TRIESTE, Italy, July 7, 2016 /PRNewswire/ --
modeFinance, the first Fintech ratings agency to be officially registered by the European Securities and Markets Authority, ESMA, has given Prada Spa an A3+ rating. This is modeFinance's first issuance on the Italian fashion company. Prada has good-quality fundamentals, according to the opinion published on the website (https://cra.modefinance.com ). In general, the company is notably solid both in terms of solvency and liquidity, and performance indicators are equal to or better than the average of principal competitors and markets where it operates.
Solvency is the company's strong point: total debt is at moderate levels and the company is well capitalised. Because of unfavourable macro-economic conditions, revenues are flat or slightly down, while operating costs have increased. Over the past three fiscal years, the profitability of Prada Spa, while still high, has nevertheless fallen, and there has been a decline in operating margins.
The company's shares are listed on the Hong Kong Stock Exchange, which suffered greatly from the 2008 global economic crisis. An area of particular attention for analysts and investors is the macroeconomic outlook for the Asian region, which could have a negative influence on the company's future revenues.
modeFinance is an international credit rating agency registered with the European Securities and Markets Authority, ESMA. It was founded in 2009 by Mattia Ciprian and Valentino Pediroda as a spin-off from Trieste University, after they came up with the idea of applying Big Data to the world of finance. Using its own proprietary MORE methodolgy (Multi Objective Rating Evaluation), modeFinance can rate over 200 million companies around the world, including those for which no balance sheet data is available. The share capital is 57% held by the founders and the remaining 43% by the Corvallis Group, which works in information technology.