SourcingApr 18, 2024
Diamond Trade Remains Cautious Amid Economic UncertaintyDe Beers’ rough diamond sales were down 18 percent year-over-year in its latest round of sales.
FinancialsNov 27, 2018
Sales Increase but Losses Widen for Birks
Same-store sales rose 4 percent but losses increased for the retailer, which is sinking money into a five-year turnaround plan.
An already-remodeled Birks store in Yorkdale, Ontario. Parent company Birks Group is in the early stages of a five-year turnaround plan that includes the renovation of its three flagship locations, in Toronto, Vancouver and Montreal.
Montreal—Canadian retailer Birks Group reported an uptick in same-store and total sales in its second quarter results released earlier this month.
Same-store sales for the 26-week period ended Sept. 29 were up 4 percent year-over-year.
Excluding sales from the company’s Toronto flagship store, which has been moved to a temporary location while the building it was in undergoes a renovation, comps rose 7 percent.
The jeweler reported a “significant” increase in sales of Birks-branded jewelry, engagement rings and wedding bands, as well as third-party brand watches. TAG Heuer, Patek Philippe, Rolex, Tudor and Breitling are among the brands the retailer carries.
Net sales totaled CA$68.7 million ($58.1 million), up 6 percent over last year.
The retailer attributed the increase in net sales to the reopening of its recently remodeled flagship store in Montreal, an increase in online sales and successful targeted marketing campaigns, though it took a hit from lower sales at stores still under construction, like the Toronto flagship.
Birks Group President and CEO Jean-Christophe Bédos called the successful reopening of the Montreal store a “promising sign of things to come,” as the retailer also is in the process of remodeling its flagship store in Vancouver and expects the Toronto store renovations to be done by the fourth quarter of this fiscal year. (Birks’ fiscal year runs April 1 to March 31.)
Gross profit dipped from 40 percent of net sales to 38.4 percent of net sales due to more sales of third-party brand watches and Birks doing promotions to get rid of inventory that’s not selling.
Operating loss widened from $5.9 million to $8.5 million.
Montreal-based Birks Group is in the early stages of a five-year turnaround plan announced in July that focuses on renovating flagship stores, upgrading its website and integrating it with the in-store experience, and emphasizing Birks-branded product.
Bédos said the company’s latest quarterly results are “reflective of this fact.”
“We are pleased with the sales growth experienced during the period, especially the performance of the underlying retail business, which benefited from the impact of the fully renovated Montreal flagship store … We remain confident that the execution of our strategic initiatives will lead to long-term value creation.”
Birks operates 26 stores under the Birks brand across Canada and a Brinkhaus store in Calgary, as well as one Patek Philippe and one Graff store in Vancouver.
The retailer used to own and operate
the Mayors chain of jewelry stores in Florida and Georgia but sold the chain to U.K company Aurum Holdings Ltd. in October 2017. Birks used the money from the sale to pay down debt and secure fresh financing.
Birks Group ranked No. 27 on National Jeweler’s list of North America’s top jewelry sellers in the 2018 State of the Majors report, falling just behind Swarovski and ahead of Kohl’s.
Birks Group ranked No. 27 on National Jeweler’s list of North America’s top jewelry sellers in the 2018 State of the Majors report, falling just behind Swarovski and ahead of Kohl’s.
More on Financials
The Latest
Supplier BulletinApr 18, 2024
Discover History’s Hidden Gems at the Las Vegas Antique Jewelry & Watch ShowSponsored by the Las Vegas Antique Jewelry & Watch Show
WatchesApr 18, 2024
Watch E-tailer Collectability Hires Kelly YochThe Patek Philippe expert will serve as personal curator for the brand-focused company.
Brought to you by
The Blueprint for Success in Scalable, Personalized Jewelry RetailWith Ho Brothers, you can unlock your brand's true potential and offer customers the personalized jewelry experiences they desire.
WatchesApr 18, 2024
TAG Heuer Opens Its Largest Standalone Boutique at SeaThe 553-square-foot shop is aboard the Carnival Jubilee cruise ship.
Weekly QuizApr 11, 2024
This Week’s QuizTest your jewelry news knowledge with this seven-question quiz.
Policies & IssuesApr 17, 2024
NDC Prevails in U.K. Case Over Lab-Grown Diamond AdvertisingNDC filed a complaint against Skydiamond for use of phrases like “diamonds made entirely from the sky.”
Events & AwardsApr 17, 2024
And the 2024 Winner of the Shipley Award Is … John Carter received the AGS’s highest honor Tuesday afternoon at Conclave in Austin, Texas.
Brought to you by
How Jewelers of America Represents Your BusinessFor over 30 years, JA has advocated for the industry, fought against harmful legislation and backed measures that help jewelry businesses.
MajorsApr 17, 2024
Stuller’s B&D Opens New HeadquartersB&D Sales and Service held a ribbon-cutting event for its new location in Cranston, Rhode Island.
CollectionsApr 16, 2024
Akaila Reid Launches ‘Eat Cake’ CollectionIt’s ultra-feminine and filled with gold, pearls, and soft pastels.
MajorsApr 16, 2024
Loudr Adds 2 DirectorsEmily Highet Morgan and Emily Bennett have joined the agency’s team.
MajorsApr 16, 2024
Stuller Releases First Lab-Grown Diamond Jewelry CatalogIts updated book for mountings is also now available.
SourcingApr 16, 2024
Karen Rentmeesters Takes Over as Interim CEO of AWDCShe has been with the organization since 2010, most recently serving as its chief officer of PR and industry relations.
TechnologyApr 15, 2024
Judge Rules Jeweler’s Lawsuit Against PNC Bank Can Move ForwardJoyce’s Jewelry sued the bank after cybercriminals drained its accounts of nearly $1.6 million through a series of wire transfers.
IndependentsApr 15, 2024
Alfred W. DeScenza of DeScenza Diamonds Dies at 95He is remembered by loved ones for his loyalty, integrity, and kindness.
AuctionsApr 15, 2024
Madeleine K. Albright Jewelry, Pins Coming to AuctionHosted by Freeman’s | Hindman, the sale will take place May 7-8.
AuctionsApr 15, 2024
All of Sotheby’s ‘Rough Diamonds’ Sold in Less Than an HourThe auction house said all 24 timepieces offered in its underground sale of rare and avant-garde watches quickly found buyers.
Events & AwardsApr 15, 2024
10 Can’t-Miss Sessions at AGS Conclave 2024From lab-grown diamonds and AI to the inevitable Taylor Swift mention, here are some of Conclave’s most intriguing educational offerings.
Recorded WebinarsApr 12, 2024
Watch: What Jewelers Need to Know About InsuranceFrom cybersecurity liability to trade show coverage, insurance experts share tips on how to build the right policy.
CollectionsApr 12, 2024
Piece of the Week: Lionheart’s Evil Eye Gemstone CharmThe charm is a modern rendition of the evil eye amulet that has been worn for thousands of years.
Events & AwardsApr 12, 2024
The Jewelry Symposium Announces 4 Scholarship WinnersAhead of its trade show next month, TJS awarded free registration and accommodations to one jewelry professional and three students.
Policies & IssuesApr 11, 2024
SRK Exports’ Journey Toward Net Zero Impact By the end of this year, SRK’s diamond manufacturing complexes will achieve net zero emissions, one of an impressive array of achievements.
Lab-GrownApr 11, 2024
AGTA Bans Lab-Grown Diamonds, Gemstones at GemFairMembers can still sell lab-grown stones, it said, but only natural gems are allowed on the show floor.
IndependentsApr 11, 2024
Steven Rosdal, Co-Founder of Hyde Park Jewelers, Dies at 77He is remembered for his charisma, passion, integrity, kindness, and wit.
MajorsApr 11, 2024
Macy’s Opens Books for Possible BuyoutThe retailer also appointed two new board members, avoiding a proxy fight from a potential buyer.
CollectionsApr 10, 2024
Sylvie Launches New Nature-Inspired Collection, ‘Tulira’The bridal collection consists of 35 engagement rings and seven wedding bands.
WatchesApr 10, 2024
These Are Rolex’s New Watches for 2024 The crown introduced a dozen timepieces in Geneva, including a heavy metal version of its deep-sea divers’ watch.
