Sales at Birks Group slipped 3.2% year on year for the nine weeks ending December 25 amid softer November spending and an uncertain economic situation.
The Canada-based jeweler attributed the lack of shoppers in the earlier part of the holiday period to “consumer prudence” and rising inflation and interest rates. However, solid traffic in December partially offset November’s slower result, the company said Monday. During the final month of the year, branded timepieces and jewelry were strong sellers.
The drop in revenue was also the result of an unfavorable comparison with the last two years, when sales of luxury goods surged during Covid-19, Birks explained. Sales for the season rose 15% versus the same nine weeks of 2019.
“Our sales teams have delivered positive results this holiday period when considering the current macroeconomic environment, including comparable-store sales growth in the month of December,” said Birks CEO Jean-Christophe Bédos. “Furthermore, the increase…in comparable-store sales vs [2019] is an important achievement that demonstrates the continued success of our long-term strategies, on which we remain focused as we continue to position ourselves for long-term success.”
Image: A Birks store in Vancouver, Canada. (Shutterstock)
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