Signet Jewelers has increased its fiscal 2022 first quarter and full-year guidance owing to stronger-than-expected conversion and average ticket values in the first quarter.
It believes that this topline strength is likely due to a combination of traction from strategic initiatives as well as tailwinds from stimulus, tax refunds and consumer enthusiasm on the heels of vaccine rollouts – particularly during the company’s guest appreciation events in late March.
In addition, Signet has evaluated the impact of inventory delays related to recent Covid-19 surges in India and other parts of the world.
“At this time, the company believes it has mitigated these short-term impacts; however, if the duration and magnitude of these inventory slowdowns intensify, there could be future negative impacts on the company’s full year guidance,” it cautioned.
The company now expects Q1 revenue between $1.42 to $1.46 billion and full-year revenue of $5.85 to $6 billion.