Karl Lagerfeld boosts H&M sales

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Clothes designed by Karl Lagerfeld helped to boost sales at Hennes & Mauritz by 24 per cent year-on-year in November, Europe’s biggest fashion retailer revealed on Wednesday.

The specially designed Lagerfeld collection contributed to the Swedish group’s biggest November sale for two years. In October, sales at the Stockholm-based retailer, grew by 9 per cent.

In the same period in the previous year the company saw sales increase by just 4 per cent. That figure, however, was particularly weak analysts at Credit Suisse First Boston said.

The sales increase may also have been inflated by store openings over the year which has seen the group expand its retail space by 13 per cent.

The collaboration with the Chanel creative director, which the company said was worth between SKr300-400m ($45m-$60m), was heavily promoted and the collection sold out on the first day at some Hennes & Mauritz stores.

Although the company did not give any regional breakdowns or details about how it will affect the company’s full year results, which are not due until late January, shares in the company had risen by 3.4 per cent to SKr226 by late morning.

The company has benefited from the fall of the dollar against the krona which has made Asian textiles, which are usually priced in dollars, cheaper.

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