It now expects sales of $7.07 billion to $7.27 billion, compared with its prior guidance for sales of $7.1 billion to $7.3 billion. Looking to the holiday season, Drosos said, “Jewelry continues to be an important gifting category, particularly among Gen Z.”įor fiscal 2024, Signet lowered its guidance slightly to reflect the loss of an estimated $25 million in revenue after selling the 15 Ernest Jones stores to Watches of Switzerland. ![]() In July, Signet Jewelers announced it had acquired the assets of the Service Jewelry Repair National Repair Center, or SJR, allowing it to bring more repairs in-house. Signet’s services category, which includes its extended service agreements, customization, repairs, and piercings, has continued to grow, with sales up 5 percent in the quarter and year-to-date. Over Black Friday weekend, jewelry under $1,000 remained popular, with the Banter by Piercing Pagoda banner doing particularly well. While engagement ring sales are down, custom jewelry, particularly from Jared Foundry, has been popular, with unit growth up 40 percent in the quarter for those stores. transformation plan,” said the company.ĭrosos forecast strong demand for natural diamonds as the oversupply begins to abate, adding that De Beers’ recent marketing investment should bolster the category. “The divestiture of this non-strategic business allows Signet to more quickly apply key elements of our U.K. Signet said it may sell six additional Ernest Jones to Watches of Switzerland stores in the fourth quarter. The company recently sold 15 Ernest Jones stores to Watches of Switzerland, with the accretive sale multiple generating proceeds of $53 million, which will add $12 million for Signet in Q4. International sales totaled $94 million, down 1 percent year-over-year. Signet’s international banners include Ernest Jones and H. Same-store sales also were down 12 percent. ![]() Signet’s third-quarter sales in the region totaled $1.3 billion, down 12 percent year-over-year. In North America, Signet’s banners include Zales and Kay Jewelers as well as Peoples in Canada. Same-store sales in this period were down 13 percent. In the first nine months of the year, Signet’s sales have totaled $4.67 billion, down 10 percent year-over-year. 28, Signet’s sales totaled $1.4 billion, down 12 percent year-over-year but at the high end of its sales forecast for the quarter of $1.36 billion to $1.41 billion.ĭrosos noted the third quarter is usually unimpressive as it’s the one quarter without a major gifting holiday and is also when the company is investing in marketing for the upcoming holiday season. ![]() However, the number of engagements is expected to pick up later in fiscal 2024, with a more robust rebound expected in fiscal 2025.įor the quarter ending Oct. Signet’s data shows engagements typically occur within three years of a couple dating, a trend that was interrupted by the COVID-19 pandemic resulting in fewer engagements this year. The jewelry giant, which is the parent company of several large jewelry store chains including Zales, Jared, and Kay Jewelers, noted an uptick in the number of engagement rings sold through Black Friday weekend.Įngagement units have begun to rebound in recent weeks, said Drosos, who reiterated the retailer’s prediction of a gradual three-year recovery. Drosos said fine jewelry is “experiencing its second COVID,” referencing the initial struggles to make sales during the early days of the pandemic, but said she is confident a rebound is ahead. aheadĭuring an earnings call this morning, Signet CEO Virginia C. reported a double-digit drop in sales in the third quarter as engagements remain slow to recover, but it is still bullish on the holiday season.
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