CollectionsJul 25, 2025
Piece of the Week: Jemma Wynne’s ‘Forme’ NecklaceAnne Hathaway was seen wearing the toggle necklace three times while filming scenes for “The Devil Wears Prada 2.”
FinancialsAug 27, 2014
Q2 comps down for Zale, now officially part of Signet
Signet Jewelers Ltd. reported Thursday that second quarter same-store sales rose 7 percent for its Sterling Jewelers division but fell 1 percent at Zale Corp., which it officially acquired in late May.
Akron, Ohio--Signet Jewelers Ltd. reported Thursday that second quarter same-store sales rose 7 percent for its Sterling Jewelers division but fell 1 percent at Zale Corp., which it officially acquired in late May.
In the second quarter ended Aug. 2, Kay Jewelers turned in the strongest performance in the company’s Sterling division, reporting an 8 percent year-over-year increase in same-store sales. Comps also were up for Jared the Galleria of Jewelry (5 percent) and Sterling’s regional brands (2 percent.)
Total sales for Sterling Jewelers rose 9 percent to $810.4 million.
Le Vian, Neil Lane and the company’s colored diamond collections, Artistry and Vivid, were among the top sellers for the quarter. During the quarter, Sterling also added five Pandora shop-in-shops in its Jared stores and introduced a new collection for the chain called “Earthly Treasures,” which is done in partnership with the Smithsonian and features rarer colored gemstones.
At Zale, same-store sales were down across all nameplates expect Peoples Jewellers in Canada, where comps climbed 4 percent. Same-store sales were down 1 percent at Zales Jewelers and 3 percent at Piercing Pagoda.
Vera Wang Love, Arctic Brilliance Canadian Diamonds, Celebration and Unstoppable Love were among the division’s top sellers in the second quarter.
“I would say there was some distraction in the Zale business,” Signet CEO Mike Barnes said during the earnings conference call held Thursday morning, noting operational and merchandise changes that occurred during the quarter as Zale was integrated into Signet.
The $1.4 billion deal merging the two jewelry giants officially closed on May 29, right after Zale shareholders approved the deal.
Following completion of the merger, a number of top Zale executives resigned, including CEO and President Theo Killion, Chief Administrative Officer Matt Appel and Chief Marketing Officer Richard Lennox.
RELATED CONTENT: Zale CEO resigns in post-merger shakeup
As a whole, Signet Jewelers, including its U.K. division, reported that same-store sales were up 5 percent in the quarter while total sales rose 39 percent. Excluding the Zale acquisition, total sales were up 11 percent and same-store sales increased 6 percent.
Gross margin shrunk from 35.2 percent to 33.4 percent. Excluding the Zale acquisition, gross margin was 34.8 percent of sales.
Net income fell 14 percent from $67.4 million to $58.0 million. Excluding the Zale acquisition, net income was $79.9 million, a 19 percent increase.
During Thursday morning’s call, Barnes said that the company
is testing Zale’s more high-profile brands in Kay Jewelers stores and vice-versa, including putting Kay’s popular Jane Seymour jewelry into Peoples Jewellers, Zale’s division in Canada.
He also said that all the company’s divisions will be increasing their television advertising this fall and introducing new commercials.
In addition to the integration of Zale, Signet executives said that during the second quarter it completed conversion of all remaining Ultra Diamond outlet stores into either Kay Outlets or its new concept Jared Vault stores, adding that sales in its outlet division were one of the key drivers of second quarter growth.
Editor's note: The article was updated to correct Richard Lennox's position with Zale Corp. He was the chief marketing officer, not the chief merchandising officer as previously stated.
More on Financials
The Latest
Events & AwardsJul 25, 2025
Pre-Registration Open for September Hong Kong ShowJewellery & Gem World Hong Kong is scheduled for Sept. 15 to 21, and buyer pre-registration will be available until Sept. 7.
Events & AwardsJul 24, 2025
2 Retailers to Receive 2026 Gem Award for Lifetime AchievementMark and Candy Udell of London Jewelers will receive the honor at the 24th annual Gem Awards next March.
Brought to you by
Taking the Moment Head On: How Rio Grande Champions the Present & Future of Fine JewelryAs a leading global jewelry supplier, Rio Grande is rapidly expanding and developing new solutions to meet the needs of jewelers worldwide.
SourcingJul 24, 2025
De Beers Sees Diamond Production Sink 36% in Q2 While struggles continue at the mining and trading end of the pipeline, consumer demand for diamond jewelry is holding steady.
Weekly QuizJul 25, 2025
This Week’s QuizTest your jewelry news knowledge by answering these questions.
CollectionsJul 24, 2025
Francesca Villa Adds Dimension to Her Intaglio CharactersThe “Fantasia” jewelry collection turns the intaglio animals from her “Close Encounters” collection into 3D characters.
WatchesJul 24, 2025
Breitling Drops Super Bowl Watch Honoring the Philadelphia Eagles The special Classic Avi Chronograph 42 with an Eagles-green dial is limited to 59 pieces, a nod to the Super Bowl Philadelphia just won.
Brought to you by
Investing in the Next Generation of Bench JewelersThe Seymour & Evelyn Holtzman Bench Scholarship from Jewelers of America returns for a second year.
CrimeJul 23, 2025
JSA Warns of Violent String of Smash-and-Grabs in California JSA has received reports of mobs swarming jewelry stores, driving cars into the storefront or smashing through the windows.
CollectionsJul 23, 2025
Silvia Furmanovich’s ‘Kashmir’ Collection Is a Tribute to Northern IndiaThe “Kashmir” collection features centuries-old craft techniques made in collaboration with the region’s master papier-mâché artisans.
IndependentsJul 23, 2025
Montreal’s Ecksand Eyes Move to SoHoCreative Director Erica Bianchini shared why the jeweler is looking to expand into the U.S. and how it’s putting Canadian craftsmanship on the map.
IndependentsJul 23, 2025
IJO Raises Nearly $37K for LA Fire Relief Two Los Angeles Fire Department stations plan to use the donations to upgrade their equipment and tools.
CollectionsJul 22, 2025
Jewelry With a Rock ‘n’ Roll Aesthetic Heads to Sotheby’s LondonNext week, the auction house will kick off a selling exhibition of jewelry by British artist Hannah Martin and Coldplay’s Guy Berryman.
SourcingJul 22, 2025
Antwerp Diamond Heist Documentary Coming to Netflix“Stolen: Heist of the Century” is based on “Flawless,” the book about the middle-of-the-night theft, and will debut on Netflix in August.
ColumnistsJul 22, 2025
The Gifting Gap: How to Market Jewelry Beyond the HolidaysEmmanuel Raheb shares the top five gifting moments outside of major holidays that jewelers should build marketing campaigns around.
Events & AwardsJul 22, 2025
NY Now’s Summer Market Returns in AugustThe wholesale trade show’s Luxury Lifestyle section will showcase established and emerging jewelry designers.
MajorsJul 21, 2025
Rio Grande Expands Personalization OfferingsAs demand for custom jewelry grows, the company is expanding its services to support retailers.
Events & AwardsJul 21, 2025
NAJA’s 2025 ‘Ace It’ Conference To Go VirtualThe mid-year conference for jewelry and watch appraisers is slated for Aug. 9 to 10 on Zoom.
TrendsJul 21, 2025
Amanda’s Style File: Graduated With Honors Graduated stones make for elevated tennis-style pieces and dramatic statement necklaces.
Events & AwardsJul 21, 2025
Gem Awards Now Accepting Nominations for 2026Nominations in the categories of Jewelry Design, Media Excellence, and Retail Innovation will be accepted through July 30.
MajorsJul 18, 2025
Lewis Heyman on Sourcing Gemstones, Post-Retirement PlansHe retired last month after 28 years traveling the world to source the very best gemstones for his family’s jewelry business, Oscar Heyman.
TrendsJul 18, 2025
Piece of the Week: CCWW Designs’ Shell Charm NecklaceThe charm necklace features six nautical charms of shells and coral that founder Christina Puchi collected on Florida’s beaches.
MajorsJul 18, 2025
Plumb Club Elects New Board MembersThe organization elected its youngest vice president as it looks to draw in fresh talent.
TechnologyJul 18, 2025
Brad Campbell, John Liebler Join Clientbook’s Executive Team Campbell joins the company as vice president of business development while Liebler is the new vice president of operations.
CollectionsJul 17, 2025
2026 Winter Olympic Medal Design Symbolizes UnityThe medals feature a split-texture design highlighting the Games’ first time being hosted by two cities and the athletes’ journeys.
Supplier BulletinJul 17, 2025
The INSTORE Jewelry Show 2025: Your Holiday Preparations, All Wrapped Up! Sponsored by The INSTORE Jewelry Show 2025
SurveysJul 17, 2025
The Most Recommended Brands in the World, According to YouGovGlobally, travel and transportation brands reigned, while in the U.S., alcoholic beverage companies and a lingerie brand took the top spots.
