Signet Jewelers Limited reported financial results for the second quarter of Fiscal 2027, which ended on August 1, 2026. The company announced sales of $1.528 billion for the period, representing a 2.2% increase in same store sales compared to the prior year. This growth was driven by positive performance across all fine jewelry brands, with high single-digit unit growth observed at higher price points.
On the income statement, the company reported gross margin of $602.4 million, or 39.4% of sales, an improvement of 80 basis points from the previous year. This was attributed to approximately $15 million in refunds for previously paid tariffs and lower inventory and distribution costs. Operating income for the quarter was $87.5 million, or 5.7% of sales, compared to $2.8 million in the prior year. Diluted earnings per share (EPS) were $1.33, up from a loss of $0.22 in Q2 FY26, while adjusted diluted EPS reached $2.19.
In a separate development, Signet entered into a Second Amended and Restated Credit Card Program Agreement with Comenity Bank and Comenity Capital Bank. The agreement extends the partnership through December 31, 2035, and includes a signing bonus and profit-sharing components. The company also updated its full-year Fiscal 2027 guidance. Total sales are now expected to be between $6.7 billion and $6.9 billion, with same store sales projected to be flat to 2.5%. Adjusted diluted EPS guidance has been raised to a range of $10.45 to $12.15, an increase of over 10% from the previous forecast.
Signet also announced capital return initiatives. The Board of Directors approved an expansion of the share repurchase authorization by approximately $385 million, bringing the total authorization to $700 million. The company intends to enter into a $125 million Accelerated Share Repurchase (ASR) agreement in the near term. Additionally, a quarterly cash dividend of $0.35 per share was declared for the third quarter of Fiscal 2027.
