Published
May 5, 2014
Reading time
2 minutes
Download
Download the article
Print
Text size

Safilo: net profit up 23% in Q1 2014

Published
May 5, 2014

The eyewear company Safilo has started strong for this year. In the first quarter of 2014, the Italian group, controlled by the Dutch fund Hal, announced a net profit of 16.5 million euros, jumping 23% compared to the same period a year earlier.

Its EBITDA grew by 2.3% to 35.4 million, while its operating profit (EBIT) amounted to 26.8 million euros, at +4.3%, reflecting the company’s overall increased profitability.

A Safilo showroom


The second largest global player in the eyewear sector showed a turnover of 293.2 million euros in the first three months of the year as opposed to 297 million a year earlier.

Sales were down 1.3%, mainly due to the negative impact of exchange rates. At constant exchange rates, sales actually increased by 1.9%.

Despite economic difficulties in Europe, Safilo recorded sales growth there by 3.1% to 131.3 million euros. Northern Europe, especially in Germany and the UK, showed positive results, the company continuing to recover lost ground in Mediterranean markets, rather battered in recent years.

The American market, meanwhile, fell by 4.8% (+0.3% at constant exchange rates) to 112.9 million euros, suffering from lowered retail sales and the decline of prescription frame business at independent opticians, says the company.

In Asia, sales grew by 1.9% at constant exchange rates (-2.2% at current exchange rates) to 45 million euros, thanks to positive performances in China and South Korea South.

The group’s net debt amounted to 207.5 million euros in the first quarter of 2014 as opposed to 220.4 million in the first quarter of 2013.

“In the quarter, we gradually introduced Fendi in key worldwide markets and launched the first Bobbi Brown eyewear collection in the United States and Canada. Based on the initial positive market receptions, these two new businesses promise a satisfactory first year with sustainable quality growth potential," said CEO Luisa Delgado.

Safilo, which owns brands such as Polaroid and includes in its licensed brands portfolio the eyewear collections of Boss, Bottega Veneta, Celine, Dior, Gucci, Marc Jacobs and Max Mara, lost the license for Giorgio Armani to Luxottica last year.

Copyright © 2024 FashionNetwork.com All rights reserved.