Blog: Leonie BarrieInditex inches ahead

Leonie Barrie | 11 June 2008

Signs that consumers across western Europe are tightening their belts were seen today in a slowdown in sales and profit growth at Spanish retail giant Inditex.

Yes its first quarter profits rose 10% to EUR219m and sales were up 9% to EUR2.218bn, but its previously invincible Zara fashion chain was weighed down by a slowdown in the Spanish retail boom, tighter credit conditions and unseasonably cold weather which hurt sales of summer clothing.

The retailer, which also operates the Bershka, Massimo Dutti and Oysho chains, was partly shielded from troubles in its home market – where it generates more than a third of its sales and has almost half its stores – by new store openings overseas.

And it plans to continue its aggressive rollout this year, with between 560 and 640 new stores in 2008 helping to diversify its exposure risk to fluctuating markets.

Closer to home, a recent report suggests there are also growth opportunities in Spain’s still underdeveloped out-of-town sector, the fledgling multi-channel offer and internet retailing.

SPAIN: Inditex maintains guidance as Q1 profit lifts 10%


BLOG

just-style market research sale

Are you planning for the year ahead and beyond? Well this week we’re offering great deals on some of our market research......

BLOG

Gearing up for the holiday shopping season

The volume of US apparel imports saw an increase in October on the prior year as retailers geared up for the holiday shopping season. Bangladesh booked the second highest growth behind India, reversin...

BLOG

Innovations to boost sustainability

Hong Kong-based textile and apparel giant Esquel Group, the world's largest woven shirt maker, is pushing ahead with the pursuit of sustainable and holistic quality. ...

BLOG

Sign up to try new re:source apparel sourcing tool for free

The old saying "Good things come to those who wait" is certainly true for re:source, the new suite of data-driven sourcing tools being developed by the team here at just-style....

just-style homepage



Forgot your password?