H&M (STO: HM-B) 1Q18 Sales Update: Very Weak Performance Despite Solid Growth in Store Numbers

Executive Summary

• H&M reported that total 1Q18 sales growth was flat in constant-currency terms.
• In reporting currency, sales excluding VAT declined by 1.7%. Including VAT, sales declined by 1.5% in the quarter.
• The total number of stores grew by 8.0% year over year, to 4,743, as of February 28, 2018.