MILAN — Exchange rates and gold prices bit into Bulgari SpA’s fourth-quarter earnings but the company still managed to post double-digit growth in the full year.
Bulgari said that full-year 2006 net profit grew 15 percent to 134.3 million euros, or $169.22 million. The company did not break down fourth-quarter profits, but based on results from the first nine months of the year, fourth-quarter net profit dropped 8.8 percent to 55.8 million euros, or $71.98 million.
Dollar figures have been converted from the euro at average exchange rates.
Revenue last year advanced 10 percent to 1.01 billion euros, or $1.27 billion, as the company released in January.
As for the current year, Bulgari chief executive officer Francesco Trapani forecast that Bulgari’s 2007 net profit should increase between 8 and 12 percent at constant exchange rates, despite continued weakness in the Japanese market and the volatility of the yen.
“Like the year just ended, 2007 will be characterized for Bulgari by a relevant commitment for the advertising and promotional support to the important product launches that will follow one another during the year and by a further acceleration of the investments for the development of the retail network,” Trapani said in a statement.
This week, Bulgari reopened its refurbished Fifth Avenue flagship in Manhattan. The company is planning two major Tokyo openings later this year, an Omotesando store in early November and a Ginza tower in later November or early December, a Bulgari spokesman confirmed.
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