Inditex’s Transformational Year: Leadership Change, Growth, and Strategic Shifts

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despite the November 2021 rudder shift, Inditex appeared at the end of that month and only became fully effective on April 1, 2022, when Marta Ortega assumed the presidency. The change in leadership, with Pablo Isla remaining as chairman and Óscar García Maceiras as CEO, defined a new phase for the multinational. Over the following year, the Galician group navigated a period marked by strategic recalibrations, including the closure and sale of stores in Russia and Ukraine, wage increases for employees, selective price adjustments, a return policy overhaul for online orders, and the opening of a flagship mega store in Madrid. Here is a comprehensive summary of the last 12 months for the global fashion powerhouse.

In March 2022, on the 16th, the group reported its 2021 results, posting 3.243 billion euros in revenue, nearly triple the figure for 2020. The simultaneous public transition of leadership and the farewell of Pablo Isla, after a long tenure, underscored the new leadership dynamic. García Maceiras noted that while the decision to step into a larger role was a natural and busy process, Isla did not indicate retirement, leaving the door open for future comments. This moment highlighted a shift from a familiar leadership model to the new Ortega-Maceiras era.

April 2022 marked Marta Ortega’s first official day as CEO. She sent a letter to more than 165,000 employees thanking them for their efforts and asking for their continued support and patience. In the message, she shared her lifelong ties to Inditex, expressed pride in the workforce, and extended gratitude to Amancio Ortega and Pablo Isla. The company continued its expansion with a new Zara megastore in Madrid, located in the refurbished Plaza de España. This inauguration stood as Ortega’s first major store opening in her new role and also introduced the brand’s return-shipment process for online orders.

In May 2022, Zara began charging 1.95 euros for returns of online purchases in 30 countries, with Spain exempt for the time being. Returns made in stores remained free, reflecting a shift in the company’s omnichannel policy. By June, despite ongoing store closures in Russia, the conflict in Ukraine, and higher raw material costs, the Ortega-Maceiras leadership delivered strong first-quarter results. Revenues reached 6.742 billion euros, up 36 percent year over year, while profits climbed to 760 million euros, up about 80 percent.

Inditex entered 2022 as a partner in IndesIA, the Spanish industry AI consortium, joining forces with major players like Repsol, Gestamp, Navantia, Técnicas Reunidas, Telefónica, Microsoft, Airbus, and Ferrovial to bolster data technology and artificial intelligence in Spanish industry. In July 2020, Marta Ortega’s first shareholder meeting as president reinforced her commitment to the group founded by her father, noting that Inditex is a place where she grew up personally and professionally. Shareholders approved her appointment as chair and CEO Óscar García Maceiras, and the meeting approved a 19.7 million euro severance for Pablo Isla.

August 2022 saw Inditex stock recover from the early 2022 volatility driven by geopolitical tensions and management changes. After dipping to levels not seen since 2013, the stock rebounded—rising roughly 23 percent in the following 90 days and continuing to gain into early 2023—reflecting investor confidence in the strategic leadership and the brand’s resilience.

September 2022 presented the first semester results, highlighting the best six months in company history. Revenue from February to July climbed by 24.5 percent to 14,845 million euros, with profits increasing by 41 percent to 1,794 million euros. The period demonstrated that neither the war in Ukraine nor higher raw materials and energy costs nor store reductions abroad hindered performance; the results stood as a testament to robust demand and efficient execution.

In October 2022, Inditex completed its exit from Russia, selling hundreds of stores to the Emirati Daher group and announcing the closure of its operations after payroll obligations were settled for roughly 9,000 employees, costing about 231 million euros. The company also rolled out Zara Pre-Owned, a platform enabling users to resell, repair, and donate vintage garments, signaling Inditex’s engagement with second-hand, rental, and recycling trends as part of its sustainability strategy.

November 2022 marked one year since the leadership transition’s announcement. The group announced the departure of Carlos Crespo, a trusted lieutenant of Pablo Isla who had served as CEO from July 2019 to November 2021, signaling ongoing governance adjustments as Ortega solidified her strategic direction.

December 2023 closed with the presentation of the third-quarter results, which again broke records. Earnings for August through October reached 1,301 million, surpassing the prior year’s 1,227 million, and the company crossed the 8,000 million euro revenue threshold for the second consecutive quarter. Inditex continued to push sustainable innovation in the textile sector, with Zara Home introducing a detergent designed to reduce microfiber shedding by up to 80 percent during washing.

Marta Ortega acknowledged that 2022 posed significant challenges but stressed that the year also carried large-scale projects in the pipeline. In a Christmas message to workers, she emphasized pride in the company her father founded and highlighted the ongoing commitment to growth and human capital, underscoring leadership continuity and a future-focused strategy.

January 2023 saw a new chapter for Inditex as it formed the Spanish Retail Textile Association (ARTE) with peers such as H&M, Mango, Primark, Iberian Sports Retail Group, and Uniqlo, while Acotex split from the Businessmen’s Association to pursue independent industry advocacy. The group also established its own waste-management initiative with other fashion chains and joined collaborations with Decathlon, H&M, IKEA, Kiabi, Mango, and Tendam to foster collective recycling efforts. Toward month-end, the company announced plans to add more than 1,500 roles across stores, logistics, warehouses, and offices and to double the number of disabled employees over the next two years.

February 2023 brought a landmark wage agreement, negotiated with unions, to raise pay for 36,000 store employees across Spain. Entry-level wages for the lowest-paid workers were set between 21,500 and 22,500 euros, reinforcing Inditex as a leading employer in the Spanish textile sector. Concurrently, Zara announced a 1.95-euro return fee for online purchases shipped to Spain, while in-store returns remained free. This shift coincided with Inditex’s market value approaching 90,000 million euros, the highest since December 2021. The equity story remained strong as the company continued to demonstrate resilience amid geopolitical and market headwinds.

Former President Pablo Isla later explained to the Financial Times that he had full confidence in the governance model and the delegation of authority, underscoring stability in leadership as Inditex continued to execute its long-term strategy. (Cited from corporate statements and annual reports)

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