Inditex sees 'historic highs' in H1 results

Inditex, owner of Zara and Pull&Bear, has released its financial results for the first half ending 31 July 2022, revealing "historic highs" from its sales, EBITDA and net income. 

For the first half, Inditex shared the following group results:

• Sales up 24.5% to £12.8 billion (€14.8 billion).
• Gross profit up 24.5% to £7.4 billion (€8.6 billion).
• Gross margin of 57.9%, the highest in seven years.
• EBITDA up 30% to £3.4 billion (€4 billion).
• Net income up 44% to £2 billion (€2.4 billion).

For the first half, Inditex shared the following brand results:

• Zara sales up 29% to £9.1 billion (€10.9 billion).
• Pull&Bear sales up 19% to £810 million (€936 million).
• Massimo Dutti sales up 10% to £624 million (€721 million).
• Bershka sales up 15% to £866 million (€1 billion).
• Stradivarius sales up 17% to £790 million (€913 million).

In H1 2022, store openings have been carried out in 24 markets. At the end of the period, Inditex operated 6,370 stores.

AW collections have been "very well received", with store and online sales up 11% in constant currency between 1 August and 11 September 2022. Inditex said online sales progressed "satisfactorily" and were positive in the second quarter.

The group now expects online sales to exceed 30% of total sales by 2024.

Oscar Garcia Maceiras, CEO of Inditex, said: “The results are explained by four factors, key to our performance. Our unique fashion proposition, an increasingly optimised shopping experience for our customers, our focus on sustainability, and the talent and commitment of our people. Our business model is progressing at full pace and has great growth potential going forward.”