Gucci Group: strong results for third quarter 2003

Gucci Group NV announces financial results for the third quarter ended October 31, 2003.

Gucci Division:
- Retail sales up 12.0% on a constant currency basis;
- Retail sales growth of 11.4% in November, accelerating to 21.6% in the December 1-14 period, on a constant currency basis;
- Retail sales of leather goods up 15.5% on a constant currency basis;
- Operating income before goodwill amortization up 11.2% to € 100.9 million (27.1% margin) from € 90.8 million (25.5% margin);
- Total revenues up 4.9% to € 373.1 million.

Yves Saint Laurent:
- Retail sales up 27.3% on a constant currency basis;
- Retail sales up 39.2% in the November 1 - December 14 period on a constant currency basis;
- Total revenues up 13.6% to € 43.1 million.

Bottega Veneta:
- Retail sales up 51.5% on a constant currency basis;
- Retail sales up 39.2% in the November 1 - December 14 period on constant currency basis;
- Total revenues up 19.8%.

Alexander McQueen and Stella McCartney: revenues up 20.8% and 65.5%, respectively.

Gucci Group:
- Total revenues of € 695.0 million, up 12.8% on a constant currency basis;
- Operating income before goodwill and trademark amortization and restructuring expenses up 17.0% to € 90.9 million (13.1% margin) from € 77.7 million (12.1% margin) in 2002;
- Fully diluted net income per share: € 0.53, compared to € 0.52 last year.

Domenico De Sole, President and Chief Executive Officer of Gucci Group N.V. said: "This has been a great quarter for the Group. All divisions performed extremely well, led by Gucci's outstanding sales and profits growth. With 20% constant currency retail sales growth in the United States and Europe ex-Italy, and with strong double-digit growth in Japan and in most Asian markets, Gucci is one of the best performing luxury brands in the world. The Yves Saint Laurent's fashion and accessories business continued to make losses during the quarter. However, our efforts to re-establish the brand at the high end of luxury are bearing fruit. The combination of great creative talent and sound business sense, which characterizes our Group, is paying off at Bottega Veneta, Alexander McQueen and Stella McCartney, all of which are on track with our sales and profitability targets'.