H&M Group has revealed its gross profits increased by 52.2% to £4.36bn in the six months to 31 May.
Profits after tax increased by 33% to £390m in the second quarter, on the back of a 17% rise in sales to £4.47bn, excluding Russia, Belarus and Ukraine sales.
Net sales increased by 20% to £8.4bn, while operating profit during the six months rose to £400m corresponding to an operating margin of 5.3%.
H&M Group also reported better-than-expected sales in the three months to 31 May with a 12% rise.
The group has also announced that it would acquire £240m worth of its own shares, returning cash to the shareholders.
Helena Helmersson, CEO, said: “Well-received collections have led to strong development, with a further increase in full-price sales and decrease in markdowns. Sales in physical stores increased substantially while online continues to do well.
“This once again shows the value of having both physical and digital channels which strengthen and complement each other. The integration of the sales channels is therefore ongoing, in parallel with continual initiatives – in particular within tech, the supply chain and sustainability.”
She added: “Although most of the restrictions associated with the Covid-19 pandemic essentially seem to be over, many challenges remain. Disruption and delays still exist in the supply chain, but are gradually being eased. At the same time, there is substantial inflation.
“The situation associated with the war in Ukraine and its consequences for our business are continually being evaluated. We are actively looking at various options to find solutions that give consideration to customers and colleagues as well as the impact on the business as a whole.”