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With Ray-Ban, bright point of view, and other well-known brands of the world’s largest eyewear manufacturer Lu Xun ladder card group is expected to usher in 2017-2018 accelerated recovery, sales are expected to reach single-digit high to medium growth. Luxottica (LUX.MI), the world’s largest manufacturer and retailer of eyewear, has just released its semi-annual report, declining both its sales and profits in the first half of 2016 and cutting its full-year revenue forecast. This is the first time that Italian companies with well-known brands such as Ray-Ban, Oakley and LensCrafters have fallen for the first time in nearly a decade.
According to earnings reports, due to the second quarter, weak revenue, as of June 30 this year, six months, Lu Xun ladder card adjusted revenue of 4.719 billion euros (about 34.604 billion yuan), down 0.7%; adjusted hair Profits of 3.108 billion euros (about 22.79 billion yuan), ray ban sunglasses deals online,down 2.9%. Lu Xun ladder card announced this year’s sales growth forecast, from early March to develop 5% -6%, down to 2% -3%. Founded in 1961 Lu Xun ladder card’s main business, including glasses and sunglasses design, production, wholesale, trade and retail, vertical coverage of the whole industry chain. In addition to its own brand of Ray-Ban, Oakley glasses, and bright point of view, Sunglass Hut chain stores such as retail stores, it also includes Giorgio Armani, Tiffany & Co., Prada, Coach, Dolce & Gabbana, Chanel, DNKY and so the vast majority of luxury brands OEM glasses and sunglasses. North America is Lu Xun ladder card’s largest market, its contribution to the turnover of more than Liu Cheng. However, the first half of this year, due to macro consumption sluggish and bad weather, including Ray-Ban sunglasses in the region, including poor sales, adjusted net sales fell 2.7%. In addition, the Lu Xun ladder card on the Ray Ban and other brand dealers a strong control also directly affected its performance. Dealers only after the company’s consent before they can carry out discount promotions. In March this year, Lu Xun ladder card into 1.5 billion euros (about 11 billion yuan), to optimize the retail channels and in the field of e-commerce expansion, in response to sustained slowdown in profit growth. The mid-year report also said that the reporting period included a sum of about 66 million euros (about 484 million yuan) in one-time expenditure for last year’s acquisition of sports eyewear brand Oakley after the layoffs compensation and channel adjustment. After 2005, Lu Xun ladder through the acquisition of Beijing Xueliang, Guangzhou Ming Gallery and Shanghai modern optics and other domestic optical shop chain, to enter the Chinese mainland market. The Daily News pointed out that thanks to a strong sales network and favorable exchange rate changes, Lu Xun ladder card in the first half of this year to maintain growth in the Chinese market. During the reporting period, Lu Xun ladder card in the Chinese mainland opened nine Direct brand stores, and the brand in the Chinese market is optimistic about the future development. Last November, Lu Xun Ti card in the Chinese mainland, Hong Kong and Southeast Asia to adjust the recommended retail price, to gradually reduce its brand China and the international market price difference. Paolo Ciarlariello, president of Greater China, Lu Xun Tikka Group, said that China is one of the group’s most important markets, the proposed retail price adjustment for the Chinese customers to provide the right price, and brand and product experience , Thereby enhancing customer loyalty. Recently, Lu Xun ladder card management personnel are also frequent changes. In January this year, Lu Xun Tikka abolished the then chief executive Adil Mehboob-Khan. This is the company nearly 17 months to leave the third CEO. Currently, Leonardo Del Vecchio, the 81-year-old founder and controlling shareholder, returned to management as Executive Chairman.
The company is expected to usher in 2017-2018 accelerated recovery, sales are expected to reach single digits to high segment growth. However, Chief Financial Officer Stefano Grassi also said that Lu Xun ladder card is difficult to predict whether the realization of the next two years of revenue targets because of the recent turmoil in the international security situation on the tourism and retail industry impact.

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