Mubasher: Hennes & Mauritz Company’s (H&M) profits decreased during the first quarter of fiscal year 2017 due to slower sales growth and fierce competition.
The company’s net profits from December 2016 to February 2017 stood at SEK 2.46 billion ($277.1 million) compared to SEK 2.55 billion ($286.5 million) in the same period in the year before, showing a drop of 3%, the company announced on Thursday.
The analysts expected that profits will reach SEK 2.34 billion.
H&M stated that the clothing retail market is struggling in many major markets in central and southern Europe and the US, which negatively impacted sales.
The company’s stock dropped 3.2% at the beginning of Thursday’s trading session to SEK 229.6 in Nasdaq Stockholm.
