THE BVLGARI GROUP Fiscal Year 2004 Rome, 22 March 2005 When printing the presentation please choose the Pure B/W option.

THE BVLGARI GROUP THE BVLGARI GROUP

Fiscal Year 200Fiscal Year 20044

Rome, 22 March 2005

When printing the presentation please choose the “Pure B/W” option

FINANCIAL RESULTS FINANCIAL RESULTS FY 2004 AND Q4 2004 FY 2004 AND Q4 2004

Eur mios. FY2004

FY 2003

DELTAFY 04/03

Q42004

Q4 2003

DELTAQ4 04/03

REVENUES rep.REVENUESconst.currency

827.7 759.3 +9%

+12.1%

273.3 247.3 +10.5%

+13.3%

GROSS PR.

Gross mg

527.7

63.8 %

474.4

62.5 %

+11.2% 178.5

65.3 %

158.5

64.1%

+12.6%

EBIT

Ebit mg

134.2

16.2 %

116.9

15.4 %

+14.8% 56.7

20.7 %

54.8

22.1 %

+3.6%

NET PROFIT

Net P.mg

108.3

13.1 %

92.1

12.1 %

+17.5% 46.3

16.9 %

48.2

19.5 %

-4.0%

PRODUCTCATEGORY

FY 2004 Q4 2004 VARIATION % 2004/2003FULL YEAR

VARIATION % 2004/2003

FOURTH QUARTER

REPORTED AT COMP.FX REPORTED AT COMP.FX

MEUR % ON TOTALSALES

MEUR % ON TOTALSALES

% GROWTH % GROWTH

JEWELRY 342.7 41.4 109.1 39.9 +11.4 +14.5 +10.0 +13.3

WATCHES 256.4 31.0 81.8 29.9 +5.0 +8.7 -1.7 +1.1

PERFUMES 154.2 18.6 58.8 21.5 +12.8 +15.5 +30.9 +32.0

ACCESSORIES

62.1 7.5 19.9 7.3 +11.5 +13.8 +24.9 +27.0

ROYALTIESAND OTHER

12.3 1.5 3.7 1.4 -18.1 N/A -9.5 N/A

TOTAL 827.7 100 273.3 100 +9.0 +12.1 +10.5 +13.3

REVENUES – 2004 AND Q4 REVENUES – 2004 AND Q4 20042004

DETAIL BY PRODUCT LINEDETAIL BY PRODUCT LINE

GEOGRAPHICALAREA

FY 2004 Q4 2004 VARIATION % 2004/2003 FULL YEAR

VARIATION % 2004/2003

FOURTH QUARTER

REPORTED AT COMP.FX REPORTED AT COMP.FX

MEUR % ON TOTALSALES

MEUR % ON TOTALSALES

% GROWTH % GROWTH

ITALY 108.7 13.1 38.6 14.1 +3.0 +3.0 +10.9 +10.9

EUROPEW/OUT ITALY

189.6 22.9 58.9 21.6 +0.0 +0.0 +6.4 +6.4

AMERICAS 122.8 14.8 44.7 16.4 +12.9 +22.4 +12.6 +20.8

JAPAN 206.5 25.0 70.9 25.9 +24.1 +27.2 +25.0 +29.7

FAR EAST 146.5 17.7 46.7 17.1 +2.7 +8.1 +0.1 +4.2

MIDDLE EASTAND OTHER

53.6 6.5 13.4 4.9 +15.7 N/A -4.4 N/A

TOTAL 827.7 100 273.3 100 +9.0 +12.1 +10.5 +13.3

REVENUES – 2004 AND Q4 REVENUES – 2004 AND Q4 20042004

DETAIL BY GEOGRAPHICAL AREADETAIL BY GEOGRAPHICAL AREA

GROUPP/L

FY 2004MEUR

FY 2003MEUR

% GROWTH2004/2003

% ON REVENUES2004

REVENUES 827.7 759.3 +9 100

GROSS MARGIN 527.7 474.4 +11.2 63.8

PERSONNEL COSTS 128.5 117.8 +9.0 15.5

AMOR.&DEPR. 39.1 39.0 +0.1 4.7

OTHER GEN EXPENSES

129.5 120.0 +8.0 15.6

TOT GEN EXPEXCL. ADV&PROMOT.

297.1 276.8 +7.4 35.9

ADV. AND PROMOTION

96.4 80.7 +19.5 11.6

TOT GENERAL EXP 393.5 357.5 +10.1 47.6

EBIT 134.2 116.9 +14.8 16.2

NON OPER.EXP. INC.MIN.

13 7.9 +64.5 -1.6

PROFITBEFORE TAX

121.2 109.0 +11.2 14.6

TAXES 12.9 16.9 -23.6 1.6

NET PROFITAFTER TAXES

108.3 92.1 +17.5 13.1

BVLGARI PROFIT AND LOSS OVERVIEW BVLGARI PROFIT AND LOSS OVERVIEW FISCAL YEAR 2004FISCAL YEAR 2004

GROSS MARGINGROSS MARGIN

60,6%

63,8%

62,5%

2002 2003 2004

REVENUEBREAKDOWN

FY 2002

JEWELS 38.0%

WATCHES 37.9%

PERFUMES 17.1%

ACCESSOR.

5.2%

ROYA/OTH 1.8%

TOTAL 100%

REVENUEBREAK DOWN

FY 2003

JEWELS 40.5%

WATCHES 32.2%

PERFUMES 18.0%

ACCESSOR.

7.3%

ROYA/OTH 2.0%

TOTAL 100%

REVENUEBREAKDOWN

FY 2004

JEWELS 41.4%

WATCHES 31.0%

PERFUMES 18.6%

ACCESSOR.

7.5%

ROYA/OTH 1.5%

TOTAL 100%

FX RATESMarketevolution

2004AVERAGEFX RATE

2004vs2003

AVERAGEEUR

APPREC.

EUR/USD 1.24 +10%

EUR/JPY 134.4 +2.6%

ADVERTISING AND ADVERTISING AND PROMOTIONPROMOTION

INVESTEMENTS IN M.EURO AND AS A % ON REVENUESINVESTEMENTS IN M.EURO AND AS A % ON REVENUESas well as INDICATIONas well as INDICATION OF REVENUE GROWTH ON THE OF REVENUE GROWTH ON THE

YEARYEAR

1924

3350

61

82,3

102,3

76,280,7

96,4

1995 1996 1997 1998 1999 2000 2001 2002 2003 20049.9%9.6% 10.2% 11.1

%13.6

%12.6

%% on REV 12.2

%13.4

%10.6

%11.6

%

CONSOLIDATED TAX RATECONSOLIDATED TAX RATE

19,6%

10,5%15,4%

15,6%

2001 2002 2003 2004

NET WORKING CAPITALNET WORKING CAPITAL

INVENTORY ROTATION DAYS

200222257

204

100

150

200

250

2001 2002 2003 2004

Me euro 2001 2002 2003 2004

RECEIV. 124 143 132 161

INVENTORY

547 477 430 459

PAYABL. -119 -118 -109 -151

TOT NWC 552 502 453 469EXCLUDING OTHER REC. AND OTHER PAY.

CAPITAL EXPENDITURECAPITAL EXPENDITURE

M.EURO 2001 2002 2003 2004

TANGIBLE 36 24 23 27

INTANGIBLE

Excluded goodwill

12 9 15 18

TOTAL 48 33 38 45

2004 – NETWORK EVOLUTION2004 – NETWORK EVOLUTION

2004 2003 2002

DOS BOUTIQUES 107 92 83

FRANCHISEES 38 35 33

TOTAL STORES 145 127 116

TRAVEL RETAILAND WHOLESALE STORES (POINTS OF SALE)

49 55 53

TOTAL STORES+P.O.S.

194 182 169

2004 – STORE REFURBISHMENTS and 2004 – STORE REFURBISHMENTS and NEW OPENINGSNEW OPENINGS

NEW DIRECTLYOPERATEDSTORES(DOS)

+7 new locations

+8 locations previously WS/TR

+15 total

Openings in Q4 Milan Malpensa 2Berlin KaDeWeBarcelonaBusan Lotte

Openings in Q1, Q2, Q3Chiba MitsukoshiHiroshima TenmayaTaichung Mitsukoshi

+ 8 wholesale corners reclassified as DOS

EXISTING DOSRE-LOCATIONS

4 important relocations OsakaLondon New Bond StreetBerlin KuDamm

Chicago

NEW FRANCHISEES

+3 new locations+3 total

Bharain Sao Paolo IguatemiDelhi

NEW TRAVEL RETAIL WHOLESALE STORES

+2 new locations- 8 locations now DOS

-6 total

DFS Okinawa Heinemann Frankfurt- 8 wholesale corners now DOS

Grand Total +12 new locations4 relocations

CASH FLOW GENERATIONCASH FLOW GENERATIONM.EUROM.EURO

48

107

33

117

38

131

52

147

0

20

40

60

80

100

120

140

160

2001 2002 2003 2004

INVESTMENTS CASH FLOW

BALANCE SHEET HIGHLIGHTSBALANCE SHEET HIGHLIGHTSM.EUROM.EURO

475

-284

548

-136

587

-45

663

-10

-300

-100

100

300

500

700

2001 2002 2003 2004

Net Equity Net Cash

GEARING60% 25% 8% 2%

ENHANCEMENT OF EXCLUSIVE BOUTIQUESLOCATION, SURFACE, ASSORTMENT, SERVICE

CONTINUED STORE OPENINGS AND REFURBISHMENTS

CONTINUED, STRONG PRODUCT INNOVATION - CAPITALIZING ON THE COLLECTION CONCEPT TO BE PRESENTED AT THE BASEL FAIR, APRIL 2005

HIGHER DEGREE OF VERTICAL INTEGRATION MORE FOCUS ON PRODUCTION PROCESSES CROVA FULL INTEGRATION, MORE IDEAS

FURTHER ENHANCEMENT OF THE HIGH JEWELRY OFFERWITH THE DIAMOND PROJECT

Q2 2005, FIRST PRODUCTS ON SHELF

BVLGARI FOCUS 2005BVLGARI FOCUS 2005

EFFECTIVE ADVERTISING SUPPORT AND GREATER FOCUS ON THE CONTROL OF THE DISTRIBUTION CHANNEL

NEW, DEDICATED CAMPAIGNS ONGOING CONTROL ON THE DISTRIBUTION CHANNEL

BVLGARI FOCUS 2005 BVLGARI FOCUS 2005 IMPORTANT PRODUCT LAUNCHES IN ALL CATEGORIESIMPORTANT PRODUCT LAUNCHES IN ALL CATEGORIES

JEWELRY WATCHES PERFUMES ACCESSORIES

NEW PRODUCT LAUNCHES

TO BE PRESENTEDTO THE TRADE

IN BASEL APRIL 2005

CABOCHONCICLADI

(BASEL SELECTION )NOW IN STORE

TO BE PRESENTEDTO THE TRADE

IN BASELAPRIL 2005

AQUA POUR HOMME

NOW IN STORE

CRUISE COLLECTION SPRING COLLECTION

NOW IN STORE

LINE EXTENSIONSAND NEW VERSIONS

BASEL BASEL SEASONAL FLANKERS SPRING/SUMMERAND

FALL/WINTER

ADVERTISINGCAMPAIGNS

THE BVLGARI CAMPAIGNS ADVERTISE FIRST OF ALL THE BRAND

DEDICATED CAMPAIGNS FOR THE NEW PRODUCTS, DIAMOND PROJECT

+NEW Bzero1 CAMPAIGN

NEW AQUA CAMPAIGN,NEW BLV CAMPAIGN,

MORE TO COMENEW EYEWEAR

CAMPAIGN

QUESTIONS & ANSWERSQUESTIONS & ANSWERS

BVLGARI INVESTOR RELATIONS WEBSITEhttp://production.investis.com/bulgari/frameset

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For investor relations queries, please contact: [email protected]. Thank you.

BVLGARI CORPORATE WEBSITEhttp://www.bulgari.com

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TECHNICAL INFORMATION ON TECHNICAL INFORMATION ON IAS/IFRS IMPLEMENTATIONIAS/IFRS IMPLEMENTATION

ProcedureThe Company is completing its preparation for the transition to the new IAS/IFRS accounting

principles, which will be submitted as soon as possible to the exam of its auditing company KPMG S.p.A.

Date of applicationThe International Accounting Standards will presumably be applied starting from the

presentation of the financial statements for the first semester 2005.

In that occasion a prospect of analytical link between net assets and quarterly profit will be prepared where these lattere will be drawn up following the previous accounting principles and

the new IAS/IFRS ones.

More technical details onhttp://production.investis.com/bulgari/frameset

HISTORICAL HISTORICAL REPORTEDREPORTED REVENUES BY PRODUCT LINEREVENUES BY PRODUCT LINE% GROWTH AND % ON TOTAL SALES% GROWTH AND % ON TOTAL SALES

YOY GROWTH 1998 1999 2000 2001 2002 2003 2004

JEWELS +8 +30 +47 +26 +2.1 +4.7 +11.4

WATCHES +15 +41 +43 -6 -1.0 -16.6 +5.0

PERFUMES +63 +18 +15 +37 +4.8 +3.1 +12.8

ACCESSORIES +292 +41 +53 +48 +3.7 +39.5 +11.5

ROYALTIESAND OTHER

+86 +25 +15 +11 -17.8 +4.8 -18.1

BREAKDOWN 1998 1999 2000 2001 2002 2003 2004

JEWELS 33 32 34 38 38 41 41

WATCHES 42 45 46 39 38 32 31

PERF. 19 16 14 16 17 18 19

ACCESS. 3 4 4 5 5 7 8

ROYALT. OTH 3 3 2 2 2 2 1

HISTORICAL HISTORICAL REPORTEDREPORTED REVENUES BY GEOGRAPHICAL AREA REVENUES BY GEOGRAPHICAL AREA% GROWTH AND % ON TOTAL SALES% GROWTH AND % ON TOTAL SALES

YOY GROWTH 1998 1999 2000 2001 2002 2003 2004

ITALY +33 +17 +43 +19 +2.8 -1.6 +3.0

EUROPE +15 +20 +38 +24 -3.3 -0.9 +0.0

AMERICAS +35 +26 +28 -16 -2.0 -6.2 +12.9

JAPAN +32 +60 +36 +7 +7.3 +0.9 +24.1

FAR EAST +3 +58 +61 +27 -6.6 +7.5 +2.7

M.EAST OTH +22 +19 +47 +59 +23.7 -24.6 +15.7

BREAKDOWN 1998 1999 2000 2001 2002 2003 2004

ITALY 14 13 13 14 14 14 13

EUROPE 27 24 24 26 25 25 23

AMERICAS 24 23 21 15 15 14 15

JAPAN 18 22 21 20 21 22 25

FAR EAST 12 14 17 19 17 19 18

M.EAST OT. 5 4 4 6 8 6 6

Disclaimer This document is for institutional investors only and is not available to private customers. This document is being supplied to a limited number of recipients and it may not be distributed, published or reproduced in whole or in part or disclosed by recipients to any other person.Under no circumstances shall this document constitute an offer to sell, an invitation to acquire or the solicitation of an offer to buy securities in any jurisdiction. Each investor contemplating purchasing securities issued by Bulgari SpA or any of its subsidiaries should make its own independent investigation of the financial condition and affairs, and its own appraisal of the creditworthiness, Bulgari SpA or any of its subsidiaries and should carefully consider the high risks involved in purchasing these securities. This document contains certains forward looking statements and key financial goals which reflect management’s current views, estimates, and objectives. The forward looking statements and key financial goals involve certain risks and uncertainties that could cause actual results to differ materially from those contained in the forward looking statements and key financial goals. Potential risks and uncertainties include, amongst other things, internal, industry and external factors, such as general economic conditions

Sources of the information presented: FY 2003 presentation, 31.12.2004 and 27.01.2005 press releases, institutional conference calls WWW.BULGARI.COM web site