Birks & Mayors reports 26% drop in quarterly sales

Montreal Jeweler Birks & Mayors said Tuesday that first quarter 2010 net sales were $53.6 million, representing a drop of $18.8 million, or 26%.

Comp-store sales for the 13-week period ended June 27 decreased by 20%, which was comprised of a 26% decline in the United States and a 13% decline in Canada.

Thomas A. Andruskevich, president and CEO, said, “This year’s fiscal first-quarter sales results continued to reflect the recessionary environment, and severe drop in consumer confidence which has reduced demand for luxury retail products. While we are encouraged by a steady improvement in the rate of monthly comp-store sales declines since the end of March, the competitive landscape, including the liquidation sales of jewelry and timepieces, will continue to create a challenging sales environment for the company and the jewelry industry.”

Birks & Mayors operates 37 stores (Birks brand) across most major metropolitan markets in Canada and 30 stores (Mayors brand) across Florida and Georgia, as well as two retail locations in Calgary and Vancouver under the Brinkhaus brand.