Spanish clothing retailer Inditex has reported a 15 per cent surge in its net profit for the 2015 Fiscal Year to Euros 2.9 billion against Euros 2.5 billion in the corresponding period last year. Net sales in the period under review reached Euros 20.9 billion mark, up 15.4 per cent from last year.
As per the company release, earnings before interest, tax, depreciation and amortisation also came in in line with expectations, at Euros 4.7 billion against estimates of Euros 4.73 billion. Like-for-like sales were up 8.5 per cent, compared to a rate of 5 per cent in 2014. Gross profit reached Euros 12.1 billion, 14.4 per cent higher than in FY 2014, resulting in a Gross margin of 57.8 per cent. The company’s EBITDA boomed 15 per cent to reach Euros 4.7 billion.
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In the reporting period, Inditex’s new space in prime locations increased 8 per cent. Net store openings in the period amounted to 330, reaching a total of 7,013 stores in 88 markets. The company opened stores in 56 markets last year.
Over the course of 2016, the retailer will present its concepts online in all European markets and Turkey as well. Inditex will continue to expand its global, fully integrated store and online sales platform in the coming year. The growth of new space in prime locations is expected to be 6-8 per cent in conjunction with an increasing contribution from organic growth and online sales, the company said.
