#Retail & Brands

2024-06-13

Inditex reports strong Q1 2024 performance

Inditex's sales grew by 7.1% in Q1 2024, reaching €8.2 billion. Sales in constant currency rose by 10.6%. Gross profit increased by 7.3% to €4.9 billion, with a gross margin of 60.6%. Operating expenses increased by 6.4%, below the sales growth rate. EBITDA rose by 8% to €2.4 billion, while EBIT grew by 10.3% to €1.6 billion. Net income saw a 10.8% increase, reaching €1.3 billion.

Inditex's Board proposes a FY2023 dividend of €1.54 per share, split into two payments of €0.77 per share. The first was paid on May 2, 2024, and the second will be paid on November 4, 2024.

Inditex opened stores in 28 markets in Q1 2024, including the launch of its first stores in Uzbekistan. Additionally, 19 stores in Ukraine reopened on April 3, 2024, after a temporary closure, totaling 48 reopened stores in the market.

The Spring/Summer collections are performing well, with a 12% increase in store and online sales from May 1 to June 3, 2024, compared to the same period in 2023. Inditex expects to continue its growth trajectory, focusing on fashion innovation, enhancing customer experience, sustainability, and leveraging team talent.

Planned investments for 2024 include €1.8 billion in ordinary capital expenditure and a €900 million per year logistics expansion for 2024 and 2025. New security technology will be fully operational in Zara stores in 2024 and progressively implemented across all brands.

The Annual General Meeting is scheduled for July 9, 2024. Board proposals include the renewal and appointment of several independent and proprietary directors, with a reduction of the mandate for new board members to two years.

Inditex continues to capitalize on growth opportunities, driving innovation and maintaining a strong market position.

Inditex will fund the university education of 50 female textile industry workers in Bangladesh for five years

Inditex and the Asian University for Women have launched a new scholarship program to support the academic training of female textile factory workers in Bangladesh. Inditex will allocate €3.75 million to fund this initiative, enabling 50 women to access pre-university and university education over the next five years, providing them with new opportunities for personal and professional growth.

Recover™ secures multi-year recycled cotton agreement with H&M

Recover™ has signed a multi-year agreement with H&M to support the integration of its recycled cotton fiber, RCotton, for use in H&M’s products. Since early 2024, H&M and Recover™ have collaborated on product development, which now enables scaled commercial introduction of Recover™ mechanically recycled cotton into H&M’s collections.

GORE-TEX® KIDSWEAR launches innovative membership scheme for kids’ jackets

With its revolutionary new membership model, GORE-TEX® Kidswear now offers families a simple, flexible and sustainable way of kitting out their children in top-quality jackets. It is aimed at the parents of children aged between five and ten and kicks off with a choice of functional winter jackets.

Gebr. Otto highlights versatility at Techtextil with regional supply chains, yarn innovations and new hygiene segment

At this year’s Techtextil, Gebr. Otto places its versatility at the center of its presentation. In addition to spinning, twisting and dyeing – traditionally focused on fine cotton – textile processors will also find a competent development partner for technical specialty solutions. The Dietenheim-based spinning mill has now built up a decade of experience in the production of technical yarns, particularly from aramids. A new hygiene segment has also been established, where yarns for medical and hygiene products are currently being produced. In the future, this department could also develop textile products for the food sector. Gebr. Otto will once again be present at the BW-i joint stand, booth D81, hall 12.1. What is wound onto the spool is determined by the customer: Gebr. Otto develops according to specific customer requirements and transforms its own ideas into yarn innovations.

Commission presents proposal for EU Inc. - unlocking the full potential of the Single Market for Europe's entrepreneurs

Today, the European Commission presented its proposal for EU Inc., a new single set of corporate rules, building the cornerstone and starting point for the EU's 28th regime. EU Inc. is an optional, digital-by-default European corporate framework. It will make it easier for businesses to start, operate and grow across the EU – incentivising them to stay in Europe, and encourage those who once looked elsewhere to return.

OnceMore® from Södra brings end-to-end traceability for circular Man-made Cellulosic Fibers (MMCF) using TextileGenesis

OnceMore® from Södra, the world’s first large-scale process for recycling blended fabrics into high‐quality dissolving pulp, will begin using TextileGenesis, a Lectra company, to strengthen traceability from raw material to retail across the value chain. OnceMore® produces dissolving pulp made from blended textile waste and wood sourced from responsibly managed Swedish forests. By integrating TextileGenesis, OnceMore® supports the growing need for verified data and secure, transparent tracking throughout increasingly complex supply chain.

Experts publish APAC policy priorities

Cascale today announced the publication of its APAC Policy Priorities Paper, developed by the Asia-Pacific (APAC) Policy Member Expert Team (MET) to identify key regional sustainability challenges and provide practical, aligned recommendations for policymakers and industry stakeholders across Asia-Pacific.