helena Helmersson highlighted improvements in the supply chain and cost management, leading to stronger gross margins and cash flow. Despite challenges like inflation and interest rates affecting consumer purchasing power, net sales in comparable markets rose compared to 2022.
In the twelve months ending November 30, 2023, H&M achieved 236.0 billion Swedish kronor (20.9 billion euros) in net sales, marking a 6% increase from the previous year. However, in local currencies, net sales saw a 1% decrease year-over-year. Excluding Russia and Belarus, net sales grew by 8% in Swedish kronor and 1% in local currencies. The company’s brand portfolio also saw a 15% increase in Swedish kronor and 9% in local currencies. Gross profit rose by 7% to 120.8 billion Swedish Kronor (10.7 billion euros), with a gross margin improvement to 51.2% due to various operational enhancements.
Overall, H&M saw a 145% increase in profit in 2023, reaching 8.7 billion Swedish kronor (771 million euros), or 5.35 Swedish kronor per share (0.47 euros). Store count decreased slightly to 4,369 by the end of the fiscal year.
Helena Helmersson’s unexpected resignation after four years as CEO and 26 years with the company has led to Daniel Erver being appointed as her successor.
