Essilorluxottica Sa · EURONEXT:EL
Essilorluxottica Sa — H1 2021 Earnings Presentation
24 slides from Essilorluxottica Sa's earnings presentation, Jul 30, 2021
Slide 1: EssilorLuxottica H1 2021 Results
ESSILORLUXOTTICA H1 2021 RESULTS 30 July 2021 H1 2021 Results 1 Picture: Stellest launch in China, Guangzhou Tower
Slide 2: Overview Q2 & H1 2021
OVERVIEW Q2 & H1 2021 • Sharp acceleration of the business, on improved macro- economic environment and more effective execution • Revenue +9.2% in Q2 vs 2019 – North America driving the performance – Professional Solutions and Direct to Consumer segments both accelerating – Optical and sun both gro
Slide 3: Financial Highlights H1 2021
FINANCIAL HIGHLIGHTS H1 2021 TOTAL REVENUE EUR 8,768 mln ADJUSTED OPERATING PROFIT (%) 18.5% ADJUSTED GROUP NET PROFIT EUR 1,117 mln FREE CASH FLOW EUR 1,211 mln NET DEBT EUR 1,945 mln H1 2021 Results 3
Slide 4: Outlook FY 2021
OUTLOOK FY 2021 In the light of H1 results and with the current level of visibility, the Company’s outlook for the full year 2021 is upgraded. EssilorLuxottica now expects: • Revenue to grow around mid-single digit versus 2019 at constant exchange rates. • Adjusted operating profit as a percentage o
Slide 5: Introducing New Channel-Based Segment Reporting
INTRODUCING NEW CHANNEL-BASED SEGMENT REPORTING Supply of eyecare and eyewear Sales of eyecare and eyewear products and services products and services to third-party professionals to end consumers GROUP PS DTC Professional Direct to Solutions Consumer @ Group wholesale business Group retail business
Slide 6: Revenue by Segment, 2021 vs 2019
REVENUE BY SEGMENT, 2021 VS 2019 Change at constant Change at current € million Q2 2021 Q2 2019 exchange rates exchange rates Professional Solutions 2,733 2,763 +5.0% -1.1% Direct To Consumer 1,975 1,803 +15.7% +9.6% TOTAL GROUP 4,709 4,566 +9.2% +3.1% Change at constant Change at current € million
Slide 7: Revenue by Region, Q2 2021 vs Q2 2019
REVENUE BY REGION, Q2 2021 VS Q2 2019 Change at constant Change at current € million Q2 2021 Q2 2019 exchange rates exchange rates North America 2,610 2,392 +16.4% +9.1% EMEA 1,268 1,248 +3.8% +1.7% Asia-Pacific 620 657 -3.5% -5.8% Latin America 211 269 +2.0% -21.7% TOTAL GROUP 4,709 4,566 +9.2% +3.
Slide 8: Revenue by Region, H1 2021 vs H1 2019
REVENUE BY REGION, H1 2021 VS H1 2019 Change at constant Change at current € million H1 2021 H1 2019 exchange rates exchange rates North America 4,810 4,580 +11.6% +5.0% EMEA 2,290 2,376 -1.3% -3.6% Asia-Pacific 1,258 1,290 -0.5% -2.5% Latin America 410 530 +1.5% -22.7% TOTAL GROUP 8,768 8,776 +5.7%
Slide 9: North America +16.4% in Revenue in Q2
NORTH AMERICA +16.4% IN REVENUE IN Q2 • Best performing region, on a rapidly restored macro • Fast recovery in both optical and sun • Brands driving in lenses and frames • All the main wholesale channels contributing • Independent ECPs supported by partnership programs • Physical retail comparable s
Slide 10: EMEA +3.8% in Revenue in Q2
EMEA +3.8% IN REVENUE IN Q2 • Gaining momentum in June, with restrictions lifting • France, Italy and UK leading markets in PS • Optical category driving • Sunglasses recovering since June • Physical retail still negative in comparable store sales • UK and Turkey best performing markets in DTC • Opt
Slide 11: Asia-Pacific -3.5% in Revenue in Q2
ASIA-PACIFIC -3.5% IN REVENUE IN Q2 • Mainland China and Australia growing fast • New COVID-19 outbreaks affecting the rest of the region • PS up >40% in Mainland China, also thanks to Stellest • Sound performance of Bolon, mostly in optical • India dragged down by local virus variant • OPSM still s
Slide 12: Latin America +2.0% in Revenue in Q2
LATIN AMERICA +2.0% IN REVENUE IN Q2 • New wave of restrictions in April-May • Activity rebound in June • Price hikes to partly offset currency devaluation • Brazil and Mexico closing positive • PS up double digit in Brazil in June • Sunglass Hut bouncing back in Brazil and Mexico • GMO improving, c
Slide 13: Mission & Sustainability
MISSION & SUSTAINABILITY Supporting the Mission ‒ Access to vision care for over 20 million people through trained vision care entrepreneurs ‒ Philanthropy, partnerships and innovation ‒ Inclusion of accessible eyecare in UN’s Sustainable Development Goals Eyes on the Planet ‒ New Sustainability sec
Slide 14: Appendix
APPENDIX Oakley-sponsored OneSight vision clinics - Chicago, 18-19 June 2021 H1 2021 Results 14
Slide 15: Adjusted Condensed Statement of Profit or Loss, 2021 vs 2019
ADJUSTED CONDENSED STATEMENT OF PROFIT OR LOSS, 2021 VS 2019 21 vs 19 € millions H1 2021 H1 2019* at constant exchange rates REVENUE 8,768 8,776 +5.7% GROSS PROFIT 5,383 5,453 +5.0% Margin % 61.4% 62.1% OPERATING PROFIT 1,622 1,512 +16.4% Margin % 18.5% 17.2% PROFIT BEFORE TAXES 1,564 1,442 +17.7% M
Slide 16: Adjusted Condensed Statement of Profit or Loss, 2021 vs 2020
ADJUSTED CONDENSED STATEMENT OF PROFIT OR LOSS, 2021 VS 2020 21 vs 20 € millions H1 2021 H1 2020* at constant exchange rates REVENUE 8,768 6,230 +49.2% GROSS PROFIT 5,383 3,448 +66.5% Margin % 61.4% 55.3% OPERATING PROFIT 1,622 126 >1,000% Margin % 18.5% 2.0% PROFIT BEFORE TAXES 1,564 41 >1,000% Mar
Slide 17: Net Debt
NET DEBT € millions June 30, 2021 December 31, 2020 Non-current borrowings 8,910 9,324 Current borrowings 645 633 TOTAL LIABILITIES 9,554 9,957 Short-term investments (19) (200) Cash and cash equivalents (9,424) (8,683) TOTAL ASSETS (9,443) (8,883) Interest Rate Swap measured at fair value (24) (36)
Slide 18: Revenue by Segment, 2021 vs 2020
REVENUE BY SEGMENT, 2021 VS 2020 Change at constant Change at current € million Q2 2021 Q2 2020 exchange rates exchange rates Professional Solutions 2,733 1,336 +114.7% +104.6% Direct To Consumer 1,975 1,110 +89.2% +78.0% TOTAL GROUP 4,709 2,446 +103.1% +92.5% Change at constant Change at current €
Slide 19: Revenue by Region, Q2 2021 vs Q2 2020
REVENUE BY REGION, Q2 2021 VS Q2 2020 Change at constant Change at current € million Q2 2021 Q2 2020 exchange rates exchange rates North America 2,610 1,356 +109.2% +92.4% EMEA 1,268 621 +106.3% +104.2% Asia-Pacific 620 409 +52.9% +51.6% Latin America 211 60 +272.9% +251.6% TOTAL GROUP 4,709 2,446 +
Slide 20: Revenue by Region, H1 2021 vs H1 2020
REVENUE BY REGION, H1 2021 VS H1 2020 Change at constant Change at current € million H1 2021 H1 2020 exchange rates exchange rates North America 4,810 3,426 +52.7% +40.4% EMEA 2,290 1,593 +46.3% +43.8% Asia-Pacific 1,258 930 +36.6% +35.4% Latin America 410 282 +63.7% +45.3% TOTAL GROUP 8,768 6,230 +
Slide 21: Historical Revenue by Operating Segment
HISTORICAL REVENUE BY OPERATING SEGMENT Professional Direct to Professional Direct to € million 2019 2020 Solutions Consumer Solutions Consumer Q1 2,604 1,606 4,210 2,305 1,480 3,784 Q2 2,763 1,803 4,566 1,336 1,110 2,446 H1 5,367 3,409 8,776 3,640 2,590 6,230 Q3 2,544 1,767 4,310 2,431 1,655 4,085
Slide 22: Historical Revenue by Region
HISTORICAL REVENUE BY REGION North Asia- Latin North Asia- Latin € million EMEA 2019 EMEA 2020 America Pacific America America Pacific America Q1 2,188 1,129 633 261 4,210 2,070 972 521 222 3,784 Q2 2,392 1,248 657 269 4,566 1,356 621 409 60 2,446 H1 4,580 2,376 1,290 530 8,776 3,426 1,593 930 282 6
Slide 23: Store Count as of 30 June 2021
STORECOUNT AS OF 30 JUNE 2021 North Asia- Latin Corporate Franchising Total EMEA Am erica Pacific Am erica Stores & Licensing Storecount Sunglass Hut 1,687 611 312 391 3,001 192 3,193 LensCrafters 1,000 82 1,082 4 1,086 Target Optical 537 537 537 GMO 442 442 442 Salmoiraghi & Viganò 256 256 28 284 O
Slide 24: See more, be more, live life to its fullest
See more, be more, live life to its fullest H1 2021 Results 24