Tiffany and Co. Reports 15% Increase in Sales - May.2008

Tiffany & Co. said that its net sales increased 15 percent in the fiscal year ended Jan. 31, and rose 10 percent in the fourth quarter.

Net sales for the year totaled more than $2.9 billion. On a constant-exchange-rate basis, which excludes the effect of translating foreign-currency-denominated sales into U.S. dollars, net sales increased 13 percent and worldwide comparable store sales rose 7 percent.

Net earnings in the fiscal year increased 20 percent to $303.7 million; compared with $253.9 million during the prior year. But net earnings in the fourth quarter declined 16 percent to $118.25 million, from $140.5 million, in the prior year.

The US was one of the worst markets: There, retail sales increased 4 percent to $527.9 million in the fourth quarter and 11 percent to nearly $1.5 billion in the year due to higher spending per transaction in both periods as well as an increased number of transactions for the year. Same-store sales declined 1 percent in the quarter and increased 7 percent in the year. During the quarter and year respectively, sales in the New York flagship store rose 10 percent and 21 percent (benefiting from higher sales to foreign tourists).  v