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By
AFP
Published
Mar 3, 2015
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Luxottica: 2014 earnings rise; optimism for 2015

By
AFP
Published
Mar 3, 2015

Italian group Luxottica, the world leader in premium eyewear and sunglasses, said Monday that its net profit had grown by 18% in 2014 to 642.6 million euros and that it is optimistic about 2015.

Its revenues increased by 4.6% to 7.652 billion euros, the company said in a statement. Its proposed cash dividend more than doubled, going from 0.65 to 1.44 euros. 

"This is a terrific moment for Luxottica," said Massimo Vian and Adil Khan, the co-CEO’s of the group. "The acceleration of sales and profitability in the fourth quarter gave us strong momentum going into 2015. We closed another record year of strong sales and profitability growth," emphasized the duo, who were named to their current posts in the fall of 2014 following the successive departures of Andrea Guerra, who had led the group for last ten years, and Enrico Cavatorta who succeeded him. 

For the 4th quarter alone, net income more than tripled (+237.7%) to 87.6 million euros and turnover increased by 13.4% to 1.867 billion euros. The group benefited from dynamic sales in North America, which has been a driver of growth.

For the current year, Luxottica expects "solid revenue growth" and for profitability to grow "twice that of sales". The group, which owns the brands Ray Ban and Oakley, believes that its "competitive position is stronger than ever" in an industry that "is young and [that] offers numerous opportunities for organic and external growth."

Leonardo del Vecchio, the current president and a member of the founding family of Luxottica, one of the greatest business successes in recent years in Italy, owns 61.35% of the company.

€1 = $1.12/£0.73

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