- Fashion retailer Hennes & Mauritz AB HNNMY has unveiled a SEK2 billion (~$178 million) cost savings plan to further streamline the business.
- The company expects the savings from the program to become visible in the second half of 2023.
- H&M's Q3 net sales increased by 3%. In local currencies, net sales decreased by 4%.
- The company's reported operating profit plunged to SEK 902 million from SEK 6.27 billion last year, corresponding to an operating margin of 1.6% versus 11.3% a year ago.
- H&M said its one-off cost for business exit from Russia was SEK2.1 billion.
- Helena Helmersson, CEO, said, "The third quarter has largely been impacted by our decision to pause sales and then wind down the business in Russia."
- "In common with the rest of the industry, sales were weak in many of our major markets at the start of the period. Sales then gradually improved, despite of a heatwave in several European countries and some remaining delays in the supply of goods."
- Price Action: HNNMY shares closed at $1.87 on Wednesday.
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