Moissanite distributor Charles & Colvard reported a 20 percent increase in sales in its first quarter of 2018 (ended March 31) to hit $6.8 million.
However, the company, after posting a profit in the final quarter of 2017 (its first since 2013), posted a $600,000 loss for the first quarter 2018, flat with the prior year.
Overall online sales increased 40 percent, which means that cyber sales now constitute 45 percent of its net sales. President and CEO Suzanne Miglucci credited the rise, in part, to the product’s increased exposure on marketplaces Wish, Zulily, and Cartera, as well as the company receiving Seller Fulfilled Prime status on Amazon.
Sales of loose stones fell 10 percent, but sales of finished jewelry rose 89 percent.
In a conference call following the release of the financial results, Miglucci said that it plans to do “aggressive marketing” of the created stones in months to come, according to a SeekingAlpha transcript.
She notes that the product was recently featured on Megyn Kelly Today, and has tied its efforts in with a number of charities, including The Nature Conservatory, an environmental group, and She Should Run, a group that encourages women to run for public office.
When a caller asked about the product going “off-patent,” Miglucci portrayed it as a plus.
“There is moissanite competition coming to market,” she said. “And we’re seeing it where we were several years ago. We’re not necessarily seeing competitive color in that clear stone [that is] the quality that we can bring forward.… [We are] certainly not seeing quality of stone when it comes to the fastening of the stone, the polish, and that finishing that we have spent 22 years perfecting at Charles & Colvard.
“We love that the competition is now creating buzz about moissanite,” she added. “And so we have organizations other than just Charles & Colvard now, speaking to the markets and bringing forward an awareness and a buzz around the beauties of the value of this gemstone.”
Image of She Should Run bracelet courtesy of Charles & Colvard