Post on 27-Mar-2015
THE BVLGARI GROUP THE BVLGARI GROUP
First First Quarter 200Quarter 20044
Rome, 13 May 2004
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FINANCIAL HIGHLIGHTS FINANCIAL HIGHLIGHTS Q1 2004 Q1 2004
Eur mios. Q12004
Q12003
DELTAQ1 04/03
REVENUES - REPORTED
REVENUES – AT CONST.FX
160.3 160.6 -0.2%
+6.0%
GROSS PROFIT 100.3 97.8* +2.5%
EBIT 18.9 16.2 +16.7%
NET PROFIT 13.5 11.4 +18.3%
*restated due to inclusion of manufacturing costs in COGS during 2003
GROUPP/L - EXTRACT
Q1 2004MEUR
Q1 2003MEUR
% GROWTHQ1 2004/ Q1 2003
% ON REVENUESQ1 2004
REVENUES 160.3 160.6 -0.2% 100%
GROSS MARGIN
100.3 97.8* +2.5% 62.5%
OPERAT.EXPEX ADV.&PROM
65.5 67.6 -3.1% 40.9%
ADV. AND PROMOTION
15.9 13.9 +14.1% 9.9%
EBIT 18.9 16.2 +16.7% 11.8%
NON OPERAT.EXPENSES
1.7 3.2 -47.1% 1.1%
PROFIT BEFORE TAXES
17.2 13.0 +32.7% 10.7%
TAXES 3.7 1.6 +140% 2.3%
NET PROFIT 13.5 11.4 +18.3% 8.4%
FINANCIAL HIGHLIGHTS Q1 2004FINANCIAL HIGHLIGHTS Q1 2004DETAILSDETAILS
% ON REVENUESQ1 2003
100%
60.9%
42.1%
8.7%
10.1%
2%
8.1%
1.0%
7.1%
*restated due to inclusion of manufacturing costs in COGS during 2003
PRODUCTCATEGORY
Q1 2004 VARIATION % 2004/2003
FIRST QUARTER
REPORTED AT COMP.FX
MEUR % ON TOTALSALES
% GROWTH
JEWELRY 66.2 41.3% +7.6% +13.8%
WATCHES 49.4 30.8% -6.1% +0.5%
PERFUMES 28.4 17.7% +2.9% +10.1%
ACCESSORIES
13.7 8.5% -7.4% -2.1%
ROYALTIESAND OTHER
2.6 1.7% -35.8% N/A
TOTAL 160.3 100% -0.2% +6.0%
REVENUES – Q1 2004 REVENUES – Q1 2004 DETAILS BY PRODUCT LINE
GEOGRAPHICALAREA
Q1 2004 VARIATION % 2004/2003
FIRST QUARTER
REPORTED AT COMP.FX
MEUR % ON TOTALSALES
% GROWTH
ITALY 17.8 11.1% -22.7% -
EUROPEW/OUT ITALY
38.2 23.8% -5.0% -
AMERICAS 23.4 14.6% +5.9% +21.6%
JAPAN 39.9 24.9% +16.7% +23.1%
FAR EAST 29.8 18.6% -5.0% +4.8%
MIDDLE EASTAND OTHER
11.2 7.0% +15.2% N/A
TOTAL 160.3 100% -0.2% +6.0%
REVENUES – Q1 2004 REVENUES – Q1 2004 DETAILS BY GEOGRAPHICAL AREA
GROSS MARGINGROSS MARGIN
60.2%
62.5%
60.9%
Q1 2002 Q1 2003 Q1 2004
% WEIGHOn total revenues
Q1 2002
JEWELS 39.6%
WATCHES 33.4%
PERFUMES 19.4%
ACCESSOR.
5.2%
ROYA/OTH 2.4%
TOTAL 100%
% WEIGHOn totalrevenues
Q1 2003
JEWELS 38.3%
WATCHES 32.7%
PERFUMES 17.2%
ACCESSOR.
9.2%
ROYA/OTH 2.6%
TOTAL 100%
% WEIGHOn total revenues
Q1 2004
JEWELS 41.3%
WATCHES 30.8%
PERFUMES 17.7%
ACCESSOR.
8.5%
ROYA/OTH 1.7%
TOTAL 100%
FX RATESMarketevolution
Q1 2004AVERAGEFX RATE
Q1 2003AVERAGEFX RATE
Q1 4/Q1 03
AVERAGEEUR
APPREC.
EUR/USD 1.2507 1.0732 +16.5%
EUR/JPY 134.02 127.60 +5%
ADVERTISING AND PROMOTIONADVERTISING AND PROMOTIONINVESTEMENTS IN M.EURO AND AS A % ON REVENUES
1924
3350
61
82
10276
81
1995 1996 1997 1998 1999 2000 2001 2002 2003
12 14 16
Q1 2002 Q1 2003 Q1 2004
7.7% 8.7% 9.9%
On tot.revenues
10.6%9.9%
+14%
NET WORKING CAPITALNET WORKING CAPITAL
Me euro Q1 02 Q1 03 Q1 04
RECEIV. 99 110 112
INVENTORY
557 492 464
PAYABL. -77 -97 -105
TOT NWC 579 505 471
487
-301
552
-159
594
-73
-320
-120
80
280
480
680
Q1 2002 Q1 2003 Q1 2004
net equity net cash
BALANCE SHEET HIGHLIGHTSBALANCE SHEET HIGHLIGHTSM.EUROM.EURO
GEARING62% 29% 12%
BVLGARI 2004 – PRODUCT LAUNCHES
JEWELRY WATCHES PERFUMES ACCESSORIES
NEW PRODUCT LAUNCHES
ASTRALE HIGH JEWELLERY MARRYME
BVLGARI: ERGON
GERALD GENTA: OCTO
LINE EXTENSIONS,
NEW VERSIONS
Bvlgari-Bvlgari pendants Charms New cufflinks Bzero1 color Bzero1 pink gold
BB - TOURBILLON NEW RETTANGOLO NEW SOLOTEMPO Bzero1 DIAMS DIAG.PROF. -REGATTA DIAG. PROF. - GMT FLYBACK NEW DIAGONO ALUM.
NEW DANIEL ROTH MODELS
OMNIA BATH LINE
St.Valentine, Spring, seasonal kits and flankers
New S/S and F/W Colors forBzero1, Décolleté,Geometrica handbags
New silk and eyewear collections
ADVERTISINGCAMPAIGNS
THE BVLGARI CAMPAIGNS ADVERTISE FIRST OF ALL THE BRAND
ASTRALE CAMPAIGN Mirror campaign Bzero1 campaigns
ERGON CAMPAIGN OCTO CAMPAIGN Mirror campaign Bzero1 campaigns
New perf.campaigns New eyewear campaign
BVLGARI 2003 – PRODUCTION
ACTIVITIES VERTICAL INTEGRATION
RE-ENGINEERINGBOTH ON PRODUCTS AND PROCESSES
ACQUISITION CROVA 50% ACQUISITION
INTERNAL JEWELRYATELIER
CAPACITY IMPROVEMENT
WATCHMAKING FIRST INTERNALLY PRODUCED MOVEMENTS FOR BVLGARI GROUPGRANDE COMPLICATION WATCHES
DIAMOND SOURCING
PARTNERSHIP WITH LEVIEV GROUP TO SECURE TO BVLGARI
DIAMONDS OF EXTRAORDINARY QUALITY AT HIGHLY COMPETITIVE PRICES
2003 – NETWORK EVOLUTION
As of end Q1 2004
End 2003 NEW
DOS BOUTIQUES 100 928 CORNERS
FORMERLY RUN BY A JAPANESE PARTNER ON A COMMISSION
BASIS AND CLASSIFIED UNDER THE
WHOLESALE STORES CATEGORY
AND ARE NOW CLASSIFIED UNDER
DIRECTLY OPERATED STORES
NO NEW STORES HAVE BEEN OPENED DURING Q1
FRANCHISEES 35 35
TOTAL STORES 135 127
TRAVEL RETAILAND WHOLESALE STORES (POINTS OF SALE)
47 55
TOTAL STORES+P.O.S.
182 182
BVLGARI 2004 – PR AND PROMOTIONTYPOLOGY EVENTS DETAILS
CORPORATE PR ACTIVITIES
PRODUCT LAUNCHES
GRAND OPENINGS
EXHIBITIONS
ASTRALE HIGH JEWELLERY LAUNCH – ST.PETERSBURG + LONDON, SINGAPORE – more to come ASTRALE AND ERGON LAUNCH – BASEL FAIR, APRIL 15TH
BOUTIQUES: IN THE PIPELINEBVLGARI HOTEL – MILANO, MAY 20TH
THE BVLGARI VINTAGE COLLECTION - MIAMIBVLGARI INTRODUCES PETER FALK’S ARTWORKS - ROME VIA CONDOTTI
EDITORIALSAWARDS
IN THE PIPELINE
MOVIES/TVPRODUCT PLACEMENTS
MOVIES
ORIGINAL SERIES
SOMETHING’S GOTTA GIVEIN THE PIPELINE
SEX AND THE CITY
VIPENDORSEMENTS& AWARDS 2004
RED CARPET
OSCARS/ACADEMY
GRAMMY
DAVID DI DONATELLOCANNES FILM FESTIVAL
OTHERS
NICOLE KIDMAN, JOHNNY DEPP, JENNIFER GARNER, AMBER VALLETTA, DJIMON HOUNSOU
KYLIE MINOGUE
EMANUELLE BEART, ANOUK AIMEE – BVLGARI CREATES THE “DAVID PLAQUE”PEDRO ALMODOVAR …
IN THE PIPELINE
FOR MORE INFORMATION PLEASE SEE WWW.BULGARI.COM
QUESTIONS & ANSWERS
ANNEX
FOR MORE QUALITATIVE INFORMATION ON
ASTRALE
JEWELRY COLLECTION
PLEASE SEE
http://www.bulgari.com
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