Zara sees slowing growth as Inditex sales decline in key markets

Madrid – Inditex, the Spanish fashion multinational that owns a brand portfolio including Zara, Bershka, Stradivarius and Massimo Dutti, reported its results for the first half of its current 2025 financial year this morning. This six-month period, ending on 31 July, saw the company achieve reduced sales and profit growth, while contracting its global influence.

Inditex posts marginal rise in sales and profit

Based on information provided by the management of the Spanish multinational, Inditex completed the first half of its 2025 financial year with total net sales of 18,357 million euros. This represents an increase of 1.61 percent compared to sales of 18,065 million euros recorded during the same period last year. It also represents a 43.19 percent increase compared to the 12,820 million euros billed during the first half of 2019, the last year completed before the effects of the coronavirus pandemic.

Meanwhile, in terms of profitability, the company closed the first half of the year with a net profit of 2,791 million euros. This amount represents an increase of just 0.46 percent compared to the 2,778 million euro profit for the same period in 2024. However, it is 79.72 percent higher than the profit of 1,553 million euros generated during the first half of 2019.

"We have achieved a solid performance in this first half of the 2025 financial year, with satisfactory sales in a complex market environment and maintaining solid levels of profitability," said Óscar García Maceiras, chief executive officer of Inditex, in statements shared by the management of the Spanish fashion multinational. Maceiras added, "The efficient execution of our teams demonstrates the strength of Inditex's business model."

Zara sales stagnation and declining turnover at Massimo Dutti, the Americas and Asia

Breaking down these results, they are primarily underpinned by first-quarter sales of 8,274 million euros (up 1.52 percent). These were complemented by sales recorded during the second quarter of around 10,083 million euros (up 1.69 percent).

Regarding the origin of this turnover, by chain, and for the first half of 2025 as a whole, Zara's sales stagnated, growing slightly to 13,150 million euros (up 0.89 percent). The company's turnover was completed by sales from Stradivarius at 1,327 million euros (up 5.73 percent); Bershka at 1,438 million euros (up 4 percent); Pull&Bear at 1,158 million euros (up 3 percent); Massimo Dutti, which contracted to 895 million euros (down 0.99 percent); and Oysho at 389 million euros (up 5.7 percent).

Meanwhile, by region, Inditex which was affected by currency exchange rates during the period, managed to maintain its revenue figures thanks to Europe, where its turnover grew to nearly 9,307 million euros (up 3.24 percent). This excludes Spain, where the company continues to grow, with sales soaring to nearly 2,845 million euros (up 7.14 percent). Conversely, the company lost influence and weighting outside the European market, with turnover in the Americas declining to around 3,267 million euros (down 3.78 percent). The Asia region, and the sum of other international markets, also saw sales contract to around 2,937 million euros (down 2.05 percent).

Outlook and opening of the second half

As the latest update on its market performance, Inditex reported initial sales of its autumn/winter 2025/2026 collections, which between August 1 and September 8, recorded 9 percent growth compared to the same period in 2024.

Looking ahead to the end of the financial year, the company anticipates a negative currency impact of 4 percent, a stable gross margin of plus or minus 50 basis points, and annual gross retail space growth of around 5 percent, with positive net space compared to last year.

This article was translated to English using an AI tool.

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