Inditex’s net income rose 8.5 percent year-on-year to 4.4 billion euros. Earnings before interest, taxes, depreciation and amortization (EBITDA) rose 7.2 percent to €8.0 billion. EBIT rose 9.3 percent to €5.7 billion. Profit before tax (PBT) rose 9.9 percent to €5.8 billion, and net income rose 8.5 percent to €4.4 billion (~$4.625 billion). The company continued with very strong operating performance due to the team’s creativity and solid implementation of fully integrated store and online business models, Inditex said in a press release.
Inditex reported sales of €27.4 billion (~$29.044 billion), a 7.1 percent increase for 9M 2024. Gross profit rose 7.2 percent to €16.3 billion (~$17.11 billion), with a 59.4 percent gross margin. Net income rose 8.5 percent to €4.4 billion (~$4.625 billion). For 2024, it expects a stable gross margin and a 3 percent currency impact on sales.
The Spanish brand opens stores in 45 markets by 9M 2024. At the end of the period, the company operated 5,659 stores. Sales increased by 10.5 percent in constant currency showing very satisfactory development both in stores and online.
The company’s operating expenses increased 7.0 percent, below sales growth, and generated strong cash flow and reinvested in the business. The company’s net cash position rose 3.0 percent to 11.8 billion euros.
Due to strong operating performance over 9M 2024, inventories were 2.6 percent lower as of October 31, 2024 compared to the same date in 2023, the press release said.
Outlook
For the full year to 2024, Inditex expects a stable gross margin of +/-50 bps. At current exchange rates, the company reiterates its expectation of a -3.0 percent currency impact on sales in 2024. It also estimates general capital expenditure of around €1.8 billion.
Fibre2Fashion News Desk (SG)
Inditex’s net income rose 8.5 percent year-on-year to 4.4 billion euros. Earnings before interest, taxes, depreciation and amortization (EBITDA) rose 7.2 percent to €8.0 billion. EBIT rose 9.3 percent to €5.7 billion. Profit before tax (PBT) rose 9.9 percent to €5.8 billion, and net income rose 8.5 percent to €4.4 billion (~$4.625 billion). The company continued with very strong operating performance due to the team’s creativity and solid implementation of fully integrated store and online business models, Inditex said in a press release.
Inditex reported sales of €27.4 billion (~$29.044 billion), a 7.1 percent increase for 9M 2024. Gross profit rose 7.2 percent to €16.3 billion (~$17.11 billion), with a 59.4 percent gross margin. Net income rose 8.5 percent to €4.4 billion (~$4.625 billion). For 2024, it expects a stable gross margin and a 3 percent currency impact on sales.
The Spanish brand opens stores in 45 markets by 9M 2024. At the end of the period, the company operated 5,659 stores. Sales increased by 10.5 percent in constant currency showing very satisfactory development both in stores and online.
The company’s operating expenses increased 7.0 percent, below sales growth, and generated strong cash flow and reinvested in the business. The company’s net cash position rose 3.0 percent to 11.8 billion euros.
Due to strong operating performance over 9M 2024, inventories were 2.6 percent lower as of October 31, 2024 compared to the same date in 2023, the press release said.
Outlook
For the full year to 2024, Inditex expects a stable gross margin of +/-50 bps. At current exchange rates, the company reiterates its expectation of a -3.0 percent currency impact on sales in 2024. It also estimates general capital expenditure of around €1.8 billion.
Fibre2Fashion News Desk (SG)
