Owner of fast fashion brand Zara sees sales up 10% to €9.8bn

Zara owner Inditex said sales grew 10.6% over the start of its fourth quarter, beating analysts' expectations for the November period that includes the crucial Black Friday sales. Picture: Tim Ireland/PA Wire

Zara owner Inditex said sales grew 10.6% over the start of its fourth quarter, beating analysts' expectations for the November period that includes the crucial Black Friday sales.

The results from Inditex, widely seen as a bellwether for global fast fashion, offer an early read of how retailers fared during the key discounting season, and signal a strong start to the company's biggest revenue quarter.

Inditex other brands include Bershka, Stradivarius, Pull & Bear, Oysho, Massimo Dutti, and Lefties. Inditex had 5,528 stores globally across its brands by October 31, down from 5,667 a year earlier. Shares in the company jumped 7% in Wednesday morning trading to a nine-month high.

The Spanish fast-fashion group also reported robust third-quarter results to October 31, with currency-adjusted sales up 8.4% to hit €9.8bn, higher than the €9.69bn forecast by analysts.

"In the nine months of 2025, we have generated a strong performance, with sales growth in a complex market environment while maintaining very satisfactory levels of profitability," chief executive Oscar Garcia Maceiras told analysts.

Inditex did not provide a regional breakdown on Wednesday, but Spain's strong economy may be providing a boost to the retailer which makes around 20% of revenue in its home country, said Bernstein analyst William Woods.

"Spain has just been phenomenal; the Spanish economy is working and people are buying more clothes," he said.

Across Europe, consumer demand has been tepid as shoppers trade down from high-street fashion to cheap online platforms such as Shein.

But Inditex has done better in the face of competition than rival H&M, which sells at lower prices on average.

Asked whether an EU plan to end the duty exemption for cheap parcels in 2026, used thus far by Shein, would ease competitive pressure, Inditex's investor relations head declined to comment, saying only that the company does not use that exemption.

In the United States, its second-biggest market after Spain, Inditex still sees opportunities to grow, Garcia Maceiras said, announcing plans to launch its Bershka brand there, with its two first stores in the Miami area next year.

The Zara owner delivered strong third-quarter growth despite unusually warm October weather in parts of Europe that weighed on sales of higher-priced autumn and winter items, including jackets and coats.

Gross profit for the third quarter was up 6.2% to €6.1bn, with gross margin hitting 62.2%, up from 58.3% in the first six months of the year.

After nearly three years of strong gains, Inditex shares have stalled this year as investors worried about slower sales growth.

In its drive to create a more premium shopping experience, Inditex has been closing smaller stores and opening new, bigger flagships that deliver higher revenues.