Luxottica has reported a stunning recovery to post an increase in profits of about 33 per cent for this year’s third quarter.
In an upbeat statement, the company reported from its Milan headquarters that overall net income soared 34.5 per cent for the period to €101.9 million. Its retail segments’ operating income grew by 13.5 per cent to €129.3 million for the quarter and its wholesale operating income jumped by nearly 54 per cent to €94.9 million for the period.
Luxottica reported that consolidated sales rose 19.7 per cent, retail sales grew by 19.2 per cent while wholesale sales hit a record, rising 20.7 per cent for the period.
Luxottica CEO Andrea Guerra said increased profits were due to “return” of sales in the premium segment over the past few months. There have been large gains in both retail and wholesale in emerging markets in China, Southeast Asia and Latin America, along with double-digit sales gains in its Oakley and Ray-Ban brands.
Luxottica reported that consolidated sales rose 19.7 per cent, retail sales grew by 19.2 per cent while wholesale sales hit a record, rising 20.7 per cent for the period
Mr. Guerra reported that the company’s price/value “mix” was a strength in the current market.
“We’re back with high, double-digit, high teen growth in our premium area. In developed markets, we were able to grow in Europe, by 12 per cent, and 8 per cent in the U.S. In emerging markets, our profitability, 30-plus per cent, has grown even faster than our sales growth of 20 per cent.”
