Tiffany reported a fall in sales for the first quarter of the year, as lower tourist spending impacted profits.
The New York jewellery company said global sales fell by 3% to $1 billion (£787 million) for the three months until the end of April.
Tiffany revealed that net earnings totalling $125 million marked a 12% decline on the previous year.
In addition, net earnings per diluted share were $1.03, down from $1.14 the year before.
In the U.S, net sales fell 4% to $406 million, whilst comparable sales declined 5%. The decline was blamed on lower spending by foreign tourists across the period.
Similarly, in the Asian-Pacific region, net sales slipped 1% to $324 million and comparable sales also fell 5%, as a result of the effect of foreign currency translation.
Meanwhile in Japan, total net sales declined 4% to $145 million and comparable sales also fell 4%. This was also attributed to a decline in tourist spending.
In Europe, total net sales dropped 4% to $102 million and comparable sales declined 7%.
Alessandro Bogliolo, Tiffany Chief Executive, commented on the figures: “Our first quarter results reflect significant foreign exchange headwinds and dramatically lower worldwide spending attributed to foreign tourists. That said, we were pleased that, at the core of our business, global sales attributed to local customers, led by sales in China, grew over last year’s very strong sales results. We believe this growth in sales to local customers reflects progress in executing our strategic priorities, including innovations across products, communications and the customer experience, and that Tiffany is positioned for improving trends in the second half of 2019.”
Tiffany is a luxury jeweller that also sells sterling silver, china, fragrances and some leather goods.
Its New York Fifth Avenue flagship store was immortalised in the American film classic, Breakfast at Tiffany’s, staring Audrey Hepburn.
Shares in Tiffany (NYSE:TIF) are currently trading +2.60% as of 10:57AM (GMT).
