Swedish retailer H&M has continued on its winning streak in SA, dodging the malaise to which domestic retail players have succumbed. In the first quarter of its 2017 financial year, H&M’s sales increased 39% in rand terms to about R356m from the nine stores it has in operation. H&M SA opened its 10th store in Nelspruit last week. Its 11th store will be opened in Polokwane at the Mall of the North on April 8. Europe’s second-largest retailer is one of many global players who have moved to SA in a bid to increase market share and search for untapped markets in the hopes of bolstering performance. Mergence equity analyst Peter Takaendesa said H&M was growing faster than bigger local retailers due to a combination of strong investment into new stores, effective marketing and "possibly better positioned product offering". H&M’s results have come at the expense of Woolworths, Truworths and Mr Price who released less than stellar trading updates and results earlier in 2017. "We estimate th...

BL Premium

This article is reserved for our subscribers.

A subscription helps you enjoy the best of our business content every day along with benefits such as exclusive Financial Times articles, ProfileData financial data, and digital access to the Sunday Times and Sunday Times Daily.

Already subscribed? Simply sign in below.



Questions or problems? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now