Hennes & Mauritz, the world’s second-largest apparel retailer, has reported a four per cent rise in sales in November.

H&M says the increase was lower than expected due to unusually mild weather in the northern hemisphere, which lessened customer demand for winter clothing.

Analysts are growing increasingly concerned about H&M’s margins, fearing they will come under pressure if stock has to be discounted to move inventory.

Inditex, the world’s largest apparel retailer, last week reported sales in local currency terms increased 15 per cent in November, despite the weather.

H&M’s net sales in September through November, the company’s fiscal fourth quarter, totalled 48.7 billion Swedish crowns (£3.83 billion), up from a year-ago 42.6 billion but below the mean forecast of 49.6 billion.

Year on year, H&M has added 413 new stores, taking its global network to 3924.