Spain's Inditex sees Q1 profits slip on strong euro, first fall for quarter since 2009

MADRID – Spanish fashion retailer Inditex, which owns Zara stores, says its net profit fell by 7.3 per cent in the first quarter as a strong euro dented earnings in other currencies.

The company said Wednesday that profit for February to April was 406 million euros ($550 million) compared with 438 million euros for the same period last year. It was the company’s first fall for the quarter since 2009. The fall came despite a 4 per cent rise in sales to 3.75 billion euros.

Inditex said it opened 53 new stores during the period, taking its total around the world to 6,393.

Founded in 1975 by Amancio Ortega, Inditex operates eight brands including Massimo Dutti, Bershka and Oysho.

The company’s share price rose 1.5 per cent t0 111.95 euros in morning trading in Madrid.