El Corte Inglés announces €3 billion investment plan
What: El Corte Inglés announces €3 billion investment plan through 2030, focusing on store remodeling, business expansion, and technological capabilities while reporting strong 2024 performance with 4.3% comparable growth.
Why it is important: This comprehensive investment plan demonstrates how traditional department stores can successfully balance physical retail transformation with digital innovation, while maintaining strong financial performance.
El Corte Inglés has unveiled an ambitious EUR 3 billion investment strategy extending through 2030, marking a significant commitment to its future development. The plan, which took effect on March 1, encompasses store modernization, business expansion, and enhancement of logistics and technological capabilities. This announcement comes amid strong financial performance, with the company reporting global revenue of EUR 16.675 billion for the fiscal year ending February 28, 2025, representing a 2% overall increase and 4.3% growth on a comparable basis. The company's net profit reached EUR 512 million, showing a 6.7% improvement over 2023, while recurring net profit stood at EUR 470 million. The strategic initiative will be led by President Marta Álvarez, who has been re-elected for another five-year term, and CEO Gastón Bottazzini, whose arrival last year prompted a reorganization of top management into specialised divisions.
IADS Notes: El Corte Inglés's EUR 3 billion investment plan builds upon a series of strategic initiatives implemented throughout 2024-2025. In February 2025, the company invested EUR 428 million in upgrading 25 locations while expanding digital capabilities. March 2025 saw a significant management restructuring under CEO Gastón Bottazzini, including the creation of a dedicated Transformation Office and the streamlining of operations into three distinct areas. The company's commitment to innovation was further demonstrated in May 2025 with the launch of its 'Gen Z' focused initiatives, while June 2025 brought a reorganisation of its fashion department to enhance operational efficiency. These developments, combined with strong financial performance showing a 4.3% like-for-like growth in FY2024-25, validate the company's balanced approach to retail transformation.
