Signet Jewelers Limited revealed a net income of $617.6 million for the 14 weeks that ended on February 3, 2024, in contrast to $268.7 million for the preceding 13 weeks which ended on January 28, 2023. The year-on-year GAAP earnings per share experienced a stark increase, soaring from $5.02 to $11.75. This surge was largely influenced by a $4.94 per share benefit from a deferred tax asset due to the implamentation of the Corporate Income Tax Act of 2023 in Bermuda. The Non-GAAP earnings per share were revealed to be $6.73, compared to the earlier $5.52, which included a $0.38 tax benefit for the fiscal year 2024.
According to an average taken from six analysts from Thomson Reuters, the company was expected to report a profit per share of $6.37 for the quarter, excluding any special items.
Signet reported a total sale of $2.5 billion in the fourth quarter, a decrease of 6.3% from the previous year, while the same store sales declined by 9.6%. The average estimate made by analysts predicted a revenue of $2.55 billion.
In terms of future projections, the company estimates an EPS range of $9.08 to $10.48 and total sales between $6.66 billion to $7.02 billion for fiscal 2025. The same store sales are expected to fluctuate between a 4.5% decline and a 0.5% increase. For the incoming first quarter, total sales are anticipated to lie between $1.47 billion to $1.53 billion with same store sales expected to decline between 11% and 7%.
Joan Hilson, the Chief Financial, Strategy & Services Officer, announced a boost in the share buyback program from $650 million to $850 million due to robust cash conversion. She stressed that the company's common dividend will be increased while maintaining ample financial capacity to deal with impending maturities for this fiscal year.
The company also communicated its decision to declare a cash dividend of $0.29 per share for the first quarter of fiscal 2025, payable on May 24, 2024, for all shareholders on record as of April 26, 2024.
