The Italian fashion group Prada SpA remained on a growth path in the 2025 financial year despite difficult conditions. He owed this primarily to the continued appeal of his Miu Miu brand. In addition to the current results, the group also announced on Thursday its strategic plans for the Versace fashion house, which it took over last December.
Last year, the Prada Group’s sales amounted to almost 5.72 billion euros. This corresponded to an increase of five percent compared to 2024. Adjusted for exchange rate changes, revenue grew by nine percent, and on an organic basis – i.e. adjusted for currency effects and Versace’s contributions – they increased by eight percent.
The majority of group sales were contributed by the company’s own retail sector, which achieved an increase of five percent (organic +8 percent) to 5.10 billion euros thanks to above-average growth in Asia (+6 percent), America (+12 percent) and the Middle East (+11 percent).
Miu Miu remains a growth engine
The Miu Miu label remained the growth engine, with retail revenues growing by 35 percent year-on-year. The main brand Prada, however, suffered a decline of one percent. However, the group pointed out that developments gradually recovered in the second half of the year.
In the wholesale business, group sales rose by two percent (organic +3 percent) to 471 million euros, license income increased by 19 percent (organic +14 percent) to 145 million euros.
Higher costs, increased investments and the effects of the Versace takeover slowed profit development. Earnings before interest and taxes (EBIT) rose compared to the previous year by only 1.5 percent to 1.30 billion euros. The net profit attributable to the shareholders increased by almost two percent to 852 million euros.
The group presents its strategy for Versace
The group also outlined the plans for the Versace brand, which was taken over by the US fashion group Capri Holdings on December 2nd. The fashion house has since been “strengthened on a strategic and creative level,” it said in a statement. At the beginning of February, the new parent company introduced Pieter Mulier as the new Chief Creative Officer of Versace.
“In addition to creative change, the gradual repositioning of sales channels will be an important strategic priority,” said the Prada Group. The focus is on promoting “high quality” sales at full price. In addition, Versace’s retail processes are to be optimized. Overall, the “integration process is in full swing in all areas”.
From 2027 onwards, the focus of efforts will be on increasing the desirability of the label, the company explained. Mulier’s debut collection, which will be rooted in the “original spirit and DNA” of Versace, will contribute to this.
In addition, the new parent company aims to optimize the brand’s distribution network, streamline the off-price area and increase general productivity at Versace. At the same time, integration into the Prada Group will be further advanced, with the “digital transformation” also being harmonized.
In the 2025 financial year, Versace achieved sales of 684 million euros and posted operating losses, the group said. The measures introduced since the takeover are expected to lead to a decline in sales for the brand in the current year. In addition, an operating loss is expected to be approximately at the level of the previous year.
