Tiffany & Co.’s worldwide sales increased 9 percent in the first quarter of 2013—a number the company admitted topped its expectations.
The increase was fueled mostly by strong gains in the Asia-Pacific region. While sales in the Americas rose 6 percent, numbers there were “somewhat softer than expected,” fueled by a growth in average price rather than in unit sales, said vice president of investor relations Mark Aaron on a company conference call.
Aaron said Tiffany had seen a “healthy increase” in engagement jewelry sales and its new Harmony collection. Other strong performers: yellow diamond jewelry, Enchant diamond jewelry, Victoria pieces, Tiffany Keys in diamonds and in gold, Metro designs, and colored diamonds. The company said these collections illustrate its plan to move to higher price points.
Meanwhile, Aaron said, silver jewelry continued to be soft, with diamond jewelry and statement pieces clearly outperforming the price-point-friendly category. The company hopes new marketing will reinvigorate its silver sales.
Some highlights of Tiffany’s financial results for the first quarter of 2013 (ended April 30):
- Worldwide net sales: Up 9% to $895 million
- Net earnings: Up 3% to $84 million
- Sales in Americas region: Up 6% to $408 million
- Sales in Asia-Pacific region: Up 15%
- Sales in Japan: Up 2% to $145 million
- Sales in Europe: Up 6% to $93 million