No products in the cart.
As the global luxury market slows down, Prada and Miu Miu still grow against the trend and once again show strong growth momentum.
Prada Group released its fiscal 2024 financial report on Tuesday, with data showing Prada's retail sales growing by 4% during this period, while Miu Miu hit a staggering 93%, becoming the group's biggest highlight. Overall, the group's revenue grew by 15% (17% for fixed exchange rate calculation), rising from 4.72 billion euros in the previous year to 5.43 billion euros. At the same time, net profit increased by 25%, reaching 839 million euros, a significant increase from 671 million euros in 2023; the financial situation is also very healthy, with the group's net cash flow reaching 600 million euros, far higher than 197 million euros last year.
“We ended 2024 with a strong positive result, which is the fourth consecutive year that we have maintained double-digit growth while increasing margins and enhancing cash flow, making our financial situation more robust. We continue to make progress in brand appeal, retail performance and organizational structure, and maintain rigorous and efficient execution at all levels.”
Unlike major competitors such as Kering and LVMH, Prada Group continues to grow in amid the current slowdown in the luxury market. Sluggish consumption after the epidemic, high inflation, downward pressure on the economy, as well as the real estate crisis and debt problems in the Chinese market, have all had an impact on the global luxury goods market. However, Prada and Miu Miu have successfully avoided the recession trend with their distinct brand positioning and hot-selling items. For example, Prada's Symbole sunglasses and Miu Miu's Arcadie bags are both included in the top ten popular products of Lyst Index, and Miu Miu was named “the most popular brand in the world” by Lyst Index in the first quarter of last year.
Miu Miu's growth is partly due to its high influence in the Generation Z market, and many popular trends and the “fashion craze” are closely related to its brand strategy. In addition, the brand has also actively expanded its product line and launched Bag Charms & Tricks with a price band of between 379 and 995 euros, successfully attracting new generation luxury consumers, causing demand for bag-style pendants to surge by 352% at the end of last year.
Prada also focuses on young consumers and maintains relatively low entry prices through Re-Nylon products, although the brand continues to adjust its overall price level according to industry trends. Currently, the price of luxury goods in the US market has increased by 61% on average compared with 2019, and Prada has also increased its product pricing amid this wave of price increases.
Looking ahead, Guerra believes that Prada still has the opportunity to further expand its market share, and plans to continue to strengthen its brand positioning, enrich its product portfolio, and deepen its interaction with consumers in order to consolidate the brand's successful position in the luxury market.
Related reports
> N.HOOLYWOOD FR The second wave series is released, emphasizing tooling aesthetics and flame-resistant engine capabilities
> Stüssy officially releases the latest spring series of 2025
> Uniqlo U officially releases the latest spring and summer series of 2025
Read the full text
GDQUN ，gdqun.com
