Fashion giant H&M has announced it will close more than 130 stores globally as part of an ongoing effort to remain competitive in the evolving retail landscape. The Swedish company, founded by Erling Persson in 1947, previously revealed plans to reduce its portfolio across all its brands—including Cos, Weekday, & Other Stories, Arket, and H&M Home—by 128 locations over a 12-month period. The new closures add to that total, with the retailer's half-year report confirming that further site reductions are underway.
Store Closures by Region
According to H&M's half-year report, the company has already closed 97 stores in its Asia, Oceania, and Africa markets. In Western Europe, 20 stores were shut, while 17 closures occurred in the Nordics and four in Eastern Europe. These closures have reduced H&M's total store count from 4,166 to 4,036 over the past year.
Company Statement on Portfolio Optimization
“At H&M Group, we continuously evaluate and develop our store portfolio to meet our customers' needs and offer the best possible shopping experience, both online and in our physical stores,” a spokesperson for the company told The Sun. “As part of this ongoing work, we continue to optimise our store portfolio, with stores being opened, upgraded, and closed as needed.”
New Openings and Net Reduction
Despite the closures, H&M's organizational strategy also involves opening approximately 90 new stores this year. However, the planned closure of 170 sites will result in a net reduction of 80 stores. The retailer recently opened two stores in Southern Europe and eight new sites across North and South America. Additionally, H&M will open its first stores in Malta, Paraguay, and Azerbaijan later this year.
Impact on Retail Landscape
The closures reflect broader trends in the fashion retail industry, where companies are increasingly focusing on online sales and optimizing physical store networks. H&M's move to close more than 130 stores underscores its commitment to adapting to changing consumer behaviors and maintaining financial stability in a highly competitive market.
