The Swedish company has reported 3.4 billion euros worth of apparel stocks, a volume which has risen 7% in the last year. As a number of media outlets highlight the problem, H&M continues to announce markdowns.
Q4 was a challenging time for H&M as its core chain resorted to major markdowns. But the firm is upbeat, seeing plenty of growth potential through new brands, new markets and both the store and digital channels.
H&M will unveil another new brand next year with e-tail and pop-up label Nyden. It will be a launch with a twist as the Millennial-focused brand goes for co-creation, authenticity and speed - but not 'fast fashion'.