It Holding grows in the first 9 months

It Holding has approved its consolidated results for the nine months ended September 30, 2003. Consolidated net revenues rose 2.8% to € 520.9 million from € 506.6 million in the first three quarters of 2003.

The growth in net revenues would have been approximately 8.0% at constant exchange rates and had revenues from the ready-to-wear and accessories collection of Romeo Gigli, Gigli, and Husky, licensed to third parties, not been consolidated in the first nine months of 2002.

Ebitda also showed growth, rising 2.8% to € 63.4 million and coming in at 12.2% as a percentage of net sales. This is despite increased advertising expenses, which increased 30.0% to € 30.1 million. Ebita amounted to € 42.5 million, or 8.2% of net sales, for the most part in line with the € 43.5 million of the first three quarters of 2002.

Consolidated by the It Holding Group, revenues from the Ferré brand, reached € 89.0 million in the first nine months of the year, up 7.7% on the same period in 2002. In addition, the brand generated approximately € 90.0 million in net revenues through third party licensing.

Net revenues generated by the ready-to-wear and accessories division continued to perform well, showing growth of 4.2% and accounting for 88.8% of total consolidated net revenues despite unfavorable exchange rate trends and the change in the consolidation area. Although it only began generating revenues in 2002, the perfume division reached € 15.2 million in the first three quarters of the year, also following the success of the Roberto Cavalli and Romeo Gigli women's fragrances and Roberto Cavalli Man fragrance. Eyewear business, offset by the unfavourable trend in all the field, decreased from 45,3 million euro at September 30, 2002, to 37,2 million.

Tonino Perna, Chairman and Chief Executive Officer of the IT Holding Group, has said of these exceptional results, 'In such a difficult situation, both in terms of the macroeconomic downturn and the current hardships within the luxury goods sector, these figures bear witness to how the Group's strong structure provides a solid base to face the current economic cycle. We are confirming our goals of achieving growth in consolidated revenues, in line with the results of the nine months of 2003".