News

Luxottica, Essilor Report 3rd Quarter Gains

Both Luxottica and Essilor posted revenue gains in the third quarter, the companies reported this week. Though they officially merged into one company, EssilorLuxottica, at the beginning of this month, they reported their quarterly financial reports separately.

Luxottica’s net sales in the third quarter of 2018 were up 3.5% at constant exchange rates, thanks to the strong performance of the Retail division and e-commerce platforms as well as solid growth in Europe, North America, and Asia-Pacific. The performance improvement in both divisions allowed the Group to close the first nine months of the year with sales up 1.3% at constant exchange rates, growing profitability and strong free cash flow generation.
 
In the third quarter, sales from the Group’s e-commerce platforms were up by 16% at constant exchange rates. Ray-Ban.com confirmed it is the main driver of the Group’s online business.
 
To read the full third-quarter report, click here.
 
Essilor’s third-quarter financials report a growth of 4.3%, which exceeded the company’s full-year target (“around 4%”) and showed sequential improvement in momentum.
 
In the lenses and optical instruments division, revenue increased by 3.9% in like-for-like1 terms in North America during the third quarter. Dynamics remained largely consistent compared to the second quarter with the core US lens business growing faster than the overall region and with performance boosted by e-commerce, particularly online sales of prescription eyeglasses.
 
Revenue at the Equipment division increased by 1.2% like-for-like1 in the third quarter. This was achieved despite the postponement of several machine shipments, notably in Asia and Latin America, and a demanding comparison base in Europe.
 
Acquisitions:
Essilor pursued its strategy of making targeted acquisitions and forging local partnerships during the third quarter.
 
Within the Sunglasses & Readers division, FGX acquired One Click Internet Ventures, LLC, an Indiana-based company that sells non-prescription glasses online and owns the readers.com website. One Click generates revenue of around US$15 million a year.
 
To read the full third-quarter report, click here.

Since the end of the third quarter, the company has expanded its geographic coverage in the United States by partnering with Expert Optics, an optical laboratory based in Illinois that generates annual revenue of close to US$16 million.