Miu Miu Helps Boost Prada Group H1 Sales

MILAN – Prada Group reported a solid performance in the first half of the year, with rising sales and steady profitability.

In the first half ended June 30, group revenues rose 8 percent to 2.74 billion euros compared with 2.55 billion euros in the same period last year.

Retail sales were up 8 percent to 2.45 billion euros, with growth across all regions.

Wholesale sales dipped 2 percent to 220 million euros.

“In the first half of the year we delivered a sound set of results, testament to the strength of our brands and disciplined execution,” said Patrizio Bertelli, Prada Group chairman and executive director in a statement on Wednesday. “This healthy performance was achieved against a challenging backdrop, somewhat unprecedented in our industry. We believe the structural growth opportunities remain unchanged, but we are conscious that in the short term we may continue to face a turbulent economic environment. We remain focused on the long-term with an approach that is mindful of the context. As always, our efforts are centred on the product and the client experience, whilst we continue to strengthen our industrial capabilities and our organization.”

In the first half, net profit amounted to 386 million euros compared with 383 million euros in the same period last year.

Adjusted operating profit was up 8 percent to 619 million euros, corresponding to a margin of 22.6 percent, in line with the previous year notwithstanding higher investments behind the brands.

Prada’s retail sales at constant exchange rates were down 1.9 percent in the first half. In the second quarter they decreased 3.6 percent. Among other events, in the period the company singled out the opening of  the Mi Shang Prada Rong Zhai, the brand’s first culinary project in China, and of the Prada Men’s store on Fifth Avenue.

Miu Miu sales climbed 49 percent in the first half and 40 percent in the second quarter. Special projects such as Miu Miu Upcycled, Miu Miu Custom Studio and Miu Miu Gymnasium kept the brand in the spotlight, while events like Miu Miu Summer Reads, Literary Club and Tales & Tellers contributed to engage with the brand’s community. Miu Miu in the period opened a three-story boutique at SKP Wuha, and a renovated flagship on London’s New Bond Street.

“We close these first six months with a solid Q2 building on a good start to the year,” said Andrea Guerra, group chief executive officer. “We owe this performance to the cultural relevance of our brands, their creativity and ability to anticipate and interpret contemporaneity. Over the period, Prada showed resilience against increasingly subdued demand dynamics and high comps; Miu Miu continued on a healthy path of sustainable growth. Certain headwinds are likely to be more cyclical than structural, but it is essential to execute with focus. Looking ahead, while being vigilant and nimble, we remain committed to our strategy and to our ambition to deliver solid, sustainable and above-market growth.”

In the first half, sales in Asia Pacific were up 8 percent to 838 million euros, with similar trends in the first and second quarters amid broadly unchanged conditions in the region.

Revenues in Europe rose 7 percent to 728 million euros. The second quarter was impacted by lower tourist spending on tough comps on a multi-year basis. Local demand remained broadly stable in the second quarter.

The Americas rose 10 percent to 424 million euros, with the second quarter improving supported by both local and tourist demand.

Sales in Japan were up 6 percent to 326 million euros, compared with exceptionally high tourism in 2024 and in the second quarter in particular. Similarly to Europe, local demand proved more resilient.

Revenues in the Middle East climbed 24 percent to 137 million euros.

The group closed the period with a net cash position of 352 million euros, after a dividend payment of 398 million euros and capital expenditure of 294 million euros.

In April the group announced the acquisition of Versace from Capri Holdings for an enterprise value of 1.25 billion euros and the transaction is expected to close in the second half of the year.

In June, the group also completed a 10 percent equity investment in Rino Mastrotto Group, a global provider of leather, textile and bespoke services for the luxury industry.