Inditex Achieves Record Sales And Profits In 2024
Inditex reported a strong financial performance for 2024, with sales increasing by 7.5% to €38.6 billion, driven by robust execution of its integrated business model and strong customer response to its collections. Sales growth was positive across all concepts, with sales in constant currency rising by 10.5%. Online sales saw a 12.0% increase, reaching €10.2 billion, while store sales grew 5.9% despite a 2.3% reduction in the number of stores. The company’s gross new space increased by 5.8%, with Inditex operating 5,563 stores across 214 markets at the end of the year.
Gross profit increased 7.6% to €22.3 billion, with a gross margin of 57.8%. Operating expenses were tightly controlled, growing by 6.5%, below sales growth. EBITDA rose 8.9% to €10.7 billion, EBIT increased 11.0% to €7.6 billion, and profit before tax (PBT) grew 10.3% to €7.6 billion. Net income increased by 9.0% to €5.9 billion.
Inditex’s board of directors has proposed a 9% dividend increase to €1.68 per share for FY2024, consisting of an ordinary dividend of €1.13 and a bonus dividend of €0.55 per share. The dividend will be distributed in two equal payments of €0.84 per share — the first on May 2, 2025 (ordinary), and the second on November 3, 2025 (€0.29 ordinary + €0.55 bonus).
Inditex maintained a strong cash position, with net cash growing by 0.8% to €11.5 billion. Capital expenditure for 2024, including extraordinary investments, totalled €2.7 billion. The company plans to invest €1.8 billion in 2025, primarily to optimize commercial space, enhance technological integration and improve online platforms. Additionally, the company’s €900 million annual logistics expansion plan for 2024 and 2025 remains on track, with the new Zaragoza II distribution centre for Zara expected to commence operations in summer 2025.
Sustainability remains a key focus for Inditex. By the end of 2024, 73% of textile fibres used in manufacturing were lower-impact fibres, with a target to reach 100% by 2030. The company reduced its Scope 1, 2, and 3 greenhouse gas emissions by 5% compared to 2018, with total emissions down 88% over the same period. Inditex continues to drive innovation in textile-to-textile recycling and sustainable fibres through its Sustainability Innovation Hub and strategic investments.
Inditex expects annual gross space growth of around 5% during 2025-2026, supported by store optimization and growing online sales. The company forecasts stable gross margins (+/- 50 bps) in 2025, with a projected -1% currency impact on sales. Sales for the Spring/Summer 2025 collections have been well received, with store and online sales in constant currency increasing by 4% between February 1 and March 10, 2025, compared to the same period in 2024.
