Signet Shines as Bridal Jewelry Drives Growth

United States Jewelry News: Strong Demand Pushes Outlook Higher

Signet Jewelers Ltd, the American company behind well-known names like Kay, Zales, and Jared, has delivered a strong set of quarterly results and raised its annual forecast. Despite wider caution in discretionary spending, jewelry continues to hold firm as a favored choice for gifts and life’s milestones. According to this United States Jewelry News report, Signet now expects annual revenue between $6.67 billion and $6.82 billion, slightly above its earlier projection. Investors responded quickly, with shares rising 7 percent in premarket trading following the results.

Signet Jewelers post healthy profits for the first half of 2025
Image Credit: Signet

Performance in the key bridal sector

A major driver behind this success is bridal jewelry, which accounts for nearly half of Signet’s total revenue. The company is strategically positioned for the upcoming engagement season that runs from Thanksgiving through Valentine’s Day. During Q2 FY25-26, revenue climbed 3 percent year on year to $1.54 billion, beating expectations, while adjusted diluted earnings per share surged almost 29 percent to $1.61. This performance highlights resilience in core consumer spending on wedding and engagement purchases.

Strategic focus on brand loyalty

Signet operates one of the largest collections of specialty jewelry retail brands globally, with strong footprints across North America and the UK. In recent years, the company has leaned heavily into a brand centric strategy. Investments have been directed toward digital transformation, integrating online and physical shopping experiences, and strengthening loyalty through marketing campaigns and exclusive product lines. This focus paid off in the quarter, with same store sales climbing 2 percent overall and its core brands collectively achieving 5 percent growth.

Margins and operational efficiency

Profitability improvements were not only about sales. A 9 percent increase in average unit retail, particularly in fashion and bridal segments, helped lift gross margins. At the same time, cost efficiency measures reduced selling and administrative costs as a percentage of sales. The adjusted operating margin rose to 5.6 percent, supported by corporate reorganization savings. However, impairment charges tied to digital brands such as James Allen and Blue Nile weighed on GAAP results, leading to a net loss on that accounting basis.

Signet Jewelers is expected to experience positive sales volumes in coming months especially during the peak season
Image Credit: Signet

Guidance and future outlook

Looking ahead, Signet forecasts third quarter revenue between $1.34 billion and $1.38 billion, reflecting seasonal trends, but full year guidance has been raised. Adjusted earnings per share are now expected between $8.04 and $9.57. Management remains focused on brand strength, digital expansion, and cost discipline, while investors will watch closely how the company manages ongoing trade uncertainties and digital brand performance. The recent 10 percent increase in dividends underlines confidence in the company’s financial position and its commitment to returning capital to shareholders.

A resilient position in jewelry retail

The steady demand for bridal jewelry and successful execution of its brand strategy reaffirm Signet’s unique role in the U.S. jewelry landscape. While digital challenges persist, the group’s ability to maintain margin gains and grow brand loyalty suggests a stable long-term outlook. In an industry facing shifting consumer habits and macroeconomic uncertainties, Signet’s performance demonstrates the enduring power of jewelry as a purchase tied deeply to sentiment and special occasions. This positions the company as a resilient market leader well prepared to navigate the changing retail environment.

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