Press Releases
Bulgari: strong growth in sales volumes Second quarter 2004: +15%*
Rome, July 28 2004 The consolidated revenues of the Bulgari Group in the second quarter 2004 were 192.5 million Euro compared to 169.5 million Euro in the same quarter of the previous year. At comparable exchange rates the increase was +15%.
This result was achieved despite a challenging base since turnover* in the second quarter 2003 remained unchanged compared to the previous year, despite the SARS effect and the negative economic situation on a worldwide basis.
As far as the product categories are concerned, the excellent trend of jewellery sales has to be underlined. In the second quarter this category registered a further increase of 16.5%* (+15.2%* in the whole semester 2004) also thanks to the launch of new collections in the medium-high price range. Strong signs of recovery have been recorded for watches with an increase of 12.8%* (+7.0%* in the whole semester 2004).
Also fragrances increased (+24.4%* in the second quarter; +16.9%* in the whole semester 2004) as well as accessories (+2.9%* in the second quarter), which already registered a growth of 48.3% in the second quarter of the last year.
All new products supported by significant advertising investments were successfully received by the clientele.
Revenues increased in all geographic areas. A very satisfying sales trend was reached in the United States (+32.9%*), which together with the previous increase of 21.6%* in the first quarter of this year - confirms the very positive impact of the US economic upturn (+27.3%* in the whole semester 2004). Japan is still registering a strong increase of sales volumes (+22.0%* compared to the same quarter of 2003 and +22.5%* compared to the whole semester 2003) thanks to the extraordinary strength of the Bulgari brand. Revenues in the Far East (+10.6%*) and in the Middle East (+29.6%) also confirm a further growth of these markets.
In Italy turnover increased by 2.8% thanks to the good sales trend to the local clientele. The rest of Europe also registered a sales increase (+6.0%) with excellent performances especially in UK and Spain.
* at comparable exchange rates
Francesco Trapani, Chief Executive Officer of the Bulgari Group, commented: I am extremely satisfied with the excellent sales trend of this quarter both from a quantitative and a qualitative point of view. Indeed, despite the political situation and the economic environment are still uncertain, the results we are announcing today are proceeding in the right direction while confirming the signs of recovery already registered in the first quarter. Such figures as a result of a continuous work in creating new and highly innovative products - make me optimistic for the future.
Bulgari, the Contemporary Italian Jeweller, is today one of the global players on the luxury market. In 2003 the company posted a turnover of 759 million Euro, a net profit of 92 million Euro and a market cap (as of 27.07.2004) of 2.36 million Euro and relies on a distribution network of over 180 stores in the most exclusive shopping areas in the world.
Bulgari has a product portfolio that ranges from jewels and watches to accessories and fragrances. The Group is controlled by the Bulgari family, holding 54% of shares. The remaining 46% is floating on the Milan Stock Exchange.
| Q2 2004 | Q2 2003 |
% growth Q2 2004/Q2 2003 |
||
|---|---|---|---|---|
| M. Euro | REPORTED | AT COMPARABLE FX RATES | ||
| Jewels | 86,752 | 75,070 | +15.6 | +16.5 |
| Watches | 60,060 | 54,257 | +10.7 | +12.8 |
| Perfumes | 29,412 | 23,942 | +22.8 | +24.4 |
| Accessories | 13,325 | 12,956 | +2.8 | +2.9 |
| Royalties/Others | 2,903 | 3,270 | -11.2 | N/A |
| Total | 192,452 | 169,495 | +13. 5 | +14.8 |
| H1 2004 | H1 2003 | % growth H1 2004/H1 2003 |
||
|---|---|---|---|---|
| M. Euro | REPORTED | AT COMPARABLE FX RATES | ||
| Jewels | 152,931 | 136,599 | +12.0 | +15.2 |
| Watches | 109,469 | 106,848 | +2.5 | +7.0 |
| Perfumes | 57,771 | 51,503 | +12.2 | +16.9 |
| Accessories | 27,044 | 27,768 | -2.6 | +0.3 |
| Royalties/Others | 5,559 | 7,404 | -24.9 | N/A |
| Total | 352,774 | 330,122 | +6.9 | +10.6 |
| Q2 2004 | Q2 2003 |
% growth Q2 2004/Q2 2003 |
||
|---|---|---|---|---|
| M. Euro | REPORTED | AT COMPARABLE FX RATES | ||
| ITALY | 26,641 | 25,909 | +2.8 | +2.8 |
| EUROPE ex IT | 46,170 | 43,551 | +6.0 | +6.0 |
| AMERICAS | 25,807 | 20,480 | +26.0 | +32.9 |
| JAPAN | 44,452 | 36,033 | +23.4 | +22.0 |
| FAR EAST | 33,567 | 31,321 | +7.2 | +10.6 |
| M.OR+OTH | 15,815 | 12,201 | +29.6 | N/A |
| Total | 192,452 | 169,495 | +13. 5 | +14.8 |
| H1 2004 | H1 2003 |
% growth H1 2004/H1 2003 |
||
|---|---|---|---|---|
| M. Euro | REPORTED | AT COMPARABLE FX RATES | ||
| ITALY | 44,479 | 48,981 | -9.2 | -9.2 |
| EUROPE ex IT | 84,384 | 83,762 | +0.7 | +0.7 |
| AMERICAS | 49,245 | 42,604 | +15.6 | +27.3 |
| JAPAN | 84,346 | 70,207 | +20.1 | +22.5 |
| FAR EAST | 63,359 | 62,693 | +1.1 | +7.8 |
| M.OR+OTH | 26,961 | 21,875 | +23.3 | N/A |
| Total | 352,774 | 330,122 | +6.9 | +10.6 |
Source: Bulgari S.p.A. preliminary, non-audited figures the H1 04 release will be approved by the Board of Directors on Sep.13 2004.
For further information
Paolo Piantella
Corporate Financial Press Office Director
Tel.: +39 06 68 810 593
e-mail: paolo.piantella@bulgari.com