Prada reports profits rise 21% to €4.2bn for FY22
Prada’s revenues in particular grew by 25% yoy showing sustained brand momentum
Prada Group has reported that its 2022 revenues increased to €4.2bn (£3.7bn), marking a 21.3% rise over 2021, according to its financial for the period ending 31 December 2022.
It said that retail sales, which increased 23.8% to €3.7bn (£3.27bn), was the primary driver, as well as organic expansion at top brands Prada and Miu Miu and double-digit sales growth across all product categories.
Growth was balanced across leather goods (+18%), ready to wear (+27%) and footwear (+29%) categories.
Its EBITDA also increased to €776m (£685m) in 2022 compared with €489m (£432) in 2021.
The company said its online sales also saw double-digit growth, following investments in the channel, particularly those made to enhance the “omni-channel experience”.
Prada’s revenues in particular grew by 25% YOY showing sustained brand momentum.
It also reported that its Asia Pacific sales contracted by 1.7% over 2022 due to restrictions in China, but returned to growth in the second half of the year.
All other regions (Europe, Japan, the US and Middle East) reported double-digit growth compared with 2021.
Patrizio Bertelli, executive director, said: “Prada Group delivered excellent results in 2022, underpinned by brand momentum, greater client engagement and rigorous strategy execution. The Retail channel drove our performance, achieving strong and broad-based organic growth at both Prada and Miu Miu. We performed well across all product categories and geographies, more than offsetting weakness in China due to Covid-19.
“We continued to develop our sustainability capabilities and activities, ensuring they remained linked to the identities of our brands and relevant to our clients. The recent changes to our governance structure mark a fundamental evolution for the group.”
Andrea Guerra, group chief executive officer, added: “I have joined the Prada Group at an exciting time of evolution, and I have found great energy. The group’s growth potential is large, thanks to its extraordinary creative vision and industrial strength. We will further invest in the desirability of our brands, in the renovation of our retail network and in manufacturing capabilities.
“Execution will remain critical in the coming years, and we shall continue to build retail excellence, developing more frequent and stronger connections with our clients. In 2023, we expect revenue growth to remain solid and above market average. China has restarted to be an engine of growth; however, in this ever-changing scenario, we will remain vigilant and maintain a disciplined approach to costs and capital allocation.”
