H&M’s fourth quarter net sales rose y 12 per cent to SEK 56.4 billion. Its online sales rose by 24 per cent in SEK. Gross profit in the quarter reached SEK 30.6 billion, with a gross margin of 54.2 per cent, as the cost of markdowns declined by 0.6 percentage points. Quarterly profit after financial items declined 11 per cent to SEK 4.35 billion.

For the full year, net sales increased 5 per cent to SEK 210.4 billion, with sales and market share rising in most markets during the second half, the company also said. Its online sales increased by 22 per cent to about SEK 30 billion, reaching 14.5 percent of total sales. Gross profit for 2018 was SEK 110.9 billion as gross margin reached 52.7 per cent. Profit after financial items was SEK 15.6 billion and profit after tax was SEK 12.65 billion.

The company plans 175 new stores in 2019, with about 335 new stores opening, of which 240 will be H&M stores, with a focus on growth markets.