Essential takeaways from Signet Jewelers’ (SIG) This fall 2025 report

Signet Jewelers’ (NYSE: SIG) inventory rallied in premarket buying and selling on Wednesday after the diamond retailer offered constructive steerage, regardless of reporting a decline in fourth-quarter gross sales and revenue. The investor response additionally displays current enhancements in same-store gross sales efficiency, although This fall comps barely declined from the year-ago interval.

The post-earnings upswing has reversed part of the regular losses SIG suffered over the previous a number of months. The shares have misplaced about 44% previously twelve months. Whereas same-store gross sales turned constructive in January and the momentum continued within the early weeks of the primary quarter, Signet’s subdued gross sales and earnings efficiency stay a priority. Given the difficult market setting and growing competitors from lab-grown diamonds, the probability of a full restoration within the close to time period seems slim. That requires warning, from an funding perspective.

This fall Final result

Signet’s fourth-quarter gross sales decreased 6% from final yr to $2.35 billion. Comparable retailer gross sales declined 1.1% in the course of the three months. Internet earnings dropped sharply to $100.6 million or $2.30 per share from $617.6 million or $11.75 per share within the prior yr interval. Adjusted earnings decreased to $6.62 per share from $6.73 per share final yr.

“Our general This fall efficiency and lack of development over the previous a number of quarters knowledgeable our new technique to develop our enterprise. This transformative technique is known as ‘Develop Model Love’ and builds on a robust basis to create shareholder worth. We are going to infuse extra fashion and design-led merchandise into our assortment to speed up our development in self-purchase and gifting whereas increasing our management place in Bridal. To activate our technique, we’re reorganizing our enterprise to drive a Model mindset and centralizing core capabilities to enhance pace, maximize advantages of scale, and ship natural development over time,” mentioned Signet’s CEO J.Ok. Symancyk.

For the primary quarter of 2026, Signet expects complete gross sales to be between $1.50 billion and $1.53 billion, and forecasts same-store gross sales to be flat to up 2%. In the meantime, it sees a measured client setting for the entire of fiscal 2026, offering for variability in client spending over the yr. The corporate additionally unveiled a brand new technique referred to as Develop Model Love to extend operational effectivity and drive long-term development.

FY26 Outlook

The administration expects FY26 gross sales to be $6.53-6.80 billion, and adjusted earnings per share within the vary of $7.31 to $9.10. The goal for capital expenditures is $145 million to $160 million. The year-over-year change in full-year same-store gross sales is anticipated to vary from a decline of two.5% to a rise of 1.5%. In the meantime, the management mentioned it doesn’t count on any important affect from the brand new tariffs and rules introduced by the federal government.

Signet’s board declared a quarterly money dividend of $0.32 per share for Q1 FY26, payable on Could 23 to shareholders of document on April 25. That represents a ten% enhance within the dividend. In FY25, the corporate repurchased round 1.6 million shares for $138.0 million, together with $24.2 million in the course of the fourth quarter.

Previous Efficiency

Within the third quarter, gross sales decreased 3% to $1.3 billion, amid a 0.7% lower in comparable retailer gross sales. Gross sales decreased each in North America and abroad markets, whereas adjusted revenue remained unchanged at $0.24 per share within the October quarter.

Signet’s inventory was buying and selling up 18% on Wednesday afternoon, hovering close to the $60 mark. But, it’s down 29% from the degrees seen at first of the yr.