MILAN–In a presentation to financial analysts on Thursday last week, Luxottica Group [NYSE:LUX] reconfirmed its full-year guidance and profit outlook–excluding the impact of the dollar–for fiscal 2008.

Luxottica’s CEO, Andrea Guerra, said the company was experiencing an improvement due to cost-cutting initiatives and said it saw mid-single digit growth in second quarter sales at current exchange rates, despite tough market conditions.

The company’s detailed second fiscal quarter results will be reported on July 31st.

Executives said that operating margins for its retail businesses fell 1.5 percentage points in the second quarter compared with a pro forma margin of 12.4 percent a year earlier to include the acquisition of Oakley Inc. carried out in Nov. 2007. They noted this was an improvement compared to the company’s previously reported first quarter, where the operating margin for retail had dropped 3.2 percentage points. Meanwhile, the operating margin of Luxottica’s wholesale business shrunk 0.50 percentage points from a pro forma 25.3 percent a year earlier, due one-time costs linked to the restructure of the business with Oakley, mainly in Europe. Guerra also noted that while sales in most of Europe and emerging markets were strong, there had been a recent slowdown in Spain and Italy, due to poor weather conditions and the tougher economic environment. For its first fiscal quarter 2008, the company saw net profit fall 19 percent. The Group has forecast sales of €5.6 billion to €5.75 billion this year.

Guerra told analysts, “We explained that Q2 would be the quarter most affected by one-time restructuring charges–led by changes in Europe and in emerging markets. This has happened. I am much more comfortable today than four months ago, dealing with these tough times, cost base and efficiency.”