Prada commits to smaller brands as sales across Asia boost profits

 
City A.M. Reporter
PRADA said yesterday it still sees growth potential in its smaller brands, which continued to lag the performance of its eponymous fashion label in the first quarter.

Net sales for its flagship Prada brand grew 18 per cent from the same quarter of 2012 to €638.8m (£540.78m), mainly supported by retail income in Greater China and the Americas. Such growth has been elusive for the other names owned by the group – Miu Miu and the far smaller Car Shoe and Church’s brands.

Net sales at Miu Miu grew five per cent in the three months to the end of April, Prada finance chief Donatello Galli said on a conference call. Galli said Prada would keep Church's and Car Shoe – which respectively accounted for two per cent and one per cent of first-quarter sales – as “options" for future growth.

The Italian fashion house posted a 13.5 per cent rise in its first-quarter, boosted by strong sales in the Asia Pacific region. Profits were €138.2m for the three months ended in April compared with €121.7m in the same quarter last year.