H&M, the major fashion retailer with nearly 200 UK stores, has confirmed it will close more stores worldwide after previously shuttering 130 branches. The company, which also owns brands including Cos, Weekday, Other Stories, ARKET, and Singular Society, reduced its global store count from 4,166 to 4,036 in just one year. According to its latest six-month report for 2026, further closures are expected.
New Organisational Strategy
The changes come as H&M rolls out a new organisational strategy to better compete in the fast-changing fast-fashion industry, as reported by Retail Gazette. The company revealed that 97 shops across Asia, Oceania, and Africa have ceased operations, along with 20 stores in Western Europe, 17 in the Nordics, and four in Eastern Europe.
Net Sales and Store Plans
H&M reported net sales of approximately £4.23 billion in its latest quarter ending May 31, which the retailer described as “fairly in line with last year,” despite operating roughly 3% fewer shops. The company plans to close 170 stores this year while opening around 90 new ones, resulting in a net reduction of 80 stores. It has already opened two shops in Southern Europe and eight across North and South America.
Ongoing Portfolio Optimisation
A spokesperson for H&M told The Sun: “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. As part of this ongoing work, we continue to optimise our store portfolio, with stores being opened, upgraded, and closed as needed. Later this year, we will open our first stores in Malta, Paraguay, and Azerbaijan.”
