The famous owner of Zara brand, Inditex has shown better than expected sales for the first half of the fiscal year again. The profit is much bigger than its analysts predicted.
An official report was released this Wednesday. So it left behind all its rivals in the clothing business again.
Experts believe that it outperformed other retailers of clothes thanks to its fast times of production. It allows Zara to change the collection according to the current weather and quickly react if there were some new waves in fashion.
Zara has conquered again its main competitor H&M, by showing the better number of income. Their factories in North Africa and Europe are able to transport new trend clothes within few days, while H&M has to wait for the products from Asian manufacturers for weeks.
According to the official data, oversized sweaters, dresses with floral ornaments, jumpsuits, and other fashionable items helped Zara to increase sales by 16 percent during half of the year. The profit of this company reached 1.26 billion euro. Reuters’ forecasts were 7 percent of the rise, while the real situation showed 8 percent of profit grows.
According to the analyst of Mirabaud, Gonzalo Sanz Martin, the new position of Inditex stocks differ from its rivals by almost 31 percent.
Meanwhile, experts noticed a small slowdown in sales from 1 of August till 18 of September. Immediately shares lost 0.9 percent. Still, Zara shares are still ahead of all its competitors, even with the slight decrease.