Zara sales soar as liberated shoppers let rip
STORY: Sales at Zara are soaring.
Owner Inditex said Wednesday (June 8) that its quarterly profit jumped 80%.
The gain came as consumers stuck at home during the health crisis revamped their wardrobes.
Net profit for February to April hit around $812 million, in line with analyst forecasts.
First-quarter sales were up 36%, as the company managed to offset higher costs with price increases.
Early indications suggest the next quarter might not be as good though.
Sales were only up 17% from May into early June.
The conflict in Ukraine is also a drag on income.
Inditex shut its 502 shops in Russia following the start of fighting.
The country had been its second-largest market by number of stores.
However, the ongoing recovery in the UK, U.S. and Europe helped offset the losses from Russia.
Inditex shares rose over 4% in early trades following the earnings news.
