AI-Driven Eyewear Sparks EssilorLuxottica’s 2025 Upswing, Shares Jump in Paris
13.02.2026 - 09:23:04
EssilorLuxottica rallied in Paris yesterday, trading up roughly six percent to about €265,50 as the company unveiled its 2025 results, which exceeded expectations thanks to strong demand for AI-enabled Smartglasses. The update also hints at whether the group can sustain its growth trajectory even as operating margins face pressure over time.
- Full-year revenue: 28,49 Milliarden Euro (+11,2 %)
- Q4 growth: +18,4 % (currency-adjusted)
- Smartglasses units sold: Über 7 Millionen Einheiten
- Proposed dividend: 4,00 Euro per share
In 2025, EssilorLuxottica’s revenue, measured on a currency-adjusted basis, rose by 11,2 percent to €28,49 billion. The fourth quarter was especially dynamic, up 18,4 percent on a currency-adjusted basis. A primary driver was the success of the Ray-Ban and Oakley smartglasses developed in partnership with Meta. With more than seven million units shipped, the wearable segment significantly outpaced the previous two years, and the company achieved its first double-digit annual revenue growth in its history.
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Margins Under Pressure
Despite the robust top line, the adjusted operating margin slipped from 16,7 percent to 16,0 percent—a 70-basis-point decline—largely due to the lower initial margin associated with the technologically complex smartglasses versus traditional frames, along with the impact of US tariffs. On the upside, the group reported a record free cash flow of €2,8 billion. The adjusted net income reached €3,16 billion, while reported net income declined modestly by 1,9 percent to €2,32 billion. Beyond wearables, the Myopia Management portfolio contributed to growth with a global gain of 22 percent.
Management has issued a new five-year outlook as the company pivots toward a medical‑tech and smart-wear model. The guidance envisions solid revenue growth with operating profit rising broadly in line with the top-line expansion. The annual general meeting on 28 April 2026 will decide the proposed dividend of €4,00 per share.
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