Europe's second biggest merchandiser of clothing and apparel Hennes & Mauritz AB said that its sales for the month of June are promising. This announcement comes after the company scared investors after posting a dismal performance during its quarterly report.
The company said that sales from June 1 until June 17 rose by 14 percent compared to its previous revenue report. Analysts said that if the company continues the trend, it could potentially be the clothing company's best performance and strongest growth since September. In the local Stockholm trading, H&M rose to as much as 2.3 percent.
The company's sales were affected by the unprecedented strength of the local currency - the Swedish krona and the long time decline of the European general economy.
The company also blames the weather in the country, which they say is unseasonable. Their sales fell to about 11 percent in the second quarter.
Anne Critchlow, analyst at Societe Generale, is optimistic about the company, saying "there is likely to be some pent-up demand for summer clothing coming through now."
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