Oct 31, 2020

Signet Q3 2021 Earnings Report

Signet reported strong sales growth in Q3 driven by Path to Brilliance execution and OmniChannel growth.

Key Takeaways

Signet Jewelers reported a strong third quarter with total sales of $1.3 billion, up 9.5% year over year. Same store sales increased by 15.1%, and eCommerce sales grew by 71.4%. The company's Path to Brilliance strategy and investments in technology and talent have enabled it to capture pent-up demand and drive early holiday shopping.

Q3 same store sales increased by 15.1%.

eCommerce sales grew by 71.4% year over year.

GAAP earnings per share was $0.02, including pre-tax restructuring and impairment charges of $0.14.

Non-GAAP diluted EPS was $0.11.

Total Revenue
$1.3B
Previous year: $1.19B
+9.4%
EPS
$0.11
Previous year: -$0.76
-114.5%
Same Store Sales
15.1%
Previous year: 2.1%
+619.0%
Gross Profit
$435M
Previous year: $368M
+18.2%
Cash and Equivalents
$1.33B
Previous year: $189M
+606.6%
Free Cash Flow
$433M
Previous year: -$176M
-345.8%
Total Assets
$6.53B
Previous year: $6.1B
+7.1%

Signet

Signet

Signet Revenue by Segment

Signet Revenue by Geographic Location

Forward Guidance

Through November 30, fourth quarter to date preliminary SSS were up approximately 3% to last year. The Company is not providing financial guidance at this time and believes COVID-related issues will have a more significant negative effect in December vs. November.

Challenges Ahead

  • Weak retail store traffic trends.
  • COVID social distancing capacity constraints.
  • Store closures due to virus trends.
  • SSS for the Thanksgiving weekend through Monday were down low single digits.
  • The Company believes SSS could be negatively impacted in December as a result of weaker retail store traffic trends, COVID social distancing capacity constraints, and store closures due to virus trends.