Inditex, the world’s largest clothing retailer, enjoyed a jump in annual net profit of 32 percent to 1.73 billion euros.
The owner of the Zara chain credited an aggressive expansion into developing markets including China and India. It also reported strong trading at the start of its new financial year.
In its home country Spain, Inditex increased market share making up for a sluggish economy and high unemployment of over 20 percent. Recession hit Spain accounts for around a quarter of Inditex’s sales.
Austerity measures in other European countries like Portugal and Greece have also squeezed consumer spending power.
The company has 5,000 stores in 77 countries and said it would open between 460 and 500 more this year. That is at the top end of its targeted store space growth rate of 8 to 10 percent, dispelling fears of a slowdown in growth.