Ge Long Hui·2025-12-22 06:17Group 1 - The core viewpoint of the report is that Macquarie expects Prada's retail sales to grow by 7% year-on-year in the fourth quarter when calculated at constant exchange rates, while sales and group revenue are projected to increase by 0.2% and 0.9% respectively when calculated at reported exchange rates [1] - Concerns regarding the slowdown in growth for the Miu Miu brand are considered excessive, as the brand has achieved approximately 150% growth over the past two years [1] - The management is satisfied with the group's balance sheet, noting that it generates €1 billion in free cash flow annually and plans to maintain a 50% dividend payout ratio [1] Group 2 - After accounting for foreign exchange headwinds, Macquarie has adjusted its net profit forecasts for the group downwards by 1.5%, 1.3%, and 1.3% for the years 2025 to 2027 [1] - Based on an unchanged 20 times price-to-earnings ratio for 2025, the target price has been reduced from HKD 60 to HKD 59, while maintaining an "outperform" rating [1]