Inditex, parent company of Zara, reported a 4% sales growth in Q1 2025, down from 11% last year, amid concerns about weakening consumer demand. Despite this, the company plans a 9% dividend increase and €1.8 billion investment in growth, with expansion into new markets.
Inditex, the parent company of Zara, reported a slower start to its first quarter for 2024, with sales up just 4% in currency-neutral terms from February 1 to March 10, compared to 11% growth during the same period last year. Despite strong overall sales and profit figures for 2024, meeting analysts’ expectations, concerns about weaker consumer demand are growing.
Inditex has seen rapid growth in recent years, driven by Zara's market share gains over rivals like H&M, and its share price has more than doubled in the last three years. However, analysts are concerned about the impact of weakening demand, especially in key markets like the United States. Bernstein analyst William Woods highlighted a “softer exit rate” for the quarter, noting the company would need a significant acceleration in the coming weeks to meet expectations.
Despite this, Inditex remains committed to profitable growth, with plans to increase its dividend by 9% and invest 1.8 billion euros in store refurbishments, technology, and online platforms. The company is also expanding its reach, with plans to open new stores in Iraq, Sweden, the Netherlands, and Germany.
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The Philippines remains under a "severe threat" from China despite recent efforts by Washington and Beijing to ease tensions, Philippine Defence Secretary Gilberto Teodoro said on Saturday (30 May).
Russia has recalled its ambassador to Armenia for consultations, citing Yerevan's growing rapprochement with the European Union. The move is seen as the latest sign of deteriorating relations between the longtime allies ahead of Armenia's parliamentary election on 7 June.
Thai rescuers say five people have been pulled alive from a flooded cave in remote Laos, where seven villagers became trapped after heavy rain cut off access underground.
Start your day informed with the AnewZ Morning Brief. Here are the top stories for 30 May, covering the latest developments you need to know.
A group of Azerbaijani civil society organisations has called for increased scrutiny of Swiss building materials giant Holcim, citing court rulings and ongoing investigations linked to its subsidiary Lafarge's activities during the Syrian conflict.
The World Health Organization (WHO) says ongoing conflict, funding pressures and international travel restrictions are complicating efforts to contain a fast-growing Ebola outbreak in the Democratic Republic of Congo (DRC).
Thai rescuers say five people have been pulled alive from a flooded cave in remote Laos, where seven villagers became trapped after heavy rain cut off access underground.
Russia and Kazakhstan signed 15 agreements during President Vladimir Putin’s state visit to Astana on Thursday (28 May), including deals on Kazakhstan’s first nuclear power plant and expanded oil cooperation with Russia.
European companies are continuing to deepen their presence in China, with nearly seven in ten firms maintaining or expanding their supply chains despite global efforts to diversify, according to a new survey by the EU Chamber of Commerce.
BP has removed its chair, Albert Manifold, with immediate effect, citing concerns over governance and conduct. The company said its board had unanimously decided that Manifold should no longer serve as chair or director.
The dual-class share structure outlined in SpaceX’s initial public offering (IPO) filing, which gives chief executive Elon Musk outsized control, has reignited one of Wall Street’s longest-running debates over corporate governance.
Kevin Warsh will be sworn in as chair of the U.S. Federal Reserve on Friday as policymakers consider higher interest rates to tackle inflation linked to the Trump administration’s Iran policy.
A government-mediated agreement has suspended an 18-day walkout by about 48,000 Samsung union members, easing fears of damage to South Korea's economy and global chip supply.
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