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Signet's (SIG) Q1 Earnings & Sales Miss Zacks Consensus

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Signet Jewelers Limited (SIG - Free Report) , retailer of diamond jewelry, watches, and other products, came out with its first-quarter fiscal 2018 results, wherein earnings of $1.03 per share missed the Zacks Consensus Estimate of $1.66, and declined substantially from adjusted figure of $1.95 posted in the prior-year quarter. The current quarter earnings comprise a negative impact of about 17 cents on account of the later timing of Mother's Day holiday.

Nevertheless, management reaffirmed its earnings per share projection of $7.00–$7.40 for fiscal 2018. The current Zacks Consensus Estimate for the fiscal year stands at $7.00.

Earnings Estimate Revision: The Zacks Consensus Estimate for fiscal 2018 has witnessed a downward revision over the past 7 days. In the trailing four quarters (excluding the quarter under review), the company outperformed the Zacks Consensus Estimate by an average of 9.2%.

Revenues: Signet generated total revenue of $1,403.4 million that declined 11.1% year over year (or 10.1% on a constant currency basis), and also came below the Zacks Consensus Estimate of $1,492 million. Same store sales fell 11.5%. Management expects fiscal 2018 same store sales to decline in the low-to-mid single-digit percentage.

Signet Jewelers Limited Price, Consensus and EPS Surprise

 

Signet Jewelers Limited Price, Consensus and EPS Surprise | Signet Jewelers Limited Quote

Key Events: Signet announced that it will sell $1 billion of prime-only credit quality accounts receivable to Alliance Data Systems Corporation, as a part of its plan to outsource its in-house credit program.

Zacks Rank: Currently, Signet carries a Zacks Rank #4 (Sell) which is subject to change following the earnings announcement.

Stock Movement: Signet’s shares are down 2% during pre-market trading hours following the company’s results.

Check back later for our full write up on Signet’s earnings report!

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