Prada shares fell 1.44 percent on the Hong Kong stock exchange to close at 79 Hong Kong dollars ($10.19 at current exchange) while the Hang Seng Index declined 0.27 percent.
The Milan-based company posted 7.6 percent increase in net profit and 11.7 percent increase in revenue, bolstered by double digit growth in Asia and the Americas.
The Italian fashion house, which owns Miu Miu as well as Church's, posted better-than-expected margins but missed some analyst estimates on profit. Still, at least three analysts reiterated their buy or outperform ratings on the stock.
Citibank analyst Thomas Chauvet said he had been expecting stronger earnings momentum given the easy comparisons with a year ago. The analyst reiterated his buy rating on Prada shares, citing Prada's earnings growth potential and strong brand in China.
Prada raised pricing and reduced discounting during the first half of the year, but analysts noted that this didn't seem to have any negative impact on sales or deter the current customer base. Goldman Sachs highlighted the company's gross margin growth and said the quarter's results "highlight Prada's competitive advantages within the luxury gods sector, particularly the pricing power of the Prada brand."
Not all analysts were so impressed. Nomura downgraded Prada shares to neutral, citing a "mixed" outlook and limited upside with valuations already near the top end among fast-growing peers. Nomura also noted that even though EBITDA was higher by three percent, one-off taxes impacted overall earnings.
Elsewhere, Japan's Nikkei 225 index gained 1.35 percent while Singapore's Straits Times was gaining about 0.41 percent in late-day trade.
@kith is moving into children’s. The men’s and women’s streetwear brand has launched Kidset, a Kith kids line located in New York at 64 Bleecker Street. The line includes mini versions of staple Kith pieces like the Astor bomber jacket and the Kith box logo sweatshirts, along with a wall that can display up to 120 pairs of shoes from @adidas, @newbalance, @timberland and more. #wwdfashion
“I just wanted to create this fully rounded character, but I do think what excited me most was just the opportunity to give a group of people representation that I feel needs it. I like to do characters in projects that stand for something and Karolina definitely does, so that was really exciting to me,” @ginnygardner says of her new role in @hulu’s “The Runaways.” Gardner plays Karolina Dean, a queer superhero, which is a rarity for @marvel. Read more about Gardner’s character on WWD.com #wwdeye (📷: @dandoperalski)
@heriethpaul and @gracebol have a moment on the @victoriassecret fashion show 2017. See every look from the runway on WWD.com. Link in bio. (📷: @giovanni_giannoni_photo) #wwdfashion #victoriassecret #VSFashionShow
“Azzedine has been one of the biggest influences in my life. He has always been such a strong, loving, fatherly figure to me. I call him Papa. His designs are indescribably unique, they are pieces of art. He knew how to make the female form look its loveliest. I have so many memories of him; my favorite might be during my first show with him in Paris. He liked me and he wanted to help me get more work. He called all his friends at Kenzo and Comme des Garcons, and asked them to book me. They said, ‘But she can’t walk!’ And he said, ‘but she has such a great ass!' His friendship and support has been the great privilege of my career. I can't imagine life without him. Repose en paix mon Papa.” - @stephanieseymour tells @wwd. #wwdfashion (📷: @steveeichner) #alaia #azzedinealaia
Azzedine Alaïa, flanked by two of his closest friends, models Stephanie Seymour and Naomi Campbell.
He designed Seymour’s dress for her 1995 wedding to Peter Brant, and treated Campbell (who famously called him Papa), like a daughter. For more on the legendary designer, tap the link in bio. #wwdfashion #alaia #azzedinealaia