Essilux, revenues + 3.7% to 25.4 billion. Board of Directors confirmed
The board of directors will propose to the shareholders' meeting the distribution of a proposed dividend of EUR 3.95 per share, a 22% increase over 2022
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3' min read
Accounts up in terms of turnover and profitability, coupon up 22% and board of directors confirmed. This is the picture that emerged yesterday following the board meeting that examined and approved EssilorLuxottica's fourth-quarter figures for 2023.
The French-Italian group closed 2023 with revenue growth of 7.1% at constant exchange rates and +3.7% at current exchange rates year-on-year to €25.395 billion. In terms of margins, adjusted operating profit rose 7.7% at constant exchange rates and 1.5% at current exchange rates to EUR4.178 billion in 2023, while adjusted group net profit saw an increase of 9.4% at constant exchange rates and 3% at current exchange rates to EUR2.946 billion, "in a year in which inflation impacted several cost items and in particular labour costs," the group's note reads. Accounting profit rose 14.3% at constant exchange rates (+6.3% at current exchange rates) to EUR 2.3 billion. In Paris today, the stock closed up 1% at EUR 191 per share before the data release, bringing the balance for the past year into the positive 10% range.
"We are proud to share excellent results and another year of sales growth in excess of 7%, with an acceleration in the fourth quarter and contributions from all geographic regions. We maintain strong profitability, with record adjusted group net income close to €3 billion and free cash flow at €2.4 billion, " commented Francesco Milleri, chairman and chief executive officer, and Paul du Saillant, deputy chief executive officer of EssilorLuxottica, continuing: "It was also a year of major investments, with the consolidation of new product categories, from Stellest in myopia to Ray-Ban Meta in wearable devices, the expansion of the brand portfolio with iconic brands such as Moncler and Jimmy Choo, the integration of artificial intelligence and business intelligence, the expansion of our manufacturing network and the strengthening of our retail network globally. All this will contribute to the evolution of our Group and the transformation of the industry over the next decade."
Growing pedestrian
.At the annual general meeting to be held on 30 April 2024, the board of directors will propose to the shareholders to approve the payment of a dividend of EUR 3.95 per share, an increase of 22% on the previous year. Shareholders will be offered the option of receiving the dividend in cash or in newly issued shares (scrip dividend). The ex-dividend date will be 6 May 2024 and the dividend will be paid - or the shares issued - from 3 June 2024. "On the strength of these positive results, we are confident that we will continue to grow at this pace to achieve the long-term goals we have set ourselves. In light of the excellent results achieved over the past three years, the board of directors unanimously resolved to distribute a dividend of EUR 3.95 per share," Milleri and du Saillant emphasise.
Long-Term Outlook
."The company confirms its 'mid-single-digit' annual revenue growth target from 2022 to 2026 at constant exchange rates (based on 2021 pro forma revenue4) and expects to achieve an adjusted operating profit of between 19 and 20 per cent of revenue by the end of that period," reads the 2023 earnings release.
