In comparison to the previous year, Inditex’s net income increased significantly by 54 per cent, rising to € 1.2 billion (US $ 1.3 billion).
Sales increased by 13 per cent during the quarter for the company to reach € 7.6 billion, reflecting development in both physical stores and online platforms that led to a 16 per cent increase in both online and in-store sales. The spring/summer styles from Inditex also boosted sales.
Sales for the company showed a good trend across all themes and regions, highlighting the broad appeal of their products. During the first quarter of 2023, Inditex also grew its presence in 17 markets, culminating in a total of 5,801 operating stores by the conclusion of the quarter.
Operating expenses increased 13 per cent, below sales growth. Gross profit increased 14 per cent to € 4.6 billion. Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) grew by 14 per cent to € 2.2 billion, reflecting the company’s strong financial performance. Profit before taxes surged by 52 per cent to € 1.5 billion. The company’s net cash position grew by 14 per cent to € 10.5 billion by the end of the first quarter of 2023, showcasing its financial stability and resilience
Inditex expressed continued optimism regarding potential chances for growth in the future. In order to further strengthen its differentiation over the next few years, the company intends to take its business model to “the next level” and roll out numerous projects in all important sectors.
