Retail in Asia


Inditex sales up 10 percent in 2023 in line with strong Asia gains, slashes store network in China

Fast-fashion conglomerate Inditex reported a 10 percent uptick in annual sales to reach a record EUR 35.9 billion in 2023, with the Spanish firm recording double-digit growth across all regions and brands.

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By market, Inditex’s Asia and Rest of the World region saw sales gain 16.9 percent, alongside 14.8 percent sales growth in Spain, and 19.6 percent growth in the Americas. Europe excluding Spain saw the biggest growth during the year, up 48.7 percent for the 12 months ending January 31.

For year, the company’s darling brand Zara clocked revenues of EUR 26.05 billion, up 10 percent, followed by Pull&Bear up 10 percent to EUR 2.36 billion; Bershka up 10 percent to EUR 2.62 billion; Stradivarius up 13 percent to 2.33 billion; Massimo Dutti up 15 percent to EUR 1.83 billion; and Oysho up 19 percent to EUR 744 million.

Net income for the year surged 30 percent to EUR 5.4 billion, the company continued.

“Our growth is exceedingly positive, efficient, profitable, and responsible. We’ve upheld our discipline in cost management,” said Inditex CEO Óscar García Maceiras.”It’s this robust financial position that will enable us to continue investing whatever is necessary for the group’s future growth, in addition to upholding our commitments and ensuring an attractive return for our shareholders.”

Despite the profit and sales surge, the fashion retailer was intent on scaling back its physical presence during 2023, closing a fifth of its stores in China alone, in a sign its focus on online sales is taking place.

Over the past few years, Inditex has been shrinking its store footprint globally, seeking to optimise its selling space by focusing on flagship outlets in prime locations and ramping up online sales.

Of 123 net store closures globally last year, 50 were in China, Inditex’s revealed. In 2019, Inditex had 570 stores in China, its biggest physical footprint after Spain. The retailer now has 192, as of January 31 this year.

In late 2023, Inditex also launched a weekly livestream on video-sharing platform Douyin in China, as a way to boost online sales.