Zara does not know the crisis and beyond H&M in the race for profits

The Spanish Inditex, the world textile business volume with its flagship brand, Zara, continued in 2001 its international expansion strategy, particularly in Asia, which has allowed him to turn his Swedish rival H & M in net profit.

The benefits, which rose 12% to 1,932 million euros in the year ended in late January, is slightly higher than market expectations.

All his other indicators are also positive: turnover up 10% to 13.793 million euros and earnings before interest, taxes, depreciation and amortization (EBITDA) also won a 10% to 3,258 million euros.

Inditex, created 40 years in Galicia, followed by opening more stores in 2011 and now has 5,527 in 82 countries, with the brands Zara (two-thirds of sales), Pull and Bear, Bershka and Massimo Dutti.

Unlike its competitor H & M, whose net income fell 15% in 2011, to 1,790 million euros, seems to be impervious to the crisis.

“We had an increase in sales in different markets,” welcomed on Wednesday the chairman of Inditex, Pablo Isla, who was, in 2011, the Spanish executive highest paid (20.3 million euros between wages and shares).

The economic crisis, encourages households to consume less?. To island, the answer is clear: “we always thought that the evolution of the company depends much more on ourselves than the general economic environment.”

Can have an impact on rising costs of raw materials, cotton head, as he suffered H & M? “As a result of the production model we have, flexibility and proximity, and the long relationship we have with our suppliers, we do not think that will have any special impact in our case, “he insists with a smile.

To maintain price line, the group produced 50% of its clothes in Spain, Portugal and Morocco this year and plans to enlarge its facilities in Galicia and open a logistics center in Barcelona. Only about a third of its production comes from Asia.

Although this region of the world in terms of sales, remains a priority and of the 483 stores opened last year, 132 are located in China. A country considered as “one of the fastest growing markets for Inditex brands” and will be the next to enter the online store brand Zara, for autumn-winter 2012, a fact “that we will give an enormous strategic importance, “said Island In that country,” we open about 130 stores per year in the coming years, “he said.

The group also increased its presence in Japan, South Korea and India.

The region now accounts for 18% of sales (versus 15% a year), while the weight of Spain, immersed in the crisis, continues to decrease, up to 25% vs. 28% in 2010.

In total, Inditex landed in 2011 in five new countries: Australia, Taiwan, Azerbaijan, South Africa and Peru, allowing you to be present on five continents.

The rate will not decline in 2012, when the group plans to open between 480 and 520 new stores. The “2012 will be a year of strong expansion of Inditex,” promised Paul Island

The increase in sales seems to follow on the agenda of Inditex as a constant exchange rates and out of the calendar effects, are up 11% year on year in the last few weeks.

The Spanish group, which is declared “very happy to your online business” but gives no figures on this, already sells online in 18 European countries, the United States and Japan.