Inditex Reports Strong First Half Sales
Inditex, the world’s largest fashion retailer known for brands like Zara, Massimo Dutti, and Bershka, has maintained its impressive performance, revealing a significant 13.5% surge in first-half sales, totaling €16.9 billion (£14.6 billion).
Positive Response to Spring/Summer Collections
Inditex attributed this growth to the positive reception of its Spring/Summer collections between February and July 31. Customers embraced these collections enthusiastically, leading to robust sales in all regions where the company operates. Additionally, gross profit increased by 14.1% to reach €9.8 billion.
Resilience Despite Economic Challenges
Remarkably, Inditex’s growth remains robust even in the face of the ongoing cost of living crisis, which has affected some other High Street brands adversely.
Commitment to Creativity and Sustainability
Inditex’s CEO, Óscar García Maceiras, emphasized the company’s unwavering dedication to creativity, quality, customer experience, and sustainability. This commitment forms the core of their strategic approach, propelling the business to new heights.
Strong Performance Beyond the First Half
Inditex’s positive momentum extends beyond the first half of the year, with both in-store and online sales in constant currency seeing a remarkable 14% increase between August and September 11 compared to the previous year.
Aarin Chiekrie, an equity analyst at Hargreaves Lansdown, commended Inditex’s continued strong performance, noting that its sales growth continues to outpace higher operating costs.
Victoria Scholar, Head of Investment at Interactive Investor, acknowledged Inditex’s achievements but cautioned about potential challenges ahead. She highlighted a stronger euro as a key headwind to watch and the possibility of weakened consumer demand.