In November 2012, we installed an L-band annular groove phase mask (AGPM) vector vortex coronagraph (VVC) inside NACO, the adaptive optics camera of ESO's Very Large Telescope. The mask, made out of diamond subwavelength gratings has been commissioned, science qualified, and is now offered to the community. Here we report ground-breaking on-sky performance levels in terms of contrast, inner working angle, and discovery space. This new practical demonstration of the VVC, coming a few years after Palomar's and recent record-breaking lab experiments in the visible (E. Serabyn et al. 2013, these proceedings), shows once again that this new-generation coronagraph has reached a high level of maturity.