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Miu Miu’s revenue more than doubled in the third quarter, up 105 percent year-over-year, and was up 97 percent in the first nine months of 2024. Prada Group’s net revenue increased by 18 percent in the nine-month period to €3.83 billion. The company announced this on Wednesday. Group revenue increased by 18% in the third quarter.
This year has been a banner year for Miu Miu, the youthful sister brand in the Prada Group portfolio. The label reported a 93 percent increase in sales for the first half of 2024.
“As for Miu Miu, it has been a consequential four years in which the team decided to go in a certain direction in terms of image, identity and creativity, and the retail network also made more sense,” Group CEO Andrea said.・Mr. Guerra said. told investors on a conference call. “We are working day and night to manage our growth, rebalance our products and make this growth sustainable. Even if we achieve this, the absolute numbers are not that large, so we still have a ways to go.”
Guerra added that Miu Miu will increase its retail presence by expanding its current stores and opening in new regions. The brand is also expected to announce a new CEO in the next one to three months (Miu Miu has been without a CEO since early September, when Benedetta Petruzzo left to become managing director at Dior). ).
Overall, Prada Group is an outlier in the slowdown in luxury goods, with major competitors such as LVMH and Kering struggling, and only ultra-luxury brands Brunello Cucinelli and Hermès. This quarter is bucking that trend.
However, the Prada brand’s growth slowed slightly compared to the previous quarter, with sales increasing 2% in the third quarter and 4% from January to September. Bernstein luxury goods analyst Luca Sorca pointed out the polarization between the Prada and Miu Miu brands: “Miu Miu’s current trajectory confirms our view that the market is underestimating the growth that Miu Miu can generate over the next 12 to 18 months. It also confirms our concerns that majority Prada may be well past its peak growth potential.”
