Alberto Giacometti's "Walking Man I" exhibited at Sotheby's in New York. Photo: Lindsay Pollock

Sotheby’s announced sales of $2.8 billion for 2009, down from $5.3 billion in 2008. Auction sales tumbled 54 percent. Annual revenues of $485 million were down 30 percent.

Private sales showed strength, totaling $472.6 million, up 27 percent over the previous year.

Christie’s outsold Sotheby’s in 2009. In January Christie’s announced 2009 sales totaling $3.3 billion, bolstered by the $480 million estate of fashion designer Yves Saint Laurent. (Christie’s figures include some post-sale activity whereas Sotheby’s do not).

Sotheby’s 2009 fourth quarter demonstrated improvement. Sales were down 7 percent, but the firm still posted $73.6 million in profits–the second highest in the company’s history. The result was driven by cost cutting and a adherence to a no guarantee policy. The firm’s operating expenses were cut $185.3 million in 2009. Headcount was reduced by 20 percent.

The company got off to a strong 2010 with the $104.3 million sale of Giacometti’s Walking Man I in London.

Read Philip Boroff’s coverage on Bloomberg News here.