Signet’s holiday sales figures reveal UK woes

Signet has announced within its review that H Samuel posted a 0.5 per cent loss, with Ernest Jones experiencing a disappointing 5.5 per cent loss in the nine weeks ending 29 December. In total, H Samuel recorded £75 million in sales during this period, and Ernest Jones posted sales of £51 million.

The slumping UK arm of Signet’s business was propped up by strong sales in the US, however. Overall the jewellery conglomerate recorded an increase in same store sales of 3.3 per cent in the same nine-week period.

Overall, in the 48-week period ended 29 December 2012, the UK division’s total sales of £401 million decreased 3.2 per cent compared to an increase of 3.7 per cent in the comparable 48 weeks.

Same store sales in the UK were up 0.3 per cent compared to an increase of 0.8 per cent in the comparable 48 weeks.

The disappointing figures posted by the UK arm of the business didn’t seem to concern Signet CEO Mike Barnes, who commented: “Business trends continue to be encouraging in the US and have improved in the UK after the holiday season.

“We believe that Signet is well-positioned for Fiscal 2014 and we will remain focused on providing our customers with an outstanding experience, while continuing to invest in the business to further our competitive strengths and create shareholder value.”

UK consumers have spent their money on specific items during the build-up to the festive period, with Mike adding that the UK’s strongest performers were watches and branded jewellery. But the market was broader in the US, as he explained: “During the holiday season in the US we experienced broad based strength across our merchandise offerings led by our initiatives in bridal, branded and exclusive merchandise, coloured diamonds, fashion jewellery and watches.”