From the latest on line edition of Vision Monday:
Essilor Reports More North America Acquisitions in First-Half Financial Report
August 27, 2010 8:30 AM
CHARENTON-LE-PONT, France—Essilor International [ISIN: FR0000121667] continued its acquisition pace in all international regions this year and announced several more in North America during the release of the company's first half financial results earlier today.
In the U.S., the company reported that Essilor of America (EOA) acquired a stake in Epic Labs in Minnesota ($3 million in revenue) and also acquired the assets of Custom Optical in Georgia ($2.5 million in revenue). Since July 1, the company noted, Nikon Optical U.S., a Nikon-Essilor subsidiary, acquired a majority interest in Colorado-based Pasch, which generates $3.9 million in revenue. And EOA acquired a majority stake in Gulf States, a prescription laboratory based in Louisiana that generates $3 million in revenue.
In Canada, Essilor acquired a majority stake in Cascade, a prescription laboratory in the province of British Columbia (C$6 million), and in Econo-Optic, a laboratory based in New Brunswick (C$0.7 million).
Essilor reiterated, as previously reported by VMail, that during the first half of 2010, the company acquired or increased its holding in 13 companies, representing additional revenue of around €80 million. Transactions were carried out in all regions including the acquisition by EOA of a stake in Hawkins Lab in Kansas and Nikon-Essilor's stake in Encore Rx Lab in Connecticut as well as acquisitions or majority stakes of laboratories in Brazil, China, Singapore, United Arab Emirates and Australia.
Also, as previously reported, in its equipment division, Essilor acquired a 60 percent interest in DAC Vision, a leading manufacturer of consumable supplies. And since the start of the year, Essilor acquired FGX International and Signet Armorlite.
On Aug. 9, as reported, Essilor sold its long-standing 15 percent stake in Sperian Protection to Honeywell. The asset’s net realizable value is estimated at nearly €132 million. The consolidated capital gain from the sale (estimated at approximately €27 million) will be recognized in the company’s second-half 2010 accounts, Essilor said.
For the first half, Essilor reported that its total revenues rose 15.8 percent to €1,926.8 million in first-half 2010. Excluding FGXI and Signet, revenue growth stood at 10 percent for the period.
The company cited increased sales volumes in all regions. In Europe, sales progressed by 1.4 percent like-for-like, in Asia like-for-like growth of 8 percent was led by emerging markets, and sales in South America rose 16.6 percent.
The company noted that "growth leveled off in North America, up 1.0 percent in comparable or like-for-like sales. The company cited increased sales of Xperio polarized lenses but noted "operating problems affected performance in Canada."
Essilor's profit attributable to equity holders of Essilor International was down 1.3 percent to €197.5 million. Excluding the BKA provision, attributable profit rose 19.3 percent to €238.8 million. The BKA provision is a €41.5 million provision set aside for the fine imposed by Germany's competition authorities, the Bundeskartellamt (BKA). Essilor has lodged two appeals against the BKA’s decision
I'm regretting taking German in high school and college, should have taken French.:hammer:
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