Essilor: 2006 Revenue
January 25 2007 - 1:27AM
PR Newswire (US)
2006 Revenue Up 11% CHARENTON-LE-PONT, France, January 25
/PRNewswire-FirstCall/ -- Essilor, the world leader in ophthalmic
optics, has announced consolidated revenue of EUR2,690 million for
2006, an 11% increase over the previous year. In a favorable
environment for ophthalmic lenses, Essilor benefited considerably
from worldwide demand for Varilux Physio(R), its mass-market
progressive lens launched at the beginning of the year, and
increased its market share in every region. As a result, the
Company has confirmed that 2006 will see further growth in both
earnings and margins. Consolidated revenue EUR millions 2006 2005
Reported % change Contributions Currency change like-for-like from
effect acquisitions Consolidated revenue at December 31 2,690.0
2,424.3 11.0% 8.1% 3.2% - 0.3% Consolidated fourth quarter 667.3
621.2 7.4% 8.8% 3.1% - 4.5% revenue Growth was driven by: - An 8.1%
like-for-like increase that was well balanced between the first
half (8.7%) and the second (7.5%). It reflected: - Around a 7%
increase in unit sales. - An improvement in the product mix,
resulting from the success of Varilux Physio(R) and solid growth in
sales of progressive lenses, plastic lenses made of very high index
and polycarbonate materials, and high-value added anti-reflective
and photochromic lenses. - A slightly negative 0.3% currency effect
due to a decline in the yen, the US dollar and the Australian
dollar against the euro. - A 3.2% contribution from companies
acquired in 2005 and 2006-mainly in the United States, India and
Taiwan-which added an aggregate EUR77.6 million to consolidated
revenue. During the year, Essilor made 22 acquisitions, of which 14
in the United States. Consolidated revenue by region EUR millions
Dec. 31, 2006 Dec. 31, 2005 Reported % change change like-for-like
Europe 1,207.9 1,120.4 7.8% 6.6% North America 1,156.7 1,025.1
12.8% 9.4% Asia-Pacific 233.0 202.1 15.3% 8.7% Latin America 92.4
76.7 20.4% 10.4% Total 2,690.0 2,424.3 11.0% 8.1% - A return to
sustained growth in Europe 2006 was a good year in Europe, led by
the launch of Varilux Physio(R) across the Essilor network. France,
Germany, Spain, Italy and the Eastern European countries turned in
the best results for the year. - Strong momentum in North America
In the United States, growth was strong throughout the year,
especially in networks that sell to opticians and independent
laboratories. Canada also had a very good year. - Increased demand
in the rest of the world In Asia, growth was led by a strong
performance in China and India and a solid recovery in Australia.
In Japan, where the market was stable, Nikon-Essilor increased its
market share despite only modest sales growth. In Latin America,
sales in Argentina rose sharply. Three Acquisitions Essilor extends
its international network of wholesale distributors with an equity
investment in Novacel Following the acquisition of Nassau in the
United States and LTL in Italy, Essilor has further extended its
international network of wholesale distributors by acquiring an
equity stake in France's Novacel. The partnership, which is totally
independent of the existing Essilor and BBGR networks, will enable
Essilor to market alternative product and service offerings, while
ensuring the long-term viability of Novacel, a recognized market
player. Founded in 1994, Novacel distributes a full range of lenses
under its own brands in France and other European markets and
operates a prescription laboratory. The company, which has 280
employees, reported 2006 consolidated revenue of approximately
EUR39 million. The current Novacel management team will remain in
place and continue to operate the company independently. Two
prescription lens laboratories in the United States In the United
States, subsidiary Essilor of America has acquired two new
prescription laboratories that distribute Varilux(R) products. -
Late 2006: Peninsula Optical Lab Inc. in Seattle, Washington, with
$5.5 million in revenue and 40 employees. - Early 2007: Beitler
McKee Optical Company in Pittsburgh, Pennsylvania, with $13 million
in revenue and 78 employees. A conference call will be held today
at 10 a.m. CET. The number to dial is: +44-(0)161-601-8920 The
conference will be available for later listening at:
http://hosting.3sens.com/Essilor/20070125-A60279DB/en Next
financial announcement Results for 2006 will be released on March
8, 2007 Essilor International is the world leader in ophthalmic
optical products, offering a wide range of lenses under the
flagship Varilux(R), Crizal(R), Airwear(R) and Essilor(R) brands to
correct myopia, hyperopia, presbyopia and astigmatism. Essilor
operates worldwide through 16 production sites, 215 lens finishing
laboratories and local distribution networks. The Essilor share
trades on the Euronext Paris market and is included in the CAC 40
index. Codes and symbols: ISIN: FR 0000121667; Reuters: ESSI.PA;
Bloomberg: EF FP. Investor Relations and Financial Communications
Veronique Gillet Phone: +33-(0)1-49-77-42-16 DATASOURCE: Essilor
CONTACT: Investor Relations and Financial Communications, Veronique
Gillet, Phone: +33-(0)1-49-77-42-16
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