A hot start to September wilted sales at Swedish fast-fashion chain H&M and profit suffered as a result.
The retailer revealed Friday that unseasonably hot weather, increased markdowns and a strong U.S. dollar that put pressure on purchasing costs combined to cut its third-quarter profit by 9 percent to 4.82 billion Swedish kronor ($561 million), down from last year’s 5.3 billion Swedish kronor ($617 million).
The group’s sales including VAT increased by a less-than-expected 6 percent in the three months ended Aug. 31, reaching 56.8 billion Swedish kronor ($6.6 billion). In local currencies, that increase was 8 percent.
Read more at Sourcing Journal.