Signet Jewelers Limited (NYSE:SIG) Q1 2024 Earnings Call Transcript

So, for example, Banter represents a strong self-purchase opportunity for us. We’ve seen the lower price points a bit challenge, but with our scale, we can bring excellent value. So, we believe that we’re performing better as a result, and we lean into services like piercing, which really has been growing. We’ve – I think I mentioned a couple of quarters ago that we’ve expanded from just ear piercing to also needle piercing, which has really been a great new service offering for us. In the quarter, we leaned in heavily on services. It’s a high margin competitive advantage for us, and we saw that really work with services. Totally changing the trajectory of how they’ve ever been in the past. Typically, they follow merchandise comps almost, you know, point for point.

We were able to grow services 5 percentage points in the quarter even though merchandise was down. So, we’re pleased with how those competitive advantages are coming to life and all of that’s really why we’re leaning in to drive more market share growth. Dana, on your question on, I guess, exiting the actual rate of the quarter-to-quarter, we saw the softening start Dana in the, you know, really late into April, and we pivoted to strategic promotion to your point, double down on services. We saw actually late in the quarter services attachment rate go up higher than the 200 basis points that we saw during the quarter, and then it continued. The trend continued really across the fleet and online, we continue to, you know, see the same trends throughout May and June.

What we’re really pleased with is that inventories continue to be well controlled and managed by the team.

Operator: Those are all the questions we have for today, so I’ll turn the call back to the management team for any concluding remarks.

Gina Drosos: Well, I want to thank all of you again for joining us today. What I hope you took away is that despite the pressured environment in which we’re operating, our flexible operating model and strategic investments are working. We are confident in our capabilities, and so we’re playing offense, leaning in to widen our competitive advantages to drive market share growth. Thank you.

Operator: Thank you everyone for joining us today. This concludes the Signet Jewelers Q1 earnings call, and you may now disconnect your lines.