Inditex profit up on internet and emerging markets

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Inditex profit up on internet and emerging markets

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Inditex, the world’s largest clothing retailer, posted profits in the first half of the year that jumped by 32 percent.

The owner of the Zara chain said it won new customers online and in emerging markets. Net profit was 944 million euros.

The Spanish firm – which has more than five thousand shops worldwide – said it has reduced its reliance on its home market as it pushes into countries like China.

The retailer said like-for-like sales at the start of the third quarter through September 17 rose 7 percent.

Inditex has given no guidance so far on its online performance, but internet sales could be boosting growth to the tune of at least 2 percentage points, Societe Generale calculates.

“Online is allowing Inditex to access customers that wouldn’t be near one of its concept stores,” said Critchlow.