Signet Group has joined Game Group in standing out as a Christmas loser, in the UK at least.
The jewellery company's Ernest Jones, H Samuel and Leslie Davis stores reported a 0.8% drop in sales in the nine weeks to January 2, and a 2.2% decline in the 48 weeks to the same date. Apparently, charm bracelets, diamonds and prestige watches did well, but overall margins are likely to be around 80 basis points lower than last year. Oh yes, the company also blamed the recent weather conditions for some "limited adverse impact."
To be fair Signet - which evolved from the old Ratners business - now has the bulk of its stores in the US, where nine week sales were up 7.6%, giving a group sales rise of 5.6%. In the 48 week period total sales were down 0.6%, but it has still raised its overall forecast for 2010.
The company's shares - weak before the announcement - are down 62p at £17.03, a 3.5% decline.
