Last Update: 10-Jan-13 07:39 ET
Tiffany shares lose their sparkle as shares fall 8% following disappointing guidance
Tiffany & Co (TIF $58.00 -5.26) issued in-line guidance for fiscal year 2013 with EPS of at lower end of $3.20-3.40, excluding non-recurring items, versus the $3.31 Capital IQ Consensus Estimate. The company issued guidance for fiscal year 2014 with EPS of +6-9% YoY, may not be comparable to $3.83 Capital IQ consensus. Worldwide net sales increased 4% to $992 mln. On a constant-exchange-rate basis that excludes the effect of translating foreign-currency-denominated sales into USD, worldwide net sales also rose 4% and comparable store sales were unchanged from the prior year. Sales in the Americas region increased 3% to $516 million in the holiday period. On a constant-exchange-rate basis, total sales increased 2%, and comparable store sales declined 2% in the New York flagship store and in branch stores. Performance was relatively similar across much of the region. Internet and catalog sales rose 4%. Sales in the Asia-Pacific region increased 13% to $187 million. On a constant-exchange-rate basis, total sales increased 11% (due to growth in Greater China and most other markets) and comparable store sales rose 7%. In Japan, total sales of $153 million were 5% below the prior year. However, on a constant-exchange-rate basis, both total sales and comparable store sales rose 1%. -In Europe, sales increased 2% to $119 million due to mixed performances by country. On a constant-exchange-rate basis, total sales also increased 2% and comparable store sales were equal to the prior year. Other sales increased 114% to $17 million, largely reflecting the conversion in July of five TIFFANY & CO. stores in the United Arab Emirates from independently-operated distribution to Company-operated retail stores.
Tiffany & Co (TIF $58.00 -5.26) issued in-line guidance for fiscal year 2013 with EPS of at lower end of $3.20-3.40, excluding non-recurring items,