THE WHAT? Inditex has reported a sales increase of some 50 percent in 1Q21 to €4.9 billion versus the prior year quarter with May sales above 2019 levels, indicating that consumption has bounced back after the pandemic shuttered stores.
THE DETAILS The Spanish owner of Zara and Bershka saw gross margin grow a robust 59.9 percent while gross profit amounted to €2.96 billion.
Store and online sales in local currencies grew 102 percent yoy between May 1 and June 6, 2021 versus the same period of 2020 and 5 percent compared to 2019, despite some 10 percent of trading hours being lost to store closures, curfews and other restrictions. Sales were higher across all geographies and every brand.
THE WHY? Inditex Executive Chairman, Pablo Isla noted that the company’s “differentiation and stretagic transformation towards a fully integrated, digital and sustainable model continues to bear results, supported by the commitment displayed by all the people who work at Inditex.”