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The logo of Prada is seen in a shop in Paris, France, February 12, 2023. REUTERS/Yves Herman Purchase Licensing Rights, opens new tabMILAN, July 30 (Reuters) - Italian luxury group Prada (1913.F), opens new tab extended its revenue growth in the first half, driven by strong demand in the Americas, although the acquisition of Versace, which the group is working to revive, weighed on profitability.
The group said on Thursday that, including the contribution from the Medusa-branded fashion house which Prada acquired in 2025, first-half net revenues rose 16% to €3.05 billion ($3.50 billion), while adjusted operating profit fell 14%.
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Without taking into account Versace, first-half net revenue rose 5% at constant currencies, while underlying profitability remained in line with the previous year, it said.
Both revenue and profitability were broadly in line with analysts' consensus compiled by Visible Alpha.
Retail sales, which account for the vast majority of group revenue, were supported by a 17% rise in the Americas in the first half, while sales in Europe declined, although Prada said it saw signs of recovery in both tourist spending and local demand during the second quarter.
Sales in the Middle East fell by about a quarter as the conflict in the region weighed on demand.
At brand level, retail sales growth at Prada accelerated in the second quarter. Miu Miu continued to grow, although at a slower pace than the exceptional rates recorded last year.
"We close the first six months of the year with solid results, accelerating in the second quarter on a positive Q1," said Prada CEO Andrea Guerra in the statement.
He also flagged the arrival of creative director Pieter Mulier at Versace in July, which should help the relaunch of the brand.
($1 = 0.8721 euros)
Reporting by Elisa Anzolin Editing by Keith Weir
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