More records for Inditex in H1, autumn/winter lines “well received” so expect hotter H2
More records broken at Inditex. The Spanish fashion giant’s CEO Pablo Isla said its “strong first-half” is the result of a “solid sales and operating performance arising from the unique strength of the group’s integrated and sustainable business model”. Hardly illuminating, but then Indetex’s results do tend to speak for themselves.
Net sales rose by 3% in the February 1- July 31 period, to a record €12.03bn, underpinned by growth across all of its geographical markets, it noted. This was in spite of the strength of the euro, with sales growth in local currencies of 8%, it added. Same-store sales also grew 4%.
Combined with solid operating performance, net profit hit €1.4bn, up 3% from a year earlier.
For good measure, autumn/winter initial collections “have been well received”, it added, with the group also forecasting comp sales growing an even better 4-6% for H2.
By the end of H1, the group operated 7,422 stores in 96 markets with fully integrated online sales in 49 of those markets.
Inditex also said it continues to roll out its integrated stock management system already in place in Zara stores in 25 markets, with plans to be in all of Zara’s 48 markets in which it sells online by the end of the year, and across all of the group’s brands by 2020.
Also by 2020, the group reiterated its plan to sell all its brands online throughout the world as well as to complete its eco-efficient store plan.