Zara parent company Inditex’s sales jumped 10% in 2023, reaching a record high | Wilnesh News

Shares of Zara parent Inditex hit a record high on Wednesday, rising more than 6% in intraday trading after the company announced full-year 2023 results, according to London Stock Exchange data result.

The stock was up a little more than 6% at 43.58 euros ($47.69) as of 11:50 London time.

The company said full-year sales grew 10.4% to 35.9 billion euros, a record high. The company said sales were growing in all geographical regions and Inditex brands and were “very satisfactory” both online and in stores.

Inditex said it had 5,692 stores in operation at the end of the year and plans to expand further in 2024, including Zara stores in Los Angeles and Las Vegas. The company also plans to open new distribution centers in 2024 and 2025 as part of a major logistics expansion plan that will cost the company 900 million euros over two years.

Last year’s net profit soared 30.3% compared with 2022, reaching 5.4 billion euros, setting a new high. The company’s gross profit was 20.8 billion euros, an increase of 11.9% compared with the same period last year.

Oscar García Maceiras, CEO of Inditex, said: “Inditex’s performance in 2023 was excellent. Our team was able to capitalize on these opportunities to maintain profitable growth. We are investing to drive future growth and continue Provide attractive compensation to shareholders.” a statement.

The Spanish clothing company owns a portfolio of popular brands, including household names Zara, Pull & Bear, Bershka, Stradivarius, premium retailer Massimo Dutti and sports and athleisure brand Oysho.

Inditex said on Wednesday that Zara, including the Zara Home range, was the biggest contributor to sales in 2023, followed by Pull & Bear and Massimo Dutti.

The company also said it had a strong start to 2024, with sales rising 11% in constant currency terms between February 1 and March 11 compared with the same period last year.