Zara owner Inditex saw sales rise 7.1% to €27.4bn (£23.4bn) for the first nine months of 2024, driven by strong demand for its autumn winter collections.
The Spanish fashion giant’s gross profit increased rose 7.2% to €16.3bn (£14.0bn), as gross margin remained stable at 59.4%.
Despite challenges faced by other retailers, including poor weather conditions and increased operational costs, Inditex saw positive sales growth across its portfolio of brands, which includes Zara, Massimo Dutti, Pull & Bear, Bershka and Stradivarius.
The group’s operating expenses rose by 7%, below the rate of sales growth, which helped maintain its healthy profit margins. EBITDA increased by 7.2%, while net profit for the period delivered a 8.5% rise to €4.4bn (£3.8bn).
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Inditex said autumn/winter collections across all brands have been “very well received,” with overall sales in constant currency up 9% from November to early December, surpassing expectations.
Online sales contributed a 10.5% increase in total sales for the first nine months of the year.
Looking ahead, Inditex said it “continues to see strong growth opportunities. Our key priorities are to continually improve the fashion proposition, to enhance the customer experience, to increase our focus on sustainability and to preserve the talent and commitment of our people”.
“Prioritising these areas will drive long-term growth. To take our business model to the next level and extend our differentiation further we are developing several initiatives in all key areas for the coming years.”
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