Companies

Inditex reports sales growth of 19%

Dec 15, 2022 Spain

The Spanish-based fashion group reported a sales increase of 19% in the first nine months of 2022, reaching 23.1 billion US dollars, as compared to the same period of last year

"In the current challenging context, these results clearly reflect the strength of our unique business model: fashionable collections, an appealing shopping experience and a team highly committed to achieving profitable and more sustainable growth", commented Óscar García Maceiras, CEO of Inditex.

Nine Months Results

As of the 31^st of October, Inditex's sales totalled 23.1 billion euros, reflecting an increase of 19% (by 20% in constant currency), on a comparable basis to the same period of fiscal 2021. The group noted that sales "were positive in all geographic areas" and that online sales are "progressing satisfactorily", and "above the record figures" recorded in the first nine months of the previous year.

The company's gross profit rose by 19% in the first nine months of the current fiscal year, amounting to 13.5 billion euros, as compared to the same period of the prior year, whereas the gross margin contracted in these months to 58.7% from the 59% gross margin recorded in the first three quarters of 2021.

In the first nine months of 2022, Inditex reported an EBITDA growth of 20% to 6.5 billion euros, and an EBIT increase of 27% to 4.2 billion euros, year-over-year. Profit before taxes amounted to 4.0 billion US dollars in this period, up by 25%, as compared to the same period of last year.

The fashion group also posted a net income of 3.1 billion euros in the first nine months of the current year, which indicates an increase of 24%, on a comparable basis to the same period of 2021.

At the end of the period, Inditex, which owns brands such as Zara and Massimo Dutti, operated 6 307 stores.

Image Credits: designscene.net

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