MONTREAL, Jan. 29,
2025 /CNW/ - Birks Group Inc. (the "Company" or
"Birks Group") (NYSE American: BGI), reported its sales results for
the 8 week interim sales period ended December 28th, 2024 (the "FY2025
Holiday Period"), resulting in an increase of 4.0% in net sales as
compared to the comparable period in FY2024. Comparable store sales
for the FY2025 Holiday Period increased by 1.3% as compared to the
corresponding period in FY2024.
The 4.0% increase in net sales for the FY2025 Holiday Period, as
compared to the corresponding period in FY2024, was driven
primarily by a strong sales performance in the retail sector where
third-party branded watches outperformed the sales during the
comparable period in FY2024, and by strong performance in
e-commerce. The 1.3% increase in comparable store sales in the
FY2025 Holiday Period versus the comparable period in FY2024, was
also mainly attributable to the performance of branded watches.
Mr. Jean-Christophe Bédos, President and Chief Executive
Officer of Birks Group, commented: "Our teams have delivered good
sales results this holiday period as compared to the corresponding
period last year, including sales growth over last year.
We continue working on improving our operations despite
increased pressure on costs and margins. We remain focused on
delivering excellence in customer service, and I would like to
sincerely thank all our employees for their continued hard work and
dedication."
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 period. We include
e-commerce sales in our comparable store sales calculations. Stores
enter the comparable store calculation in their thirteenth full
month of operation under our ownership. Stores that have been
resized or 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 measure the percentage change
in net sales for comparable 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
measure 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 measure
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 jewellery, and
operator of luxury jewellery, timepieces and gifts retail stores in
Canada. The Company operates 18
stores under the Maison Birks brand in most major metropolitan
markets in Canada, one retail
location in Montreal under the
Birks brand, one retail location in Montreal under the TimeVallée brand, one
retail location in Calgary under
the Brinkhaus brand, one retail location in Vancouver operated under the Graff brand, one
location in Vancouver under the
Patek Philippe brand, and three retail locations in Laval, Ottawa
and Toronto under the Breitling
brand. Birks brand fine jewellery collections are also available
through select SAKS Fifth Avenue stores in Canada and the U.S., select Mappin & Webb
and Goldsmiths locations in the United
Kingdom, in Mayors stores in the
United States, in W. Kruk stores in Poland as well as several jewellery retailers
across North America. Birks was
founded in 1879 and has become Canada's premier retailer and designer of fine
jewellery, timepieces and gifts. Additional information can be
found on Birks' web site, www.birks.com.
Forward Looking Statements
This press release contains forward-looking statements which can
be identified by their use of words like "plans," "expects,"
"believes," "will," "anticipates," "intends," "projects,"
"estimates," "could," "would," "may," "planned," "goal,"
"continue," "strategy," "focus" and other words of similar meaning.
All statements that address expectations, possibilities or
projections about the future, including without limitation,
statements about anticipated economic conditions, and our
strategies for growth, performance drivers, expansion plans,
sources or adequacy of capital, expenditures and financial results,
as well as statements regarding our continued work on improving our
operations despite increased pressure on costs and margins and our
continued focus on delivering excellence in customer service, are
forward-looking statements.
Because 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 the
Company will meet the results projected in the forward-looking
statements. These risks and uncertainties include, but are not
limited to the following: (i) a decline in consumer spending or
deterioration in consumer financial position; (ii) 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; (iii) the impact of fluctuations in
foreign exchange rates, inflation, increases in commodity prices
and borrowing or operating costs, or other pricing environment
factors and their related impact on the Company's costs and
expenses; (iv) changes in interest rates; (v) 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 jewellers, to succeed in its marketing
initiatives (including with respect to Birks branded products), and
to have a successful customer service program; (vi) the Company's
plan to evaluate the productivity of existing stores, close
unproductive stores and open new stores in prime retail locations,
and invest in its website and e-commerce platform; (vii) the
Company's ability to continue to borrow under its Amended Credit
Facility and Amended Term Loan; (viii) the Company's ability to
maintain profitable operations, as well as maintain specified
excess availability levels under its Amended Credit Facility, make
scheduled payments of principal and interest, and fund capital
expenditures; (ix) the Company's ability to execute its strategic
vision; * the geopolitical environment and increased political
uncertainty; (xi) the impact of weather-related incidents, natural
disasters, strikes, protests, riots or terrorism, acts of war or
another public health crisis or disease outbreak, epidemic or
pandemic on the Company's business; and (xii) the Company's ability
to invest in and finance capital expenditures, (xiii) the Company's
ability to maintain its listing on the NYSE American or to list its
shares on another national securities exchange, and (xiv) the
Company's ability to continue as a going concern.
Information concerning factors that could cause actual results
to differ materially is 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 July 16,
2024, as amended on July 18,
2024, 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.
Company Contacts:
Katia
Fontana
Vice President and Chief Financial Officer
(514) 397-2592
For all press and media inquiries, please
contact:
Press@birks.com
SOURCE Birks Group Inc.
