Prada Spa Ord

Good day and thank you for standing by. Welcome to the Praga Group full year 2020 results presentation. At this time all participants are in listen only mode. After the speaker's presentation there will be a question and answer session. To ask a question during the session please press star 1 and 1 on your telephone. You will then hear an automated message advising your hand is raised. To withdraw your question please press star 1 and 1 again. Please be aware that we will take and answer one question at a time before moving to the next question. And please also note that today's conference is being recorded. I would now like to turn the conference over to Mr. Andrea Bonini, CFO. Please go ahead, sir.

Good afternoon, everyone, and thank you for joining Prada Group's full year 2023 results conference call. This is Andrea Bonini, Chief Financial Officer of Prada Group. I'm delighted to be with you again. I'm joined by Mr. Patrizio Bertelli, Chairman of the Board and Executive Director, Mr. Andrea Guerra, Group CEO, and Mr. Lorenzo Bertelli, Marketing Director and Head of CSR. Mr. Patrizio Bertelli will start today with group highlights for the year, followed by Mr. Lorenzo Bertelli, who will provide an overview of our marketing and communication activities and an update on our ESG initiatives. Mr. Guerra will then give you a business update and I will provide details on our financial performance before Mr. Guerra signs off with some closing remarks. As a reminder, during today's call, we may discuss forward-looking statements which are subject to risks, uncertainties, and factors beyond our control that could cause the actual outcome and returns to differ materially from such statements. Please refer to the disclaimers included on slide two of our presentation. With that, I will hand over to Mr. Bertelli.

Good afternoon. Welcome to the presentation of the yearly results of the Prada Group of 2023. 2023 was an year marked by important organizational evolution for our group, which allowed us to strengthen some competencies and brought further improvement in the execution of our strategy. Our main focus was that of further increasing the appeal of our brands through product and communication initiatives, which were designed to strengthen the relationship with our customers. Together with that, we kept improving retail in order to increase the productivity of our stores. Thanks to all those activities combined, 2023 also closed with a significant high-quality growth. driven by double-digit like-for-like growth for the third year in a row, which translated into an increase of retail productivity and profitability. Let's look at numbers. Net revenues stood at €4.7 billion, up 17% at constant exchange rates. Retail sales posted the same increase during this year, plus 17%, with an excellent performance in the fourth quarter as well, which was also plus 17%. All the areas, Japan, Asia, Pacific, and Europe, grew double-digit. The Americas closed the year at constant sales versus 2022. Prada is now closing another sustained growth retail year and gained father market shares. through a well-balanced product portfolio and a major capability to innovate and interpret contemporary style. For MiuMiu, 2023 was a year of great success in consolidating the brand's image and appeal. The results are the outcome of a number of strategic choices made over the last year that span over product communication, distribution, and human resources. The group profitability further improved with EBIT margins standing at 22.5% of revenues. At the same time, we supported our brands through bigger communication and retail activities, and overall we strengthened the group structure. We also increased investments in our stores, also in the industrial and technological infrastructures. To wrap it up, I believe that innovation, dynamicism, flexibility are always very important in today's market situation, and I'm confident that our strength and organization will be able to drive the group towards further growth and evolution. Let me now give the floor to Lorenzo, who's going to talk about the main initiatives of 2023 in marketing and sustainability.