Italy’s Prada on accelerated trajectory to achieve mid-term targets

The Group’s strong semester is underpinned by strategic delivery and continued brand momentum, the company said in a media release.

Italian fashion house Prada is on an accelerated trajectory to achieve its mid-term targets as the company has reported net revenues of €1.9 billion in the first half (H1) of 2022, ended June 30, 2022, up 22 per cent compared to H1 2021. Its retail sales went up to €1.7 billion, a 26 per cent increase from H1 2021 and a 38 per cent increase from H1 2019.

Prada recorded a strong performance across all product categories, with leather goods up 18 per cent, ready to wear up 32 per cent, and footwear up 39 per cent, compared to the first half of last year. Enriched product offer and operational improvements drove gross margin to 77.7 per cent and EBIT adjusted margin to 17.4 per cent. The company’s net cash position is €179 million.

Patrizio Bertelli, Prada Group chief executive officer, commented: “In the first six months of 2022, Prada Group delivered growth in both revenue and profitability, continuing to invest with a long-term perspective in creativity, industrial know-how and product innovation. We keep building sustainability into the heart of our business; we want our actions to align with Prada’s distinctive identity, making us relevant and inspiring to customers.

“Thanks to our global presence and geographical distribution of sales, we have more than compensated the impact of the various lockdowns in Mainland China and sanctions on Russia, where we continue to support our people despite store closures. Although current trading is strong, the global political and economic outlook is very uncertain and provides ground for caution. Our position of strength gives us confidence to execute against our strategy to fully exploit our brands’ potential. We are confident that we will achieve our medium-term financial and operational targets.”

Fibre2Fashion News Desk (KD)