Prada signals possible guidance cut as Q1 sales fall
Published on Jun 6, 2014 9:53 AM
MILAN (Reuters) - Italian luxury group Prada signaled a possible cut to full-year guidance on Thursday after first quarter sales fell in its main European and Asian markets and revenue growth for its signature brand almost ground to a halt.
Prada said on Thursday its performance in the three months to April 30 had been hit by unfavourable exchange rates, declining wholesale deliveries and a tough comparison with the previous year.
Sales fell 0.6 per cent to 777.7 million euros (S$1.33 billion), below analysts' forecasts of around 813 million euros according to Thomson Reuters data. At constant exchange rates, sales rose 3.8 per cent.
The group, known globally for its high-end fashion brand founded as a leather goods company by designer and co-chief executive Miuccia Prada's family in 1913, said it could review its guidance.
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