Prada archives the first nine months with strong growth in profits and revenues. In the nine months to 31 October, net profit rose by 50% to 408,6 million euros, Ebitda reached 727,9 million (+50%) and consolidated revenues amounted to 2,34 billion, an increase of 35 % (+27% at constant exchange rates), reads a note.
In the third quarter alone, net profit jumped 30%, driven by consumers in Asia and other emerging markets, reaching 122,1 million from 93,6 million a year earlier. The positive net financial position grew from 14 million at the beginning of February to 211 million, benefiting from the important generation of cash, which also made it possible to finance investments for the period and to pay dividends to shareholders for 131 million.
Again in the first nine months of 2012, the retail channel made the greatest contribution to the growth in revenues, in line with the development strategy that the group has been pursuing for several years. Sales of directly managed stores recorded revenues of 1,9 billion, marking a progression of 43%. In the third quarter, the group continued the international expansion of its retail network, opening 42 stores in the first nine months of the year.
The wholesale channel in the nine months shows an increase of 6%, reaching 390 million. On the geographical front, double-digit growth even at constant exchange rates in all markets, including Europe which, thanks to the influx of tourists, recorded +33% (+32% at constant exchange rates).
“It was another quarter of great satisfaction in which the group continued to develop at a rate even higher than our expectations”, comments CEO Patrizio Bertelli in the note. "The Prada group has once again demonstrated that it has the ability and spirit of initiative capable of generating positive results, even in the current difficult international economic context".
Shares of the Hong Kong-listed luxury group have rallied 80% since the start of the year, largely outperforming the benchmark Hang Seng Index which is up 21%.
