UPDATE: Signet Jewelers Shares Gain After Q2 Results

Shares of Signet Jewelers (NYSE: SIG) jumped more than 3.9% in pre-market trading after the company reported fiscal second-quarter results.The Hamilton, Bermuda-based company posted a quarterly profit of $58 million, or $0.72 per share, versus a year-ago profit of $67.4 million, or $0.84 per share. Excluding items, it earned $1 per share, up from $0.84 per share. Signet had expected adjusted earnings of $0.95 to $1.01 per share.Its total sales jumped 39% to $1.23 billion. However, analysts were expecting a profit of $0.99 per share on revenue of $1.19 billion.Signet's same store sales rose 4.8%, while organic same store sales climbed 6.3% in the quarter. Same-store sales of Kay jumped 8.1%, while Jared posted a 4.9% rise in same store sales. The Zale division's same store sales declined 0.9% in the quarter. Signet's gross margin narrowed to 33.4% from 35.2%.As of August 3, 2014, Cash and cash equivalents were $215.0 million, versus $212.9 million as of August 3, 2013. Net inventories were $2,345.3 million as of August 3, 2014, versus $1,417.7 million as of August 3, 2013. Signet had 3,589 stores on August 2, 2014.For the current quarter, Signet projects adjusted earnings of $0.12 to $0.18 per share, versus analysts' estimates of $0.33 per share.It also expects FY14 earnings of $5.38 to $5.54 per share, versus analysts' estimates of $5.52 per share.Mike Barnes, Chief Executive Officer said, “We are now even more excited about the acquisition of Zale, having begun the integration process. Our integration teams are successfully sharing best practices with implementation already benefitting both organizations and importantly, moving us forward in a positive way. We believe three-year synergy opportunities will be $150 million to $175 million, up from our previous expectation of $100 million.”Signet shares jumped 3.97% to $112.32 in pre-market trading.