Prada (1913) Q2 2026 earnings summary

Executive summary

• Net revenues reached €3,048 million in H1 2026, up 16% year-over-year at constant exchange rates (+4.7% to +5% organic), with Q2 organic growth accelerating to 7%.

• Retail sales grew 12% year-over-year (+3% organic), with Q2 momentum improving despite Middle East headwinds; wholesale net sales surged 40% (+19.6% organic).

• All main brands—Prada, Miu Miu, and Versace—achieved key objectives, with Prada and Miu Miu maintaining strong momentum and Versace performing in line with expectations.

• Effective cost discipline and working capital management supported steady profitability and healthy cash flow.

• The group maintained a strong creative and cultural agenda, launching new campaigns, projects, and store concepts.

Financial highlights

• EBIT Adjusted margin was 17.4% (€530 million), reflecting Versace's dilutive impact and FX headwinds; organic margins were steady year-over-year.

• Profit attributable to owners was €326.9 million (10.7% of net revenues), down from €385.9 million (14.1%) in the prior year.

• Gross margin was 78.3%, down from 80.1% in the prior year.

• Net financial deficit stood at €693 million at period end, after significant capex and dividend payments.

• Capex totaled €226.1 million, focused on retail, real estate, digital transformation, and industrial projects.

Outlook and guidance

• The group remains confident in brand health and aims for above-market growth, despite ongoing macroeconomic and geopolitical uncertainty.

• Focus will remain on disciplined execution and long-term value creation.

• Miu Miu expected to grow 5–10% long term; for 2026, mid-single-digit growth is considered solid.

• Gross margin expected to remain similar in H2 as in H1.

• CapEx as a percentage of sales anticipated to start reducing from the current fiscal year.