The Higher Earnings of Tiffany & Co

The world second largest jewelry retailer, Tiffany & Company posted higher-than-expected quarterly profit Monday as increased sales overseas and new stores helped offset the effect of a weaker American economy.
The shares of the jewelry company jumped more than 13 percent after it also gave a strong earnings outlook for the current fiscal year and forecast robust sales growth in overseas markets other than Japan.
Still, Tiffany maintained a cautious stand on United States sales, as it continued to expect earnings to be pressured in the first and second quarters.
Sales at established United States stores dropped in the key November-December holiday period as shoppers, faced with a weak economy, cut back on purchases of jewelry and other discretionary items.
But domestic sales benefited from scores of tourists, especially from Europe, who took advantage of the weak dollar and shopped actively in stores in New York, San Francisco and Las Vegas.
International sales rose 21 percent during the fourth quarter, which ended Jan. 31.
Tiffany expects net earnings of $2.75 to $2.85 a share for the current year.

TIFFANY & CO. Elsa Peretti Open Heart earrings

TIFFANY & CO.Coin Edge ring

TIFFANY & CO. Tiffany Cushion Two-row bracelet

Tuesday, October 27, 2009