Tiffany Profit Takes Hit as Holiday Sales Fall

NEW YORK -- Tiffany(TIF Quote) warned Wednesday that its fourth-quarter profit would be pulled down by its lackluster holiday same-store sales performance and the luxury jeweler cut its full-year earnings forecast again.

Tiffany reported same-store sales for the November through December period slid 24% primarily on softness at its domestic stores. The results exclude the conversion of foreign currency sales into U.S. dollars.

"The holiday season represents the largest portion of fourth-quarter sales, so we do not expect any improvement for the quarter that will end on January 31st. Based on that, net earnings will decline in the fourth quarter," Chairman and CEO Michael Kowalski said in a statement.

The company reported earnings of 89 cents a share in the year-ago quarter.

Tiffany now anticipates full-year profit between $2.25 and $2.30 a share on revenue of about $2.85 billion. The results exclude fourth-quarter charges related to its early retirement program and any other charges related to cost control efforts.

Analysts polled by Thomson Reuters, on average, predict net income of $2.40 a share on revenue of $2.94 billion. Analysts' estimates typically exclude one-time items.

In November, the company reduced its full-year earnings outlook to between $2.30 and $2.50 a share, with sales expected to be flat to down 2%.

Tiffany plans to report results on March 23. The company operated 206 stores and boutiques as of Dec. 31.