5th May 2005 12:30
Signet Group PLC05 May 2005 Embargoed until 12.30 p.m. (BST)Signet Group plc (LSE: SIG, NYSE: SIG) 5 May 2005 Signet Like For Like Sales up 3.3% in First Quarter Signet Group plc (LSE: SIG and NYSE: SIG), the world's largest speciality retailjeweller, today announced its first quarter 2005/06 sales performance for the 13week period from 30 January to 30 April 2005. Group like for like sales rose by 3.3% in the first quarter. Total sales were upby 6.9% at constant exchange rates (see Note 1); but by 4.9% on a reported basisto £369.0 million (13 weeks to 1 May 2004: £351.9 million restated, see Note 2)due to the further weakening of the US dollar from $1.84/£1 to $1.89/£1. Thebreakdown of the sales performance was as follows: Sales(a) Change on Previous Year ------------ -------------------------- £ million % of Total Reported At Constant Like for Like Exchange Rates US 277.7 75.3 8.6% 11.5% 7.1%UK 91.3 24.7 -5.0% -5.0% -6.2%(b)GROUP 369.0 100.0 4.9% 6.9% 3.3% (a) Sales figures in this announcement have been reported using InternationalFinancial Reporting Standards ("IFRS"). A reconciliation to the previouslyannounced figures for the 13 weeks to 1 May 2004 is set out in Note 2. There isno material impact on like for like sales figures.(b) Like for like sales: H.Samuel -6.4% and Ernest Jones -6.0%. Terry Burman, Group Chief Executive, commented, "The 3.3% increase in Group likefor like sales was a solid result which illustrates the benefit of the company'sgeographic spread. In the UK, as previously indicated at the time of the preliminary resultsannouncement on 6 April, the period has seen a marked deterioration in thegeneral retail environment. Divisional like for like sales declined by 6.2% andtrading conditions continue to be very difficult. The US division had a strong first quarter with like for like sales up by 7.1%.While the business was up against particularly challenging prior yearcomparatives in February it still performed well. This was followed by excellentsales in March and April." Enquiries: Terry Burman, Group Chief Executive +44 (0) 20 7399 9520 Walker Boyd, Group Finance Director +44 (0) 20 7399 9520 Mike Smith / Pamela Small, Brunswick +44 (0) 20 7404 5959 Signet operated 1,769 speciality retail jewellery stores at 30 April 2005; theseincluded 1,170 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 599 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. The first quarter earnings results for the 13 weeks ended 30 April 2005 areexpected to be announced on Friday 10 June 2005 at 7.30 a.m. and a conferencecall on that day for all interested parties is expected to take place at 2.00p.m. (BST). European dial-in: +44 (0) 20 7365 1850European 48 hr. replay: +44 (0) 20 7784 1024 Access code: 4956717# US dial-in: +1 718 354 1172US 48 hr. replay: +1 718 354 1112 Access code: 4956717# Note 1 - 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 13 weeks to Growth at Impact of At constant Growth at 30 April 1 May actual exchange exchange constant 2005 2004 exchange rate rates exchange as reported as restated rates movement (non-GAAP) rates (non-GAAP)------------------------------------------------------------------------------------------------- £m £m % £m £m %-------------------------------------------------------------------------------------------------Sales by originand destinationUK, ChannelIslands &Republic ofIreland 91.3 96.1 -5.0 - 96.1 -5.0US 277.7 255.8 8.6 (6.8) 249.0 11.5------------------------------------------------------------------------------------------------- 369.0 351.9 4.9 (6.8) 345.1 6.9------------------------------------------------------------------------------------------------- Note 2 - 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 1 May 2004: US UK Group £m £m £m --------- --------- ---------As previously reported 247.4 97.2 344.6US extended service agreement sales as restated in2004/05(1) (2.2) - (2.2)IFRS associated restatements:US insurance income 2.6 - 2.6Voucher promotions 5.7 - 5.7Movement in returns provision 2.3 0.1 2.4UK warranty sales - (1.2) (1.2) --------- --------- ---------As reported in accordance with IFRS 255.8 96.1 351.9 --------- --------- ---------(1) Following the adoption of the amendment to FRS 5, 'Application Note G -Revenue Recognition' for the 52 weeks ended 29 January 2005. 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:
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