Swedish fashion retailer H&M has switched its monthly revenue reporting to quarterly. The new result reporting is expected to help the retailer with its assessments of profit.
Karl-Johan Persson, CEO for H&M, acknowledged that the monthly reporting the company is familiar with is too short of a period to assess how sales are developing.
“A single month’s sales can actually be misleading, since calendar and weather effects – among other things – may significantly affect the outcome.”
“Instead sales development should be viewed over a longer period of time, such as over a season or a quarter,” he said in a statement.
The majority of fashion houses report quarterly to see seasonal patterns in conjunction to the previous years. Now H&M are reported to released their results on the 15 of the quarter months, providing more in-depth information relating back to the business.
As well as the change in reporting, the fashion house will begin holding capital market days for company shareholders.
H&M saw a spike in revenue including value-adding-tax (VAT) by 7 percent during June compared to the same month the previous year.
The total number of stores in the group amounted to 4,517 at the end of June compared to 4,095 the previous year.
H&M is due to open its Wellington store later this year, the opening will come in time for H&M’s newest collection which collaborates with high fashion designer Erdem and director Baz Luhrmann.
H&M’s latest profit after tax report stated a global revenue of SEK$8.35 billion, or NZD$1.3 billion.