Home / Knowledge / News / Apparel/Garments / FY14 sales grow 8% at Inditex Group
FY14 sales grow 8% at Inditex Group
19
Mar '15
Inditex chairman Pablo Isla announcing FY14 results
Inditex chairman Pablo Isla announcing FY14 results
Spain based Inditex Group, which has notable fashion brands like Zara in its portfolio, said its sales in the twelve months to January 31, 2015, rose 8 per cent year over year.

Sales in fiscal 2014 grew 8 per cent from the previous fiscal to €18.12 billion, while sales in local currencies increased by 11 per cent over fiscal 2013.

“Same-store sales growth was 5 per cent, implying like-for-like store sales growth in the last five years of 23 per cent,” the apparel marketer said in a press release.

In fiscal 2014, EBITDA hiked by 5 per cent from a year ago period to €4.1 billion and net profit totaled to €2.5 billion, again a growth of 5 per cent over fiscal 2013.

In 2014, the Inditex Group created 8,741 new jobs and its headcount went from 128,313 to 137,054, of which, over 1,800 were created in Spain.

In view of the performance of the Group over recent years, a special profit sharing plan has been approved under which employees will participate in Inditex's earnings growth in 2015-2016.

“All employees at stores, manufacturing, logistics, concepts and subsidiaries around the world who have been with the Group for more than two years will be eligible,” the press release added.

The Group will award these beneficiaries 10 per cent of the year-on-year growth in consolidated profit attributable to the controlling company up to a cap of 2 per cent of total profit.

Inditex said the beneficiaries’ number around 70,000 people in 54 markets and the scheme will run for two years.

Part one will be collected in 2016 on the basis of year-on-year growth in net profit in 2015 and part two will be collected in 2017, following the same criteria and the plan will accrue in 2015 and 2016.

Capital expenditure totaled €1.4 billion in 2014 for the automation of processes and modernisation of the Group's facilities in Spain.

Some of the most noteworthy investments include the start-up of Inditex's new logistics platform in Cabanillas in Guadalajara, Spain, generating almost 300 new jobs.

It also completed expansion work at its head office complex with opening of a new Technology Centre, which is equipped with world-class technology and has been certified under the highest IT security.

The bulk of capital expenditure continues to be earmarked to new store openings and the refurbishment and expansion of existing establishments.

In the press release, Inditex noted that it is worth underscoring the one-off investment made to purchase a building in New York's SoHo which will house a new flagship Zara store.

Inditex’s Board of Directors will ask the company’s shareholders to approve a €0.52 per share dividend, marking year-on-year growth of 7.5%, at its Annual General Meeting in July.

A dividend of €0.26 per share will be paid out in the interim on May 4, 2015, and the remaining €0.26 per share would be paid out, if approved, on November 3, 2015 in the form of a final and special dividend.

Inditex ended 2014 with 343 more stores than at year-end 2013 for a total network of 6,683 establishments in 88 markets. (AR)

Fibre2fashion News Desk - India


Must ReadView All

FDI in Vietnamese textile-garment projects on the rise

Apparel/Garments | On 24th Jun 2018

FDI in Vietnamese textile-garment projects on the rise

The European Union-Vietnam Free Trade Agreement and the Comprehensive ...

Courtesy: Alizilla

Apparel/Garments | On 24th Jun 2018

Alibaba Group sets up office in Kuala Lumpur

Strengthening its commitment to Malaysia, Alibaba Group has set up an ...

Bombay Dyeing plans to wind up Indonesian JV

Textiles | On 24th Jun 2018

Bombay Dyeing plans to wind up Indonesian JV

Bombay Dyeing & Manufacturing Co Ltd plans to wind up its loss making ...

Interviews View All

Top executives
Textile & apparel bodies

The mid-term review of FTP is progressive, growth oriented

Rashi Menda
Zapyle

Every fifth sale we make on Zapyle is a repeat purchase

Anavila Misra
Anavila Collection

Fashion shows are also encouraging and highlighting sustainable fashion

Sugandha Bhardwaj

<div>New Delhi-based Brinjal Designs Pvt Ltd manufactures home furnishing...

Apurva Kothari

No Nasties was the first fashion brand in India to make 100 per cent...

C Dhandayuthapani

MAG Solvics Private Limited was established in 1991 to design and develop...

Johan Berlin
InvestKonsult Sweden AB

Investkonsult Sweden AB has been buying and selling second-hand textile...

Urs Stalder
Sanitized AG

Urs Stalder, CEO, Sanitized AG, talks about the increasing use of hygiene...

Kevin Nelson
TissueGen

Kevin Nelson, Chief Scientific Officer, TissueGen discusses the growing...

Sonam & Paras Modi
SVA

Sonam and Paras Modi's Sva Couture is synonymous with head-turning...

Divvya and Nidhhi Gambhir
Walnut

<b>Divvya and Nidhhi Gambhir</b> started their career with the launch of...

Robert Brunner
Devereux

Golfwear and menswear brand Devereux is set for greener pastures. Robert...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

Leave your Comments


June 2018

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

news category


Related Categories:

Advanced Search