Full year 2019 results
Uplift in Sales and Net Profit growth
Strong foundation to accelerate synergy delivery
- Revenue growth at constant exchange rates2 of 4.4%, compared to 3.2% in 2018 pro forma1
- Adjusted6 operating profit: Euro 2,812 million, 16.2% of revenue
- Adjusted6 net profit attributable to owners of the parent: Euro 1,938 million, 11.1% of revenue and growth of 4.8%1 at constant exchange rates2
- Free cash flow7: Euro 1,825 million
- Adjusted6 EPS: Euro 4.46
- Dividend recommendation: Euro 2.23 per share, scrip dividend proposed
Charenton-le-Pont, France (March 6, 2020 – 7:00am) - The Board of Directors of EssilorLuxottica met on March 5, 2020 to approve the consolidated financial statements for the year ended December 31, 2019. These financial statements were audited by the Statutory Auditors whose certification report is in the process of being issued. The Board of Directors has also approved the Restated Unaudited Pro Forma1 Consolidated Financial Information for the year ended December 31, 2018, which has been prepared for illustrative purposes only.
“In its first full year, EssilorLuxottica delivered a solid performance. It advanced on its Mission and delivered innovative products at every price point to customers and consumers worldwide while generating profitable growth. This translated into strong revenue, free cash flow and net profit growth, in line with guidance. The Company also implemented a range of structural decisions in order to start the integration process and the delivery of the expected synergies presented at its Capital Markets Day. Essilor, for its part, performed strongly. It continued to leverage its unique innovation capabilities in vision care and eyewear, its digital platforms and the flexibility provided by its global network of interconnected plants and prescription laboratories”, said Laurent Vacherot, CEO of Essilor.
"When we look at Luxottica’s performance over the past year, there is so much to be proud of, both in terms of our solid results and many notable achievements - our continued digital transformation in particular proved that the work we’ve done over the past five years is paying off. Along with growing and improving our profits, we set a new standard for the way technology can elevate an entire organization, from online sales growth to our deep connections with consumers across every channel. These successes, along with our outstanding cash flow generation of 1.2 billion Euro, were key contributors to EssilorLuxottica’s overall results for the year”, commented Francesco Milleri, Deputy Chairman and CEO of Luxottica.
1 Pro forma: the Restated Unaudited Pro Forma Consolidated Financial Information has been produced for illustrative purposes only, with the aim of providing comparative information for the year ended December 31, 2018 as if the combination between Essilor and Luxottica had occurred on January 1, 2018. For further details, please refer to the table in the Appendix.
2 Constant exchange rates: figures at constant exchange rates have been calculated using the average exchange rates in effect for the corresponding period in the previous year.
3 Like-for-like: growth at constant scope and exchange rates.
4 Fast-growing countries or markets: include China, India, ASEAN, South Korea, Hong Kong, Taiwan, Africa, the Middle East, Russia, Eastern Europe and Latin America.
5 Comparable store sales or comps: 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 Adjusted measures or figures: adjusted from the expenses or income related to the combination between Essilor and Luxottica 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.
7 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.