The group’s stock rose 5.6% to 265.50 euros in early trading as investors reacted to an 11% increase in full-year revenue. Growth accelerated toward the end of the period, reaching an 18% currency-adjusted clip in the final quarter. This momentum was largely underpinned by the sale of more than 7 million pairs of smartglasses last year, a figure that validates the company's bet on wearables as a primary growth engine for the next five years.

Expanding the Medtech Frontier

Beyond consumer electronics, Chief Executive Francesco Milleri and deputy CEO Paul du Saillant are repositioning the firm as a medical-technology powerhouse. The leadership team noted that breakthroughs in myopia management and audiology are expected to complement the group's dominance in the fashion sector. While the company declined to provide specific numerical targets for its new midterm guidance, it anticipates "solid growth" in total revenue through the end of the decade.

However, the transition to tech-heavy hardware has introduced new financial pressures. The adjusted operating margin contracted to 16.0% in 2025 from 16.7% the previous year, a decline attributed to the lower margins associated with smart devices and the impact of U.S. import tariffs. Analysts at Bernstein cautioned that the buzz surrounding wearable tech must be weighed against potential competition and the "cannibalization" of the company’s traditional high-margin frames.

Despite the margin dip, analysts at Citi suggested that the alignment of future operating earnings with revenue growth should soothe investor anxieties regarding long-term profitability. The company remains confident that its iconic brand portfolio will act as a primary driver of demand as the AI-glasses revolution matures.