Versace Acquisition and Miu Miu’s Performance Contribute to Prada Group’s 2025 Financial Results
Prada Group closed 2025 with solid top-line growth and a significant strategic shift marked by the acquisition of Versace, reinforcing its ambition to expand its position within the global luxury market.
Revenues for the year rose 5 percent to €5.72 billion, compared with €5.43 billion in 2024. Excluding the €65 million contribution from Versace, acquired on Dec. 2, organic sales increased 8 percent at constant exchange rates, marking the group’s 20th consecutive quarter of growth.
“We are pleased to report another solid set of results in 2025, with healthy growth and sound profitability, achieved in a challenging macroeconomic and industry context,” said chairman and executive director Patrizio Bertelli. He pointed to creativity, consistency, and manufacturing capabilities as core drivers of the group’s performance.
Net profit rose 2 percent to €852 million, while adjusted operating profit increased 3.1 percent to €1.32 billion, representing a margin of 23.2 percent. Gross profit reached €4.6 billion.
Retail remained the primary engine of growth, with revenues rising 5 percent to €5.1 billion. Organic retail sales increased 8.2 percent, supported by full-price transactions and like-for-like performance. In the fourth quarter, retail sales rose 5.6 percent against strong comparatives from the previous year.
Performance across brands diverged. The Prada label showed resilience, with retail sales broadly flat at constant currency, while Miu Miu continued to significantly outperform. The brand reported a 35 percent increase in retail sales for the year, following a 93 percent surge in 2024, and posted a further 20 percent gain in the fourth quarter.
“Over the year, Prada showed good resilience, proving to be on a solid strategic stance; Miu Miu delivered yet another year of remarkable growth,” said group chief executive officer Andrea Guerra.
Geographically, the Americas remained a key growth driver, with revenues rising 12 percent to €932 million and 15 percent at constant currency, supported by strong local demand. Asia-Pacific grew 6 percent to €1.7 billion, with organic growth of 10 percent, while Europe increased 2 percent to €1.56 billion, reflecting softer trends in the second half due to reduced tourist flows. The Middle East rose 11 percent, while Japan remained broadly flat at current exchange rates.
The acquisition of Versace represents a major development in the group’s long-term strategy. Bertelli described the move as “a significant step in the strategic evolution of the group,” adding a complementary brand with strong global recognition.
Leadership changes at Versace have already been outlined, with Lorenzo Bertelli named executive chairman, Emmanuel Gintzburger confirmed as chief executive officer, and Pieter Mulier appointed chief creative officer effective July 1.
“With the acquisition of Versace, we welcomed a brand with incredible heritage and awareness; this new journey will demand respect, care and patience,” said Guerra. He noted that the integration is expected to weigh on profitability in the near term, with Versace projected to remain loss-making in 2026 and to have a dilutive effect on group margins, before a gradual improvement from 2027.
Versace reported revenues of €684 million in 2025, and is undergoing a repositioning that includes a creative transition, distribution adjustments, and cost controls aimed at generating efficiencies and long-term growth.
Prada Group is also advancing the integration of key functions and aligning digital strategies between the two companies, with full separation from Capri Holdings expected in the second half of 2026.
Capital expenditures rose to €617 million, reflecting continued investment in retail, infrastructure, and brand development. As of Dec. 31, the group reported net debt of €466 million, compared with a net positive financial position of €600 million the previous year, largely reflecting the impact of the acquisition.
Looking ahead, Prada Group remains focused on delivering above-market growth while managing the complexities of integrating Versace and maintaining momentum across its existing brands.