Signet Jewelers posts $92m Q1 loss
Bermudian-based Signet Jewelers Limited, the world's largest retailer of diamond jewellery, has reported a loss of $92.1 million for the quarter to April 30.
This compares to nearly $130 million in profit in the same period a year before.
The company said it had non-GAAP operating income of $194.6 million for the first quarter of fiscal year 2023, up from $168.9 million in Q1 of FY22.
Reporting results for the 13 weeks ended April 30, Signet said GAAP operating income was $0.2 million, down from $168.7 million in Q1 of FY22, including the impact of charges related to the resolution of previously disclosed litigation.
Total sales were $1.8 billion, up $149.5 million or 8.9 per cent to Q1 of FY22.
The company completed $318.2 million of share repurchases during Q1, including $50 million related to completion of the previously announced accelerated share repurchase agreement.
"Signet's strong performance this quarter reflects our team's successful execution and agility amid retail headwinds," said Virginia C Drosos, chief executive officer.
"We generated nearly nine per cent top line growth, including 2.6 per cent organic sales growth, enabled by our healthy inventory position, connected commerce capabilities and data-driven marketing.
“Customers responded to the breadth and newness within our assortment, particularly higher price point offerings, diamonds and precious metals.
“Our scale, strong balance sheet, and diversified banner portfolio provide flexibility to navigate macro level uncertainties, deliver consistent annual double-digit operating margin, and continue investing in differentiated capabilities to widen our competitive advantages."