Tiffany & Co. Earnings Cheat Sheet: Beats Expectations

S&P 500 (NYSE:SPY) component Tiffany & Co. (NYSE:TIF) reported net income above Wall Street’s expectations for the third quarter. Tiffany & Co. is a jeweler and specialty retailer that sells timepieces, sterling silverware, china, crystal, stationery, fragrances and accessories.

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Tiffany Earnings Cheat Sheet for the Third Quarter

Results: Net income for Tiffany & Co. rose to $89.7 million (70 cents per share) vs. $55.1 million (43 cents per share) in the same quarter a year earlier. This marks a rise of 62.9% from the year earlier quarter.

Revenue: Rose 20.5% to $821.8 million from the year earlier quarter.

Actual vs. Wall St. Expectations: TIF beat the mean analyst estimate of 59 cents per share. It beat the average revenue estimate of $799.5 million.

Quoting Management: Michael J. Kowalski, chairman and chief executive officer, said, “Increased sales in all regions contributed to the continuation of strong worldwide sales growth in the third quarter. We were also pleased to achieve an improved operating margin by leveraging the sales growth against fixed costs.”

Key Stats:

The company has enjoyed double-digit year-over-year percentage revenue growth for the past five quarters. Over that span, the company has averaged growth of 19.5%, with the biggest boost coming in the second quarter when revenue rose 30.5% from the year earlier quarter.

The company has now seen net income rise in three straight quarters. In the second quarter, net income rose 33.1% and in the first quarter, the figure rose 25.8%.

The company has now topped analyst estimates for the last four quarters. It beat the mark by 16 cents in the second quarter, by 10 cents in the first quarter, and by 5 cents in the fourth quarter of the last fiscal year.

Looking Forward: Analysts appear increasingly optimistic about the company’s results for the next quarter. The average estimate for the fourth quarter has moved up from $1.63 a share to $1.64 over the last ninety days. The average estimate for the fiscal year is $3.75 per share, a rise from $3.55 ninety days ago.

Competitors to Watch: Zale Corporation (NYSE:ZLC), Blue Nile, Inc. (NASDAQ:NILE), DGSE Companies, Inc. (AMEX:DGSE), Coach, Inc. (NYSE:COH), Signet Jewelers (NYSE:SIG), (NASDAQ:AMZN), eBay (NASDAQ:EBAY), Nordstrom (NYSE:JWN) and Macy’s (NYSE:M).

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(Company fundamentals provided by Xignite Financials. Earnings estimates provided by Zacks)