Tiffany (NYSE:TIF) on Wednesday reported quarterly earnings that easily topped analysts’ expectations, but revenue fell short as protests in Hong Kong disrupted the luxury jeweler’s sales.
It also maintained its previously lowered outlook for the full year.
Tiffany reported earnings per share registered at $1.12, compared to the $1.04 expected. Revenue was $1.05 billion, compared to $1.06 billion expected. Global same-store sales were down 4% vs. a drop of 1.3% expected.
Net income for the quarter dropped to $136.3 million, or $1.12 a share, compared with $144.7 million, or $1.17 per share, a year earlier. That was better than expectations for $1.04.
Sales fell to $1.05 billion from $1.08 billion a year ago, short of expectations for $1.06 billion.
According to CEO Alessandro Bogliolo, "With the tough comparison to last year’s strong performance in the first half behind us, and in spite of the headwinds of weak demand from foreign tourists, currency exchange rate pressures and continuing business disruptions in Hong Kong, we are actively managing what is in our control and positioning our brand to win."
Earlier this year, Tiffany trimmed its full-year outlook, citing the impact it will face due to increased tariffs. It also has blamed a strong U.S. dollar and lower spending by tourists as hampering recent results.
For its fiscal year ending Jan. 31, 2020, Tiffany is still calling for net sales globally to increase by a low-single-digit percentage, and for net earnings per share to increase by a low-to-mid-single-digit percentage.
Shares gained $1.22, or 1.5%, to $83.78
