MONTREAL, Jan. 12, 2018 /CNW Telbec/ - Birks Group Inc.
(the "Company" or "Birks Group") (NYSE American: BGI), today
announced a 4% decline in holiday season sales (for the period from
November 3, 2017 through December 30, 2017), but when the results of two
flagship stores currently undergoing major renovations are
excluded, comparable store sales increased by 2%. The 2%
growth in comparable store sales experienced across the remaining
stores was primarily the result of the increased sales of
Birks-branded products, successful execution of targeted marketing
campaigns and growth in e-commerce sales.
Jean-Christophe Bédos, President and Chief Executive Officer of
Birks Group, commented: "While we continued to battle a soft retail
environment in Canada, we managed
to leverage our marketing campaigns, the performance of
Birks-branded products and our ongoing dedication to enhancing
customer experience. As we enter the final quarter of our fiscal
year, we will maintain our focus on our short-term and long-term
growth strategies, namely the renovation of our flagship stores,
the global expansion of the Birks product brand and the development
of our e-commerce and wholesale businesses; the execution of which
will contribute to long-term sales and profitability growth.
Furthermore, our financial position supports our investments in
these growth strategies. Under all the circumstances, we are
pleased with our achievements."
Comparable Store Sales
We use comparable store sales as a key performance measure for
our business. Comparable store sales include stores open in the
same period in both the current and prior year. We include our
e-commerce sales in comparable store calculations. Stores enter the
comparable store calculation in their thirteenth full month of
operation under our ownership. Stores that have been resized and
stores that are relocated are evaluated on a case by case basis to
determine if they are functionally the same store or a new store
and then are included or excluded from comparable store sales,
accordingly. Comparable store sales measures the percentage change
in net sales for comparative stores in a period compared to the
corresponding period in the previous year. If a comparable store is
not open for the entirety of both periods, comparable store sales
measures the change in net sales for the portion of time that such
store was open in both periods. We believe that this measure
provides meaningful information on our performance and operating
results. However, readers should know that this financial metric
has no standardized meaning and may not be comparable to similar
measures presented by other companies.
About Birks Group Inc.
Birks Group is a leading designer of fine jewelry, timepieces
and gifts and operator of luxury jewelry stores in Canada. The Company operates 28 stores under
the Birks brand in most major metropolitan markets in Canada and two retail locations in
Calgary and Vancouver under the Brinkhaus brand. Birks
Collections are available at Mappin & Webb and Goldsmiths in
the United Kingdom in addition to
several jewelry retailers across North
America. Birks was founded in 1879 and has become
Canada's premier retailer and
designer of fine jewelry, timepieces and gifts. Additional
information can be found on Birks' web site,
www.birksgroup.com.
Forward Looking Statements
This press release contains certain "forward-looking" statements
concerning the Company's performance and strategies, including the
Company's expectations that the successful execution of its
short-term and long-term growth strategies, namely the finalization
of its flagship store renovations, the global expansion of the
Birks product brand and the development of its e-commerce and
wholesale businesses will lead to long-term sales and profitability
growth and that its financial position supports its investments in
these growth strategies. Given such statements include various
risks and uncertainties, actual results might differ materially
from those projected in the forward-looking statements and no
assurance can be given that we will meet the results projected in
the forward looking statements. These risks and uncertainties
include, but are not limited to the following: (i) economic,
political and market conditions, including the economies of
Canada and the U.S., which could
adversely affect the Company's business, operating results or
financial condition, including its revenue and profitability,
through the impact of changes in the real estate markets, changes
in the equity markets and decreases in consumer confidence and the
related changes in consumer spending patterns, the impact on store
traffic, tourism and sales; (ii) the impact of fluctuations in
foreign exchange rates, increases in commodity prices and borrowing
costs and their related impact on the Company's costs and expenses;
(iii) the Company's ability to maintain and obtain sufficient
sources of liquidity to fund its operations, to achieve planned
sales, gross margin and net income, to keep costs low, to implement
its business strategy, maintain relationships with its primary
vendors, to mitigate fluctuations in the availability and prices of
the Company's merchandise, to compete with other jewelers, to
succeed in its marketing initiatives, and to have a successful
customer service program and (iv) the Company's ability to execute
its strategic vision. Information concerning factors that could
cause actual results to differ materially are set forth under the
captions "Risk Factors" and "Operating and Financial Review and
Prospects" and elsewhere in the Company's Annual Report on
Form 20-F filed with the Securities and Exchange
Commission on June 23, 2017 and subsequent filings with the
Securities and Exchange Commission. The Company undertakes no
obligation to update or release any revisions to these
forward-looking statements to reflect events or circumstances after
the date of this statement or to reflect the occurrence of
unanticipated events, except as required by law.
SOURCE Birks Group Inc.