Helena Helmersson, the chief executive of fast-fashion chain H&M has quit after four years in the role.
The 51-year-old fashion head said she had “mixed feelings” about her departure, but had found the role “very demanding at times”.
She added: “I am very proud of what we together have achieved during the last years when we have navigated through [the] pandemic, and several geopolitical and macroeconomic challenges.”
Shares in H&M dropped by 10 per cent following the announcement.
Industry analysts say the fashion chain is falling behind rivals Zara and Shein.
Who is Helena Helmersson?
The Swedish business executive was born in Skellefteå in northern Sweden.
After graduating with a master’s degree in international business administration at the Umeå School of Business and Economics, she joined H&M in 1997 as a section manager in the buying office.
Following this, she moved to Dhaka in Bangladesh in 2007, where she was H&M’s production manager.
After a further period serving as their department manager for underwear production in Hong Kong, she returned to Stockholm in 2010 to be manager for social responsibility and supply.
Ms Helmersson was appointed CEO of the company in January 2020.
In 2014, she was named Sweden’s “Most Powerful Woman in Business” by the weekly business magazine Veckans Affärer.
Why did Helena Helmersson step down as CEO of H&M?
While Ms Helmersson cited a “demanding” workload, it is suspected that falling sales have led the Swedish business executive to exit the company.
Her departure comes as the high-street brand revealed a slowdown in sales in 2023, including over the Christmas period.
H&M revealed a pre-tax profit of 8.7bn Swedish Krona (£660m) for the year to 30 November, which was slightly below market expectations.
It added that sales are 4 per cent lower for the two months to 29 January this year, after the end of the previous financial year.
In a statement, H&M thanked Ms Helmersson for her “valuable contributions during a very intense time”.
They said: “Helena is an appreciated leader that has decisively and effectively led and navigated the H&M group through a time largely marked by pandemic, geopolitical and macroeconomic challenges.
“During this time, we have gradually taken clear steps towards our long-term goals. The H&M group is in a strong position, with a positive profitability trend and good conditions to make further improvements in 2024.”
Who is her replacement Daniel Ervér?
Daniel Ervér, who has worked for the Swedish chain for 18 years, will step into Helena Helmersson’s role.
The 42-year-old started at the retailer in 2005 as a summer trainee and has held a range of merchandising and purchasing roles across the brand.
Mr Ervér studied for a degree in business administration at the University of Gothenburg.
He became chief executive of the core H&M brand at the start of 2023.
In an interview, Mr Ervér said he wants to ensure H&M is “100 per cent competitive”, including selling some higher-priced items.
“We have developed an extended range of elevated products where we raised the quality”, he said.
“We see a very big interest in products with a wider price range than what we were offering before.”
Karl-Johan Persson, chair of the H&M group, said: “Daniel is a competent, experienced and respected leader and has the qualities needed to continue to develop the H&M group.”
In response to the board’s announcement of his promotion, he said: “I am both honoured and very happy for the board’s confidence and motivated and humbled by the task.
“Together with all committed colleagues, we will continue to create unbeatable value for our customers and profitable growth.
“Our focus will be on offering our customers the best combination of fashion, quality, price and sustainability in an inspiring and attractive shopping environment.”
