Start of FY2013
Store sales in local currencies, adjusted for the calendar effect of an extra trading day in February 2012 due to the leap year, have increased by 12% from 1 February to 11 March 2013. The Spring/Summer season is influenced by the performance over the Easter period due to its significant sales volumes.
Capital Expenditure in FY2013 is expected to be approximately €1.25 billion driven mainly by the addition of new retail space during the year.
INDITEX continues to optimize its retail base through the enlargement of flagship stores, the rollout of the new store image and larger average stores.
FY2013 space growth is expected to be in line with its long term targets. Net store openings are expected to be 440-480 in FY2013. Approximately 70% of the new contracts have been signed but in some cases openings may not take place in FY2013.
| Concept | Range | |
|---|---|---|
| Zara | 110 | 115 |
| Pull & Bear | 40 | 45 |
| MD | 45 | 50 |
| Bershka | 75 | 80 |
| Stradivarius | 95 | 100 |
| Oysho | 35 | 40 |
| Zara Home | 35 | 40 |
| Uterqüe | 5 | 10 |
| Total | 440 | 480 |
Zara began online sales in Canada on 6 March 2013. Zara plans to launch online sales in the Russian Federation in the Autumn/Winter season.
FY2013 corporate calendar
INDITEX expects to release interim results for FY2013 on the following dates:
| Interim Three Months | 12 June 2013 |
|---|---|
| Interim Half Year | 18 September 2013 |
| Interim Nine Months | 11 December 2013 |
| Fiscal Year | March 2014 (tbc) |
For additional information:
Investor Relations
INDITEX
+34 981 18 53 64
ir@inditex.com
Disclaimer
This document is of a purely informative nature and does not constitute an offer to sell, exchange or buy, or the solicitation of an offer to buy, securities issued by any of the companies mentioned herein.
This document contains forward-looking statements. All statements other than statements of historical fact included herein, including, without limitation, those regarding our financial position, business strategy, management plans and objectives for future operations are forward-looking statements. Any such forward-looking statements are subject to risk and uncertainty and thus could differ materially from actual results.
Some of these risks include, amongst others, ongoing competitive pressure in the sector, consumer tastes and spending trends, economic, political, regulatory and trade conditions in the markets where the INDITEX Group is present or in the countries where the Group’s products are manufactured or distributed.
The risks and uncertainties that could affect the forward-looking statements are difficult to predict. The company assumes no obligation to publicly revise or update its forward-looking statements in the case of unexpected changes, events or circumstances that could affect them. Given the uncertainties of forward-looking statements, we caution readers not to place undue reliance on these statements.
For a discussion of these and other factors that may affect forward looking statements and the INDITEX Group’s business, financial conditions and results of operations, see the documents and information communicated by the company to the Comisión Nacional del Mercado de Valores (the Spanish Securities Commission).
The contents of this disclaimer should be taken into account by all persons or entities.
Consolidated financial statements
FY2012 profit & loss statement
| (Million Euros) | FY2012 | FY2011 |
|---|---|---|
| Net sales | 15,946 | 13,793 |
| Cost of sales | (6,417) | (5,612) |
| Gross profit | 9,529 | 8,180 |
| Gross margin | 59.8% | 59.3% |
| Operating expenses | (5.605) | (4.919) |
| Other net operating income (losses) | (12) | (3) |
| Operating cash flow (EBITDA) | 3,913 | 3,258 |
| EBITDA margin | 24.5% | 23.6% |
| Amortisation and depreciation | (796) | (736) |
| Operating income (EBIT) | 3,117 | 2,522 |
| EBIT margin | 19.5% | 18.3% |
| Financial results | 14 | 37 |
| Income before taxes | 3,131 | 2,559 |
| EBT margin | 19.6% | 18.6% |
| Taxes | (764) | (613) |
| Net income | 2,367 | 1,946 |
|
|
14.8% | 14.1% |
|
|
|
|
| Earnings per share, cents of euro* | 379 | 310 |
Consolidated Balance Sheet as of 31 January 2013
| (Million Euros) | 31 January 2013 | 31 January 2012 |
|---|---|---|
| ASSETS |
|
|
| CURRENT ASSETS | 6,692 | 5,437 |
| Cash & cash equivalents | 3,843 | 3,467 |
| Short term investments | 261 | 0 |
| Receivables | 848 | 531 |
| Inventories | 1,581 | 1,277 |
| Other | 160 | 162 |
| NON CURRENT ASSETS | 6,198 | 5,522 |
| Tangible assets | 4,745 | 4,083 |
| Intangible assets | 820 | 832 |
| Financial investments | 4 | 10 |
| Other | 629 | 597 |
| TOTAL ASSETS | 12,890 | 10,959 |
| TOTAL LIABILITIES & SHAREHOLDERS’ EQUITY |
|
|
| CURRENT LIABILITIES | 3,485 | 2,703 |
| Payables | 3,409 | 2,679 |
| Financial debt | 2 | 1 |
| Other | 74 | 23 |
| NON CURRENT LIABILITIES | 923 | 801 |
| Financial debt | 4 | 2 |
| Deferred taxes | 192 | 183 |
| Other | 727 | 617 |
| SHAREHOLDERS' EQUITY | 8,482 | 7,456 |
| Equity attributable to the Group | 8,446 | 7,415 |
| Minority interests | 36 | 41 |
| TOTAL LIABILITIES & SHAREHOLDERS' EQUITY | 12,890 | 10,959 |
FY12 Consolidated Statement of Cash Flows
| (Million Euros) | FY2012 | FY2011 |
|---|---|---|
|
|
|
|
| Income before taxes | 3,131 | 2,559 |
|
|
|
|
| Adjustments to income |
|
|
| Depreciation and amortization | 811 | 693 |
| Foreign exchange impact | (14) | (29) |
| Other | 146 | 83 |
|
|
|
|
| Corporate income tax | (818) | (693) |
|
|
|
|
| Funds from operations | 3,256 | 2,613 |
| Changes in assets and liabilities |
|
|
| Increase in inventories | (376) | (57) |
| Increase in accounts receivable | (289) | (80) |
| Decrease in current liabilities | 529 | (67) |
| Changes in working capital | (137) | (204) |
|
|
|
|
| Cash from operations | 3,119 | 2,408 |
| Intangible assets investments | (122) | (122) |
| Tangible assets investments | (1,193) | (1,082) |
| Acquisitions of businesses | 0 | (106) |
| Addition to other long-term financial investments | 0 | (13) |
| Other assets investments | (24) | (27) |
| Variations in short-term financial investments | (261) | 0 |
| Capital expenditure | (1,599) | (1,349) |
| Net decrease in long-term financial debt | 4 | (23) |
| Net decrease in other long-term debt | 0 | (0) |
| Net increase in current debt | 1 | (14) |
| Dividends | (1,130) | (1,004) |
| Other financing activities | 0 | 1 |
| Cash used in financing activities | (1,125) | (1,041) |
| Net increase in cash and cash equivalents | 394 | 19 |
| Cash and cash equivalents at beginning of the year | 3,467 | 3,433 |
| Foreign exchange impact on cash & cash equivalents | (18) | 14 |
| Cash and cash equivalents at end of the year | 3,843 | 3,467 |
