Belfast Telegraph

Inditex profits surge by 18% as worldwide expansion continues

Zara owner Inditex has rung up an 18% surge in first quarter profits after another double-digit hike in sales as it continued its worldwide expansion.

The world's biggest clothing retailer said net sales rose 14% to 5.6 billion euros (£4.9 billion) in the quarter to May 1, or 12.5% with currency changes stripped out.

This helped it notch up 654 million euro (£575 million) net profit for the quarter, up from 554 million euros (£487 million) a year earlier.

Inditex said all its brands increased their international presence as it continued to secure its global dominance of retail fashion.

It opened 30 stores in the quarter and has 7,385 outlets across 93 countries.

The group , which also owns fashion brands including Pull & Bear and Massimo Dutti, added sales had remained stable so far in the second quarter, with constant currency sales up 12% overall between February 1 and June 3.

The firm said it had created nearly 10,700 new jobs in the past year and paid out 42 million euros (£37 million) to 84,000 workers in April as part of its profit-sharing bonus plan.

Zara launched online in Thailand, Singapore and Vietnam in the quarter, with a site in India due by the end of next January.