The luxury retailer Tiffany (TIF) released financial report on Tuesday showing that its fourth-quarter net profit declined slightly, mainly due to rising costs offset revenue growth.
However, the company released the fiscal year 2012 earnings target which is better than the consensus estimations.
As of the quarter ended January 31, Tiffany’s net profit declined to $178 million, or $1.39 per share from $181 million, or $1.41 per share a year earlier, falling short of the expectations of the analysts polled by FactSet.
The company generated revenues of $1.19 billion, an increase of 7.8%, consistent with analysts’ average expectation.
Tiffany projected that the fiscal year 2012 earnings per share will be $3.95-$4.05, and total revenue will grow approximately 10%, to $4.01 billion. Analysts on average are expecting the company will post a profit of $3.93 per share on revenue of $3.91 billion.
The Tiffany stock price surged $4.59, or 6.68%, to close at $73.27 in the regular trading on Tuesday, with trading volume magnified from the daily average of 1.9 million shares to 8.66 million shares. The Tiffany stock price fell slightly by 0.48% in the after-hours trading. Over the past 52 weeks, the highest level of the Tiffany stock price was $84.49 while the lowest was $56.21.