Tiffany (NYSE:TIF) shares lost some ground Thursday after the luxury jeweler reported earnings and revenue that fell short of analyst expectations.
In the third quarter ended Oct. 31, Tiffany said net income decreased by 17% to $78 million, or 65 cents per share, from $95 million, or 77 cents per share, a year earlier. Analysts were expecting Tiffany to earn 85 cents per share in the quarter.
Revenue was unchanged at $1.015 billion from a year earlier, but lower than the $1.037 billion analysts were expecting. Same store sales were also unchanged from a year earlier, compared with the growth of 1.4% analysts were expecting.
Excluding Hong Kong, where anti-government protests has disrupted commerce, Tiffany said worldwide net sales and sales at stores open at least a year increased by 4% and 3%, respectively, from the prior year.
The earnings report came a week after French luxury giant LVMH reached a deal to acquire Tiffany for $16.2 billion, or $135 a share, in cash. The boards of both companies approved the deal and the transaction is expected to close in the middle of 2020, subject to approval from Tiffany’s shareholders and regulatory approvals.
After the luxury jeweler reached the deal with LVMH, it said in a filing with the Securities and Exchange Commission it would no longer be providing guidance.
Tiffany shares lopped off 19 cents to $133.53
