Inditex, the owner of Zara, has become the latest retailer to reveal a knock to profits after the summer heatwave.
In the Spanish group’s latest trading update, Inditex revealed lower-than-expected sales and profits causing shares to dip 4%.
“The company decided not to participate in the promotional activity widely seen in the sector since September,” said the retailer.
Pablo Isla, the group’s chief executive, said the group had a “strong business model, which continues to deliver solid structural growth in all markets, along with our constant focus on developing the integrated store and online platform through continued enhancement of technology and systems”.
Inditex is not the only retailer feeling the effect from the warmer than usual summer. Superdry (LON: SDRY) posted a 49% fall in profits on Wednesday. The group posted underlying pre-tax profits of £12 million in the six months to the end of October and expects full-year profits of between £55 million and £70 million.
Shares in Inditex (BME: ITX) are trading -4.48% at 25,15 (1412GMT).