Tiffany & Co. reported that its sales in the first financial quarter, ended April 30, rose 13% year-on-year to $ 1.012 billion, reports Rapaport. The cost of sales for the period increased by 7.7% to $ 422.6 million, and Tiffany's profit jumped 50.2% to $ 125.6 million, or 97 cents per diluted share.
The gross profit margin increased to 58.2% compared to 56.2% in the same period of the previous year. The increase in profits reflected favorable factors affecting the cost of production, as well as higher prices for all categories of goods in all regions of its activities, Tiffany said.
According to the results of the 1st quarter, the retailer reported a 9% increase in sales in comparable stores.
The value of Tiffany's inventory increased 6% to $ 2.42 billion, short-term loans increased by 11% to $ 241 million, while long-term debt decreased by 0.8% to $ 750.8 million.
Tiffany's CEO Michael Jawalco Kowalski) said that the results of the first quarter marked an excellent start to the year, which was characterized by increased sales in most regions and across all product categories. The sales of jewelery continued to grow, especially with the sale of the new ATLAS collection. "
For the reporting quarter, Tiffany & Co. has opened 4 new stores. Until the end of this year, the company plans to open another 13 new stores and close 4 stores.