April 12, 2017 / 12:56 PM / 5 months ago

Prada reports 15.9 percent fall in 2016 annual profit

A woman cleans the brand logo at a Prada fashion boutique in Beijing, China, September 16, 2016. REUTERS/Thomas Peter

HONG KONG (Reuters) - Luxury fashion group Prada SpA (1913.HK) on Wednesday reported a 15.9 percent fall in annual profit as global luxury spending remained soft and as it sold more accessible products in competitive market.

In the year ended Jan. 31, Prada reported net income of 278.3 million euros (236.48 million pounds), down from 330.9 million euros a year earlier. Analysts were expecting net income of 296 million euros, according to Thomson Reuters SmartEstimate data.

Prada's shares have risen more than 30 percent so far this year, outpacing a 9 percent rise in the benchmark Index .HSI.

In February, the Italian group said saw its sales accelerating in the past months, particularly in Greater China and Russia, pointing to an improving outlook after sales slumped last year.

France’s LVMH (LVMH.PA), the world’s biggest luxury group, in January predicted a “relatively easy” first half of 2017, but warned the second half could be “more difficult”.

Reporting by Donny Kwok and Twinnie Siu; Editing by Louise Heavens

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