Harry Winston Bottom Line Keeps Improving in Q3

(IDEX Online News) - Harry Winston Diamond Corporation’s positive trend continued in the third quarter posting an 88 percent jump in consolidated sales in the period ending October 31. Rough diamond sales rose 192 percent to $60.7 million and retail sales increased 48 percent to $80.2 million.

The rise in rough diamond sales resulted primarily from a 182 percent increase in volume of carats sold, the company reported, adding that although rough diamond prices increased approximately 20 percent over the comparable quarter, achieved price increased 4 percent due to a change in ore mix.

The company’s 40 percent share of Diavik yielded 0.71 million carats in the quarter, 115 percent higher than the comparable quarter of the prior year, though production in the same quarter last year was unusually low.

Earnings from retail operations stood at $5.4 million compared to a $0.5 million loss from operations in the same quarter of the prior year.

Consolidated sales totaled $140.9 resulting in earnings from operations of $13.7 million, compared to a $4.9 million loss last year.

Consolidated net income was $3.9 million compared to net loss in the third quarter of 2009. Included in the consolidated net income was a net foreign exchange loss of $3 million primarily on future income tax liabilities compared to a net foreign exchange gain of $1.6 million in the comparable quarter of the prior year.