The LVMH Group of Companies specializing in luxury products reported in October that their watch and jewellery sales zoomed by 22% in the first nine months of this year and totaled 589 million euros.
TAG Heuer, a watch-making member of the Group, reported a sharp profit rise due to the Carrera, Aquaracer and Link lines. Zenith sales were particularly brisk in the Middle East and Russia, while the American branch of De Beers, according to the company, “achieved impressive success.”
The profit of the Group for nine months totally amounted to 11.4 billion euros, which was a 13% growth as compared with the similar period of 2006.
Charles & Colvard diminished their revenues by 89% in the third quarter of 2007. According to the company, such a situation was due to slower sales caused by complicated economic environment, which affected the affairs of ordering jewellery companies and led to overstocked manufacturer’s warehouses. Charles & Colvard, a U.S. company, being the only manufacturer and supplier of moissanite, reported that their net sales crimpled by 46% down to $6.6 million. At the same time, their domestic sales dropped by 51% to $5.3 million and their international sales sank by 5%. The gross margin slumped by 42% to $4.9 million.
The company’s income declined by 77% down to $1.1 million for nine months of the current year and sales lowered by 30% amounting to $19.9 million. The company predicts a general annual income of approximately $33 million.
Shrenuj & Co, a DTC sightholder and a leading Indian diamond and jewellery exporter, reported a net profit growth of 113.9% amounting to $2.24 million in the second quarter as compared with the previous year. Their income increased by 48.8% reaching $72.6 million.
In the first half of this year, their net sales were $130.71 million, an increase of 36.5%, whereas their net profit grew by 96.9% from $2.19 million up to $4.3 million.
The business of Blue Nile, an e-commerce company, is continuing to expand. The company reported their net sales of $67.4 million in the third quarter, an increase of 26.5% over the similar period in 2006, when the company netted in $53.2 million.
This commercial company’s net profit for the period ended on September 30 this year equaled to $3 million, which was an annual increase of 63.6%. Their operating income rose by 67.3% up to $3.6 million.
In the third quarter, their gross margin spurted by 28.4% amounting to $13.4 million, whereas their international sales (including this company’s Canadian and British web sites) totaled to $4.5 million in the same quarter, which is by 104.5% more than last year.
The company hopes that in the fourth quarter it will gain a net profit on sales equal from $109 million to $115 million. Thus, their annual sales in 2007 will presumably bring in a $316-$322 million worth income, outstripping the previous year by 25.6%-28%. In 2006, their net profit on sales was $251.6 million.
