Prada Group bucked the luxury market trend with significant revenue growth.
- The Group reported a notable 18% increase in net revenue, reaching €3.8bn (£3.2bn).
- Miu Miu’s retail sales were a standout, with a remarkable 97% increase.
- The growth was attributed to strong brand identity and creative strategy.
- Global markets like Japan and the Middle East significantly contributed to sales.
Prada Group defies the general downturn in the luxury market with an impressive financial performance over a nine-month period ending 30 September. The Italian fashion powerhouse recorded an 18% rise in net revenues, achieving a total of €3.8bn (£3.2bn). This surge was predominantly driven by an astounding 97% increase in retail sales for Miu Miu, Prada’s sibling brand, marking a significant success in the luxury retail sector.
Retail revenues for the Prada Group, which oversees both Prada and Miu Miu labels, saw a 15% climb, totalling €3.4bn (£2.8bn). Additionally, the wholesale sector experienced an 8% rise, contributing €314m (£262m) to the company’s revenues. Miu Miu’s performance was particularly notable, with a 105% increase in sales during the third quarter alone, reinforcing its strong market presence.
Prada’s own retail sales also demonstrated positive growth, albeit at a more modest pace. The brand reported a 4% increase year-on-year, with a 2% uptick in the third quarter. This performance underpins the enduring appeal of the Prada brand amidst a challenging market environment, as emphasised by the company’s strategic focus on maintaining brand identity, creative dynamism, and precise execution.
Geographically, Japan stood out as a significant contributor to Prada Group’s retail success. The country led the growth charts with sales surging by 40% over the nine-month period. Other regions also posted solid gains, with the Middle East experiencing a 24% rise, Europe 16%, and Asia Pacific 9%. These figures highlight the diversified market strategy that Prada Group has effectively leveraged to sustain its global footprint.
Andrea Guerra, the group’s chief executive, expressed confidence in the company’s trajectory, stating, “We progressed through the year with another quarter of high-quality, like-for-like growth, supporting our positive trajectory in both revenue and margins.” He attributed the company’s success to its “strong brand identity, creativity, and sharp positioning” and reaffirmed the firm’s commitment to tackling industry challenges while pursuing sustainable growth.
Prada Group’s strategic efforts have enabled it to navigate market complexities effectively, ensuring robust and continued growth.
