Signet Ups Fiscal Guidance Again After Strong Q1

FinancialsJun 10, 2021

Signet Ups Fiscal Guidance Again After Strong Q1

The jewelry giant’s sales nearly doubled in the first quarter, raising its expectations for the fiscal year ahead.

20210610_Signet header.jpg
A diamond ring from the Jared x Royal Asscher bridal collection. Jared owner Signet Jewelers posted strong first quarter results and raised its financial guidance for the fiscal year ahead.
Akron, Ohio—Signet Jewelers Ltd. started its fiscal year on a high note with sales nearly doubling year-over-year, leading the jewelry giant to raise its guidance for the year ahead.

In the first quarter ending May 1, sales totaled $1.69 billion, up 98 percent year-over-year, with same-store sales up 107 percent.

Compared with the first quarter in fiscal 2020, prior to the COVID-19 pandemic, sales were up 18 percent.

Signet expects to close more than 100 stores this fiscal year (FY 2022), but will open as many as 100 locations, mainly kiosks like the high-performing Piercing Pagoda kiosks.

The company operates 2,833 stores and kiosks as of May 1, compared with 3,172 locations last May.

“We delivered strong performance across our portfolio,” CEO Virginia Drosos said in a press release announcing the results.

“While the jewelry category is experiencing meaningful growth, we are outpacing market growth and gaining share consistent with our ‘Inspiring Brilliance’ strategy.” 

“Inspiring Brilliance” is the next stage of Signet’s turnaround plan. It includes growing services revenue, expanding its luxury and value segments, bolstering digital commerce, and utilizing its data.

E-commerce sales in the first quarter more than doubled, up 110 percent to $346.3 million, while brick-and-mortar sales grew 106 percent year-over-year.

The jewelry giant has been improving its digital commerce capabilities in recent quarters, providing virtual consultants and other elements to blend the in-store and online experiences.

“For the first time, ship-from-store automation is available across all banners,” said Chief Financial Officer Joan Hilson on the company’s earnings call Thursday morning.

Drosos told the story of a customer who reached out in search of a cushion-cut engagement ring. The catch was he needed it the very next day.

The customer shopped online, reached out to a virtual consultant, shopped alongside an associate and then came in to see the diamond in person. 

The exchange utilized all of Signet’s digital offerings, ending with a happy customer and a $25,000 sale, said Drosos. 

 Related stories will be right here … 
Though the first quarter was strong, Signet said it is prepared for a shift of consumer discretionary spending away from jewelry to other experience-based categories as the vaccine rollout continues. In response, the company will ramp up its marketing efforts.

Looking to North America, where Signet’s banners include Kay, Jared and Zales, first-quarter same-store sales grew 117 percent, e-commerce sales 113 percent, and brick-and-mortar same-store sales 118 percent.

The average transaction value was up 15 percent year-over-year while the number of the transactions was up 90 percent. 

When compared to the first quarter two years ago, pre-pandemic, Signet said foot traffic remains down but it has delivered growth over that period through higher conversion and average transaction value. 

Sales in the bridal category were up 121 percent year-over-year in the quarter while sales in the fashion category were up 116 percent.

Watch sales were up 52 percent while the “others” category, which includes gift items, beads, repairs, service plans and other non-jewelry items, saw sales grow 26 percent.

By banner, Piercing Pagoda was the top performer, with sales up 189 percent.

Sales at e-tailer James Allen were up 132 percent year-over-year while Kay Jewelers saw sales more than double, up 103 percent.

Sales at Zales also rose 103 percent while sales at Jared were up 95 percent.

Canadian chain Peoples Jewellers posted a 40 percent jump in sales for the quarter.

Looking ahead, Signet raised its fiscal 2022 revenue guidance, expecting revenue of $6.5 billion-$6.65 billion, up from its prior guidance of $6 billion-$6.14 billion. 

This marks the second time Signet has upped its guidance for the fiscal year.

The company expects second-quarter revenue of $1.6 billion to $1.65 billion.

Same-store sales for the fiscal year are expected to rise 24 to 27 percent, up from prior guidance of 17 to 20 percent.

In the second quarter, same-store sales are expected to be up 76 to 82 percent.

The company said it still expects same-store sales to be negative in the second half of fiscal 2022.

Signet’s board of directors has also reinstated its dividend program on the common shares.

The Latest

Jane Taylor letter pendants
TrendsJun 01, 2023
See 50+ Jewels Debuting at Couture in Las Vegas

The industry’s most influential contemporary designers are showcasing their latest jewelry designs.

35-carat lab-grown diamond created by Maitri
Lab-GrownJun 01, 2023
35-Carat Lab-Grown Diamond Going on Display in Vegas

Created by Maitri Lab-Grown Diamonds and graded by IGI, it’s slightly bigger than the record-setting lab-grown diamond GIA just examined.

Bottom Line Marketing Chief Growth Officer Gus Garcia and CEO Jackie Brooks
MajorsJun 01, 2023
Bottom Line Marketing Announces Restructured Leadership, New Service Offerings

The marketing agency has integrated its first C-suite.

Brought to you by
The Next Step for GIA Diamond Reports

The most trusted diamond report, available in print or the GIA App.

Events & AwardsJun 01, 2023
Meet JCK’s 2023 Keynote Speaker

The jewelry trade show also will debut educational content centered around social media.

Weekly QuizMay 25, 2023
This Week’s Quiz
Test your jewelry news knowledge with this short test.
Take the Quiz
Lauren K gold and gemstone rings
TrendsMay 31, 2023
Here’s a Sneak Peek of New Jewelry to Check Out at JCK

Luxury kicks off today, with the full show in swing on Friday.

A pearl pendant and a pearl ring
CollectionsMay 31, 2023
Verragio’s Debut Fine Jewelry Collections Honor Company Heritage

One of the three new collections was inspired by the legend of a woman who traded her mansion to Cartier for two strands of natural pearls.

Brought to you by
Beyond Borders: Crucial Factors in Colored Stone Origin Determination

Navigate origin determination with Continuing Education seminars offered by the GIA Alumni Collective™.

Rob Ballew
MajorsMay 31, 2023
Signet Jewelers Names New Head of Investor Relations

Rob Ballew will be tasked with communicating the jewelry giant’s plans and financial performance to investors.

Mobile mock-up screens of the new LUX Digital Vault app from Jewelers Mutual Group
MajorsMay 31, 2023
Jewelers Mutual Launches App for Retailers, Introduces New Brokerage

With the app, customers receive a 15-day insurance offer on new purchases while their coverage needs are being evaluated.

Rendering of Lightbox lab-grown diamond store in House of Showfields
Lab-GrownMay 30, 2023
Lightbox Is Testing Out a Trendy Concept Shop in Brooklyn

It is in House of Showfields, a bazaar-style retail space in the borough’s Williamsburg neighborhood.

Attendees at the JCK Las Vegas show
Events & AwardsMay 30, 2023
These Are the Can’t-Miss JCK Talks Education Sessions

From consumer trends to retail technology, these are the JCK Talks sessions that should be on attendees’ radar.

Constance “Connie” Barber Mellon’s David Webb Elephant Clip-Brooch
AuctionsMay 30, 2023
Sotheby’s to Auction Mellon Family Jewelry

Signature pieces from Cartier and David Webb will appear in the June jewelry auction.

Georgie Gleim, Shelly Sergent, and Molly Peterson
Events & AwardsMay 30, 2023
24 Karat Club of Southern California Recognizes 3 Honorees

They will be celebrated at the annual dinner dance and gala in the fall.

Historic and modern photos of diamond grading GIA
GradingMay 26, 2023
State of the Diamond Industry: AI and the Future of Diamond Grading

Gemologists have long used machines in diamond grading but technology has made it possible for them to “learn” how to do it on their own.

Supplier Spotlight Webinar John Pollard and Garry Holloway
Recorded WebinarsMay 26, 2023
Watch: Diamond Cut Quality: The Final Frontier Part 2

Supplier Spotlight Sponsored by IGI

My Next Question webinar series episode on selling lab-grown diamonds
Recorded WebinarsMay 26, 2023
Natural and Lab-Grown Diamonds: What It’s Like to Sell Both

Watch retailers Jeffery Bolling and Bobby Bengivengo discuss employee training, customer education and the sticky subject of future value.

Bulgari necklace set with 118.35-carat unheated Sri Lankan sapphire
AuctionsMay 26, 2023
Piece of the Week: A Bulgari Sapphire and Diamond Necklace

Set with a 118-carat unheated Sri Lankan sapphire, it just sold for $3.4 million at Phillips jewelry auction in Hong Kong.

Supplier BulletinMay 25, 2023
RAE Fine Jewelry Collection Debuting at JCK Luxury 2023

Sponsored by Noam Carver

Graphic of phishing scheme
TechnologyMay 25, 2023
State of Retail: Why Jewelers Need to Invest in Cybersecurity Now

As cybercrime incidents threaten the industry, jewelers need to know what they’re up against and the best ways to protect their businesses.

Louis Anthony Jewelers remodeled exterior
IndependentsMay 25, 2023
Louis Anthony Jewelers Is Remodeling and Expanding

The Pittsburgh jeweler is redoing the lighting and showcases, and adding a full hospitality bar as well as new shop-in-shops.

Yurman Family Crystalline Pass at American Museum of Natural History in New York City
SourcingMay 25, 2023
David Yurman Unveils Quartz Exhibition at AMNH

The Yurman Family Crystalline Pass is inside the museum’s brand-new Richard Gilder Center.

Stanley Zale new principal consultant Hill & Co.
MajorsMay 25, 2023
Stanley Zale Joins Hill & Co. as Principal Consultant

Zale has more than 40 years’ experience in the diamond industry, including 17 years as Stuller’s VP of diamonds and gemstones procurement.

 Welcome to Fabulous Las Vegas Nevada sign
Events & AwardsMay 24, 2023
New To-Dos in Las Vegas During Jewelry Market Week 2023

The Strip is full of new restaurant and entertainment offerings.

State Property necklace, Briony Raymond two-stone ring, and Emily P. Wheeler earrings
TrendsMay 24, 2023
State of Design: The Jewelry Design Trends to Know Now

National Jeweler’s senior editor covering fashion, trends, and design highlights the latest looks in the market.

A text conversation between a chatbot and a human
EditorsMay 24, 2023
How Jewelers Can Make the Most of ChatGPT

From what ChatGPT is to how to use it, this is the explainer tailored to jewelers.

127-carat Type IIa pear brilliant-cut Light of Peace diamond
AuctionsMay 23, 2023
Christie’s to Auction 127-Carat ‘Light of Peace’ Diamond

The D-color, internally flawless, Type IIa stone will be offered without reserve.


This site uses cookies to give you the best online experience. By continuing to use & browse this site, we assume you agree to our Privacy Policy