albert Chan
Most Recent Results
Annual Financial Results
[caption id="attachment_57527" align="aligncenter" width="830"]
Last year-end: Dec. 31, 2017. * 2017 figures are pro-forma unaudited figures provided by the merged entity EssilorLuxottica, for the other years, the revenues are added for Essilor and Luxottica without accounting for adjustments. **Trailing 12 months ended June 30, 2018. [/caption]
Company Profile
Essilor Luxottica is formed by the merger of Essilor and Luxottica, two distinctive and disruptive companies in the vision care sector. Essilor designs, manufactures and markets a wide range of lenses. Its flagship brands are Varilux, Crizar, Transitions, Eyezen, Xperio, Foster Grant, Bolon and Costa. Essilor is also involved in development of equipments, instruments and services for eyecare professionals. Luxottica Group is a designer, manufacturer and distributor of fashion, luxury, sports and performance eyewear. The company operates under two segments—manufacturing and wholesale distribution in addition to retail distribution. Three manufacturing plants in China and a small plant in India lead the company’s manufacturing with 46% share of overall group production; however six facilities located in Italy are the manufacturing center for Luxottica’s luxury eyewear production accounting for 41% of the group’s production.
Strategy
This newly formed company combines eyeglass frames and lenses, physical and online distribution in one corporate entity and completes Luxottica’s goal of vertical integration. Its mission to elevate the importance of good vision as a basic human right and a key lever for global development will benefit from the scale of this new entity. Improving service levels and offering better products are on the go forward agenda, for the combined EssilorLuxottica and note prior to the acquisition (which was announced 20 months prior to culmination) Luxottica’s long-term objective was to continue to expand in the eyewear and eye-care sectors by expanding its businesses both organically and through acquisitions, as well as a continued focus on vertical integration, global footprint and technological innovation.
Store Fleet and Employees
As of December 2017, Essilor had 66,918 employees, out of which 33,021 were engaged in production and 24,614 in supervisory tasks. Luxottica group employed 85,150 employees as of the same date with 48,961 employees in the retail segment, 9,367 in its wholesale business, 26,141 in production and logistics and 681 employees in the Milan headquarters. At the end of December 2017, Essilor and its partners operated 34 production facilities, 481 prescription laboratories, 5 integrated lens and frame platforms in addition to 14 distribution centers. Luxottica had 8,913 retail stores globally including 1,811 franchises.
Recent Developments
Management Team
Annual Financial Results
[caption id="attachment_57527" align="aligncenter" width="830"] Last year-end: Dec. 31, 2017. * 2017 figures are pro-forma unaudited figures provided by the merged entity EssilorLuxottica, for the other years, the revenues are added for Essilor and Luxottica without accounting for adjustments. **Trailing 12 months ended June 30, 2018. [/caption]
Company Profile
Essilor Luxottica is formed by the merger of Essilor and Luxottica, two distinctive and disruptive companies in the vision care sector. Essilor designs, manufactures and markets a wide range of lenses. Its flagship brands are Varilux, Crizar, Transitions, Eyezen, Xperio, Foster Grant, Bolon and Costa. Essilor is also involved in development of equipments, instruments and services for eyecare professionals. Luxottica Group is a designer, manufacturer and distributor of fashion, luxury, sports and performance eyewear. The company operates under two segments—manufacturing and wholesale distribution in addition to retail distribution. Three manufacturing plants in China and a small plant in India lead the company’s manufacturing with 46% share of overall group production; however six facilities located in Italy are the manufacturing center for Luxottica’s luxury eyewear production accounting for 41% of the group’s production.
Strategy
This newly formed company combines eyeglass frames and lenses, physical and online distribution in one corporate entity and completes Luxottica’s goal of vertical integration. Its mission to elevate the importance of good vision as a basic human right and a key lever for global development will benefit from the scale of this new entity. Improving service levels and offering better products are on the go forward agenda, for the combined EssilorLuxottica and note prior to the acquisition (which was announced 20 months prior to culmination) Luxottica’s long-term objective was to continue to expand in the eyewear and eye-care sectors by expanding its businesses both organically and through acquisitions, as well as a continued focus on vertical integration, global footprint and technological innovation.
Store Fleet and Employees
As of December 2017, Essilor had 66,918 employees, out of which 33,021 were engaged in production and 24,614 in supervisory tasks. Luxottica group employed 85,150 employees as of the same date with 48,961 employees in the retail segment, 9,367 in its wholesale business, 26,141 in production and logistics and 681 employees in the Milan headquarters. At the end of December 2017, Essilor and its partners operated 34 production facilities, 481 prescription laboratories, 5 integrated lens and frame platforms in addition to 14 distribution centers. Luxottica had 8,913 retail stores globally including 1,811 franchises.
Recent Developments
| Date | Development |
| Dec 26, 2018 | Luxottica plans to expand its Regional Headquarters in Port Washington in order to accommodate a growing workforce. |
| Nov 20, 2018 | Oakley launches ARO series of racing helmets to cater to the cycling community. |
| Oct 10, 2018 | Essilor International SA announces to change its name to EssilorLuxottica. |
| Oct 1, 2018 | French eyewear company Essilor International entered into an agreement to acquire 62.4% stake in Luxottica Group from Delfin. |
- Leonardo Del Vecchio, Executive Chairman and CEO
- Hubert Sagnières, Executive Vice-Chairman and Deputy CEO
Source: Company reports/S&P Capital IQ/Coresight Research
Sector Overview- For context on this company, please refer to our report Sector Overview: Luxury.