Signet Jewelers 2Q profit tops analysts' expectations; same-store sales climb

IndustriesAssociated Press

Signet Jewelers Ltd.'s fiscal second-quarter adjusted profit topped analysts' estimates as revenue improved thanks to solid sales from various brands.

The jewelry company's stock surged more than 10 percent in Thursday midday trading.

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The Hamilton, Bermuda-based company — which runs stores under brands such as Kay Jewelers and Jared The Galleria of Jewelry — earned $62.2 million, or 78 cents per share, for the period ended Aug. 1. That compares with $58 million, or 72 cents per share, a year earlier.

Earnings, adjusted for non-recurring costs, were $1.28 per share.

The results surpassed Wall Street expectations. The average estimate of five analysts surveyed by Zacks Investment Research was for earnings of $1.15 per share.

Revenue increased to $1.41 billion from $1.23 billion.

Sales at stores open at least a year, a key indicator of a retailer's health, rose 4.2 percent. This metric excludes results from stores recently opened or closed.

At Kay Jewelers, same-store sales climbed 4.1 percent. The figure was up 2.7 percent at Jared.

Signet expects third-quarter adjusted earnings of 36 cents to 40 cents per share. Analysts polled by Factset predict earnings of 37 cents per share.

Shares of Signet rose $12.71, or 10.5 percent, to $134.

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Elements of this story were generated by Automated Insights (http://automatedinsights.com/ap) using data from Zacks Investment Research. Access a Zacks stock report on SIG at http://www.zacks.com/ap/SIG

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Keywords: Signet, Earnings Report