Inditex (ITX) Q4 2024 (Media) earnings summary

Executive summary

• Achieved record sales of €38.6 billion in FY2024, up 7.5% year-over-year, with both store and online channels contributing to growth across all concepts and geographies.

• Net income increased 9.0% to €5.9 billion, supported by innovation, customer focus, and sustainability initiatives.

• Online sales surpassed €10 billion for the first time, representing 26% of total sales.

• Maintained a strong financial position with net cash of €11.5 billion at year-end.

• Dividend per share proposed to rise 9% to €1.68, split into two payments.

Financial highlights

• Net sales: €38,632 million (up 7.5%); gross profit: €22,343 million (up 7.6%), gross margin 57.8%.

• EBITDA: €10,728 million (up 8.9%); EBIT: €7,600 million (up 11.0%).

• Profit before tax: €7,577 million (up 10.3%), representing 19.6% of sales.

• Free cash flow: €4,814 million; capital expenditure: €2.7 billion.

• Total tax contribution: €9.3 billion, with Spain accounting for €2.2 billion.

Outlook and guidance

• Early 2025 sales up 4% (1 Feb–10 Mar) in constant currency, with last commercial week up 7%.

• Annual gross space growth expected at ~5% for 2025-2026; ordinary capex for 2025 projected at €1.8 billion.

• Logistics expansion plan on track, with €900 million per year investment in 2024-2025.

• Guidance for stable gross margin within +/- 50 bps and a -1% currency impact on 2025 sales.

• Ambitious plans for continued efficient, profitable, and responsible growth, including new market entries and store openings.