Total sales for the quarter, which ended on August 3, 2024, reached $1.5 billion, marking a 7.6% year-over-year decrease. However, same-store sales dropped only 3.4%, helped by the company's strategic move to introduce new merchandise at competitive price points that appealed to customers.
Signet's CEO, Virginia C. Drosos, highlighted the company's success in expanding merchandise margins by 120 basis points, thanks to a combination of new products, effective pricing strategies, and sourcing efficiencies. Despite these gains, the company recorded a net operating loss of $100.9 million, primarily due to non-cash impairment charges related to the Digital Banners goodwill and the Blue Nile trade name.
For Q3 FY25, Signet projects total sales to range between $1.345 billion and $1.380 billion, with same-store sales expected to fluctuate between a 1.0% decline and a 1.5% increase. The company plans to focus on high-margin fashion merchandise and services, alongside cost-saving efforts, to boost future growth.
