Luxottica Group S.p.A.s said net sales at its Wholesale Division, which includes the Oakley and Ray-Ban sunglass brands, rose 11.6 percent at constant exchange rates to €704.0 million ($1.01 bn) in the second quarter ended June 30 from €651.2 million ($828 mm) in the second quarter last year.
That translated to 8.1 percent growth at current exchange rates.
Operating income for the Wholesale Division reached €188.5 million ($271 mm), which was an increase of 19.9 percent over the €157.2 million ($199 mm) earned a year earlier. The operating margin increased 270 basis points to 26.8 percent of sales. Luxotticas Wholesale Division also owns several luxury brands, including Chanel, Burberry, Tiffany and Ralf Lauren, which also posted double-digit growth during the quarter.
The Italian company said it saw great improvement in all the major geographic areas. Emerging markets made a key contribution to this performance, along with Europe, particularly France, Germany, Spain and Italy, which enjoyed an especially positive ‘sun season.
Operating income for the Wholesale Division reached €188.5 million ($271 mm), which was an increase of 19.9 percent over the €157.2 million ($199 mm) earned a year earlier. The operating margin increased 270 basis points to 26.8 percent of sales. Luxotticas Wholesale Division also owns several luxury brands, including Chanel, Burberry, Tiffany and Ralf Lauren, which also posted double-digit growth during the quarter.
The Italian company said it saw great improvement in all the major geographic areas. Emerging markets made a key contribution to this performance, along with Europe, particularly France, Germany, Spain and Italy, which enjoyed an especially positive ‘sun season.
“We strongly believe that these results provide an excellent basis for us to look with confidence to the second half of the year,” said Luxottica Group CEO Andrea Guerra.
A series of high-profile victories by Oakley sponsored athletes helped propel sales, particularly in Europe where replenishment orders rose by more than 30 percent, Guerra said. Among the victors were U.S. Open Winner Rory McIlroy and Cadel Evans, Pierre Rolland, Mark Cavendish and Samuel Sanchez, who were the top four finishers at the Tour de France.
Oakley sales would have grown more in Europe and the United States if not for capacity constraints, which Guerra said should be resolved in coming weeks.
In Australia, positive comp growth resumed at the OPSM Group, which operates more than 500 stores under three banners. Oakley and Ray-Ban sales in Australia grew at double-digit rates on both the sun and prescription side.
