MILAN — Positive yearend financial projections had Prada chief Patrizio Bertelli in a decidedly upbeat mood during a roundtable discussion organized here by luxury goods consultant Carlo Pambianco.
But as for the big news of the week — the resignations of Gucci Group’s Tom Ford and Domenico De Sole — Bertelli said he hadn’t expected “it would get to this. It’s a very delicate situation. I hope they will rethink their decision. I had gotten used to the competition with Gucci, which always pushed us to do better.”
Bertelli and De Sole exchanged greetings when the latter appeared in a video conference during the meeting, which focused on branding and competition in fashion. Asked by the press about whether he was planning a future with Ford, De Sole said they were “both professionals who negotiated their contracts in good faith and did not have plans yet.”
De Sole praised Bertelli and Diesel chief Renzo Rosso, also present, for the way they balance innovation and the commercial side of their businesses.
On the sidelines, Bertelli said Prada expects a 45 percent increase in net profit to $57.2 million, or 50 million euros, this year. Sales will be in line with 2002, when they were $1.79 billion, or 1.57 billion euros. Dollars are converted from euros at current exchange. Prada expects 2003 earnings before interest, tax, depreciation and amortization to reach around $228.8 million. By yearend, Bertelli said he expects to reduce the group’s debt to $743.6 million, or 650 million euros, from $1.06 billion last year.
Bertelli said he plans to sell 55 percent of the British footwear firm, Church’s, to Swiss Equinox Investment shortly. This adds 10 percent to the original 45 percent stake agreed to in a preliminary agreement drawn out last April. “Prada will maintain control of the board of directors, however, and continue to develop the brand,” said Bertelli, who also reiterated that, by yearend, Prada will acquire the Miu Miu license, currently held by the family.
As for the public offering, Bertelli said the project “has not been put away,” and that he will “start examining the papers again in January” for a possible IPO in 2005. Bertelli denied a press report stating he was planning to list the company on Wall Street. “It will be a listing made in Italy,” he said.
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@marianna_hewitt has become one of the most influential content creators in the beauty space, with almost 800,000 Instagram followers and a newly launched skin care line called @SummerFridays. Today, she was awarded Influencer of the Year at the WWD #BeautyIncAwards. (📸: @sophiachabbott )
As shopping behaviors evolve, the retail experience must follow. Head over to retail experts @colliersinternational’s Knowledge Leader series to read more about the shift in our shopping era. #colliersretail #lovecolliers
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@louboutinworld and @disney are making magic once again, creating a set of shoe designs for the release of “Star Wars: The Last Jedi.” Louboutin designed a pair of shoes for each of the film’s four female leads: Rey (@daisyridrey), Vice Admiral Amilyn Holdo (@lauradern), Captain Phasma (Gwendoline Christie) and Rose Tico (@kellymarietran). The shoes will debut on Saturday at the L.A. premiere of the latest episode. #wwdfashion
Today at the #BeautyIncAwards 2017, WWD will be joined by beauty leaders from around the world as we honor this year's most innovative people, products, brands and places. Follow along here and on Twitter for live coverage from the exclusive event. #wwdsummits (📷: @elizaflorendo)
Exclusive: Beauty superinfluencer @marianna_hewitt is launching her first-ever skin care brand with her business partner @laurengores. Their new line Summer Fridays, which will be sold exclusively at summerfridays.com starting in January, is launching with just one product – a hydrating cream Jet Lag Mask. “We wanted to focus on one product that was amazing,” said Hewitt. Read the full interview on WWD.com. Link in bio. #wwdbeauty #wwdnews
Michelin star-rated chef PJ Calapa marks his first solo endeavor with today’s opening of @scampinyc –– the new Southern Italian restaurant located in Manhattans’ Flatiron District. The upscale yet welcoming environment matches the menu, which includes two types of scampi: traditional Italian langoustines in butter and the Americanized version with shrimp over pasta 🍤 - pictured here. #wwdeye (📷: George Chinsee)