SOURCE: DEVELOPERS & CHAINS
For its Fiscal 2018 that ended in late March 2018, Birks Group Inc. reported net sales from continuing operations decreased by $2-million to $114.4-million(Cdn), compared to $116.4-million in fiscal 2017. The decrease in net sales was reflective of a four percent decline in comparable store sales on a constant exchange rate basis primarily driven by a softening of luxury retail conditions across Canada as well as by the fact that, as part of its strategic plan, the company began renovations affecting two of its three flagship stores, in Montreal and Toronto, that led to a temporary decline in sales volume during the construction period. When the impact of lower sales of these two flagship stores are excluded, comparable store sales increased by one percent driven by increased sales of Birks-branded products, the successful execution of targeted marketing campaigns and growth in wholesale and e-commerce sales. During fiscal 2018, the company announced, and completed in October 2017, the sale of its subsidiary, Mayor’s Jewelers Inc. for total cash consideration of $106.8-million. Jean-Christophe Bédos, President, CEO of Birks Group noted that the Montreal flagship store re-opened earlier in June 2018 and features some of the most reputable watch and jewelry brands in the world, alongside Birks jewelry and bridal collections, setting a high standard for luxury shopping in North America. “We have now turned our full attention to the execution of our 5-year strategic plan,” he added, “which focuses largely on the five following initiatives: offering our customers a complete omni-channel experience supported by the implementation of our new enterprise resource planning system; enhancing our retail store offering through the renovations of our three flagship locations in Montreal, Toronto and Vancouver; expanding our e-commerce and wholesale channels through pointed strategic investments; and renewing our bridal and fine jewelry product offerings accentuating quality, design and accessible price points and; most importantly, developing the Birks product to position it as an international brand. We believe the execution of our strategic initiatives has put the Company on a clear path to long-term growth and value creation.” The newly renovated Montreal flagship store is in line with the company’s latest store concept which will also be reflected in the new Toronto and Vancouver flagship designs. It offers a fresh take on Birks’ legacy and redefines the watch and jewelry shopping experience in Canada. Birks Group operates 27 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.