Inditex Group net sales rose by 5 percent in Q1

REPORT_ Inditex Group generated net sales in the first quarter

of 2013 of 3.6 billion euros (Rs 27,944 crores), growth of 5 percent year-on-year. Net income amounted to 438 million euros (Rs 3,386 crores), 2 percent more than in the first quarter of 2012. The Group ended the quarter with a network of 6,058 stores in 86 markets, adding 49 net openings in 30 different countries over the period.

The Group’s various retail formats forged ahead with their international expansion plans: Zara Home opened its debut stores in Japan (in the cities of Osaka and Yokohama, where the public has proven enthusiastic for the format) and Panama. Oysho opened its first stores in Panama and Colombia, the latter in the vicinity of calle 82, Bogotá’s busiest shopping district. Stradivarius and Bershka opened their maiden stores in the Philippines, while the latter also entered the Tunisian market for the first time.

The Group has created more than 10,000 new jobs worldwide in the last 12 months and has forged ahead with its investment plansfor Spain, where the ongoing facility expansion work continues as scheduled. Having inaugurated the new Massimo Dutti head office in Tordera (Catalonia), expansion work continues at the logistics platform in Zaragoza, while planning has begun for the new distribution centre slated for Cabanillas (Guadalajara). Meanwhile, the expansion work at the Group headquarters in Arteixo, which will add 70,000 square metres, mainly to the current sales facilities of Zara and Zara Home, continues apace.

During the Quarter, Inditex enlarged or introduced the new image in 25 of the top flagship stores around the world. The most noteworthy store openings included the Zara store opened on Istambul’s Istiklal street, the Bershka store openings in Prague and on Via dell'Indipendenza in Italy’s Bologna, and the Stradivarius store opened on Rue Saint Ferreol in Marseille. After the close, in May, the Group reopened the refurbished Zara stores on Madrid’s Gran Vía, Seoul’s M Plaza and London’s Brompton Road; Pull & Bear, meanwhile, opened its first store in Germany; Stradivarius debuted in Verona (Italy) and Zara entered the Indian city of Jaipur.

Following the launch of its online sales platform in Canada, Zara is currently selling its products online in 23 countries (19 European markets, the US, Japan, China and Canada). Zara plans to launch online shopping in the Russian Federation this autumn. Store sales in local currencies increased by 8 percent between May 1 and June 7, 2013.