Watches Contribute to Birks’ Strong Holiday Sales Results

(IDEX Online News) – Holiday season sales at Birks Group Inc. rose 7 percent on a consolidated basis compared to the 2013 holiday period. US comparable store sales increased 11 percent, while Canadian comparable store sales grew by 3 percent.

The company said the growth in comparable store sales in the US was primarily the result of increasing its average sales transaction, which it put down to the success of its watch brand sales strategy and client acquisition strategies as well as the impact of higher sales in stores renovated in the past two years.

In Canada, the company said the rise was due primarily to increasing the number of sales transactions as well as its decision to introduce new watch brands and expand its Birks fine jewelry and select fine jewelry brands.

Total consolidated net sales for the third quarter of fiscal 2015 increased 3.2 percent or $3.1 million, to $97.6 million, compared to $94.5 million during the third quarter of fiscal 2014.

The company said the increase in total net sales reflects the higher comparable store sales of 11 percent, which was partially offset by $3.8 million of lower reported sales related to translating its Canadian sales into US dollars due to the weaker Canadian dollar. In addition, the company cited $1.5 million of lower sales related to operating four fewer stores due to its decision to focus on its more productive stores and close underperforming store locations.

The Birks group operates 28 stores under the Birks brand in Canada, 18 stores in the Southeastern US under the Mayors brand, one store under the Rolex brand name and two retail locations in Calgary and Vancouver under the Brinkhaus brand.