the Swedish mass-market H&M announced the drop in profits by 44 percent in the first quarter of 2018, which was the lowest figure for the last 20 years. About it reports The Fashion Law.
By the end of 2017 at the company’s warehouses remained unsold products worth over four billion dollars.
According to General Director Karl-Johan Presson, the main cause of the problem was narrowing the range in the stores. 43-year-old billionaire hopes that sales will grow in the second half of 2018. “While growth is slow. But we are working hard on it,” he said.
In particular, Presson going to exclude discounts on products. He also suggests that the costs associated with the manufacture of clothing, will decrease due to the weakening dollar. In addition, the planned opening of a new retailer Afound that will sell products of different brands, including H&M.