Due to the ongoing COVID-19 pandemic, Prada Group — which owns Prada, Miu Miu and Church’s footwear — like its peers LVMH and Kering, suffered significant drops in revenue thus far in 2020. Store closures, dwindling travel, and reduced wholesale made the Group witness a 40% net revenue decline, meaning it only managed to bring in less than €1 billion euros (€938 million).
Prada closed 70% of its stores in response to the epidemic, slicing wholesale by a whopping 71%, a drastic move that the group is only just now beginning to recover from. Unsurprisingly, the “entire Asia Pacific region” has boosted Prada’s fortunes as the area’s lockdowns loosen, reportedly enjoying double-digit sales growth in the month of June, the final month of 2020’s first half. Europe and Japan are seeing some bounceback as well.
Patrizio Bertelli, Prada Group CEO, expressed in a statement: “I am very proud of the commitment and sense of responsibility demonstrated in these circumstances by all our people. The first half of 2020 saw a temporary interruption of our growth trajectory which, in a situation of progressive control of the pandemic, we are confident will gradually resume from the second half of 2020, when our store network will again be fully operational.”