H&M struts to 21% rise in sales

SWEDISH fashion retailer H&M said first quarter sales at its Irish shops rose by 21%.

The company said that its six Irish outlets recorded sales of €9.3 million in the three months to the end of February. This compares to sales of €7.7m in the same quarter last year.

H&M had six stores open in Ireland at the end of the quarter, one more than was opened a year ago.

The company opened its first store in Ireland at the Dundrum Town Centre in 2005. It now has stores dotted across Dublin, Kildare and Limerick.

It is planning more outlets in Ireland with one due to open next year at the former Eircom office site in South King Street in Dublin city centre. The retailer is also believed to be looking at opening a store in Cork.

H&M did not release any profit figures for its Irish shops, though separate Companies Registration Office filings show them to be making money.

H&M, Europe’s second-biggest clothing retailers, made net profits of €246m, 27% higher than a year earlier.

Sales at the company’s 1,351 shops worldwide rose 11% to €1.79 billion.

H&M hired Madonna to brand a collection including trench coats which went on sale last week, and tapped singer Kylie Minogue to model beachwear.

H&M opened its first Asian store in Hong Kong this month and plans three more there later this year.

The company will also open the first of two outlets in Shanghai in April and plans to enter Japan in 2008. Slovakia, Greece and Qatar are all scheduled to get their first H&M outlets this year.

Additional reporting by Bloomberg.