(RTTNews) – Shares of Hennes & Mauritz AB or H&M Group (HNNMY.PK, HMRZF.PK, HEN.L) have been dropping round 6 p.c within the early morning buying and selling in Stockholm after the Swedish clothes main reported Thursday weak revenue and gross sales in its third quarter. Wanting forward, the corporate initiatives greater gross sales within the month of September.
Individually, that firm’s board of administrators has determined to purchase again H&M class B shares for 1 billion Swedish kronor, based mostly on the authorisation granted by the annual basic assembly. The share buyback is beginning as we speak and persevering with till no later than November 26.
With this system, H&M plans to switch capital to the shareholders and regulate the corporate’s capital construction. The entire variety of shares in H&M is 1.61 billion of which 194.40 million are A shares and 1.42 billion are B shares. H&M at the moment holds none of its personal shares.
Within the third quarter, H&M’s revenue attributable to shareholders fell to 2.32 billion kronor from final yr’s 3.33 billion kronor. Earnings per share have been 1.44 kronor, down from 2.04 kronor a yr in the past.
Working revenue amounted to three.51 billion kronor, decrease than prior yr’s 4.75 billion kronor. Working margin was 5.9 p.c, down from 7.8 p.c a yr in the past.
The H&M group’s internet gross sales within the third quarter declined to 59.01 billion kronor from 60.90 billion kronor final yr. In native currencies, internet gross sales have been flat in contrast with the earlier yr.
Relating to the present quarter, H&M famous that the autumn assortment has been very properly obtained and gross sales within the month of September 2024 are anticipated to extend by 11 p.c in native currencies from the identical interval final yr.
The price of markdowns in relation to gross sales within the fourth quarter is anticipated to extend considerably in contrast with the earlier yr.
In Stockholm, H & M shares have been buying and selling at 169.85 kronor, down 6.34 p.c.
For extra earnings information, earnings calendar, and earnings for shares, go to rttnews.com.
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