Inditex, the parent company of Zara, continues to impress – stock continues to climb.

Last Updated: 13. Dezember 2023By

Consumers seem to be unwilling to save on fashion this year, as evidenced by Inditex’s numbers. Perhaps you have liked to go shopping at Zara, Massimo Dutti, or Bershka – these brands belong to the Spanish fashion giant.

Inditex was able to make significantly more money due to strong demand in the first nine months of the current year (end of October). Revenues rose by around 11% to 25.6 billion euros, or 15% on a currency-adjusted basis. According to the company, both the stationary and online business have developed very satisfactorily in the first nine months.

The EBIT climbed around a quarter to 5.2 billion euros, and net profit met with Inditex’s favor with 4.1 billion euros, which corresponds to around a third more than in the previous year, when the result was still burdened by provisions in the context of the business in Russia.

The start of the important Christmas business at the end of the year also went off satisfactorily. According to Inditex, the current autumn-winter collections are going down well with customers. The turnover was able to be raised by 14% within the first weeks of the final quarter, i.e. from 1 November to 11 December 2023, compared to the previous year.

The positive news is being well received on the stock exchange. The half-year figures already convinced. Inditex has gone through a steep recovery course. All in all, a good portfolio addition from the fashion industry with strong brands and the corporate umbrella, which – as the figures show – are arriving and in demand. In addition, there is an attractive dividend yield of expected 3.5% for 2024.