Inditex, the owner of Zara, reported notable growth in profits and revenue for the first half of 2024, driven by successful sales of its spring/summer collections.
- Revenue for Inditex increased by 7.2% year-on-year, reaching €18.1bn, thanks to robust demand for Zara’s offerings.
- Gross profit rose by 7.5% year-on-year to €10.5bn, alongside an 8.1% increase in EBITDA to €5bn, reflecting the company’s solid financial performance.
- Zara, as Inditex’s leading brand, saw a 5.4% rise in net sales, totaling €13m, contributing significantly to the group’s success.
- Store and online sales from August to September 2024 were up 11% compared to the previous year, showcasing the continued appeal of Inditex’s collections.
In the first half of 2024, Inditex, known for its leading brand Zara, delivered a substantial increase in both revenue and profits, reinforcing its position as a dominant player in the fashion industry. The company achieved a 7.2% year-on-year growth in revenue, culminating in €18.1bn. This growth is attributed largely to the strong performance of its spring/summer collections, which were well received by consumers.
The company’s gross profit rose to €10.5bn, marking a 7.5% year-on-year increase, while EBITDA, a key measure of profitability, climbed by 8.1% to €5bn. These figures demonstrate Inditex’s robust financial health and effective business strategies. With the success seen in its spring/summer offerings, the company is observing similar trends in its autumn/winter collections, with an 11% increase in store and online sales from August to September 2024 compared to the previous year.
Zara continues to be the top-performing brand in the Inditex portfolio, recording a 5.4% rise in net sales to €13m. This performance is indicative of the brand’s enduring popularity and strategic position within the market. Inditex’s portfolio also includes other well-known brands like Pull & Bear, Massimo Dutti, Oysho, Bershka, and Stradivarius.
As of the end of the reporting period, Inditex operated 5,667 stores globally, with Zara holding the largest share at 1,792 stores. This expansive retail presence, coupled with a strong online platform, supports Inditex’s commitment to integrating traditional and digital sales channels.
CEO Óscar García Maceiras attributes the group’s continued success to its focus on design quality and customer experience, as well as its operational efficiency and ongoing sustainability initiatives. “The design and quality of our fashion proposition and the experience we offer our customers are, together with the efficiency and increasing sustainability of our operations, the keys to the solidity of these results,” he stated.
Inditex’s strategic focus on quality, customer experience, and operational efficiency continues to drive its substantial growth and market dominance.
