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Inditex credits its online business

for 12% profit in first quarter

Inditex, the Spanish retail that hold the title of the percent to hit a new high of €5.9 billion. The
world's largest clothing retailer, reported a 12 percent statement said that the growth was driven by its
increase in their net profit reported at €2.7bn in the ongoing digital transformation of integrated store and
first nine months of the year. Inditex credited its online online sales platform. However, the company clarified
business for the increase in profits in the first quarter. that it had applied a new accounting standard for the
period, without which net profits would have
The company owns the Zara clothing brand and its increased 7 percent. The company sees its sales
other properties include Massimo Dutti, Pull & Bear,
Bershka and Oysho, reported a net profit increase by increase to from 4 to 6 percent this year.
12 percent year-on-year to €734 million ($831 million)
between February 1 and April. Inditex launched Zara online sales in Brazil in March
in order to catch up to internet retail giants. The
Inditex’s main rival, Sweden’s H & M reported a net company has planned 17 more launches for the rest
profit of €77 million in its first quarter. Factset of the year, many of them in the Middle East.
predicted an increase in the company’s profit earlier
to an average of €736 million. Inditex shares also increased by 0.3 percent in early
trading on the Madrid stock exchange, which was
Inditex said in a statement that sales jumped 5 down 0.4 percent.

PRGMEA wants soft loans from

government to adopt new tech

The Pakistan Readymade Garments Manufacturers He said that the country was fast becoming a
and Exporters Association (PRGMEA) has demanded promising market for global retailers and brands.
that the government provide soft loans to exporters Khokhar said that Pakistan was a contributor to the
of the garment industry of Pakistan so that they can world’s textile and apparel markets and in the last
upgrade their industrial units and adopt new decade, the capacity of spinning, weaving and
technology. apparel making had grown tremendously, especially
in Asian countries.
Talking to local media, PRGMEA Chief Coordinator
Ijaz A Khokhar said that the apparel industry was Khokhar said that the world market of apparel had
influenced by technological developments. He said changed at a rapid pace and this had an impact on
that management performance, product the economy of Pakistan, including the labour
development, marketing and similar sections of the market. He said that there was a close relationship
industry were dependent on technology. He said that between apparel industry and human development in
modernizing industrial units would enable developing countries. He said that in these
businessmen to improve the quality of their products circumstances, there was a need for reshaping the
as well as enabling them to cope with the future not only for the apparel sector, but also for the
fast-changing global trends. whole country.

November/December 2019