Press Releases
Bulgari growth continues in 1998 Preliminary consolidated net revenues increase by 21% to Lira 696* billion
Bulgari, the contemporary Italian jeweller, announced in Rome today its preliminary consolidated net turnover for the year ended 31 December 1998.
Bulgari's net turnover increased by 21% to Lire 696* billion (Euro359,5 million ), against Lira 574 billion (Euro 296,4 million) in 1997. Exchange rates did not have a significant influence.
The Group enjoyed an increase in all product categories and in all major geographic areas, even if in a differentiated way. This result can be attributed to the Company's long term strategy running along three main directions: enlargement of the range of products, expansion of the distribution network and consistent investments in communications.
In 1998 Bulgari presented an extension of the XL jewellery line and the Nuvole collection, the Aluminium watch, the Black fragrance and the Salvatore Ferragamo pour Femme perfume, the first outcome of the Bvlgari/Ferragamo joint venture agreement.
Bulgari has also started the international roll-out of the eyewear and leather goods. The company opened 15 new stores (including Hamburg, Venice, Naples, Rhyadh, Guam and Taipei), taking the number of stores to 78; while the Milan and Singapore stores have been refurbished.
The distribution network of authorized retailers has been reinforced and has grown to more than 300 distribution outlets for watches (almost half of them distribute also jewellery), and over 8,000 for perfumes.
As for the past years the Group has dedicated significant investments in communication. Worth mentioning is the cooperation with Alitalia: a Boing 747 painted in the colours of Aluminium. Commenting on the announcement Francesco Trapani, Bulgari's Chief Executive Officer, said: 'In 1998 the Bulgari Group has continued to grow significantly despite adverse market conditions. We are once again satisfied of the results which confirm the validity of our strategy even if revenues were slightly below our expectations. Hong Kong and the U.K. suffered throughout 1998. Because of financial turbulence in Latin America we had to postpone to the first months of 1999 some important activities which were foreseen for the last quarter of 1998. During the course of last year we had various confirmations of the potential of our brand. A recent market survey has demonstrated that the Bvlgari brand is one of the three most prestigious luxury brands in the world. Therefore, we increased our investments in communication, in the development of new products and in strengthening our organization structure in order to provide solid foundation to our intensive growth process.'
Founded in Rome in 1884, Bulgari is the third largest jeweller in the world. The Group is controlled by the Bulgari family, holding around 56% of the shares. The remaining 44% is listed on the Milan Stock Exchange and traded on the SEAQ in London. Bulgari's market capitalisation is Lira 3,100 billion (Euro 1,600 million) (as at 29 January 1999).
* without including clearing transactions For further information please contact: Francesca Zanoni +39-06-68810594