H & M shares fell as much as 11% after the announcement and news that its latest earnings missed analyst expectations. Under Helmersson’s stewardship, H & M launched a restructuring plan in 2022 that included reducing its global workforce by around 1,500 positions with the goal of cutting costs and further improving efficiency. For the last three months of 2023, operating profit margin fell to 7.2% from 7.8% in the previous three months. Sales also dropped 4% from Dec. 1 to Jan. 29 — a key holiday shopping period — compared with a year earlier. “Luckily, her successor... already comes with a strong understanding of the group’s strategies, as he was previously head of the H & M brand, though he needs to act fast to win back shoppers.”

Source: ABC News February 01, 2024 05:03 UTC