Financials

Tiffany Sees Q4 Sales Bump, Braces for Coronavirus Hit

FinancialsMar 20, 2020

Tiffany Sees Q4 Sales Bump, Braces for Coronavirus Hit

The jeweler’s main focus is preparing to weather the coronavirus pandemic, said CEO Alessandro Bogliolo.

2018_Tiffany-True.jpg
The Tiffany True engagement ring in platinum with a square mixed-cut diamond and in 18-karat yellow gold with a yellow diamond. The jeweler’s engagement jewelry sales were down 2 percent in its recent full-year results, but gold and diamond jewelry sales boosted its bottom line.

New York—Tiffany & Co. reported an increase in sales in the fourth quarter as gold and diamond jewelry boosted its balance sheet, but the coronavirus outbreak looms large as many of the retailer’s stores remain closed.

Worldwide net sales in the fourth quarter rose 3 percent to $1.36 billion, compared with $1.32 billion a year ago. Same-store sales were also up 3 percent.

Net sales for the full year clocked in at $4.44 billion, a slight increase compared with $4.42 billion a year ago, while same-store sales were unchanged.

“Our primary focus now is on preparing our company, business and communities for the COVID-19 pandemic and the return to normal operations,” CEO Alessandro Bogliolo said in a press release.

Tiffany’s stores in the United States and Canada have been closed temporarily as the countries grapple with the coronavirus outbreak.

In mainland China, the jeweler has lost half of its normal selling days since Jan. 24.

Looking at the jeweler’s fourth-quarter performance region by region, in the Americas, where the most Tiffany stores are located, net sales in the fourth quarter were up 4 percent to $640 million with same-store sales up 3 percent as local customers increased spending.

Full-year sales slipped 2 percent to $1.9 billion with same-store sales also down 2 percent. The dip in sales was attributed to lower spending by foreign tourists.

In the Asia-Pacific region, fourth-quarter net sales were up 8 percent to $342 million with same-store sales climbing 7 percent. For the full year, net sales were up 2 percent to $1.3 billion with same-store sales down 1 percent.

The company experienced “significant disruptions” in the Hong Kong market due to political unrest but double-digit growth in mainland China in the fourth quarter and the full year offset that.

European sales rose 4 percent to $168 million in the fourth quarter with same-store sales up 5 percent. For the full year, sales dipped 1 percent to $498 million with same-store sales down 1 percent.

In Japan, sales dipped 8 percent in the quarter to $180 million, which Tiffany said reflected a change in Japan’s consumption tax, with same-store sales also down 8 percent.

Full-year sales in Japan were up 1 percent to $650 million with same-store sales unchanged.

Sales from the “other” segment, which includes five Tiffany stores in the United Arab Emirates, fell 9 percent to $26 million in the quarter while same-store sales were up 11 percent.

Full-year sales were down

2 percent to $94 million with same-store sales down 9 percent, with the dip attributed to a decrease in wholesale sales of diamonds.

By category, sales from Tiffany’s jewelry collections, which includes lines like “Paper Flowers,” were up 2 percent while engagement jewelry sales dipped 2 percent.

The “Tiffany T” collection as well as its high jewelry were the sales drivers, the jeweler said, while sales of jewelry from designers Elsa Peretti, Paloma Picasso and Tiffany & Co. Schlumberger fell 6 percent

Bogliolo attributed growth in the fourth quarter to the company’s focus on “elevating our sales mix toward higher-value items within each jewelry product category, with the largest growth being in our gold and gold and diamond offerings.”

The higher price points of the gold and diamond offerings contributed to a 10 percent year-over-year increase in overall average unit retail price.

Highlights of Tiffany’s year include the addition of colorful pieces to its “Tiffany T” collection, a new men’s collection, the launch of his and hers Tiffany & Love fragrances, and the “Very, Very Tiffany” holiday campaign and catalog featuring luxe, high-ticket gift items.

As of Jan. 31, there were 326 Tiffany stores in operation worldwide, including 124 in the Americas. Nine stores opened and four closed this fiscal year.

Tiffany did not provide guidance for the year ahead as its acquisition by luxury titan LVMH is still pending.
Lenore Fedowis the senior editor, news at National Jeweler, covering the retail beat and the business side of jewelry.

The Latest

Bulgari’s expanded factory in Valenza, Italy
MajorsApr 23, 2025
Bulgari Doubles Size of Jewelry Factory in Italy

Located in Valenza, the now 355,000-square-foot facility includes a new jewelry school that’s open to the public, Scuola Bulgari.

Jason McNary accepting FGI Fine Jewelry Rising Star award for Paola Sasplugas
Events & AwardsApr 23, 2025
PDPaola Creative Director Wins FGI’s ‘Rising Star’ Award

Paola Sasplugas, co-founder of the Barcelona-based jewelry brand, received the Fine Jewelry Award.

1999 Cosmograph Daytona, Ref.16516
AuctionsApr 23, 2025
Rare Custom Rolex Daytona Heads to Auction

A platinum Zenith-powered Daytona commissioned in the late ‘90s will headline Sotheby’s Important Watches sale in Geneva next month.

gia1d100 btyb.jpg
Brought to you by
Protect Your Customers and Your Business

The risk of laboratory-grown diamonds being falsely presented as natural diamonds presents a very significant danger to consumer trust.

Carmelo Anthony and Jaylen Brown David Yurman campaign
MajorsApr 23, 2025
David Yurman’s New Campaign Stars Carmelo Anthony, Jaylen Brown

The basketball stars wear men’s jewelry from the “Curb Chain” collection.

Weekly QuizApr 18, 2025
This Week’s Quiz
Test your jewelry news knowledge by answering these questions.
Take the Quiz
Woman wearing Zales jewelry
MajorsApr 22, 2025
Zales’ Rebrand Takes Playful Approach to Fine Jewelry

The Signet Jewelers-owned retailer wants to encourage younger shoppers to wear fine jewelry every day, not just on special occasions.

JAR Apricot Blossom bracelet
AuctionsApr 22, 2025
Christie’s to Auction JAR Jewelry Collection

The 21 pieces, all from a private collector, will be offered at its Magnificent Jewels auction next month.

gia-topimage 0325.jpg
Brought to you by
A Brilliant Future Is Here

Get online education from GIA experts.

National Jeweler columnist Lilian Raji
ColumnistsApr 22, 2025
The PR Adviser: Building Buzz Through Word of Mouth

Lilian Raji answers a question from a reader who is looking to grow her jewelry business but has a limited marketing budget.

Avi Levy
GradingApr 22, 2025
Avi Levy Is GCAL By Sarine’s New Chief Growth Officer

GCAL by Sarine created the new role to sharpen the company’s focus on strategic partnerships and scalable expansion.

Scottsdale Fine Jewelers store exterior
IndependentsApr 22, 2025
Brinker’s Jewelers Acquires Fellow Independent

The Indiana jeweler has acquired Scottsdale Fine Jewelers in Scottsdale, Arizona.

Cartier Exhibition Installation at Victoria & Albert Museum
Events & AwardsApr 21, 2025
An Exhibition Exploring the History of Cartier Is Now on Display

“Cartier: Design, Craft, and Legacy” opened earlier this month at the Victoria and Albert Museum in London.

Bill and Birdie Levine of Van Cott Jewelers
IndependentsApr 21, 2025
New York Jeweler to Close After 111 Years

Van Cott Jewelers in Vestal, New York, is hosting a going-out-of-business sale.

IJO Director Samantha Larson
IndependentsApr 21, 2025
IJO Names New Director of Vendor Relations, Merchandise Strategy

Industry veteran Samantha Larson has held leadership roles at Borsheims, McTeigue & McClelland, Stuller, and Long’s Jewelers.

Events & AwardsApr 21, 2025
Jewelers of Louisiana, Mississippi Jewelers Association to Co-Host Convention

The two organizations will hold the educational event together this fall in Mississippi.

Daymond John
Events & AwardsApr 18, 2025
Daymond John to Give Keynote at JCK Las Vegas

The entrepreneur and “Shark Tank” star will share his top tips for success.

Dukachi Easter Bread Pendant
CollectionsApr 18, 2025
Piece of the Week: Dukachi’s ‘Easter Bread’ Pendant

The Ukrainian brand’s new pendant is modeled after a traditional paska, a pastry often baked for Easter in Eastern European cultures.

Bremer Jewelry
IndependentsApr 18, 2025
Bremer Jewelry to Reveal Renovated Store

The jeweler has announced a grand reopening for its recently remodeled location in Peoria, Illinois.

Tiffany & Co. Strong Like Mom campaign
MajorsApr 18, 2025
Tiffany & Co. Employees Star in Mother’s Day Campaign

The “Strong Like Mom” campaign features moms who work at Tiffany & Co. and their children.

Athena Calderone x John Hardy Collection
CollectionsApr 17, 2025
John Hardy, Athena Calderone Partner on Art Deco Decor-Inspired Collection

Interior designer Athena Calderone looked to decor from the 1920s and 1930s when crafting her first fine jewelry collection.

Natural Diamond Council Diamond Learning Center Graphic
Lab-GrownApr 17, 2025
NDC Launches Its Diamond Learning Center

The free program provides educational content for jewelry salespeople and enthusiasts to learn or refresh their diamond knowledge.

Jewelers of America logo
Policies & IssuesApr 17, 2025
Jewelers of America Requests Tariffs Testimonials from Members

The feedback will be used to prepare other jewelers for the challenges ahead, the organization said.

Technology Therapy Group logo
TechnologyApr 17, 2025
Technology Therapy Group Expands AI Training for Jewelry Retailers

The online sessions are designed to teach jewelers to use AI tools like ChatGPT and Claude to grow their business.

Catbird Chicago
IndependentsApr 16, 2025
Catbird Expands to Chicago

The opening marks the jewelry retailer’s first location in the Midwest.

Foundrae United in Love Campaign
CollectionsApr 16, 2025
Foundrae’s First Commitment Jewelry Collection Unites Through Love

The “United in Love” collection offers tangible mementos of hearts entwined with traditional and non-traditional commitment heirlooms.

Robert and Rose-Marie Goodman outside Robert Goodman Jewelers
IndependentsApr 16, 2025
Indiana Jeweler to Host Black Jewelry Designer Pop-Up

Robert Goodman Jewelers will hold a “Black Jewelry Designers and Makers” event on April 27.

Womens Jewelry Association WJA logo
MajorsApr 16, 2025
WJA Announces Board Members, New Chicago Chapter President

The announcements follow a tumultuous start to 2025 for WJA, which saw a wave of resignations following controversial statements about DEI.

×

This site uses cookies to give you the best online experience. By continuing to use & browse this site, we assume you agree to our Privacy Policy