LensCrafters 2015 Annual Report Download - page 34

Management Report as of December 31, 2015 Page 30 of 35
1 improve transparency for investors;
1 assist investors in their assessment of the Group’s operating performance and its ability to refinance its debt as
it matures and incur additional indebtedness to invest in new business opportunities;
1 assist investors in their assessment of the Group’s cost of debt;
1 ensure that these measures are fully understood in light of how the Group evaluates its operating results and
leverage;
1 properly define the metrics used and confirm their calculation; and
1 share these measures with all investors at the same time.
See the tables below for a reconciliation of the adjusted measures discussed above to their most directly comparable IFRS
financial measures or, in the case of adjusted EBITDA, to EBITDA, which is also a non-IFRS measure. For a reconciliation
of EBITDA to its most directly comparable IFRS measure, see the pages following the tables below:
Non-IAS/IFRS Measure: Reconciliation between reported and adjusted P&L items
Luxottica Group 2015
(in m
illi
ons of Euro
)
Net
sales
Cost
of Sales
EBITDA Operating
Income
Net
Income
Base
EPS
Reported 8,836.6 (2,835.4) 1,853.3 1,376.4 804.1 1.68
-
EyeMed Adjustment
174.3
(174.3)
- Oakley’s integration costs and other
minor projects
0.7 66.4 66.4 49.8 0.10
Adjusted
9,010.8
(3,009.0)
1,919.7
1,442.8
854.0
1.78
Luxottica Group
2014
(in millions of Euro)
Net
sales Cost of Sales
EBITDA Operating
Income
Net
Income
Base
EPS
Reported
7,652.3
(2,574.7)
1,541.6
1,157.6
642.6
1.35
- EyeMed Adjustment 46.6 (46.6)
-
Adjustment for
Former group’s CEOs
20.0
20.0
14.5
0.03
- Adjustment for the accrual for the tax
audit relating to Luxottica S.r.l. (fiscal
years from 2008 to 2011)
30.3 0.06
Adjusted 7,698.9 (2,621.3) 1,561.6 1,177.6 687.4 1.44
EBITDA and EBITDA margin
EBITDA represents net income attributable to Luxottica Group stockholders, before non-controlling interest, provision for
income taxes, other income/expense, depreciation and amortization. EBITDA margin means EBITDA divided by net sales.
We believe that EBITDA is useful to both management and investors in evaluating our operating performance compared to
that of other companies in our industry. Our calculation of EBITDA allows us to compare our operating results with those
of other companies without giving effect to financing, income taxes and the accounting effects of capital spending, which
items may vary for different companies for reasons unrelated to the overall operating performance of a company’s business.
For additional information on Group’s non-IFRS measures used in this report, see “NON-IFRS MEASURES – Adjusted
Measures” set forth above.
EBITDA and EBITDA margin are not meant to be considered in isolation or as a substitute for items appearing on our