MILAN —Despite a double-digit drop in third-quarter net income, and sales performance in the quarter that was up less than 1 percent, Luxottica Group's (NYSE: LUX) chief executive officer, Andrea Guerra, said today during a conference call with financial analysts that he feels the worst is over in terms of the worldwide recession.

"We look to 2010 in a realistic way, but with positive eyes," Guerra declared. He acknowledged, however, that the first nine months of 2009 were "the toughest in the last decade" for the company, in part because more than 60 percent of Luxottica's business comes from the hard-hit U.S.

Next year, "We want to be back to normal —we want organic growth, we want mid-single-digit growth in sales, we want strong growth in profitability," Guerra said. But because of the lingering economic problems impacting the overall retail business in North America, he predicted more overall growth will come from Luxottica' wholesale segment in 2010 than from its retail operations.

In 2009's third quarter ended Sept. 30, Luxottica's total sales rose 0.9 percent to €1,223.3 million (but were down 1.4 percent at constant currency rates). Net income fell 20.6 percent in Q3, to €83.1 million.

The company's wholesale segment had net sales in the period of €429.8 million, a 0.1 percent decline (down 0.3 percent at constant currency rates). Wholesale operating income fell 11.4 percent in Q3, to €62 million.

Guerra cited as particularly strong sales in the quarter of its Ray-Ban, Oakley and Chanel brands.

Retail sales were up 1.5 percent in Q3 (but were off by 2.1 percent at constant currency rates). Optical comparable store sales in North America fell by 1.7 percent in the period, while comp-sales in the Asia Pacific region were "substantially stable." Retail operating income was €114 million, down 17.6 percent.

Guerra said sales through Luxottica's LensCrafters stores have been negatively impacted this year by "a perfect storm" of economic factors, although the chain is already showing improvement. While not providing specific Q3 comp-store sales for LensCrafters, a company announcement said Luxottica Retail's Sears Optical and Target Optical licensed locations together showed a 16 percent improvement in comp sales in Q3, while Pearle Vision's comp sales edged up 0.3 percent in the period. Guerra noted that Sunglass Hut's sales worldwide are improving, although that group reported a 5.6 percent decline in comp sales in the third quarter.