Prada Group results are mixed and show signs of slowdown.
From
Pambianconews “In the first half of the year, the Prada Group recorded net revenues of €2.7 billion, up 8% at current exchange rates (9% at constant exchange rates). Retail sales increased 8% on a current basis (10% at constant exchange rates) to €2.4 billion, while wholesale, worth just €220 million, decreased 2%. The flagship brand's retail sales fell 1.9% year-over-year in the first half and 3.6% in Q2. Miu Miu, now the group's driving force, continued its growth path, albeit with a slightly slower trajectory: retail sales grew 49% in the first half and 40% in Q2.”
Prada results are kept high by the excessive growth of Miu Miu.
Miu Miu is a youngsters fashionistas favorite for its great fitting and styles but the growth is unsustainable.
It’s excessive because you cannot keep the pace of 49% growth. It’s not possible.
Prada brand revenues are increasingly weak.
It’s interesting to see how the adv campaigns speak by themselves. Prada is in a sad mood, Miu Miu in a lush environment.
The burden of the acquisition of Versace will get heavy if the relaunch is not well managed and, over there, the uncertainty is very high.
The brand will not have a fashion show in Milan, Donatella is still there, Dario Vitali who knows the internal turmoil is quite worrying.
So far so good but the performance at the stock exchange has been -28.06% YTD
Lots of stuff but very tough and uninspiring way to manage the business.
People working there are undergoing too much pressure and leaving.
I (Susanna Nicoletti ) left Prada after a short stint in 2007 because I loved the brand but I felt very unease with the way of managing human resources and didn’t like the ruthless approach, but I did the same also in other occasions.
Eventually I realised that I didn’t want to be, generally speaking, a soldier in the army.
Susanna Nicoletti
i see them wanting to use some Miu Miu formula to fix versace