Zara, H&M, and Sephora fined for late financial reporting in Australia

Each paid $140,000 in penalties.

The Australian Securities and Investments Commission (ASIC) has issued infringement notices to three large retail companies in Australia for failing to lodge financial reports by the required deadlines.

Inditex Australia Pty Ltd (Zara), H&M Hennes & Mauritz Pty Ltd, and Sephora Australia Pty Ltd each paid $140,000 (AU$198,000) in penalties, totalling  $418,773 (AU$594,000). All three companies have now lodged the overdue financial reports.

Inditex Australia Pty Ltd, which operates the Zara brand locally, was penalised for failing to lodge its financial report for the year ending 31 January 2025.

H&M Hennes & Mauritz Pty Ltd, which operates the H&M brand, was fined for missing the deadline for the year ending 30 November 2025. Sephora Australia Pty Ltd was penalised for failing to lodge its report for the year ending 31 December 2024.

ASIC said payment of an infringement notice does not constitute an admission of guilt or liability, and none of the companies are considered convicted of any offence.

ASIC Commissioner Kate O’Rourke said the latest penalties reinforce the regulator’s ongoing crackdown on late and non-lodgement of financial reports by large proprietary companies.

She noted that since ASIC began a targeted surveillance program in August 2025, it has issued 24 infringement notices totalling more than $4.5m in penalties.

"This, combined with court-imposed fines for failing to lodge financial reports and related governance obligations, should send a clear message to reporting entities that we are actively enforcing the financial reporting requirements and expect companies to comply," she said.

ASIC also confirmed it is continuing data-driven surveillance to identify companies that fail to lodge reports on time and will take further enforcement action where necessary.