Companies

Inditex posts sales and profit growth

Jun 8, 2023 Spain

The Spanish-based fashion group posted a sales and net income increase of 13% and 54%, respectively, in the first quarter of 2023, as compared to the same period of last year

In the first quarter of the current fiscal year, which ended on the 30^th of April, Inditex's sales reached 7.6 billion euros, growing by 13%, on a comparable basis to the same period of 2022; in constant currency, sales grew by 14%. The company noted its sales development* was positive in all geographical areas and concepts, and that its Spring/Summer collection had been “very well received by customers”.

The group's gross profit increased by 14% in the first three months of 2023 to 4.6 billion euros, while its gross margin widened by 34 basis points to 60.% from the same period of the previous year.

Inditex posted a first quarter EBITDA increase of 14%, which amounted to 2.2 billion US dollars, and an EBIT rise of 43% in this period to 1.5 billion US dollars, as compared to a similar period in 2022.

In the first quarter of the current fiscal year, the company's net income rose sharply by 54%, totalling 1.2 billion euros, on a comparable basis to the same quarter of the prior year.

Second Quarter Update

The parent company of brands such as Zara and Massimo Dutti also reported that sales in constant currency between the 1^stof May and the 4^th of June increased by 16% compared to a similar period in 2022. Moreover, it arrived in May in Cambodia, with the opening of a Zara flagship in Phnom Penh and the start of online operations in the country.

*Interim Results

Image Credits: whowhatwear.co.uk

Spain Companies Fashion Inditex Quarter Results Results