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Tiffany & Co. (NYSE:TIF) said its earnings during the second quarter of the current fiscal year are in line with its internal expectation. The company posted a net income of $92 million or 72 cents per share. The difference is not significant compared with its $90 million earning or 69 cents per share during the same period a year ago.

Tiffany’s & Co. (NYSE:TIF) net sales worldwide rose by 2 percent to $887 million, brought by a strong sales growth in Japan. According Tiffany & Co. (NYSE:TIF), its total sales in Japan climbed by 11 percent, to $159 million during the second quarter of 2012.

The company’s total sales in the Americas and European region decline by 1 percent each. During the quarter its recorded total sales in the Americas was $434 million, while equaling $100 million in the Europe. In Asia-Pacific its total sales increased by 1 percent to $174 million during the period. According to the company, the sales of its flagship store in New York decreased by 9 percent compared with the 41 percent sales increased during the same quarter in 2011. The company attributed its sales decline in the United States to lower spending of local consumers.

Tiffany & Co. (NYSE:TIF) reduced its earnings expectations as well as its outlook for the holiday season, based on its current financial performance. The company reduced its earnings expectation from its previous range of $3.70 and $3.80 per share, to $3.55 and $3.70 per share for the full year ending on January 31, 2013. Its outlook met the $3.64 per share consensus expectation of analysts.

The company also adjusted its worldwide net sales increase from the 7-8 percent to 6-7 percent.

In a statement, Michael J. Kowalski, chairman and chief executive officer explained the company’s second quarter financial performance was affected by the current global economic instability. According to him, the result met the company’s expectation. Kowalski said, “Not surprisingly, sales growth has been affected by economic weakness in a number of markets and by a very challenging prior-year comparison to a 30% increase in worldwide net sales. We also anticipated the reduced operating margin in the quarter, adjusted for nonrecurring items, due to continued, but moderating, high product input costs, and a lack of sales leverage on fixed costs.”

As of July 31, 2012, the company has 260 total stores worldwide. Tiffany opened new stores during the second quarter.

Analysts from Nomura Equity Research maintained a neutral rating for Tiffany, citing macro uncertainty and declining ROIC. The analyst believed Tiffany has a “great global brand with solid potential long-term.” The research firm’s target price for Tiffany’s stock remains at $62 per share.  The company’s stock price is up 7.44 percent to $62.86 per share during the afternoon trading, 1:12 PM, ET, at the New York Stock Exchange.

Meanwhile, Saks Inc (NYSE:SKS) reported a $12.3 million net loss, or 8 cents per diluted share during its second quarter earning ending in July 28, 2012, while Signet Jewelers Limited (NYSE:SIG) (LON:SIG) reported a 10.4 percent earnings increase to 85 cents per share, and 7 percent sales increase to $53.9 million during the second quarter. Its sales are below the $857.5 million average forecast of analysts.