Signet Jewelers 2026 Q3 Earnings Net Income Surges 185.7% as EPS Jumps 308.3%

Signet Jewelers (SIG) reported fiscal 2026 Q3 earnings on Dec 02, 2025, delivering results that beat expectations. The company raised full-year guidance amid strong revenue growth and improved profitability, though stock price declines reflected cautious market sentiment ahead of the holiday season.

Revenue

The total revenue of Signet Jewelers increased by 3.1% to $1.39 billion in 2026 Q3, up from $1.35 billion in 2025 Q3.

Earnings/Net Income

Signet Jewelers's EPS rose 308.3% to $0.49 in 2026 Q3 from $0.12 in 2025 Q3, marking continued earnings growth. Meanwhile, the company's profitability strengthened with net income of $20 million in 2026 Q3, marking 185.7% growth from $7 million in 2025 Q3. Signet’s EPS surged 308.3% to $0.49, and net income jumped 185.7% to $20 million, indicating robust profitability.

Post-Earnings Price Action Review

The strategy of buying SIG when earnings beat and holding for 30 days delivered impressive results. The strategy achieved a 247.66% return, significantly outperforming the benchmark return of 85.80%. The excess return was 161.86%, indicating that the strategy's focus on earnings beats led to substantial gains. The Sharpe ratio of 0.53 and maximum drawdown of 0.00% suggest the strategy had strong risk-adjusted returns and minimal downside risk.

CEO Commentary

James Symancyk, CEO, highlighted three key takeaways: 1) a third consecutive quarter of 3% same-store sales growth and double Q3 2025 adjusted operating income; 2) merchandise margin expansion (80 bps in Q3) offsetting tariffs and gold costs via pricing strategy and reduced discounting (e.g., Jared’s 25% less promo); 3) holiday readiness with focused assortments in LGD fashion, men’s jewelry, and gifting. He emphasized disciplined promotion cadence, brand equity work, and a modernized marketing approach (e.g., Jared’s De Beers collaboration). Despite macro pressures, Symancyk expressed cautious optimism, noting stronger-than-expected Q3 results and confidence in holiday execution, though acknowledging softer consumer traffic in lower-income segments.

Guidance

Signet raised full-year same-store sales guidance to -0.2% to +1.75%, with Q4 guidance of +0.5% to -5%. Adjusted operating income is expected between $465M and $515M, translating to EPS of $8.43–$9.59 (inclusive of $180M in share repurchases). Q4 operating income guidance is $277M–$327M. Strategic priorities include $145M–$160M in capex, with 70% of Q4 remaining to align with the range. Qualitatively, the company anticipates cautious consumer spending, lower U.S. confidence, and potential promotional flexibility, while leveraging inventory discipline, tariff mitigation, and margin expansion from services and pricing.

Additional News

Signet announced a quarterly dividend of $0.32 per share and continued share repurchases, including $28 million in Q3 and $178 million year-to-date. Analysts at Jefferies and Bank of America upgraded the stock, with price targets of $100 and $110, respectively, reflecting confidence in margin expansion and lab-grown diamond growth. Institutional investors, including Vinva Investment Management, increased stakes in Q2, signaling long-term support for the company’s strategic initiatives.