Zara-owner Inditex books first quarterly loss
Zara owner Inditex confirmed its first quarterly loss on Wednesday (June 10).
That after the Spanish company was forced to shut almost 90% of its stores from February to April.
Inditex recorded a net loss of $465 million as global lockdowns kept shoppers at home, but the retailer said the rapid drop in sales had since slowed down.
Sales adjusted for currency movements fell 34% in early June on a year before, compared to a 51% slide in May.
The fashion giant now expects shops in all key markets to open by the end of June.
Online sales have already boomed - rising 95% in April.
The firm is also sticking with big plans for the near future.
Inditex said it will invest 900 million euros a year - or just over one billion U.S. dollars - in the next three years.
The aim is to focus on its online business and large stores in prime shopping areas - while closing around 1,000 of its smaller stores.
It expects virtual sales to account for more than a quarter of business by 2022, compared to 14% now.
Retail rivals H&M and Gap have all reported a sharp drop in sales as global lockdowns kept stores shut.
H&M warned in April it would make its first quarterly loss in decades in March to May.
