Tiffany & Co’s quarterly results beat Wall Street’s estimations on Tuesday, allowing the upscale jewellery chain to raise its full-year profit forecast.
The group have raised their full-year earnings per share from $4.50-$4.70 to between $4.65 and $4.80, leading shares to rise by 4.3 percent to $135.37 in premarket trading.
“We are pleased with our sales and earnings growth and the strength and breadth of the results in the first half of 2018, but it’s worth noting that strategic investment spending is increasing for the remainder of the year, as expected, which is intended to support longer-term sustainable growth,” said the group’s Chief Executive Alessandro Bogliolo.
“Regarding that longer-term horizon, we are very excited to embark on our recently announced transformative multiyear remodeling of the New York City flagship building. We believe that the thoughtful combination of making short- and long-range strategic investments is necessary to achieve the full growth potential of this legendary brand.”
Tiffany & Co has recently unveiled Paper Flowers, the new floral jewellery collection made of platinum and diamonds.
“The launch of Paper Flowers, a floral collection in platinum and diamonds, is moving toward full global distribution and we believe our evolved brand message is gaining momentum,” said Bogliolo.
Net sales in the Americas increased by eight percent to $475 million. Sales in Asia Pacific grew 28 percent.
The group’s net earnings rose 26 percent to $144.7 million in the second quarter ending July 31.
Shares in the group (NYSE: TIF) are currently trading down 1.27 percent at 129,78 (1308GMT).
