Friday, January 18, 2019

Zales and Kay Parent Signet Hints at Store Closings After Weak Holiday Season

Fortune
Signet Jewelers, the owner of the Kay Jewelers, Zales and Jared chains, on Thursday reported weak holiday sales and hinted that it will speed up store closings, a disappointing development for a retailer in what was a strong consumer spending environment over the holidays. MasterCard Spending Pulse recently estimated U.S. retail sales rose 5.1% during that period. For jewelry, the figure was a 3.7% jump.

But Signet said sales at stores open for at least 12 months fell 1.3% in the nine weeks ended January 5. Signet pointed to “reduced traffic during key December gifting weeks.” Its higher end Jared chain, which operates outside of malls in stand-alone stores, saw the worst of it with comparable sales down 8%.. . . more