H&M slows profits slump in Q1

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World number two clothes retailer H&M has reported a smaller than expected fall in Q1 profits, despite lower sales in March.

The company blames higher purchasing costs and a strong dollar for its recent weaker performances, but says this should have worked its way out of the system by Q4. With most of its production based in Asia, where the dollar is the preferred means of payment, H&M has suffered compared to rival Inditex’s European factories.