Positive Outlook for 2023 Despite Russian Operations Impact

  • H&M’s net sales increase by 12% to SEK 223bn (£176bn) in FY22
  • Excluding Russia, Belarus and Ukraine, the increase was 15% in SEK and 8% in local currencies
  • One-time costs of SEK 2.6bn for winding down Russian operations impacted results
  • Operating profit at SEK 7.2bn (£5.6bn) with a 3.2% operating margin
  • Adjusted operating profit at SEK 9.8bn (£7.7bn) and 4.4% margin
  • Group’s profit after tax at SEK 3.6bn (£2.8bn) per share
  • CEO Helena Helmersson remains optimistic about 2023 sales and profitability

H&M has reported a 12% increase in net sales to SEK 223bn (£176bn) for the year ended November 30, 2022. Excluding Russia, Belarus, and Ukraine, the growth was 15% in SEK and 8% in local currencies. One-time costs of SEK 2.6bn (£2bn) affected the results due to winding down Russian operations. The company’s operating profit stood at SEK 7.2bn (£5.6bn), with a 3.2% margin. Adjusted for one-time costs, it was SEK 9.8bn (£7.7bn) and a 4.4% margin. The group’s profit after tax was SEK 3.6bn (£2.8bn) per share. CEO Helena Helmersson remains optimistic about sales and improved profitability in 2023.

Factuality Level: 10
Factuality Justification: The article provides accurate information about H&M’s financial performance, including net sales, profit margins, and the CEO’s statement on future prospects. It is based on a press release from the company and does not contain any irrelevant or misleading details, sensationalism, redundancy, personal opinions, or logical errors.
Noise Level: 7
Noise Justification: The article provides relevant information about H&M’s financial performance, including net sales, profit margins, and the CEO’s outlook for future growth. However, it lacks a deeper analysis of long-term trends or possibilities, accountability, scientific rigor, and actionable insights.
Financial Relevance: Yes
Financial Markets Impacted: H&M’s stock price and fashion retail industry
Financial Rating Justification: The article discusses H&M’s financial performance, including net sales, operating profit, and margin, which directly pertains to financial topics. Additionally, the impact on financial markets could be seen in the company’s stock price and the broader fashion retail industry.
Presence Of Extreme Event: No
Nature Of Extreme Event: No
Impact Rating Of The Extreme Event: No
Extreme Rating Justification:

Reported publicly: www.retailsector.co.uk