FULL YEAR RESULTS 1 December 2002 to 30 November 2003

• Group turnover for the year amounted to SEK 56,550 m (53,332) including VAT, an increase of 6 per cent compared to last year. With comparable exchange rates, the increase was 9 per cent. Turnover excluding VAT was SEK 48,238 m (45,522).

• Profit after financial items was SEK 9,609 m (8,629). Group profit after tax increased by 12 per cent and amounted to SEK 6,386 m (5,687) corresponding to SEK 7.72 (6.87) per share.

• Operating profit and operating margin has improved further in all markets and are the best the Group has reached.

• Turnover for the fourth quarter increased by 2 per cent (with comparable exchange rates 7 per cent) and amounted to SEK 16,316 m (15,963) including VAT. Turnover excluding VAT was SEK 13,923 m (13,638).

• Profit after financial items for the fourth quarter was SEK 3,274 m (3,404).

• Increased expansion. In 2004, 140 stores are planned to open, among those five stores in Canada and two stores on the new market Slovenia.

• The Board of Directors proposes a regular dividend of SEK 2.90 (2.60) per share and in addition a bonus dividend of SEK 3.10 (3.40) per share, a total of SEK 6.00 (6.00) per share.

Stockholm, 29 January 2004

The Board of Directors

Contact persons:
Carl-Henric Enhörning, IR +46-8-796 5410
Leif Persson, CFO +46-8-796 1300
Rolf Eriksen, CEO +46-8-796 5233
Switchboard +46-8-796 5500

Background information about H&M and press pictures may be found on
www.hm.com