Spanish retail giant Inditex has reported a first-quarter net profit of €421m, a number that easily beat analysts' expectations but was still a third below pre-pandemic levels for the same time a year ago.
Six analysts polled by Refinitiv had estimated a net profit of €359.29 billion for the home of the Zara clothing chain.
Revenue for the February-April quarter reached €4.9 billion, 48% more than in the first quarter of 2020, but still well short of 2019's €5.93 billion.
Online sales were up by two-thirds from last year as lockdowns kept stores across the world closed or operating under limited capacity for much of the quarter.
The company said 98% of its stores had reopened by June 6, but with around 10% fewer opening hours available due to pandemic-related restrictions.
A total of 24% of business hours were lost through the quarter to store closures and restrictions.
Sales between May 1 and June 6 more than doubled compared with the same time last year, and were up 5% compared with the same period in 2019.
This indicated a post-lockdown spike in demand also seen by other retailers including Next and Abercrombie & Fitch.
"The results show a progressive recovery even as they have been materially affected by the health situation with the temporary closure of stores in key markets like the US, France, Germany, Italy, Portugal and Brazil," the company said.
Earnings before interest, taxes, depreciation and amortisation (EBITDA) stood at €1.23 billion, nearly triple last year's earnings, but still 27% below 2019 levels.
The company's shares closed at €32.3 yesterday, matching pre-pandemic levels for the first time since March 2020.
