H&M to introduce interiors to Ireland with relaunch of Cork store
The move comes as the retailer announces a new state-of-the-art fit-out for its southern store which will include its first physical Home offering
H&M Opera Lane Cork is relaunching with the Swedish company’s Home concept and experiential services. The store, the brand says, will offer a world-leading interior look and feel for them, including the introduction of H&M Home, new click-and-collect lockers and self-service checkouts. Up until now, Irish customers have only be able to browse H&M Home online. The Cork space, featuring both H&M and H&M Home, will open on 8 September with a Dublin store to also introduce H&M Home later this year. Henrik Nordvall, Country Manager at H&M UK & Ireland said: “We are really excited to bolster our offering in Ireland by introducing our much-loved H&M Home to the market. Launching first in Cork in September then later this year in Dublin, our Irish customers will be able to enjoy curated collections of contemporary décor and home accessories alongside our latest fashion collections and styles.”
In June, Hennes & Mauritz AB shares rallied after the Swedish fast-fashion retailer made progress reducing a long-standing inventory build-up, leading to greater optimism profitability will improve. Operating profit fell less than analysts expected in the three months through May, helped by cost savings, the clothing retailer said Thursday. H&M said it’s on track to reduce inventory further after a 20 per cent reduction to the lowest level since the Covid-19 pandemic. The stock rose as much as 20 per cent, adding more than €3.8 billion to the company’s market value.
In her fourth year leading the retailer, Chief Executive Officer Helena Helmersson is reducing a pile of unsold clothes that has been plaguing the company since 2016. The retailer is also closing 200 underperforming stores this year and opening 100 in better locations. H&M said the spring-summer season has started well, with sales up 10 per cent in June.
Low-cost clothing is luring shoppers as consumers suffer a cost-of-living crisis. Primark said in early June sales jumped 7 per cent on a like-for-like basis in the three months through May. H&M has been offering ultra-low prices on products as online upstart Shein undercuts its offerings.
“Buying power, in general, has decreased, but that also brings some opportunities for us,” Helmersson said at a press conference.
The company has been making savings with a plan to eliminate 1,500 jobs, and cost cuts should reach 2 billion kronor (€165 million) on an annual level later this year. H&M is keeping its target of an operating margin of at least 10 per cent next year, the CEO added. The last time profitability was that high was in 2017.
“It’s a challenging target, but we’re focusing on reaching it,” Helmersson said in an interview. “Double-digit is what we’ve been saying.”
Additional reporting by Bloomberg
