Tiffany Debuting Smaller Format in Fall

NEW YORK CITY-Tiffany will open the first of its new downsized stores in the United States in Glendale, CA, in October, executives said at the company’s first quarter conference call. The move comes as the chain reports softness in the US, but sales and store growth internationally.

Overall, the chain will increase its store count by 13% worldwide, opening about 24 new stores, including six in the Americas. “While we’ve always said that Tiffany’s business is not recession-proof, the global nature of our business is showing the mitigation effect it can have,” for regional weakness, said Mark L. Aaron, vice president of investor relations.

Traditional stores also will open in Pittsburgh and Columbus, and a holiday store at the Mohegan Sun casino in Uncasville, CT, will be converted to a permanent unit. Growth will also occur in Asia and Europe, which has seen stronger sales. Units will open in Madrid, Brussels and Dublin this year, Aaron said.

Worldwide net sales increased 12% from last year to $668.1 million. Comparable-store sales rose 8% and 3%, respectively. Net earnings from continuing operations rose 20% from last year to $64.4 million. Comps in the United States were flat, while they rose 4% in the Asia-Pacific region and 12% in Europe.

Tiffany operates 192 stores and boutiques worldwide.