Signet Jewelers has upgraded its forecast to investors for its fiscal year 2022 first quarter and full year guidance.
Full year sales are now expected to rise by 17% to 20%, up from a forecast of 14% to 17% published on March 18.
That would mean a full year turnover of $6 billion to $6.14 billion.
Signet’s share price has risen by more than 750% over the past 12 months from $8 per share in April 2020 to $66 today.
Signet says it has seen stronger than expected conversion and average ticket values in the first quarter.
The Company believes this top line strength is likely due to a combination of traction from strategic initiatives as well as tailwinds from stimulus, tax refunds and consumer enthusiasm on the heels of vaccine roll outs.
There is concern that consumers could change their spending from hard consumer goods bought online while in lock down to more more experience-oriented categories.
Signet intends to increase marketing spending to encourage as much discretionary spending as possible to come its way.