Tiffany Profit Drops in 4Q
New York City Tiffany & Co. on Monday said its fourth-quarter earnings fell almost 16%, but adjusted results beat analyst expectations on strong international results.
Tiffany earned $118.3 million in the quarter ended Jan. 31, down from $140.5 million a year ago.
Revenue rose to $1.05 billion from $958.9 million last year, matching analysts’ predictions.
U.S. retail sales rose 4% to $527.9 million, while same-store sales fell 1%. International retail sales rose 21% to $422.6 million, while same-store sales rose 6%.
For the year, net income rose 20% to $303.8 million from $253.9 million last year. Revenue rose 15% to $2.94 billion from $2.56 billion last year.
The company said it remains “cautious” about the U.S. environment in 2008, but expects robust growth elsewhere in the world.
Tiffany predicts sales will rise about 10%, implying sales of $3.23 billion. Analysts expect revenue of $3.18 billion. It expects a “slight decline” in U.S. same-store sales for the year.
Also, Tiffany said that beginning in the first quarter of 2008 it will stop valuing the “last-in-first-out” inventory accounting method, which assumes products acquired last are the ones sold or disposed of first, and begin using an average cost method, which values the cost of inventory is based on the average cost of goods.
Private label Wal-Mart milk now hormone free
BENTONVILLE, Ark. Wal-Mart’s private label Great Value milk brand is now being sourced from cows that have not been treated with artificial growth hormones, and will be available at Wal-Mart Stores and Sam’s Clubs.
Wal-Mart reported that while the FDA has stated that cows treated with rbST pose no risk to human health, its customers have asked for milk choices.
“We value our customers’ opinions and understand how important variety is in all aspects of the business,” said Pam Kohn, senior vp and general merchandise manager for Wal-Mart Stores. “We’ve listened to customers and are pleased that our suppliers are helping us offer Great Value milk from cows that are not treated with rbST.”
Callahan to retire from Cabela’s
SIDNEY, Neb. Cabela’s has announced that Michael Callahan, senior vp of business development and international operations, will retire from the company effective May 17. He has agreed to remain as a consultant to assist with the transition.
“Mike has had a very successful career at Cabela’s and will leave a positive mark on our Company’s history,” said Dennis Highby, Cabela’s president and ceo. “Mike was instrumental in our growth in retail and was personally responsible for leading the team that took our retail store count from nine to 26, as well as leading our expansion into Canada.”
Callahan joined Cabela’s in 1990 and held numerous leadership positions in merchandising and marketing as well as serving as senior vp of retail operations.