The COVID-19 pandemic has adversely affected businesses all over the world, and Signet Jewelers is no exception. The fine jewelry giant and world’s largest diamond jewelry retailer just revealed its latest figures, and there’s a slight dip compared to last year’s quarterly numbers.
Signet Jewelers revenue for the quarter reflected a 1.9% fall, after pulling in 52.99% equity. Even if the numbers seem to reflect some possible internal issues, Signet Jewelers chief executive officer Virginia Drosos feels confident that this only demonstrates the company’s strength.
In an interview with Professional Jeweller, she asserted that the team remains agile as it expands its portfolio amid the global events happening recently. The diamond jewelry retailer looks at its strategy as a way to expand its current market and offerings.
Expanding in the Midst of It All
In fact, one of Signet Jewelers’ main movements for the year remains its acquisition of Blue Nile, a retailer known for modern fine jewelry. This acquisition cost the company $360 million. However, the small dent in numbers appears to exclude this acquisition, which suggests that the company already has its plans laid out even before these major decisions were. The company even highly considered inflation as one of the major reasons for the changes in numbers.
With the holidays coming in, there’s no need to worry about jewelry purchases. It’s more likely that the company may experience a rise in revenue in various ways. When considering its other strengths, there’s definitely reason for Signet Jewelers to be confident with its company’s performance in the coming year.
Power in Progress
Where does this optimism stem from? Drosos emphasized that the tough times are a mere signal for possible growth, if one knew where to look. This confidence may make one wonder, “what company owns Signet Jewelers?” to make these kinds of decisions.
A better question may be, which kind of direction does the management of Signet Jewelers aim to take the company to? Drosos asserted that they are looking at more progressive technology to take their products to higher places.
For starters, Signet Jewelers sees a chunk of its long-term focus on more sustainable efforts in fine jewelry. Even as early as three years ago, the company has been preparing to go big with its offering of lab-created diamonds. Even before COVID-19 hit, Signet Jewelers has been adding significant selections for lab-created diamonds through its two big brands, Kay and Jared.
Not only that, the diamond retailer has enjoyed peaked double-digit increases in sales even at the end of COVID-19’s second year. Before 2021 ended, the retailer reported an almost 20% increase in same-store sales compared to the previous year.
Chasing a Bigger Market
Because online jewelry shopping and spending also flourished during the lockdown months, Signet Jewelers also enjoyed increased online sales. National Jeweler reported that, in 2021, the company’s online presence enjoyed a 14% year-on-year increase. This seems to prove its strategy of looking at every angle for new opportunities.
Its recent acquisition of Blue Nile now lets Signet Jewelers have a significant hand at a younger market base. The Washington-based company brings with it two major components: a younger market base and an expertise in online presence.
Signet Jewelers is not alone when it comes to making its brands match the needs of the times. Jewelry enthusiasts may be wondering, “Who are Signets competitors?” and what will happen to the jewelry scene. Another well-known jewelry company, Mignon Faget, recently rolled out efforts to rebrand after 50 years of being in the business.
What is Signet Jewelers Net Worth?
As of September 2022, Signet Jewelers net worth numbers remain strong at $2.57 billion. However, more than just figures, the company maintains its strong base of buyers due to its values. With over 2,800 jewelry brands under its name, its biggest thrust is still in providing only the best selections of fine jewelry.
Further cushioning the risks, Signet Jewelers opened this year with a reported revenue of $2.81 billion. Considering that the latter months of the year have always yielded high turnarounds for the wedding season, it appears that the brand may be expecting some post-pandemic weddings to come rolling in.
Signet Jewelers’ chief financial and strategy officer Joan Hilson expressed her own predictions about the wedding movement in an earlier interview with The Street. Since Signet Jewelers sees almost half of its business rooted in bridal jewelry, this does give it an advantage to see momentum later on in the year.
Outside of the actual wedding ceremonies, Signet Jewelers sees a big market in engagement rings and fashion. As the world sees a return to a face-to-face setting, shopping trends may also start to change as well.
No doubt the company remains at the helm of progress, movement, and surprise acquisitions. It’s no question that many eyes will remain trained on the company until the year ends. And from the looks of it, Signet Jewelers may be making some groundbreaking moments later on.