- Sales Growth: Constant currency sales rose 6.2% to EUR 28.2 billion in 9 months 2025.
- Gross Margin Expansion: Improved 79 basis points to 21.2%, driven by efficient business model execution.
- Profitability: Pre-tax profit grew 3.6% to EUR 6 billion, while net income increased 3.9% to EUR 4.6 billion.
- Store and Online Sales Momentum: November 1–December 1 sales surged 10.6% in constant currency.
- Logistics Investment: EUR 1.8 billion in capex for 2025, plus EUR 900 million annually for two years to expand logistics capacity.
Operational Highlights
The company's diversification across 214 markets continues to support its growth opportunities, with low market penetration in most countries. Store and online sales in constant currency between November 1 and December 1 grew by 10.6%, indicating a strong momentum. CFO Andrés Sánchez noted that sales grew at 4.9% in Q3, despite being impacted by 350 basis points of currency headwinds.
Margin and Expense Management
Inditex's EBITDA advanced 4.2% to EUR 8.3 billion, with a PBT margin reaching 21.2%. The company demonstrated flexibility in its business model, with operating expenses growing 33 basis points below sales growth. Gross margin guidance for the full year 2025 remains stable, with a slight bias to the positive side.
Growth Strategy and Investments
Inditex continues to invest in enhancing the customer experience, with a focus on store upgrades, technology, and logistics expansion. The company expects annual gross space growth to be around 5% in the period 2025-2026. Ordinary capital expenditure is estimated at approximately EUR 1.8 billion for 2025, with a 2-year extraordinary investment program allocating EUR 900 million per year to increase logistic capacities.
Valuation and Outlook
With a P/E Ratio of 28.27 and an EV/EBITDA of 15.35, Inditex's valuation suggests a premium for its growth prospects. Analysts estimate next year's revenue growth at 6.8%. The company's strong performance, coupled with its growth strategy and investments in stores and logistics, is expected to drive future growth. The ROE of 32.34% and ROIC of 27.93% indicate a strong return on equity and invested capital, respectively.