Prada S.p.A. announces the audited consolidated results of the group for the year ended January 31, 2015. Net revenues were Euro 3,551.7 million, down by 1% compared to Euro 3,587.3 million in 2013.
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At constant exchange rates, consolidated net revenues have remained almost unchanged because, overall, exchange rates between other currencies and the Euro had a negative impact on sales for a significant portion of the year but then made a positive contribution and helped sales recover in the last few months of the year.
Sales in the retail channel – which comprised 594 DOS at January 31, 2015 – were broadly in line with 2013 while wholesale channel sales fell by 3.4% and were again affected by the program of rationalization and conversion into retail sales.
The slowdown in the rate of growth and the accompanying increase in costs linked to retail network expansion has hit operating margins: EBITDA for the twelve months ended January 31, 2015 was Euro 954.2 million, or 26.9% of net revenues against 31.9% in prior year, and EBIT totaled Euro 701.6 million, or 19.8% of net revenues against 26.2% in prior year.
After net financial expenses of Euro 33.8 million (Euro 16.3 million in 2013) and an effective tax rate almost in line with prior year (31.2% against 30.9% in 2013), the Group’s net income amounted to Euro 450.7 million (12.7% of net revenues against 17.5% in 2013).
The capital expenditure for 2014 totaled Euro 449.7 million and was mainly dedicated to the expansion and renewal of the DOS network and to the acquisition for Euro 61.5 million of a property in Milan already used by the Group as its Corporate Headquarters under a rental contract. At January 31, 2015, the Group’s net financial position was positive by Euro 188.8 million.
In the twelve months then ended, cash flows generated by operating activities amounted to Euro 483.6 million and were almost entirely employed – together with some existing cash – to finance capex and pay dividends to the shareholders of Prada spa (Euro 281.5 million) and the noncontrolling shareholders of subsidiaries (Euro 9.4 million). ■