4th Aug 2005 12:30
Signet Group PLC04 August 2005 Embargoed until 12.30 p.m. (BST)Signet Group plc (LSE: SIG, NYSE: SIG) 4 August 2005 Signet Like For Like Sales Up 3.3% in Second Quarter Signet Group plc (LSE: SIG and NYSE: SIG), the world's largest speciality retailjeweller, today announced its second quarter 2005/06 sales performance for the13 week period from 1 May 2005 to 30 July 2005. 13 WEEKS TO 30 JULY 2005 Group like for like sales rose by 3.3% in the 13 week period. Total sales wereup by 6.4% to £352.4 million (13 weeks to 31 July 2004: £331.1 million, see Note1) reflecting an underlying increase of 6.8% at constant exchange rates (seeNote 2). The breakdown of the sales performance was as follows: Sales(a) Change on Previous Year --------- ---------------------- £ million % of Total Reported At Constant Exchange Rates Like for Like US 260.4 73.9 13.3% 13.8% 8.8%UK 92.0 26.1 -9.1% -9.1% -9.3% (b)GROUP 352.4 100.0 6.4% 6.8% 3.3% (a) Sales figures in this announcement have been reported using International Financial Reporting Standards ("IFRS"). A reconciliation to the previously announced figures for the 13 weeks to 31 July 2004 is set out in Note 1. There is no material impact on like for like sales figures.(b) H.Samuel like for like sales were down by -10.3% and Ernest Jones by -8.2%. 26 WEEKS TO 30 JULY 2005 Group like for like sales rose by 3.3% in the 26 week period. Total sales wereup by 5.6% to £721.4 million (26 weeks to 31 July 2004: £683.0 million, see Note1) reflecting an underlying increase of 6.8% at constant exchange rates (seeNote 2). The average US dollar exchange rate for the period was £1/$1.86 (2004/05 H1: £1/$1.83). The breakdown of the sales performance was as follows: Sales(c) Change on Previous Year ------------------------- £ million % of Total Reported At Constant Exchange Rates Like for Like US 538.1 74.6 10.8% 12.6% 7.9%UK 183.3 25.4 -7.1% -7.1% -7.8% (d)GROUP 721.4 100.0 5.6% 6.8% 3.3% (c) Sales figures in this announcement have been reported using International Financial Reporting Standards ("IFRS"). A reconciliation to the previously announced figures for the 26 weeks to 31 July 2004 is set out in Note 1. There is no material impact on like for like sales figures.(d) H.Samuel like for like sales were down by -8.4% and Ernest Jones by -7.1%. Comment Terry Burman, Group Chief Executive, commented, "The period illustrated thebenefit the Group derived from its c.70% US / 30% UK sales mix. Our US businessperformed particularly well which compensated for very difficult tradingconditions in the UK. Although facing strong comparatives Group like for likesales were up 3.3% in both the second quarter and the six month period." Enquiries: Terry Burman, Group Chief Executive +44 (0) 20 7399 9520 Walker Boyd, Group Finance Director +44 (0) 20 7399 9520 Mike Smith, Brunswick +44 (0) 20 7404 5959 Pamela Small, Brunswick +44 (0) 20 7404 5959 Signet operated 1,781 speciality retail jewellery stores at 30 July 2005; theseincluded 1,183 stores in the US, where the Group trades as "Kay Jewelers","Jared The Galleria Of Jewelry" and under a number of regional names. At thatdate Signet operated 598 stores in the UK, where the Group trades as "H.Samuel","Ernest Jones" and "Leslie Davis". Further information on Signet is available atwww.signetgroupplc.com. Investor Relation Programme Details The Interim Results for the 26 weeks ended 30 July 2005 are expected to beannounced on Wednesday 31 August 2005. On that date there will be an analysts'meeting at 2.00 p.m. (BST) and 9.00 a.m. (EDT). For all interested parties therewill be a simultaneous audio webcast available on the Signet Group web site (www.signetgroupplc.com) and a live telephone conference call. The details forthe conference call are: European dial-in: +44 (0) 20 7365 1850European 48 hr. replay: +44 (0) 20 7784 1024 Access code: 8633848# US dial-in: +1 718 354 1172US 48 hr. replay: +1 718 354 1112 Access code: 8633848# A video webcast of the presentation is expected to be available from close ofbusiness on 31 August 2005 at www.signetgroupplc.com and on the Thomson RAWbroadband network. On Monday 12 September 2005, in New York, Signet will host an analyst andinstitutional investor seminar and store tour. For further information pleasecontact Yuhau Lin of Taylor Rafferty (+1 212 889 4350) or [email protected]. Note 1 - Prior period restatement Group sales have been restated to reflect changes in accounting standards. Setout below is a reconciliation of sales for the 13 weeks to 31 July 2004 and forthe 26 weeks to 31 July 2004: 13 weeks to 31 July 2004 US UK Group £m £m £m As previously reported 224.0 103.1 327.1US extended service agreement sales as restated in2004/05(1) (1.0) - (1.0)IFRS associated restatements: US insurance income 2.6 - 2.6 Voucher promotions 4.0 - 4.0 Movement in returns provision 0.3 (0.5) (0.2) UK warranty sales - (1.4) (1.4)As reported in accordance with IFRS 229.9 101.2 331.1 26 weeks to 31 July 2004 US UK Group £m £m £m As previously reported 471.4 200.3 671.7US extended service agreement sales as restated in2004/05(1) (3.2) - (3.2)IFRS associated restatements: US insurance income 5.2 - 5.2 Voucher promotions 9.7 - 9.7 Movement in returns provision 2.6 (0.4) 2.2 UK warranty sales - (2.6) (2.6)As reported in accordance with IFRS 485.7 197.3 683.0 (1) Following the adoption of the amendment to FRS 5, 'Application Note G -Revenue Recognition' for the 52 weeks ended 29 January 2005. Note 2 - Impact of constant exchange rates The Group has historically used constant exchange rates to compareperiod-to-period changes in certain financial data. This is referred to as 'atconstant exchange rates' throughout this release. The Group considers this to bea useful measure for analysing and explaining changes and trends in the Group'sresults. The impact of the re-calculation of sales at constant exchange rates,including a reconciliation to the Group's GAAP sales, is shown below. 13 weeks to 30 13 weeks ended 13 weeks ended Growth at Impact of 13 weeks ended Growth atJuly 2005 30 July 31 July actual exchange exchange rate 31 July constant 2005 2004 rates movement 2004 exchange 2005 2004 at constant rates as reported as restated exchange rates (non-GAAP) (non-GAAP)------------------ ------- ------- ------- ------- -------- -------- £m £m % £m £m %------------------ ------- ------- ------- ------- -------- --------Sales by originand destinationUK, ChannelIslands &Republic ofIreland 92.0 101.2 -9.1 - 101.2 -9.1US 260.4 229.9 13.3 (1.0) 228.9 13.8------------------ ------- ------- ------- ------- -------- -------- 352.4 331.1 6.4 (1.0) 330.1 6.8------------------ ------- ------- ------- ------- -------- -------- 26 weeks to 30 26 weeks ended 26 weeks ended Growth at Impact of 26 weeks ended Growth atJuly 2005 30 July 31 July actual exchange exchange rate 31 July constant 2005 2004 rates movement 2004 exchange as reported as restated at constant rates as reported as restated exchange rates (non-GAAP) (non-GAAP)------------------ ------- ------- ------- ------- -------- -------- £m £m % £m £m %------------------ ------- ------- ------- ------- -------- --------Sales by originand destinationUK, ChannelIslands &Republic ofIreland 183.3 197.3 -7.1 - 197.3 -7.1US 538.1 485.7 10.8 (7.8) 477.9 12.6------------------ ------- ------- ------- ------- -------- -------- 721.4 683.0 5.6 (7.8) 675.2 6.8------------------ ------- ------- ------- ------- -------- -------- This release includes statements which are forward-looking statements within themeaning of the Private Securities Litigation Reform Act of 1995. Thesestatements, based upon management's beliefs as well as on assumptions made byand data currently available to management, appear in a number of placesthroughout this release and include statements regarding, among other things,our results of operation, financial condition, liquidity, prospects, growth,strategies and the industry in which the Group operates. Our use of the words"expects," "intends," "anticipates," "estimates," "may," "forecast,""objective," "plan" or "target," and other similar expressions are intended toidentify forward-looking statements. These forward-looking statements are notguarantees of future performance and are subject to a number of risks anduncertainties, including but not limited to general economic conditions, themerchandising, pricing and inventory policies followed by the Group, thereputation of the Group, the level of competition in the jewellery sector, theprice and availability of diamonds, gold and other precious metals, seasonalityof the Group's business and financial market risk. For a discussion of these and other risks and uncertainties which could causeactual results to differ materially, see the "Risk and Other Factors" section ofthe Company's 2004/05 Annual Report on Form 20-F filed with the U.S. Securitiesand Exchange Commission on May 3, 2005 and other filings made by the Companywith the Commission. Actual results may differ materially from those anticipatedin such forward-looking statements even if experience or future changes make itclear that any projected results expressed or implied therein may not berealised. The Company undertakes no obligation to update or revise anyforward-looking statements to reflect subsequent events or circumstances. This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
SIG.L