PRADA spa

PRESS RELEASEPRADA GROUP PRELIMINARY SALES FIGURES FOR FISCAL YEAR 2016
ENDED JANUARY 31st 20172016 GROUP SALES AT EURO 3,184 MILLION
CLEAR IMPROVEMENT IN SECOND HALF OF YEARPOSITIVE RESULTS IN JANUARY

Improving trend evident in last months: the fiscal year ended with the month of January
back to positive results
Europe and Asia are the most dynamic areas: from the third quarter China returned togrowth, with a strong, accelerating trend
Recent product and marketing initiatives producing clear and satisfactory results

Milan, February 13, 2017 - The Prada Group ended its 2016 fiscal year with consolidated
revenues of Euro 3,184 million, down by 9% at constant exchange rates (-10% at currentexchange rates), in line with market expectations.
Total Sales by Country:
xAsia Pacific (-12% at constant exchange rates) was very dynamic in the second halfof the year: China resumed rapid growth in the third quarter and Hong Kong andMacau saw reduced level of sales contractions versus past years. Greater China
reported higher sales in the last quarter of the year.

x The European market (-5% at constant exchange rates) was adversely affected formost of the year by the reduction of tourist flows, especially in Italy and France,
although France showed clear signs of recovery in the fourth quarter. Particularly
positive was the performance of Russia, with double-digit growth, and the U.K.,
which reversed the decline of the first six months to end the year with stronggrowth.

PRADA spaxThe American market (-12% at constant exchange rates) continued to be affectedby falling tourist flows in the U.S.A., as well as generally soft spending patterns
since the first part of the year, whereas Mexico and Brazil had positive growth.

xAfter five years of consecutive growth, in 2016 sales declined in Japan (by 13% atconstant exchange rates) essentially as a consequence of the reduced flow oftourists from China due in part to the yen appreciation.

x The Middle East presents a decrease by 10% at constant exchange rates comparedto the prior fiscal year.
With respect to each brand and the various types of products, both Prada and Miu Miushowed improving trends.
The efforts of recent months to make the shopping experience more exclusive andimmersive and to enrich the offer with highly creative and innovative products are alreadyproducing concrete results in the Ready-to-Wear segment, which saw improved results
throughout the entire second half of the year, along with Footwear and Leather Goods,
where we saw an excellent market response to the latest collections.
With respect to the Retail Channel, the Group's 620 Directly Operated Stores produced
revenues of Euro 2,635 million in 2016, a decline of 13% at constant exchange rates and14% at current exchange rates. However positive progress in sales trend were seen in thesecond half of the year, particularly in December 2016 and January 2017.
Wholesale Channel - initial encouraging results from the recent collaboration with leading
electronic retailers (“e-tailers”) are evident, in a segment where the Group has
implemented an important business plan. Sales across the entire wholesale channel rose toEuro 504 million, up by 14% at constant exchange rates and 13% at current exchange rates.
Licenses – Licensed business grew by 3%; both eyewear and fragrances experienced
positive trends, with royalties of Euro 45 million.

Patrizio Bertelli, CEO"As noted in my comments on the first six-month results, this past year we implemented a
profound phase of business process rationalization - still underway - and identified
important strategies to secure the Group's future growth.
This included revising our digital strategy with the creation of a highly skilled team withprofessional experience from the digital technology and new media industries. In themeantime we are strengthening the retail management structure with the aim ofintegrating online channels with traditional channels in a truly innovative dimension.
I am confident that this new global vision will enable our brands to fully express their strong
potential, and generate sustainable growth: high-quality products, high level of creativity inboth communications and customer relationships.”

PRADA spa

For additional information please contact:
Prada Press Office+39. 02.541921
ufficio.stampa@prada.com

PRADA Group
The PRADA Group – HKSE Code 1913 – is a global leader in the luxury goods sector where it
operates with the Prada, Miu Miu, Church’s and Car Shoe brands in the production anddistribution of luxury handbags, leather goods, footwear, apparel and accessories.
Moreover, in 2014, Prada acquired 80% of Marchesi srl, owner of the historic Milanesepatisserie founded in 1824. The Group also operates in the eyewear and fragrance
industries under licensing agreements. As of January 31, 2017, products are sold in 70
countries worldwide through 620 directly operated stores and a selected network of luxury
department stores, independent retailers and franchise stores.