EssilorLuxottica first-quarter sales slump on coronavirus hit, worst yet to come

(Reuters) – Oakley and Ray-Ban maker EssilorLuxottica reported a slump in first-quarter sales on Tuesday and warned of an even bigger hit in the current quarter as the coronavirus outbreak prompted store closures.

The company, which previously suspended its dividend and scrapped its 2020 outlook due to the pandemic, said revenue had declined further in April.

“Second-quarter revenue and profitability will still be negatively impacted by the crisis, and more severely so than in the first quarter,” it said.

The eyewear company’s first-quarter sales fell 10.1% from a year earlier to 3.78 billion euros ($4.12 billion).

EssilorLuxottica, which is both a manufacturer and a retailer with a vast shop network, confirmed it could propose a special dividend before the end of 2020 if the recovery after the end of the outbreak is solid.

(Reporting by Silvia Recchimuzzi in Gdansk; Editing by Clarence Fernandez, Aditya Soni)