UPDATE: Signet Jewelers shares soar 8%, after earnings beat, company backs guidance
Signet Jewelers Ltd. shares rose 8% in premarket trade Wednesday, after the company beat estimates for its fiscal first quarter to May 5. The company said it had a net loss of $496.6 million, or $8.48 a share, in the quarter, after earnings of $78.5 million, or $1.03 a share, in the year-earlier period. The number was weighed down by a non-cash impairment charge related to goodwill and intangibles, a loss recognized on held for sale non-prime receivables and restructuring charges, the company said. Adjusted per-share earnings came to 10 cents, ahead of the FactSet consensus for a loss of 9 cents a share. Revenue rose to $1.48 billion from $1.40 billion, also ahead of the FactSet consensus of $1.40 billion. Same-store sales were flat. “Looking ahead, we expect second quarter revenues to be impacted by a tougher prior year same store sales comparison and calendar shifts,” Chief Executive Virgina Drosos said in a statement. “We are maintaining our full year 2019 guidance and are intensely focused on laying the foundation to support improved performance in the holiday season.” The company is still expecting fiscal 2019 same-store sales to be down in the low to mid single digits. Sales are expected to range from $5.9 billion to $6.1 billion and adjusted per-share earnings are expected to range from $3.75 to $4.25. Shares have fallen 21.9% in the year to date, while the S&P 500 has gained 2.8%.