Ring sellers in crisis. People are getting less engaged
Signet Jewelers, one of the world's largest jewelry retailers, has scaled back its full-year expectations.
Requests for rings have fallen. Covid-19 is to blame.
The parent company of Zales and Kay Jewelers expects total sales of $7.1 billion to $7.3 billion in its current fiscal year, compared with previous forecasts of $7.67 billion to $7.84 billion.
Diluted earnings per share are forecast to be between $9.49 and $10.09, from $11.07 to $11.59 per share.
Engagement rings make up nearly half of Signet's sales, and the company saw fewer sales in the last quarter.
"People still get engaged, but they buy a ring at a slightly lower price," she added.
Signet shares fell 10.7 percent in New York. Shares in Danish jeweler Pandora fell 5 percent.
Signet and other jewelers are facing challenges from couples delaying marriage and fewer and fewer Americans choosing to marry.
The median age of marriage for men and women in 2022 was 30.1 and 28.2, respectively, up from 28.6 for men and 26.6 for women a decade ago.