Signet Jewelers Ltd. (NYSE:SIG) posted its quarterly earnings results yesterday.
The diamond jewelry retailer unveiled second-quarter profit of $85.2 million, amounting to roughly $1.33 per share. The figure was above the year-ago earnings of $81.9 million, or $1.06 per share, and it topped analysts’ expectations of $1.04 per share.
Signet’s revenue was also a strong point in the period, surging to $1.40 billion, which was an improvement compared to the $1.37 billion from the year-ago period, also topping $1.33 billion that Wall Street’s consensus estimate called for, per FactSet.
Same-store sales surged 1.4% over the three months, which can be attributed to the company’s growing e-commerce business, as well as Mother’s Day sales and improvements in its marketing and bridal promotions.
Signet recently announced that it will acquire another major player in the jewelry business in R2Net, which owns JamesAllen.com. The move will help boost its digital capabilities. E-commerce sales surged 18.1% to $82.2 million.
“We believe SIG’s Q2 results restores confidence in the company’s leading positioning in jewelry industry and management’s ability to manage the business well in this volatile environment,” said RBC’s Brian Tunick and Bilun Boyne.
For the fiscal year, Signet expects same-store sales to decline by a low-to-mid-single digit percentage, while earnings are slated to be between $7 and $7.40 per share. Analysts polled by FactSet expect same-store sales to fall 4.8%, while calling for earnings of $6.68.
SIG stock surged 3.5% Friday, as well as an additional 1.8% after the bell.