EssilorLuxottica accelerates with AI glasses: quarterly sales +18%, shares soar in Milan

EssilorLuxottica closed 2025 with acceleration in the fourth quarter, driven by the success of smart glasses developed with Meta. The Franco-Italian group reported revenue of €7.6 billion in the holiday period, up 18% at constant exchange rates, well above the just-over-11% increase expected by the market. The result pushed the stock up as much as 10% on the Milan Stock Exchange in early trading, marking the strongest intraday gain since last October.

The standout performers were the Ray-Ban Meta and Oakley smart glasses, which are consolidating the leadership of the alliance with Meta Platforms in the emerging tech wearables market. In 2025, more than 7 million pairs of AI glasses were sold, although the company did not disclose fourth-quarter net profit figures separately.

For the full year, adjusted operating profit rose 6.8% to €4.5 billion, beating estimates. However, the adjusted margin stood at 16%, down 70 basis points from 2024 at constant exchange rates. Tariffs and costs linked to the rapid expansion of production capacity needed to meet demand for connected glasses weighed on profitability. The 2025 EBIT margin came in at 15.7%, below the 16.1% consensus.

Management reassured investors: over the next five years, revenue growth will be accompanied by an evolution in operating profit that is “substantially aligned.” The group is also targeting an improvement in price mix driven by product innovation.

Sales grew across all geographic areas, with North America up 24% in the fourth quarter and Europe and Asia both exceeding 10%. For 2026, the market remains cautious on margins, still exposed to tariffs and currency effects, but the potential of smart glasses continues to represent the main growth driver for the group led by Francesco Milleri.

Andrea Pelucchi