Bulgari: net profits of Euro 150.9 million

Bulgari ended 2007 with net profits of Euro 150.9 million, an increase of 12.4% against the previous financial year. The company explained that the improved result was also due to proceeds from operations to cover exchange rates and precious metals, as well a significant improvement in the tax incidence.

On the basis of these figures, the Board of Directors approved a proposal to distribute a dividend of Euro 0.32 per share: 10% more than in 2006. The Roman jeweler's operating result stood at 164.5 million, an upturn of 4.7% against the previous year. This figure includes revenues up by +8.2% to Euro 1.091 billion, and also higher costs (from Euro 490.3 to 534.6 million) mainly due to investments in expanding and renewing the distribution network and the expansion of production capacity.

'In 2008 Bulgari will be characterized by a strong commitment to further business development in all product categories and by a precise investment policy aimed at strengthening distribution and industrial projects' said Chief Executive Francesco Trapani. 'This will revolve round the opening of a new flagship store on Avenue George V in Paris, the further strengthening of our presence in the rest of Asia, the integration of recent acquisitions, the consolidation of growth in the accessories sector and the gradual launch of women's skincare products at international level. In view of these important initiatives and in an uncertain and volatile macroeconomic scenario, for 2008 the Bulgari Group forecasts a further increase in sales (at equivalent exchange rates), operating profit and net profits of between 8% and 12%. It will also consolidate its position of absolute prestige in the world market for luxury goods'.

(Source: Fashion Magazine)