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Like Signet, Tiffany Also Reports Disappointing Holiday Sales


Nov. 20 2020, Updated 4:24 p.m. ET

Sales details

On January 18, Tiffany (TIF) reported weaker-than-expected sales numbers for the key holiday season (two-month period ended December 31). Tiffany’s worldwide net sales decreased 1% on a YoY basis. Meanwhile, comparable sales fell 2%. Weak tourist spending, primarily Chinese tourists, and a decline in demand from local customers in the Americas and Europe negatively affected the top line. However, on a constant-currency basis, Tiffany’s worldwide net sales and comps remained flat YoY. Tiffany’s worldwide net sales rose 8% during the holidays in 2017.

Signet Jewelers (SIG) also posted sluggish holiday sales results yesterday, after which its stock closed 24.6% lower on January 17. Weak holiday sales led management to lower full-year sales and EPS guidance.

Macroeconomic challenges and unfavorable currency rates are adversely impacting tourist spending. Meanwhile, heightened competition and promotions remain a drag on profitability.

Tiffany’s net sales fell 1% in the Americas region, 3% in the Asia-Pacific region, and 4% in the European region. Meanwhile, net sales grew 4% in Japan. Other net sales fell 11%, owing to lower comps in UAE.

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Tiffany’s management expects its worldwide net sales to increase by 6%7% in fiscal 2018. Earlier, management expected high-single-digit growth in its net sales. Tiffany now expects its full-year EPS to be at the low end of its earlier guidance range of $4.65–$4.80 per diluted share.


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