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Montreal, Canada--Birks Group Inc. reported in a news release its financial results for the 26-week period ended September 24.

The company delivered year-over-year comparable store sales growth of 8.2% and an increase in gross margin percentage of 110 basis points. Across the retail network, no shopping days were lost due to temporary store lockdowns, compared to 17% of shopping days lost during the 26 week period that ended September 25, 2021, due to COVID-19-related restrictions.

In the 26 week period ended September 24, 2022, the Company achieved net sales of $80.0 million, a decrease of $4.6 million, or 5.4%, from the comparable period in fiscal 2022. The Company achieved gross profit of $33.9 million for the twenty-six week period ended September 24, 2022, a decrease of $1 million, or 2.9%, compared to the same period in fiscal 2022.

The decrease in sales and gross profit is driven in part by the Company's investment in a joint venture with FWI LLC to form RMBG Retail Vancouver ULC ("RMBG" or "RMBG Joint Venture"). RMBG operates a boutique in Vancouver, retailing 3rd party branded watches, sales of which were historically recognized at the Company's Vancouver Flagship location and are now recognized through the joint venture. The decrease in net sales was partially offset by an 8.2% increase in comparable store sales. Gross profit as a percentage of sales was 42.3%, an increase of 110 basis points from the gross profit as a percentage of sales of 41.2% in the twenty-six week period ended September 25, 2021. 

Mr. Jean-Christophe Bédos, president and CEO of Birks Group, said: "We are pleased with our performance in the first half of fiscal 2023 when we consider comparable store sales growth of 8.2% and a continued improvement in our gross margins, which speaks to the strength of our product offerings, both in terms of our Birks products and in terms of our third party branded watches and jewellery, as well as to the loyalty of our customer base."

Mr. Bédos added: "These results were achieved despite uncertain macroeconomic conditions. It is thanks to our team's continuous dedication to our customers that we were able to achieve these results. I believe that our Company is in a strong position to achieve its long-term strategic objectives as we continue to run our business in an agile manner in the near-term, with a clear view and focus on long-term growth."

Learn more in the entire release.