Birks Sales Surge 16.2% Driven by Acquisition and Retail Strength

Birks announced a significant financial performance for its half-year results, reporting a 16.2% uptick in sales to reach $93.1 million. This growth was largely attributed to two key factors: the Canadian jeweler's recent acquisition of European Boutique and robust performance within its retail segment.

The Montreal-based company noted strong sales increases across all major product categories during the 26-week period ending September 27. Birks specifically highlighted gains in both Birks branded jewelry and third-party branded jewelry, alongside increased sales of third-party branded timepieces from various brands. Complementing this overall growth, comparable store sales rose by 6.3%, driven by strong demand across all product categories, particularly in third-party branded timepieces, as well as Birks branded jewelry and third-party branded jewelry.

As a result of this strong sales performance, Birks managed to narrow its earnings loss during the six-month period. The company reported an operating loss of $0.2 million, a reduction from the $0.3 million operating loss recorded during the corresponding period in the prior year.

Niccolò Rossi di Montelera, executive chairman of the board and interim CEO, commented on the results, stating, "Our net sales, gross profit and comparable store sales for the first half of Fiscal 2026 are higher than the corresponding period in Fiscal 2025 due in part to the acquisition of the European business but also due to our strong retail performance, which speaks to the strength of our product offerings, both in terms of our Birks branded products and our third-party branded watches and jewelry."

Rossi di Montelera further emphasized the contribution of the company's workforce, adding, "I would like to thank our teams for their dedication and hard work. The growth achieved in the first half of Fiscal 2026 is a testament of our commitment to our customers and I am grateful for the unwavering efforts of all our employees which contributed to these results and the successful integration of the European stores."

The acquisition, which significantly impacted the company's performance, occurred in July when Birks acquired the luxury watch and jewellery business of European Boutique from its founders, the Sutkiewicz family. The purchase price for the acquisition was $9 million.