07 Monday 05:30 PM The Board of Directors has examined the 2018 preliminary results

Press Release

BRUNELLO CUCINELLI: the Board of Directors has examined the 2018 preliminary results

• •Net revenues1of€553.0 million, +8.1% at current exchange rates (+10.7% at constant exchange rates) compared to€511.7 million at 31 December 2017;

• •A significant rise in sales of 8.8% in the international markets and 4.2% in the Italian market;

• •Europe +8.5%, North America +3.9% ("high single-digit"growth at constant exchange rates), Greater China +28.5%, Rest of the World +10.7%;

• •Growth in all distribution channels: retail +6.3%, wholesale monobrand +19.4%, wholesale multibrand +9.0%;

• •Capital expenditure of approximately€45 million, having the objective ofkeeping the brand image "extremely high" in both the physical and digitalchannels;

• •Net debt of approximately€15 million, in slightly improvement compared to 2017.

Brunello Cucinelli, Chairman and CEO, has commentated as follows:

"Another year has come to an end in a"splendid" manner,both in terms of numbers and from the standpoint of the general image of the brand at a global level. We continue to support, believe in and invest in our beloved Italy, perceiving the great value this represents at a world level forthe country'screativity, quality and craftsmanship."

"On the basis of these convictions and the more than positive sell out of the past winter, along with the actual quantity of Spring Summer 2019 orders received, we expect another year ahead of gracious growth in line with 2018."

"We would like to start the year by thanking from the bottom of our hearts all those who have allowed us to achieve these results; customers, collaborators, institutions, investors and journalists, always reminding us to be great supporters of the entire mankind".

1Accounting standard IFRS 15 ("Revenue from Contracts with Customers"), which became effective on 1 January 2018, requires a different accounting treatment from the past for certain types of contracts for the sale of goods in multibrandspaces managed using the "concession" formula. The application ofthis new accounting standard leads to an increase in net revenues and operating expenses (rent) by the same amount without any change occurring in the absolute amount for EBITDA, operating income or net income for the period.

Solomeo, 7 January 2019 - The Board of Directors of Brunello Cucinelli S.p.A.-an Italian maison operating in the luxury goods sector and listed on the Borsa Italiana Electronic Stock Exchange (MTA)- today examined the Group's preliminary consolidated netsales revenues for 2018 and its net debt at 31 December 2018. The complete and final figures for the year ended 31 December 2018 will be examined and approved by the Board of Directors at its meeting scheduled for 14 March 2019.

With a double-digit increase, 2018 has confirmed thesustainability of a healthy and gracious growth projectboth from aneconomic point of viewand from the standpoint of themoral dignityof each individual who, with his own contribution, has made these results possible.

The year wassplendid,in the attempt to realize theidea of "humanistic capital"that is so dear to our hearts, in the hope of having contributed in some way, even small, to improving the economic and moral conditions of mankind as a whole.

We achieved economic growth and a successful performance in the year gone by with full regard for our business values, on which we also continue to plan our future growth to the benefit of the company, the people, the local area in which we live, our shareholders and all of our stakeholders.

That is the reasonwe continue to imagine a form of "humane sustainability",something capable of creating profit and generating beauty, and constantly seek to produce without causing harm to humanity.

We could call 2018, our 40th year of activities, one of the finest in the history of the business, enhanced from the standpoint of the quality of life and harmony in the workplace; on 4 September we welcomed over 500 journalists from throughout the world to Solomeo and showed them the waywe live and work in harmony and with full regard for the Created, imagining ourselves to be the temporary keepers of a small corner of the Earth.

On that occasion we presented Solomeo, which we love to call the "Hamlet of the Spirit", in itsentirety: places that speak to us of spirituality, as well as work, dignity and respect, taken back to their ancient beauty thanks to the support of theBrunello and Federica Cucinelli Foundation.

In addition to carrying out the conservative restoration of the small village and its periphery, theBrunello and Federica Cucinelli Foundationhas also designedmonuments for eternity: the"Theatre", the secular temple of the arts, the"Monument", dedicated to the dignity of man, andthe "Cellar", with its due regard for the dignity of the Earth.

The foundations on which we built the success of the year which has just come to a close, and on which we will continue to plan for the future, are the very same that have always characterized our history.

The essence of our collections remains encapsulated in the proposal of "special clothing", which to a certain extent we consider to beunique, representative of theMade in Italyconcept, characterized byoutstanding craftsmanshipand produced exclusively by highly-specializedartisan laboratories.

We continue to seek theexclusivityof thepositioningof the brand anddistributionin everyday life, giving the utmost attention to our presence on the markets.

We believe increativity, in connection with both styleand all the other phases of the company'slife, believing that every one of us must try to be innovative, in all cases starting out from listening and being ready to accept change.

We try, althoughwe're not sure to what extent we are successful, to propose acontemporary, modern, young offerin our Men's and Women's collections.

Fresh selling spaces are an essential, as they act as a sort of house where one can breath the atmosphere of the brand, as are our showrooms which must always be kept up-to-date.

In our relationship with the internet, the"grand gift of the created", we try to present ourselves asArtisans and Humanists of the web, approaching it as we have the physical world, aware that everything increases on a mass basis more rapidly there.

Finally, we believe that theallureand thelifestylethat can be felt around the brand are of increasing importance, interpreted by our customers as a collection offer but also and above all as a style of life to be embraced.

Regarding the trend of the collections, we are very satisfied with theconstantly increasing salesandsell-outsachieved by the2018 spring/summerand2018 fall/wintercollections, results preceded by the highly favorable feedback that arrived from the specialist press and buyers on presentation.

The new2019 spring/summercollections were given an enthusiastic welcome,order collection came to an end with a further increaseand the initial sell-outs are showing themselves to be very, very interesting.

We are highly satisfied by theatmosphere of exclusivitythat surrounds the brand, which we believe meet the demands of customers increasingly attentive to dressing in a sophisticated manner, where care in every detail can veryoften make the difference between a "normal" anda"chic" look.

We have the impression that what we are seeing is a gradualprocess in the growth of a customerwho wants to feel well-dressed in both the traditional and the so-called new markets, with a considerable increase in the number of people who embrace our collection proposals.

As a result, together with the European and American markets which we have always considered"domestic" due to their cultural and physical proximity, we have decidedto try to consider theChinese market as also being"domestic", by dedicating particular attention to this part of the world.

We believe that there are huge opportunities for our brand in this market, a situation we sense on our frequent trips to those lands, and are aware of the sophisticated Chinese customer's constantsearchfor the "Italian lifestyle", "items of outstanding quality" and "real luxury"broken down into all the aspects of everyday life.

Sales Performance

Net revenues for 2018 rose by 8.1% at current exchange rates (10.7% at constant exchange rates)to reach €553.0million compared to €511.7million last year2.

Revenues by geographical area

Italian market-revenues up by 4.2% to reach€88.3 million compared to€84.7 million at 31 December 2017, representing 16.0% of the total.

Italy continues to be very important for the brand's image,the country identifies fashion trends which will then in part represent chic taste throughout the world.

The Italian market achieved a positive performance during the year regarding both local customers and top-end tourism, which includes the Chinese, who despite only representing a limited portion of sales indicate a constant progression.

European market-growth of 8.5%, with sales rising to€163.7 million compared tolast year'sfigure of€150.9 million, representing 29.6% of the total.

Solid growth thanks to the results achieved in all the countries where we have a presence and to the purchases made not only by domestic but also by international customers.

By virtue of its positioning at the top end of the luxury scale and the nature of the BrunelloCucinelli customer, the brand's strength supported a rising performance.

North American market-high single-digit growth at constant exchange rates, with revenues rising to€187.2 millioncompared to €180.2 million in 2017, representing an increase of 3.9% at current exchange rates and 33.9% of the total.

Broadly positive results were achieved in the North American market, which we have always approached in the same way as the domestic market, given the profound awareness and allure that the brand has achieved in the area over the years.

The growth in revenues is due to a positive performance in the monobrand and multibrand channels; tourist flows are on the increase, to which should be added a solid rise in local demand.

Greater China-significant growth of 28.5%, with sales rising to€54.8 million compared to€42.7 million at 31 December 2017, with the proportion of the total still limited to 9.9%.

Mainland China confirmed the very positive trend of recent months.

Revenues rose in both the monobrand channel and the multibrand channels, which posted very interesting organic growth following the opening of the new spaces dedicated to the brand over the past few months.

2Revenues at 31 December 2017 have been reclassified in order to provide a consistent comparison with the figures at 31 December 2018, which have been recognized in accordance with IFRS 15. By applying the same accounting standard to revenues at 31 December 2017, sales rose from€503.6million to€511.7 million.

Our current presence, limited and at the same time exclusive, supports the huge growth potential of the Chinese market, which we are endeavoring to take advantage of in a gradual manner and without compromising the prestige of the offer and distribution. We see considerable opportunities for business for us in this market over the next few decades.

Rest of the World-an increase of 10.7%, with sales reaching€59.0 million compared to lastyear's figure of €53.3 million, representing 10.7% of the total.

Solid results in the Middle East and Japan, and in all the other geographical areas where we have a presence; local demand and demand from top-end tourists point to "healthy" growth.

Revenues by Distribution Channel

Retail monobrand channel-growth of 6.3%, with revenues of€296.3 million compared to€278.7 million at 31 December 2017, representing 53.6% of the total.

The year confirmed healthy like-for-like growth of 3.5%3, in line with our plans, with positive sell-outs of the 2018 spring/summer and 2018 fall/winter collections.

The network consisted of 100 boutiques at 31 December 2018, unchanged over 30 September 2018: two new boutiques were opened during the year to which were added 4 conversions from the wholesale monobrand channel.

Wholesale monobrand channel-an increase of 19.4%, with revenues reaching€30.2 million compared tolast year's figure of €25.3 million, representing 5.5% of the total.

No changes have been made to the network of 27 boutiques since 30 September 2018; there were 4 conversions to the direct channel in 2018, offset by the positive contribution coming from the important opening of the prestigious Dubai Mall.

Wholesale multibrand channel-we have always had great belief in this channel where we posted a significant increase of 9.0%, with sales rising to€226.5 million compared to last year's figure of €207.7 million, representing 41.0% of the total.

The rise in revenues reflects the very positive order intakefor both the Men's and Women'scollections.

The overwhelmingly favorable opinion of the specialist press on the presentation of the collections was confirmed by their performance in the selling spaces, with sell-outs rising significantly; a positive contribution came from the new spaces dedicated to the brand inside Luxury Department Stores and from selected entry into exclusive multibrand stores and Specialty Stores.

3

Like-for-like for 2018 is calculated as the rise in revenues at constant exchange rates in the DOS existing at 1 January

2017.