#Retail & Brands

2024-06-27

H&M Group reports robust Q2 and six-month performance

The H&M Group has reported a robust performance in the second quarter (March 1, 2024 – May 31, 2024), with net sales rising by 3% to SEK 59,605 million. Gross profit surged by 11% to SEK 33,569 million, improving the gross margin to 56.3%. Operating profit increased significantly to SEK 7,098 million, achieving an operating margin of 11.9%. Adjusted operating profit stood at SEK 7,297 million. The result after tax soared by 52% to SEK 4,995 million.

In the first half of the year (December 1, 2023 – May 31, 2024), net sales edged up by 1% to SEK 113,274 million. Gross profit rose to SEK 61,224 million, and the operating profit increased to SEK 9,175 million. Cash flow from operating activities improved to SEK 16,567 million.

H&M has been recognized by Stand.earth for its climate initiatives, receiving the highest score among leading fashion brands. Additionally, the company’s AGM authorized the potential buyback of B shares until the 2025 AGM.

CEO Daniel Ervér highlighted the group's best results in years, emphasizing the company's strong financial position and commitment to sustainable growth. Despite a predicted 6% decrease in June sales due to adverse weather conditions, H&M remains optimistic about continued growth.

Key Highlights:

+ Q2 net sales: +3% to SEK 59,605 million

+ Q2 gross profit: +11% to SEK 33,569 million

+ H1 net sales: +1% to SEK 113,274 million

+ H1 gross profit: SEK 61,224 million

+ Stand.earth recognition for climate efforts

+ Authorization for potential B share buyback

With a focus on customer experience and strategic investments, H&M is poised for profitable and sustainable growth.

Innovation center for textile circular economy inaugurated

Just over eight months after the foundation stone was laid, the new Innovation Center for Textile Circular Economy was officially inaugurated today at TITK Rudolstadt. Thuringia's Minister President Mario Voigt, TITK Director Benjamin Redlingshöfer, and other guests of honor cut the ribbon to the modern building complex and viewed the premises, which are now ready for occupancy. The “DICE – Demonstration and Innovation Center for Textile Circular Economy” is TITK's largest single investment to date. The Free State of Thuringia supported the total cost of €11.5 million with €8 million in GRW and FTI funding.

Sustainable design of Geosynthetics and roof underlayments made from recyclates

Is it possible to recover plastic recyclates from previously unused waste streams in order to produce high-quality fibers and films? How can bio-based polymer fibers be manufactured so as to allow adjustable biodegradability? These are the questions being addressed by researchers from the Fraunhofer Cluster of Excellence Circular Plastics Economy CCPE in the Zirk-Tex project.

Waste2Fashion: FTTH Committed to advancing Circular Fashion in the Mediterranean

As an official partner of the Waste2Fashion project, the Tunisian Federation of Textile and Apparel (FTTH) participated in the Kick-off Meeting held on 10–11 December in Spain. The event brought together project partners from across the Mediterranean, including Spain, Italy, Egypt, Lebanon, and Tunisia, to align on a shared vision and initiate the first implementation steps.

AATCC announces 2025 Herman & Myrtle Goldstein Graduate Student Paper Competition winners

The American Association of Textile Chemists and Colorists (AATCC) recognized the winners of the 2025 Herman & Myrtle Goldstein Graduate Student Paper Competition. Founded in 1982 to give student members the chance to conduct and present original research, the competition was renamed in 1994 in honor of Herman and Myrtle Goldstein, following their US$60,000 endowment. Their gift is a lasting remembrance of their dedication to young people in the textile industry.

Recover™ secures multi-year recycled cotton agreement with H&M

Recover™ has signed a multi-year agreement with H&M to support the integration of its recycled cotton fiber, RCotton, for use in H&M’s products. Since early 2024, H&M and Recover™ have collaborated on product development, which now enables scaled commercial introduction of Recover™ mechanically recycled cotton into H&M’s collections.

GORE-TEX® KIDSWEAR launches innovative membership scheme for kids’ jackets

With its revolutionary new membership model, GORE-TEX® Kidswear now offers families a simple, flexible and sustainable way of kitting out their children in top-quality jackets. It is aimed at the parents of children aged between five and ten and kicks off with a choice of functional winter jackets.

Yanpai expands nonwovens capacity with two new ANDRITZ needlepunch lines

Zhejiang Yanpai Filter Technology Co., Ltd. (hereinafter referred to as “Yanpai”) has placed an order with international technology group ANDRITZ for two high-performance needlepunch lines. The equipment will be installed at Yanpai’s headquarters facility in Tiantai County, China. Commissioning is scheduled for the third quarter of 2026.

INVISTA proposes plant closures and production shift to strengthen global competitiveness

INVISTA announced a set of proposed strategic actions intended to strengthen its global operating footprint and position the business for long-term competitiveness. The proposal includes closing its precision machine shop in Martinsville, Virginia; discontinuing production at its Gloucester, England site; transitioning operations to its Kingston, Canada facility, which will continue to serve customers in North America and Europe; and continuing to explore various investment opportunities for expanding capabilities at select advantaged sites, including its Anlon site in Shanghai, China.