EssilorLuxottica’s second-quarter and first-half 2022 results
Sound revenue growth and strong margin expansion in a challenging environment
- Group’s revenue up 36% in Q2 and 37% in H1 vs 2021
- Comparable revenue1,3 up 7.0% in Q2 and 9.1% in H1 vs 2021
- EMEA continuing to grow double digits, NA decelerating but still positive
- GrandVision at Group’s pace, with comparable-store sales5 at +7% in Q2
- Adjusted2 operating margin at 18.4% in H1, up 100bps vs pro forma4 H1 2021
- Adjusted2 Group’s net profit at Euro 1,548 million, up 26% vs pro forma4 H1 2021
- Free cash flow6 at Euro 906 million in H1
Charenton-le-Pont, France (July 29, 2022 - 7:00 am) – The Board of Directors of EssilorLuxottica met on July 28, 2022 to approve the condensed consolidated interim financial statements for the six months ended June 30, 2022. The Statutory Auditors have performed a limited review of these financial statements. Their report is in the process of being issued.
Francesco Milleri, Chairman and CEO, and Paul du Saillant, Deputy CEO at EssilorLuxottica commented: “We’re pleased to report a strong first half of 2022, with sound growth in all regions and a substantial increase of our operating margin. Our performance, particularly in a challenging environment, reflects the strength of our open network model, our willingness to push the boundaries of innovation and the skills and energy of our people. This benefits all our stakeholders, starting with our customers.
At the same time, we paved the way for our long-term growth boosted by key projects and partnerships as well as the GrandVision integration, which is already bringing benefits.
We launched the OneSight EssilorLuxottica Foundation to maximize our impact, an important step in achieving our goal to eradicate poor vision in the world in a generation.
As we look ahead, we will continue to carry out the vision of our Chairman Leonardo Del Vecchio, whose leadership and values remain an inspiration to all of us.”
1 Constant exchange rates : figures at constant exchange rates have been calculated using the average exchange rates in effect for the corresponding period in the relevant comparative year.
2 Adjusted measures or figures: adjusted from the expenses or income related t o the combination of Essilor and Luxottica (the “EL Combination”), the acquisition of GrandVision (the “GV Acquisition” or "GV Combination") and other transactions that are unusual, infrequent or unrelated to the normal course of business as the impact of these events might affect the understanding of the Group’s performance.
3 Comparable (revenue): comparable revenue includes, for 2021, the contribution of GrandVision’s revenue to EssilorLuxottica as if the combination between EssilorLuxottica and GrandVis ion (the “GV Acquisition” or "GV Combination"), as well as the disposals of businesses required by antitrust authorities in the context of the GV Acquisition, had occurred on January 1, 2021. Comparable revenue has been prepared for illustrative purpose on ly with the aim to provide meaningful comparable information. No adjustments are made to 2022 revenue.
4 Pro forma: pro forma information as presented in the Unaudited Pro Forma Consolidated Interim Financial Information. The Unaudited Pro Forma Consolidat ed Interim Financial Information has been prepared for illustrative purpose only as if the acquisition of GrandVision had occurred on January 1, 2021. That information does not take into account the results of operations and financial condition that Essilo rLuxottica would have achieved if the acquisition of GrandVision had actually been realized on January 1, 2021; there can be no assurance that the assumptions used to prepare the Unaudited Pro Forma Consolidated Interim Financial Information are accurate in all respects or that the
result disclosed in the Unaudited Pro Forma Consolidated Interim Financial Information are indicative of the future performance of EssilorLuxottica. As a result, EssilorLuxottica's performance in the future may differ materially from that presented in the Unaudited Pro Forma Consolidated Interim Financial Information. For a reconciliation between adjusted pro forma measures and their most comparable measures reported in the IFRS condensed consolidated interim financial statements, please refer to the reconciliation table provided in Appendix 3.
5 Comparable store sales : reflect, for comparison purposes, the change in sales from one period to another by taking into account in the more recent period only those stores already open during the comparable prior period. For each geographic area, the calculation applies the average exchange rate of the prior period to both periods.
6 Free Cash Flow: Net cash flow provided by operating activities less the sum of Purchase of property, plant and equipment and intangible assets and Cash payments for the principal portion of lease liabilities according to the IFRS consolidated statement of cash flow.