Safilo: first quarter results
Safilo Group's consolidated financial results for the first quarter of 2004, released yesterday, confirm the growth in turnover first apparent in the last six months of 2003. Important new licence agreements also consolidates the company's dynamic nature: the launch of a new and exclusive line of Marc Jacobs branded eyewear, to be presented to the market with the 2005 Spring-Summer collection, was recently announced.
Consolidated turnover reached € 260 million, an increase of 13.2 % at fixed exchange rates and 6.4% at current exchange rates compared to the same period of 2003. Markets throughout the world registered an increase in turnover, and in particular in America and the Far East where sales were outstanding.
Ebitda was equal to € 40.4 million, accounting for 15.5% of the turnover, and confirms the continuing recovery of marginality evident in the second half of 2003, despite the negative impact of the exchange rate effect (45% of sales in US$) resulting from the devaluation of the American dollar against the Euro.
The Group's net debt was approximately € 816 million and lower than the same period of 2003. The net debt is expected to further decrease during the remaining part of the year.
Vittorio Tabacchi, Chairman of Safilo Group, commenting on the performance of the first three months of 2004, said: 'The first quarter of 2004 had produced some encouraging signals, above all in the American and Far Eastern markets, despite the unstable economic climate and devaluation of the US Dollar against the Euro (16%). Furthermore, the continuing improvement of other important economic indicators confirm the effectiveness of the industrial and financial strategies which we have recently implemented'.
'We expect in 2004 to further increase our market share with the full impact of sales of the Giorgio Armani, Emporio Armani and Boucheron collections launched in 2003, and Alexander McQueen in 2004. During the Mido trade fair, the International eyewear show held in Milan from the 7th to 9th of May, we also had the opportunity to present our own brand collections which were very well received by the main dealers in the eyewear sector who recognise in Safilo Group market leadership in terms of quality, design and selective distribution'.
'The current year sees Safilo Group concentrating on numerous projects which will allow us to further improve our performance: a European Call centre, new licence agreements including the recently announced contract with Marc Jacobs, and the opening of new subsidiaries such as Safilo China inaugurated in March this year during the company's 70th anniversary celebrations', Tabacchi concluded.
