Growth for Armani in 2003

The Armani group's net profits in 2003 were 134 million euros (+14% compared to 2002) with a gross operating margin on consolidated billings of 20.5% (20.2% in 2002). Consolidated billings totaled 1,255 million euros, a 3% increase at constant exchange rates (-3.5% at current exchange rates).

The results were presented personally by group president and chief executive, Giorgio Armani, a few hours before he left for China where the new large store will be inaugurated in Shanghai Saturday, April 17.

In the first quarter of 2004, wholly-owned stores showed a 9% increase in global billings, with major acceleration in China (+17%) and the US (+15%) compared to Japan (+3%) and Europe (+3%).

An additional indication of the trend for the whole of 2004 is provided by the portfolio of fall-winter orders which shows growth of between 5 and 15% for the group's five brands.

In 2003, 38 million euros were invested partly in retail (for the opening of 30 new outlets and the renovation of 11) and partly in strengthening the group's industrial business.

As to the various sectors, the five distinct brands in the clothing sector still have the highest margins in terms of percentage and value, but Armani declared that 'I'm very interested in' the accessories business, 'and it's also a personal bet: my revenge on everyone who said that Armani is good at making clothes but not accessories'.

(Source: Ansa)