AI glasses nearly double sales, lift EssilorLuxottica growth

EssilorLuxottica, the world's largest eyeglass manufacturer, reported that AI-enabled glasses are driving accelerated growth, with second-quarter sales rising 7.2 percent to 7.7 billion euros ($8.8 billion（約1.4兆円）) in the three months to June. The company did not disclose a specific sales figure for AI glasses alone, but stated that the category "almost doubled in sales in the second quarter versus last year" and "confirmed their exponential growth." Chief executive Francesco Milleri noted that AI glasses are expanding across the globe and consumer segments while generating sustainable profits.

The company's AI glasses offering, developed in partnership with Meta, has expanded this year. Earlier in 2024, EssilorLuxottica introduced a new Ray-Ban line in partnership with Meta targeting younger, price-sensitive consumers. Milleri stated on a conference call: "We look to expand our market, targeting new consumers that have more sensibility to price and maybe are younger and more interested in having something technology integrated." This strategic push reflects an effort to broaden the AI glasses market beyond early adopters and into mainstream demographics.

AI glasses represent one leg of EssilorLuxottica's innovation strategy. The company has also seen strong growth in specialized lenses, with sales of lenses that slow short-sightedness progression in children jumping 24 percent. Additionally, EssilorLuxottica has diversified into hearing correction through Nuance Audio, which integrates hearing aids into eyeglass frames. Milleri indicated that a second-generation version offering better performance will launch in mid-September. For the first half of the year overall, EssilorLuxottica reported sales of 14.8 billion euros (up 5.7 percent) and net profits of 1.6 billion euros (up 12.9 percent).

EssilorLuxottica's strong second-quarter performance underscores a significant shift in how investors and the market view AI glasses. Earlier in the year, analysts noted a reversal in sentiment, with AI eyeglasses moving from perceived opportunity to perceived risk in investors' eyes. Yet the company's results suggest this narrative may be incomplete: AI glasses are not only sustaining growth but are becoming profitable, with sales expanding across geographies and consumer segments. The company's push into price-sensitive, younger demographics via the Ray-Ban line signals that the AI glasses market is maturing beyond early adopters and moving toward mass-market adoption.

Beyond AI glasses, EssilorLuxottica is pursuing multiple growth vectors. Lenses designed to slow short-sightedness progression in children jumped 24 percent, and the company has diversified into hearing correction through Nuance Audio, with a second-generation product arriving in mid-September. First-half sales across the group rose 5.7 percent to 14.8 billion euros, with net profits rising 12.9 percent to 1.6 billion euros, suggesting that AI glasses are accelerating rather than cannibalizing the broader business.

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