Signet Posts 2.2% Same-Store Sales Growth in Q2

(IDEX Online) - Signet Jewelers posted a 2.2% increase in same-store sales in its second quarter and raised its full-year earnings outlook.

That's despite a 0.5% decline in total sales, to $1.53 billion for the 13 weeks ended August 1, 2026, partly because Signet decommissioned the James Allen website and transitioned the brand to Blue Nile.

The comparable-sales increase was the fifth positive quarter in the last six, said CEO J.K. Symancyk. Merchandise average unit retail rose about 6%, with growth in both bridal and fashion.

North American same-store sales rose 1.9%, driven by bridal and higher-end jewelry, while international same-store sales increased 6%.

Signet also reported high single-digit unit growth at higher price points, suggesting that consumers remain willing to spend on jewelry, although selectively.

Performance was uneven across price points and categories. Fashion same-store sales fell 1%, with weakness at Banter by Piercing Pagoda and at lower price points. Timepieces, meanwhile, recorded almost double-digit comparable-sales growth.

Profitability improved sharply. Operating income rose to $87.5 million from $2.8 million a year earlier, while adjusted operating income increased to $107.2 million from $85.4 million.

The results provide a broadly positive snapshot of US jewelry retail, with comparable sales, bridal demand and average selling prices moving higher. But weakness in fashion and at lower price points suggests that the recovery is not uniform.

Signet, parent company of Kay Jewelers, Zales, Jared and Blue Nile, maintained its full-year sales forecast of $6.7 billion to $6.9 billion and now expects same-store sales to range from flat to a 2.5% increase, compared with its previous forecast of a 0.75% decline to a 2.5% increase.

The company is continuing to invest in its brands and digital operations. Kay has launched its "Love All In" campaign, while redesigned Kay and Jared websites are intended to provide more personalization, simpler navigation and stronger product presentation. Zales is scheduled to complete its refresh later this month.

The company is also expanding its consumer credit relationship with Bread Financial. The renewed agreement runs through December 2035, and Signet plans to offer Bread financing to Blue Nile customers before the holiday season.

Diamonds remain central to the business. Signet said diamond prices are helping offset higher gold costs, while management sees opportunities in both natural and lab grown diamonds.

"Our biggest input cost is actually diamonds," Symancyk told analysts during an earnings call. "And so we are fortunate that we sit in a market where, on both sides, natural as well as lab grown, there's opportunity there."

Pic shows Kay's new "Love All In" campaign.