Check out how Tiffany sparkles overseas.
Forget the United States (where Tiffany does not expect sales to improve until later this year). They are still buying baubles in Europe.
Sales in Europe rose 30 percent in the first quarter. And that was on a CONSTANT CURRENCY basis. No help from the weak dollar in that number. The company added four more stores, which helped, as did the 12 percent increase in same store sales.
Asia also saw a 10 percent increase in sales on a constant currency basis.
The U.S. consumer may be under pressure. But apparently there are still sales and profits to be mined overseas.
Also in the basket:
April personal spending up, flat after inflation
J Crew cuts year earnings outlook, shares drop 15 pct
Ford got a boost from billionaire investor Kerk Kerkorian’s Tracinda, which waived a condition requiring it to bail on its tender offer for Ford shares at $8.50 if the stock fell by 10 percent or more from the close of trade on May 8th, when the stock was at $8.20 per share. It closed at $6.71 on Thursday, but was up about 2 and a half percent before the market opened Friday. Tracinda said it “continues to believe in Ford’s management and turnaround efforts and remains committed to its offer,” which expires at on June 9. Tracinda already has 100 million shares of Ford, and if it shied away from the tender offer, the value of its existing investment would suffer. That’s not to say it doesn’t believe in management, but the ring of the endorsement is perhaps a little less pure.
Sears Holdings Corp reported a quarterly loss this morning. But the thing that left analysts like Credit Suisse’s Gary Balter scratching their heads was the company’s expectations for higher earnings before interest, taxes, depreciation and amortization (EBITDA) for the full year.