Essilor Luxottica

Welcome to Acilla Loxotico Q full revenue and full year 21 results call. At the end of the presentation, there will be a 30-minute Q&A session where you'll be allowed to ask a maximum of two questions. If you would like to ask a question, you may do so by pressing star 1 on your telephone keypad. I now hand the call over to Giorgio Ionella, Head of Investor Relations.

Good morning, everybody. I'd like to share with you the company's statement we published yesterday on social media. We have been deeply saddened by the tragedy unfolding in Ukraine and we stand in solidarity alongside all those impacted. At this difficult time, the safety of our people remains our priority and we are providing all the support possible to our affected teams in the region. Due to uncertainties and significant disruptions, we are temporarily restricting our operations in Russia. In line with our mission, we are committed to continue providing essential medical vision care services. We will monitor the situation and adapt our response accordingly. With that, I leave the floor to our CEO, Francesco Milleri.

Good morning all and thank you for joining us. Today we are proud to share with you a Silor Luxottica results for 2021, an extraordinary year in which we achieved a lot. We succeeded not only from a financial perspective, but we also completed some of the most strategic projects of the last few years. That will shape the future of the company and all the industry for the years to come. Despite a still challenging environment, Essilor Luxottica embarked on a remarkable recovery journey in 2021, growing sales and profits compared to pre-pandemic levels. The company met the guidance on sales and beat its twice-upgraded targets on the operating margin. North America was the key driver, thanks to our excellent execution in both professional solutions and the direct-to-consumer segment. On top of that, all the other regions accelerated in the fourth quarter, closing the year on a positive note. Our ability to translate the business growth into operating margin expansion draw up our profit and generate an all-time record amount of cash flow. Stefano will further elaborate on all these trends later. If we look behind the pure financial results, 2021 was also an outstanding year in terms of transformations. With the interim period now behind us, we kicked off the next stage of integration. Company structures were merged and leaders for each of the business segments worldwide were appointed. This has given way to an experienced and talented top management team able to fulfill and execute our vision. We have finally completed the acquisition of Grand Vision, which, after the successful mandatory tender offer and the consequent delisting, is now fully consolidated in SILOR Luxottica's accounts. We are now a 21.5 billion euro company with an adjusted operating margin of 16.1% and net profit of 2.3 billion euros. A dream has come true. On the product side, we brought to the market yet another groundbreaking innovation. Ray-Ban Stories, the next generation of smart glasses, in partnership with Meta, and roll it out to new markets, Steles, our lens innovation that slowed the progression of myOpio. The group is at the start of a new era. We are now richer in resources, faster in taking decisions, and ready to lead the evolution of the industry for higher standards of vision for people worldwide. You have heard us talk about the concept of network company. While we continue to compete in our market, we also keep building a network connecting to many other players to share with all the best we have and accomplish our mission of promoting good vision everywhere. At the same time, we deliver strong results to our shareholders and stakeholders. With that in mind, I would like to underline the great progress we have made reaching our mission, as well as our commitment to sustainability thanks to the Eyes on the Planet program. The improved ECG ranking of the group reflects all the artwork done so far, and Paul will tell you more about our initiatives as a key pillar of our identity. Last, we are updating our long-term guidance for the next five years. Until 2026, we are targeting to achieve mid-single-digit annual revenue growth and an adjusting operating margin in the range of 19% to 20% at the end of the period. And with that, I leave the floor to Stefano and Paul.