H&M India Retail Chain Register 19% Growth

H&M India Retail Chain Register 19% Growth

A quantum leap of 19% in sales was registered by Hennes & Maurtiz (H&M), the Swedish fashion retail major, in India during the recently concluded six months. The contributing factors among others were new stores and lower priced goods than the competitors.

In sharp contrast to previous May ending six months figure of INR 450 crore, in the currently concluded six month period, H&M sales registered INR 535 crore sales. This was disclosed by the financial report on its Web site. H&M happens to be the world’s second largest clothing giant. It had earlier announced plans to open 50 retail stores in India by the year 2020, with an overall investment of INR 700 crore.

Till May 2018, H&M had succeeded in opening 32 stores in India at a healthy average of one new store per month. On an average, each store that was newly opened generated revenue of INR 33 crore on an annual basis. This has helped H&M reach the best performance figure in the apparel sales sector.

This is not to say that the H&M stint in India has been smooth all along. The H&M Group CEO, Karl-Johan Persson, emphasized that the company had gone into the second quarter in a situation where they were over-stocked and were forced to face imbalances. He said H&M is gradually effecting a course correction in this regard.