The Strategist

Inditex net profit for 2019-2020 grows by 5.7%


03/18/2020 - 09:06



Net profit of the Spanish Inditex Group, one of the largest clothing and footwear retailers in the world (Zara, Pull & Bear, Massimo Dutti, Bershka, Stradivarius, Oysho brands), grew by 5.7% for the 2019-2020 financial year (ended January 31), reaching €3.639 billion, the company said.



Bidgee via flickr
Bidgee via flickr
Inditex revenue for the reporting period also increased by 8.2%, amounting to €28.286 billion. Comparable sales rose 6.5% over the year. The EBITDA for the fiscal year reached €7.598 billion, 39% higher than last year. The company also notes that online sales grew 23% from last year, to €3.9 billion. They accounted for 14% of the company's annual sales.

According to the results of the past fiscal year, the total number of Inditex stores is 7.469 thousand, which is below the level of last year at 7.49 thousand.

“The Covid-19 pandemic has a very significant impact. The Internet business continues to grow as usual in all markets. Our supply chain continues to operate as usual thanks to the flexibility of the business model,” the company notes. Inditex indicates that to date, 3,785 of the company's stores are temporarily closed in 39 markets. Only 11 stores are closed in China.

“It is too early to quantify the future impact of the pandemic on our activities in 2020, we are closely following the events,” the company added.

source: bloomberg.com