LensCrafters 2012 Annual Report Download - page 129

| 43 >MANAGEMENT REPORT - APPENDIX
NON-IFRS MEASURES
ADJUSTED MEASURES
We use in this Management Report certain performance measures that are not in
accordance with IFRS. Such non-IFRS measures are not meant to be considered in
isolation or as a substitute for items appearing on our financial statements prepared
in accordance with IFRS. Rather, these non-IFRS measures should be used as a
supplement to IFRS results to assist the reader in better understanding our operational
performance.
Such measures are not defined terms under IFRS and their definitions should be carefully
reviewed and understood by investors. Such non-IFRS measures are explained in detail
and reconciled to their most comparable IFRS measures below.
In order to provide a supplemental comparison of current period results of operations to
prior periods, we have adjusted for certain non-recurring transactions or events.
We have made such adjustments to the following measures: operating income and
operating margin, EBITDA, EBITDA margin and net income by excluding non-recurring
costs related to the reorganization of the retail business in Australia of Euro21.7 million,
Euro15.2 million net of tax benefit , and a non-recurring accrual for the tax audit relating
to Luxottica S.r.l. (Fiscal Year 2007) of approximately Euro10.0 million.
The Group believes that these adjusted measures are useful to both management and
investors in evaluating the Group’s operating performance compared with that of other
companies in its industry because they exclude the impact of non-recurring items that are
not relevant to the Group’s operating performance.
The adjusted measures referenced above are not measures of performance in accordance
with International Financial Reporting Standards as issued by the International Accounting
Standards Board (IFRS). We include these adjusted comparisons in this presentation in
order to provide a supplemental view of operations that excludes items that are unusual,
infrequent or unrelated to our ongoing core operations.
See the tables hereinafter for a reconciliation of the adjusted measures discussed above to
their most directly comparable IFRS financial measure or, in the case of adjusted EBITDA,
to EBITDA, which is also a non-IFRS measure. For reconciliation of EBITDA to its most
directly comparable IFRS measure, see the pages following the tables that follows.