Fashion retailer H&M Q3 sales slightly beat estimates on summer collections

By Reuters News


Overview

  • Sweden fashion retailer's Q3 net sales rose 1% in local currencies, slightly beating estimates

  • Q3 operating profit rose and beat analyst expectations, helped by one-time tariff effects

  • Company cites cost control and operational efficiency as drivers of improved profitability


Outlook

  • H&M expects September 2026 sales to rise 1% in local currencies versus prior year

  • Company says it is well placed to meet customer needs despite ongoing logistics disruptions


Result Drivers

  • COST CONTROL AND EFFICIENCY - Co said improved purchasing, cost control and more efficient operations drove profitability gains

  • ONE-TIME TARIFF EFFECTS - Qtr margins benefited from one-time effects related to tariffs and goods imports

  • SUMMER COLLECTIONS - Co said summer collections were well received and contributed to better sales development towards end of qtr


Company press release:


Key Details

Metric

Beat/Miss

Actual

Consensus Estimate

Q3 Sales

Slight Beat*

SEK 57.19 bln

SEK 56.79 bln (14 Analysts)

Q3 EPS

SEK 2.58

Q3 Net Income

SEK 4.10 bln

Q3 Gross Margin

54.00%

Q3 Operating Profit

Beat

SEK 6.04 bln

SEK 5.03 bln (14 Analysts)

*Applies to a deviation of less than 1%; not applicable for per-share numbers.


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For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.


(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)

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