MILAN — Italian eyewear giant Luxottica SpA on Tuesday reported record sales of 7.3 billion euros, or $9.7 billion, for 2013, on the back of strong performances in emerging markets and in the North American wholesale channel, and said the beginning of 2014 was “very encouraging.”
In a statement released after the end of trading in Milan, the company said revenues grew 3.2 percent in the January-December 2013 period, helping it beat its previous annual sales record of 7.1 billion euros, or $9.2 billion, in 2012. Revenue growth at constant exchange rates would have been 7.5 percent, the company said.
In the fourth quarter, net sales increased 7.6 percent on the year-ago period, at constant exchange rates, reaching 1.6 billion euros, or $2.2 billion.
Dollar amounts have been converted at average exchange rates for the periods to which they refer.
The company said it had “achieved excellent results for the third consecutive year in emerging markets,” where sales jumped more than 20 percent at constant exchange rates, “with peaks of excellence in China, Brazil and Turkey.”
The company didn’t issue profit figures for the full year, which will be reported on Feb. 27. However, chief executive officer Andrea Guerra said that “based on the strong increase in net sales, we do expect that the growth in the operating profitability of both divisions [wholesale and retail] and consequently of the group will be aligned to the growth reported in the first nine months of 2013.”
Guerra added that 2014 “looks like it will be another year when we believe that we will perform very well,” thanks to the group’s strong brand portfolio, “an enlarged footprint covering world markets and a team of people who are very efficient and motivated.”
In North America, net sales increased by 3.5 percent in U.S. dollar terms, “driven in particular by the outstanding performance of the wholesale division,” which notched a 6.7 percent revenue gain.
Luxottica’s total wholesale turnover hit 2.99 billion euros, or $3.98 billion, up 12 percent at constant exchange rates, on the year-earlier period.
The company — which owns brands including Ray-Ban, Oakley, Oliver Peoples and Persol and produces under license for top names including Giorgio Armani, Coach, Prada and Ralph Lauren — said that the wholesale division grew each quarter last year, with particularly strong performances in emerging markets (up 22.4 percent at constant exchange rates) and travel retail, which increased 25.3 percent.
Despite continued economic uncertainties in Europe, Luxottica said sales across the continent were “solid,” increasing by 8.5 percent on 2012 (at constant exchange rates), boosted in particular by Germany and France.
The retail division, which represents the bigger chunk of group revenues, saw 4.7 percent growth in 2013 (at constant exchange), with net sales reaching 4.3 billion euros, or $5.7 billion, driven by emerging markets and Europe.
The company said that Sunglass Hut “celebrated another year of stellar growth” with total net sales up 11.2 percent on 2012, at constant exchange rates, thanks in particular to “excellent trends in comparable store sales” during the year in the U.S., Europe, Australia, South Africa and Brazil. The optical segment put in a particularly strong performance in China and Hong Kong and in Latin America, the company said.
There'll be no rest for those headed to Europe for men's, as Paris just closed the gap with Milan. According to a provisional calendar released by the Chambre Syndicale, Paris Men's Week will now open a day earlier on January 16. See new highlights on the official lineup on WWD.com. #wwdnews #wwdfashion (📷: @kukukuba)
BREAKING: Jonathan Saunders is leaving @DVF. The designer has resigned from his position as chief creative officer of Diane von Furstenberg, the company said in a statement on Friday. At the time of his hire, von Furstenberg said Saunders’ arrival symbolized and facilitated her stepping back from the day-to-day duties that occupy the work of a full-time creative director. The British designer joined DVF in May 2016 and was in charge of all product categories. #wwdnews
For @versace_official’s spring ad campaign, the brand emphasized the archival prints from the spring tribute collection dedicated to the late Gianni Versace. Closing out the show were five of Gianni’s favorite models: Cindy, Naomi, Carla, Helena, and Claudia. Bowing on December 18, the new campaign is yet another tribute to supermodel-dom as the images by Steven Meisel are fronted by @iamnaomicampbell, @cturlington, @gisele and more. #wwdfashion
Four-time Oscar-nominated actress Annette Bening has been waiting 20 years to play Gloria Graham in "Film Stars Don't Die in Liverpool," which will be released on December 29. The movie about Graham – a Hollywood star known for her controversial relationship with a younger Englishman named Peter Turner – is based off a memoir Turned wrote. "She felt vulnerable to him, because she loved him, she really did love him. And anyone that we really truly are in love with, we re vulnerable to in a very deep way," said Bening. Read our full interview with the modern icon of an actress on WWD.com. #wwdeye (📷: @ninebagatelles; Styled by @cristinaehrlich)
The crisp white button down: a staple that can be dressed up or down and accessorized throughout the decades. Here, on a Art Basel-goer in 2017 on the left and on the iconic Audrey Hepburn in “Roman Holiday” in 1953 on the right. #tbt #wwdfashion (📷: Andrew Morales)
Known for her work with @victoriassecret, 25-year-old model @georgiafowler is raising her profile in Hollywood. Fowler stars in @vincecamuto’s holiday campaign, which launched in partnership with “Pitch Perfect 3.” “Almost every shoot with Vince Camuto, I’ve had to face a fear…It was definitely a challenge. I’m so grateful for it, though. I’ve always wanted to be a pop star, so that was the perfect chance,” Fowler said. Head to WWD.com to read about Fowler’s experience modeling, including at the #VSFashionShow, and her relationship with Nick Jonas. #wwdeye (📷: @jilliansollazzo)
EXCLUSIVE: Huda Kattan just became the first beauty influencer to land a major beauty deal. Kattan's business, @hudabeauty, has received a minority investment from private equity firm TSG Consumer Partners. The brand, which industry sources say is on track to do $200 million in retail sales for 2017, will receive support on product, retail and geographic expansion through the deal. Get all the details on the deal and read @_a_collins' interview with Kattan on WWD.com. Link in bio. (📷: @jgreenery) #wwdbeauty #wwdnews
Peruvian model @juanaburga_official – who is known for walking the runways of @rodarte, @viviennewestwood and @torybuch – is making the move to the big screen with drama “Los Últimos.” The film premiered in Argentina in November and arrives in the U.S. and Europe in 2018. On making the switch from modeling to acting, Burga told WWD: “It’s a completely different thing – a lot of people think it’s similar or try to connect things, especially like getting used to the camera or being looked at all the time or playing these different characrers, but film is a completely different story.” #wwdeye (📷: @jgreenery)
London’s newly opened @designmuseum will look back on the life and work of Azzedine Alaïa in a show that the designer helped to curate before he died of heart failure last month. The retrospective, which Alaïa had worked on with Mark Wilson, chief curator of the @groningermuseum, will look at the impact of his work worldwide. The show, “Azzedine Alaïa: The Couturier,” will run from May 10 to October 7. Read more about the exhibit on WWD.com #wwdnews #wwdfashion (📷: @zefashioninsider)