Luxottica Reports Record Profit as Sales Surge in North America

MILAN, Italy — Luxottica Group SpA, the world's largest eyewear maker, reported record full-year profit as sales of Ray- Bans and other frames surged in North America.

Adjusted net income rose 11 percent to 687.4 million euros ($768 million), the Milan-based company said Monday after European stock markets closed. Analysts predicted 686.3 million euros, according to the average of 10 estimates compiled by Bloomberg.

Luxottica plans to double sales to 15 billion euros in the next 10 years, it said in January after reporting fourth-quarter revenue that rose faster than predicted. While the company should benefit from a stronger dollar this year, the recently appointed co-chief executive officers need to convince investors the business can overcome management upheaval, Citigroup analyst Mauro Baragiola has said.

“The industry is young and there are still many opportunities for organic and external growth ahead,” co-CEOs Massimo Vian and Adil Mehboob-Khan said in Monday’s statement. “In 2015, we expect solid revenue growth and profitability to grow twice that of sales.”

The adjusted figures exclude one-time tax and job-cutting expenses as well as some other items.

By Andrew Roberts. Editors: Matthew Boyle, Tom Lavell, John Lear.