H&M Group Ventures has invested in Centra, a Swedish ecommerce platform that helps fashion brands manage multiple sales channels. This investment will help H&M improve its online shopping experience. Centra’s platform is designed to be customer-focused, making it easier for brands to offer personalized shopping experiences.
Expanding Luxury Fashion Presence
H&M’s luxury fashion brands, such as COS, Arket, &Other Stories, and Weekday, are growing rapidly. Arket has opened new stores in Spain, Italy, and Poland. COS has entered the Mexican market and expanded its online presence in Australia and New Zealand through Iconic.com. &Other Stories has opened its first store in Switzerland and increased its digital presence in emerging markets.
Other recent investments by H&M include:
- 4.6 million euros in Cult Mia, a British luxury fashion brand, in 2024
- Investment in Sellpy, a Swedish second-hand clothing platform, since 2015, making it the majority shareholder
This investment has paid off, with a 150% increase in profits in the first quarter of 2023.
Financial Performance
H&M reported a net profit of 1.01 billion euros in 2024, a 33% increase from the previous year. Despite a slight decline in sales, the company is restructuring, with plans to close 190 stores this year. H&M is also focusing on omnichannel retailing and expanding into emerging markets like Brazil.
These investments show H&M’s strategy to adapt to a changing market, expand its product range, and strengthen its digital and sustainable presence.