Signet Jewelers Limited (NYSE:SIG) shares gained ground on financial figures released Wednesday.
The world's largest retailer of diamond jewelry, based in Hamilton, Bermuda, reported fiscal 2019 same store sales decreased 0.1%
Fiscal 2019 GAAP diluted EPS was $(12.62), including the impact of a non-cash impairment charge related to goodwill and intangibles, loss recognized upon the sale of non-prime receivables, restructuring charges, and resolution of a previously disclosed regulatory matter.
CEO Virginia C. Drosos said, "In Fiscal 2019, we began our Path to Brilliance transformation journey, building foundational capabilities to drive future growth. We made progress on our Path to Brilliance initiatives, achieving double-digit eCommerce growth, delivering $85 million of net cost savings, and continuing to optimize our store footprint.
"However, we did not finish the year as strongly as expected due to a highly competitive promotional environment, continued consumer weakness in the U.K., and lower than expected customer demand for legacy merchandise collections that impacted our holiday fourth quarter results."
Fiscal 2020 guidance calls for same store sales to be down 2.5% to being flat and for total sales of $6.0 billion - $6.1 billion
Fiscal 2020 guidance for GAAP diluted EPS of $1.86 - $2.66. Fiscal 2020 guidance for non-GAAP diluted EPS is targeted at $2.87 - $3.45.
The company also maintained a quarterly dividend at $0.37 per share
In March 2018, the company announced a three-year Signet Path to Brilliance transformation plan intended to reposition the company to be the OmniChannel jewelry category leader. This plan is expected to enhance the company’s cost competitiveness while providing a source of funding for future growth initiatives.
Shares in SIG acquired 85 cents, or 3.1%, to $28.50
