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Record Sales Driven by Prada’s Brand Strength and Miu Miu’s 97% Growth Surge
Sectors & Markets
31 October, 2024
Table of contents
On 30 October 2024, Prada Group unveiled its financial results for the third quarter of 2024, covering the nine months ending 30 September. The Group recorded notable year-over-year growth in multiple key financial metrics, with revenues reaching €3.829 million, a rise of 18% compared to Q3 2023. This in-depth analysis highlights Prada Group's financial achievements, brand-specific growth, and sustainability progress, offering a comprehensive picture of its strategic successes and long-term goals.
For Q3 2024, Prada Group’s performance remained resilient, with substantial increases across all channels. Below is a comparative summary of key financial KPIs for Q3 2023 and Q3 2024:
| Financial KPI | Q3 2023 (€ mln) | Q3 2024 (€ mln) | % Growth |
|---|---|---|---|
| Net Revenues | 3.344 | 3.829 | +18% |
| Retail Sales | 2.979 | 3.425 | +15% |
| Wholesale Sales | 291 | 314 | +8% |
| Royalties | 73 | 91 | +24% |
Driven by strong brand identity, Prada Group achieved an 18% increase in net revenues. Retail sales accounted for the bulk of revenue at €3.425 million, while royalties exhibited the most growth, increasing by 24%. This reflects a robust growth trend across both owned and licensed product categories.
The Prada Group saw balanced growth across its major markets, with each region contributing significantly. Japan, in particular, saw an outstanding 53% increase, underlining strong local and tourist demand.
| Region | Q3 2023 (€ mln) | Q3 2024 (€ mln) | % Growth |
|---|---|---|---|
| Asia Pacific | 1.043 | 1.139 | +12% |
| Europe | 941 | 1.089 | +18% |
| Americas | 536 | 576 | +8% |
| Japan | 334 | 466 | +53% |
| Middle East | 125 | 154 | +24% |
Asia Pacific and Europe displayed strong, consistent growth in Q3, despite market challenges, while the Americas region showed slight acceleration quarter-on-quarter.
Prada Group’s leading brands, Prada and Miu Miu, contributed significantly to Q3 2024's financial success, reflecting the strength of their individual market positioning and creative identities. Prada’s retail sales grew by 4% year-over-year, showing a steady performance despite industry challenges. Miu Miu, however, outperformed, with retail sales experiencing an impressive 97% growth in the nine months leading to Q3 2024, which surged further to 105% during Q3 alone.
The table below highlights the key financial figures for Prada and Miu Miu in Q3 2024 compared to Q3 2023, showcasing their individual revenue contributions and year-on-year growth:
| Brand | Q3 2023 Revenue (€ mln) | Q3 2024 Revenue (€ mln) | % Growth YoY | Q3 2024 Operating Profit (€ mln) |
|---|---|---|---|---|
| Prada | 2.113 | 2.198 | +4% | 660 |
| Miu Miu | 227 | 445 | +97% | 160 |
Prada's retail sales increased by 4% to €2.198 million, driven by consistent demand across categories, especially in leather goods, ready-to-wear, and footwear, which were bolstered by events like the America’s Cup and the Prada SS25 show. Miu Miu’s revenue rose significantly, from €227 million in Q3 2023 to €445 million in Q3 2024. This was attributed to its distinctive brand positioning, innovative collaborations, and successful SS25 collection launch.
Prada Group has remained committed to its ESG goals, focusing on sustainable practices throughout 2023 and 2024. The following table provides a snapshot of key ESG achievements for the period:
| ESG Metric | 2023–2024 Progress |
|---|---|
| Carbon Emissions Reduction | Targeted 20% reduction in CO₂ by 2025 |
| Recycled Material Use | 50% of materials recycled |
| Water Usage Reduction | 15% reduction in water consumption |
Key initiatives include a 20% reduction in carbon emissions, sustainable material sourcing, and conservation efforts. Prada’s commitment to the circular economy, underscored by investments in eco-friendly materials and production, demonstrates its proactive approach to environmental stewardship.
Prada Group’s Q3 2024 results demonstrate its robust resilience and strategic alignment with market demands. With sustained growth across major markets and continued brand development, Prada Group aims to drive further above-market growth, backed by strategic investments in sustainability and technology. From an analytical perspective, Prada Group's performance offers potential for further assessment of regional retail strategies, brand positioning in emerging markets, and long-term retail expansion plans.
Moving forward, Prada Group’s commitment to sustainable, innovative growth positions it as a leader in the evolving luxury sector, ready to navigate the challenges and opportunities ahead.
Read the full Prada Group report Here.
Cover Image Courtesy: Prada Group Website