Industria de Diseño Textil, S.A.

Buenos dias a todos. Good morning. We would like to extend a warm welcome to all those attending the presentation of InterTexas results for the first three months of financial year 2026. I'm James O'Shaughnessy, Investor Relations. Going forward, the first quarter and the third quarter results presentations will place greater emphasis on the financial and operational performance of the business over the period. With this in mind, today's presentation will be hosted by our Chief Financial Officer, Andres Sanchez, together with the Director of Investor Relations, Gorka García Tapia. Oscar García Mateiras, our CEO, will continue to provide a strategic update on INDATEX at the half-year and full-year results presentations. Once the presentation itself is complete, we will commence the usual Q&A session, starting with questions received over the phone, followed by those received via the webcast platform. Let's take the disclaimer as read. Over to you, Andrés.

Good morning to you all, and thank you for attending our first quarter 2026 results presentation. Having now served as CFO for just over a year, it is a privilege to present these results to you today. As you may have seen from the financial press release posted early this morning, Inditex has generated a strong performance over this first quarter. This is particularly relevant given the wider microeconomic and geopolitical uncertainty we have all been reading about in the newspapers in recent times. So now, let me highlight that Inditex's strong financial results were not only driven by a robust commercial performance, but also, importantly, by the strength and consistency of our operational execution. We'll comment on this further in a few moments, and I'm sure some of you will have questions on this. Before I dive into the numbers in more detail, let's just cover some of the main features of the quarter. Firstly, spring-summer collections so far this season have been very well received by our customers. Sales over the period increased by 5.8% or by 8.8% in constant currency. This execution has translated into a strong gross margin performance driven by the effective execution of our business model. At the same time, we have maintained a disciplined approach to cost management, enabling us to successfully contain costs across the business. In terms of overall profitability, net income has increased by 5.4% to reach 1.4 billion euros. And now to current trading. The very satisfactory performance of the first quarter has continued going into the second quarter. Storing online sales in constant currency between the 1st of May and the 1st of June grew 11.5%, positively impacted by calendar effects. Let's take a few moments to provide some more color on the numbers themselves. The numbers on this slide I think illustrate very well the sound performance in the first three months of this financial year 2026. Sales over the period have grown by 5.8%. In the context of recent events, close management of the supply chain has been of paramount importance. This factor, as you can see in conjunction with the executing well, has led to a very robust performance in terms of gross margin. Likewise, operating expenses have been well managed over the period, and this has resulted in operating expenses growing by 6.4%, very much in line with sales performance of the business. EBITDA has increased 7.3% to reach 2.6 billion euros. Moving further down the P&L, I am happy with the progress made at the net income level with an increase of 5.4% to reach 1.4 billion euros. Net sales over the period reached 8.7 billion euros, a growth rate of flash 5.8%. sales growth in constant currency over the same period was plus 8.8%. In terms of sales for the full year 2026, we continue to expect a minus 1% currency impact. And now over to gross profit, which increased 6.9% to reach 5.4 billion euros. As mentioned a few moments ago, the main driver of this performance was the robust execution of the business model. With this in mind, the cross-margin reached 61.2%, representing an increase of 67 basis points over the first quarter last year. You should take into consideration the effect sourcing benefit from the weaker US dollar and a limited impact in the quarter from higher fuel prices, due to the lag effect of transportation costs in COGS. In the wider context, I would say that we have exhibited a high level of flexibility and adaptability as reflected well in the results today. Based on current information, we would like to reiterate our gross margin guidance for the full year 2026 of plus minus 50 basis points. Passing over to operating expenses, we continue to be very vigilant regarding costs across the whole company, whether by department or by business line. In the period, operating expenses grew by 6.4%. As you would expect very broadly, cost growth tracked the evolution of sales. This cost efficiency contributed to the strong PVT margin of 20.1%. Before I pass it over to Gorka, who will highlight some important aspects of this quarter, a few comments on working capital. The discipline and flexibility of our operating model continues to support a strong working capital profile and efficient inventory management across the group. Inditex's inventory as of 30 April 2026 was 1% higher. This closing inventory is considered to be of high quality. And now a few comments from Gorka.

Thank you, Andres. I think the results today speak for themselves. They represent a very strong set of numbers which are underpinned by the healthy execution of our business model across the group. This performance is even more noteworthy when considered against the backdrop of the wider macroeconomic and geopolitical challenges seen in recent months. These conditions have had an impact on the sales of the Middle East region. However, the Group has continued to deliver overall sales growth at a global level, reflecting the strength of our collections and the broad diversification of our business. We have once again demonstrated a remarkable degree of adaptability, not only in terms of disciplined cost control, but also through the flexibility and resilience of our operating model. Thanks to the diversification of our supply chain and our demonstrated ability to rapidly adapt transportation methods, whether through air freight, sea freight, land transportation, or a combination of each of these, we've ensured an uninterrupted supply of high fashion products to all our stores globally. From a longer term strategic perspective, our ongoing retail optimization strategy, which focuses on important new openings, enlargements, and the refurbishments of stores, in the best global location remains very much the focus of our efforts. We are expanding all of our concepts into new cities and new territories, while at the same time launching new services aimed at enhancing the customer shopping experience. Currently, we have operations in 215 markets, with a relatively low market share in each of these. And let's not forget, the highly fragmented nature of almost all of these markets. All this offers us substantial future growth opportunities. With this in mind, retail optimization activities, you know, refurbs, relocations, new openings and absorptions, have conducted in 44 markets over the period. All concepts, including Zara, continue to deliver exciting new openings in key locations around the world. I'll now hand it back to Andres.