Italian eyewear manufacturer Safilo has reported a 4.2 per cent increase in gross profit and a 6.7 per cent increase in net sales in the results for its 2012 financial year. Described as 'satisfactory,' Safilo said the results showed top-line growth broadly in line with profitability and further reduced debt.
Operating profit shrunk by 14.3 per cent to €73.9m and group net profit also fell 7.2 per cent to €25.9m. In the last three months of the year, net sales increased by 16.6 per cent, largely from sales of newly acquired Polaroid products.
Safilo CEO Roberto Vedovotto said: 'Our strategic priority was to focus on the top-line growth of our portfolio and on profitability, as well as to maintain a solid capital structure, despite the expected Armani phase-out negative effect.
'In 2012, we adapted our industrial footprint, timely redefining the organisation and costs of the group's production capacity in Italy with a strong focus at appropriately managing the social framework.'
'A strong recovery' was recorded in European markets, with sales of €128.6m compared to €101.0m in the same quarter of 2011 equating to a 24.7 per cent rise. Safilo said the figures came as a result of good performance in the prescription frame business and that its Carrera collections had performed well.
It said the market in Italy remained fragile, but added that it had seen growth in markets such as Russia and in its commercial outlets in the travel retail and key accounts channels.