2015 Financial Year Zara Australian Corporation Net Profit Surged 49.6%

As report goes,

Australian Corporation Group Zara Australia rose double digits in revenue and profit in fiscal 2015, which also gave its shareholders a high return.

As of January 31st this year, Group Zara Australia, which entered the Australian market in April 2011, recorded a 222 million Australian dollar income, up 24% over the same period last year.

The rise was mainly driven by two new stores in Brisbane and Miranda.

As of the end of fiscal year 2015, Zara operates 15 stores and 1100 employees in Australia.

At the same time, Group Zara Australia recorded a net profit of 15 million 260 thousand Australian dollars in fiscal year 2015, up 49.6% over the same period last year. EBIT has increased to 15 million 500 thousand Australian dollars in the 2014 fiscal year to 23 million 600 thousand Australian dollars, a sharp increase of 52.3%.

Industry figures say that about 10% of the annual rate of return, though not very good, has been excellent in the apparel industry.

It is reported that Group Zara Australia shareholder Zara Holdings and Australian Regal Solomon Lew Holdings International Brand Management obtained a 55 million Australian dollar dividend from the company last year.

In addition, the shareholding of Solomon Lew's family in Group Zara Australia dropped from 20% to 10% while Inditex SA (Indo Textile Group) increased to 90%.

Zara is also the best performing in Australia.

Brand, its competitors

Although sales increased by 300% to 118 million 900 thousand Australian dollars last year, it is still in a state of deficit; and the size of H&M in Australia is also less than Zara, and its sales in Australia in the second half of November were 78 million Australian dollars, an increase of 200%.

In fact, in the global market, Indo Textile Group, the world's largest fashion retailer with fast fashion brands such as Zara, Bershka and Pull&Bear, is also performing best. In fiscal year 2015, the group once again consolidated its position with strong sales and profit growth.

According to the data, in the 2015 fiscal year ended January 31, 2016, the sales of the Indo Textile Group's sales for one year or more, accounting for 78% of net sales, recorded a 8.5% increase, which was significantly faster than the 5% in the 2014 fiscal year. Moreover, the group has increased 330 new stores in 56 markets during the year, and the two major driving force has pushed the annual net sales to the first time over 20 billion euros, reaching 20 billion 900 million euros, which is higher than the euro of 2014 fiscal year.

Among them, the main brand Zara annual sales increased by 17.5% to 13 billion 628 million euros, while home brand Zara Home led by 21.5% growth rate, selling 666 million euros.

Among the four one billion brands, Stradivarius, Bershka and Pull&Bear increased by more than 10%. Only the high-end Massimo Dutti increased by 6%. If Bershka could maintain the growth of 12.7% last year, the revenue will exceed 2 billion euros this year.

Underwear brand sales of 452 million euros, an annual increase of 8.7%.

In the 2015 fiscal year, Indo Textile Group achieved 15% net profit growth, the highest growth rate in the past three years.

Core profit EBTIDA (profit before interest tax depreciation amortization) 4 billion 699 million euros increased 14.5% compared with 4 billion 103 million euros in fiscal year 2014.

The group announced an annual dividend of 0.60 euros per share, an increase of 15.4% over the same period last year.