Birks Group (BGICF) Q2 2025 earnings summary

Executive summary

• H1 FY2025 net sales fell 8.8% YoY to C$80.1M; comparable store sales declined 4.9%, or rose 7.5% excluding the third-party jewelry brand movement.

• Net loss widened to C$3.1M from C$1.5M; EBITDA was C$4.7M versus C$5.0M.

Financial highlights

• Gross profit was C$31.3M, down C$4.8M YoY; gross margin declined 210 bps to 39.0%.

• SG&A decreased C$4.7M to C$27.8M, or 34.7% of sales versus 37.0%; savings included occupancy and marketing costs.

• Operating loss was C$0.3M versus operating income of C$0.5M; basic and diluted loss per share was C$0.16 versus C$0.08.

Segment performance

• Branded jewelry sales declined following a third-party brand exit from two stores; branded timepiece sales increased.

• Excluding the third-party jewelry brand movement, comparable store sales increased 7.5%, mainly driven by timepieces.