Inditex Shares Drop 7% as Sales Growth Slows in Early 2025

The Zara owner's strong 2024 financial performance is overshadowed by concerns about a weaker start to the new fiscal year and uncertain consumer sentiment.

Inditex reported a 10.5% increase in 2024 sales, reaching €38.6 billion, driven by strong performance across its brands and global markets.
Despite robust annual results, sales growth slowed to 4% from February 1 to March 10, 2025, compared to 11% growth during the same period last year.
Investors reacted negatively to the slowdown, with Inditex's share price falling over 7% to a seven-month low, raising concerns about consumer confidence and economic volatility.
The company continues to invest in logistics and store optimization, allocating €900 million annually in 2024 and 2025, while expanding into new markets like Uzbekistan and Iraq.
Inditex's CEO expressed confidence in the company's execution for the year ahead but acknowledged challenges such as unpredictable economic conditions and U.S. tariff uncertainties.