Armani reports turnover rise

Italian luxury goods company Giorgio Armani SpA has reported a rise in turnover in 2005 of about 8 percent to €1.4 billion (£960 million). The increase in turnover was boosted by the company's clothing and cosmetics businesses, which have recovered from a growth slump.

“All of our clothing ranges showed growth in particular in key markets like Japan and the US,� said Giorgio Armani. “Perfumes and cosmetics have doubled growth and ended the year with double-digit sales increases.� In 2004 clothing and perfume sales remained stagnant, with group turnover amounting to €1.3 billion and operating profit up 10 percent to €180 million.

Armani has said that he believes that the accessories and home sectors have the biggest growth potential in the next five years. He has invested in these sectors by acquiring shoe and leather goods factories and expanded Armani Casa with 10 new worldwide store openings in the past year.