Asia remains the crown jewel

NEW YORK (AP) — Profits at Tiffany & Co. slipped 3 percent in the fourth quarter due to flagging U.S. sales, but strong demand in China and Japan pushed the luxury jeweler past Wall Street expectations and its shares rose sharply Friday.

Tiffany has struggled with weakening sales in its biggest market as Americans and tourists spend less at U.S. locations, including its flagship store on Manhattan’s 5th Avenue next to Trump Tower.

CEO Frederic Cumenal, who was brought in to revitalize the brand, resigned last month after less than two years on the job.

Tiffany’s fourth-quarter sales in the Americas fell 3 percent compared with the same period last year. Sales at the 5th Avenue location tumbled 7 percent. The location, a must-stop for many tourists and New Yorkers looking to spend, has been impeded by the security barricades around President Donald Trump’s personal home, according to Tiffany. On the flip side, sales in the Asia-Pacific region rose 9 percent, thanks to stronger demand in China. And sales in Japan jumped 15 percent.

Overall, the company reported net income of $157.8 million, or $1.26 per share, in the three months ending Jan. 31, compared with $163.2 million, or $1.28 per share, in the same quarter a year ago. Adjusted for asset impairment costs, pershare earns were $1.45, beating the per-share earnings of $1.37 that industry analysts had expected, according to a survey by Zacks Investment Research.