HALF-YEAR REPORT 1 December 2004 – 31 May 2005

• Turnover for the H&M Group excluding VAT amounted to SEK 28,095 M (24,981), an increase of 12 per cent. With comparable currency rates, the increase was 13 per cent.

• Profit after financial items for the half-year was SEK 5,931 M (4,497), an increase of 32 per cent. Group profit after estimated tax was SEK 3,855 M (2,923), corresponding to SEK 4.66 (3.53) per share.

• Turnover for the second quarter excluding VAT amounted to SEK 15,486 M (13,225), an increase of 17 per cent compared with previous year. With comparable currency rates the increase was 18 per cent.

• Profit after financial items for the second quarter was SEK 3,623 M (SEK 2,709), an increase of 34 per cent.

• Well received collections have contributed to the Group’s best operating margin in a second quarter.

• The increase in turnover for the month of May was 18 per cent with comparable currency rates.

Contact persons:

Carl-Henric Enhörning, IR +46 8 796 54 10
Leif Persson, CFO +46 8 796 13 00
Rolf Eriksen, CEO +46 8 796 52 33
Switchboard +46 8 796 55 00