Inditex reported a first quarter net profit of 421 million euros on Wednesday, a figure which easily beat analysts' expectations but was still a third above the pre-pandemic levels for the same period a year ago.
The companies polled by Refinitiv had a net profit of 359.29 Billion Euro for the home of Zara, which was said to be the second largest item in the sector.
The 2019 revenue for February-April quarter reached 4.9 billion euros, slightly less than the first quarter of 2020, but still well short of the 5.93 billion euro projection in that quarter.
Online sales were up from last year by two-thirds as lockdowns kept stores across the world closed or operating under limited capacity for much of the quarter.
The company said 98% of its stores were available by June 6, but with about 10% fewer opening hours due to pandemic-related restrictions. A total of 24% of business hours were lost through the quarter to store closures and restrictions.
Sales between May 1 and 6 were more than doubled compared with the same period last year and were raised in 2019 5% compared to the same period, indicating a post-lockdown spike in demand also seen by other retailers including Next and Abercrombie Fitch Co.
The results show a progressive recovery even though they have been adversely affected by the health situation with the temporary closure of the stores in key markets like Germany, France, Portugal and Brazil. It said the company.
Earnings before interest, taxes, depreciation and amortisation stood at 1.23 billion euros, nearly triple last year's earnings but still 27% below 2019 levels.
The Shares of the company closed on Tuesday at 32.3 euros, first matching the pre-pandemic levels since March 2020.