EssilorLuxottica, +9% in profits with growing margins

Profits grew strongly (+9.1%) with a great margin expansion in a difficult macroeconomic context. EssilorLuxottica ended the first half of 2022 on a high note, registering profits amounting to about 12 billion euros as of last June 30. The adjusted gross profits amounted to about 7.73 billion euros with a 64.4% margin, while the adjusted operating profit reached 2.2 billion euros, accounting for 18.4%, with an increase of about 100 bps compared to the first half of 2021. The French-Italian eyewear giant concluded the first half of the year with an adjusted net profit of 1.54 billion euros (+18.6%). In particular, the comparable sales for the second quarter amounted to 6.38 billion euros (+7%). «We closed the first half of 2022 on a particularly positive note, with solid growth in all regions and a substantial increase in operating margin. In a challenging macroeconomic environment, our performance reflects the strength of our open-network business model, our willingness to explore new horizons in innovation, and the skills and energy of our people», Francesco Milleri, President and Ceo, and Paul du Saillant, Deputy Ceo of the Group, commented.

«This benefits all stakeholders, starting with our customers. At the same time, we have paved the way for long-term growth, supported by major projects and partnerships, as well as the integration of GrandVision, which is already bringing several benefits. We launched the OneSight EssilorLuxottica foundation to maximize our social impact, an important step toward achieving our goal of solving the world's vision problems in one generation. Looking ahead, we will continue to carry on the vision of our founder Leonardo Del Vecchio, whose leadership and values remain an inspiration to us all».

Geographically, the Emea region continued to grow double-digit (+14.9%), while North America saw a deceleration (+4.9%), though still remaining in positive territory. GrandVision appears in line with group results, with comparable store sales at +7% in the second quarter. EssilorLuxottica reported solid cash generation, with consolidated half-year free cash flow reaching 906 million euros. The company ended the half-year with 3.7 billion euros in cash and net financial debt of 10.4 billion euros, including 3.2 billion euros in lease debt. (All rights reserved)