Inditex, owner of Zara, Bershka, Pull&Bear and more, reported a “very robust operating performance” during the first quarter of 2024, with sales up by 7.1% to reach £6.9 billion (€8.2 billion).
The company put its boost in sales down to “the creativity of the teams and the strong execution of the fully integrated business model”.
Gross profit increased by 7.3% to £4.1 billion (€4.9 billion) and gross margin reached 60.6%. EBITDA increased 8% to £2 billion (€2.4 billion). EBIT increased 10.3% to €1.6 billion. Net income increased 10.8% to £1.1 billion (€1.3 billion).
During the first three months of 2024, the company opened stores in 28 markets. At the end of the period, Inditex operated 5,698 stores.
Looking ahead, Inditex expects a -2% currency impact on sales in FY2024 and a stable gross margin (+/-50 bps).
Given the strong future growth opportunities, the company is implementing a logistics expansion plan in 2024 and 2025. This two-year investment programme, which focuses on the expansion of the business, allocates £766 million (€900 million) per year. These investments will have the highest standards of sustainability and use the most up-to-date technology.
In a statement, Inditex said: “We will continue to offer the best shopping experience to our customers, both in our stores and on our online platforms”.
