Inditex has revealed a strong performance for the first half of 2024, with sales climbing by 7.2% to a total of €18.1 billion. This growth was achieved through both physical stores and online channels, reflecting positive trends across all brands under the Inditex umbrella. When measured in constant currency, the sales growth is even more impressive at 10.2%.
Óscar García Maceiras, CEO of Inditex, commented on the company’s success: “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. Our fully integrated model continues to generate opportunities for profitable growth across all concepts, regions and channels.”
The company’s gross profit saw an increase of 7.5%, reaching €10.5 billion, while the gross margin improved by 19 basis points to 58.3%. Key financial metrics also showed significant progress, with EBITDA rising 8.1% to €5 billion, EBIT up 11.9% to €3.5 billion, and profit before tax (PBT) increasing by 10.6% to €3.6 billion. Net income for the period surged by 10.1%, totaling €2.8 billion.
The autumn/winter collections have been particularly well-received, with sales from August 1 to September 8, 2024, showing an 11% increase in constant currency compared to the same period last year. Looking ahead, Inditex anticipates a stable gross margin for the remainder of the year.
To capitalise on future growth, Inditex is embarking on a substantial logistics expansion plan. Over the next two years, the company will invest €900 million annually to enhance its logistics capabilities.
In terms of retail expansion, Inditex opened new stores in 34 markets during the period, bringing its total number of stores to 5,667. The company expects an annual gross space increase of around 5% from 2024 to 2026.
Additionally, Inditex has declared a final dividend of €0.77 per share for FY2023, scheduled to be paid on November 4, 2024.
