El Corte Inglés (BME: ECI) reported a 22.8% surge in net profit to €628 million for the financial year ending February 28, 2026, as digital growth and travel demand bolstered earnings.

Key Highlights

  • El Corte Inglés net profit rose 22.8% to €628 million in the year to February 28, 2026, outpacing revenue growth.
  • Group turnover reached €14.98 billion, up from €14.78 billion, with like-for-like sales rising 2%.
  • Travel division revenue climbed 3.1% to €3.48 billion, driven by holiday bookings and tour operator expansion.
  • Capital expenditure is set to rise 14.6% to €650 million in FY27, targeting digital and infrastructure upgrades.

El Corte Inglés (BME: ECI) delivered a sharp earnings recovery in its latest financial year, with net profit climbing 22.8% to €628 million.

The Spanish retail and travel conglomerate reported the results for the 12 months ending February 28, 2026, reflecting stronger consumer demand across its core divisions.

Group turnover increased to €14.98 billion from €14.78 billion, while total transaction value rose to €17.24 billion.

Like-for-like sales growth of 2% signaled steady underlying performance, with the second half of the year outperforming the first.

EBITDA advanced 4.7% to €1.26 billion, and recurring net profit grew 11% to €522 million.

Fashion and beauty led the division with a 3.1% increase to €5.88 billion, while food and hospitality rose 1.5% to €3.06 billion.

Home and electronics contributed €2.77 billion.

Digital engagement surged, with website and app visits exceeding 1.007 billion, up from 891.7 million in the prior year.

Viajes El Corte Inglés, the group’s travel arm, posted a 3.1% revenue increase to €3.48 billion.

Turnover in the division reached €2.11 billion, supported by growth in holiday packages and tour operator brands.

EBITDA for the unit rose 6.3% to €107 million.

Surface commercialisation revenue jumped 14.4% to €95 million, driven by electric vehicle charging installations and expansion of the KUMO data centre business.

Financial services also contributed to the earnings uplift.

Financiera El Corte Inglés reported a 10.7% rise in net profit to €56 million, while Seguros El Corte Inglés saw a 6.3% increase to €71 million.

The insurance unit added 1.4 million policies, a 12% year-on-year expansion.

Chairwoman Cristina Álvarez confirmed plans to lift capital expenditure to €650 million in FY27, a 14.6% increase.

The investment will focus on digital infrastructure, customer experience enhancements, and further expansion of the group’s data centre and energy services.

The results underscore El Corte Inglés’ ability to leverage its diversified business model amid shifting consumer trends.

While retail growth remained modest, the travel and digital segments provided critical momentum.

Analysts will watch whether the higher capex plan translates into sustained earnings growth in the coming year.

This article is for informational purposes only and does not constitute financial advice. Please consult a licensed financial adviser before making investment decisions.