Prada Q1 Revenue Up 3% as Americas Drive Growth Despite Europe Weakness
Prada Group Q1 2024 Financial Performance Overview
Revenue Growth and Regional Performance
MILAN, April 30 (Reuters) - Revenues at Italian luxury group Prada rose 3% at constant exchange rates in the first quarter, excluding the contribution of Versace, driven by double-digit sales growth in the Americas, which offset weakness in Europe and the Middle East.
Group revenues totalled 1.3 billion euros ($1.5 billion) in the January-March period, slightly below analysts' consensus of 1.4 billion euros compiled by Visible Alpha.
Impact of Versace Acquisition
Versace, which Prada acquired last year and is in the process of integrating and relaunching, contributed 143 million euros to quarterly revenues.
The Italian group said that the Medusa-head brand, which recently hired Pieter Mulier as its new creative director, performed in line with the expectations.
Miu Miu Brand Performance
Miu Miu, the smaller label that last year drove the group's revenue growth, slowed its pace and its sales rose by 2.4% in the quarter.
CEO Statement and Strategic Outlook
"The group delivered another quarter of growth in a disrupted environment and against the most challenging comparison base of the year," said Prada CEO Andrea Guerra in the statement, adding that the group aims to deliver above-market growth.
Regional Sales Breakdown
Americas and Asia Pacific
Retail sales grew 15% at organic level in the Americas, supported by strong local demand, and were up 5% in Asia Pacific, driven by China and South Korea.
Europe and Middle East
Europe was down 6% due to weaker spending by travellers but also a modest decline in local demand.
Sales in the Middle East region dropped 22% due to the conflict.
Currency Exchange Rate
($1 = 0.8541 euros)
Reporting Credits
(Reporting by Elisa AnzolinEditing by Keith Weir)
