H&M reported rising earnings as its cost-saving initiatives began to yield results. The company is cutting its reliance on Asian supply chains to speed up delivery of new collections, limiting overstocking and reducing discounting. This strategic shift aims to improve inventory management and enhance profitability by aligning supply more closely with consumer demand.

The move reflects a broader trend among retailers to diversify sourcing and increase agility in response to global supply chain disruptions and changing market dynamics.