Latest news with #DeutscheBank
Yahoo
7 hours ago
- Business
- Yahoo
H&M sales expected to edge higher as turnaround continues
H&M ( investors will be hoping the high street fashion chain shows it is on the road to recovery next week despite caution among many shoppers. The retailer is expected to report a slight rise in sales for the latest quarter in an update on Thursday June 26 as it continues with its turnaround strategy. It comes after the Swedish firm reported weaker-than-expected sales for the first quarter of its financial year in its previous update in March. H&M saw net sales grow 2% to 55.3 billion Swedish krona (£4.24 billion) for the three months to February 28. However, it flagged that this slowed down to 1% in March amid continued pressure on consumer finances. Sales growth was also knocked by H&M's plans to trim its store estate and help simplify its operations over the past year. H&M said it had 40 net store closures over the quarter and has continued to shut sites in recent months. The overhaul of its store estate is part of a major turnaround plan under Daniel Erver, who became chief executive last year. The group, which also owns & Other Stories and Cos, is seeking to accelerate recent sluggish growth. Deutsche Bank's Adam Cochrane stressed however that trading in the latest quarter is 'unlikely to be the turning point'. He added: 'H&M is progressing through its turnaround but there will be relatively limited evidence of this in Q2, given the unhelpful weather conditions around Europe and the impact of negative currency exchange translation. 'Our updated earnings forecast of 5.6 billion Swedish krona is showing a 21% decline year-on-year, better than 42% in Q1 but still hard to provide evidence of a sustainable turnaround.' Mr Cochrane added that a build up in stock inventory at the end of the first quarter is unlikely to have completely unwound in recent months and could pose 'a further problem' going into the second half of the year. Deutsche Bank predicted H&M would see sales growth slow to 1.5% for the latest quarter but indicated this would be a roughly 5% drop once currency rates are taken into account. Jefferies equity analyst James Grzinic is more pessimistic, pointing to growth of 0.5% for the quarter. He said the brokerage is taking a 'more cautious view' to H&M's recent trading, after signs that the rival Chinese platforms are 'losing momentum' in the US. Meanwhile, fellow rival Inditex ( which owns Zara and Pull & Bear, saw growth slow down to 6% in recent weeks. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
The Independent
8 hours ago
- Business
- The Independent
H&M sales expected to edge higher as turnaround continues
H&M investors will be hoping the high street fashion chain shows it is on the road to recovery next week despite caution among many shoppers. The retailer is expected to report a slight rise in sales for the latest quarter in an update on Thursday June 26 as it continues with its turnaround strategy. It comes after the Swedish firm reported weaker-than-expected sales for the first quarter of its financial year in its previous update in March. H&M saw net sales grow 2% to 55.3 billion Swedish krona (£4.24 billion) for the three months to February 28. However, it flagged that this slowed down to 1% in March amid continued pressure on consumer finances. Sales growth was also knocked by H&M's plans to trim its store estate and help simplify its operations over the past year. H&M said it had 40 net store closures over the quarter and has continued to shut sites in recent months. The overhaul of its store estate is part of a major turnaround plan under Daniel Erver, who became chief executive last year. The group, which also owns & Other Stories and Cos, is seeking to accelerate recent sluggish growth. Deutsche Bank's Adam Cochrane stressed however that trading in the latest quarter is 'unlikely to be the turning point'. He added: 'H&M is progressing through its turnaround but there will be relatively limited evidence of this in Q2, given the unhelpful weather conditions around Europe and the impact of negative currency exchange translation. 'Our updated earnings forecast of 5.6 billion Swedish krona is showing a 21% decline year-on-year, better than 42% in Q1 but still hard to provide evidence of a sustainable turnaround.' Mr Cochrane added that a build up in stock inventory at the end of the first quarter is unlikely to have completely unwound in recent months and could pose 'a further problem' going into the second half of the year. Deutsche Bank predicted H&M would see sales growth slow to 1.5% for the latest quarter but indicated this would be a roughly 5% drop once currency rates are taken into account. Jefferies equity analyst James Grzinic is more pessimistic, pointing to growth of 0.5% for the quarter. He said the brokerage is taking a 'more cautious view' to H&M's recent trading, after signs that the rival Chinese platforms are 'losing momentum' in the US.
Forbes
12 hours ago
- Business
- Forbes
How Customer Trust Can Shield Your Business In A Crisis
If there's one certainty in these volatile times, it is that the threat of large-scale, disruptive cyber-attacks is here to stay. From US school districts to major brands like Marks & Spencer (M&S), Cartier and Adidas, organisations across multiple industries and regions have experienced severe cybersecurity breaches – with fallout lasting weeks and sometimes months. The attackers don't seem to differentiate by size, industry, or age – indeed, even ransomware extortion group Lockbit suffered a breach of their own in May. Any organisation is a potential target and there's no room for complacency. This is now an everyday reality for modern businesses. If there's one certainty in these volatile times, it is that the threat of large-scale, disruptive ... More cyber-attacks is here to stay. Long-term reputational damage The immediate disruption for companies and customers can be severe, ranging from empty supermarket shelves to payment outages and long delays in online orders. Attacks can also result in serious data breaches, potentially heightening the onward risk of fraud attacks against their customers. In the UK, Deutsche Bank estimated that the recent cyberattack and resulting outages have been costing M&S £15m a week in lost profits, and the issue looks set to continue through the summer. And in the long term, disruptions of this scale can often erode consumer trust. Earlier this year, we conducted extensive research into the key factors influencing perceptions of an organisation's reputation, as well as the impact of customer service failures on long-term reputation and customer engagement. Our data shows that 61% of customers who experienced a major customer service failure feel it has eroded their trust in the organisation. What's even more concerning is that 24% of customers have avoided using an organisation after experiencing a major customer service failure, and a further 30% say they will avoid using the business if they can. This highlights the impact on customer confidence that cyber-attacks and other forms of service disruption can have, leading to longstanding reputational damage. Earning goodwill However, organisations that focus on the right things can mitigate these impacts in significant ways. What we have seen from the M&S case is, even while suffering catastrophic financial damages, brands who have achieved consistently high levels of customer satisfaction retain goodwill, loyalty, and even sympathy from their customers. This ultimately should lead to a faster, smoother recovery once things come back online, with – most importantly – a reduced reputational impact. So, what lessons can be learned? For me, it's about building a strong reputation for excellent service, showing that you genuinely care about your customers, and communicating with authenticity and honesty during times of crisis. Embedding a culture of service from the boardroom right down through the business will also better connect your organisation with your customers, which creates a bank of goodwill to fall back on when disaster strikes. The importance of communication Today's consumers are used to receiving constant information and updates. Our risk and reputation research, which I referenced earlier, shows that customers who have experienced a major customer service failure look to their phones, live websites and apps for information and want updates to reach them there. Companies need to meet this demand to retain their support, demonstrate transparency and honesty about the scale of disruption to their services, be clear about the consequences that may have occurred and issue apologies and updates to customers across all available touchpoints to ensure they are kept informed. Additionally, a consistent, human approach to crises can reduce negative responses from many customers and, in many cases, inspires warmth and sympathy for the brand or organisation. And if the disruption is large-scale and likely to create severe negative backlash, having the head of your organisation remain visible and publicly acknowledge the issue adds a personal face to your organisation, which can be critical. Customers who have experienced a major customer service failure look to their phones, live websites ... More and apps for information and want updates to reach them there. No room for complacency All of this being said, brands with a good record of customer service shouldn't be complacent. Consumer patience and understanding will only go so far. Recent developments have served as a wake-up call to many business leaders about the importance of ongoing investment in sophisticated cybersecurity systems and the risks associated with overreliance on technology. Businesses with well-trained service and operational people can adapt in the face of systems failures to ensure the show goes on. Crises are inevitable, whether due to cyber-attacks, power outages or something else unexpected. Brands can't afford to be reactive. How would your organisation respond to a high-profile operational challenge, and will your customers support your recovery or jump ship to a rival given the opportunity?
Yahoo
21 hours ago
- Business
- Yahoo
Enterprise Prices $2B in Senior Notes to Fund Growth, Repay Debt
Enterprise Products Partners has opened a $2 billion public offering of senior notes through its subsidiary, Enterprise Products Operating, the company announced June 17. The offering includes $500 million in notes due in 2028, $750 million due in 2031 and another $750 million due 2036. The sale is expected to close June 20. Enterprise plans to use proceeds from the offering to support growth expenditures, potential acquisitions and the repayment of outstanding debt. The notes will carry fixed interest rates ranging from 4.3% to 5.2%, depending on maturity. Citigroup, BBVA Securities, Deutsche Bank, Scotia Capital and TD Securities acted as joint book-running managers for the offering. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Bloomberg
a day ago
- Business
- Bloomberg
JPMorgan Taps Deutsche Bank's Ordinas in Spanish Wealth Push
JPMorgan Chase & Co. has tapped a Deutsche Bank AG private banker in Spain as part of an expansion push in the country. Miriam Ordinas will join Deutsche Bank's Spanish private banking team, a spokesperson for the lender said Thursday, in a response to questions from Bloomberg.
