Company Inditex SA
Country Spain
Email comunicacion@inditex.com
Telephone +34 981 185 400
Market Segment Mass Market
Core Business Apparel

Zara Financial Report 2019

 

Income Statement Trend

Net Sales

It represents the brand's turnover from the sales of finished goods through all of the distribution channels - retail, wholesale and e-commerce, after the deduction of returns, allowances for damaged or missing goods and any discounts allowed.

Operating Margin

Also known as ROS - Return on Sales, it measures the percentage of sales revenue that gets 'returned' to the company as net profits after all the related costs of the activity are deducted. The figure is about the latest fiscal year available.

Income Statement Highlights

in Millions of EUR20192018Δ
2019/2018
2017Δ
2018/2017
2016Δ
2017/2016
CAGR
Net Sales        
Operating Income        
 

Inditex SA Financial Report

Income Statement Trend

Total Revenue

It includes the overall revenue of the company, considering not only the sales of finished goods, but all of the sources of the company income.

Operating Margin

Also known as ROS - Return on Sales, it measures the percentage of sales revenue that gets 'returned' to the company as net profits after all the related costs of the activity are deducted. The figure is about the latest fiscal year available.

Net Profitability

It's a measure of a company's overall profitability, i.e. how much of its sales are converting to profit. The value given is the amount of sales needed to generate one currency unit of post tax profit. Negative values mean that the company has a negative level of post tax profit. The figure is about the latest fiscal year available.

Profit Ratio

It's a key measure of success. The profit ratio measures the amount of profit generated by each single currency unit of sales. The figure is about the latest fiscal year available.

Income Statement Highlights

in Millions of EUR20192018Δ
2019/2018
2017Δ
2018/2017
2016Δ
2017/2016
CAGR
Total Revenue        
Cost of Sales        
Gross Profit        
Operating Income        
Net Income        

Balance Sheet Highlights

in Millions of EUR20192018Δ
2019/2018
2017Δ
2018/2017
2016Δ
2017/2016
CAGR
Current Assets        
Total Assets        
Current Liabilities        
Equity        

Net Sales by Country

20202018Δ
2019/2018
2017Δ
2018/2017
2016Δ
2017/2016
CAGR
Europe        
Other Countries        
Spain        
Americas        

Official Websites

Zara website
Zara ecommerce

Official Social Media

Brand Description

Establishment

Year
1975
City
Arteixo
Country
Spain

Founder

Amancio Ortega
Rosalia Mera

Designer

Team of designers

Profile

Zara is one of the largest international fashion companies. It belongs to Inditex, one of the world's largest distribution groups.
The customer is at the heart of our unique business model, which includes design, production, distribution and sales through our extensive retail network.
Zara's approach to design is closely linked to our customers. A non-stop flow of information from stores conveys shoppers' desires and demands, inspiring our 200-person strong creative team.
Zara is in tune with its customers, who help it give shape to the ideas, trends and tastes developing in the world. This is the secret to its success among a wide range of people, cultures and generations, who, despite their differences, all share a special fondness for fashion.

Business Strategy

Market Positioning

Mass Market

Core Business

Apparel

Target

Men
Women
Kids

Product Categories

Accessories
Apparel
Bags
Denim
Fragrance
Shoes
Underwear & Lingerie
 

Inditex SA profile

Name Inditex SA
Website inditex.com
Country Spain
VAT Number ES15075062
Telephone +34 98 118 54 00
Fax +34 981 18 53 65
Date of foundation 1975
Type of Company Listed

Headquarters

Avenida de la Diputación, Edificio Inditex, Arteixo 15142 - A Coruña, Galicia

Ownership (Top Shareholders)

Gartler, S.L.: 50.01%
Institutions 36.85%
Partler 2006, S.L. 9.28%
Individuals 3.86%

Zara Latest News

ZARA parent company Inditex Group has a net loss of 195 million euros
Fast fashion brand ZARA's parent company Inditex Group announced its financial report that in the first half of this year, the group recorded a net loss of 195 million euros, compared with a net profit of 1.55 billion euros in the same period last year. In addition, the group revealed in its first quarter financial report that it plans to close 1,000 to 1,200 stores.
 
Zara Owner’s Lean Business Model Helps It Cope With Pandemic
Zara retailer managed to reduce stock-in-trade by 19 percent at the end of July, taking advantage of flexible purchasing agreements that allow the company to rapidly adapt to changes in demand. That softened the blow to earnings, which exceeded analysts’ estimates even though they were less than half last year’s level. The stock rose as much as 6.7 percent Wednesday morning.
 
With the rebound of fast fashion, Zara's parent company Inditex turned losses into profits
Bouncing back from a loss at the start of the year, Zara owner Inditex reported 241 million euros in net profit in the second quarter, forging a path toward recovery while much of the global apparel industry continues to struggle. 98 percent of the retailer’s stores have reopened following temporary shutdowns aimed at stemming the spread of the coronavirus and in-store sales are recovering 
 
ZARA's new bag was recently accused of misappropriating Mexican culture
ZARA’s new bag was recently accused of misappropriating Mexican culture. Some public opinion pointed out that the version of this series of bags is highly similar to the sundries bags commonly used by Mexicans, but the price of this brand of this bag is much higher than Sundries Bag, which believes that the brand uses Mexican culture to make huge profits. In this regard, Zara insiders said that the series of products have been removed from its Mexico official website.
 
Zara’s customers return as consumers regain confidence
New YouGov data shows that recently Zara’s brand health has been improving among British consumers.

Brand Index Reputation scores for the brand (whether someone is proud or embarrassed to work for a brand) have been increasing since a dip at the end of July from 10.1 to 17.4 at the start of this week — a 7.3 point increase. 
 
Inditex to close over 1,200 stores
Zara owner is planning on shutting over 1,200 stores of its brands Bershka, Pull & Bear, Massimo Dutti worldwide after the company hits losses. Inditex plans to focus on its larger stores with phygital features.

More about phygital stores
 
Zara Owner Built a Post-Covid Retailer Before Coronavirus
A few weeks after Spain declared a nationwide lockdown in mid-March to fight the growing coronavirus outbreak, clothing retailer Inditex SA began running low on goods.

The world’s largest fashion retailer typically operates a lean warehouse operation, preferring instead to hold the majority of its stock in stores that double as e-commerce fulfilment centres. That way, turnaround is faster, shelves are replenished more regularly and inventory is kept to a minimum.

But with about 3,500 stores worldwide closed, this carefully balanced just-in-time cycle of goods was reaching breaking point. By April, Inditex sent out an unusual request to employees, seeking volunteers to retrieve clothes and accessories left in stock rooms and on shelves in the hundreds of Zara, Massimo Dutti and other brand stores to fulfil e-commerce orders.

The unorthodox blend of local manufacturing, nimble logistics and aggressive embrace of e-commerce has helped Inditex weather the fallout from the global lockdown better than many other retailers. It’s also helped recalibrate operations for a future of shopping where face masks, limited store access and distancing stand to push consumers online in ever greater numbers.

 
Zara x Jo LOVES by Jo Malone
Global apparel retailer Zara and the London-based fragrance company Jo Malone have collaborated, introducing the Zara Emotions Collection by Jo LOVES. Eight types of unisex eau de parfums and candles, ranging from “Ebony Wood,” a scent that reveals notes of pink peppercorn, clove and ebony wood, as well as “Amalfi Sunray,” a summer-ready scent packed with bergamot, mandarin and orange blossom.
 
Zara's parent company participated in the CIIE for the first time, and its eight major brands will be unveiled
Zara's official Weibo released news that its parent company Inditex Group has officially signed a contract to participate in the 2020 China International Import Expo for the first time. At that time, 8 major brands including Massimo Dutti, Bershka, Pull & Bear, etc. under the group will be exhibited together in a booth covering an area of ​​more than 500 square meters. Prior to this, Uniqlo’s parent company, Fast Retailing Group, also announced that it would exhibit for the first time and won a 1,500 square meter booth.
 
"Retaliation consumption" appeared on the first day of France's unblocking. Long lines formed at the door of LV and ZARA
After nearly two months of ban from March 17 to the present, France officially took the first step to "unblock" on Monday. Luxury stores on the Champs Elysées in Paris officially opened its doors to welcome customers, and the Louis Vuitton flagship store even opened its doors. In long lines, consumers need to wear masks to enter the store. Some Zara stores in cities such as Paris and Bordeaux also decided to reopen. There was a queue before business hours, but consumers basically maintained a social distance of more than one meter.
 
H&M, Hugo Boss and Inditex have an increase in online sales.
H&M, Hugo Boss and Inditex have seen an increase in online sales, as customers spend more through e-commerce during lockdown.

https://fashionbi.com/insights/marketing-research/fashion-e-commerce-market

h-m hugo-boss zara
 
Zara's parent company resumes small-scale work
Zara's parent company Inditex Group resumed work on a small scale and reopened its Spanish logistics center. Warehouse employees have already arrived. Here, they need to distribute products to global stores. At the same time, only 3 of the 13 Spanish factories under the Inditex Group have opened, all of which are used for the production of medical supplies.
 
Zara parent company Inditex Group's March sales to date have fallen by 24%
Zara parent company Inditex Group's March sales so far have fallen by 24%. Although the group's sales increased by 8% year-on-year to 28.3 billion euros last year, affected by the epidemic, Inditex still impaired the spring and summer product inventory by nearly 300 million euros.
 
Zara is rethinking its ecommerce strategy
Fast Fashion brand Zara is rethinking its ecommerce strategy, the brand has decided to eliminate the TRF collection from its website and make it available only in stores. 

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