Signet Jewelers, the world’s largest retailer of diamond jewellery, said total sales for the Q2 that ended 30th July 2022 fell 1.9% to $1.75 billion versus the record Q2 of the previous year, but were 29% higher than Q2 of 2020. Same store sales were down 8.2% to Q2 of FY22.
“Signet’s focus on gaining market share, driving further operating efficiencies, and building capabilities that are true competitive advantages, is putting us in a position to deliver long-term growth and increase shareholder value,” said Virginia C. Drosos, Chief Executive Officer. “Our results demonstrate the continued agility of our Signet team, the strength of our differentiated banner portfolio, and the flexibility of our operating model. This is all underpinned by a balance sheet that enables us to continue to make strategic investments such as our recent acquisition of Blue Nile.”
Signet’s North America sales were down 1.8% to $1.6 billion as consumer spending shifted away from jewellery towards experiential purchases like travel.
Signet’s international sales of $111.6 million, were down 14.6% to Q2 of FY22. International same store sales declined 1.5% versus Q2 of FY22 reflecting higher average transaction value but a lower number of transactions.
Joan Hilson, Chief Financial and Strategy Officer, added, “The discipline of our Signet team delivered $1.8 billion in revenue and a 10.6% operating margin, despite a softer topline environment. Our working capital efficiency reflects inventory levels down year over year, excluding acquisitions. This gives us the confidence that we are well positioned to deliver newness with minimal levels of clearance for the Holidays.”