Signet 2008 Sales $3.3 Billion

Fourth quarter sales at Signet Jewelers Ltd declined 18.9 percent to $1.124 billion. Same store sales declined 14.9 percent during the period. Signet, with stores in the UK and the U.S., was especially hurt by a 32 percent fall in sales in the UK, which until now were holding firm compared to U.S. sales.

U.S. sales totaled $862.1 million during the quarter ending February 2, declining 13.8 percent year-over-year. U.S. sales represented 76.7 percent of global sales.

Sales in the UK totaled $261.4 million as same stores sales decreased 9.2 percent

Fiscal 2008 saw group sales shrink by 8.8 percent to $3.344 billion, reflecting an underlying decrease of 5.7 percent at constant exchange rates, according to Signet. Same store sales softened 8.2 percent.

U.S. annual sales totaled $2.536 billion, trailing 6.3 percent behind sales in the previous year. Sales in the UK generated $808 million in revenues.

“In the fourth quarter, the U.S. business faced an extremely challenging and highly promotional environment,” Group Chief Executive Terry Burman said in a statement on Thursday. “Against this background, same store sales outperformed the competition and gross merchandise margin rate showed a significant increase.

“The UK division experienced trading conditions similar to those in the US, with both H.Samuel and Ernest Jones reporting a step down in sales performance compared to the first nine months of the year. Therefore, on both sides of the Atlantic, we are reducing costs and focusing on cash generation. Further comments on these initiatives will be made at the time of our full year results,” Burman added.