Zara owner sees profits surge after global revenues rise

ZARA owner Inditex yesterday posted a 14 per cent rise in sales for the three months to the end of April.

Europe’s biggest clothing retailer saw net profits jump 63 per cent to £248.4m

Zara, which also owns Bershka, has opened 98 outlets in the period.

Inditex bounced back after almost two years of recession and said sales worldwide had increased 13 per cent from the start of its financial year in February to 7 June.

Inditex said it would kick-off internet sales for Zara on 2 September in Germany, Spain, France, Italy, Portugal and Britain.

Anne Critchlow, analyst at Société Générale, said: “It looks to me as though like-for-like sales were up five per cent in the first quarter but we don’t know the currency impact for sure I think the market will be pleased.”

Cash-rich Inditex has picked up market share in Spain, which accounts for a third of sales, during an economic downturn in which many smaller clothing stores have gone out of business.