How has H&M’s Q4 sales impacted share price?
Swedish clothing retailer H&M has given a preview of its Q4 earnings, which is below industry estimates.
Swedish fashion retailer Hennes & Mauritz AB (H&M) revealed on Monday, 16 December, that sales for the fourth quarter of 2019 grew nine percent over the same period last year.
Sales for the three months ending 30 November has reached 61.7 billion Swedish krona (US$6.56 billion), which is below industry expectations by seven percent.
A FactSet poll of 15 analysts had put the estimate at 66.06 krona.
According to the company, the lower sales were due to ‘calendar effects’.
‘Sales development for the quarter compared with the previous year was affected by calendar effects, mainly because Black Friday this year fell a week later, i.e. just before the end of the month of November,’ the company said in a statement.
‘Therefore some of the big Black Friday online sales will not be recognised until December,’ H&M added.
Following the statement, H&M’s share price opened Monday’s market at 190.50 krona per share, slightly below last week’s closing price. As at 9.53m Stockholm time, price had climbed to 193.10 krona.
Year-on-year, the mass clothing brand’s share price is up 22%.
The company’s full Q4 financial report will be released on 30 January.
IGA, may distribute information/research produced by its respective foreign affiliates within the IG Group of companies pursuant to an arrangement under Regulation 32C of the Financial Advisers Regulations. Where the research is distributed in Singapore to a person who is not an Accredited Investor, Expert Investor or an Institutional Investor, IGA accepts legal responsibility for the contents of the report to such persons only to the extent required by law. Singapore recipients should contact IGA at 6390 5118 for matters arising from, or in connection with the information distributed.
The information/research herein is prepared by IG Asia Pte Ltd (IGA) and its foreign affiliated companies (collectively known as the IG Group) and is intended for general circulation only. It does not take into account the specific investment objectives, financial situation, or particular needs of any particular person. You should take into account your specific investment objectives, financial situation, and particular needs before making a commitment to trade, including seeking advice from an independent financial adviser regarding the suitability of the investment, under a separate engagement, as you deem fit.
Please see important Research Disclaimer.
Seize a share opportunity today
Go long or short on thousands of international stocks.
- Increase your market exposure with leverage
- Get spreads from just 0.1% on major global shares
- Trade CFDs straight into order books with direct market access
Live prices on most popular markets
Prices above are subject to our website terms and agreements. Prices are indicative only. All shares prices are delayed by at least 15 mins.