The Bulgari Group said Tuesday that first quarter 2011 sales increased 27.5 percent, year-over-year to 253.8 million euros ($394 million) led by strong demand for all of its products throughout the world, particularly in China.
“The general recovery of the economic context, together with an extremely competitive offer in all product categories, very impactful communication initiatives and a constant improvement of the shopping experience had a very positive influence on the turnover, with a significant contribution from both the directly owned stores and the wholesale channel,” the Italian luxury jewelry house said in a statement.
The Rome-based company that will soon be under the LVMH umbrella, reported that jewelry sales (the company’s core business) increased by 29.3 percent to 114 million euros ($163.4 million), watch sales rose 22 percent to 50.6 million euros ($72.5 million), accessories sales jumped 19 percent to 20.7 million euros ($29.6 million), and perfume and cosmetic sales soared 33 percent to 60.1 million euros ($86.1 million).
All the geographical areas where the company operates registered very positive sales results. However, it was Asia that led the way. By itself, the continent accounted for nearly half of all sales for the company in the first quarter at 122.3 million euros ($175.3 million), a 33.5 percent increase. Sales in China alone soared 76 percent, year-over-year for the three-month period. Sales in Japan increased 10.5 percent to 39.4 million euros ($56.4 million), despite the prolonged closure of shops following the earthquake and tsunami that hit the country March 11.
While sales growth in the rest world wasn’t as dramatic, it was still robust. In Europe, sales rose 16.5 percent to 79.5 million euros ($114 million), with sales in Italy up 7.8 percent to 25 million euros ($35.8 million). Sales in the Americas increased 20.2 percent to 32.7 million euros ($46.9 million). In the Middle East and other areas where the Rome-based jewelry operates saw a 59.8 percent increase in sales to 19.4 million euros ($27.8 million).
Bulgari is a global player in the luxury market relying on a network of stores in exclusive shopping areas around the world and on selected distributors. There are 294 Bulgari stores in the world of which 177 are directly owned. The company has a product portfolio that ranges from jewels and watches to accessories and perfumes.