December 15, 2020 14:00
Shares of Hennes & Mauritz AB (H&M) fell more than 3% on the Stockholm Stock Exchange after presenting results still heavily hurt by the pandemic:
- Its local currency sales fell 10% in its fourth fiscal quarter
- It fell 19% in the third quarter
- Its turnover fell 50% in the second quarter
In the whole of the fiscal year (December-November) the fashion chain recorded a drop in sales of 18% year-on-year, to 187,025 million Swedish crowns (18,288 million euros), due to the impact of the mobility restrictions imposed to stop the spread of the coronavirus.
Source: Admiral Markets MetaTrader 5. Weekly CFD H&M chart. Data range: from November 22, 2015 to December 15, 2020. Prepared on December 15, 2020 at 12:30 p.m. Keep in mind that past returns do not guarantee future returns.
Due to the impact of the pandemic, H&M has fallen about 8% on the stock market so far in 2020, although it was coming off a long-term downtrend. In the past five years it has lost 46% of its value and only closed the year 2019 positively, with an increase of 51%.
Another textile company that has presented results is Inditex, owner of Zara, which in the first nine months of its fiscal year (February-October) had a turnover of 28.9% less than a year earlier, although in the third quarter it managed to overcome the losses it had registered in the first six months. Its shares, like those of H&M, fell about 3% on the Madrid Stock Exchange.
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