Luxottica, the world’s largest eyewear group and owner of the Oakley brand, is targeting net profit of €400 million (US$561.5 million) in 2010, according to a report by Reuters.
This is above its previous full-year target and 27% higher than in 2009, after the company managed to beat forecasts with its third-quarter results.
The Italian company posted a 34.5% rise in net profit to €101.9 million for the third quarter, above all analysts’ forecasts, and helped by strong sales at high-end brands such as Ray-Ban and Oakley.
Luxottica’s key proprietary brands Ray-Ban and Oakley each posted ‘double-digit’ growth, the company said.
Also driving Luxottica’s growth was a strong 13% jump in net sales registered in Europe, where consumer spending has in general been very weak.
"The results achieved so far allow us to look optimistically toward a year-end that, if we continue to work with the determination and passion shown in recent months, may allow us to reach the threshold of €400 million of net income," Chief Executive Officer Andrea Guerra said in a statement.
Luxottica also approved on Monday the launch of a 5- to 7-year Euro bond for up to €500 million, aimed at extending maturing debt and to fund market operations. The issue, for institutional investors, is expected by end January 2011.
