PRADA spa

PRESS RELEASEPRADA GROUP PRELIMINARY SALES FIGURES FOR FINANCIAL YEAR 2014

Milan, February 22, 2015 – The preliminary sales reported by the Prada Group – listed on theHong Kong Stock Exchange (1913HK) – for the financial year ended January 31, 2015 amountto Euro 3,552 million, slightly down compared to the previous financial year (-1%).
Wholesale channel
In line with our forecast and Group strategy which has, for some years, prioritized retail channel
development, the wholesale channel ended financial year 2014 with sales of Euro 532 million, adecrease of 4% (-5% at constant exchange rates). This decrease is essentially due to theEuropean and American markets where we continued our rationalization program. In contrast,
there was strong sales growth for the network of franchise stores in the Asia Pacific region (DFS)
which have benefited from an increasing flow of Chinese consumers.
Retail channel by geographical area
As at January 31, 2015, the Group retail network comprised 594 DOS and its sales for thefinancial year then ended totaled Euro 2,981 million, broadly in line with financial year 2013 at bothcurrent and constant exchange rates. There were clear differences between the various
geographical areas: the growth recorded in Japan, the Americas and the Middle East was offset bya fall in sales in the Far East, where market conditions gradually deteriorated in the second half ofthe year.
In more detail:- in Europe sales revenue decreased by 1% compared to the previous financial year because ofa fall in the tourists’ spending and a still weak domestic demand. However, the trend did improvein the fourth quarter when a sales increase was recorded.
- in the fourth quarter, the Americas market confirmed the strong performance recorded earlier inthe year, thanks to buoyant domestic consumption: the twelve months growth was 8% at currentexchange rates (+7% at constant exchange rates).
- the situation was more difficult in Asia Pacific and sales for financial year 2014 were 5% down
on prior year at current exchange rates (-7% at constant exchange rates). The fall in sales in thisarea originated primarily in Hong Kong and Macau, where market conditions deteriorated

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significantly during the second half of the year. The different timing of the Chinese New Year also
affected performance for the month of January throughout the Greater China area.
- the Japanese market continued its robust growth even in the fourth quarter. Sales for financialyear 2014 as a whole, increased by 8% at current exchange rates, (+13% at constant exchange
rates).
- there was healthy growth in the Middle East, although performance was affected by a slump in
the number of Russian tourists. Overall sales growth in the area amounted to 10% at current
exchange rates (+9% at constant exchange rates).
Retail channel by brandThe Prada brand now accounts for 83% of consolidated sales. In financial year 2014, it recorded
a 1.7% decrease at current exchange rates ( -1.6% at constant exchange rates) and performancevaried from one geographical area to another, in line with the variations in total sales describedabove. The Men’s segment achieved sales growth in all geographical areas.
Miu Miu recorded a 4% increase in sales at current exchange rates in financial year 2014 (+4.4%
at constant exchange rates). Except for Europe, the brand achieved good rates of growth on allmarkets, including the Far East.
Sales increases were also achieved by both Church’s, +14.8% at current exchange rates(+12.2% at constant exchange rates), and Car Shoe, +12.7% at current exchange rates (+11.5%
at constant exchange rates).
Patrizio Bertelli, Chief Executive Officer of Prada Spa, commented: “Throughout financial year
2014, we operated under a geopolitical and monetary environment which was more uncertain andcomplex than could have been envisaged. This situation has temporarily held up the Group’s pathof growth, but it will not affect our medium/long-term growth objectives. We shall continue topursue said objectives, adapting our strategy and organizational structure to the constantly
evolving global environment. Thanks to operational decisions taken in recent years, we now havea balanced, global retail presence which enables us to maintain and develop direct relations withour customer base and makes a daily contribution to broadening the image of our brands aroundthe world. The Group’s medium-term plan shall continue with the focused industrial, marketing
and retail investments needed to guarantee solid future growth. The closest attention is always
paid to costs, in order to safeguard profit margins and yield satisfactory returns on investments”.

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Full results regarding performance in the 2014 financial year will be published following approvalby the Board of Directors at the meeting provisionally scheduled for March 26, 2015.

For further information, please contact:
Prada Press OfficeTel. +39 02.541921
e-mail: ufficio.stampa@prada.com

PRADA Group
The PRADA Group – HKSE Code: 1913 – is one of the world leaders in the luxury goods sector where itoperates with the Prada, Miu Miu, Church’s and Car Shoe brands in the design, production and distributionof luxury handbags, leather goods, footwear, apparel and accessories. The Group also operates, underlicensing agreements, in the eyewear and fragrances sectors. Its products are sold in 70 countries worldwide
through 594 directly operated stores (DOS) at January 31, 2015 and a select network of luxury department
stores, independent retailers and franchise stores.