Inditex (ITX) Q4 2025 (Media) earnings summary

Executive summary

• Achieved record sales of EUR 39.8–39.9 billion in 2025, up 3.2% year-over-year, with growth across all formats, concepts, and geographies, both in stores and online.

• Net profit rose 6% to EUR 6.22 billion, supported by disciplined cost management, strong gross margin, and innovation.

• Over 400 store projects completed, including 190 new openings and 200+ renovations, with continued global expansion and entry into new markets.

• Focus on innovation, sustainability, and digital transformation, including AI-driven customer experiences and talent development.

• All commercial concepts delivered positive sales growth, with strong customer reception for collections.

Financial highlights

• Sales reached EUR 39.8–39.9 billion, up 3.2% year-over-year; constant currency growth exceeded 7%.

• Gross margin was EUR 23.2 billion, representing 58.3% of sales, up 42 basis points from 2024.

• EBITDA rose 5% to EUR 11.3 billion; EBIT up 5.9% to EUR 8.0 billion.

• Net profit grew 6% to EUR 6.22 billion; net profit margin at 15.6%.

• Free cash flow was EUR 4.7 billion; net cash position at EUR 11.0 billion at period end.

Outlook and guidance

• 2026 investments will focus on enhancing commercial presence in both physical and online channels, with 5% gross space growth expected.

• Ordinary capital expenditure for 2026 estimated at EUR 2.3 billion, focused on space optimization, technology, and online platforms.

• Dividend of EUR 1.75 per share planned for 2026, paid in two equal installments.

• Early 2026 sales (Feb 1–Mar 8) up 9% year-over-year, indicating a strong start.

• Anticipates stable gross margin (+/- 50 bps) and a -1% currency impact on sales in 2026.