Inditex attributes first quarter results to strong store productivity

Madrid, June 7 (EFECOM).- Inditex has attributed the record net profit of 1,168 million euros in its first fiscal quarter (54% more from February to April) to the “strong productivity” of the stores “beyond growth of the commercial surface”, according to the director of Capital Markets of the company, Marcos López.

This manager explained to analysts that the growth this quarter comes mainly from sales obtained in stores compared to previous periods.

The fashion multinational shot its sales above 7,600 million (13% more year-on-year) in its first fiscal quarter.

Inditex’s CEO, Óscar García Maceiras, highlighted the company’s activity in Spain at the conference with analysts and stated that he expects it to continue “in this line” in the second quarter of the year.

“We have come from launching important Zara projects”, García Maceiras commented on places such as the Plaza de España in Madrid and the one in Valencia with the Juan de Austria store, and has assured that they will continue to be “very active” in that sense.

Zara in the Plaza del Duque in Seville highlighted these projects and specified that they are “bigger, better and nicer stores in the best locations”.

For the second fiscal quarter, Inditex has already achieved a 16% increase in store and online sales at a constant exchange rate between May 1 and June 4, 2023 compared to the same period in 2022.

All this occurs in a context in which Inditex has 5,801 stores open in 213 markets as of April 30 (622 stores less than on April 30, 2022), but with a gross growth in space in 2023 that will be around 3 %.

Inditex expects the contribution of space for sale “to be positive” in 2023 and explains that “it continues to experience a very positive evolution” in online sales, of which it estimates a “growing share” in the group’s total sales. EFECOM

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