Swedish fashion retailer H&M has reported stronger-than-expected profit growth for the third quarter, with operating earnings surging 40% to 4.9 billion Swedish kronor (€440 million). The company's net profit reached 3.2 billion kronor, up from 2.3 billion kronor in the same period last year, indicating that its strategic shift toward focusing on its core brand is beginning to yield results. The positive earnings surprise sent H&M's shares climbing 12% at market opening.

The profit improvement came despite a slight decline in revenue, which fell from 59 billion to 57 billion kronor. The company attributed the revenue contraction primarily to negative currency effects, with exchange rate movements accounting for approximately five percentage points of the decline. Additionally, H&M reduced its store count by 4% during the period. On a currency-adjusted basis, the retailer actually achieved a modest 2% sales increase, which management suggested was supported by enhanced marketing efforts.

Inventory management showed significant improvement, with available merchandise declining by 9%, pointing to more efficient supply chain operations. The company also reported that its autumn collection has been well-received by customers so far. For September, H&M anticipates currency-adjusted sales to be in line with the previous year's level, though it noted this comparison is against a particularly strong September 2022 when cold weather drove an 11% sales increase.

The positive results from H&M follow recent encouraging signals from the broader fashion retail sector. Earlier this month, Inditex, the Spanish parent company of rival Zara, reported a stronger-than-expected start to the autumn season. The Spanish retailer has consistently outperformed H&M in growth metrics in recent years, benefiting from its lean supply chain and faster fashion cycle. H&M's latest performance suggests the Swedish company may be closing the competitive gap through its renewed focus on brand strength and operational efficiency.

Swedish digital asset manager Virtune has launched what it claims is Europe's most cost-efficient Sui exchange-traded product (ETP) on Euronext Paris, marking another step in the company's expansion across European markets. The Virtune Sui ETP, with the ticker VRTU, provides investors with exposure to the Sui cryptocurrency through a regulated, physically backed investment vehicle. This launch comes as Virtune continues to build its position as one of the leading issuers of regulated crypto ETPs in Europe.

The new ETP features an industry-leading 0.95% annual management fee, making it the most cost-efficient Sui ETP available to European investors. Virtune plans to further expand the product's distribution by listing it on local German exchanges, including gettex and Tradegate, to improve accessibility for German investors. The company has established itself as a trusted provider in the digital asset space, serving over 150,000 investors since its launch just over two years ago.

Security and regulatory compliance remain central to Virtune's approach, with Coinbase serving as the crypto custodian for all of the company's ETPs. The underlying crypto assets are held in cold storage, providing institutional-grade security for investors. This infrastructure supports Virtune's commitment to offering European investors secure, transparent, and regulated access to digital asset markets through traditional investment channels.

Christopher Kock, CEO of Virtune, emphasized the company's mission to make innovative digital assets more accessible to investors. "We are excited to launch the most cost-efficient Sui ETP in Europe, reinforcing our mission to make innovative digital assets more accessible to investors," Kock stated. The launch strengthens Virtune's position as it manages more than $475 million in assets across its product offerings, continuing its growth trajectory in the European digital asset management landscape.