Largest US Jewelry Retailers Report Holiday Sales
Largest US Jewelry Retailers Report Holiday Sales
Analysts have been waiting for the holiday sales results for an indication of the strength of the jewelry market in the United States.
Zale Corporation, one of the biggest American jewelry retailers, reported that comparable store sales were up 2.0 percent at constant exchange rates for the November-December holiday season.
The increase follows a 1.6 percent rise at constant exchange rates, or a 2.3 percent increase on a U.S. dollar reported basis, in the previous year period.
Revenues for the two-month period were down slightly at $556 million compared to $567 million in the same period last year.
“During the holiday period, we maintained our focus on increasing exclusive product penetration, driving gross margin improvement and building our core national brands,” said 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.”
Meanwhile, Signet Jewelers Ltd. reported that same-store sales rose 5 percent on the year for the eight weeks that ended on December 28.
Total sales during the eight week period increased 7.7 percent to $1.28 billion, while ecommerce sales jumped by 25 percent in the U.S. and by 37 percent in the U.K.
At upscale American jeweler Tiffany & Co, there was a 6-percent increase in comparable store sales during the holiday shopping period.
Tiffany reported an 8-percent jump in net sales rose in the vital November-December sales season.
Sales in the Americas, which accounts for nearly 50 percent of total revenue, rose by 6 percent in November-December to $550 million. Overall revenue for the period edged up 4 percent to $1.03 billion.
Tiffany & Co CEO Michael J. Kowalski said, “Tiffany enjoyed a good holiday season with overall sales results in line with our expectations, and we were pleased to see growth across our fine and statement, engagement and fashion jewelry categories. Based on these sales results and related margins, we expect that full year earnings before certain charges will meet the most recent forecast we provided in November.”
