MILAN – Prada SpA reported a decrease of 15.8 percent in net profits, which totaled 278.3 million euros, or $306.1 million, in the fiscal year ended Jan. 31, compared with 330.9 million euros, or $364 million in the same period last year.
Confirming preliminary figures reported in February, in the 12 months ended Jan. 31, the company registered a 10 percent decrease in sales to 3.18 billion euros, or $3.37 billion, compared with 3.54 billion euros, or $3.91 billion in the same period last year.
Earnings before interest, taxes, depreciation and amortization totaled 653.4 million euros, or $718.7 million, compared with 802.8 million euros, or $883 million.
Operating profit was 431.2 million euros, or $474.3 million, compared with 503 million euros, or $553.3 million,
“The Prada group has delivered a satisfactory set of results in-line with market expectations for 2016, a challenging year of transition for the company,” said chief executive officer Patrizio Bertelli. “Our offer has been enriched with products that stand out for their innovative style and quality, while at the same time we have also streamlined and rationalised the cost structure across all business lines. The retail strategy has shifted from geographical expansion to network rationalisation and digital integration. We have created new store concepts to enhance customer experiences, with initial encouraging results. To integrate the retail and online channels, we will continue to dedicate significant resources to developing an omni-channel offer, through the roll-out of our global digital platform, collaboration with e-tailers, and in-store digital integration. With this goal we have built a new team that will bring further expertise to the Group’s digital strategy. I am confident that our creative vision combined with investment in online and offline engagement with our customers put us firmly on the path to sustainable growth.”