Companies

Inditex continues to grow

Sep 13, 2024 Spain

The Spain-based fashion group has reported a strong performance in the first half of the year, with sales and net income up by 7.2% and 10.1%, respectively, on the same period of last year

“The design and quality of our fashion proposition and the experience we offer our customers are, together with the efficiency and increasing sustainability of our operations, the keys to the solidity of these results. Our fully integrated model continues to generate opportunities for profitable growth across all concepts, regions and channels”, commented Óscar García Maceiras, CEO of Inditex.

First Half Results

In the first half of 2024, the group’s sales reached 18.1 billion euros, an increase of 7.2%, or by 10.2% on a constant currency basis, as compared to the same period of last year.

According to Inditex, these figures show a “very satisfactory development both in stores and online”. Sales were also positive in all concepts. At the end of July, new stores were opened in 34 markets, bringing the total number of stores to 5,667.

On a comparable basis to the first half of 2023, Inditex’s gross profit grew by 7.5% to 10.5 billion euros in the first six months of the year, and its gross margin widened by 19 basis points to 58.3%.

The fashion group continues to show strong profitability. In the first half of the year, EBITDA increased by 8.1% to 5.0 billion euros, EBIT increased by 11.9% to 3.5 billion euros and pre-tax profit increased by 10.6% to 3.6 billion euros, as compared to the same period of the prior year.

Overall, Inditex’s first half net income totalled 2.8 billion euros, an increase of 10.1% over the same period last year.

Update

The company reported that “the Autumn/Winter collections have been very well received by our customers”, culminating in net sales growth of 11% on a constant currency basis between the 1^stof August and the 8^thof September, as compared to the same period of 2023.

Image Credits: fashiongonerogue.com

Spain Fashion Inditex Quarter Results Results