High street fashion giant suddenly closes 60 stores | World | News
Zara’s parent company has closed dozens of stores worldwide despite overall “positive performance”. doors closed According to Inditex’s annual results report, it will be in 60 stores for the last time between October 2024 and October 2025.
spanish owner Zara’s It was revealed that there was an increase in sales because the street giant did not care about economic pressures and attracted the attention of shoppers with winter trends. Inditex reported that sales in stores and online rose 10.6% in November compared to the same month last year.
“We are pleased with the positive performance of Zara and the rest of our concept,” CEO Óscar García Maceiras said on the earnings call.
Inditex did not disclose where and why the stores were closed. According to The Independent, the company reported that some Zara outlets were closed and converted into Zara Man branches.
Mr. García Maceiras noted one such change in Osaka, Japan, and reported that the company continues to see opportunities to expand its presence and expand in key locations around the world.
The group, one of the world’s largest fashion retailers and seen by many investors as a pioneer of the high street, said its autumn and winter collections were popular with customers.
Sales totaled £8.6bn (€9.8bn) in the third quarter between August and October, up 8.4% on the same period last year at constant exchange rates.
Earnings before interest and tax rose 11% year on year to £2.1bn (€2.4bn).
Inditex operated 5,527 stores as of the end of October, with its brand list including Massimo Dutti, Bershka and Oysho.
Victoria Scholar, head of investment at Interactive Investor, said: “Despite fierce competition from cheaper rivals like Shein, the fast fashion environment, this year’s US tariff uncertainty and weak consumer sentiment in many geographies, Inditex has managed to score points with investors.”
Ms Scholar added that the latest results highlight Inditex’s “long-standing strength in tapping into what fashionistas are looking for and quickly introducing new products into stores and online to keep up with the latest trends”.
Inditex is on track to complete its €1.8bn (£1.6bn) two-year investment program by the end of financial year 2025. This led to money being pumped into logistics systems and warehouse expansion.
