EssilorLuxottica hits record high after Meta AI glasses help drive sales beat
· CNA · JoinRead a summary of this article on FAST.
Get bite-sized news via a new
cards interface. Give it a try.
Click here to return to FAST Tap here to return to FAST
FAST
Shares in Ray-Ban maker EssilorLuxottica hit an all-time high on Friday, surging over 10 per cent after the eyewear giant's record quarter showed sales of its Ray-Ban Meta smart glasses gaining momentum.
The Franco-Italian group reported on Thursday third-quarter sales growth of 11.7 per cent from a year ago to 6.9 billion euros ($8.1 billion), beating expectations and marking its best quarterly performance ever.
The AI-powered glasses contributed over four percentage points to sales growth, said Chief Financial Officer Stefano Grassi, with demand prompting EssilorLuxottica to accelerate production capacity plans for the glasses ahead of schedule.
EssilorLuxottica's shares were up 11.7 per cent by 0754GMT, trading up to 308 euros, and were on track to rise the most in over eight years.
Subscribe to our Chief Editor’s Week in Review
Our chief editor shares analysis and picks of the week's biggest news every Saturday.
This service is not intended for persons residing in the E.U. By clicking subscribe, I agree to receive news updates and promotional material from Mediacorp and Mediacorp’s partners.
Loading
That would translate to almost 15 billion euros in value added to the company's 126.1 billion market capitalization.
J.P. Morgan analysts said in a note to investors the smart glasses were now a "material growth driver" while the company's core business remained resilient.
The latest Ray-Ban Meta models, priced from $379 to $799 for a new flagship version with built-in display, are currently sold in limited physical stores with expansion to Canada, France, Italy and Britain planned for early 2026.
Barclays analysts predict smart glasses could become the most disruptive innovation since mobile phones, forecasting 60 million units sold globally by 2035.
Equita analysts said in a research note they have upgraded their annual revenue forecast for wearables, and now expect an impact on the group's sales of about one billion euro this year.
"The acceleration in third-quarter revenues and the level of confidence expressed on fourth-quarter and mid-term prospects are an important indicator of the success of the group’s strategic drivers," they said.
EssilorLuxottica shares have gained 17 per cent since January as of Thursday's session.
($1 = 0.8540 euros)
Newsletter
Week in Review
Subscribe to our Chief Editor’s Week in Review
Our chief editor shares analysis and picks of the week's biggest news every Saturday.
Sign up for our newsletters
Get our pick of top stories and thought-provoking articles in your inbox
Get the CNA app
Stay updated with notifications for breaking news and our best stories
Get WhatsApp alerts
Join our channel for the top reads for the day on your preferred chat app