Signet lifts adjusted EPS range as tariff refunds enter forecast

Sales slipped. Operating income did not.

Signet reported $1.5281bn of second-quarter sales, down from $1.5351bn a year earlier, while comparable sales increased 2.2 percent, Wednesday's results show. Operating income rose to $87.5m from $2.8m.

The jeweler raised its full-year adjusted earnings range to $10.45 to $12.15 per share from $9.20 to $11.00. Its assumptions include about $30m of tariff refunds and a $30m to $40m benefit from a renewed consumer-credit agreement.

Signet received about $15m of tariff refunds in the quarter, $13m more than expected. Gross margin increased 80 basis points to 39.4 percent.