Spanish fashion giant Inditex posted an 11% jump in sales, but a more modest profit increase as inflation pushed up the cost of goods.

Zara parent Inditex reported strong sales during its first half of the year

Zara parent company Inditex has reported sales of £7bn for the three months to the end of September

For the three months to the end of September, Inditex reported sales of €8.2bn (£7bn) while the cost of sourcing its clothing rose slightly faster, increasing 13% year on year to €3.2bn (£2.75bn) despite its “rigorous” control of operating expenses.

For the nine months, total group sales rose 19% year-on-year to €23.1bn (£19.8bn) and were “positive” in all geographical areas Inditex operates in. EBITDA increased 20% to €6.5bn (£5.6bn) and EBIT jumped 27% to €4.2bn (£3.6bn).

Net profit for the three-month period was up 6% to €1.3bn (£1.12bn) across the retailer, which owns brands such as Zara, Bershka and Massimo Dutti.

In terms of more recent trading, the retailer said that store and online sales in constant currency increased 12% between November 1 and December 8, 2022, compared with the same period last year. 

After announcing it had reached a provisional deal to sell its Russian business in October, which comprises more than 500 stores, Inditex said it had taken an extra €14m (£12m) charge to cover the cost of the exit during the period.