Despite slowing U.S. sales, Signet Jewelers Ltd. reported a 9.4 percent increase in first-quarter profit Thursday. But the jeweler provided second-quarter earnings guidance that fell below analysts’ expectations.
Signet said that for the first quarter ended April 28, net income totaled $82.5 million, or 96 cents a diluted share, compared with year-ago income of $75.4 million, or 87 cents a share.
Quarterly sales rose 1.4 percent to $900 million from $887.3 million in the prior-year period.
Wall Street expected EPS of 91 cents on sales of $912.3 million.
U.S. comparable-store sales rose 1.2 percent in the quarter, and were up by the same percentage in the U.K., where Signet generally nets between 15 and 20 percent of its business.
“Our results year to date, combined with our focus on competitive strengths and our consistent ability to execute our initiatives, leave us well positioned to meet the challenges of the current economic environment and achieve our objectives for the year,” said Signet chief executive officer Mike Barnes.
Citing an unfavorable calendar shift. Signet, which operates H. Samuel, Ernest Jones and Kay and Jared Jewelers, said it expects second-quarter EPS of between 78 cents and 84 cents. Analysts anticipated 90 cents a share.