Company to consider options as reliance on financing increases.
While reporting its first quarter results on Thursday, Signet Jewelers also said it will conduct a review of its credit portfolio, according to a release from the company. The retailer, which hired Goldman Sachs as an advisor in the review process, notes it will consider a “full range of options” regarding its credit operations. First-quarter credit metrics showed “strong sequential improvement,” the retailer says.
The review announcement comes as Signet has increased its reliance on financing, taking on consumer loans that bankers may view as subprime debt. Stock analysts have also called into question an accounting method used by the retailer that could underestimate future losses.
Read the full release at Business Wire
