Inditex sees fall sales surge after first-half slowdown

STORY: Fashion giant Inditex showed signs of bouncing back from a first-half slowdown on Wednesday (September 11).

The Zara owner reported stronger recent sales of its first autumn-winter collections.

It said sales in August and early September saw an 11% boost in constant currency compared with a year ago.

That's a brighter signal compared to the first half, where sales growth was almost cut in half compared to a year before, partly due to a wet and cold June in its biggest market, Spain.

Still, Inditex reported a 10% rise in first-half profit amid tougher times for fashion retailers in Europe.

The world's largest listed fashion retailer posted net income of just under $3.1 billion despite the headwinds, slightly better than analysts forecast.

The company has fought to stay ahead of competitors such as H&M and fast-growing Chinese rival Shein.

It has invested in logistics and technology to deliver fashion trends faster and made efforts to minimise price increases on everyday items.

Zara hiked prices more slowly than in the past over the second quarter, and less than H&M, in the U.S., according to industry data.

Among new initiatives, it will roll out its pre-owned clothing app to the U.S. in the coming months.

And it will start live shopping broadcasts in key markets following a successful trial in China.

Inditex shares were up over 3% after the update.