Mixed holiday results for jewelry retailers
Jewelry retailers had mixed sales results during the crucial holiday period.
Tiffany & Co. reported that worldwide net sales in the two months ended Dec. 31 increased 4% to $1.03 billion. Total sales in the Americas region rose 6% to $550 million.
Same-store sales rose 7% due to broad-based sales growth across most of the region. Tiffany is now offering guidance of earnings per diluted share expected to be in a range of $1.27-$1.37 for the fiscal 2013 ending January 31, 2014.
“Tiffany enjoyed a good holiday season with overall sales results in line with our expectation, and we were pleased to see growth across our fine and statement, engagement and fashion jewelry categories,” said Tiffany chairman and CEO Michael J. Kowalski.
Meanwhile, Zales saw revenues for the two-month 2013 holiday period fall 2% to $556 million from $567 million in the same period the prior year. Zale said the decrease in revenues is primarily due to the net decrease of 91 stores compared to last year and a decline in the Canadian exchange rate, partially offset by 2% overall same-store sales growth including e-commerce sales.
“During the holiday period, we maintained our focus on increasing exclusive product penetration, driving gross margin improvement and building our core national brands," said Zale CEO Theo Killion. "We executed a solid holiday season despite a challenging retail environment. Our holiday performance gives us confidence we can achieve our financial expectations for the fiscal year."