Positive Same Store Sales and Operating Income Growth
Signet Jewelers delivered their third consecutive quarter of positive same store sales, achieving 3% growth compared to the same period last year. Adjusted operating income doubled compared to Q3 of the previous year.
Merchandise Margin Expansion
Year-to-date merchandise margin expanded by 50 basis points, with an 80 basis point increase in Q3 despite tariff and gold cost pressures.
Strong Performance in Key Brands
Kay, Zales, and Jared achieved a combined same store sales growth of 6%, with notable growth in bridal and fashion categories. Jared showed a 10% comp sales growth in fashion.
Lab Grown Diamonds (LGDs) Growth
The penetration of Lab Grown Diamonds in fashion sales reached 15% this quarter, roughly double last year's rate.
Modernized Marketing Approach
The company implemented a robust media strategy, leading to double-digit growth in impressions with a low to mid single-digit increase in spend.
Cash Flow and Share Repurchase
Free cash flow improved by more than $100 million for the quarter, and the company repurchased approximately $28 million worth of shares.