EssilorLuxottica Records 6% Growth In Revenue In 2024

The last three months of 2024 have been particularly prosperous for the EssilorLuxottica group, which published its annual results on Wednesday evening. Up to the end of December, the optics giant, which has a vast portfolio of eyewear brands, achieved a turnover of 6.78 billion euros, an increase of 8.5% compared to the same period the previous year. Financial analysts, particularly those from Factset, were anticipating a turnover of 6.65 billion euros and growth limited to +5%. Over 2024, EssilorLuxottica recorded an overall turnover of 26.51 billion euros, an increase of +6%.

The day before this publication, the group's share had jumped on the stock market, recording the second-highest increase in the CAC 40 before the close. Jefferies Bank, attracted by the group's leading position and optimistic about its growth potential, raised its recommendation on the stock from ‘hold’ to ‘buy.’ EssilorLuxottica has more than 20% of a market estimated at more than 120 billion euros, three times more than its closest competitor.

While the group maintained a solid performance throughout the year, its growth accelerated towards the end of the financial year. In the previous quarter, growth was only 4%. In terms of the different regions, North America recorded an increase of 7.8%, Europe performed even better with 9.6%, and Asia, far from being impacted by any crisis, saw impressive growth of 14% at constant rates.

Several factors explain this solid performance. First of all, the success of Ray-Ban Meta smart glasses: EssilorLuxottica and Meta can congratulate themselves on their partnership, with more than a million pairs sold in 2024. In a press release, the group also considers this segment to be the ‘new engine’ of its business. Mark Zuckerberg, CEO of Meta, does not intend to stop there and aims for exponential sales growth. For his part, the CEO of EssilorLuxottica has stated that the production capacity of Ray-Ban Meta will reach 10 million units in the coming years. Faced with growing competition in the smart glasses sector, Meta hopes to maintain its dominant position in this rapidly expanding market.

Another growth driver was the acquisition of the American streetwear brand Supreme for 1.4 billion euros. Highly popular with young consumers, this brand has made EssilorLuxottica more attractive to a wider audience.
Thanks to these solid results, EssilorLuxottica is maintaining its financial objectives for 2026 and is aiming for a turnover of between 27 and 28 billion euros. The company's financial strength also enables it to develop new activities: the group has just acquired the Toronto-based start-up Cellview Imaging Inc., which provides medical diagnostics based on retinal imaging. With this acquisition, the group is taking another step into the med-tech world.

Finally, last December, EssilorLuxottica and the Prada group renewed their license agreement for 10 years, covering the development, production, and distribution of glasses under the Prada, Prada Linea Rossa, and Miu Miu brands.

With these diversification and innovation strategies, EssilorLuxottica seems well-equipped to continue its growth in the future.