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By
Reuters API
Published
Nov 3, 2020
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EssilorLuxottica quarterly sales recover as second virus wave looms

By
Reuters API
Published
Nov 3, 2020

EssilorLuxottica said on Tuesday its third-quarter sales showed signs of recovery, but the maker of Oakley and Ray-Ban eyes the next few months with 'prudent confidence' as a second coronavirus wave threatens another heavy blow to results.




The company also said it would, in December, consider whether to pay a dividend by year-end, having suspended it in March along with scrapping its guidance for the year.

Sales in the quarter ended Sept. 30 fell 1.1% at constant currencies from a year earlier to 4.09 billion euros (3.69 billion pounds), recovering some ground after almost halving in the second quarter as lockdowns eased and stores reopened.

The company said more than 95% of its stores had reopened globally by the end of September.
"While it is careful about the near-term evolution of COVID-19 and about the amount of pent-up demand potentially fuelling the current recovery, it is confident about the structural resilience of optical needs," EssilorLuxottica said in a statement.

The company, formed as a merger between French lens manufacturer Essilor and Italian spectacles maker Luxottica, confirmed its target of net synergies from the merger of 420 million euros to 600 million euros for adjusted operating profit by 2023.

EssilorLuxottica, which makes eyewear for luxury brands such as Chanel, Prada and Versace, added revenue synergies had been somewhat delayed by temporary store closures but were gradually catching up.


 

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