Zara owner Inditex posts €18.4bn sales during solid half-year performance

Inditex–the Spanish fashion giant behindZara, Bershka, Massimo Dutti and Pull&Bear–has reported a resilient first half of 2025, with sales up 1.6% to€18.4 billion (£15.91bn) despite a challenging retail environment.

On a constant currency basis, sales rose 5.1%, reflecting strong customer demand for the Spring/Summer collections across both stores and online. Gross profit grew 1.5% to€10.7bn (£9.26bn), with a gross margin of 58.3%, while net income edged up 0.8% to€2.8bn (£2.42bn).

Earnings before interest, tax, depreciation and amortisation (EBITDA) increased 1.5% to€5.1bn (£4.41 bn), with operating profit (EBIT) up 0.9% at€3.6bn (£3.11 bn). Profit before tax was broadly flat at€3.6bn£3.11 bn.

Óscar García Maceiras, CEO of Inditex, said: "We have again achieved a solid performance in this first half of 2025, with satisfactory sales in a complex market environment and keeping strong levels of profitability. The efficient execution accomplished by our teams demonstrates the strength of Inditex's business model."

Inditex expanded its global store estate during the period, opening new locations in 35 markets. As of the end of H1, the group operated 5,528 stores worldwide.

The company highlighted strong early momentum for its Autumn/Winter collections, with store and online sales in constant currency up 9% between 1 August and 7 September compared with the same period last year.

Shareholders are set to receive a final dividend of€0.84 per share on 3 November 2025.

Robyn Duffy, consumer markets senior analyst at RSM UK, said the results "show growth is on track" for Inditex.

"The future outlook is promising with revenue jumping 9% in the five weeks to September, indicating a solid start to Q3 and beating estimates.

"What stands out is Inditex's ability to continue outperforming peers in a challenging trading environment. While revenue and profit growth slowed in H1, the group's strong balance sheet, operational discipline, and compelling designs are still striking a chord with consumers, particularly the millennial generation that grew up with the brand."