The company that owns Zara, Inditex, said on Wednesday it plans to raise prices again in the Northern Hemisphere as one of the world’s biggest clothing retailers tries to end the rising prices.
After a price increase in the first half, Inditex will raise prices again in the second half of the year, said the company’s chief financial officer, Ignacio Fernández.
The company posted a 41% jump in revenue in the six months to the end of July from a year earlier, while net sales were down about a quarter.
“The level of innovation, quality and design of our collections drives our sales, but we are clear that we are always considering a fixed price policy,” said Fernández, pointing to a single-digit price increase.
The CEO of the company, Óscar García Maceiras, said that sales have increased in recent weeks and that he is very confident in the long-term growth of the company, although the concerns investors are concerned about the decline in demand for the species amid rising costs of living.
The results were higher than analysts’ expectations and, at around 11:00 am (Brasília time), Inditex shares rose 3.5%.
Inditex said it reached 57.9% during the July period, the highest in seven years.
The company has slightly expanded its inventory to avoid chain problems, and sales are growing rapidly in America, where America has become the company’s biggest market after Spain.