Signet Jewelers Earnings Followup

Signet Jewelers Limited (NYSE: SIG) on Thursday announced its first quarter financial results for the 2015 fiscal year.

The company reported revenue for the quarter was $1.06 billion, which was up 6.3 percent from the same quarter last year. Revenue for Signet did not exceed the Street's expectation of $1.07 billion.

Earnings for the quarter came in $1.29/share, which beat the Street's estimate of $1.27/share. Management said this was an increase of 6.2 percent from the same quarter last year. Adjusted earnings per share for the quarter was $1.29, which is an increase of 14.2 percent from the same quarter last year.

CEO Mike Barnes announced, "On May 29, Zale shareholders will vote on our proposed acquisition. We believe our offer provides compelling and immediate value to Zale stockholders while eliminating business execution risk. We encourage all Zale stockholders to support the transaction."

Barnes provided guidance for the second quarter saying, "Acquisition costs are anticipated to impact EPS by $(0.15) to $(0.13) and financing costs are expected to impact EPS by approximately $(0.10), resulting in second quarter EPS of $0.70 to $0.78 based on an estimated 80.2 million weighted average common shares outstanding."

Barnes continued to say, "Full year capital expenditures for Signet continue to be forecast in the range of $180 million to $200 million, and include costs related to: (i) the opening of 75 to 85 new Kay and Jared stores, (ii) store remodels, and (iii) digital and information technology infrastructure."

Signet shares seem to be responding well and were trading up to $104.88, an increase of 5.26 percent from the previous close.