Categories AlphaGraphs, Earnings, Retail

Earnings preview: What to expect when Tiffany reports Q1 2019 results

Tiffany & Co. (NYSE: TIF) is scheduled to report first quarter 2019 earnings results on Tuesday, June 4, before market open. Revenue is expected to dip down by 1.3% to $1.02 billion while earnings is estimated to decline over 11% to $1.01 per share. Looking at the past four quarters, Tiffany has topped earnings forecasts three times.

Tiffany is likely to face pressures on its top line during the first half of 2019 from weak demand among local customers as well as negative impacts on tourist spending due to strength in the US dollar. The threat from tariffs due to the ongoing US-China trade war also looms over the company.   

Tiffany has been investing significantly in business growth initiatives which could help improve revenues going forward but in the meantime, the higher expenses could weigh on earnings.

For the fourth quarter of 2018, Tiffany beat earnings expectations but missed the mark on revenues. Both net sales and comparable sales dropped 1% due to lacklustre holiday results. Earnings jumped to $1.67 per share from $0.50 per share in the prior-year period helped by a lower tax rate.

Tiffany & Co (TIF) fourth quarter 2018 Earnings Infographic

For fiscal year 2019, Tiffany expects worldwide net sales to rise by a low-single-digit percentage over the prior year, while EPS is expected to increase by a mid-single-digit percentage. The company also expects a low-single-digit rise in full-year comparable sales, with eight store openings, six closings and 15 relocations.

According to a report by Research and Markets, global diamond jewelry sales in 2018 rose 4% to $85.9 billion from a year ago. Sales in North America made up more than 50% of the share of the total sales and were up 4% year-over-year. The report suggests that the diamond market has a large development space and is estimated to grow at a rate of 5-10% over the next five years.   

Tiffany’s shares have gained 12% thus far this year but looking at the past three months, the stock has dropped 7%.

Browse through our earnings calendar and get all scheduled earnings announcements, analyst/investor conference and much more!

Most Popular

PepsiCo (PEP) expects snacks business to remain resilient in the near term

PepsiCo Inc. (NASDAQ: PEP) reported first quarter 2021 earnings results on Thursday that topped expectations on both the top and bottom lines. The stock has gained 7% in the past

For Wells Fargo (WFC), Q1 sets the stage for long-term recovery

Emerging from the slowdown caused by coronavirus, the financial services sector entered fiscal 2021 on a bright note, thanks to improving economic activity and the COVID-driven boom in stock trading.

Top 3 Artificial Intelligence stocks you may consider in 2021

Artificial Intelligence has become an integral part of the US economy. According to the analyst’s insights, AI market revenue in 2020 was $25.9 billion. The AI market in the North

Add Comment
Loading...
Cancel
Viewing Highlight
Loading...
Highlight
Close
Top