On the rise: Tiffany reports third quarter increase
by emily_smibert | December 1, 2016 9:46 am
The numbers are in, and it looks like Tiffany & Co. will maintain its earnings projections. The luxury brand reported a third quarter worldwide net sales increase of one per cent with net earnings also increasing by five per cent, or $0.76 per diluted share from $0.70. Though worldwide net sales did not change from last year for the quarter, comparable store sales were down three per cent.
“We are encouraged by some early signs of improvement in sales trends, but we clearly need more positive data over time before this can be considered an inflection point,” says Tiffany CEO, Frederic Cumenal. “As the global environment continues to reflect economic and other challenges that we believe are continuing to affect customer demand, it is more important than ever that we remain focused on strategies to deliver extraordinary products and experiences to our customers.” Cumenal adds, “We’ve added exciting new designs across our jewelry and watch categories and are pleased with initial customer response.”
For the year, Tiffany’s net sales of $2.8 billion remain four per cent below the prior year, while comparable store sales are down six per cent.
Despite the increase, managing officials maintain their full 2016 fiscal outlook. Here are the projections:
- A net sales decrease of a low single-digit percentage
- Earnings per diluted share decrease by a mid-single-digit percentage
- A net cash provided by operating activities of at least $660 million
- Free cash flow of $400 million
The company’s holiday season report will be made available Jan. 17, 2017.
Source URL: https://www.jewellerybusiness.com/news/on-the-rise-tiffany-reports-third-quarter-increase/