(Bloomberg) -- Inditex SA reported mixed results, as first-quarter sales missed expectations while a gross margin beat provided some relief for investors. The revenue miss was probably due to unseasonal weather causing weakness at the end of the quarter, according to Berenberg.

Shares in the Zara owner fell as much as 4.6 percent, and extended declines during the company’s conference call, before paring their drop to 2.1 percent. The company said in a call with analysts it will not change its gross margin guidance for the year.

The stock is the biggest decliner in Spain’s benchmark Ibex 35, while competitor Hennes & Mauritz AB also fell.

Here’s a roundup of what analysts are saying about Inditex quarterly earnings:

Berenberg (Sell, PT EU22)

  • Revenue miss was driven by weak end of quarter, likely as a result of unseasonal weather
  • Sales miss offset by strong beat on gross margin, which allay some of the concerns around margin erosion from pricing pressure
  • Majority of growth continuing to come from the online channel
  • Consensus for full year may nudge up about 1%

RBC (Outperform, PT EU32)

  • Expect shares to continue to push on as the gross margin pressure has been one of the biggest bear points on the stock
  • Sees Inditex as a long-term global multi-channel winner in apparel

Morgan Stanley (Equal-weight, PT EU26)

  • Profit beat probably mostly driven by gross margins, since sales were below expectations
  • Trading YTD up 9% on a constant currency basis, implying growth has accelerated a bit since end of 1Q, “but remains somewhat challenging”
  • FY consensus forecasts aren’t likely to move much

Bryan, Garnier & Co (Buy, PT EU35)

  • Trading update for start of 2Q is reassuring as it was achieved on top of difficult market conditions in countries including Spain, France or Germany
    • Inditex has reported store and online sales in local currencies increased by 9% from May 1 to June 11

--With assistance from Gaurav Panchal and William Canny.

To contact the reporters on this story: Macarena Munoz in Madrid at mmunoz39@bloomberg.net;Lisa Pham in London at lpham14@bloomberg.net

To contact the editor responsible for this story: Beth Mellor at bmellor@bloomberg.net

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