Birks Group Inc. has announced its financial results for the eight-week interim sales period ended December 28, 2024, reporting a 4.0% increase in net sales compared to the same period in FY2024. The luxury jewelry and watch retailer also saw a 1.3% rise in comparable store sales during this period.
But the company like all retailers has seen the economic headwinds led by consumer uncertainty and anxiety.
Strong Retail and E-Commerce Performance
The 4.0% growth in net sales was primarily driven by robust performance in the retail sector, particularly in third-party branded watches, which outperformed sales from the previous year. Additionally, Birks Group experienced strong e-commerce sales, further contributing to the company’s overall positive results. The 1.3% increase in comparable store sales also reflected the strength of branded watch sales during the holiday season.
CEO Highlights Commitment to Excellence
Jean-Christophe Bédos, President and Chief Executive Officer of Birks Group, expressed his satisfaction with the results, stating: “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.”
Bédos said he didn’t want to sound like he’s pessimistic but there are consumer headwinds.
“There is a perception of anxiety from the Canadian consumers,” said Bédos, adding that several factors have come into play including the result of the US election, the uncertainty of tariffs, the uncertainty of a Canadian federal election, higher interest rates and the value of the Canadian dollar.
“There is a spectrum of events which do not generate consumer confidence That we can see. We saw that in 2024 and we still see this now in January 2025.
“From a consumer standpoint, what would trigger a change in the perception? Because it’s often about perception, isn’t it? Would a general election in Canada change perception? Election of a new administration? People say that, but when is it coming? Is it in Spring or is it in October. So there is still a lot of uncertainty. We are on the 30th of January and everybody says and anticipates that on the 1st of February, in two days from now, the tariffs will increase for Canadian goods exported to the US. What we have visibility on does not encourage optimism.
“There is a storm. We can’t underestimate or deny the fact that there are headwinds ahead.”
About Birks Group
Founded in 1879, Birks Group is a premier designer and retailer of fine jewelry, timepieces, and luxury gifts in Canada. The company operates 18 stores under the Maison Birks brand in major metropolitan areas, along with additional locations under the Birks, TimeVallée, Brinkhaus, Graff, Patek Philippe, and Breitling brands. Birks’ fine jewelry collections are also available through select retailers in North America, the United Kingdom, and Poland.
The company in 2024 opened a Birks and a TimeVallée in the Royalmount project in Montreal. The company also opened more boutiques with Breitling in 2024. In 2023, it opened a test with Breitling in CF Carrefour Laval, north of Montreal. And the results were good enough for the company to feel very optimistic to open other stores. A Breitling opened in CF Rideau Centre in Ottawa and in CF Sherway Gardens in Toronto.
The company will be opening this fall a Birks, a TimeVallée and a Chaumet at Oakridge Park in Vancouver.
Bédos said the company still has plans to close its downtown Toronto store on Bloor which was announced a while ago.
“It’s still there for at least another year,” he said.
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The downtown Vancouver Maison Birks is currently building a Roger Dubuis shop-in-shop with its own dedicated, street front entrance. It will join Richard Mille and Chaumet as other highly prestigious brands that also benefit from dedicated street entrances along the Granville St side of Birks. The 3 mono-brands will function as a mini-luxury cluster in addition to the remaining large Birks store itself.