Foto SOPA / ZUMA / TASS
The main growth driver was North and South America, where retail sales increased by 15% due to strong local demand, Reuters writes. The Asia-Pacific region also showed positive dynamics (+5%), which was supported by the markets of China and South Korea.
At the same time, European sales decreased by 6% on the background of reduced tourist spending and moderate weakening of local demand. At the same time, Prada noted the emergence of “encouraging signals” in the segment of tourist consumption.
In the Middle East, the decline was the most noticeable – minus 22%. The company attributes this to the effects of geopolitical instability and travel restrictions, which also indirectly affected tourist flows from the region.
Separate attention of investors is focused on the Versace brand, acquired by Prada last year. Its quarterly revenue amounted to 143 million euros. The company says the performance is in line with its plan to integrate and relaunch the brand under new creative director Peter Mullier.
Miu Miu’s flagship brand Miu Miu, which had previously shown rapid growth, slowed down this quarter, with sales up only 2.4%.
Group CEO Andrea Guerra said the company continues to grow “in a challenging macroeconomic environment and against a high comparison base,” adding that Prada is targeting an above-average market result.
