Prada sees stocks skyrocket as it becomes the latest fashion house to capitalize on the post-pandemic luxury boom
Prada saw its shares skyrocket yesterday as it became the latest fashion house to benefit from the post-pandemic luxury boom.
Sales of handbags, shoes and perfumes rose 8 per cent to £1.1 billion in the first six months of the year, compared to the same period in 2019.
The brand increased profits to £141 million, up from £128 million two years ago, enabling it to post a profit of £82.7 million.
Sit back and relax: Sales of Prada’s handbags, shoes and perfumes rose 8 per cent to £1.1bn in the first six months of the year, compared to the same period in 2019
Shares, listed in Hong Kong, rose 11.7 percent, or 6.35 HKD, to 60.7 HKD on the news. The previous day, luxury rival Hermes posted sales of £3.6bn in the first half of 2021, up a third compared to 2019, at constant exchange rates.
The sector’s strong performance comes despite ongoing Covid restrictions, particularly for wealthy international tourists.
Brands have leveraged social media to engage a local audience. Prada CEO Patrizio Bertelli praised the “stronger ties” his company had developed with customers during the pandemic.
Hermes executive chairman Axel Dumas also praised his company’s “exceptional” results.