Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
Jan. 29, 2022 | Mar. 11, 2022 | Jul. 31, 2021 | |
Cover [Abstract] | |||
Document Type | 10-K | ||
Document Annual Report | true | ||
Document Period End Date | Jan. 29, 2022 | ||
Current Fiscal Year End Date | --01-29 | ||
Document Transition Report | false | ||
Entity File Number | 1-32349 | ||
Entity Registrant Name | SIGNET JEWELERS LIMITED | ||
Entity Incorporation, State or Country Code | D0 | ||
Entity Address, Address Line One | Clarendon House | ||
Entity Address, Address Line Two | 2 Church Street | ||
Entity Address, City or Town | Hamilton | ||
Entity Address, Postal Zip Code | HM11 | ||
Entity Address, Country | BM | ||
City Area Code | 441 | ||
Local Phone Number | 296 5872 | ||
Title of 12(b) Security | Common Shares of $0.18 each | ||
Trading Symbol | SIG | ||
Security Exchange Name | NYSE | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Small Business | false | ||
Entity Emerging Growth Company | false | ||
ICFR Auditor Attestation Flag | true | ||
Entity Shell Company | false | ||
Entity Public Float | $ 3,348,799,396 | ||
Entity Common Stock, Shares outstanding | 49,873,511 | ||
Documents Incorporated by Reference | The Registrant will incorporate by reference information required in response to Part III, Items 10-14, from its definitive proxy statement for its annual meeting of shareholders which will be filed with the Securities and Exchange Commission within 120 days after January 29, 2022. | ||
Amendment Flag | false | ||
Document Fiscal Year Focus | 2022 | ||
Document Fiscal Period Focus | FY | ||
Entity Central Index Key | 0000832988 |
Audit Information
Audit Information | 12 Months Ended |
Jan. 29, 2022 | |
Audit Information [Abstract] | |
Auditor Name | KPMG, LLP |
Auditor Location | Cleveland, Ohio |
Auditor Firm ID | 185 |
Consolidated Statements Of Oper
Consolidated Statements Of Operations - USD ($) shares in Millions, $ in Millions | 12 Months Ended | ||
Jan. 29, 2022 | Jan. 30, 2021 | Feb. 01, 2020 | |
Income Statement [Abstract] | |||
Sales | $ 7,826 | $ 5,226.9 | $ 6,137.1 |
Cost of sales | (4,702) | (3,493) | (3,904.2) |
Restructuring charges - cost of sales | 0 | (1.4) | (9.2) |
Gross margin | 3,124 | 1,732.5 | 2,223.7 |
Selling, general and administrative expenses | (2,230.9) | (1,587.4) | (1,918.2) |
Restructuring charges | 3.3 | (46.2) | (69.9) |
Asset impairments, net | (1.5) | (159) | (47.7) |
Other operating income (loss) | 8.5 | 2.4 | (29.6) |
Operating income (loss) | 903.4 | (57.7) | 158.3 |
Interest expense, net | (16.9) | (32) | (35.6) |
Other non-operating (loss) income | (2.1) | 0 | 7 |
Income (loss) before income taxes | 884.4 | (89.7) | 129.7 |
Income taxes | (114.5) | 74.5 | (24.2) |
Net income (loss) | 769.9 | (15.2) | 105.5 |
Dividends on redeemable convertible preferred shares | (34.5) | (33.5) | (32.9) |
Net income (loss) attributable to common shareholders | $ 735.4 | $ (48.7) | $ 72.6 |
Earnings (loss) per common share: | |||
Basic (usd per share) | $ 14.01 | $ (0.94) | $ 1.40 |
Diluted (usd per share) | $ 12.22 | $ (0.94) | $ 1.40 |
Weighted average common shares outstanding: | |||
Basic (in shares) | 52.5 | 52 | 51.7 |
Diluted (in shares) | 63 | 52 | 51.8 |
Consolidated Statements Of Comp
Consolidated Statements Of Comprehensive Income (Loss) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 29, 2022 | Jan. 30, 2021 | Feb. 01, 2020 | |
Pre-tax amount | |||
Foreign currency translation adjustments | $ (5.4) | $ 11.2 | $ (1.7) |
Available-for-sale securities: | |||
Unrealized (loss) gain | (0.3) | 0.2 | (0.2) |
Reclassification adjustment for losses to earnings | 0 | 0 | 1 |
Cash flow hedges: | |||
Unrealized gain (loss) | 0.6 | (1) | 14.8 |
Reclassification adjustment for losses (gains) to earnings | 1 | (16.8) | (3.4) |
Pension plan: | |||
Actuarial (loss) gain | (71.4) | 5.4 | 0.5 |
Reclassification adjustment for amortization of actuarial losses to earnings | 2.1 | 1 | 1.2 |
Reclassification adjustment for amortization of net prior service costs to earnings | 0.1 | 0.1 | 0 |
Total other comprehensive (loss) income | (73.3) | 0.1 | 12.2 |
Tax (expense) benefit | |||
Foreign currency translation adjustments | 0 | 0 | 0 |
Available-for-sale securities: | |||
Unrealized (loss) gain | 0 | 0 | 0 |
Reclassification adjustment for losses to earnings | 0 | 0 | 0 |
Cash flow hedges: | |||
Unrealized gain (loss) | 0 | 0.2 | (3.6) |
Reclassification adjustment for losses (gains) to earnings | (0.3) | 4.2 | 0.7 |
Pension plan: | |||
Actuarial (loss) gain | 13.5 | (1) | (0.1) |
Reclassification adjustment for amortization of actuarial losses to earnings | (0.3) | (0.2) | (0.2) |
Reclassification adjustment for amortization of net prior service costs to earnings | 0 | 0 | 0 |
Total other comprehensive (loss) income | 12.9 | 3.2 | (3.2) |
After-tax amount | |||
Net income | 769.9 | (15.2) | 105.5 |
Foreign currency translation adjustments | (5.4) | 11.2 | (1.7) |
Available-for-sale securities: | |||
Unrealized (loss) gain | (0.3) | 0.2 | (0.2) |
Reclassification adjustment for losses to earnings | 0 | 0 | 1 |
Cash flow hedges: | |||
Unrealized gain (loss) | 0.6 | (0.8) | 11.2 |
Reclassification adjustment for losses (gains) to earnings | 0.7 | (12.6) | (2.7) |
Pension plan: | |||
Actuarial (loss) gain | (57.9) | 4.4 | 0.4 |
Reclassification adjustment for amortization of actuarial losses to earnings | 1.8 | 0.8 | 1 |
Reclassification adjustment for amortization of net prior service costs to earnings | 0.1 | 0.1 | 0 |
Total other comprehensive (loss) income | (60.4) | 3.3 | 9 |
Total comprehensive income (loss) | $ 709.5 | $ (11.9) | $ 114.5 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Millions | Jan. 29, 2022 | Jan. 30, 2021 |
Current assets: | ||
Cash and cash equivalents | $ 1,418.3 | $ 1,172.5 |
Accounts receivable, net | 19.9 | 88.7 |
Other current assets | 208.6 | 236.6 |
Income taxes | 23.2 | 51.7 |
Inventories | 2,060.4 | 2,032.5 |
Total current assets | 3,730.4 | 3,582 |
Non-current assets: | ||
Property, plant and equipment, net | 575.9 | 605.5 |
Operating lease right-of-use assets | 1,206.6 | 1,362.2 |
Goodwill | 484.6 | 238 |
Intangible assets, net | 314.2 | 179 |
Other assets | 226.1 | 195.8 |
Deferred tax assets | 37.3 | 16.4 |
Total assets | 6,575.1 | 6,178.9 |
Current liabilities: | ||
Accounts payable | 899.8 | 812.6 |
Accrued expenses and other current liabilities | 501.6 | 494.1 |
Deferred revenue | 341.3 | 288.7 |
Operating lease liabilities | 300 | 377.3 |
Income taxes | 28 | 26 |
Total current liabilities | 2,070.7 | 1,998.7 |
Non-current liabilities: | ||
Long-term debt | 147.1 | 146.7 |
Operating lease liabilities | 1,005.1 | 1,147.3 |
Other liabilities | 117.6 | 111.1 |
Deferred revenue | 857.6 | 783.3 |
Deferred tax liabilities | 160.9 | 159.2 |
Total liabilities | 4,359 | 4,346.3 |
Commitments and contingencies | ||
Series A redeemable convertible preferred shares of $0.01 par value: 500 shares authorized, 0.625 shares outstanding | 652.1 | 642.3 |
Shareholders’ equity: | ||
Common shares of $0.18 par value: authorized 500 shares, 49.9 shares outstanding (2021: 52.3 shares outstanding) | 12.6 | 12.6 |
Additional paid-in capital | 231.2 | 258.8 |
Other reserves | 0.4 | 0.4 |
Treasury shares at cost: 20.1 shares (2021: 17.7 shares) | (1,206.7) | (980.2) |
Retained earnings | 2,877.4 | 2,189.2 |
Accumulated other comprehensive loss | (350.9) | (290.5) |
Total shareholders’ equity | 1,564 | 1,190.3 |
Total liabilities, redeemable convertible preferred shares and shareholders’ equity | $ 6,575.1 | $ 6,178.9 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - $ / shares | Jan. 29, 2022 | Jan. 30, 2021 |
Common shares, par value (usd per share) | $ 0.18 | $ 0.18 |
Common shares, authorized (in shares) | 500,000,000 | 500,000,000 |
Common shares, outstanding (in shares) | 49,900,000 | 52,300,000 |
Treasury shares, shares (in shares) | 20,100,000 | 17,700,000 |
Series A Redeemable Convertible Preferred Stock | ||
Preferred shares, par value (usd per share) | $ 0.01 | $ 0.01 |
Preferred shares, authorized (in shares) | 500,000,000 | 500,000,000 |
Preferred shares, outstanding (in shares) | 625,000 | 625,000 |
Consolidated Statements Of Cash
Consolidated Statements Of Cash Flows - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 29, 2022 | Jan. 30, 2021 | Feb. 01, 2020 | |
Cash flows from operating activities: | |||
Net income | $ 769.9 | $ (15.2) | $ 105.5 |
Adjustments to reconcile net income (loss) to net cash provided by operating activities: | |||
Depreciation and amortization | 163.5 | 176 | 178 |
Amortization of unfavorable contracts | (3.3) | (5.4) | (5.5) |
Share-based compensation | 45.8 | 14.5 | 16.9 |
Deferred taxation | 0.1 | 141.8 | 21.5 |
Asset impairments | 1.5 | 159 | 47.7 |
Restructuring charges | 0 | 14.7 | 25.9 |
Net loss (gain) on extinguishment of debt | 0 | 0.4 | (6.2) |
Other non-cash movements | 4.8 | 0.3 | (4.3) |
Changes in operating assets and liabilities, net of acquisitions: | |||
Decrease (increase) in accounts receivable | 12.4 | (50.1) | (15.2) |
Proceeds from sale of in-house finance receivables | 81.3 | 0 | 0 |
(Increase) decrease in other assets and other receivables | (39.9) | 181.9 | (184.2) |
Decrease in inventories | 198.3 | 308 | 48.8 |
Increase in accounts payable | 35.7 | 577.8 | 77.2 |
(Decrease) increase in accrued expenses and other liabilities | (30.1) | (185.8) | 232.9 |
Change in operating lease assets and liabilities | (64.1) | 31.2 | (9.4) |
Increase in deferred revenue | 100.5 | 73.1 | 30.8 |
Changes in income tax receivable and payable | (6.7) | (45.5) | 0.6 |
Pension plan contributions | (12.4) | (4.4) | (5.3) |
Net cash provided by operating activities | 1,257.3 | 1,372.3 | 555.7 |
Investing activities | |||
Purchase of property, plant and equipment | (129.6) | (83) | (136.3) |
Proceeds from sale of assets | 0 | 0 | 0.5 |
Purchase of available-for-sale securities | (1) | 0 | (13.3) |
Proceeds from sale of available-for-sale securities | 3.7 | 5.2 | 8.3 |
Acquisitions, net of cash acquired | (515.8) | 0 | 0 |
Net cash used in investing activities | (642.7) | (77.8) | (140.8) |
Financing activities | |||
Dividends paid on common shares | (19) | (19.4) | (77.4) |
Dividends paid on redeemable convertible preferred shares | (24.6) | (7.8) | (31.2) |
Repurchase of common shares | (311.8) | 0 | 0 |
Proceeds from term loans | 0 | 0 | 100 |
Repayments of term loans | 0 | (100) | (294.9) |
Settlement of Senior Notes, including third party fees | 0 | 0 | (241.5) |
Proceeds from revolving credit facilities | 0 | 900 | 858.3 |
Repayments of revolving credit facilities | 0 | (1,170) | (588.3) |
Payment of debt issuance costs | (3.9) | 0 | (9.3) |
Increase (decrease) of bank overdrafts | 0 | (87.4) | 47.5 |
Other financing activities | (7.3) | (14) | (0.2) |
Net cash used in financing activities | (366.6) | (498.6) | (237) |
Cash and cash equivalents at beginning of period | 1,172.5 | 374.5 | 195.4 |
Increase in cash and cash equivalents | 248 | 795.9 | 177.9 |
Effect of exchange rate changes on cash and cash equivalents | (2.2) | 2.1 | 1.2 |
Cash and cash equivalents at end of period | $ 1,418.3 | $ 1,172.5 | $ 374.5 |
Consolidated Statements Of Shar
Consolidated Statements Of Shareholders' Equity - USD ($) $ in Millions | Total | Common shares at par value | Additional paid-in capital | Other reserves | Treasury shares | Retained earnings | Accumulated other comprehensive (loss) income |
Balance at Feb. 02, 2019 | $ 1,201.6 | $ 12.6 | $ 236.5 | $ 0.4 | $ (1,027.3) | $ 2,282.2 | $ (302.8) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Net income | 105.5 | 105.5 | |||||
Other comprehensive income | 9 | 9 | |||||
Dividends on common shares | (77.4) | (77.4) | |||||
Dividends on redeemable convertible preferred shares | (32.9) | (32.9) | |||||
Net settlement of equity based awards | (0.1) | (8) | 42.4 | (34.5) | |||
Share-based compensation expense | 16.9 | 16.9 | |||||
Balance at Feb. 01, 2020 | 1,222.6 | 12.6 | 245.4 | 0.4 | (984.9) | 2,242.9 | (293.8) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Net income | (15.2) | (15.2) | |||||
Other comprehensive income | 3.3 | 3.3 | |||||
Dividends on redeemable convertible preferred shares | (33.5) | (33.5) | |||||
Net settlement of equity based awards | (1.4) | (1.1) | 4.7 | (5) | |||
Share-based compensation expense | 14.5 | 14.5 | |||||
Balance at Jan. 30, 2021 | 1,190.3 | 12.6 | 258.8 | 0.4 | (980.2) | 2,189.2 | (290.5) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Net income | 769.9 | 769.9 | |||||
Other comprehensive income | (60.4) | (60.4) | |||||
Dividends on common shares | (28) | (28) | |||||
Dividends on redeemable convertible preferred shares | (34.5) | (34.5) | |||||
Repurchase of common shares | (311.8) | (50) | (261.8) | ||||
Net settlement of equity based awards | (7.3) | (23.4) | 35.3 | (19.2) | |||
Share-based compensation expense | 45.8 | 45.8 | |||||
Balance at Jan. 29, 2022 | $ 1,564 | $ 12.6 | $ 231.2 | $ 0.4 | $ (1,206.7) | $ 2,877.4 | $ (350.9) |
Organization and summary of sig
Organization and summary of significant accounting policies | 12 Months Ended |
Jan. 29, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Organization and summary of significant accounting policies | Organization and summary of significant accounting policies Signet Jewelers Limited (“Signet” or the “Company”), a holding company incorporated in Bermuda, is the world’s largest retailer of diamond jewelry. The Company operates through its 100% owned subsidiaries with sales primarily in the United States (“US”), United Kingdom (“UK”) and Canada. Signet manages its business as three reportable segments: North America, International, and Other. The “Other” reportable segment consists of subsidiaries involved in the purchasing and conversion of rough diamonds to polished stones. See Note 5 for additional discussion of the Company’s reportable segments. Signet’s business is seasonal, with the fourth quarter accounting for approximately 35-40% of annual sales, as well as accounts for a substantial portion of the annual operating profit. The “Holiday Season” consists of results for the months of November and December, with December being the highest volume month of the year. The Company has evaluated and determined that there were no additional events or transactions subsequent to January 29, 2022 for potential recognition or disclosure through the date the consolidated financial statements were issued. There are no material related party transactions. The following accounting policies have been applied consistently in the preparation of the Company’s consolidated financial statements. (a) Basis of preparation The consolidated financial statements of Signet are prepared in accordance with US generally accepted accounting principles (“US GAAP” or “GAAP”) and include the results for the 52 week period ended January 29, 2022 (“Fiscal 2022”), as Signet’s fiscal year ends on the Saturday nearest to January 31. The comparative periods are for the 52 week period ended January 30, 2021 (“Fiscal 2021”) and the 52 week period ended February 1, 2020 (“Fiscal 2020”). Intercompany transactions and balances have been eliminated in consolidation. Signet has reclassified certain prior year amounts to conform to the current year presentation. (b) Risks and uncertainties - COVID-19 In December 2019, a novel coronavirus (“COVID-19”) was identified in Wuhan, China. As a result, the Company experienced significant disruption to its business, specifically in its retail store operations through temporary closures during the first half of Fiscal 2021. By the end of the third quarter of Fiscal 2021, the Company had re-opened substantially all of its stores. However, during the fourth quarter of Fiscal 2021, both the UK and certain Canadian provinces re-established mandated temporary closure of non-essential businesses. The UK stores began to reopen in April 2021, while the Canadian stores began reopening in the second quarter of Fiscal 2022. While there has been no significant impact to the Company’s consolidated financial statements during Fiscal 2022, the full extent and duration of the impact of COVID-19 on the Company’s operations and financial performance is currently unknown and depends on future developments that are uncertain and unpredictable, including the duration and possible resurgence of COVID-19 (including through variants), the success of the vaccine rollout globally, its impact on the Company’s global supply chain, and the uncertainty of customer behavior and potential shifts in discretionary spending. The Company will continue to evaluate the impact of COVID-19 on its business, results of operations and cash flows throughout Fiscal 2023, including the potential impacts on various estimates and assumptions inherent in the preparation of the consolidated financial statements. (c) Use of estimates The preparation of these consolidated financial statements, in conformity with US GAAP and US Securities and Exchange Commission (“SEC”) regulations, requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities at the date of the consolidated financial statements and reported amounts of revenues and expenses during the reported period. Actual results could differ from those estimates. Estimates and assumptions are primarily made in relation to the valuation of accounts receivables, inventories, deferred revenue, derivatives, employee benefits, income taxes, contingencies, right-of-use assets and lease liabilities, asset impairments for goodwill, indefinite-lived intangible and long-lived assets and the depreciation and amortization of long-lived assets. (d) Foreign currency translation The financial position and operating results of certain foreign operations, including the International segment and the Canadian operations of the North America segment, are consolidated using the local currency as the functional currency. Assets and liabilities are translated at the rates of exchange on the consolidated balance sheet date, and revenues and expenses are translated at the monthly average rates of exchange during the period. Resulting translation gains or losses are included in the accompanying consolidated statements of shareholders’ equity as a component of accumulated other comprehensive income (loss) (“AOCI”). Gains or losses resulting from foreign currency transactions are included within other operating income (loss) in the consolidated statements of operations, whereas translation adjustments and gains or losses related to intercompany loans of a long-term investment nature are recognized as a component of AOCI. See Note 10 for additional information regarding the Company’s foreign currency translation. (e) Revenue recognition The Company applies a five-step approach in determining the amount and timing of revenue to be recognized: (1) identifying the contract with a customer; (2) identifying the performance obligations in the contract; (3) determining the transaction price; (4) allocating the transaction price to the performance obligations in the contract; and (5) recognizing revenue when the corresponding performance obligation is satisfied. See Note 3 for additional discussion of the Company’s revenue recognition. (f) Cost of sales and selling, general and administrative expenses Cost of sales includes merchandise costs, net of discounts and allowances; distribution and warehousing costs; and store operating and occupancy costs. Store operating and occupancy costs include utilities, rent, real estate taxes, common area maintenance charges and depreciation. Distribution and warehousing costs including freight, processing, inventory shrinkage and related compensation and benefits. Selling, general and administrative expenses include store staff and store administrative costs; centralized administrative expenses, including information technology; third-party credit costs and credit loss expense; advertising and promotional costs and other operating expenses not specifically categorized elsewhere in the consolidated statements of operations. Compensation and benefits costs included within cost of sales and selling, general and administrative expenses totaled $1,447.7 million in Fiscal 2022 (Fiscal 2021: $996.1 million; Fiscal 2020: $1,196.6 million). (g) Store opening costs The opening costs of new locations are expensed as incurred and included within selling, general and administrative expenses. (h) Advertising and promotional costs Advertising and promotional costs are expensed within selling, general and administrative expenses. Production costs are expensed at the first communication of the advertisements, while communication expenses are recognized each time the advertisement is communicated. For catalogs and circulars, costs are all expensed at the first date they can be viewed by the customer. Point of sale promotional material is expensed when first displayed in the stores. Gross advertising costs totaled $527.0 million in Fiscal 2022 (Fiscal 2021: $343.0 million; Fiscal 2020: $388.9 million). (i) Income taxes Income taxes are accounted for using the asset and liability method, which requires the recognition of deferred tax assets and liabilities for the expected future tax consequences of events that have been included in the consolidated financial statements. Under this method, deferred tax assets and liabilities are recognized by applying statutory tax rates in effect in the years in which the differences between the financial reporting and tax filing bases of existing assets and liabilities are expected to reverse. The effect of a change in tax rates on deferred tax assets and liabilities is recognized in income in the period that includes the enactment date. A valuation allowance is established against deferred tax assets when it is more likely than not that all or a portion of the deferred tax assets will not be realized, based on management’s evaluation of all available evidence, both positive and negative, including reversals of deferred tax liabilities, projected future taxable income and results of recent operations. The Company does not recognize tax benefits related to positions taken on certain tax matters unless the position is more likely than not to be sustained upon examination by tax authorities. At any point in time, various tax years are subject to or are in the process of being audited by various taxing authorities. The Company records a reserve for uncertain tax positions, including interest and penalties. To the extent that management’s estimates of settlements change, or the final tax outcome of these matters is different than the amounts recorded, such differences will impact the income tax provision in the period in which such determinations are made. See Note 11 for additional discussion of the Company’s income taxes. (j) Cash and cash equivalents Cash and cash equivalents consist of cash on hand, money market deposits and amounts placed with external fund managers with an original maturity of three months or less. Cash and cash equivalents are carried at cost which approximates fair value. In addition, receivables from third-party credit card issuers typically converted to cash within five days of the original sales transaction are considered cash equivalents. The following table summarizes the details of the Company’s cash and cash equivalents: (in millions) January 29, 2022 January 30, 2021 Cash and cash equivalents held in money markets and other accounts $ 1,362.4 $ 1,122.2 Cash equivalents from third-party credit card issuers 54.4 48.8 Cash on hand 1.5 1.5 Total cash and cash equivalents $ 1,418.3 $ 1,172.5 The Company’s supplemental cash flow information was as follows: (in millions) Fiscal 2022 Fiscal 2021 Fiscal 2020 Non-cash investing activities: Capital expenditures in accounts payable $ 6.2 $ 1.2 $ 0.1 Supplemental cash flow information: Interest paid $ 14.8 $ 30.5 $ 34.7 Income tax paid (refunded), net (1) $ 120.7 $ (176.0) $ 5.7 (1) Includes $183.4 million refunded under the CARES Act in Fiscal 2021. See Note 11 for further details. (k) Accounts receivable In June 2018, the Company completed the sale of the remaining North America customer in-house finance receivables (see Note 13). Subsequent to the completion of this transaction, receivables issued by the Company but pending transfer are classified as “held for sale” and recorded at fair value in the consolidated balance sheet. See Note 22 for additional information regarding the assumptions utilized in the calculation of fair value of the finance receivables held for sale. See Note 14 for discussion of the Company’s accounts receivable and current expected credit losses subsequent to the adoption of Accounting Standards Codification (“ASC”) 326 (as further described in Note 14 ) . (l) Inventories Inventories are primarily held for resale and are valued at the lower of cost or net realizable value. Cost is determined using weighted-average cost, on a first-in first-out basis, for all inventories except for inventories held in the Company’s diamond sourcing operations, where cost is determined using specific identification. Cost includes charges directly related to bringing inventory to its present location and condition. Such charges would include warehousing, security, distribution and certain buying costs. Net realizable value is defined as estimated selling price in the ordinary course of business, less reasonably predictable costs of completion, disposal and transportation. Inventory reserves are recorded for obsolete, slow moving or defective items and shrinkage. Inventory reserves for obsolete, slow moving or defective items are calculated as the difference between the cost of inventory and its estimated net realizable value based on targeted inventory turn rates, future demand, management strategy and market conditions. Due to the inventory primarily consisting of precious stones and metals including gold, the age of the inventory has a limited impact on the estimated net realizable value. Inventory reserves for shrinkage are estimated and recorded based on historical physical inventory results, expectations of future inventory losses and current inventory levels. Physical inventories are taken at least once annually for all store locations and distribution centers. See Note 15 for additional discussion of the Company’s inventories. (m) Vendor contributions Contributions are received from vendors through various programs and arrangements including cooperative advertising. Where vendor contributions related to identifiable promotional events are received, contributions are matched against the costs of promotions. Vendor contributions received as general contributions and not related to specific promotional events are recognized as a reduction of inventory costs. (n) Property, plant and equipment Property, plant and equipment are stated at cost less accumulated depreciation, amortization and impairment charges. Maintenance and repair costs are expensed as incurred. Depreciation and amortization are recognized on the straight-line method over the estimated useful lives of the related assets as follows: Buildings Ranging from 30 – 40 years Leasehold improvements Remaining term of lease, not to exceed 10 years Furniture and fixtures Ranging from 3 – 10 years Equipment and software Ranging from 3 – 7 years Computer software purchased or developed for internal use is stated at cost less accumulated amortization. Signet’s policy provides for the capitalization of external direct costs of materials and services associated with developing or obtaining internal use computer software. In addition, Signet also capitalizes certain payroll and payroll-related costs for employees directly associated with internal use computer projects. Amortization is charged on a straight-line basis over periods from three Capitalized amounts for cloud computing arrangements accounted for as service contracts are included in other assets in the consolidated balance sheets and are amortized to expense over the life of the service contract. The carrying amount of these assets as of January 29, 2022 was $80.7 million (January 30, 2021: $4.1 million). See Note 16 for additional discussion of the Company’s property, plant and equipment, and Note 17 for the Company’s policy for long-lived asset impairment. (o) Goodwill and intangibles In a business combination, the Company estimates and records the fair value of all assets acquired and liabilities assumed, including identifiable intangible assets and liabilities. The fair value of these intangible assets and liabilities is estimated based on management’s assessment, including selection of appropriate valuation techniques, inputs and assumptions in the determination of fair value. Significant estimates in valuing intangible assets and liabilities acquired include, but are not limited to, future expected cash flows associated with the acquired asset or liability, expected life and discount rates. The excess purchase price over the estimated fair values of the assets acquired and liabilities assumed is recognized as goodwill. Goodwill is recorded by the Company’s reporting units based on the acquisitions made by each. Goodwill and other indefinite-lived intangible assets, such as indefinite-lived trade names, are evaluated for impairment annually as of the beginning of the fourth reporting period. Additionally, if events or conditions were to indicate the carrying value of a reporting unit or an indefinite-lived intangible asset may be greater than its fair value, the Company would evaluate the asset for impairment at that time. Impairment testing compares the carrying amount of the reporting unit or other intangible assets with its fair value. When the carrying amount of the reporting unit or other intangible assets exceeds its fair value, an impairment charge is recorded. Intangible assets with definite lives are amortized and reviewed for impairment whenever events or circumstances indicate that the carrying amount of the asset may not be recoverable. If the estimated undiscounted future cash flows related to the asset are less than the carrying amount, the Company recognizes an impairment charge equal to the difference between the carrying value and the estimated fair value, usually determined by the estimated discounted future cash flows of the asset. See Note 19 for additional discussion of the Company’s goodwill and intangibles. (p) Derivatives and hedge accounting The Company enters into various types of derivative instruments to mitigate certain risk exposures related to changes in commodity costs and foreign exchange rates. Derivative instruments are recorded in the consolidated balance sheets at fair value, as either assets or liabilities, with an offset to net income or other comprehensive income (“OCI”), depending on whether the derivative qualifies as an effective hedge. If a derivative instrument meets certain criteria, the Company designates it as a cash flow hedge within the fiscal quarter it is entered into. For effective cash flow hedge transactions, the changes in fair value of the derivative instrument is recognized directly in equity as a component of AOCI and is recognized in the consolidated statements of operations in the same period(s) and on the same financial statement line in which the hedged item affects net income. Gains and losses on derivatives that do not qualify for hedge accounting are recognized immediately in other operating income (loss). In the normal course of business, the Company may terminate cash flow hedges prior to the occurrence of the underlying forecasted transaction. For cash flow hedges terminated prior to the occurrence of the underlying forecasted transaction, management monitors the probability of the associated forecasted cash flow transactions to assess whether any gain or loss recorded in AOCI should be immediately recognized in net income. Cash flows from derivative contracts are included in net cash provided by operating activities. See Note 21 for additional discussion of the Company’s derivatives and hedge activities. (q) Employee benefits The funded status of the defined benefit pension plan in the UK (the “UK Plan”) is recognized on the consolidated balance sheets, and is the difference between the fair value of plan assets and the projected benefit obligation measured at the balance sheet date. Gains or losses and prior service costs or credits that arise and are not included as components of net periodic pension cost are recognized, net of tax, in OCI. Signet also operates a defined contribution plan in the UK, a defined contribution retirement savings plan in the US, and an executive deferred compensation plan in the US. Contributions made by Signet to these benefit arrangements are charged primarily to selling, general and administrative expenses in the consolidated statements of operations as incurred. See Note 23 for additional discussion of the Company’s employee benefits. (r) Debt issuance costs Borrowings include primarily interest-bearing bank loans and bank overdrafts. Direct debt issuance costs on borrowings are capitalized and amortized into interest expense over the contractual term of the related loan. See Note 24 for additional discussion of the Company’s debt issuance costs. (s) Share-based compensation Signet measures share-based compensation cost for awards classified as equity at the grant date based on the estimated fair value of the award and recognizes the cost as an expense on a straight-line basis (net of estimated forfeitures) over the requisite service period of employees. Certain share awards under the Company’s plans include a condition whereby vesting is contingent on Company performance exceeding a given target, and therefore awards granted with this condition are considered to be performance-based awards. Signet estimates fair value using a Black-Scholes model for awards granted under the Omnibus Plan and the binomial valuation model for awards granted under the Share Saving Plans. Deferred tax assets for awards that result in deductions on the income tax returns of subsidiaries are recorded by Signet based on the amount of compensation cost recognized and the subsidiaries’ statutory tax rate in the jurisdiction in which it will receive a deduction. Share-based compensation is primarily recorded in selling, general and administrative expenses in the consolidated statements of operations, consistent with the relevant salary cost. See Note 27 for additional discussion of the Company’s share-based compensation plans. (t) Contingent liabilities Provisions for contingent liabilities are recorded for probable losses when management is able to reasonably estimate the loss or range of loss. When it is reasonably possible that a contingent liability may result in a loss or additional loss, the range of the potential loss is disclosed. See Note 28 for additional discussion of the Company’s contingencies. (u) Dividends Dividends on common shares are reflected as a reduction of retained earnings in the period in which they are formally declared by the Board of Directors (the “Board”). In addition, the cumulative dividends on preferred shares are reflected as a reduction of retained earnings in the period in which they are declared by the Board, as are the deemed dividends resulting from the accretion of issuance costs related to the preferred shares. See Note 7 and Note 8 for additional information related to the Company’s equity, including the preferred shares. |
New accounting pronouncements
New accounting pronouncements | 12 Months Ended |
Jan. 29, 2022 | |
Accounting Policies [Abstract] | |
New accounting pronouncements | New accounting pronouncements The following section provides a description of new accounting pronouncements ("Accounting Standard Update" or "ASU") issued by the Financial Accounting Standards Board ("FASB") that are applicable to the Company. New accounting pronouncements recently adopted In October 2021, the FASB issued ASU 2021-08, Business Combinations (“Topic 805”): Accounting for Contract Assets and Contract Liabilities from Contracts with Customers . This ASU requires that an acquirer recognize and measure customer contract assets and liabilities in a business combination in accordance with Topic 606, Revenue from Contracts with Customers , as if the acquirer had originated the contracts, rather than under Topic 805. Under prior guidance with Topic 805, a liability for deferred revenue was generally recognized at fair value in an acquirer’s financial statements as if it represented a legal obligation. This ASU is effective for fiscal years beginning after December 15, 2022, including interim periods within those fiscal years, with early adoption permitted. The Company elected to early adopt this ASU effective October 31, 2021 on a retrospective basis. The adoption of this ASU did not have a material impact on the Company’s consolidated financial position or results of operations. New accounting pronouncements issued but not yet adopted There are no new accounting pronouncements issued that are expected to have a material impact to the Company in future periods. |
Revenue recognition
Revenue recognition | 12 Months Ended |
Jan. 29, 2022 | |
Revenue from Contract with Customer [Abstract] | |
Revenue recognition | Revenue recognition The following tables provide the Company’s total sales, disaggregated by banner, for Fiscal 2022, Fiscal 2021 and Fiscal 2020: Fiscal 2022 (in millions) North America International Other Consolidated Sales by banner: Kay $ 2,985.8 $ — $ — $ 2,985.8 Zales 1,624.8 — — 1,624.8 Jared 1,326.3 — — 1,326.3 Banter by Piercing Pagoda 553.4 — — 553.4 Diamonds Direct (2) 132.5 — — 132.5 James Allen 422.8 — — 422.8 Peoples 206.2 — — 206.2 International segment banners — 492.4 — 492.4 Other (1) 13.0 — 68.8 81.8 Total sales $ 7,264.8 $ 492.4 $ 68.8 $ 7,826.0 Fiscal 2021 (in millions) North America International Other Consolidated Sales by banner: Kay $ 2,008.6 $ — $ — $ 2,008.6 Zales 1,121.6 — — 1,121.6 Jared 920.9 — — 920.9 Banter by Piercing Pagoda 337.5 — — 337.5 James Allen 301.4 — — 301.4 Peoples 150.9 — — 150.9 International segment banners — 355.9 — 355.9 Other (1) — — 30.1 30.1 Total sales $ 4,840.9 $ 355.9 $ 30.1 $ 5,226.9 Fiscal 2020 (in millions) North America International Other Consolidated Sales by banner: Kay $ 2,414.0 $ — $ — $ 2,414.0 Zales 1,276.8 — — 1,276.8 Jared 1,088.1 — — 1,088.1 Banter by Piercing Pagoda 331.7 — — 331.7 James Allen 250.6 — — 250.6 Peoples 204.6 — — 204.6 International segment banners — 518.0 — 518.0 Other (1) — — 53.3 53.3 Total sales $ 5,565.8 $ 518.0 $ 53.3 $ 6,137.1 (1) Includes sales from Signet’s diamond sourcing initiative and Rocksbox. (2) Includes Diamonds Direct sales since the date of acquisition on November 17, 2021. See Note 4 for further details.. The following tables provide the Company’s total sales, disaggregated by major product, for Fiscal 2022, Fiscal 2021 and Fiscal 2020: Fiscal 2022 (in millions) North America International Other Consolidated Sales by product: Bridal $ 3,087.6 $ 222.8 $ — $ 3,310.4 Fashion 3,130.1 92.7 — 3,222.8 Watches 241.8 157.8 — 399.6 Other (1) 805.3 19.1 68.8 893.2 Total sales $ 7,264.8 $ 492.4 $ 68.8 $ 7,826.0 Fiscal 2021 (in millions) North America International Other Consolidated Sales by product: Bridal $ 2,140.5 $ 166.4 $ — $ 2,306.9 Fashion 1,987.9 69.2 — 2,057.1 Watches 145.6 108.5 — 254.1 Other (1) 566.9 11.8 30.1 608.8 Total sales $ 4,840.9 $ 355.9 $ 30.1 $ 5,226.9 Fiscal 2020 (in millions) North America International Other Consolidated Sales by product: Bridal $ 2,403.4 $ 214.3 $ — $ 2,617.7 Fashion 2,131.0 110.5 — 2,241.5 Watches 214.9 169.1 — 384.0 Other (1) 816.5 24.1 53.3 893.9 Total sales $ 5,565.8 $ 518.0 $ 53.3 $ 6,137.1 (1) Other revenue primarily includes gift and other miscellaneous jewelry sales, extended service plans, repairs, subscriptions, and other miscellaneous non-jewelry sales. The following tables provide the Company’s total sales, disaggregated by channel, for Fiscal 2022, Fiscal 2021 and Fiscal 2020: Fiscal 2022 (in millions) North America International Other Consolidated Sales by channel: Store $ 5,867.9 $ 377.7 $ — $ 6,245.6 eCommerce 1,396.9 114.7 — 1,511.6 Other (1) — — 68.8 68.8 Total sales $ 7,264.8 $ 492.4 $ 68.8 $ 7,826.0 Fiscal 2021 (in millions) North America International Other Consolidated Sales by channel: Store $ 3,772.9 $ 238.9 $ — $ 4,011.8 eCommerce 1,068.0 117.0 — 1,185.0 Other (1) — — 30.1 30.1 Total sales $ 4,840.9 $ 355.9 $ 30.1 $ 5,226.9 Fiscal 2020 (in millions) North America International Other Consolidated Sales by channel: Store $ 4,880.2 $ 453.2 $ — $ 5,333.4 eCommerce 685.6 64.8 — 750.4 Other (1) — — 53.3 53.3 Total sales $ 5,565.8 $ 518.0 $ 53.3 $ 6,137.1 (1) Includes sales from Signet’s diamond sourcing initiative and Rocksbox. The Company recognizes revenues when control of the promised goods and services are transferred to customers, in an amount that reflects the consideration expected to be received in exchange for those goods. Transfer of control generally occurs at the time merchandise is taken from a store, or upon receipt of the merchandise by a customer for an eCommerce shipment. The Company excludes all taxes assessed by government authorities and collected from a customer from its reported sales. The Company’s revenue streams and their respective accounting treatments are further discussed below. Merchandise sales and repairs Store sales are recognized when the customer receives and pays for the merchandise at the store with cash, private label credit card programs, a third-party credit card or a lease purchase option. For online sales shipped to customers, sales are recognized at the estimated time the customer has received the merchandise. Amounts related to shipping and handling that are billed to customers are reflected in sales and the related costs are reflected in cost of sales. Revenues on the sale of merchandise are reported net of anticipated returns and sales tax collected. Returns are estimated based on previous return rates experienced. Any deposits received from a customer for merchandise are deferred and recognized as revenue when the customer receives the merchandise. Revenues derived from providing replacement merchandise on behalf of insurance organizations are recognized upon receipt of the merchandise by the customer. Revenues on repair of merchandise are recognized when the service is complete and the customer collects the merchandise at the store. Extended service plans (“ESP”) The Company recognizes revenue related to ESP sales in proportion to when the expected costs will be incurred. The deferral periods for ESP sales are determined from patterns of claims costs, including estimates of future claims costs expected to be incurred. Management reviews the trends in historical claims to assess whether changes are required to the revenue and cost recognition rates utilized. The Company periodically refreshes its analysis of the claims patterns on at least an annual basis, or more often if circumstances dictate such a review is required (such as occurred as a result of the disruption from COVID-19). A significant change in either the overall claims pattern or the life over which the Company is expected to fulfil its obligation under the warranty, could result in material change to revenues. These changes have not had a material impact on revenue during Fiscal 2022, Fiscal 2021 or Fiscal 2020. The North America segment sells ESP, subject to certain conditions, to perform repair work over the life of the product. Customers generally pay for ESP at the store or online at the time of merchandise sale. Revenue from the sale of the lifetime ESP is recognized consistent with the estimated patterns of claim costs expected to be incurred by the Company in connection with performing under the ESP obligations. Lifetime ESP revenue is deferred and recognized over a maximum of 14 years after the sale of the warranty contract. Although claims experience varies between the Company’s national banners, thereby resulting in different recognition rates, approximately 55% to 60% of revenue is recognized within the first two years on a weighted average basis. Signet also sells warranty agreements in the capacity of an agent on behalf of a third-party. The commission that Signet receives from the third-party is recognized at the time of sale less an estimate of cancellations based on historical experience. Deferred selling costs All direct costs associated with the sale of the ESP plans are deferred and amortized in proportion to the revenue recognized and disclosed as either other current assets or other assets in the consolidated balance sheets. These direct costs primarily include sales commissions and credit card fees. Amortization of deferred ESP selling costs is included within selling, general and administrative expenses in the consolidated statements of operations. Amortization of deferred ESP selling costs was $41.7 million, $26.3 million and $29.5 million in Fiscal 2022, and Fiscal 2021 and Fiscal 2020, respectively. Unamortized deferred selling costs as of Fiscal 2022 and Fiscal 2021 were as follows: (in millions) January 29, 2022 January 30, 2021 Deferred selling costs Other current assets $ 28.4 $ 26.2 Other assets 87.8 85.1 Total deferred selling costs $ 116.2 $ 111.3 Consignment inventory sales Sales of consignment inventory are accounted for on a gross sales basis as the Company maintains control of the merchandise through the point of sale as well as provides independent advice, guidance and after-sales service to customers. Supplier products are selected at the discretion of the Company, and the Company is responsible for determining the selling price and for physical security of the products. The products sold from consignment inventory are similar in nature to other products that are sold to customers and are sold on the same terms. Deferred revenue Deferred revenue consists primarily of ESP and other deferred revenue as follows: (in millions) January 29, 2022 January 30, 2021 ESP deferred revenue $ 1,116.5 $ 1,028.9 Other deferred revenue (1) 82.4 43.1 Total deferred revenue $ 1,198.9 $ 1,072.0 Disclosed as: Current liabilities $ 341.3 $ 288.7 Non-current liabilities 857.6 783.3 Total deferred revenue $ 1,198.9 $ 1,072.0 (1) Other deferred revenue includes primarily revenue collected from customers for custom orders and eCommerce orders, for which control has not yet transferred to the customer. (in millions) Fiscal 2022 Fiscal 2021 ESP deferred revenue, beginning of period $ 1,028.9 $ 960.0 Plans sold (1) 528.9 337.4 Revenue recognized (2) (441.3) (268.5) ESP deferred revenue, end of period $ 1,116.5 $ 1,028.9 (1) Includes impact of foreign currency translation. (2) During Fiscal 2022 and Fiscal 2021, the Company recognized sales of approximately $244.1 million and $163.5 million, respectively, related to deferred revenue that existed at the beginning of the year in respect to ESP. Additionally, no ESP revenue was recognized beginning on March 23, 2020 due to the temporary closure of the Company’s stores and service centers as a result of COVID-19. As the Company began reopening stores and service centers during the second quarter of Fiscal 2021, the Company resumed recognizing service revenue as it fulfilled its performance obligations under the ESP. |
Acquisitions
Acquisitions | 12 Months Ended |
Jan. 29, 2022 | |
Business Combination and Asset Acquisition [Abstract] | |
Acquisitions | Acquisitions Rocksbox On March 29, 2021, the Company acquired all of the outstanding shares of Rocksbox Inc. (“Rocksbox”), a jewelry rental subscription business, for cash consideration of $14.6 million, net of cash acquired. The acquisition was driven by Signet's "Inspiring Brilliance" strategy and its initiatives to accelerate growth in its services offerings. Based on a preliminary purchase price allocation, net assets acquired primarily consist of goodwill and intangible assets (see Note 19 for details). In connection with closing the acquisition, the Company incurred approximately $1.4 million of acquisition-related costs for professional services during Fiscal 2022, which were recorded as selling, general and administrative expenses in the consolidated statements of operations. The results of Rocksbox subsequent to the acquisition date are reported as a component of the North America segment. Pro forma results of operations have not been presented, as the impact on the Company’s consolidated financial results was not material. Diamonds Direct On November 17, 2021, the Company acquired all of the outstanding shares of Diamonds Direct USA Inc., a Delaware corporation (“Diamonds Direct”) for cash consideration of $501.2 million, net of cash acquired of $14.2 million. Diamonds Direct is an off-mall, destination jeweler in the US, operating in 22 retail locations with a highly productive, efficient operating model with demonstrated growth and profitability which is expected to immediately contribute to Signet’s “Inspiring Brilliance” strategy to accelerate growth and expand the Company’s market in accessible luxury and bridal. Diamonds Direct’s strong value proposition, extensive bridal offering and customer-centric, high-touch shopping experience is a destination for younger, luxury-oriented bridal shoppers. The information included herein has been prepared based on the allocation of the purchase price using estimates of the fair value and useful lives of assets acquired and liabilities assumed which were determined by management using a combination of income and cost approaches, including the relief from royalty method and comparable market prices. The purchase price allocation is subject to further adjustment until all pertinent information regarding the assets and liabilities acquired are fully evaluated by the Company. The following table presents the estimated fair value of the assets acquired and liabilities assumed from Diamonds Direct at the date of acquisition: (in millions) Inventories $ 229.1 Property, plant and equipment 32.3 Right-of-use assets 56.9 Intangible assets 126.0 Other assets 6.7 Identifiable assets acquired 451.0 Accounts payable 46.8 Deferred revenue 26.1 Operating lease liabilities 57.6 Deferred taxes 33.6 Other liabilities 27.6 Liabilities assumed 191.7 Identifiable net assets acquired 259.3 Goodwill 241.9 Net assets acquired $ 501.2 The Company recorded acquired intangible assets of $126.0 million, consisting entirely of an indefinite-lived trade name. Goodwill is calculated as the excess of the purchase price over the estimated fair values of the assets acquired and the liabilities assumed in the acquisition, and represents the future economic benefits arising from other assets acquired that could not be individually identified and separately recognized. The amount allocated to goodwill associated with the Diamonds Direct acquisition is primarily the result of expected synergies resulting from combining the activities such as marketing and digital effectiveness, expansion of connected commence capabilities, and sourcing savings. The Company allocated goodwill to its North America reportable segment. None of the goodwill associated with this transaction is deductible for income tax purposes. In connection with the acquisition, the Company incurred $5.0 million of acquisition-related costs during Fiscal 2022, which were recorded as selling, general and administrative expenses in the consolidated statements of operations. The results of Diamonds Direct subsequent to the acquisition date are reported as a component of the North America reportable segment. Pro forma results of operations have not been presented, as the impact on the Company’s consolidated financial results was not material. |
Segment information
Segment information | 12 Months Ended |
Jan. 29, 2022 | |
Segment Reporting [Abstract] | |
Segment information | Segment information Financial information for each of Signet’s reportable segments is presented in the tables below. Signet’s chief operating decision maker utilizes segment sales and operating income, after the elimination of any inter-segment transactions, to determine resource allocations and performance assessment measures. Signet aggregates operating segments with similar economic and operating characteristics. Signet manages its business as three reportable segments: North America, International, and Other. Signet’s sales are derived from the retailing of jewelry, watches, other products and services as generated through the management of its reportable segments. The Company allocates certain support center costs between operating segments, and the remainder of the unallocated costs are included with the corporate and unallocated expenses presented. The North America reportable segment operates across the US and Canada. Its US stores operate nationally in malls and off-mall locations principally as Kay (Kay Jewelers and Kay Jewelers Outlet), Zales (Zales Jewelers and Zales Outlet), Jared (Jared The Galleria Of Jewelry and Jared Vault), Diamonds Direct, James Allen, Banter by Piercing Pagoda, which primarily operates through mall-based kiosks, and Rocksbox. Its Canadian stores operate as the Peoples Jewellers store banner. The International reportable segment operates stores in the UK, Republic of Ireland and Channel Islands. Its stores operate in shopping malls and off-mall locations (i.e. high street) principally as H.Samuel and Ernest Jones. The Other reportable segment consists of subsidiaries involved in the purchasing and conversion of rough diamonds to polished stones. (in millions) Fiscal 2022 Fiscal 2021 Fiscal 2020 Sales: North America segment (1) $ 7,264.8 $ 4,840.9 $ 5,565.8 International segment 492.4 355.9 518.0 Other segment 68.8 30.1 53.3 Total sales $ 7,826.0 $ 5,226.9 $ 6,137.1 Operating income (loss): North America segment (2) $ 981.4 $ 57.9 $ 284.9 International segment (3) 14.4 (43.3) 9.0 Other segment (4) (0.2) (0.3) (15.9) Corporate and unallocated expenses (5) (92.2) (72.0) (119.7) Total operating income (loss) 903.4 (57.7) 158.3 Interest expense (16.9) (32.0) (35.6) Other non-operating (loss) income (2.1) — 7.0 Income (loss) before income taxes $ 884.4 $ (89.7) $ 129.7 Depreciation and amortization: North America segment $ 149.2 $ 163.7 $ 159.9 International segment 14.0 12.0 17.8 Other segment 0.3 0.3 0.3 Total depreciation and amortization $ 163.5 $ 176.0 $ 178.0 Capital additions: North America segment $ 112.6 $ 79.0 $ 128.3 International segment 16.6 4.0 8.0 Other segment 0.4 — — Total capital additions $ 129.6 $ 83.0 $ 136.3 (1) Sales include sales of $206.2 million, $150.9 million and $204.6 million generated by Canadian operations in Fiscal 2022, Fiscal 2021 and Fiscal 2020, respectively. (2) Fiscal 2022 includes: 1) $5.4 million of cost of sales associated with the fair value step-up of inventory acquired in the Diamonds Direct acquisition; 2) $6.4 million of acquisition-related expenses related to Diamonds Direct and Rocksbox; 3) net asset impairment charges of $2.0 million; 4) $1.4 million of gains associated with the sale of customer in-house finance receivables; and 5) $1.0 million credit to restructuring expense, primarily related to adjustments to previously recognized restructuring liabilities. Fiscal 2021 includes: 1) $1.6 million related to inventory charges recorded in conjunction with the Company’s restructuring activities; 2) $36.0 million primarily related to severance, professional fees and store closure costs recorded in conjunction with the Company’s restructuring activities; and 3) asset impairment charges of $136.7 million. Fiscal 2020 includes: 1) $6.0 million related to inventory charges recorded in conjunction with the Company’s restructuring activities; 2) $42.1 million primarily related to severance, professional fees and store closure costs recorded in conjunction with the Company’s restructuring activities; and 3) asset impairment charges of $47.7 million. See Note 4, Note 6, Note 13, Note 17 and Note 19 for additional information. (3) Fiscal 2022 includes net asset impairment gains of $0.5 million. Fiscal 2021 includes 1) $9.7 million primarily related to severance and store closure costs recorded in conjunction with the Company’s restructuring activities; and 2) asset impairment charges of $22.3 million. Fiscal 2020 includes $7.0 million primarily related to severance and store closure costs recorded in conjunction with the Company’s restructuring activities. See Note 6 and Note 17 for additional information. (4) Fiscal 2021 includes $0.2 million benefit recognized due to a change in inventory reserves previously recognized as part of the Company’s restructuring activities. Fiscal 2020 includes $3.2 million related to inventory charges recorded in conjunction with the Company’s restructuring activities. See Note 6 for additional information. (5) Fiscal 2022 includes: 1) charges of $1.7 million related to the settlement of previously disclosed shareholder litigation matters; and 2) $2.3 million credit to restructuring expense primarily related to adjustments to previously recognized restructuring liabilities. Fiscal 2021 includes: 1) charges of $7.5 million related to the settlement of previously disclosed shareholder litigation matters, net of expected insurance proceeds; and 2) $0.5 million related to charges recorded in conjunction with the Company’s restructuring activities. Fiscal 2020 includes: 1) charges of $33.2 million related to the settlement of previously disclosed shareholder litigation matters, inclusive of expected insurance proceeds; and 2) $20.8 million related to charges recorded in conjunction with the Company’s restructuring activities. See Note 6 and Note 28 for additional information. (in millions) January 29, 2022 January 30, 2021 Total assets: North America segment $ 5,540.1 $ 5,101.9 International segment 438.2 514.2 Other segment 81.2 44.9 Corporate and unallocated 515.6 517.9 Total assets $ 6,575.1 $ 6,178.9 Total long-lived assets (1) : North America segment $ 1,328.4 $ 978.1 International segment 43.4 41.6 Other segment 2.9 2.8 Total long-lived assets $ 1,374.7 $ 1,022.5 (1) Includes property, plant and equipment; goodwill; and other intangible assets. |
Restructuring plans
Restructuring plans | 12 Months Ended |
Jan. 29, 2022 | |
Restructuring and Related Activities [Abstract] | |
Restructuring plans | Restructuring Plans Signet Path to Brilliance Plan During the first quarter of Fiscal 2019, Signet launched a three-year comprehensive transformation plan, the “Signet Path to Brilliance” plan (the “Plan”) to reposition the Company to be the OmniChannel jewelry category leader. Restructuring activities related to the Plan were substantially completed in Fiscal 2021. During Fiscal 2022, Signet recorded credits to restructuring expense of $3.3 million, primarily related to adjustments to previously recognized Plan liabilities. Restructuring charges and other Plan-related costs are classified in the consolidated statements of operations as follows: (in millions) Statement of operations location Fiscal 2022 Fiscal 2021 Fiscal 2020 Inventory charges Restructuring charges - cost of sales $ — $ 1.4 $ 9.2 Other Plan related expenses Restructuring charges (3.3) 46.2 69.9 Total Signet Path to Brilliance Plan expenses $ (3.3) $ 47.6 $ 79.1 The composition of restructuring charges the Company incurred during Fiscal 2022, Fiscal 2021 and Fiscal 2020, as well as the cumulative amount incurred through January 29, 2022, were as follows: (in millions) Fiscal 2022 Fiscal 2021 Fiscal 2020 Cumulative amount Inventory charges $ — $ 1.4 $ 9.2 $ 72.8 Termination benefits (1.1) 24.1 16.1 48.8 Store closure and other costs (2.2) 22.1 53.8 127.7 Total Signet Path to Brilliance Plan expenses $ (3.3) $ 47.6 $ 79.1 $ 249.3 Plan liabilities of $1.9 million were recorded within accrued expenses and other current liabilities and Plan liabilities of $2.1 million were recorded within other liabilities in the consolidated balance sheet as of January 29, 2022. The remaining Plan liabilities primarily represent store closure liabilities. The following table summarizes the activity related to the Plan liabilities between periods: (in millions) Termination benefits Store closure and other costs Consolidated Balance at February 2, 2019 $ — $ 12.6 $ 12.6 Payments and other adjustments (14.1) (65.2) (79.3) Charged to expense 16.1 63.0 79.1 Balance at February 1, 2020 2.0 10.4 12.4 Payments and other adjustments (24.0) (25.8) (49.8) Charged to expense 24.1 23.5 47.6 Balance at January 30, 2021 2.1 8.1 10.2 Payments and other adjustments (1.0) (1.9) (2.9) Charged to expense (1.1) (2.2) (3.3) Balance at January 29, 2022 $ — $ 4.0 $ 4.0 |
Redeemable preferred shares
Redeemable preferred shares | 12 Months Ended |
Jan. 29, 2022 | |
Temporary Equity Disclosure [Abstract] | |
Redeemable preferred shares | Redeemable preferred shares On October 5, 2016, the Company issued 625,000 preferred shares to Green Equity Investors VI, L.P., Green Equity Investors Side VI, L.P., LGP Associates VI-A LLC and LGP Associates VI-B LLC, all affiliates of Leonard Green & Partners, L.P., (together, the “Investors”) for an aggregate purchase price of $625.0 million, or $1,000 per share (the “Stated Value”) pursuant to the investment agreement dated August 24, 2016. The Company's preferred shares are classified as temporary equity within the consolidated balance sheets. In connection with the issuance of the preferred shares, the Company incurred direct and incremental expenses of $13.7 million, including financial advisory fees, closing costs, legal expenses and other offering-related expenses. These direct and incremental expenses originally reduced the preferred shares carrying value, and are accreted through retained earnings as a deemed dividend from the date of issuance through the first possible known redemption date, November 2024. Accumulated accretion relating to these fees of $9.0 million was recorded in the consolidated balance sheet as of January 29, 2022 (January 30, 2021: $7.3 million). Dividend rights: The preferred shares rank senior to the Company’s common shares, with respect to dividend rights and rights on the distribution of assets on any voluntary or involuntary liquidation, dissolution or winding up of the affairs of the Company. The liquidation preference for preferred shares is equal to the greater of (a) the Stated Value per share, plus all accrued but unpaid dividends and (b) the consideration holders would have received if preferred shares were converted into common shares immediately prior to the liquidation. Preferred shareholders are entitled to a cumulative dividend at the rate of 5% per annum, payable quarterly in arrears, commencing on February 15, 2017, either in cash or by increasing the Stated Value at the option of the Company. In addition, preferred shareholders were entitled to receive dividends or distributions declared or paid on common shares on an as-converted basis, other than the Company’s regularly declared quarterly cash dividends not in excess of 130% of the arithmetic average of the regular, quarterly cash dividends per common share, if any, declared by the Company during the preceding four calendar quarters. On November 2, 2016, the Board approved certain changes to the rights of the preferred shareholders, including the following: (a) elimination of the right of preferred shareholders to receive dividends or other distributions declared on the Company’s common shares and inclusion of adjustments to the conversion rate in the event of any dividend, distribution, spin-off or certain other events or transactions in respect of the common shares; and (b) addition of a requirement for approval by the holders of the majority of the issued preferred shares for the declaration or payment by the Company of any dividends or other distributions on the common shares other than (i) regularly declared quarterly cash dividends paid on the issued common shares in any calendar quarter in an amount per share that is not more than 130% of the arithmetic average of the regular, quarterly cash dividends per common share, if any, declared by the Company during the preceding four calendar quarters for such quarter and (ii) any dividends or other distributions which are paid or distributed at the same time on the common shares and the preferred shares, provided that the amount paid or distributed to the preferred shares is based on the number of common shares into which such preferred shares could be converted on the applicable record date for such dividends or other distributions. Conversion features: Preferred shares are convertible at the option of the holders at any time into common shares at the then applicable conversion rate. The conversion rate is subject to certain anti-dilution and other adjustments, including stock split / reverse stock split transactions, regular dividends declared on common shares, share repurchases (excluding amounts through open market transactions or accelerated share repurchases) and issuances of common shares or other securities convertible into common shares. The initial issuance did not include a beneficial conversion feature as the conversion price used to set the conversion ratio at the time of issuance was greater than the Company’s common stock price. At any time on or after October 5, 2018, all or a portion of outstanding preferred shares are convertible at the option of the Company if the closing price of common shares exceeds 175% of the then applicable conversion price for at least 20 consecutive trading days. The following table presents certain conversion measures as of January 29, 2022 and January 30, 2021: (in millions, except conversion rate and conversion price) January 29, 2022 January 30, 2021 Conversion rate 12.2297 12.2297 Conversion price $ 81.7682 $ 81.7682 Potential impact of preferred shares if-converted to common shares 8.0 7.9 Liquidation preference $ 665.1 $ 656.8 Redemption rights: At any time after November 15, 2024, the Company will have the right to redeem any or all, and the holders of the preferred shares will have the right to require the Company to repurchase any or all, of the preferred shares for cash at a price equal to the Stated Value plus all accrued but unpaid dividends. Upon certain change of control or delisting events involving the Company, preferred shareholders can require the Company to repurchase, subject to certain exceptions, all or any portion of its preferred shares at (a) an amount in cash equal to 101% of the Stated Value plus all accrued but unpaid dividends or (b) the consideration the holders would have received if they had converted their preferred shares into common shares immediately prior to the change of control event. Voting rights: Preferred shareholders are entitled to vote with the holders of common shares on an as-converted basis. Holders of preferred shares are entitled to a separate class vote with respect to certain designee(s) for election to the Company’s Board, amendments to the Company’s organizational documents that have an adverse effect on the preferred shareholders and issuances by the Company of securities that are senior to, or equal in priority with, the preferred shares. Registration rights: Preferred shareholders have certain customary registration rights with respect to the preferred shares and the shares of common shares into which they are converted, pursuant to the terms of a registration rights agreement. |
Common shares, treasury shares,
Common shares, treasury shares, and dividends | 12 Months Ended |
Jan. 29, 2022 | |
Equity [Abstract] | |
Common shares, treasury shares, and dividends | Common shares, treasury shares, and dividends Common shares The par value of each Common Share is 18 cents. There have been no issuance of common shares in Fiscal 2022, Fiscal 2021, or Fiscal 2020. Treasury shares Signet may from time to time repurchase common shares under various share repurchase programs authorized by Signet’s Board. Repurchases may be made in the open market, through block trades, accelerated share repurchase agreements or otherwise. The timing, manner, price and amount of any repurchases will be determined by the Company at its discretion, and will be subject to economic and market conditions, stock prices, applicable legal requirements and other factors. The repurchase programs are funded through Signet’s existing cash reserves and liquidity sources. Repurchased shares may be held as treasury shares and used by Signet primarily for issuance of share based awards (refer to Note 27), or for general corporate purposes. Treasury shares represent the cost of shares that the Company purchased in the market under the applicable authorized repurchase program, shares forfeited under the Omnibus Incentive Plan and those previously held by the Employee Stock Ownership Trust (“ESOT”) to satisfy options under the Company’s share option plans. On August 23, 2021, the Board authorized a reinstatement of repurchases under the 2017 Program, as well as an increase in the remaining amount of shares authorized for repurchase under the 2017 Program from $165.6 million to $225 million. In January 2022, the Board increased its authorized share repurchase program by $500 million, bringing the total authorization for the 2017 Program to $1.2 billion. On January 21, 2022, the Company entered into an accelerated share repurchase agreement (“ASR”) with a large financial institution to repurchase the Company’s common shares for an aggregate amount of $250 million. As of January 29, 2022, the Company has made a prepayment of $250 million and took delivery of 2.5 million shares based on a price of $80 per share, which is 80% of the total prepayment amount. On March 14, 2022, the Company received an additional 0.8 million shares, representing the remaining 20% of the total prepayment and final settlement of the ASR. The number of shares received at final settlement was based on the average of the daily volume-weighted average prices of the Company’s common stock during the term of the ASR. The ASR was accounted for as a purchase of common shares and a forward purchase contract. The Company reflected shares delivered as treasury shares as of the date the shares were physically delivered in computing the weighted average common shares outstanding for both basic and diluted earnings per share. The forward stock purchase contract was determined to be indexed to the Company’s own stock and met all of the applicable criteria for equity classification and was reflected as additional paid in capital as of January 29, 2022. The share repurchase activity is outlined in the table below: Fiscal 2022 Fiscal 2021 Fiscal 2020 (in millions, expect per share amounts) Amount Shares Amount repurchased (2) Average Shares Amount Average Shares Amount Average 2017 Program (1) $ 1,159.4 3.2 $ 261.8 $ 81.16 — — $ 0.00 — $ — $ 0.00 (1) The 2017 Program had $413.2 million remaining as of January 29, 2022. (2) The amount repurchased in Fiscal 2022 excludes $50 million related to the forward purchase contract in the ASR. Shares were reissued in the amounts of 2.5 million, 0.0 million and 0.4 million, net of taxes and forfeitures, in Fiscal 2022, Fiscal 2021 and Fiscal 2020, respectively, to satisfy awards outstanding under existing share-based compensation plans. During Fiscal 2022, there were no retirements of common shares previously held as treasury shares in the consolidated balance sheets. Dividends on common shares As a result of COVID-19, Signet’s Board elected to temporarily suspend the dividend program on common shares, effective in the first quarter of Fiscal 2021. The Board elected to reinstate the dividend program on common shares beginning in second quarter of Fiscal 2022. Fiscal 2022 Fiscal 2021 Fiscal 2020 (in millions, except per share amounts) Cash dividend Total Cash dividend Total Cash dividend Total First quarter $ 0.00 — $ 0.00 $ — $ 0.37 $ 19.3 Second quarter 0.18 9.5 0.00 — 0.37 19.3 Third quarter 0.18 9.5 0.00 — 0.37 19.4 Fourth quarter (1) 0.18 9.0 0.00 — 0.37 19.4 Total $ 0.54 $ 28.0 $ 0.00 $ — $ 1.48 $ 77.4 (1) Signet’s dividend policy results in the dividend payment date being a quarter in arrears from the declaration date. As of January 29, 2022 there was $9.0 million recorded in accrued expenses and other current liabilities in the consolidated balance sheets reflecting the cash dividends declared for the fourth quarter of Fiscal 2022. There were no dividends declared or accrued as of January 30, 2021. . Dividends on preferred shares Fiscal 2022 Fiscal 2021 Fiscal 2020 (in millions) Total dividends Total dividends Total dividends First quarter $ 8.2 $ 7.8 $ 7.8 Second quarter 8.2 7.9 7.8 Third quarter 8.3 8.0 7.8 Fourth quarter (1) 8.2 8.1 7.8 Total $ 32.9 $ 31.8 $ 31.2 (1) Signet’s dividend policy results in the preferred share dividend payment date being a quarter in arrears from the declaration date. As a result, as of January 29, 2022 and January 30, 2021, $8.2 million and $8.1 million, respectively, has been recorded in accrued expenses and other current liabilities in the consolidated balance sheets reflecting the dividends on preferred shares declared for the fourth quarter of Fiscal 2022 and Fiscal 2021. As disclosed in Note 7, the Fiscal 2022 and Fiscal 2021 dividends were paid in cash and “in-kind”, respectively. There were no cumulative undeclared dividends on the preferred shares that reduced net income attributable to common shareholders during Fiscal 2022. In addition, deemed dividends of $1.7 million related to accretion of issuance costs associated with the preferred shares were recognized in Fiscal 2022, Fiscal 2021 and Fiscal 2020. |
Earnings (loss) per common shar
Earnings (loss) per common share ("EPS") | 12 Months Ended |
Jan. 29, 2022 | |
Earnings Per Share [Abstract] | |
Earnings per common share (EPS) | Earnings (loss) per common share (“EPS”) Basic EPS is computed by dividing net income attributable to common shareholders by the weighted average number of common shares outstanding for the period. The computation of basic EPS is outlined in the table below: (in millions, except per share amounts) Fiscal 2022 Fiscal 2021 Fiscal 2020 Numerator: Net income (loss) attributable to common shareholders $ 735.4 $ (48.7) $ 72.6 Denominator: Weighted average common shares outstanding 52.5 52.0 51.7 EPS – basic $ 14.01 $ (0.94) $ 1.40 The dilutive effect of share awards represents the potential impact of outstanding awards issued under the Company’s share-based compensation plans, including restricted shares, restricted stock units, performance-based restricted stock units, and stock options issued under the Omnibus Plan and stock options issued under the Share Saving Plans. The dilutive effect of performance share units represents the number of contingently issuable shares that would be issuable if the end of the period was the end of the contingency period and is based on the actual achievement of performance metrics through the end of the current period. The dilutive effect of preferred shares represents the potential impact for common shares that would be issued upon conversion. Potential common share dilution related to share awards and preferred shares is determined using the treasury stock and if-converted methods, respectively. Under the if-converted method, the preferred shares are assumed to be converted at the beginning of the period, and the resulting common shares are included in the denominator of the diluted EPS calculation for the entire period being presented, only in the periods in which such effect is dilutive. Additionally, in periods in which preferred shares are dilutive, cumulative dividends and accretion for issuance costs associated with the preferred shares are added back to net income (loss) attributable to common shareholders. See Note 7 for additional discussion of the Company’s preferred shares. The computation of diluted EPS is outlined in the table below: (in millions, except per share amounts) Fiscal 2022 Fiscal 2021 Fiscal 2020 Numerator: Net income (loss) attributable to common shareholders $ 735.4 $ (48.7) $ 72.6 Add: Dividends on preferred shares 34.5 — — Numerator for diluted EPS $ 769.9 $ (48.7) $ 72.6 Denominator: Weighted average common shares outstanding 52.5 52.0 51.7 Plus: Dilutive effect of share awards (1) 2.5 — 0.1 Plus: Dilutive effect of preferred shares 8.0 — — Diluted weighted average common shares outstanding 63.0 52.0 51.8 EPS – diluted $ 12.22 $ (0.94) $ 1.40 (1) For Fiscal 2022, the estimate dilutive effect of share awards includes 2.0 million contingently issuable performance share awards. No such contingently issuable performance share awards were included in the dilutive effect for Fiscal 2021 or Fiscal 2020. The calculation of diluted EPS excludes the following items for each respective period on the basis that their effect would be anti-dilutive. (in millions) Fiscal 2022 Fiscal 2021 Fiscal 2020 Share awards — 1.8 0.9 Potential impact of preferred shares — 7.8 7.6 Potential impact of accelerated share repurchase 0.6 — — Total anti-dilutive shares 0.6 9.6 8.5 |
Accumulated other comprehensive
Accumulated other comprehensive income (loss) | 12 Months Ended |
Jan. 29, 2022 | |
Equity [Abstract] | |
Accumulated other comprehensive income (loss) | Accumulated other comprehensive income (loss) The following tables present the changes in AOCI by component and the reclassifications out of AOCI, net of tax: Pension plan (in millions) Foreign Gain (losses) on available-for-sale securities, net Gains (losses) Actuarial Prior Accumulated Balance at February 2, 2019 $ (248.4) $ (0.5) $ 4.0 $ (53.8) $ (4.1) $ (302.8) OCI before reclassifications (1.7) (0.2) 11.2 0.4 — 9.7 Amounts reclassified from AOCI to earnings — 1.0 (2.7) 1.0 — (0.7) Net current period OCI (1.7) 0.8 8.5 1.4 — 9.0 Balance at February 1, 2020 $ (250.1) $ 0.3 $ 12.5 $ (52.4) $ (4.1) $ (293.8) OCI before reclassifications 11.2 0.2 (0.8) 4.4 — 15.0 Amounts reclassified from AOCI to earnings — — (12.6) 0.8 0.1 (11.7) Net current period OCI 11.2 0.2 (13.4) 5.2 0.1 3.3 Balance at January 30, 2021 $ (238.9) $ 0.5 $ (0.9) $ (47.2) $ (4.0) $ (290.5) OCI before reclassifications (5.4) (0.3) 0.6 (57.9) — (63.0) Amounts reclassified from AOCI to earnings — — 0.7 1.8 0.1 2.6 Net current period OCI (5.4) (0.3) 1.3 (56.1) 0.1 (60.4) Balance at January 29, 2022 $ (244.3) $ 0.2 $ 0.4 $ (103.3) $ (3.9) $ (350.9) The amounts reclassified from AOCI were as follows: Amounts reclassified from AOCI (in millions) Fiscal 2022 Fiscal 2021 Fiscal 2020 Statement of operations caption Losses (gains) on cash flow hedges: Foreign currency contracts $ 0.6 $ — $ (1.1) Cost of sales (1) De-designated foreign currency contracts — (0.6) — Other operating income (loss) (2) Interest rate swaps — — (0.6) Interest expense, net (1) Commodity contracts 0.4 (6.9) (1.7) Cost of sales (1) De-designated commodity contracts — (9.3) — Other operating income (loss) (2) Total before income tax 1.0 (16.8) (3.4) Income taxes (0.3) 4.2 0.7 Net of tax 0.7 (12.6) (2.7) Defined benefit pension plan items: Amortization of unrecognized actuarial losses 2.1 1.0 1.2 Other non-operating income, net (3) Amortization of unrecognized net prior service credits 0.1 0.1 — Other non-operating income, net (3) Total before income tax 2.2 1.1 1.2 Income taxes (0.3) (0.2) (0.2) Net of tax 1.9 0.9 1.0 Available-for-sale securities: Corporate equity securities, before income tax — — 1.0 Other operating income (loss) (4) Income taxes — — — Net of tax — — 1.0 Total reclassifications, net of tax $ 2.6 $ (11.7) $ (0.7) (1) See Note 21 for additional information. (2) The Company’s cash flow hedges were de-designated during the first quarter of Fiscal 2021. See Note 21 for additional information. (3) These items are included in the computation of net periodic pension benefit (cost). See Note 23 for additional information. (4) See Note 20 for additional information. |
Income taxes
Income taxes | 12 Months Ended |
Jan. 29, 2022 | |
Income Tax Disclosure [Abstract] | |
Income taxes | Income taxes (in millions) Fiscal 2022 Fiscal 2021 Fiscal 2020 Income (loss) before income taxes: – US $ 665.9 $ (173.4) $ 32.3 – Foreign 218.5 83.7 97.4 Total income (loss) before income taxes $ 884.4 $ (89.7) $ 129.7 Current taxation: – US $ 108.1 $ (222.2) $ 3.0 – Foreign 7.6 0.7 1.9 Deferred taxation: – US 8.4 158.4 17.0 – Foreign (9.6) (11.4) 2.3 Total income tax expense (benefit) $ 114.5 $ (74.5) $ 24.2 As the statutory rate of corporation tax in Bermuda is 0%, the differences between the US federal income tax rate and the effective tax rates for Signet have been presented below: Fiscal 2022 Fiscal 2021 Fiscal 2020 US federal income tax rates 21.0 % 21.0 % 21.0 % US state income taxes 3.3 % 4.1 % 3.1 % Differences between US federal and foreign statutory income tax rates (0.1) % 0.1 % 1.3 % Expenditures permanently disallowable for tax purposes, net of permanent tax benefits — % (4.7) % 3.3 % Impact of global reinsurance arrangements (2.2) % 14.1 % (20.3) % Impact of global financing arrangements (0.6) % — % — % Impairment of goodwill — % (2.4) % 7.5 % CARES Act (1.4) % 111.9 % — % Valuation allowance (6.5) % (55.5) % — % Other items (0.6) % (5.5) % 2.8 % Effective tax rate 12.9 % 83.1 % 18.7 % In Fiscal 2022, the Company’s effective tax rate was lower than the US federal income tax rate primarily due to the reversal of the valuation allowance recorded against certain state deferred tax assets, as well as additional benefits realized from the Coronavirus Aid, Relief, and Economic Security Act (“CARES Act”) and the benefits from global reinsurance arrangements. During Fiscal 2022, the Company evaluated evidence to consider the reversal of the valuation allowance on its state net deferred tax assets and determined that there was sufficient positive evidence to conclude that it is more likely than not its state deferred tax assets are realizable. In determining the likelihood of future realization of the state deferred tax assets, the Company considered both positive and negative evidence. As a result, the Company believed that the weight of the positive evidence, including the cumulative income position in the three most recent years and forecasts for a sustained level of future taxable income, was sufficient to overcome the weight of the negative evidence, and thus recorded a $49.8 million tax benefit to release the valuation allowance against the Company's state deferred tax assets during Fiscal 2022. In Fiscal 2021, Signet’s effective tax rate was higher than the US federal income tax rate primarily due to the benefit from the CARES Act enacted on March 27, 2020, and the impact of Signet’s global reinsurance arrangement partially offset by the unfavorable impact of a valuation allowance recorded against certain state deferred tax assets and the impairment of goodwill which was nondeductible for tax purposes. The CARES Act provides a technical correction to the Tax Cuts and Jobs Act allowing fiscal year tax filers with federal net operating losses arising in the 2017/2018 tax year to be carried back two years to tax years that had a higher enacted tax rates which resulted in a tax benefit of $74.0 million. The CARES Act also provides for net operating losses incurred in Fiscal 2021 to be carried back five years to tax years with higher enacted tax rates which resulted in an anticipated tax benefit of $26.4 million, with an additional benefit recognized in the third quarter of Fiscal 2022 of $12.4 million. In addition, during Fiscal 2021, based on weighing all positive and negative evidence, management determined it was more likely than not that it would not be able to realize certain state deferred tax assets primarily related to state net operating losses and recorded a valuation allowance of $49.8 million. Deferred taxes Deferred tax assets (liabilities) consisted of the following: January 29, 2022 January 30, 2021 (in millions) Assets (Liabilities) Total Assets (Liabilities) Total Intangible assets $ — $ (77.0) $ (77.0) $ — $ (41.7) $ (41.7) US property, plant and equipment — (60.2) (60.2) — (55.3) (55.3) Foreign property, plant and equipment 7.1 — 7.1 7.3 — 7.3 Inventory valuation — (237.8) (237.8) — (230.4) (230.4) Revenue deferral 88.6 — 88.6 95.6 — 95.6 Derivative instruments — — — 0.3 — 0.3 Lease assets — (261.9) (261.9) — (295.1) (295.1) Lease liabilities 284.3 — 284.3 331.5 — 331.5 Deferred compensation 7.7 — 7.7 6.7 — 6.7 Retirement benefit obligations 1.5 — 1.5 — (9.8) (9.8) Share-based compensation 8.4 — 8.4 4.4 — 4.4 Other temporary differences 42.4 — 42.4 57.2 — 57.2 Net operating losses and foreign tax credits 84.3 — 84.3 56.5 — 56.5 Value of capital losses 16.9 — 16.9 13.9 — 13.9 Total gross deferred tax assets (liabilities) $ 541.2 $ (636.9) $ (95.7) $ 573.4 $ (632.3) $ (58.9) Valuation allowance (27.9) — (27.9) (83.9) — (83.9) Deferred tax assets (liabilities) $ 513.3 $ (636.9) $ (123.6) $ 489.5 $ (632.3) $ (142.8) Disclosed as: Non-current assets $ 37.3 $ 16.4 Non-current liabilities (160.9) (159.2) Deferred tax assets (liabilities) $ (123.6) $ (142.8) As of January 29, 2022, Signet had deferred tax assets associated with net operating loss carry forwards of $17.9 million, of which $9.3 million are subject to ownership change limitations rules under Section 382 of the Internal Revenue Code (“IRC”) and various US state regulations and expire between 2022 and 2039. Deferred tax assets associated with foreign tax credits also subject to Section 382 of the IRC total $2.1 million as of January 29, 2022, which expire between 2022 and 2024 and foreign net operating loss carryforwards of $23.9 million, which expire between 2022 and 2040. Additionally, Signet had an AMT Credit Carryforward of $40.5 million. Signet had foreign capital loss carryforward deferred tax assets of $14.2 million (Fiscal 2021: $11.2 million), which can be carried forward over an indefinite period and US capital loss carryforwards of $2.7 million which expire in 2022, both of which are only available to offset future capital gains. The decrease in the total valuation allowance in Fiscal 2022 was $56.0 million. The valuation allowance as of January 29, 2022 primarily relates to foreign tax credits, capital and foreign operating loss carry forwards that, in the judgment of management, are not more likely than not to be realized. Refer to further discussion above. Signet believes that it is more likely than not that deferred tax assets not subject to a valuation allowance as of January 29, 2022 will be offset where permissible by deferred tax liabilities or realized on future tax returns, primarily from the generation of future taxable income. Uncertain tax positions The following table summarizes the activity related to the Company’s unrecognized tax benefits for US federal, US state and non-US tax jurisdictions: (in millions) Fiscal 2022 Fiscal 2021 Fiscal 2020 Unrecognized tax benefits, beginning of period $ 25.4 $ 23.5 $ 18.1 Increases related to current year tax positions 2.0 1.0 2.0 Increases related to prior year tax positions 0.4 3.4 6.0 Lapse of statute of limitations (2.9) (2.6) (2.6) Difference on foreign currency translation — 0.1 — Unrecognized tax benefits, end of period $ 24.9 $ 25.4 $ 23.5 As of January 29, 2022, Signet had approximately $24.9 million of unrecognized tax benefits in respect to uncertain tax positions. The unrecognized tax benefits relate primarily to intercompany deductions including financing arrangements and intra-group charges which are subject to different and changing interpretations of tax law. Signet recognizes accrued interest and, where appropriate, penalties related to unrecognized tax benefits within income tax expense (benefit) in the consolidated statements of operations. As of January 29, 2022, Signet had accrued interest of $4.5 million and $0.6 million of accrued penalties. If all of these unrecognized tax benefits were settled in Signet’s favor, the effective income tax rate would be favorably impacted by $27.9 million. Over the next twelve months management believes that it is reasonably possible that there could be a reduction of some or all of the unrecognized tax benefits as of January 29, 2022 due to settlement of the uncertain tax positions with the tax authorities. Signet has business activity in all states within the US and files income tax returns for the US federal jurisdiction and all applicable states. Signet also files income tax returns in the UK, Canada and certain other foreign jurisdictions. Signet is subject to examinations by the US federal and state and Canadian tax authorities for tax years ending after November 1, 2011 and is subject to examination by the UK tax authority for tax years ending after February 1, 2014. |
Other operating income (loss)
Other operating income (loss) | 12 Months Ended |
Jan. 29, 2022 | |
Other Income and Expenses [Abstract] | |
Other operating income (loss) | Other operating income (loss) (in millions) Fiscal 2022 Fiscal 2021 Fiscal 2020 Interest income from customer in-house finance receivables (1) $ 6.5 $ 4.2 $ — Shareholder litigation charges, net of insurance recoveries (2) (1.7) (7.5) (33.2) De-designated cash flow hedges (3) — 9.9 — UK government grants 8.6 — — Other (4.9) (4.2) 3.6 Other operating income (loss) $ 8.5 $ 2.4 $ (29.6) (1) See Note 13 and Note 14 for additional information. (2) See Note 28 for additional information. (3) See Note 21 for additional information. |
Credit transactions
Credit transactions | 12 Months Ended |
Jan. 29, 2022 | |
Receivables [Abstract] | |
Credit transactions | Credit transactions During Fiscal 2018, Signet announced a strategic initiative to outsource its North America private label credit card programs and sell the existing in-house finance receivables. In October 2017, Signet, through its subsidiary Sterling Jewelers Inc (“Sterling”), completed the sale of the prime-only credit quality portion of Sterling’s in-house finance receivable portfolio to Comenity Bank (“Comenity”). Sterling also entered into an agreement with Comenity to outsource its private label credit card programs (the “Sterling Program Agreement”). The Company, through its subsidiary Zale Delaware, Inc. (“Zale”) had previously entered into an agreement with Comenity to provide credit services to its Zales banners for all credit card customers (prime and non-prime) (the “Zale Program Agreement”), and this pre-existing Zale Program Agreement was unaffected by the execution of the Sterling Program Agreement. The Zale Program Agreement was set to expire in January 2023, and the Sterling Program Agreement was set to expire in October 2024. Under the Sterling Program Agreement and Zale Program Agreement (collectively, the “Program Agreements”), Comenity established a program to issue credit cards to be serviced, marketed and promoted in accordance with the terms of the Program Agreements. Subject to limited exceptions, Comenity is the exclusive issuer of private label credit cards or an installment or other closed end loan product in the US bearing specified Company trademarks during the term of the Program Agreements. Upon expiration or termination by either party of the Program Agreements, the Company retains the option to purchase, or arrange the purchase by a third party of, the Program Agreement assets from Comenity on terms that are no more onerous to the Company than those applicable to Comenity under the Program Agreements, or in the case of a purchase by a third party, on customary terms. The Program Agreements contain customary representations, warranties and covenants. During Fiscal 2019, in addition to the prime-only credit card portfolio, the Company also entered into various agreements to outsource the non-prime portion of its private label credit card program for Sterling and sell the existing in-house financing receivables. The non-prime portion of the Sterling credit card portfolio was outsourced to CarVal Investors (“CarVal”) and the appointed minority party, Castlelake, L.P. (“Castlelake” and collectively with CarVal, the “Investors”). Under the agreement with the Investors, Signet remains the issuer of non-prime credit with investment funds managed by the Investors purchasing forward receivables at a discount rate determined in accordance with their respective agreements. Signet holds the newly issued non-prime credit receivables on its balance sheet for two business days prior to selling the receivables to the respective counterparty in accordance with the agreements. The purchase price was settled with 95% received as cash upon closing. The remaining 5% of the purchase price was deferred until the second anniversary of the closing date. Final payment of the deferred purchase price was contingent upon the non-prime in-house finance receivable portfolio achieving a pre-defined yield, which was finalized in Fiscal 2021 (see below). The agreement contains customary representations, warranties and covenants. Various amended and restated agreements have been entered into with the Investors as described below. Fiscal 2021 non-prime agreements with the Investors During Fiscal 2021, the 2018 agreements pertaining to the purchase of non-prime forward flow receivables were terminated and new agreements were executed with the Investors which were effective until June 30, 2021. Those new agreements provided that the Investors will continue to purchase add-on non-prime receivables created on existing customer accounts at a discount rate determined in accordance with the new agreements. As a result of the above agreements, Signet began retaining all forward flow non-prime receivables created for new customers beginning in the second quarter of Fiscal 2021. The termination of the previous agreements had no effect on the receivables that were previously sold to the Investors prior to the termination, except that Signet agreed to extend the Investors’ payment obligation for the remaining 5% of the receivables previously purchased in June 2018 until the new agreements terminate. The Company’s agreement with the credit servicer Genesis Financial Solutions (“Genesis”) remained in place. In January 2021, the Company reached additional agreements with the Investors to further amend the purchase agreements described above through June 30, 2021. CarVal continued to purchase add-on receivables for existing accounts and began to purchase 50% of new forward flow non-prime receivables. Genesis (becoming one of the “Investors”) began to purchase the remaining 50% of new forward flow non-prime receivables through June 30, 2021. Castlelake continued to purchase add-on receivables for existing accounts through June 30, 2021. Signet continued to retain add-on receivables for its existing accounts but no longer retained new forward flow non-prime receivables. Fiscal 2022 amended and restated agreements On May 17, 2021, Sterling and Comenity amended the Sterling Program Agreement. In addition, on May 17, 2021, Zale and Comenity amended the Zale Program Agreement (each a “Program Agreement”, and collectively, the “Amended Program Agreements”). The Amended Program Agreements have an initial term from July 1, 2021 through December 31, 2025 and, unless terminated earlier by either party, automatically renew for successive two Subject to limited exceptions, including permitting a second look program, during the term of the Amended Program Agreements, Comenity will be the exclusive issuer of open-ended credit products (including credit cards) in the US bearing specified Company trademarks, including trademarks associated with Kay, Jared, Zale, Banter by Piercing Pagoda, and other specified regional brands under the Amended Program Agreements. The Amended Program Agreements contain customary representations, warranties, and covenants. Upon expiration or termination by either party of a Program Agreement, Sterling or Zale, as applicable, retains the option to purchase, or arrange the purchase by a third party of, the program assets from Comenity on customary terms and conditions. In the case of a purchase by Sterling upon expiration or termination of the Program Agreement, such purchase shall be on terms that are no more onerous to Sterling than those applicable to Comenity Bank under the Purchase Agreement, dated May 25, 2017, by and between Sterling and Comenity Bank. In addition to the Amended Program Agreements, on May 17, 2021, Sterling entered into an Amended and Restated Program Agreement (the “Genesis Agreement”) with Genesis, which amends and restates the Program Agreement entered into by and between Sterling and Genesis on July 26, 2018. The Genesis Agreement has an initial term from July 1, 2021 through December 31, 2025 and, unless terminated earlier by either party, automatically renews for successive one In March 2021, the Company provided notice to the Investors of its intent not to extend the respective agreements with such Investors beyond the expiration date of June 30, 2021. Effective July 1, 2021 (the “New Program Start Date”), all new prime and non-prime account origination will occur in accordance with the amended and restated Comenity and Genesis agreements as described above. On June 30, 2021, the Company entered into amended and restated receivable purchase agreements with CarVal and Castlelake regarding the purchase of add-on receivables on such Investors’ existing accounts, as well as the purchase of the Company-owned credit card receivables portfolio for accounts that had been originated through Fiscal 2021 (see Note 14). During the second quarter of Fiscal 2022, Signet received cash proceeds of $57.8 million for the sale of these customer in-house finance receivables to the Investors. These receivables had a net book value of $56.4 million as of the sale date, and thus the Company recognized a gain on sale of $1.4 million in the North America reportable segment within other operating income in the consolidated statements of operations during the second quarter of Fiscal 2022. Additionally, during the second quarter of Fiscal 2022, the Company received $23.5 million from the Investors for the payment obligation of the remaining 5% of the receivables previously purchased in June 2018. Fiscal 2023 amended and restated agreements Signet continues to finalize its move toward a fully outsourced credit model. On March 7, 2022, the Company entered into amended and restated receivable purchase agreements with CarVal and Castlelake regarding the purchase of add-on receivables on such Investors’ existing accounts. Under the amended and restated agreements, The Bank of Missouri will be the issuer for the add-on receivables on these existing accounts and CarVal and Castlelake will purchase the receivables from The Bank of Missouri. The following table presents the components of Signet’s accounts receivable: (in millions) January 29, 2022 January 30, 2021 Customer in-house finance receivables, net $ — $ 72.0 Accounts receivable, trade 18.3 11.6 Accounts receivable, held for sale 1.6 5.1 Accounts receivable, net $ 19.9 $ 88.7 As discussed in Note 13, during Fiscal 2021, the 2018 agreements pertaining to the purchase of non-prime forward flow receivables were terminated and new agreements were executed with the Investors which were effective until June 30, 2021. Those new agreements provide that the Investors continued to purchase add-on non-prime receivables created on existing customer accounts but Signet began retaining all forward flow non-prime receivables created for new customers beginning in the second quarter of Fiscal 2021. As further discussed in Note 13, Signet sold all existing customer in-house finance receivables to CarVal and Castlelake during the second quarter of Fiscal 2022. As a result of the amended and restated agreements entered into with Comenity, Genesis, and the Investors during the second quarter of Fiscal 2022, Signet will no longer retain any customer in-house finance receivables. As described above, Signet continues to be the issuer of non-prime credit for add-on purchases on existing accounts. Therefore, the Company holds these non-prime credit receivables on its balance sheet for two business days prior to selling the receivables to the Investors. Receivables originated by the Company but pending transfer to the Investors as of period end were classified as “held for sale” and included in the accounts receivable caption in the consolidated balance sheets. As of January 29, 2022 and January 30, 2021, the accounts receivable held for sale were recorded at fair value. As detailed in Note 13, Signet will transition away from being the issuer of these existing accounts in Fiscal 2023. Accounts receivable, trade primarily includes amounts receivable relating to accounts receivable from our diamond sourcing initiative in the Other reportable segment. Customer in-house finance receivables As discussed in Note 13, the Company began to retain certain customer in-house finance receivables in the second quarter of Fiscal 2021. The allowance for credit losses is an estimate of expected credit losses, measured over the estimated life of its credit card receivables that considers forecasts of future economic conditions in addition to information about past events and current conditions. The Company accounts for the expected credit losses under ASC 326, “Measurement of Credit Losses on Financial Instruments,” which is referred to as the Current Expected Credit Loss (“CECL”) model. The estimate under the CECL model is significantly influenced by the composition, characteristics and quality of the Company’s portfolio of credit card receivables, as well as the prevailing economic conditions and forecasts utilized. The estimate of the allowance for credit losses includes an estimate for uncollectible principal as well as unpaid interest and fees. The allowance is maintained through an adjustment to the provision for credit losses and is evaluated for appropriateness and adjusted quarterly. CECL requires entities to use a “pooled” approach to estimate expected credit losses for financial assets with similar risk characteristics. The Company evaluated multiple risk characteristics of its credit card receivables portfolio and determined that credit quality and account vintage to be the most significant characteristics for estimating expected credit losses. To estimate its allowance for credit losses, the Company segregates its credit card receivables into credit quality categories using the customers’ FICO scores. The following three industry standard FICO score categories are used: • 620 to 659 (“Near Prime”) • 580 to 619 (“Subprime”) • Less than 580 (“Deep Subprime”) These risk characteristics are evaluated on at least an annual basis, or more frequently as facts and circumstances warrant. The expected loss rates are adjusted on a quarterly basis based on historical loss trends and are risk-adjusted for current and future economic conditions and events. As summarized in the table below, based on the changes in the agreements with the Investors in Fiscal 2021, there is currently one vintage year since the Company began maintaining new accounts. The following table disaggregates the Company’s customer in-house finance receivables by credit quality and vintage year as of January 30, 2021: (in millions) Year of origination Credit quality Fiscal 2021 Near Prime $ 46.6 Subprime 38.9 Deep Subprime 12.0 Total at amortized cost $ 97.5 In estimating its allowance for credit losses, for each identified risk category, management utilized estimation methods based primarily on historical loss experience, current conditions, and other relevant factors. These methods utilize historical charge-off data of the Company’s non-prime portfolio, as well as incorporate any applicable macroeconomic variables (such as unemployment) that may be expected to impact credit performance. In addition to the quantitative estimate of expected credit losses under CECL using the historical loss information, the Company also incorporates qualitative adjustments for certain factors such as Company specific risks, changes in current economic conditions that may not be captured in the quantitatively derived results, or other relevant factors to ensure the allowance for credit losses reflects the Company’s best estimate of current expected credit losses. Management considered qualitative factors such as the unfavorable macroeconomic conditions caused by the COVID-19 uncertainty (including rates of unemployment), the Company’s non-prime portfolio performance during the prior recession, and the potential impacts of the economic stimulus packages in the US, in developing its estimate for current expected credit losses for the current period. The following table is a rollforward of the Company’s allowance for credit losses on customer in-house finance receivables: (in millions) Fiscal 2022 Fiscal 2021 Beginning balance $ 25.5 $ — Provision for credit losses (1.0) 26.1 Write-offs (5.5) (0.6) Recoveries 0.6 — Reversal of allowance on receivables sold (19.6) — Ending balance $ — $ 25.5 Beginning in the second quarter of Fiscal 2021, in connection with the new agreements executed with the Investors, additions to the allowance for credit losses are made by recording charges to bad debt expense (credit losses) within selling, general and administrative expenses within the consolidated statements of operations. The uncollectible portion of customer in-house finance receivables are charged to the allowance for credit losses when an account is written-off after 180 days of non-payment, or in circumstances such as bankrupt or deceased cardholders. Write-offs on customer in-house finance receivables include uncollected amounts related to principal, interest, and late fees. Uncollectible accrued interest is accounted for by recognizing credit loss expense. Recoveries on customer in-house finance receivables previously written-off as uncollectible are credited to the allowance for credit losses. A credit card account is contractually past due if the Company does not receive the minimum payment by the specified due date on the cardholder’s statement. It is the Company’s policy to continue to accrue interest and fee income on all credit card accounts, except in limited circumstances, until the credit card account balance and all related interest and other fees are paid or charged-off, typically at 180 days delinquent, as noted above. The following table disaggregates the Company’s customer in-house finance receivables by past due status as of January 30, 2021: (in millions) Current $ 81.3 1 - 30 days past due 9.1 31 - 60 days past due 2.6 61 - 90 days past due 1.7 Greater than 90 days past due 2.8 Total at amortized cost $ 97.5 Interest income related to the Company’s customer in-house finance receivables is included within other operating income, net in the consolidated statements of operations. Accrued interest is included within the same line item as the respective principal amount of the customer in-house finance receivables in the consolidated balance sheets. The accrual of interest is discontinued at the time the receivable is determined to be uncollectible and written-off. The Company recognized $6.5 million of interest income on its customer in-house finance receivables during Fiscal 2022 (Fiscal 2021: $4.2 million). Interest income recognition ceased at the date of the sale of the portfolio as noted above. |
Accounts receivable, net
Accounts receivable, net | 12 Months Ended |
Jan. 29, 2022 | |
Receivables [Abstract] | |
Accounts receivable, net | Credit transactions During Fiscal 2018, Signet announced a strategic initiative to outsource its North America private label credit card programs and sell the existing in-house finance receivables. In October 2017, Signet, through its subsidiary Sterling Jewelers Inc (“Sterling”), completed the sale of the prime-only credit quality portion of Sterling’s in-house finance receivable portfolio to Comenity Bank (“Comenity”). Sterling also entered into an agreement with Comenity to outsource its private label credit card programs (the “Sterling Program Agreement”). The Company, through its subsidiary Zale Delaware, Inc. (“Zale”) had previously entered into an agreement with Comenity to provide credit services to its Zales banners for all credit card customers (prime and non-prime) (the “Zale Program Agreement”), and this pre-existing Zale Program Agreement was unaffected by the execution of the Sterling Program Agreement. The Zale Program Agreement was set to expire in January 2023, and the Sterling Program Agreement was set to expire in October 2024. Under the Sterling Program Agreement and Zale Program Agreement (collectively, the “Program Agreements”), Comenity established a program to issue credit cards to be serviced, marketed and promoted in accordance with the terms of the Program Agreements. Subject to limited exceptions, Comenity is the exclusive issuer of private label credit cards or an installment or other closed end loan product in the US bearing specified Company trademarks during the term of the Program Agreements. Upon expiration or termination by either party of the Program Agreements, the Company retains the option to purchase, or arrange the purchase by a third party of, the Program Agreement assets from Comenity on terms that are no more onerous to the Company than those applicable to Comenity under the Program Agreements, or in the case of a purchase by a third party, on customary terms. The Program Agreements contain customary representations, warranties and covenants. During Fiscal 2019, in addition to the prime-only credit card portfolio, the Company also entered into various agreements to outsource the non-prime portion of its private label credit card program for Sterling and sell the existing in-house financing receivables. The non-prime portion of the Sterling credit card portfolio was outsourced to CarVal Investors (“CarVal”) and the appointed minority party, Castlelake, L.P. (“Castlelake” and collectively with CarVal, the “Investors”). Under the agreement with the Investors, Signet remains the issuer of non-prime credit with investment funds managed by the Investors purchasing forward receivables at a discount rate determined in accordance with their respective agreements. Signet holds the newly issued non-prime credit receivables on its balance sheet for two business days prior to selling the receivables to the respective counterparty in accordance with the agreements. The purchase price was settled with 95% received as cash upon closing. The remaining 5% of the purchase price was deferred until the second anniversary of the closing date. Final payment of the deferred purchase price was contingent upon the non-prime in-house finance receivable portfolio achieving a pre-defined yield, which was finalized in Fiscal 2021 (see below). The agreement contains customary representations, warranties and covenants. Various amended and restated agreements have been entered into with the Investors as described below. Fiscal 2021 non-prime agreements with the Investors During Fiscal 2021, the 2018 agreements pertaining to the purchase of non-prime forward flow receivables were terminated and new agreements were executed with the Investors which were effective until June 30, 2021. Those new agreements provided that the Investors will continue to purchase add-on non-prime receivables created on existing customer accounts at a discount rate determined in accordance with the new agreements. As a result of the above agreements, Signet began retaining all forward flow non-prime receivables created for new customers beginning in the second quarter of Fiscal 2021. The termination of the previous agreements had no effect on the receivables that were previously sold to the Investors prior to the termination, except that Signet agreed to extend the Investors’ payment obligation for the remaining 5% of the receivables previously purchased in June 2018 until the new agreements terminate. The Company’s agreement with the credit servicer Genesis Financial Solutions (“Genesis”) remained in place. In January 2021, the Company reached additional agreements with the Investors to further amend the purchase agreements described above through June 30, 2021. CarVal continued to purchase add-on receivables for existing accounts and began to purchase 50% of new forward flow non-prime receivables. Genesis (becoming one of the “Investors”) began to purchase the remaining 50% of new forward flow non-prime receivables through June 30, 2021. Castlelake continued to purchase add-on receivables for existing accounts through June 30, 2021. Signet continued to retain add-on receivables for its existing accounts but no longer retained new forward flow non-prime receivables. Fiscal 2022 amended and restated agreements On May 17, 2021, Sterling and Comenity amended the Sterling Program Agreement. In addition, on May 17, 2021, Zale and Comenity amended the Zale Program Agreement (each a “Program Agreement”, and collectively, the “Amended Program Agreements”). The Amended Program Agreements have an initial term from July 1, 2021 through December 31, 2025 and, unless terminated earlier by either party, automatically renew for successive two Subject to limited exceptions, including permitting a second look program, during the term of the Amended Program Agreements, Comenity will be the exclusive issuer of open-ended credit products (including credit cards) in the US bearing specified Company trademarks, including trademarks associated with Kay, Jared, Zale, Banter by Piercing Pagoda, and other specified regional brands under the Amended Program Agreements. The Amended Program Agreements contain customary representations, warranties, and covenants. Upon expiration or termination by either party of a Program Agreement, Sterling or Zale, as applicable, retains the option to purchase, or arrange the purchase by a third party of, the program assets from Comenity on customary terms and conditions. In the case of a purchase by Sterling upon expiration or termination of the Program Agreement, such purchase shall be on terms that are no more onerous to Sterling than those applicable to Comenity Bank under the Purchase Agreement, dated May 25, 2017, by and between Sterling and Comenity Bank. In addition to the Amended Program Agreements, on May 17, 2021, Sterling entered into an Amended and Restated Program Agreement (the “Genesis Agreement”) with Genesis, which amends and restates the Program Agreement entered into by and between Sterling and Genesis on July 26, 2018. The Genesis Agreement has an initial term from July 1, 2021 through December 31, 2025 and, unless terminated earlier by either party, automatically renews for successive one In March 2021, the Company provided notice to the Investors of its intent not to extend the respective agreements with such Investors beyond the expiration date of June 30, 2021. Effective July 1, 2021 (the “New Program Start Date”), all new prime and non-prime account origination will occur in accordance with the amended and restated Comenity and Genesis agreements as described above. On June 30, 2021, the Company entered into amended and restated receivable purchase agreements with CarVal and Castlelake regarding the purchase of add-on receivables on such Investors’ existing accounts, as well as the purchase of the Company-owned credit card receivables portfolio for accounts that had been originated through Fiscal 2021 (see Note 14). During the second quarter of Fiscal 2022, Signet received cash proceeds of $57.8 million for the sale of these customer in-house finance receivables to the Investors. These receivables had a net book value of $56.4 million as of the sale date, and thus the Company recognized a gain on sale of $1.4 million in the North America reportable segment within other operating income in the consolidated statements of operations during the second quarter of Fiscal 2022. Additionally, during the second quarter of Fiscal 2022, the Company received $23.5 million from the Investors for the payment obligation of the remaining 5% of the receivables previously purchased in June 2018. Fiscal 2023 amended and restated agreements Signet continues to finalize its move toward a fully outsourced credit model. On March 7, 2022, the Company entered into amended and restated receivable purchase agreements with CarVal and Castlelake regarding the purchase of add-on receivables on such Investors’ existing accounts. Under the amended and restated agreements, The Bank of Missouri will be the issuer for the add-on receivables on these existing accounts and CarVal and Castlelake will purchase the receivables from The Bank of Missouri. The following table presents the components of Signet’s accounts receivable: (in millions) January 29, 2022 January 30, 2021 Customer in-house finance receivables, net $ — $ 72.0 Accounts receivable, trade 18.3 11.6 Accounts receivable, held for sale 1.6 5.1 Accounts receivable, net $ 19.9 $ 88.7 As discussed in Note 13, during Fiscal 2021, the 2018 agreements pertaining to the purchase of non-prime forward flow receivables were terminated and new agreements were executed with the Investors which were effective until June 30, 2021. Those new agreements provide that the Investors continued to purchase add-on non-prime receivables created on existing customer accounts but Signet began retaining all forward flow non-prime receivables created for new customers beginning in the second quarter of Fiscal 2021. As further discussed in Note 13, Signet sold all existing customer in-house finance receivables to CarVal and Castlelake during the second quarter of Fiscal 2022. As a result of the amended and restated agreements entered into with Comenity, Genesis, and the Investors during the second quarter of Fiscal 2022, Signet will no longer retain any customer in-house finance receivables. As described above, Signet continues to be the issuer of non-prime credit for add-on purchases on existing accounts. Therefore, the Company holds these non-prime credit receivables on its balance sheet for two business days prior to selling the receivables to the Investors. Receivables originated by the Company but pending transfer to the Investors as of period end were classified as “held for sale” and included in the accounts receivable caption in the consolidated balance sheets. As of January 29, 2022 and January 30, 2021, the accounts receivable held for sale were recorded at fair value. As detailed in Note 13, Signet will transition away from being the issuer of these existing accounts in Fiscal 2023. Accounts receivable, trade primarily includes amounts receivable relating to accounts receivable from our diamond sourcing initiative in the Other reportable segment. Customer in-house finance receivables As discussed in Note 13, the Company began to retain certain customer in-house finance receivables in the second quarter of Fiscal 2021. The allowance for credit losses is an estimate of expected credit losses, measured over the estimated life of its credit card receivables that considers forecasts of future economic conditions in addition to information about past events and current conditions. The Company accounts for the expected credit losses under ASC 326, “Measurement of Credit Losses on Financial Instruments,” which is referred to as the Current Expected Credit Loss (“CECL”) model. The estimate under the CECL model is significantly influenced by the composition, characteristics and quality of the Company’s portfolio of credit card receivables, as well as the prevailing economic conditions and forecasts utilized. The estimate of the allowance for credit losses includes an estimate for uncollectible principal as well as unpaid interest and fees. The allowance is maintained through an adjustment to the provision for credit losses and is evaluated for appropriateness and adjusted quarterly. CECL requires entities to use a “pooled” approach to estimate expected credit losses for financial assets with similar risk characteristics. The Company evaluated multiple risk characteristics of its credit card receivables portfolio and determined that credit quality and account vintage to be the most significant characteristics for estimating expected credit losses. To estimate its allowance for credit losses, the Company segregates its credit card receivables into credit quality categories using the customers’ FICO scores. The following three industry standard FICO score categories are used: • 620 to 659 (“Near Prime”) • 580 to 619 (“Subprime”) • Less than 580 (“Deep Subprime”) These risk characteristics are evaluated on at least an annual basis, or more frequently as facts and circumstances warrant. The expected loss rates are adjusted on a quarterly basis based on historical loss trends and are risk-adjusted for current and future economic conditions and events. As summarized in the table below, based on the changes in the agreements with the Investors in Fiscal 2021, there is currently one vintage year since the Company began maintaining new accounts. The following table disaggregates the Company’s customer in-house finance receivables by credit quality and vintage year as of January 30, 2021: (in millions) Year of origination Credit quality Fiscal 2021 Near Prime $ 46.6 Subprime 38.9 Deep Subprime 12.0 Total at amortized cost $ 97.5 In estimating its allowance for credit losses, for each identified risk category, management utilized estimation methods based primarily on historical loss experience, current conditions, and other relevant factors. These methods utilize historical charge-off data of the Company’s non-prime portfolio, as well as incorporate any applicable macroeconomic variables (such as unemployment) that may be expected to impact credit performance. In addition to the quantitative estimate of expected credit losses under CECL using the historical loss information, the Company also incorporates qualitative adjustments for certain factors such as Company specific risks, changes in current economic conditions that may not be captured in the quantitatively derived results, or other relevant factors to ensure the allowance for credit losses reflects the Company’s best estimate of current expected credit losses. Management considered qualitative factors such as the unfavorable macroeconomic conditions caused by the COVID-19 uncertainty (including rates of unemployment), the Company’s non-prime portfolio performance during the prior recession, and the potential impacts of the economic stimulus packages in the US, in developing its estimate for current expected credit losses for the current period. The following table is a rollforward of the Company’s allowance for credit losses on customer in-house finance receivables: (in millions) Fiscal 2022 Fiscal 2021 Beginning balance $ 25.5 $ — Provision for credit losses (1.0) 26.1 Write-offs (5.5) (0.6) Recoveries 0.6 — Reversal of allowance on receivables sold (19.6) — Ending balance $ — $ 25.5 Beginning in the second quarter of Fiscal 2021, in connection with the new agreements executed with the Investors, additions to the allowance for credit losses are made by recording charges to bad debt expense (credit losses) within selling, general and administrative expenses within the consolidated statements of operations. The uncollectible portion of customer in-house finance receivables are charged to the allowance for credit losses when an account is written-off after 180 days of non-payment, or in circumstances such as bankrupt or deceased cardholders. Write-offs on customer in-house finance receivables include uncollected amounts related to principal, interest, and late fees. Uncollectible accrued interest is accounted for by recognizing credit loss expense. Recoveries on customer in-house finance receivables previously written-off as uncollectible are credited to the allowance for credit losses. A credit card account is contractually past due if the Company does not receive the minimum payment by the specified due date on the cardholder’s statement. It is the Company’s policy to continue to accrue interest and fee income on all credit card accounts, except in limited circumstances, until the credit card account balance and all related interest and other fees are paid or charged-off, typically at 180 days delinquent, as noted above. The following table disaggregates the Company’s customer in-house finance receivables by past due status as of January 30, 2021: (in millions) Current $ 81.3 1 - 30 days past due 9.1 31 - 60 days past due 2.6 61 - 90 days past due 1.7 Greater than 90 days past due 2.8 Total at amortized cost $ 97.5 Interest income related to the Company’s customer in-house finance receivables is included within other operating income, net in the consolidated statements of operations. Accrued interest is included within the same line item as the respective principal amount of the customer in-house finance receivables in the consolidated balance sheets. The accrual of interest is discontinued at the time the receivable is determined to be uncollectible and written-off. The Company recognized $6.5 million of interest income on its customer in-house finance receivables during Fiscal 2022 (Fiscal 2021: $4.2 million). Interest income recognition ceased at the date of the sale of the portfolio as noted above. |
Inventories
Inventories | 12 Months Ended |
Jan. 29, 2022 | |
Inventory Disclosure [Abstract] | |
Inventories | Inventories The following table summarizes the details of the Company’s inventory: (in millions) January 29, 2022 January 30, 2021 Raw materials $ 75.8 $ 45.3 Merchandise inventories 1,984.6 1,987.2 Total inventories $ 2,060.4 $ 2,032.5 Signet held $533.2 million of consignment inventory at January 29, 2022 (January 30, 2021: $387.4 million), which is not recorded on the consolidated balance sheets. The principal terms of the consignment agreements, which can generally be terminated by either party, are such that Signet can return any or all of the inventory to the relevant suppliers without financial or commercial penalties and the supplier can adjust the inventory prices prior to sale. Inventory reserves (in millions) Fiscal 2022 Fiscal 2021 Fiscal 2020 Inventory reserve, beginning of period $ 52.9 $ 67.0 $ 95.3 Charged to income (1) 101.8 78.1 80.2 Utilization (2) (107.9) (92.2) (108.5) Inventory reserve, end of period (3) $ 46.8 $ 52.9 $ 67.0 (1) Includes $1.4 million in Fiscal 2021 and $9.2 million in Fiscal 2020 for inventory charges associated with the Company’s restructuring plan. The charges were primarily associated with discontinued brands and collections within the restructuring - cost of sales line item on the consolidated statements of operations. As the Plan was substantially completed in Fiscal 2021, no additional charges were recorded in Fiscal 2022. See Note 6 for additional information. (2) Includes the impact of foreign exchange translation, as well as $2.2 million in Fiscal 2022, $20.0 million in Fiscal 2021 and $40.0 million in Fiscal 2020 utilized for inventory identified as part of the Company’s restructuring plan. See Note 6 for additional information. (3) Includes $2.2 million in Fiscal 2021 and $20.8 million in Fiscal 2020 for inventory identified as part of the Company’s restructuring plan. See Note 6 for additional information. |
Property, plant and equipment,
Property, plant and equipment, net | 12 Months Ended |
Jan. 29, 2022 | |
Property, Plant and Equipment [Abstract] | |
Property, plant and equipment, net | Property, plant and equipment, net (in millions) January 29, 2022 January 30, 2021 Land and buildings $ 21.7 $ 21.8 Leasehold improvements 640.9 616.9 Furniture and fixtures 698.3 669.9 Equipment 133.5 122.4 Software 251.5 334.2 Construction in progress 78.9 38.4 Total $ 1,824.8 $ 1,803.6 Accumulated depreciation and amortization (1,248.9) (1,198.1) Property, plant and equipment, net $ 575.9 $ 605.5 Depreciation and amortization expense for Fiscal 2022 was $162.4 million (Fiscal 2021: $175.1 million; Fiscal 2020: $177.1 million). In Fiscal 2022, the Company recorded $1.6 million of property and equipment impairment charges (Fiscal 2021: $28.1 million). See Note 17 for additional information. |
Asset Impairments, net
Asset Impairments, net | 12 Months Ended |
Jan. 29, 2022 | |
Asset Impairment Charges [Abstract] | |
Asset Impairments, net | Asset impairments, net The following table summarizes the Company’s asset impairment activity for the periods presented: (in millions) Fiscal 2022 Fiscal 2021 Fiscal 2020 Goodwill impairment (1) $ — $ 10.7 $ 47.7 Indefinite-lived intangible asset impairment (1) — 83.3 — Property and equipment impairment 1.6 28.1 — Operating lease ROU asset impairment, net (2) (0.1) 36.9 — Total impairment $ 1.5 $ 159.0 $ 47.7 (1) Refer to Note 19 for additional information. (2) The Company recorded $1.4 million and $4.4 million of gains on terminations or modifications of leases resulting from previously recorded impairments of the right-of-use assets in Fiscal 2022 and Fiscal 2021, respectively. Long-lived assets of the Company consist primarily of property and equipment, definite-lived intangible assets and operating lease right-of-use ("ROU") assets. Long-lived assets are reviewed for impairment whenever events or circumstances indicate that the carrying amount of an asset may not be recoverable. Potentially impaired assets or asset groups are identified by reviewing the undiscounted cash flows of individual stores. Recoverability of assets to be held and used is measured by a comparison of the carrying amount of an asset to estimated undiscounted future cash flows expected to be generated by the store asset group, based on the Company’s internal business plans. If the undiscounted cash flow for the store asset group is less than its carrying amount, the long-lived assets are measured for potential impairment by estimating the fair value of the asset group, and recording an impairment loss for the amount that the carrying value exceeds the estimated fair value. The Company primarily utilizes the replacement cost method to estimate the fair value of its property and equipment, and the income capitalization method to estimate the fair value of its ROU assets, which incorporates historical store level sales, internal business plans, real estate market capitalization and rental rates, and discount rates. Fiscal 2021 Due to the various impacts of COVID-19 to the Company’s business during the first quarter of Fiscal 2021, including the temporary closure of all the Company’s stores beginning in late March 2020 (see additional information in Note 1), the Company determined triggering events had occurred for certain of the Company’s long-lived asset groups at the individual stores that required an interim impairment assessment during the first quarter of Fiscal 2021. During the remaining of Fiscal 2021, the Company completed its quarterly trigger event assessment and determined that triggering events had occurred for certain additional long-lived asset groups at the individual stores based on real estate assessments (including store closure decisions) and the continued uncertainty related to COVID-19 on forecasted cash flows for the remaining lease period for certain stores. This impacted property and equipment and ROU assets at the store level. The Company identified certain stores in the initial recoverability test which had carrying values in excess of the estimated undiscounted cash flows. For these stores failing the initial recoverability test, a fair value assessment for these long-lived assets was performed. As a result of the above fair values assessments, the Company recorded impairment charges for property and equipment of $28.1 million and impairment charges for ROU assets of $36.9 million in Fiscal 2021, which is net of gains on terminations or modifications of leases resulting from previously recorded impairments of the ROU assets of $4.4 million. Fiscal 2022 During Fiscal 2022, the Company completed its quarterly triggering event assessments and determined that triggering events had occurred for certain long-lived asset groups at individual stores based on real estate assessments (including store closure decisions) and store performance for the remaining lease period for certain stores that required an impairment assessment. This impacted property and equipment and ROU assets at the store level. The Company identified certain stores in the initial recoverability test which had carrying values in excess of the estimated undiscounted cash flows. For these stores failing the initial recoverability test, a fair value assessment for these long-lived assets was performed. As a result of the estimated fair values, the Company recorded impairment charges for property and equipment of $1.6 million and a net ROU asset gain on impairment of $0.1 million in Fiscal 2022. The uncertainty of the COVID-19 impact to the Company’s business could continue to further negatively affect the operating performance and cash flows of the above identified stores or additional stores, including the magnitude and potential resurgence of COVID-19 (including variants), occupancy restrictions in the Company’s stores, the inability to achieve or maintain cost savings initiatives included in the business plans, changes in real estate strategy or macroeconomic factors which influence consumer behavior. In addition, key assumptions used to estimate fair value, such as sales trends, capitalization and market rental rates, and discount rates could impact the fair value estimates of the store-level assets in future periods. |
Leases
Leases | 12 Months Ended |
Jan. 29, 2022 | |
Leases [Abstract] | |
Leases | Leases Signet occupies certain properties and holds machinery and vehicles under operating leases. Signet determines if an arrangement is a lease at the agreement’s inception. Certain operating leases include predetermined rent increases, which are charged to store occupancy costs within cost of sales on a straight-line basis over the lease term, including any construction period or other rental holiday. Other variable amounts paid under operating leases, such as taxes and common area maintenance, are charged to selling, general and administrative expenses as incurred. Premiums paid to acquire short-term leasehold properties and inducements to enter into a lease are recognized on a straight-line basis over the lease term. In addition, certain leases provide for contingent rent based on a percentage of sales in excess of a predetermined level. Further, certain leases provide for variable rent increases based on indexes specified within the lease agreement. The variable increases based on an index are initially measured as part of the operating lease liability using the index at the commencement date. Contingent rent and subsequent changes to variable increases based on indexes will be recognized in the variable lease cost and included in the determination of total lease cost when it is probable that the expense has been incurred and the amount is reasonably estimable. Operating leases are included in operating lease ROU assets and current and non-current operating lease liabilities in the Company’s consolidated balance sheets. ROU assets represent the Company’s right to use an underlying asset for the lease term and lease liabilities represent the Company’s obligation to make lease payments arising from the lease. Operating lease ROU assets and liabilities are recognized at commencement date based on the present value of lease payments over the lease term. As most of the Company’s leases do not provide an implicit rate, the Company uses its incremental secured borrowing rate based on the information available at the lease commencement date, including the underlying term and currency of the lease, in measuring the present value of lease payments. Lease terms, which include the period of the lease that cannot be canceled, may also include options to extend or terminate the lease when it is reasonably certain that the Company will exercise that option. The operating lease ROU asset may also include initial direct costs, prepaid and/or accrued lease payments and the unamortized balance of lease incentives received. ROU assets are reviewed for impairment whenever events or circumstances indicate that the carrying amount of the assets may not be recoverable in accordance with the Company’s long-lived asset impairment assessment policy. Payments arising from operating lease activity, as well as variable and short-term lease payments not included within the operating lease liability, are included as operating activities on the Company’s consolidated statement of cash flows. Operating lease payments representing costs to ready an asset for its intended use (i.e. leasehold improvements) are represented within investing activities within the Company’s consolidated statements of cash flows. The Company deferred substantially all of its rent payments due in the months of April 2020 and May 2020. As of January 29, 2022, the Company had approximately $16 million of deferred rent payments remaining primarily in the UK. This remaining deferred rent is expected to be substantially repaid in the first half of Fiscal 2023. The Company has not recorded any provision for interest or penalties which may arise as a result of these deferrals, as management does not believe payment for any potential amounts to be probable. In April 2020, the FASB granted guidance (hereinafter, the practical expedient) permitting an entity to choose to forgo the evaluation of the enforceable rights and obligations of the original lease contract, specifically in situations where rent concessions have been agreed to with landlords as a result of COVID-19. Instead, the entity may account for COVID-19 related rent concessions, whatever their form (e.g. rent deferral, abatement or other) either: a) as if they were part of the enforceable rights and obligations of the parties under the existing lease contract; or b) as lease modifications. In accordance with this practical expedient, the Company has elected not to account for any concessions granted by landlords as a result of COVID-19 as lease modifications. Rent abatements under the practical expedient have been recorded as a negative variable lease cost. The Company negotiated with substantially all of its landlords and has received certain concessions in the form of rent deferrals and other lease or rent modifications. In addition, the Company recorded lease expense during the deferral periods in accordance with its existing policies. The weighted average lease term and discount rate for the Company’s outstanding operating leases were as follows: January 29, 2022 January 30, 2021 Weighted average remaining lease term 7.1 years 6.2 years Weighted average discount rate 5.5 % 5.5 % Total lease costs are as follows: (in millions) Fiscal 2022 Fiscal 2021 Fiscal 2020 Operating lease cost $ 431.8 $ 436.3 $ 460.3 Short-term lease cost 11.5 16.3 19.4 Variable lease cost 127.0 110.3 107.1 Sublease income (1.9) (1.8) (2.0) Total lease cost $ 568.4 $ 561.1 $ 584.8 Supplemental cash flow information related to leases was as follows: (in millions) Fiscal 2022 Fiscal 2021 Fiscal 2020 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 479.6 $ 400.4 $ 467.7 Operating lease right-of-use assets obtained in exchange for lease obligations (1) 168.8 70.8 149.9 Reduction in the carrying amount of ROU assets (2) 351.7 348.3 360.1 (1) Includes $56.9 million of ROU assets acquired from Diamonds Direct in Fiscal 2022, per Note 4. (2) Excludes net gain related to ROU asset impairment of $0.1 million and ROU asset impairment charges of $36.9 million during Fiscal 2022 and Fiscal 2021, respectively, as further described in Note 17 . The future minimum operating lease commitments for operating leases having initial or non-cancelable terms in excess of one year are as follows: (in millions) January 29, 2022 Fiscal 2023 $ 400.3 Fiscal 2024 304.4 Fiscal 2025 238.5 Fiscal 2026 174.3 Fiscal 2027 124.1 Thereafter 446.9 Total minimum lease payments $ 1,688.5 Less: Imputed interest (383.4) Present value of lease liabilities $ 1,305.1 |
Goodwill and intangibles
Goodwill and intangibles | 12 Months Ended |
Jan. 29, 2022 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and intangibles | Goodwill and intangiblesGoodwill and other indefinite-lived intangible assets, such as indefinite-lived trade names, are evaluated for impairment annually and more frequently if events or conditions are identified indicating the carrying value of a reporting unit or an indefinite-lived intangible asset may not be recoverable. In evaluating goodwill and indefinite-lived trade names for impairment, the Company first assesses qualitative factors to determine whether it is more likely than not that the fair value of a reporting unit or indefinite-lived intangible asset is less than its carrying value. If the Company concludes that it is not more likely than not that the fair value of a reporting unit or indefinite-lived intangible asset is less than its carrying value, then no further testing is required. However, if the Company concludes that it is more likely than not that the fair value of a reporting unit or indefinite-lived intangible asset is less than its carrying value, then an impairment test is performed to identify a potential impairment and measure the amount of impairment to be recognized, if any. When the carrying amount of the reporting unit or an indefinite-lived intangible assets exceeds its fair value, an impairment charge is recorded. The impairment test for goodwill involves estimating the fair value of the reporting unit through either estimated discounted future cash flows or market-based methodologies. The impairment test for other indefinite-lived intangible assets involves estimating the fair value of the asset, which is typically performed using the relief from royalty method for indefinite-lived trade names. Fiscal 2020 During Fiscal 2020, the Company performed its annual evaluation of its indefinite-lived intangible assets, including goodwill and trade names identified in the Zales and R2Net acquisition, for impairment indicators. The Company noted that no impairment indicators existed at the date of the annual evaluation. Additionally, due to a continued decline in the Company’s market capitalization during the second quarter of Fiscal 2020, the Company determined a triggering event had occurred requiring interim impairment assessments for its remaining reporting units with goodwill and indefinite-lived intangible assets. Using a combination of discounted cash flow and guideline public company methodologies, the Company compared the fair value of each of its reporting units with their carrying value. The Company determined no additional impairment charges were required to be recognized during Fiscal 2020 related to the annual evaluation or interim assessment. During the second quarter of Fiscal 2020, a non-cash immaterial out-of-period adjustment of $47.7 million, with $35.2 million related to Zales goodwill and $12.5 million related to R2Net goodwill, was recognized within Goodwill and intangible impairments on the consolidated statements of operations related to an error in the calculation of goodwill impairments during Fiscal 2019. Fiscal 2021 During Fiscal 2021, the Company performed its annual evaluation of its indefinite-lived intangible assets, including goodwill and trade names identified in the Zales and R2Net acquisitions, for impairment indicators. The Company noted that no impairment indicators existed at the date of the annual evaluation. Additionally, due to various impacts of COVID-19 to the Company’s business during the first quarter Fiscal 2021, the Company determined a triggering event had occurred that required an interim impairment assessment for all of its reporting units and indefinite-lived intangible assets. As part of the assessment, it was determined that an increase in the discount rates were required to reflect the prevailing uncertainty inherent in the forecasts due to current market conditions and potential COVID-19 impacts. This higher discount rate, in conjunction with revised long-term projections associated with certain aspects of the Company’s forecast, resulted in lower than previously projected long-term future cash flows for the reporting units and indefinite-lived intangible assets which negatively affected the valuation compared to previous valuations. As a result of the interim impairment assessment, during the first quarter of Fiscal 2021, the Company recognized pre-tax impairment charges related to goodwill of $10.7 million in the consolidated statement of operations within its North America reportable segment related to R2Net and Zales Canada goodwill. In conjunction with the interim impairment tests noted above, during the first quarter of Fiscal 2021 the Company determined that the fair values of indefinite-lived intangible assets related to certain Zales trade names were less than their carrying value. Accordingly, in the first quarter of Fiscal 2021, the Company recognized pre-tax impairment charges within asset impairments on the consolidated statements of operations of $83.3 million within its North America reportable segment. Fiscal 2022 In the second quarter of Fiscal 2022, the annual testing date of R2Net was changed from the last day of the fiscal year to the last day of the fourth period of each fiscal year. R2Net represents a reporting unit within the Company’s North America reportable segment. The new impairment testing date is preferable, as this date corresponds with the testing date for all other North America reporting units. This will allow information and assumptions to be applied consistently to all reporting units. In connection with the acquisition of Rocksbox on March 29, 2021, the Company recognized $11.6 million of definite-lived intangible assets and $4.7 million of goodwill, which are reported in the North America reportable segment. The weighted-average amortization period of the definite-lived intangibles assets acquired is eight years. Refer to Note 4 for additional information. In connection with the acquisition of Diamonds Direct on November 17, 2021, the Company recognized $126.0 million of indefinite-lived intangible assets related to the Diamonds Direct trade name and $241.9 million of goodwill, which are reported in the North America reportable segment. Refer to Note 4 for additional information. During Fiscal 2022, the Company did not identify any events or conditions that would indicate that it was more likely than not that the carrying values of the reporting units and indefinite-lived intangible assets exceed their fair values. Goodwill The following table summarizes the Company’s goodwill by reportable segment: (in millions) North Balance at February 1, 2020 $ 248.8 Impairment (10.7) Impact of foreign exchange (0.1) Balance at January 30, 2021 (1) $ 238.0 Acquisitions 246.6 Balance at January 29, 2022 (1) $ 484.6 (1) The carrying amount of goodwill is presented net of accumulated impairment losses of $576.0 million as of January 29, 2022 and January 30, 2021. Intangibles Definite-lived intangible assets include trade names, technology, customer relationship and favorable lease agreements. All indefinite-lived intangible assets consist of trade names. Both definite and indefinite-lived assets are recorded within intangible assets, net on the consolidated balance sheets. Intangible liabilities, net consists of unfavorable contracts and is recorded within accrued expense and other current liabilities and other liabilities (non-current) on the consolidated balance sheets. The following table provides additional detail regarding the composition of intangible assets and liabilities: January 29, 2022 January 30, 2021 (in millions) Gross Accumulated Net Gross Accumulated Net Intangible assets, net: Definite-lived intangible assets $ 15.8 $ (5.3) $ 10.5 $ 5.6 $ (4.2) $ 1.4 Indefinite-lived intangible assets (1) 303.7 $ — 303.7 177.6 $ — 177.6 Total intangible assets, net $ 319.5 $ (5.3) $ 314.2 $ 183.2 $ (4.2) $ 179.0 Intangible liabilities, net $ (38.0) $ 30.8 $ (7.2) $ (38.0) $ 27.5 $ (10.5) (1) The change in the indefinite-lived intangible asset balances during the periods presented was due to the addition of Diamonds Direct trade name of $126.0 million and the impact of foreign currency translation. Amortization expense relating to intangible assets was $1.1 million in Fiscal 2022 (Fiscal 2021: $0.9 million; Fiscal 2020: $0.9 million). The unfavorable contracts are classified as liabilities and recognized over the term of the underlying contract. Amortization relating to intangible liabilities was $3.3 million in Fiscal 2022 (Fiscal 2021: $5.4 million; Fiscal 2020: $5.5 million). Expected future amortization for intangible assets and intangible liabilities recorded at January 29, 2022 follows: (in millions) Intangible assets amortization Intangible liabilities amortization Fiscal 2023 $ 2.4 $ (1.8) Fiscal 2024 1.9 (1.8) Fiscal 2025 1.3 (1.8) Fiscal 2026 1.2 (1.8) Fiscal 2027 1.2 — Thereafter 2.5 — Total $ 10.5 $ (7.2) |
Investments
Investments | 12 Months Ended |
Jan. 29, 2022 | |
Investments, Debt and Equity Securities [Abstract] | |
Investments | Investments Investments in debt and equity securities are held by certain insurance subsidiaries and are reported at fair value as other assets in the accompanying consolidated balance sheets. All investments are classified as available-for-sale and include the following: January 29, 2022 January 30, 2021 (in millions) Cost Unrealized Gain (Loss) Fair Value Cost Unrealized Gain (Loss) Fair Value US Treasury securities $ 4.5 $ — $ 4.5 $ 5.6 $ 0.1 $ 5.7 US government agency securities 2.0 — 2.0 3.1 0.1 3.2 Corporate bonds and notes 5.6 0.2 5.8 6.2 0.3 6.5 Total investments $ 12.1 $ 0.2 $ 12.3 $ 14.9 $ 0.5 $ 15.4 Realized gains and losses on investments are determined on the specific identification basis. Net realized gains of $1.0 million were recognized during Fiscal 2020. There were no material net realized gains or losses during Fiscal 2022 or Fiscal 2021. Investments with a carrying value of $3.3 million and $3.4 million were on deposit with various state insurance departments at January 29, 2022 and January 30, 2021, respectively, as required by law. Investments in debt securities outstanding as of January 29, 2022 mature as follows: (in millions) Cost Fair Value Less than one year $ 4.1 $ 4.2 Year two through year five 7.0 7.1 Year six through year ten 1.0 1.0 Total investment in debt securities $ 12.1 $ 12.3 |
Derivatives
Derivatives | 12 Months Ended |
Jan. 29, 2022 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivatives | Derivatives Derivative transactions are used by Signet for risk management purposes to address risks inherent in Signet’s business operations and sources of financing. The main risks arising from Signet’s operations are market risk including foreign currency risk, commodity risk, liquidity risk and interest rate risk. Signet uses derivative financial instruments to manage and mitigate certain of these risks under policies reviewed and approved by the Board. Signet does not enter into derivative transactions for speculative purposes. Market risk Signet generates revenues and incurs expenses in US dollars, Canadian dollars and British pounds. As a portion of the International segment purchases and purchases made by the Canadian operations of the North America segment are denominated in US dollars, Signet enters into forward foreign currency exchange contracts, foreign currency option contracts and foreign currency swaps to manage this exposure to the US dollar. Signet holds a fluctuating amount of British pounds and Canadian dollars reflecting the cash generative characteristics of operations. Signet’s objective is to minimize net foreign exchange exposure to the consolidated statement of operations on non-US dollar denominated items through managing cash levels, non-US dollar denominated intra-entity balances and foreign currency swaps. In order to manage the foreign exchange exposure and minimize the level of funds denominated in British pounds and Canadian dollars, dividends are paid regularly by subsidiaries to their immediate holding companies and excess British pounds and Canadian dollars are sold in exchange for US dollars. Signet’s policy is to reduce the impact of precious metal commodity price volatility on operating results through the use of outright forward purchases of, or by entering into options to purchase, precious metals within treasury guidelines approved by the Board. In particular, Signet undertakes some hedging of its requirements for gold through the use of forward purchase contracts, options and net zero premium collar arrangements (a combination of forwards and option contracts). Liquidity risk Signet’s objective is to ensure that it has access to, or the ability to generate, sufficient cash from either internal or external sources in a timely and cost-effective manner to meet its commitments as they become due and payable. Signet manages liquidity risks as part of its overall risk management policy. Management produces forecasting and budgeting information that is reviewed and monitored by the Board. Cash generated from operations and external financing are the main sources of funding. The primary external sources of funding are the Company’s ABL Revolving Facility and Senior Notes as described in Note 24. Interest rate risk Signet has exposure to movements in interest rates associated with cash and borrowings. Signet may enter into various interest rate protection agreements in order to limit the impact of movements in interest rates. Interest rate swap (designated) — The Company entered into an interest rate swap in March 2015 with an aggregate notional amount of $300.0 million that matured in April 2019. Under this contract, the Company agreed to exchange, at specified intervals, the difference between fixed contract rates and floating rate interest amounts calculated by reference to the agreed notional amounts. This contract was entered into to reduce the consolidated interest rate risk associated with variable rate, long-term debt. The Company designated this derivative as a cash flow hedge of the variability in expected cash outflows for interest payments. During the term of the interest rate swap, the Company effectively converted a portion of its variable-rate senior unsecured term loan into fixed-rate debt. Credit risk and concentrations of credit risk Credit risk represents the loss that would be recognized at the reporting date if counterparties failed to perform as contracted. Signet does not anticipate non-performance by counterparties of its financial instruments. Signet does not require collateral or other security to support cash investments or financial instruments with credit risk; however, it is Signet’s policy to only hold cash and cash equivalent investments and to transact financial instruments with financial institutions with a certain minimum credit rating. As of January 29, 2022, management does not believe Signet is exposed to any significant concentrations of credit risk that arise from cash and cash equivalent investments, derivatives or accounts receivable. Commodity and foreign currency risks The following types of derivative financial instruments are utilized by Signet to mitigate certain risk exposures related to changes in commodity prices and foreign exchange rates: Forward foreign currency exchange contracts (designated) — These contracts, which are principally in US dollars, are entered into to limit the impact of movements in foreign exchange rates on forecasted foreign currency purchases. These contracts were de-designated during the 13 weeks ended May 2, 2020. This de-designation occurred due to uncertainly around the volume of purchases in the Company’s UK business. These contracts were unlikely to retain hedge effectiveness given the change in circumstances as a result of COVID-19. Trading for these contracts resumed during the third quarter of Fiscal 2021. The total notional amount of these foreign currency contracts outstanding as of January 29, 2022 was $11.2 million (January 30, 2021: $12.5 million). These contracts have been designated as cash flow hedges and will be settled over the next 10 months (January 30, 2021: 12 months). Forward foreign currency exchange contracts (undesignated) — Foreign currency contracts not designated as cash flow hedges are used to mitigate Signet’s exposure to foreign currency exchange risk in its cash and borrowings. The total notional amount of these foreign currency contracts outstanding as of January 29, 2022 was $93.8 million (January 30, 2021: $107.6 million). Commodity forward purchase contracts, options and net zero premium collar arrangements (designated) — These contracts are entered into to reduce Signet’s exposure to significant movements in the price of the underlying precious metal raw material. During the 13 weeks ended May 2, 2020, the contracts which were still outstanding (and unrealized) were de-designated and liquidated. The contracts which were already settled remain designated as the hedged inventory purchases from these contracts are still on hand. The unrealized contracts were de-designated as a result of uncertainty around the Company’s future purchasing volume due to COVID-19 and thus the contracts were unlikely to retain hedge effectiveness. Trading for these contracts resumed during the third quarter of Fiscal 2021, however, no contracts remained outstanding by January 29, 2022. The total notional amount of these commodity derivative contracts outstanding as of January 30, 2021 was approximately 1,000 ounces. The bank counterparties to the derivative instruments expose Signet to credit-related losses in the event of their non-performance. However, to mitigate that risk, Signet only contracts with counterparties that meet certain minimum requirements under its counterparty risk assessment process. As of January 29, 2022, Signet believes that this credit risk did not materially change the fair value of the foreign currency or commodity contracts. The following table summarizes the fair value and presentation of derivative instruments in the consolidated balance sheets: Fair value of derivative assets (in millions) Balance sheet location January 29, 2022 January 30, 2021 Derivatives designated as hedging instruments: Foreign currency contracts Other current assets $ 0.3 $ — Derivatives not designated as hedging instruments: Foreign currency contracts Other current assets — 0.1 Total derivative assets $ 0.3 $ 0.1 Fair value of derivative liabilities (in millions) Balance sheet location January 29, 2022 January 30, 2021 Derivatives designated as hedging instruments: Foreign currency contracts Other current liabilities $ — $ (0.3) Commodity contracts Other current liabilities — (0.1) — (0.4) Derivatives not designated as hedging instruments: Foreign currency contracts Other current liabilities (1.3) — Total derivative liabilities $ (1.3) $ (0.4) Derivatives designated as cash flow hedges The following table summarizes the pre-tax gains (losses) recorded in AOCI for derivatives designated in cash flow hedging relationships: (in millions) January 29, 2022 January 30, 2021 Foreign currency contracts $ 0.5 $ (0.7) Commodity contracts — (0.4) Gains (losses) recorded in AOCI $ 0.5 $ (1.1) The following tables summarize the effect of derivative instruments designated as cash flow hedges in OCI and the consolidated statements of operations: Foreign currency contracts (in millions) Statement of operations caption Fiscal 2022 Fiscal 2021 Gains (losses) recorded in AOCI, beginning of period $ (0.7) $ (1.0) Current period gains recognized in OCI 0.6 0.9 (Gains) losses reclassified from AOCI to net income Cost of sales (1) 0.6 — Gains from de-designated hedges reclassified from AOCI to net income Other operating income (loss) (1) — (0.6) Gains (losses) recorded in AOCI, end of period $ 0.5 $ (0.7) Commodity contracts (in millions) Statement of operations caption Fiscal 2022 Fiscal 2021 Losses (gains) recorded in AOCI, beginning of period $ (0.4) $ 17.7 Current period losses recognized in OCI — (1.9) (Gains) losses reclassified from AOCI to net income Cost of sales (1) 0.4 (6.9) Gains from de-designated hedges reclassified from AOCI to net income Other operating income (loss) (1) — (9.3) Gains (losses) recorded in AOCI, end of period $ — $ (0.4) (1) Refer to the consolidated statements of operations for total amounts of each financial statement caption impacted by cash flow hedges. There was no material ineffectiveness related to the Company’s derivative instruments designated in cash flow hedging relationships during Fiscal 2022 and Fiscal 2021, other than the items disclosed above during the first quarter of Fiscal 2021. Based on current valuations, the Company expects approximately $0.4 million of net pre-tax derivative gains to be reclassified out of AOCI into earnings within the next 12 months. Derivatives not designated as hedging instruments The following table presents the effects of the Company’s derivatives instruments not designated as cash flow hedges in the consolidated statements of operations: (in millions) Statement of operations caption Fiscal 2022 Fiscal 2021 Foreign currency contracts Other operating income (loss) $ (3.1) $ 2.2 |
Fair value measurement
Fair value measurement | 12 Months Ended |
Jan. 29, 2022 | |
Fair Value Disclosures [Abstract] | |
Fair value measurement | Fair value measurement The estimated fair value of Signet’s financial instruments held or issued to finance Signet’s operations is summarized below. Certain estimates and judgments were required to develop the fair value amounts. The fair value amounts shown below are not necessarily indicative of the amounts that Signet would realize upon disposition nor do they indicate Signet’s intent or ability to dispose of the financial instrument. Assets and liabilities that are carried at fair value are required to be classified and disclosed in one of the following three categories: Level 1—quoted market prices in active markets for identical assets and liabilities Level 2—observable market based inputs or unobservable inputs that are corroborated by market data Level 3—unobservable inputs that are not corroborated by market data Signet determines fair value based upon quoted prices when available or through the use of alternative approaches, such as discounting the expected cash flows using market interest rates commensurate with the credit quality and duration of the investment. The methods Signet uses to determine fair value on an instrument-specific basis are detailed below: January 29, 2022 January 30, 2021 (in millions) Carrying Value Level 1 Level 2 Carrying Value Level 1 Level 2 Assets: US Treasury securities $ 4.5 $ 4.5 $ — $ 5.7 $ 5.7 $ — Foreign currency contracts 0.3 — 0.3 0.1 — 0.1 US government agency securities 2.0 — 2.0 3.2 — 3.2 Corporate bonds and notes 5.8 — 5.8 6.5 — 6.5 Total assets $ 12.6 $ 4.5 $ 8.1 $ 15.5 $ 5.7 $ 9.8 Liabilities: Foreign currency contracts $ (1.3) $ — $ (1.3) $ (0.3) $ — $ (0.3) Commodity contracts — — — (0.1) — (0.1) Total liabilities $ (1.3) $ — $ (1.3) $ (0.4) $ — $ (0.4) Investments in US Treasury securities are based on quoted market prices for identical instruments in active markets, and therefore were classified as Level 1 measurements in the fair value hierarchy. Investments in US government agency securities and corporate bonds and notes are based on quoted prices for similar instruments in active markets, and therefore were classified as Level 2 measurements in the fair value hierarchy. See Note 20 for additional information related to the Company’s available-for-sale investments. The fair value of derivative financial instruments has been determined based on market value equivalents at the balance sheet date, taking into account the current foreign currency forward rates or commodity forward rates, and therefore were classified as Level 2 measurements in the fair value hierarchy. See Note 21 for additional information related to the Company’s derivatives. During the second quarter of Fiscal 2019, the Company completed the sale of all eligible non-prime in-house accounts receivable. Upon closing, 5% of the purchase price was deferred until the second anniversary of the closing date. Final payment of the deferred purchase price was contingent upon the non-prime portfolio achieving a pre-defined yield. The Company recorded an asset at the transaction date related to this deferred payment at fair value. This estimated fair value was derived from a discounted cash flow model using unobservable Level 3 inputs, including estimated yields derived from historic performance, loss rates, payment rates and discount rates to estimate the fair value associated with the accounts receivable. The measurement period was completed in June 2020 and the Company received the full deferred payment of $23.5 million during the second quarter of Fiscal 2022, as further described in Note 13. During Fiscal 2021 and 2020, the Company performed interim and annual quantitative impairment tests for goodwill and indefinite-lived intangible assets. The fair value was calculated using the income approach for the reporting units and the relief from royalty method for the indefinite-lived intangible assets, respectively. The fair value is a Level 3 valuation based on certain unobservable inputs including estimated future cash flows and discount rates aligned with market-based assumptions, that would be utilized by market participants in valuing these assets or prices of similar assets. In addition, for long-lived assets, the Company performed an impairment test for certain store level assets during Fiscal 2022, 2021, and 2020. The Company utilizes primarily the replacement cost method (a level 3 valuation method) for the fair value of its property and equipment, and the income method to estimate the fair value of its ROU assets, which incorporates Level 3 inputs such as historical store level sales, internal business plans, real estate market capitalization and rental rates, and discount rates. See Note 17 and Note 19 for additional information. The carrying amounts of cash and cash equivalents, accounts receivable, other current assets, accounts payable, accrued expenses and other current liabilities, and income taxes approximate fair value because of the short-term maturity of these amounts. The fair values of long-term debt instruments were determined using quoted market prices in inactive markets or discounted cash flows based upon current observable market interest rates and therefore were classified as Level 2 measurements in the fair value hierarchy. The following table provides a summary of the carrying amount and fair value of outstanding debt: January 29, 2022 January 30, 2021 (in millions) Carrying Fair Value Carrying Fair Value Long-term debt Senior Notes (Level 2) $ 147.1 $ 150.0 $ 146.7 $ 145.1 |
Retirement plans
Retirement plans | 12 Months Ended |
Jan. 29, 2022 | |
Retirement Benefits [Abstract] | |
Retirement plans | Retirement plans Signet operates a defined benefit pension plan in the UK (the “UK Plan”) which ceased to admit new employees effective April 2004. The UK Plan provides benefits to participating eligible employees. Beginning in Fiscal 2014, a change to the benefit structure was implemented and members’ benefits that accumulate after that date are now based upon career average salaries, whereas previously, all benefits were based on salaries at retirement. In September 2017, the Company approved an amendment to freeze benefit accruals under the UK Plan in an effort to reduce anticipated future pension expense. As a result of this amendment, the Company froze the pension plan for all participants with an effective date of October 2019 as elected by the plan participants. All future benefit accruals under the plan have thus ceased as of this date. The amendment to the plan was accounted for in accordance with ASC Topic 715, “Compensation - Retirement Benefits.” On July 29, 2021, Signet Group Limited (“SGL”), a wholly-owned subsidiary of the Company, entered into an agreement (the “Agreement”) with Signet Pension Trustee Limited (the “Trustee”), as trustee of the Signet Group Pension Scheme (the “Pension Scheme”), to facilitate the Trustee entering into a bulk purchase annuity policy ("BPA") securing accrued liabilities under the Pension Scheme with Rothesay Life Plc ("Rothesay") and subsequently, to wind up the Pension Scheme. The BPA will be held by the Trustee as an asset of the Scheme (the "buy-in") in anticipation of Rothesay subsequently (and in accordance with the terms of the BPA) issuing individual annuity contracts to each of the 1,909 Pension Scheme members (or their eligible beneficiaries) ("Transferred Participants") covering their accrued benefits (a full “buy-out”), following which the BPA will terminate and the Trustee will wind up the Pension Scheme (collectively, the “Transactions”). Under the terms of the Agreement, SGL is expected to contribute up to £16.9 million (approximately $22.6 million) (the “Total Expected Contribution”) to the Pension Scheme to enable the Trustee to pay for any and all costs incurred by the Trustee as part of the Transactions, including an initial contribution of £7.0 million (approximately $9.7 million) (the “Initial Installment”) to enable the Trustee to enter into the BPA with Rothesay. Subsequent installments of the Total Expected Contribution shall be reviewed and agreed by SGL and the Trustee at such times as the Trustee reasonably requires additional monies to be contributed to the Pension Scheme in furtherance of the Transactions. The Initial Installment was paid on August 4, 2021, and the Trustee transferred substantially all Plan assets into the BPA on August 9, 2021. From the point of buy-out, Rothesay shall be liable to pay the insured benefits to the Transferred Participants and shall be responsible for the administration of those benefits. Once all Pension Scheme members (or their eligible beneficiaries) have become Transferred Participants, the Trustee will wind up the Pension Scheme. By irrevocably transferring these obligations to Rothesay, the Company will eliminate its projected benefit obligation under the Pension Scheme. On August 9, 2021, in connection with the transfer of assets into the BPA as noted above, the Company performed a remeasurement of the Pension Scheme based on the terms of the BPA which resulted in a pre-tax actuarial loss of £53.3 million (approximately $72.9 million) recorded within the consolidated statements of comprehensive income (loss). The net periodic pension cost of the UK Plan is measured on an actuarial basis using the projected unit credit method and several actuarial assumptions, the most significant of which are the discount rate and the expected long-term rate of return on plan assets. Other material assumptions include rates of participant mortality, the expected long-term rate of compensation and pension increases, and rates of employee attrition. Gains and losses occur when actual experience differs from actuarial assumptions. If such gains or losses exceed 10% of the greater of plan assets or plan liabilities, Signet amortizes those gains or losses over the average remaining service period of the employees. The service cost component of net periodic pension cost is charged to selling, general and administrative expenses while non-service, interest and other costs components are charged to other non-operating income (loss), in the consolidated statements of operations. The UK Plan is a funded plan with assets held in a separate trustee administered fund, which is independently managed. Signet used January 29, 2022 and January 30, 2021 measurement dates in determining the UK Plan’s benefit obligation and fair value of plan assets. The following tables provide information concerning the UK Plan as of and for the fiscal years ended January 29, 2022 and January 30, 2021: (in millions) Fiscal 2022 Fiscal 2021 Change in UK Plan assets: Fair value at beginning of year $ 299.2 $ 281.9 Actual return on UK Plan assets (0.3) 11.9 Employer contributions 12.4 4.4 Benefits paid (8.9) (9.8) Foreign currency translation (6.8) 10.8 Fair value at end of year $ 295.6 $ 299.2 (in millions) Fiscal 2022 Fiscal 2021 Change in benefit obligation: Benefit obligation at beginning of year $ 247.6 $ 243.4 Interest cost 3.3 4.0 Actuarial loss 67.4 1.4 Benefits paid (8.9) (9.8) Foreign currency translation (6.1) 8.6 Benefit obligation at end of year $ 303.3 $ 247.6 Funded status at end of year $ (7.7) $ 51.6 (in millions) January 29, 2022 January 30, 2021 Amounts recognized in the balance sheet consist of: Other assets (non current) $ — $ 51.6 Other liabilities (non-current) (7.7) — Items in AOCI not yet recognized in net income in the consolidated statements of operations: (in millions) January 29, 2022 January 30, 2021 February 1, 2020 Net actuarial losses $ (103.3) $ (47.2) $ (52.4) Net prior service costs (3.9) (4.0) (4.1) The estimated actuarial losses and prior service costs for the UK Plan that will be amortized from AOCI into net periodic pension cost over the next fiscal year are $3.7 million and $0.3 million, respectively. In addition, the full balance of any remaining unrecognized amounts within AOCI will be recognized in the statement of operations upon completion of the buy-out described above, which is currently expected to occur in the first half of Fiscal 2023. The accumulated benefit obligation for the UK Plan was $303.3 million and $247.6 million as of January 29, 2022 and January 30, 2021, respectively. The components of net periodic pension benefit cost and other amounts recognized in OCI for the UK Plan are as follows: (in millions) Fiscal 2022 Fiscal 2021 Fiscal 2020 Components of net periodic benefit (cost) income: Service cost $ — $ — $ (0.7) Interest cost (3.3) (4.0) (5.5) Expected return on UK Plan assets 3.0 5.5 7.8 Amortization of unrecognized actuarial losses (2.1) (0.9) (1.2) Amortization of unrecognized net prior service costs (0.1) (0.1) — Total net periodic benefit (cost) income $ (2.5) $ 0.5 $ 0.4 Other changes in assets and benefit obligations recognized in OCI (69.2) 6.5 1.7 Total recognized in net periodic pension benefit (cost) and OCI $ (71.7) $ 7.0 $ 2.1 January 29, 2022 January 30, 2021 Assumptions used to determine benefit obligations (at the end of the year): Discount rate 1.25 % 1.60 % Salary increases N/A N/A Assumptions used to determine net periodic pension costs (at the start of the year): Discount rate 0.80 % 1.70 % Expected return on UK Plan assets 0.80 % 2.20 % Salary increases NA N/A Prior to the buy-in of the BPA, the discount rate was based upon published rates for high-quality fixed-income investments that produce expected cash flows that approximate the timing and amount of expected future benefit payments. The expected return on the UK Plan assets assumption was based upon the historical return and future expected returns for each asset class, as well as the target asset allocation of the portfolio of UK Plan assets. After the buy-in for the BPA, the discount rate and expected return on assets are now aligned based on the implied rates of the liability by the insurer. Prior to the buy-in of the BPA, the UK Plan’s investment strategy was guided by an objective of achieving a return on the investments, which is consistent with the long-term return assumptions and funding policy, to ensure the UK Plan obligations were met. The investment policy was to allocate funds to a diverse portfolio of investments, including UK and global equities, diversified growth funds, corporate bonds, fixed income investments and commercial property. The commercial property investment was through a Pooled Pensions Property Fund that provided a diversified portfolio of property assets. As substantially all Plan assets have now been transferred to the BPA, there is no longer a long-term target allocation strategy for investments. The fair value of the assets in the UK Plan at January 29, 2022 and January 30, 2021 are required to be classified and disclosed in one of the following three categories: Level 1—quoted market prices in active markets for identical assets and liabilities Level 2—observable market based inputs or unobservable inputs that are corroborated by market data Level 3—unobservable inputs that are not corroborated by market data Signet measures the value of the assets on an instrument-specific basis are detailed below: As of January 29, 2022 As of January 30, 2021 (in millions) Total Level 1 Level 2 Total Level 1 Level 2 Investments measured at fair value: Diversified equity securities $ — $ — $ — $ — $ 13.0 $ — $ 13.0 Diversified growth funds — — — — 44.4 44.4 — Fixed income – government bonds — — — — 161.4 161.4 — Fixed income – corporate bonds — — — — 56.2 — 56.2 Insurance contracts 291.6 — — 291.6 — — — Cash 4.0 4.0 — — 3.7 3.7 — 295.6 4.0 — 291.6 278.7 209.5 69.2 Investments measured at NAV (1) : Fixed income — 18.0 Property — 2.5 Total assets $ 295.6 $ 4.0 $ — $ 291.6 $ 299.2 $ 209.5 $ 69.2 (1) Certain assets that are measured using the net asset value (“NAV”) practical expedient have not been classified in the fair value hierarchy. The following represents a summary of changes in fair value of UK Plan assets classified as Level 3: (in millions) Fiscal 2022 Beginning of year balance $ — Purchases, sales, and settlements, net 318.3 Actual return on assets, assets still held at reporting date (16.8) Foreign currency translation (9.9) End of year balance $ 291.6 Investments in diversified equity securities, diversified growth funds and fixed income securities are in pooled funds. Investments are valued based on unadjusted quoted prices for each fund in active markets, where possible and, therefore, classified in Level 1 of the fair value hierarchy. If unadjusted quoted prices for identical assets are unavailable, investments are valued by the administrators of the funds. The valuation is based on the value of the underlying assets owned by the fund, minus its liabilities, and then divided by the number of units outstanding. The unit price is based on underlying investments which are generally either traded in an active market or are valued based on observable inputs such as market interest rates and quoted prices for similar securities and, therefore, classified in Level 2 of the fair value hierarchy. Certain fixed income investments are in an interest-based return through investments in various asset classes including: asset backed securities, mortgage backed securities, collateralized debt and loan obligations, and loan investments. The same investments in are subject to certain restrictions whereby funds may only be divested quarterly. The investment in property is in pooled funds valued by the administrators of the fund. The investment in the property fund is subject to certain restrictions on withdrawals that could delay the receipt of funds by up to 16 months. These certain fixed income investments and the property fund are recorded at the NAV of the underlying assets, which are independently valued on a monthly basis. The BPA is considered a Level 3 asset as the value of the asset is based on the implied value of the liability as determined based on the underlying employee data and actuarial assumptions described above, which are all significant unobservable inputs. Signet contributed $12.4 million to the UK Plan in Fiscal 2022 and expects to contribute up to $10.0 million to the UK Plan in Fiscal 2023, subject to finalization of the buy-out under the BPA and the level of remaining funding required for the completion of the Transactions described above. The following benefit payments are currently estimated to be paid by the UK Plan: (in millions) Expected benefit payments Fiscal 2023 $ 9.4 Fiscal 2024 9.4 Fiscal 2025 9.3 Fiscal 2026 9.5 Fiscal 2027 9.4 Next five fiscal years $ 48.2 Other retirement plans In June 2004, Signet introduced a defined contribution plan which replaced the UK Plan for new UK employees. The contributions to this plan in Fiscal 2022 were $2.4 million (Fiscal 2021: $2.4 million; Fiscal 2020: $2.4 million). In the US, Signet operates a defined contribution 401(k) retirement savings plan for all eligible employees who meet minimum age and service requirements. The assets of this plan are held in a separate trust and Signet matches 50% of up to 6% of employee elective salary deferrals, subject to statutory limitations. Signet’s contributions to this plan in Fiscal 2022 were $13.0 million (Fiscal 2021: $3.2 million; Fiscal 2020: $9.1 million). The Company has also established two unfunded, non-qualified deferred compensation plans, one of which permits certain management and highly compensated employees to elect annually to defer all or a portion of their compensation and earn interest on the deferred amounts (“DCP”) and the other of which is frozen as to new participants and new deferrals. Beginning in April 2011, the DCP provided for a matching contribution based on each participant’s annual compensation deferral. The plan also permits employer contributions on a discretionary basis. The cost recognized in connection with the DCP in Fiscal 2022 was $2.2 million (Fiscal 2021: $0.8 million; Fiscal 2020: $3.6 million). The matching contributions, for both the Signet 401(k) and DCP, were temporarily suspended during the first quarter of Fiscal 2021. The matching contributions resumed effective January 1, 2021. Although the two unfunded, non-qualified deferred compensation plans are not required to be funded by the Company, the Company has elected to fund the plans by investing in trust-owned life insurance policies and mutual funds. The value and classification of these assets are as follows: As of January 29, 2022 As of January 30, 2021 (in millions) Total Total Level 1 Investments measured at fair value: Mutual funds $ 12.4 $ 12.4 $ 5.0 $ 5.0 Investments measured at NAV: Money market mutual funds 10.3 16.7 Total assets $ 22.7 $ 12.4 $ 21.7 $ 5.0 The Company also has company-owned life insurance policies held for purposes of funding the DCP totaling $6.0 million and $6.3 million as of January 29, 2022 and January 30, 2021, respectively. As of January 29, 2022 and January 30, 2021, the total liability recorded by the Company for the DCP was $32.4 million and $33.3 million, respectively. |
Loans, overdrafts and long-term
Loans, overdrafts and long-term debt | 12 Months Ended |
Jan. 29, 2022 | |
Debt Disclosure [Abstract] | |
Loans, overdrafts and long-term debt | Loans, overdrafts and long-term debt (in millions) January 29, 2022 January 30, 2021 Debt: Senior Notes, net of unamortized discount $ 147.7 $ 147.6 Gross debt 147.7 147.6 Less: Unamortized debt issuance costs (0.6) (0.9) Total long-term debt $ 147.1 $ 146.7 The annual aggregate maturities of the Company’s debt (excluding the impact of debt issuance costs) for the five years subsequent to January 29, 2022 are presented below. (in millions) Fiscal 2023 $ — Fiscal 2024 — Fiscal 2025 147.7 Fiscal 2026 — Fiscal 2027 — Thereafter — Gross Debt $ 147.7 Revolving credit facility and term loan (the “Credit Facility”) On September 27, 2019, in connection with the issuance of a new senior secured asset-based credit facility, the Company repaid and terminated the Credit Facility. Refer to the “Asset-based credit facility” section below. The original maturity of the Credit Facility was July 2021. Unamortized debt issuance costs of $2.0 million associated with the Credit Facility were written-off during Fiscal 2020 upon executing the termination of the Credit Facility. This expense was recognized as a cost of extinguishment of the Credit Facility and was recorded within other non-operating income (loss) in the consolidated statements of operations. Senior unsecured notes due 2024 On May 19, 2014, Signet UK Finance plc (“Signet UK Finance”), a wholly owned subsidiary of the Company, issued $400 million aggregate principal amount of its 4.70% senior unsecured notes due in 2024 (the “Senior Notes”). The Senior Notes were issued under an effective registration statement previously filed with the SEC. Interest on the Senior Notes is payable semi-annually on June 15 and December 15 of each year. The Senior Notes are jointly and severally guaranteed, on a full and unconditional basis, by the Company and by certain of the Company’s wholly owned subsidiaries (such subsidiaries, the “Guarantors”). The Senior Notes were issued pursuant to a base indenture among the Company, Signet UK Finance, the Guarantors and Deutsche Bank Trust Company Americas as trustee, with the indenture containing customary covenants and events of default provisions. On September 5, 2019, Signet UK Finance announced the commencement of a tender offer to purchase any and all of its outstanding Senior Notes (the “Tender Offer”). Upon receipt of the requisite consents from Senior Note holders, Signet UK Finance entered into a supplemental indenture which eliminated most of the restrictive covenants and certain default provisions of the indenture. The supplemental indenture became operative on September 27, 2019 upon the Company’s acceptance and payment for the Senior Notes previously validly tendered and not validly withdrawn pursuant to the Tender Offer for an aggregate principal amount of $239.6 million, which represented a purchase price of $950.00 per $1,000.00 in principal amount of the Senior Notes validly tendered. The Company recognized a net gain on extinguishment of the validly tendered Senior Notes in Fiscal 2020 of $8.2 million, net of $1.9 million in third party fees and $2.6 million in write-off of unamortized debt issuance costs and original issue discount. This net gain was recorded within other non-operating income (loss) in the consolidated statements of operations. Unamortized debt issuance costs relating to the Senior Notes as of January 29, 2022 was $0.6 million (January 30, 2021: $0.9 million). The remaining unamortized debt issuance costs are recorded as a direct deduction from the outstanding liability within the consolidated balance sheets. Amortization relating to debt issuance costs of $0.3 million was recorded as interest expense in the consolidated statements of operations in Fiscal 2022 ($0.2 million and $0.6 million during Fiscal 2021 and Fiscal 2020, respectively). Asset-based credit facility On September 27, 2019, the Company entered into a senior secured asset-based credit facility consisting of (i) a revolving credit facility in an aggregate committed amount of $1.5 billion (“ABL Revolving Facility”) and (ii) a first-in last-out term loan facility in an aggregate principal amount of $100.0 million (the “FILO Term Loan Facility” and, together with the ABL Revolving Facility, the “ABL Facility”) pursuant to that certain credit agreement. On July 28, 2021, the Company entered into the Second Amendment to the Credit Agreement (the “Second Amendment”) to amend the ABL Facility. The Second Amendment extends the maturity of the ABL Facility from September 27, 2024 to July 28, 2026 and allows the Company to increase the size of the ABL Facility by up to $600 million. The Company incurred additional debt issuance costs of $3.9 million related to the modification of the ABL Facility during the second quarter of Fiscal 2022. Revolving loans under the ABL Revolving Facility are available in an aggregate amount equal to the lesser of the aggregate ABL revolving commitments and a borrowing base determined based on the value of certain inventory and credit card receivables, subject to specified advance rates and reserves. Indebtedness under the ABL Facility is secured by substantially all of the assets of the Company and its subsidiaries, subject to customary exceptions. Borrowings under the ABL Revolving Facility and the FILO Term Loan Facility, as applicable, bear interest at the Company’s option at either eurocurrency rate plus the applicable margin or a base rate plus the applicable margin, in each case depending on the excess availability under the ABL Revolving Facility. As of January 29, 2022, the interest rate applicable to the ABL Revolving Facility was 1.4% (January 30, 2021: 1.7%). The Company had stand-by letters of credit outstanding of $20.1 million on the ABL Revolving Facility as of January 29, 2022 (January 30, 2021: $19.0 million). The Company had available borrowing capacity of $1.2 billion on the ABL Revolving Facility as of January 29, 2022 (January 30, 2021: $1.3 billion). As a result of the risks and uncertainties associated with the potential impacts of COVID-19 on the Company’s business, as a prudent measure to increase the Company’s financial flexibility and bolster its cash position, the Company borrowed an additional $900 million on the ABL Revolving Facility during the first quarter of Fiscal 2021. The Company made ABL Revolving Facility repayments during the third and fourth quarter of Fiscal 2021 and the outstanding amount borrowed under ABL Revolving Facility was fully paid down by the end of Fiscal 2021. During the fourth quarter of Fiscal 2021, the Company fully repaid the FILO Term Loan Facility. The remaining unamortized debt issuance costs of $0.4 million were written-off upon repayment of the FILO Term Loan Facility. This expense was recognized as a cost of extinguishment of debt and was recorded within other non-operating income, net, in the consolidated statements of operations. If the excess availability under the ABL Revolving Facility falls below the threshold specified in the ABL Facility agreement, the Company will be required to maintain a fixed charge coverage ratio of not less than 1.00 to 1.00. As of January 29, 2022, the threshold related to the fixed coverage ratio was approximately $119 million. The ABL Facility places certain restrictions upon the Company’s ability to, among other things, incur additional indebtedness, pay dividends, grant liens and make certain loans, investments and divestitures. The ABL Facility contains customary events of default (including payment defaults, cross-defaults to certain of the Company’s other indebtedness, breach of representations and covenants and change of control). The occurrence of an event of default under the ABL Facility would permit the lenders to accelerate the indebtedness and terminate the ABL Facility. Debt issuance costs relating to the ABL Revolving Facility totaled $12.6 million. The remaining unamortized debt issuance costs are recorded within other assets in the consolidated balance sheets. Amortization relating to the debt issuance costs of $2.0 million was recorded as interest expense in the consolidated statements of operations for Fiscal 2022 ($1.7 million and $0.6 million during Fiscal 2021 and Fiscal 2020, respectively). Unamortized debt issuance costs related to the ABL Revolving Facility totaled $8.3 million as of January 29, 2022 (January 30, 2021: $6.4 million). |
Accrued expenses and other curr
Accrued expenses and other current liabilities | 12 Months Ended |
Jan. 29, 2022 | |
Payables and Accruals [Abstract] | |
Accrued expenses and other current liabilities | Accrued expenses and other current liabilities (in millions) January 29, 2022 January 30, 2021 Accrued compensation and benefits $ 138.2 $ 111.6 Accrued advertising 30.5 52.3 Other taxes 64.4 69.3 Payroll taxes 25.9 27.5 Accrued expenses 242.6 233.4 Total accrued expenses and other current liabilities $ 501.6 $ 494.1 The North America segment provides a product lifetime diamond guarantee as long as six-month inspections are performed and certified by an authorized store representative. Provided the customer has complied with the six-month inspection policy, the Company will replace, at no cost to the customer, any stone that chips, breaks or is lost from its original setting during normal wear. Management estimates the warranty accrual based on the lag of actual claims experience and the costs of such claims, inclusive of labor and material. A similar product lifetime guarantee is also provided on color gemstones. The warranty reserve for diamond and gemstone guarantee is as follows: (in millions) Fiscal 2022 Fiscal 2021 Fiscal 2020 Warranty reserve, beginning of period $ 37.3 $ 36.3 $ 33.2 Warranty expense 8.7 8.5 13.5 Utilized (1) (10.0) (7.5) (10.4) Warranty reserve, end of period $ 36.0 $ 37.3 $ 36.3 (1) Includes impact of foreign currency translation. (in millions) January 29, 2022 January 30, 2021 Disclosed as: Current liabilities (1) $ 10.2 $ 10.7 Other liabilities - non-current (see Note 26) 25.8 26.6 Total warranty reserve $ 36.0 $ 37.3 |
Other liabilities - non-current
Other liabilities - non-current | 12 Months Ended |
Jan. 29, 2022 | |
Other Liabilities Disclosure [Abstract] | |
Other liabilities - non-current | Other liabilities - non-current (in millions) January 29, 2022 January 30, 2021 Deferred compensation 29.6 25.5 Warranty reserve 25.8 26.6 Other liabilities 54.5 59.0 UK pension 7.7 — Total other liabilities $ 117.6 $ 111.1 |
Share-based compensation
Share-based compensation | 12 Months Ended |
Jan. 29, 2022 | |
Share-based Payment Arrangement [Abstract] | |
Share-based compensation | Share-based compensation Signet operates several share-based compensation plans which can be categorized as the “Omnibus Plans” and “Share Saving Plans” as further described below. Share-based compensation expense and the associated tax benefits recognized in the consolidated statements of operations are as follows: (in millions) Fiscal 2022 Fiscal 2021 Fiscal 2020 Share-based compensation expense $ 45.8 $ 14.5 $ 16.9 Income tax benefit $ (5.9) $ (3.6) $ (4.2) On March 25, 2020, in light of the economic situation as a result of the COVID-19 pandemic, the Company implemented temporary base salary reductions for members of senior management, with half of the salary reduction amount to be awarded in the Company’s common shares in lieu of cash. The base salaries were reinstated in September 2020. In Fiscal 2021, $1.3 million of Common Shares with no vesting requirements were awarded to senior management. As of January 29, 2022, unrecognized compensation cost related to unvested awards granted under share-based compensation plans is as follows: (in millions) Unrecognized Compensation Cost Weighted average period Omnibus Plan $ 50.4 1.9 years Total $ 50.4 The Company satisfies share option exercises and the vesting of time-based restricted stock (“RSAs”), time-based restricted stock units (“RSUs”) and performance-based restricted stock units (“PSUs”) under its plans with the issuance of treasury shares. Omnibus Plan In June 2018, Signet’s shareholders approved and Signet adopted the Signet Jewelers Limited 2018 Omnibus Incentive Plan (as amended to the date here to, the “2018 Omnibus Plan”). Upon adoption of the 2018 Omnibus Plan, shares that were previously available under the Signet Jewelers Limited Omnibus Incentive Plan, which was approved in June 2009 (the “2009 Omnibus Plan”, and collectively with the 2018 Omnibus Incentive Plan, the “Omnibus Plans”) are no longer available for future grants and were not transferred to the 2018 Omnibus Plan. Awards that may be granted under the 2018 Omnibus Plan include RSAs, RSUs, PSUs, Common Shares, stock options, stock appreciation rights and other stock-based awards. The Fiscal 2022, Fiscal 2021 and Fiscal 2020 annual awards granted under the Omnibus Plans have four elements: RSAs, RSUs, PSUs, and Common Shares. The RSAs generally have a three-year vesting period, subject to continued employment, and have the same voting rights and dividend rights as Common Shares (which are payable once the RSAs have vested). PSUs awarded in Fiscal 2020 include two performance measures: operating income (subject to certain adjustments) and return on invested capital (“ROIC”), although the ROIC measure is applicable only to senior executives. PSUs awarded in Fiscal 2021 and Fiscal 2022 include two performance measures: revenue and free cash flow (defined as cash flow from operations less capital expenditures). For the performance measures, cumulative results achieved during the relevant three ten one three RSU and PSU awards do not have dividend rights until vesting, and thus the grant date fair value of these awards is impacted by the dividend yield and term of the awards. However, RSAs do have dividend rights from the date of grant, and thus are valued at the market price of the Company’s stock on the grant date, consistent with awards of Common Shares. The significant assumptions utilized to estimate the weighted-average fair value of RSAs, Common Shares, RSUs, and PSUs granted under the Omnibus Plans are as follows: Omnibus Plan Fiscal 2022 Fiscal 2021 Fiscal 2020 Share price $ 60.65 $ 11.10 $ 20.76 Expected term 2.9 years 2.9 years 2.8 years Dividend yield 4.3 % 5.5 % 7.5 % Fair value $ 53.58 $ 9.37 $ 18.14 The significant assumptions utilized to estimate the weighted-average fair value of stock options granted under the Omnibus Plans are as follows: Fiscal 2020 Share price $ 22.17 Exercise price $ 25.18 Risk free interest rate 2.4 % Expected term 6.0 years Expected volatility 42.7 % Dividend yield 6.7 % Fair value $ 4.27 No stock options were granted during Fiscal 2022 or Fiscal 2021. The risk-free interest rate is based on the US Treasury yield curve in effect at the grant date with remaining terms equal to the expected term of the awards. The expected term utilized is the length of time the awards are expected to be outstanding, primarily based on the vesting period and expiration date of the awards. The expected volatility is determined by calculating the historical volatility of Signet’s share price over the expected term of the award. The Fiscal 2022 activity for Common Shares, RSAs, RSUs and PSUs granted under the Omnibus Plans is as follows: Omnibus Plans (in millions, except per share amounts) No. of Weighted Weighted Intrinsic (1) Outstanding at January 30, 2021 4.8 $ 15.24 1.8 years $ 192.3 Fiscal 2022 activity: Granted 1.0 54.22 Vested (0.9) 10.90 Lapsed or forfeited (0.6) 37.06 Outstanding at January 29, 2022 4.3 $ 22.28 1.1 years $ 369.3 (1) Intrinsic value for outstanding RSAs, RSUs, and PSUs is based on the fair market value of Signet’s common stock on the last business day of the fiscal year. The Fiscal 2022 activity for stock options granted under the Omnibus Plans is as follows: Omnibus Plans (in millions, except per share amounts) No. of Weighted Weighted Intrinsic (1) Outstanding at January 30, 2021 0.5 $ 38.98 7.3 years $ 0.8 Fiscal 2022 activity: Exercised (0.3) 39.15 Outstanding at January 29, 2022 0.2 $ 38.70 6.3 years $ 8.9 (1) Intrinsic value for outstanding awards is based on the fair market value of Signet’s common stock on the last business day of the fiscal year. The following table summarizes additional information about awards granted under the Omnibus Plans: (in millions) Fiscal 2022 Fiscal 2021 Fiscal 2020 Total intrinsic value of awards vested $ 76.6 $ 5.0 $ 3.5 Share saving plans Signet has three share option savings plans available to employees as follows: • Employee Share Purchase Plan (“ESPP”), for US employees • Sharesave Plan, for UK employees • Irish Sub-Plan to the Sharesave Plan, for Republic of Ireland employees The ESPP as adopted in 2018 is a savings plan intended to qualify under US Section 423 of the US Internal Revenue Code and allows employees to purchase common shares at a discount of approximately 5% to the closing price of the New York Stock Exchange on the date of purchase, which occurs on the last trading day of a twelve-month offering period. This plan is non-compensatory and no more than 1,250,000 shares may be issued under the ESPP. The Company suspended participation in the ESPP in August 2019, thus no shares were issued in Fiscal 2022, Fiscal 2021 or Fiscal 2020. |
Commitments and contingencies
Commitments and contingencies | 12 Months Ended |
Jan. 29, 2022 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and contingencies | Commitments and contingencies Contingent property liabilities At January 29, 2022, 11 property leases had been assigned in the UK by Signet (and remained unexpired and occupied by assignees at that date) and approximately six additional properties were sub-leased in the US and UK at that date. Should the assignees or sub-tenants fail to fulfill any obligations in respect of those leases or any other leases which have at any other time been assigned or sub-leased, Signet or one of its subsidiaries may be liable for those defaults. The amount of such claims arising to date has not been material. Capital commitments At January 29, 2022 Signet had capital commitments of $18.2 million (none at January 30, 2021). These commitments generally relate to store construction and capital investments in IT. Additionally, the Company has certain commitments to maintain or improve leased properties; however there are no minimum requirements or otherwise committed amounts for these projects as of January 29, 2022 or January 30, 2021. Legal proceedings Employment practices In March 2008, a group of private plaintiffs (the “Claimants”) filed a class and collective action lawsuit for an unspecified amount against Sterling Jewelers, Inc. (“SJI”), a subsidiary of Signet, in the US District Court for the Southern District of New York (“SDNY”), alleging that US store-level employment practices as to compensation and promotions discriminate on the basis of gender in purported violation of Title VII of the Civil Rights Act of 1964 (“Title VII”) and the Equal Pay Act (“EPA”). In June 2008, the SDNY referred the matter to private arbitration with the American Arbitration Association (“AAA”) where the Claimants sought to proceed on a class-wide basis. On February 2, 2015, the arbitrator issued a Class Determination Award in which she certified a class (estimated to include approximately 70,000 class members at the time) for the Claimants’ disparate impact claims for declaratory and injunctive relief under Title VII. On February 29, 2016, the arbitrator granted Claimants’ Motion for Conditional Certification of Claimants’ EPA Claims and Authorization of Notice, and notice to EPA collective action members was issued on May 3, 2016. The opt-in period for the EPA collective action closed on August 1, 2016, and the number of valid opt-in EPA Claimants is believed to be approximately 9,124. SJL challenged the arbitrator’s Class Determination Award with the SDNY. Although the SDNY vacated the Class Determination Award on January 15, 2018, on appeal the US Court of Appeals for the Second Circuit (“Second Circuit”) held that the SDNY erred and remanded the case to the SDNY to decide whether the Arbitrator erred in certifying an opt-out, as opposed to a mandatory, class for declaratory and injunctive relief. On January 27, 2021 the SDNY ordered the case remanded to the AAA for further proceedings in arbitration on a class-wide basis. Subsequently, the arbitrator retired, and the parties selected a new arbitrator to oversee the proceedings moving forward. On October 8, 2021, the newly selected arbitrator issued an amended case management plan and scheduled the arbitration hearing to begin on September 5, 2022. SJI denies the allegations of the Claimants and has been defending the case vigorously. At this point, no outcome or possible loss or range of losses, if any, arising from the litigation is able to be estimated. On May 4, 2017, without any findings of liability or wrongdoing, SJI entered into a Consent Decree with the Equal Employment Opportunity Commission (“EEOC”) settling a previously disclosed lawsuit that alleged that SJI engaged in intentional and disparate impact gender discrimination with respect to pay and promotions of female retail store employees since January 1, 2003. On May 4, 2017 the US District Court for the Western District of New York (“WDNY”) approved and entered the Consent Decree jointly proposed by the EEOC and SJI. The Consent Decree resolves all of the EEOC’s claims against SJI in this litigation, and imposes certain obligations on SJI including the appointment of an employment practices expert to review specific policies and practices, as well as obligations relative to training, notices, reporting and record-keeping. The Consent Decree does not require an outside third-party to monitor or require any monetary payment. The duration of the Consent Decree initially was three years and three months, set to expire on August 4, 2020, but on March 11, 2020, the WDNY approved a limited extension until November 4, 2021 of a few aspects of the Consent Decree terms regarding SJI’s compensation practices, and incorporating its implementation of a new retail team member compensation program into the overall Consent Decree framework. On October 11, 2021, SJI and the EEOC agreed to a tolling stipulation, which was submitted on October 22, 2021 and entered by the WDNY on November 4, 2021, and which extended certain deadlines of the Consent Decree until December 4, 2021. SJI and the EEOC have agreed to additional extensions of the tolling stipulation while the parties negotiate the terms of an amended Consent Decree for the limited purpose of completing certain statistical analyses on SJI’s initial pay and merit increase practices for its retail store employees that the employment practices expert was required to conduct during the term of the Consent Decree. Previously settled matters Shareholder actions As previously reported, on March 16, 2020, the Company entered into an agreement to settle a consolidated class action filed against the Company and certain former executives filed by various shareholders of the Company (the “Consolidated Action”). As a result of the settlement, the Company recorded a charge of $33.2 million during the fourth quarter of Fiscal 2020 in other operating income (loss), which includes administration costs of $0.6 million and is recorded net of expected recoveries from the Company’s insurance carriers. The settlement was fully funded in the second quarter of Fiscal 2021, and the Company contributed approximately $35 million of the $240 million settlement payment, net of insurance proceeds and including the impact of foreign currency. The Court granted final approval of the settlement on July 21, 2020. Four additional actions were filed against the Company and certain former executives largely based on the same allegations as the Consolidated Action. Soon thereafter these four actions were filed, the Court entered orders staying these actions until entry of final judgment in the Consolidated Action. On June 27, 2020, the Company and plaintiffs in the four stayed actions (the “Opt-Out Plaintiffs”) reached a settlement in principle, which was finalized on July 10, 2020 requiring the Opt-Out Plaintiffs to rejoin the Consolidated Action. The Company recorded pre-tax charges related to the settlement of $7.5 million (net of expected insurance recovery) and $1.7 million during Fiscal 2021 and Fiscal 2022, respectively. The final amount owed to the Opt-Out Plaintiffs was paid in Fiscal 2022. |
Organization and summary of s_2
Organization and summary of significant accounting policies (Policies) | 12 Months Ended |
Jan. 29, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of preparation | Basis of preparationThe consolidated financial statements of Signet are prepared in accordance with US generally accepted accounting principles (“US GAAP” or “GAAP”) and include the results for the 52 week period ended January 29, 2022 (“Fiscal 2022”), as Signet’s fiscal year ends on the Saturday nearest to January 31. The comparative periods are for the 52 week period ended January 30, 2021 (“Fiscal 2021”) and the 52 week period ended February 1, 2020 (“Fiscal 2020”). Intercompany transactions and balances have been eliminated in consolidation. Signet has reclassified certain prior year amounts to conform to the current year presentation. |
Risks and Uncertainties - COVID-19 | Risks and uncertainties - COVID-19 In December 2019, a novel coronavirus (“COVID-19”) was identified in Wuhan, China. As a result, the Company experienced significant disruption to its business, specifically in its retail store operations through temporary closures during the first half of Fiscal 2021. By the end of the third quarter of Fiscal 2021, the Company had re-opened substantially all of its stores. However, during the fourth quarter of Fiscal 2021, both the UK and certain Canadian provinces re-established mandated temporary closure of non-essential businesses. The UK stores began to reopen in April 2021, while the Canadian stores began reopening in the second quarter of Fiscal 2022. While there has been no significant impact to the Company’s consolidated financial statements during Fiscal 2022, the full extent and duration of the impact of COVID-19 on the Company’s operations and financial performance is currently unknown and depends on future developments that are uncertain and unpredictable, including the duration and possible resurgence of COVID-19 (including through variants), the success of the vaccine rollout globally, its impact on the Company’s global supply chain, and the uncertainty of customer behavior and potential shifts in discretionary spending. The Company will continue to evaluate the impact of COVID-19 on its business, results of operations and cash flows throughout Fiscal 2023, including the potential impacts on various estimates and assumptions inherent in the preparation of the consolidated financial statements. |
Use of estimates | Use of estimatesThe preparation of these consolidated financial statements, in conformity with US GAAP and US Securities and Exchange Commission (“SEC”) regulations, requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities at the date of the consolidated financial statements and reported amounts of revenues and expenses during the reported period. Actual results could differ from those estimates. Estimates and assumptions are primarily made in relation to the valuation of accounts receivables, inventories, deferred revenue, derivatives, employee benefits, income taxes, contingencies, right-of-use assets and lease liabilities, asset impairments for goodwill, indefinite-lived intangible and long-lived assets and the depreciation and amortization of long-lived assets. |
Foreign currency translation | Foreign currency translationThe financial position and operating results of certain foreign operations, including the International segment and the Canadian operations of the North America segment, are consolidated using the local currency as the functional currency. Assets and liabilities are translated at the rates of exchange on the consolidated balance sheet date, and revenues and expenses are translated at the monthly average rates of exchange during the period. Resulting translation gains or losses are included in the accompanying consolidated statements of shareholders’ equity as a component of accumulated other comprehensive income (loss) (“AOCI”). Gains or losses resulting from foreign currency transactions are included within other operating income (loss) in the consolidated statements of operations, whereas translation adjustments and gains or losses related to intercompany loans of a long-term investment nature are recognized as a component of AOCI.See Note 10 for additional information regarding the Company’s foreign currency translation. |
Revenue recognition | Revenue recognition The Company applies a five-step approach in determining the amount and timing of revenue to be recognized: (1) identifying the contract with a customer; (2) identifying the performance obligations in the contract; (3) determining the transaction price; (4) allocating the transaction price to the performance obligations in the contract; and (5) recognizing revenue when the corresponding performance obligation is satisfied. |
Cost of sales and selling, general and administrative expenses | Cost of sales and selling, general and administrative expenses Cost of sales includes merchandise costs, net of discounts and allowances; distribution and warehousing costs; and store operating and occupancy costs. Store operating and occupancy costs include utilities, rent, real estate taxes, common area maintenance charges and depreciation. Distribution and warehousing costs including freight, processing, inventory shrinkage and related compensation and benefits. Selling, general and administrative expenses include store staff and store administrative costs; centralized administrative expenses, including information technology; third-party credit costs and credit loss expense; advertising and promotional costs and other operating expenses not specifically categorized elsewhere in the consolidated statements of operations. |
Store opening costs | Store opening costsThe opening costs of new locations are expensed as incurred and included within selling, general and administrative expenses. |
Advertising and promotional costs | Advertising and promotional costsAdvertising and promotional costs are expensed within selling, general and administrative expenses. Production costs are expensed at the first communication of the advertisements, while communication expenses are recognized each time the advertisement is communicated. For catalogs and circulars, costs are all expensed at the first date they can be viewed by the customer. Point of sale promotional material is expensed when first displayed in the stores. |
Income taxes | Income taxes Income taxes are accounted for using the asset and liability method, which requires the recognition of deferred tax assets and liabilities for the expected future tax consequences of events that have been included in the consolidated financial statements. Under this method, deferred tax assets and liabilities are recognized by applying statutory tax rates in effect in the years in which the differences between the financial reporting and tax filing bases of existing assets and liabilities are expected to reverse. The effect of a change in tax rates on deferred tax assets and liabilities is recognized in income in the period that includes the enactment date. A valuation allowance is established against deferred tax assets when it is more likely than not that all or a portion of the deferred tax assets will not be realized, based on management’s evaluation of all available evidence, both positive and negative, including reversals of deferred tax liabilities, projected future taxable income and results of recent operations. The Company does not recognize tax benefits related to positions taken on certain tax matters unless the position is more likely than not to be sustained upon examination by tax authorities. At any point in time, various tax years are subject to or are in the process of being audited by various taxing authorities. The Company records a reserve for uncertain tax positions, including interest and penalties. To the extent that management’s estimates of settlements change, or the final tax outcome of these matters is different than the amounts recorded, such differences will impact the income tax provision in the period in which such determinations are made. |
Cash and cash equivalents | Cash and cash equivalentsCash and cash equivalents consist of cash on hand, money market deposits and amounts placed with external fund managers with an original maturity of three months or less. Cash and cash equivalents are carried at cost which approximates fair value. In addition, receivables from third-party credit card issuers typically converted to cash within five days of the original sales transaction are considered cash equivalents. |
Accounts receivable | Accounts receivableIn June 2018, the Company completed the sale of the remaining North America customer in-house finance receivables (see Note 13). Subsequent to the completion of this transaction, receivables issued by the Company but pending transfer are classified as “held for sale” and recorded at fair value in the consolidated balance sheet. See Note 22 for additional information regarding the assumptions utilized in the calculation of fair value of the finance receivables held for sale. |
Inventories | Inventories Inventories are primarily held for resale and are valued at the lower of cost or net realizable value. Cost is determined using weighted-average cost, on a first-in first-out basis, for all inventories except for inventories held in the Company’s diamond sourcing operations, where cost is determined using specific identification. Cost includes charges directly related to bringing inventory to its present location and condition. Such charges would include warehousing, security, distribution and certain buying costs. Net realizable value is defined as estimated selling price in the ordinary course of business, less reasonably predictable costs of completion, disposal and transportation. Inventory reserves are recorded for obsolete, slow moving or defective items and shrinkage. Inventory reserves for obsolete, slow moving or defective items are calculated as the difference between the cost of inventory and its estimated net realizable value based on targeted inventory turn rates, future demand, management strategy and market conditions. Due to the inventory primarily consisting of precious stones and metals including gold, the age of the inventory has a limited impact on the estimated net realizable value. Inventory reserves for shrinkage are estimated and recorded based on historical physical inventory results, expectations of future inventory losses and current inventory levels. Physical inventories are taken at least once annually for all store locations and distribution centers. |
Vendor contributions | Vendor contributionsContributions are received from vendors through various programs and arrangements including cooperative advertising. Where vendor contributions related to identifiable promotional events are received, contributions are matched against the costs of promotions. Vendor contributions received as general contributions and not related to specific promotional events are recognized as a reduction of inventory costs. |
Property, plant and equipment | Property, plant and equipment Property, plant and equipment are stated at cost less accumulated depreciation, amortization and impairment charges. Maintenance and repair costs are expensed as incurred. Depreciation and amortization are recognized on the straight-line method over the estimated useful lives of the related assets as follows: Buildings Ranging from 30 – 40 years Leasehold improvements Remaining term of lease, not to exceed 10 years Furniture and fixtures Ranging from 3 – 10 years Equipment and software Ranging from 3 – 7 years Computer software purchased or developed for internal use is stated at cost less accumulated amortization. Signet’s policy provides for the capitalization of external direct costs of materials and services associated with developing or obtaining internal use computer software. In addition, Signet also capitalizes certain payroll and payroll-related costs for employees directly associated with internal use computer projects. Amortization is charged on a straight-line basis over periods from three |
Goodwill and intangibles | Goodwill and intangibles In a business combination, the Company estimates and records the fair value of all assets acquired and liabilities assumed, including identifiable intangible assets and liabilities. The fair value of these intangible assets and liabilities is estimated based on management’s assessment, including selection of appropriate valuation techniques, inputs and assumptions in the determination of fair value. Significant estimates in valuing intangible assets and liabilities acquired include, but are not limited to, future expected cash flows associated with the acquired asset or liability, expected life and discount rates. The excess purchase price over the estimated fair values of the assets acquired and liabilities assumed is recognized as goodwill. Goodwill is recorded by the Company’s reporting units based on the acquisitions made by each. Goodwill and other indefinite-lived intangible assets, such as indefinite-lived trade names, are evaluated for impairment annually as of the beginning of the fourth reporting period. Additionally, if events or conditions were to indicate the carrying value of a reporting unit or an indefinite-lived intangible asset may be greater than its fair value, the Company would evaluate the asset for impairment at that time. Impairment testing compares the carrying amount of the reporting unit or other intangible assets with its fair value. When the carrying amount of the reporting unit or other intangible assets exceeds its fair value, an impairment charge is recorded. Intangible assets with definite lives are amortized and reviewed for impairment whenever events or circumstances indicate that the carrying amount of the asset may not be recoverable. If the estimated undiscounted future cash flows related to the asset are less than the carrying amount, the Company recognizes an impairment charge equal to the difference between the carrying value and the estimated fair value, usually determined by the estimated discounted future cash flows of the asset. |
Derivatives and hedge accounting | Derivatives and hedge accounting The Company enters into various types of derivative instruments to mitigate certain risk exposures related to changes in commodity costs and foreign exchange rates. Derivative instruments are recorded in the consolidated balance sheets at fair value, as either assets or liabilities, with an offset to net income or other comprehensive income (“OCI”), depending on whether the derivative qualifies as an effective hedge. If a derivative instrument meets certain criteria, the Company designates it as a cash flow hedge within the fiscal quarter it is entered into. For effective cash flow hedge transactions, the changes in fair value of the derivative instrument is recognized directly in equity as a component of AOCI and is recognized in the consolidated statements of operations in the same period(s) and on the same financial statement line in which the hedged item affects net income. Gains and losses on derivatives that do not qualify for hedge accounting are recognized immediately in other operating income (loss). In the normal course of business, the Company may terminate cash flow hedges prior to the occurrence of the underlying forecasted transaction. For cash flow hedges terminated prior to the occurrence of the underlying forecasted transaction, management monitors the probability of the associated forecasted cash flow transactions to assess whether any gain or loss recorded in AOCI should be immediately recognized in net income. Cash flows from derivative contracts are included in net cash provided by operating activities. |
Employee Benefits | Employee benefits The funded status of the defined benefit pension plan in the UK (the “UK Plan”) is recognized on the consolidated balance sheets, and is the difference between the fair value of plan assets and the projected benefit obligation measured at the balance sheet date. Gains or losses and prior service costs or credits that arise and are not included as components of net periodic pension cost are recognized, net of tax, in OCI. Signet also operates a defined contribution plan in the UK, a defined contribution retirement savings plan in the US, and an executive deferred compensation plan in the US. Contributions made by Signet to these benefit arrangements are charged primarily to selling, general and administrative expenses in the consolidated statements of operations as incurred. |
Debt issuance costs | Debt issuance costs Borrowings include primarily interest-bearing bank loans and bank overdrafts. Direct debt issuance costs on borrowings are capitalized and amortized into interest expense over the contractual term of the related loan. |
Share-based compensation | Share-based compensation Signet measures share-based compensation cost for awards classified as equity at the grant date based on the estimated fair value of the award and recognizes the cost as an expense on a straight-line basis (net of estimated forfeitures) over the requisite service period of employees. Certain share awards under the Company’s plans include a condition whereby vesting is contingent on Company performance exceeding a given target, and therefore awards granted with this condition are considered to be performance-based awards. Signet estimates fair value using a Black-Scholes model for awards granted under the Omnibus Plan and the binomial valuation model for awards granted under the Share Saving Plans. Deferred tax assets for awards that result in deductions on the income tax returns of subsidiaries are recorded by Signet based on the amount of compensation cost recognized and the subsidiaries’ statutory tax rate in the jurisdiction in which it will receive a deduction. Share-based compensation is primarily recorded in selling, general and administrative expenses in the consolidated statements of operations, consistent with the relevant salary cost. |
Contingent liabilities | Contingent liabilities Provisions for contingent liabilities are recorded for probable losses when management is able to reasonably estimate the loss or range of loss. When it is reasonably possible that a contingent liability may result in a loss or additional loss, the range of the potential loss is disclosed. |
Dividends | Dividends Dividends on common shares are reflected as a reduction of retained earnings in the period in which they are formally declared by the Board of Directors (the “Board”). In addition, the cumulative dividends on preferred shares are reflected as a reduction of retained earnings in the period in which they are declared by the Board, as are the deemed dividends resulting from the accretion of issuance costs related to the preferred shares. |
New accounting pronouncements | New accounting pronouncements recently adopted In October 2021, the FASB issued ASU 2021-08, Business Combinations (“Topic 805”): Accounting for Contract Assets and Contract Liabilities from Contracts with Customers . This ASU requires that an acquirer recognize and measure customer contract assets and liabilities in a business combination in accordance with Topic 606, Revenue from Contracts with Customers , as if the acquirer had originated the contracts, rather than under Topic 805. Under prior guidance with Topic 805, a liability for deferred revenue was generally recognized at fair value in an acquirer’s financial statements as if it represented a legal obligation. This ASU is effective for fiscal years beginning after December 15, 2022, including interim periods within those fiscal years, with early adoption permitted. The Company elected to early adopt this ASU effective October 31, 2021 on a retrospective basis. The adoption of this ASU did not have a material impact on the Company’s consolidated financial position or results of operations. New accounting pronouncements issued but not yet adopted There are no new accounting pronouncements issued that are expected to have a material impact to the Company in future periods. |
Organization and summary of s_3
Organization and summary of significant accounting policies (Tables) | 12 Months Ended |
Jan. 29, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Schedule of cash and cash equivalents | The following table summarizes the details of the Company’s cash and cash equivalents: (in millions) January 29, 2022 January 30, 2021 Cash and cash equivalents held in money markets and other accounts $ 1,362.4 $ 1,122.2 Cash equivalents from third-party credit card issuers 54.4 48.8 Cash on hand 1.5 1.5 Total cash and cash equivalents $ 1,418.3 $ 1,172.5 |
Schedule of cash flow, supplemental disclosures | The Company’s supplemental cash flow information was as follows: (in millions) Fiscal 2022 Fiscal 2021 Fiscal 2020 Non-cash investing activities: Capital expenditures in accounts payable $ 6.2 $ 1.2 $ 0.1 Supplemental cash flow information: Interest paid $ 14.8 $ 30.5 $ 34.7 Income tax paid (refunded), net (1) $ 120.7 $ (176.0) $ 5.7 (1) Includes $183.4 million refunded under the CARES Act in Fiscal 2021. See Note 11 for further details. |
Schedule of property, plant and equipment | Depreciation and amortization are recognized on the straight-line method over the estimated useful lives of the related assets as follows: Buildings Ranging from 30 – 40 years Leasehold improvements Remaining term of lease, not to exceed 10 years Furniture and fixtures Ranging from 3 – 10 years Equipment and software Ranging from 3 – 7 years (in millions) January 29, 2022 January 30, 2021 Land and buildings $ 21.7 $ 21.8 Leasehold improvements 640.9 616.9 Furniture and fixtures 698.3 669.9 Equipment 133.5 122.4 Software 251.5 334.2 Construction in progress 78.9 38.4 Total $ 1,824.8 $ 1,803.6 Accumulated depreciation and amortization (1,248.9) (1,198.1) Property, plant and equipment, net $ 575.9 $ 605.5 |
Revenue recognition (Tables)
Revenue recognition (Tables) | 12 Months Ended |
Jan. 29, 2022 | |
Revenue from Contract with Customer [Abstract] | |
Disaggregation of Revenue | The following tables provide the Company’s total sales, disaggregated by banner, for Fiscal 2022, Fiscal 2021 and Fiscal 2020: Fiscal 2022 (in millions) North America International Other Consolidated Sales by banner: Kay $ 2,985.8 $ — $ — $ 2,985.8 Zales 1,624.8 — — 1,624.8 Jared 1,326.3 — — 1,326.3 Banter by Piercing Pagoda 553.4 — — 553.4 Diamonds Direct (2) 132.5 — — 132.5 James Allen 422.8 — — 422.8 Peoples 206.2 — — 206.2 International segment banners — 492.4 — 492.4 Other (1) 13.0 — 68.8 81.8 Total sales $ 7,264.8 $ 492.4 $ 68.8 $ 7,826.0 Fiscal 2021 (in millions) North America International Other Consolidated Sales by banner: Kay $ 2,008.6 $ — $ — $ 2,008.6 Zales 1,121.6 — — 1,121.6 Jared 920.9 — — 920.9 Banter by Piercing Pagoda 337.5 — — 337.5 James Allen 301.4 — — 301.4 Peoples 150.9 — — 150.9 International segment banners — 355.9 — 355.9 Other (1) — — 30.1 30.1 Total sales $ 4,840.9 $ 355.9 $ 30.1 $ 5,226.9 Fiscal 2020 (in millions) North America International Other Consolidated Sales by banner: Kay $ 2,414.0 $ — $ — $ 2,414.0 Zales 1,276.8 — — 1,276.8 Jared 1,088.1 — — 1,088.1 Banter by Piercing Pagoda 331.7 — — 331.7 James Allen 250.6 — — 250.6 Peoples 204.6 — — 204.6 International segment banners — 518.0 — 518.0 Other (1) — — 53.3 53.3 Total sales $ 5,565.8 $ 518.0 $ 53.3 $ 6,137.1 (1) Includes sales from Signet’s diamond sourcing initiative and Rocksbox. (2) Includes Diamonds Direct sales since the date of acquisition on November 17, 2021. See Note 4 for further details.. The following tables provide the Company’s total sales, disaggregated by major product, for Fiscal 2022, Fiscal 2021 and Fiscal 2020: Fiscal 2022 (in millions) North America International Other Consolidated Sales by product: Bridal $ 3,087.6 $ 222.8 $ — $ 3,310.4 Fashion 3,130.1 92.7 — 3,222.8 Watches 241.8 157.8 — 399.6 Other (1) 805.3 19.1 68.8 893.2 Total sales $ 7,264.8 $ 492.4 $ 68.8 $ 7,826.0 Fiscal 2021 (in millions) North America International Other Consolidated Sales by product: Bridal $ 2,140.5 $ 166.4 $ — $ 2,306.9 Fashion 1,987.9 69.2 — 2,057.1 Watches 145.6 108.5 — 254.1 Other (1) 566.9 11.8 30.1 608.8 Total sales $ 4,840.9 $ 355.9 $ 30.1 $ 5,226.9 Fiscal 2020 (in millions) North America International Other Consolidated Sales by product: Bridal $ 2,403.4 $ 214.3 $ — $ 2,617.7 Fashion 2,131.0 110.5 — 2,241.5 Watches 214.9 169.1 — 384.0 Other (1) 816.5 24.1 53.3 893.9 Total sales $ 5,565.8 $ 518.0 $ 53.3 $ 6,137.1 (1) Other revenue primarily includes gift and other miscellaneous jewelry sales, extended service plans, repairs, subscriptions, and other miscellaneous non-jewelry sales. The following tables provide the Company’s total sales, disaggregated by channel, for Fiscal 2022, Fiscal 2021 and Fiscal 2020: Fiscal 2022 (in millions) North America International Other Consolidated Sales by channel: Store $ 5,867.9 $ 377.7 $ — $ 6,245.6 eCommerce 1,396.9 114.7 — 1,511.6 Other (1) — — 68.8 68.8 Total sales $ 7,264.8 $ 492.4 $ 68.8 $ 7,826.0 Fiscal 2021 (in millions) North America International Other Consolidated Sales by channel: Store $ 3,772.9 $ 238.9 $ — $ 4,011.8 eCommerce 1,068.0 117.0 — 1,185.0 Other (1) — — 30.1 30.1 Total sales $ 4,840.9 $ 355.9 $ 30.1 $ 5,226.9 Fiscal 2020 (in millions) North America International Other Consolidated Sales by channel: Store $ 4,880.2 $ 453.2 $ — $ 5,333.4 eCommerce 685.6 64.8 — 750.4 Other (1) — — 53.3 53.3 Total sales $ 5,565.8 $ 518.0 $ 53.3 $ 6,137.1 (1) Includes sales from Signet’s diamond sourcing initiative and Rocksbox. |
Unamortized Deferred Selling Costs | Unamortized deferred selling costs as of Fiscal 2022 and Fiscal 2021 were as follows: (in millions) January 29, 2022 January 30, 2021 Deferred selling costs Other current assets $ 28.4 $ 26.2 Other assets 87.8 85.1 Total deferred selling costs $ 116.2 $ 111.3 |
Summary of Deferred Revenue | Deferred revenue consists primarily of ESP and other deferred revenue as follows: (in millions) January 29, 2022 January 30, 2021 ESP deferred revenue $ 1,116.5 $ 1,028.9 Other deferred revenue (1) 82.4 43.1 Total deferred revenue $ 1,198.9 $ 1,072.0 Disclosed as: Current liabilities $ 341.3 $ 288.7 Non-current liabilities 857.6 783.3 Total deferred revenue $ 1,198.9 $ 1,072.0 (1) Other deferred revenue includes primarily revenue collected from customers for custom orders and eCommerce orders, for which control has not yet transferred to the customer. (in millions) Fiscal 2022 Fiscal 2021 ESP deferred revenue, beginning of period $ 1,028.9 $ 960.0 Plans sold (1) 528.9 337.4 Revenue recognized (2) (441.3) (268.5) ESP deferred revenue, end of period $ 1,116.5 $ 1,028.9 (1) Includes impact of foreign currency translation. (2) During Fiscal 2022 and Fiscal 2021, the Company recognized sales of approximately $244.1 million and $163.5 million, respectively, related to deferred revenue that existed at the beginning of the year in respect to ESP. Additionally, no ESP revenue was recognized beginning on March 23, 2020 due to the temporary closure of the Company’s stores and service centers as a result of COVID-19. As the Company began reopening stores and service centers during the second quarter of Fiscal 2021, the Company resumed recognizing service revenue as it fulfilled its performance obligations under the ESP. |
Acquisitions (Tables)
Acquisitions (Tables) | 12 Months Ended |
Jan. 29, 2022 | |
Business Combination and Asset Acquisition [Abstract] | |
Summary of estimated fair value of assets and liabilities assumed | The following table presents the estimated fair value of the assets acquired and liabilities assumed from Diamonds Direct at the date of acquisition: (in millions) Inventories $ 229.1 Property, plant and equipment 32.3 Right-of-use assets 56.9 Intangible assets 126.0 Other assets 6.7 Identifiable assets acquired 451.0 Accounts payable 46.8 Deferred revenue 26.1 Operating lease liabilities 57.6 Deferred taxes 33.6 Other liabilities 27.6 Liabilities assumed 191.7 Identifiable net assets acquired 259.3 Goodwill 241.9 Net assets acquired $ 501.2 |
Segment information (Tables)
Segment information (Tables) | 12 Months Ended |
Jan. 29, 2022 | |
Segment Reporting [Abstract] | |
Segment Reporting Information, By Segment | (in millions) Fiscal 2022 Fiscal 2021 Fiscal 2020 Sales: North America segment (1) $ 7,264.8 $ 4,840.9 $ 5,565.8 International segment 492.4 355.9 518.0 Other segment 68.8 30.1 53.3 Total sales $ 7,826.0 $ 5,226.9 $ 6,137.1 Operating income (loss): North America segment (2) $ 981.4 $ 57.9 $ 284.9 International segment (3) 14.4 (43.3) 9.0 Other segment (4) (0.2) (0.3) (15.9) Corporate and unallocated expenses (5) (92.2) (72.0) (119.7) Total operating income (loss) 903.4 (57.7) 158.3 Interest expense (16.9) (32.0) (35.6) Other non-operating (loss) income (2.1) — 7.0 Income (loss) before income taxes $ 884.4 $ (89.7) $ 129.7 Depreciation and amortization: North America segment $ 149.2 $ 163.7 $ 159.9 International segment 14.0 12.0 17.8 Other segment 0.3 0.3 0.3 Total depreciation and amortization $ 163.5 $ 176.0 $ 178.0 Capital additions: North America segment $ 112.6 $ 79.0 $ 128.3 International segment 16.6 4.0 8.0 Other segment 0.4 — — Total capital additions $ 129.6 $ 83.0 $ 136.3 (1) Sales include sales of $206.2 million, $150.9 million and $204.6 million generated by Canadian operations in Fiscal 2022, Fiscal 2021 and Fiscal 2020, respectively. (2) Fiscal 2022 includes: 1) $5.4 million of cost of sales associated with the fair value step-up of inventory acquired in the Diamonds Direct acquisition; 2) $6.4 million of acquisition-related expenses related to Diamonds Direct and Rocksbox; 3) net asset impairment charges of $2.0 million; 4) $1.4 million of gains associated with the sale of customer in-house finance receivables; and 5) $1.0 million credit to restructuring expense, primarily related to adjustments to previously recognized restructuring liabilities. Fiscal 2021 includes: 1) $1.6 million related to inventory charges recorded in conjunction with the Company’s restructuring activities; 2) $36.0 million primarily related to severance, professional fees and store closure costs recorded in conjunction with the Company’s restructuring activities; and 3) asset impairment charges of $136.7 million. Fiscal 2020 includes: 1) $6.0 million related to inventory charges recorded in conjunction with the Company’s restructuring activities; 2) $42.1 million primarily related to severance, professional fees and store closure costs recorded in conjunction with the Company’s restructuring activities; and 3) asset impairment charges of $47.7 million. See Note 4, Note 6, Note 13, Note 17 and Note 19 for additional information. (3) Fiscal 2022 includes net asset impairment gains of $0.5 million. Fiscal 2021 includes 1) $9.7 million primarily related to severance and store closure costs recorded in conjunction with the Company’s restructuring activities; and 2) asset impairment charges of $22.3 million. Fiscal 2020 includes $7.0 million primarily related to severance and store closure costs recorded in conjunction with the Company’s restructuring activities. See Note 6 and Note 17 for additional information. (4) Fiscal 2021 includes $0.2 million benefit recognized due to a change in inventory reserves previously recognized as part of the Company’s restructuring activities. Fiscal 2020 includes $3.2 million related to inventory charges recorded in conjunction with the Company’s restructuring activities. See Note 6 for additional information. (5) Fiscal 2022 includes: 1) charges of $1.7 million related to the settlement of previously disclosed shareholder litigation matters; and 2) $2.3 million credit to restructuring expense primarily related to adjustments to previously recognized restructuring liabilities. Fiscal 2021 includes: 1) charges of $7.5 million related to the settlement of previously disclosed shareholder litigation matters, net of expected insurance proceeds; and 2) $0.5 million related to charges recorded in conjunction with the Company’s restructuring activities. Fiscal 2020 includes: 1) charges of $33.2 million related to the settlement of previously disclosed shareholder litigation matters, inclusive of expected insurance proceeds; and 2) $20.8 million related to charges recorded in conjunction with the Company’s restructuring activities. See Note 6 and Note 28 for additional information. (in millions) January 29, 2022 January 30, 2021 Total assets: North America segment $ 5,540.1 $ 5,101.9 International segment 438.2 514.2 Other segment 81.2 44.9 Corporate and unallocated 515.6 517.9 Total assets $ 6,575.1 $ 6,178.9 Total long-lived assets (1) : North America segment $ 1,328.4 $ 978.1 International segment 43.4 41.6 Other segment 2.9 2.8 Total long-lived assets $ 1,374.7 $ 1,022.5 (1) Includes property, plant and equipment; goodwill; and other intangible assets. |
Restructuring plans (Tables)
Restructuring plans (Tables) | 12 Months Ended |
Jan. 29, 2022 | |
Restructuring and Related Activities [Abstract] | |
Restructuring and Related Costs | Restructuring charges and other Plan-related costs are classified in the consolidated statements of operations as follows: (in millions) Statement of operations location Fiscal 2022 Fiscal 2021 Fiscal 2020 Inventory charges Restructuring charges - cost of sales $ — $ 1.4 $ 9.2 Other Plan related expenses Restructuring charges (3.3) 46.2 69.9 Total Signet Path to Brilliance Plan expenses $ (3.3) $ 47.6 $ 79.1 The composition of restructuring charges the Company incurred during Fiscal 2022, Fiscal 2021 and Fiscal 2020, as well as the cumulative amount incurred through January 29, 2022, were as follows: (in millions) Fiscal 2022 Fiscal 2021 Fiscal 2020 Cumulative amount Inventory charges $ — $ 1.4 $ 9.2 $ 72.8 Termination benefits (1.1) 24.1 16.1 48.8 Store closure and other costs (2.2) 22.1 53.8 127.7 Total Signet Path to Brilliance Plan expenses $ (3.3) $ 47.6 $ 79.1 $ 249.3 |
Schedule of Plan Liabilities | The following table summarizes the activity related to the Plan liabilities between periods: (in millions) Termination benefits Store closure and other costs Consolidated Balance at February 2, 2019 $ — $ 12.6 $ 12.6 Payments and other adjustments (14.1) (65.2) (79.3) Charged to expense 16.1 63.0 79.1 Balance at February 1, 2020 2.0 10.4 12.4 Payments and other adjustments (24.0) (25.8) (49.8) Charged to expense 24.1 23.5 47.6 Balance at January 30, 2021 2.1 8.1 10.2 Payments and other adjustments (1.0) (1.9) (2.9) Charged to expense (1.1) (2.2) (3.3) Balance at January 29, 2022 $ — $ 4.0 $ 4.0 |
Redeemable preferred shares (Ta
Redeemable preferred shares (Tables) | 12 Months Ended |
Jan. 29, 2022 | |
Temporary Equity Disclosure [Abstract] | |
Temporary Equity | The following table presents certain conversion measures as of January 29, 2022 and January 30, 2021: (in millions, except conversion rate and conversion price) January 29, 2022 January 30, 2021 Conversion rate 12.2297 12.2297 Conversion price $ 81.7682 $ 81.7682 Potential impact of preferred shares if-converted to common shares 8.0 7.9 Liquidation preference $ 665.1 $ 656.8 |
Common shares, treasury share_2
Common shares, treasury shares, and dividends (Tables) | 12 Months Ended |
Jan. 29, 2022 | |
Class of Stock [Line Items] | |
Class of Treasury Stock | The share repurchase activity is outlined in the table below: Fiscal 2022 Fiscal 2021 Fiscal 2020 (in millions, expect per share amounts) Amount Shares Amount repurchased (2) Average Shares Amount Average Shares Amount Average 2017 Program (1) $ 1,159.4 3.2 $ 261.8 $ 81.16 — — $ 0.00 — $ — $ 0.00 (1) The 2017 Program had $413.2 million remaining as of January 29, 2022. (2) The amount repurchased in Fiscal 2022 excludes $50 million related to the forward purchase contract in the ASR. |
Schedule of Dividends | Fiscal 2022 Fiscal 2021 Fiscal 2020 (in millions, except per share amounts) Cash dividend Total Cash dividend Total Cash dividend Total First quarter $ 0.00 — $ 0.00 $ — $ 0.37 $ 19.3 Second quarter 0.18 9.5 0.00 — 0.37 19.3 Third quarter 0.18 9.5 0.00 — 0.37 19.4 Fourth quarter (1) 0.18 9.0 0.00 — 0.37 19.4 Total $ 0.54 $ 28.0 $ 0.00 $ — $ 1.48 $ 77.4 (1) Signet’s dividend policy results in the dividend payment date being a quarter in arrears from the declaration date. As of January 29, 2022 there was $9.0 million recorded in accrued expenses and other current liabilities in the consolidated balance sheets reflecting the cash dividends declared for the fourth quarter of Fiscal 2022. There were no dividends declared or accrued as of January 30, 2021. |
Series A Redeemable Convertible Preferred Stock | |
Class of Stock [Line Items] | |
Schedule of Dividends | Fiscal 2022 Fiscal 2021 Fiscal 2020 (in millions) Total dividends Total dividends Total dividends First quarter $ 8.2 $ 7.8 $ 7.8 Second quarter 8.2 7.9 7.8 Third quarter 8.3 8.0 7.8 Fourth quarter (1) 8.2 8.1 7.8 Total $ 32.9 $ 31.8 $ 31.2 |
Earnings (loss) per common sh_2
Earnings (loss) per common share ("EPS") (Tables) | 12 Months Ended |
Jan. 29, 2022 | |
Earnings Per Share [Abstract] | |
Schedule of Earnings Per Share, Basic | The computation of basic EPS is outlined in the table below: (in millions, except per share amounts) Fiscal 2022 Fiscal 2021 Fiscal 2020 Numerator: Net income (loss) attributable to common shareholders $ 735.4 $ (48.7) $ 72.6 Denominator: Weighted average common shares outstanding 52.5 52.0 51.7 EPS – basic $ 14.01 $ (0.94) $ 1.40 |
Schedule of Earnings Per Share, Diluted | The computation of diluted EPS is outlined in the table below: (in millions, except per share amounts) Fiscal 2022 Fiscal 2021 Fiscal 2020 Numerator: Net income (loss) attributable to common shareholders $ 735.4 $ (48.7) $ 72.6 Add: Dividends on preferred shares 34.5 — — Numerator for diluted EPS $ 769.9 $ (48.7) $ 72.6 Denominator: Weighted average common shares outstanding 52.5 52.0 51.7 Plus: Dilutive effect of share awards (1) 2.5 — 0.1 Plus: Dilutive effect of preferred shares 8.0 — — Diluted weighted average common shares outstanding 63.0 52.0 51.8 EPS – diluted $ 12.22 $ (0.94) $ 1.40 (1) For Fiscal 2022, the estimate dilutive effect of share awards includes 2.0 million contingently issuable performance share awards. No such contingently issuable performance share awards were included in the dilutive effect for Fiscal 2021 or Fiscal 2020. |
Schedule of antidilutive securities excluded from computation of earnings per share | The calculation of diluted EPS excludes the following items for each respective period on the basis that their effect would be anti-dilutive. (in millions) Fiscal 2022 Fiscal 2021 Fiscal 2020 Share awards — 1.8 0.9 Potential impact of preferred shares — 7.8 7.6 Potential impact of accelerated share repurchase 0.6 — — Total anti-dilutive shares 0.6 9.6 8.5 |
Accumulated other comprehensi_2
Accumulated other comprehensive income (loss) (Tables) | 12 Months Ended |
Jan. 29, 2022 | |
Equity [Abstract] | |
Schedule of Accumulated Other Comprehensive Income (Loss) | The following tables present the changes in AOCI by component and the reclassifications out of AOCI, net of tax: Pension plan (in millions) Foreign Gain (losses) on available-for-sale securities, net Gains (losses) Actuarial Prior Accumulated Balance at February 2, 2019 $ (248.4) $ (0.5) $ 4.0 $ (53.8) $ (4.1) $ (302.8) OCI before reclassifications (1.7) (0.2) 11.2 0.4 — 9.7 Amounts reclassified from AOCI to earnings — 1.0 (2.7) 1.0 — (0.7) Net current period OCI (1.7) 0.8 8.5 1.4 — 9.0 Balance at February 1, 2020 $ (250.1) $ 0.3 $ 12.5 $ (52.4) $ (4.1) $ (293.8) OCI before reclassifications 11.2 0.2 (0.8) 4.4 — 15.0 Amounts reclassified from AOCI to earnings — — (12.6) 0.8 0.1 (11.7) Net current period OCI 11.2 0.2 (13.4) 5.2 0.1 3.3 Balance at January 30, 2021 $ (238.9) $ 0.5 $ (0.9) $ (47.2) $ (4.0) $ (290.5) OCI before reclassifications (5.4) (0.3) 0.6 (57.9) — (63.0) Amounts reclassified from AOCI to earnings — — 0.7 1.8 0.1 2.6 Net current period OCI (5.4) (0.3) 1.3 (56.1) 0.1 (60.4) Balance at January 29, 2022 $ (244.3) $ 0.2 $ 0.4 $ (103.3) $ (3.9) $ (350.9) |
Reclassification out of Accumulated Other Comprehensive Income | The amounts reclassified from AOCI were as follows: Amounts reclassified from AOCI (in millions) Fiscal 2022 Fiscal 2021 Fiscal 2020 Statement of operations caption Losses (gains) on cash flow hedges: Foreign currency contracts $ 0.6 $ — $ (1.1) Cost of sales (1) De-designated foreign currency contracts — (0.6) — Other operating income (loss) (2) Interest rate swaps — — (0.6) Interest expense, net (1) Commodity contracts 0.4 (6.9) (1.7) Cost of sales (1) De-designated commodity contracts — (9.3) — Other operating income (loss) (2) Total before income tax 1.0 (16.8) (3.4) Income taxes (0.3) 4.2 0.7 Net of tax 0.7 (12.6) (2.7) Defined benefit pension plan items: Amortization of unrecognized actuarial losses 2.1 1.0 1.2 Other non-operating income, net (3) Amortization of unrecognized net prior service credits 0.1 0.1 — Other non-operating income, net (3) Total before income tax 2.2 1.1 1.2 Income taxes (0.3) (0.2) (0.2) Net of tax 1.9 0.9 1.0 Available-for-sale securities: Corporate equity securities, before income tax — — 1.0 Other operating income (loss) (4) Income taxes — — — Net of tax — — 1.0 Total reclassifications, net of tax $ 2.6 $ (11.7) $ (0.7) (1) See Note 21 for additional information. (2) The Company’s cash flow hedges were de-designated during the first quarter of Fiscal 2021. See Note 21 for additional information. (3) These items are included in the computation of net periodic pension benefit (cost). See Note 23 for additional information. (4) See Note 20 for additional information. |
Income taxes (Tables)
Income taxes (Tables) | 12 Months Ended |
Jan. 29, 2022 | |
Income Tax Disclosure [Abstract] | |
Summary of Tax Expense by Jurisdiction | (in millions) Fiscal 2022 Fiscal 2021 Fiscal 2020 Income (loss) before income taxes: – US $ 665.9 $ (173.4) $ 32.3 – Foreign 218.5 83.7 97.4 Total income (loss) before income taxes $ 884.4 $ (89.7) $ 129.7 Current taxation: – US $ 108.1 $ (222.2) $ 3.0 – Foreign 7.6 0.7 1.9 Deferred taxation: – US 8.4 158.4 17.0 – Foreign (9.6) (11.4) 2.3 Total income tax expense (benefit) $ 114.5 $ (74.5) $ 24.2 |
Reconciliation of Effective Tax Rate | As the statutory rate of corporation tax in Bermuda is 0%, the differences between the US federal income tax rate and the effective tax rates for Signet have been presented below: Fiscal 2022 Fiscal 2021 Fiscal 2020 US federal income tax rates 21.0 % 21.0 % 21.0 % US state income taxes 3.3 % 4.1 % 3.1 % Differences between US federal and foreign statutory income tax rates (0.1) % 0.1 % 1.3 % Expenditures permanently disallowable for tax purposes, net of permanent tax benefits — % (4.7) % 3.3 % Impact of global reinsurance arrangements (2.2) % 14.1 % (20.3) % Impact of global financing arrangements (0.6) % — % — % Impairment of goodwill — % (2.4) % 7.5 % CARES Act (1.4) % 111.9 % — % Valuation allowance (6.5) % (55.5) % — % Other items (0.6) % (5.5) % 2.8 % Effective tax rate 12.9 % 83.1 % 18.7 % |
Schedule of Deferred Tax Assets and Liabilities | Deferred tax assets (liabilities) consisted of the following: January 29, 2022 January 30, 2021 (in millions) Assets (Liabilities) Total Assets (Liabilities) Total Intangible assets $ — $ (77.0) $ (77.0) $ — $ (41.7) $ (41.7) US property, plant and equipment — (60.2) (60.2) — (55.3) (55.3) Foreign property, plant and equipment 7.1 — 7.1 7.3 — 7.3 Inventory valuation — (237.8) (237.8) — (230.4) (230.4) Revenue deferral 88.6 — 88.6 95.6 — 95.6 Derivative instruments — — — 0.3 — 0.3 Lease assets — (261.9) (261.9) — (295.1) (295.1) Lease liabilities 284.3 — 284.3 331.5 — 331.5 Deferred compensation 7.7 — 7.7 6.7 — 6.7 Retirement benefit obligations 1.5 — 1.5 — (9.8) (9.8) Share-based compensation 8.4 — 8.4 4.4 — 4.4 Other temporary differences 42.4 — 42.4 57.2 — 57.2 Net operating losses and foreign tax credits 84.3 — 84.3 56.5 — 56.5 Value of capital losses 16.9 — 16.9 13.9 — 13.9 Total gross deferred tax assets (liabilities) $ 541.2 $ (636.9) $ (95.7) $ 573.4 $ (632.3) $ (58.9) Valuation allowance (27.9) — (27.9) (83.9) — (83.9) Deferred tax assets (liabilities) $ 513.3 $ (636.9) $ (123.6) $ 489.5 $ (632.3) $ (142.8) Disclosed as: Non-current assets $ 37.3 $ 16.4 Non-current liabilities (160.9) (159.2) Deferred tax assets (liabilities) $ (123.6) $ (142.8) |
Summary of Activity Related to Unrecognized Tax Benefits | The following table summarizes the activity related to the Company’s unrecognized tax benefits for US federal, US state and non-US tax jurisdictions: (in millions) Fiscal 2022 Fiscal 2021 Fiscal 2020 Unrecognized tax benefits, beginning of period $ 25.4 $ 23.5 $ 18.1 Increases related to current year tax positions 2.0 1.0 2.0 Increases related to prior year tax positions 0.4 3.4 6.0 Lapse of statute of limitations (2.9) (2.6) (2.6) Difference on foreign currency translation — 0.1 — Unrecognized tax benefits, end of period $ 24.9 $ 25.4 $ 23.5 |
Other operating income (loss) (
Other operating income (loss) (Tables) | 12 Months Ended |
Jan. 29, 2022 | |
Other Income and Expenses [Abstract] | |
Summary of Other Operating Income (Loss) | (in millions) Fiscal 2022 Fiscal 2021 Fiscal 2020 Interest income from customer in-house finance receivables (1) $ 6.5 $ 4.2 $ — Shareholder litigation charges, net of insurance recoveries (2) (1.7) (7.5) (33.2) De-designated cash flow hedges (3) — 9.9 — UK government grants 8.6 — — Other (4.9) (4.2) 3.6 Other operating income (loss) $ 8.5 $ 2.4 $ (29.6) (1) See Note 13 and Note 14 for additional information. (2) See Note 28 for additional information. (3) See Note 21 for additional information. |
Accounts receivable, net (Table
Accounts receivable, net (Tables) | 12 Months Ended |
Jan. 29, 2022 | |
Receivables [Abstract] | |
Accounts Receivable by Portfolio Segment, Net | The following table presents the components of Signet’s accounts receivable: (in millions) January 29, 2022 January 30, 2021 Customer in-house finance receivables, net $ — $ 72.0 Accounts receivable, trade 18.3 11.6 Accounts receivable, held for sale 1.6 5.1 Accounts receivable, net $ 19.9 $ 88.7 |
Financing Receivable Credit Quality Indicators | The following table disaggregates the Company’s customer in-house finance receivables by credit quality and vintage year as of January 30, 2021: (in millions) Year of origination Credit quality Fiscal 2021 Near Prime $ 46.6 Subprime 38.9 Deep Subprime 12.0 Total at amortized cost $ 97.5 |
Summary of Allowance for Credit Losses | The following table is a rollforward of the Company’s allowance for credit losses on customer in-house finance receivables: (in millions) Fiscal 2022 Fiscal 2021 Beginning balance $ 25.5 $ — Provision for credit losses (1.0) 26.1 Write-offs (5.5) (0.6) Recoveries 0.6 — Reversal of allowance on receivables sold (19.6) — Ending balance $ — $ 25.5 |
Financing Receivable, Past Due | The following table disaggregates the Company’s customer in-house finance receivables by past due status as of January 30, 2021: (in millions) Current $ 81.3 1 - 30 days past due 9.1 31 - 60 days past due 2.6 61 - 90 days past due 1.7 Greater than 90 days past due 2.8 Total at amortized cost $ 97.5 |
Inventories (Tables)
Inventories (Tables) | 12 Months Ended |
Jan. 29, 2022 | |
Inventory Disclosure [Abstract] | |
Summary of Inventory | The following table summarizes the details of the Company’s inventory: (in millions) January 29, 2022 January 30, 2021 Raw materials $ 75.8 $ 45.3 Merchandise inventories 1,984.6 1,987.2 Total inventories $ 2,060.4 $ 2,032.5 |
Schedule of Inventory Reserves | Inventory reserves (in millions) Fiscal 2022 Fiscal 2021 Fiscal 2020 Inventory reserve, beginning of period $ 52.9 $ 67.0 $ 95.3 Charged to income (1) 101.8 78.1 80.2 Utilization (2) (107.9) (92.2) (108.5) Inventory reserve, end of period (3) $ 46.8 $ 52.9 $ 67.0 (1) Includes $1.4 million in Fiscal 2021 and $9.2 million in Fiscal 2020 for inventory charges associated with the Company’s restructuring plan. The charges were primarily associated with discontinued brands and collections within the restructuring - cost of sales line item on the consolidated statements of operations. As the Plan was substantially completed in Fiscal 2021, no additional charges were recorded in Fiscal 2022. See Note 6 for additional information. (2) Includes the impact of foreign exchange translation, as well as $2.2 million in Fiscal 2022, $20.0 million in Fiscal 2021 and $40.0 million in Fiscal 2020 utilized for inventory identified as part of the Company’s restructuring plan. See Note 6 for additional information. (3) Includes $2.2 million in Fiscal 2021 and $20.8 million in Fiscal 2020 for inventory identified as part of the Company’s restructuring plan. See Note 6 for additional information. |
Property, plant and equipment_2
Property, plant and equipment, net (Tables) | 12 Months Ended |
Jan. 29, 2022 | |
Property, Plant and Equipment [Abstract] | |
Schedule of property, plant and equipment | Depreciation and amortization are recognized on the straight-line method over the estimated useful lives of the related assets as follows: Buildings Ranging from 30 – 40 years Leasehold improvements Remaining term of lease, not to exceed 10 years Furniture and fixtures Ranging from 3 – 10 years Equipment and software Ranging from 3 – 7 years (in millions) January 29, 2022 January 30, 2021 Land and buildings $ 21.7 $ 21.8 Leasehold improvements 640.9 616.9 Furniture and fixtures 698.3 669.9 Equipment 133.5 122.4 Software 251.5 334.2 Construction in progress 78.9 38.4 Total $ 1,824.8 $ 1,803.6 Accumulated depreciation and amortization (1,248.9) (1,198.1) Property, plant and equipment, net $ 575.9 $ 605.5 |
Asset Impairments, net (Tables)
Asset Impairments, net (Tables) | 12 Months Ended |
Jan. 29, 2022 | |
Asset Impairment Charges [Abstract] | |
Schedule of Asset Impairment | The following table summarizes the Company’s asset impairment activity for the periods presented: (in millions) Fiscal 2022 Fiscal 2021 Fiscal 2020 Goodwill impairment (1) $ — $ 10.7 $ 47.7 Indefinite-lived intangible asset impairment (1) — 83.3 — Property and equipment impairment 1.6 28.1 — Operating lease ROU asset impairment, net (2) (0.1) 36.9 — Total impairment $ 1.5 $ 159.0 $ 47.7 (1) Refer to Note 19 for additional information. (2) The Company recorded $1.4 million and $4.4 million of gains on terminations or modifications of leases resulting from previously recorded impairments of the right-of-use assets in Fiscal 2022 and Fiscal 2021, respectively. |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Jan. 29, 2022 | |
Leases [Abstract] | |
Schedule of Lease Term and Discount Rate | The weighted average lease term and discount rate for the Company’s outstanding operating leases were as follows: January 29, 2022 January 30, 2021 Weighted average remaining lease term 7.1 years 6.2 years Weighted average discount rate 5.5 % 5.5 % |
Total Lease Costs For Operating Leases | Total lease costs are as follows: (in millions) Fiscal 2022 Fiscal 2021 Fiscal 2020 Operating lease cost $ 431.8 $ 436.3 $ 460.3 Short-term lease cost 11.5 16.3 19.4 Variable lease cost 127.0 110.3 107.1 Sublease income (1.9) (1.8) (2.0) Total lease cost $ 568.4 $ 561.1 $ 584.8 |
Schedule of Supplemental Cash Flow Information | Supplemental cash flow information related to leases was as follows: (in millions) Fiscal 2022 Fiscal 2021 Fiscal 2020 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 479.6 $ 400.4 $ 467.7 Operating lease right-of-use assets obtained in exchange for lease obligations (1) 168.8 70.8 149.9 Reduction in the carrying amount of ROU assets (2) 351.7 348.3 360.1 (1) Includes $56.9 million of ROU assets acquired from Diamonds Direct in Fiscal 2022, per Note 4. (2) Excludes net gain related to ROU asset impairment of $0.1 million and ROU asset impairment charges of $36.9 million during Fiscal 2022 and Fiscal 2021, respectively, as further described in Note 17 . |
Future Minimum Operating Lease Payments | The future minimum operating lease commitments for operating leases having initial or non-cancelable terms in excess of one year are as follows: (in millions) January 29, 2022 Fiscal 2023 $ 400.3 Fiscal 2024 304.4 Fiscal 2025 238.5 Fiscal 2026 174.3 Fiscal 2027 124.1 Thereafter 446.9 Total minimum lease payments $ 1,688.5 Less: Imputed interest (383.4) Present value of lease liabilities $ 1,305.1 |
Goodwill and intangibles (Table
Goodwill and intangibles (Tables) | 12 Months Ended |
Jan. 29, 2022 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Summary of Goodwill by Reporting Unit | The following table summarizes the Company’s goodwill by reportable segment: (in millions) North Balance at February 1, 2020 $ 248.8 Impairment (10.7) Impact of foreign exchange (0.1) Balance at January 30, 2021 (1) $ 238.0 Acquisitions 246.6 Balance at January 29, 2022 (1) $ 484.6 (1) The carrying amount of goodwill is presented net of accumulated impairment losses of $576.0 million as of January 29, 2022 and January 30, 2021. |
Composition of Intangible Assets and Liabilities | The following table provides additional detail regarding the composition of intangible assets and liabilities: January 29, 2022 January 30, 2021 (in millions) Gross Accumulated Net Gross Accumulated Net Intangible assets, net: Definite-lived intangible assets $ 15.8 $ (5.3) $ 10.5 $ 5.6 $ (4.2) $ 1.4 Indefinite-lived intangible assets (1) 303.7 $ — 303.7 177.6 $ — 177.6 Total intangible assets, net $ 319.5 $ (5.3) $ 314.2 $ 183.2 $ (4.2) $ 179.0 Intangible liabilities, net $ (38.0) $ 30.8 $ (7.2) $ (38.0) $ 27.5 $ (10.5) (1) The change in the indefinite-lived intangible asset balances during the periods presented was due to the addition of Diamonds Direct trade name of $126.0 million and the impact of foreign currency translation. |
Summary of Expected Future Amortization Expense for Intangible Assets | Expected future amortization for intangible assets and intangible liabilities recorded at January 29, 2022 follows: (in millions) Intangible assets amortization Intangible liabilities amortization Fiscal 2023 $ 2.4 $ (1.8) Fiscal 2024 1.9 (1.8) Fiscal 2025 1.3 (1.8) Fiscal 2026 1.2 (1.8) Fiscal 2027 1.2 — Thereafter 2.5 — Total $ 10.5 $ (7.2) |
Summary of Expected Future Amortization of Intangible Liabilities | Expected future amortization for intangible assets and intangible liabilities recorded at January 29, 2022 follows: (in millions) Intangible assets amortization Intangible liabilities amortization Fiscal 2023 $ 2.4 $ (1.8) Fiscal 2024 1.9 (1.8) Fiscal 2025 1.3 (1.8) Fiscal 2026 1.2 (1.8) Fiscal 2027 1.2 — Thereafter 2.5 — Total $ 10.5 $ (7.2) |
Investments (Tables)
Investments (Tables) | 12 Months Ended |
Jan. 29, 2022 | |
Investments, Debt and Equity Securities [Abstract] | |
Schedule of available-for-sale debt securities | All investments are classified as available-for-sale and include the following: January 29, 2022 January 30, 2021 (in millions) Cost Unrealized Gain (Loss) Fair Value Cost Unrealized Gain (Loss) Fair Value US Treasury securities $ 4.5 $ — $ 4.5 $ 5.6 $ 0.1 $ 5.7 US government agency securities 2.0 — 2.0 3.1 0.1 3.2 Corporate bonds and notes 5.6 0.2 5.8 6.2 0.3 6.5 Total investments $ 12.1 $ 0.2 $ 12.3 $ 14.9 $ 0.5 $ 15.4 Investments in debt securities outstanding as of January 29, 2022 mature as follows: (in millions) Cost Fair Value Less than one year $ 4.1 $ 4.2 Year two through year five 7.0 7.1 Year six through year ten 1.0 1.0 Total investment in debt securities $ 12.1 $ 12.3 |
Derivatives (Tables)
Derivatives (Tables) | 12 Months Ended |
Jan. 29, 2022 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Summary of Fair Value and Presentation of Derivative Instruments | The following table summarizes the fair value and presentation of derivative instruments in the consolidated balance sheets: Fair value of derivative assets (in millions) Balance sheet location January 29, 2022 January 30, 2021 Derivatives designated as hedging instruments: Foreign currency contracts Other current assets $ 0.3 $ — Derivatives not designated as hedging instruments: Foreign currency contracts Other current assets — 0.1 Total derivative assets $ 0.3 $ 0.1 Fair value of derivative liabilities (in millions) Balance sheet location January 29, 2022 January 30, 2021 Derivatives designated as hedging instruments: Foreign currency contracts Other current liabilities $ — $ (0.3) Commodity contracts Other current liabilities — (0.1) — (0.4) Derivatives not designated as hedging instruments: Foreign currency contracts Other current liabilities (1.3) — Total derivative liabilities $ (1.3) $ (0.4) |
Summary of Pre-Tax Gains (Losses) Recorded | The following table summarizes the pre-tax gains (losses) recorded in AOCI for derivatives designated in cash flow hedging relationships: (in millions) January 29, 2022 January 30, 2021 Foreign currency contracts $ 0.5 $ (0.7) Commodity contracts — (0.4) Gains (losses) recorded in AOCI $ 0.5 $ (1.1) |
Summary of Derivative Instruments | The following tables summarize the effect of derivative instruments designated as cash flow hedges in OCI and the consolidated statements of operations: Foreign currency contracts (in millions) Statement of operations caption Fiscal 2022 Fiscal 2021 Gains (losses) recorded in AOCI, beginning of period $ (0.7) $ (1.0) Current period gains recognized in OCI 0.6 0.9 (Gains) losses reclassified from AOCI to net income Cost of sales (1) 0.6 — Gains from de-designated hedges reclassified from AOCI to net income Other operating income (loss) (1) — (0.6) Gains (losses) recorded in AOCI, end of period $ 0.5 $ (0.7) Commodity contracts (in millions) Statement of operations caption Fiscal 2022 Fiscal 2021 Losses (gains) recorded in AOCI, beginning of period $ (0.4) $ 17.7 Current period losses recognized in OCI — (1.9) (Gains) losses reclassified from AOCI to net income Cost of sales (1) 0.4 (6.9) Gains from de-designated hedges reclassified from AOCI to net income Other operating income (loss) (1) — (9.3) Gains (losses) recorded in AOCI, end of period $ — $ (0.4) (1) Refer to the consolidated statements of operations for total amounts of each financial statement caption impacted by cash flow hedges. The following table presents the effects of the Company’s derivatives instruments not designated as cash flow hedges in the consolidated statements of operations: (in millions) Statement of operations caption Fiscal 2022 Fiscal 2021 Foreign currency contracts Other operating income (loss) $ (3.1) $ 2.2 |
Fair value measurement (Tables)
Fair value measurement (Tables) | 12 Months Ended |
Jan. 29, 2022 | |
Fair Value Disclosures [Abstract] | |
Methods to Determine Fair Value on Instrument-Specific Basis | The methods Signet uses to determine fair value on an instrument-specific basis are detailed below: January 29, 2022 January 30, 2021 (in millions) Carrying Value Level 1 Level 2 Carrying Value Level 1 Level 2 Assets: US Treasury securities $ 4.5 $ 4.5 $ — $ 5.7 $ 5.7 $ — Foreign currency contracts 0.3 — 0.3 0.1 — 0.1 US government agency securities 2.0 — 2.0 3.2 — 3.2 Corporate bonds and notes 5.8 — 5.8 6.5 — 6.5 Total assets $ 12.6 $ 4.5 $ 8.1 $ 15.5 $ 5.7 $ 9.8 Liabilities: Foreign currency contracts $ (1.3) $ — $ (1.3) $ (0.3) $ — $ (0.3) Commodity contracts — — — (0.1) — (0.1) Total liabilities $ (1.3) $ — $ (1.3) $ (0.4) $ — $ (0.4) |
Schedule of Carrying Amount and Fair Value of Outstanding Debt | The following table provides a summary of the carrying amount and fair value of outstanding debt: January 29, 2022 January 30, 2021 (in millions) Carrying Fair Value Carrying Fair Value Long-term debt Senior Notes (Level 2) $ 147.1 $ 150.0 $ 146.7 $ 145.1 |
Retirement plans (Tables)
Retirement plans (Tables) | 12 Months Ended |
Jan. 29, 2022 | |
Retirement Benefits [Abstract] | |
Schedule of Changes in Fair Value of Plan Assets | The following tables provide information concerning the UK Plan as of and for the fiscal years ended January 29, 2022 and January 30, 2021: (in millions) Fiscal 2022 Fiscal 2021 Change in UK Plan assets: Fair value at beginning of year $ 299.2 $ 281.9 Actual return on UK Plan assets (0.3) 11.9 Employer contributions 12.4 4.4 Benefits paid (8.9) (9.8) Foreign currency translation (6.8) 10.8 Fair value at end of year $ 295.6 $ 299.2 |
Schedule of Changes in Projected Benefit Obligations | (in millions) Fiscal 2022 Fiscal 2021 Change in benefit obligation: Benefit obligation at beginning of year $ 247.6 $ 243.4 Interest cost 3.3 4.0 Actuarial loss 67.4 1.4 Benefits paid (8.9) (9.8) Foreign currency translation (6.1) 8.6 Benefit obligation at end of year $ 303.3 $ 247.6 Funded status at end of year $ (7.7) $ 51.6 |
Schedule of Amounts Recognized in Balance Sheet | (in millions) January 29, 2022 January 30, 2021 Amounts recognized in the balance sheet consist of: Other assets (non current) $ — $ 51.6 Other liabilities (non-current) (7.7) — |
Schedule of Net Periodic Benefit Cost Not yet Recognized | Items in AOCI not yet recognized in net income in the consolidated statements of operations: (in millions) January 29, 2022 January 30, 2021 February 1, 2020 Net actuarial losses $ (103.3) $ (47.2) $ (52.4) Net prior service costs (3.9) (4.0) (4.1) |
Components of Net Benefit Costs | The components of net periodic pension benefit cost and other amounts recognized in OCI for the UK Plan are as follows: (in millions) Fiscal 2022 Fiscal 2021 Fiscal 2020 Components of net periodic benefit (cost) income: Service cost $ — $ — $ (0.7) Interest cost (3.3) (4.0) (5.5) Expected return on UK Plan assets 3.0 5.5 7.8 Amortization of unrecognized actuarial losses (2.1) (0.9) (1.2) Amortization of unrecognized net prior service costs (0.1) (0.1) — Total net periodic benefit (cost) income $ (2.5) $ 0.5 $ 0.4 Other changes in assets and benefit obligations recognized in OCI (69.2) 6.5 1.7 Total recognized in net periodic pension benefit (cost) and OCI $ (71.7) $ 7.0 $ 2.1 |
Schedule of Assumptions Used | January 29, 2022 January 30, 2021 Assumptions used to determine benefit obligations (at the end of the year): Discount rate 1.25 % 1.60 % Salary increases N/A N/A Assumptions used to determine net periodic pension costs (at the start of the year): Discount rate 0.80 % 1.70 % Expected return on UK Plan assets 0.80 % 2.20 % Salary increases NA N/A |
Schedule of Allocation of Plan Assets | Signet measures the value of the assets on an instrument-specific basis are detailed below: As of January 29, 2022 As of January 30, 2021 (in millions) Total Level 1 Level 2 Total Level 1 Level 2 Investments measured at fair value: Diversified equity securities $ — $ — $ — $ — $ 13.0 $ — $ 13.0 Diversified growth funds — — — — 44.4 44.4 — Fixed income – government bonds — — — — 161.4 161.4 — Fixed income – corporate bonds — — — — 56.2 — 56.2 Insurance contracts 291.6 — — 291.6 — — — Cash 4.0 4.0 — — 3.7 3.7 — 295.6 4.0 — 291.6 278.7 209.5 69.2 Investments measured at NAV (1) : Fixed income — 18.0 Property — 2.5 Total assets $ 295.6 $ 4.0 $ — $ 291.6 $ 299.2 $ 209.5 $ 69.2 (1) Certain assets that are measured using the net asset value (“NAV”) practical expedient have not been classified in the fair value hierarchy. As of January 29, 2022 As of January 30, 2021 (in millions) Total Total Level 1 Investments measured at fair value: Mutual funds $ 12.4 $ 12.4 $ 5.0 $ 5.0 Investments measured at NAV: Money market mutual funds 10.3 16.7 Total assets $ 22.7 $ 12.4 $ 21.7 $ 5.0 |
Schedule of Effect of Significant Unobservable Inputs, Changes in Plan Assets | The following represents a summary of changes in fair value of UK Plan assets classified as Level 3: (in millions) Fiscal 2022 Beginning of year balance $ — Purchases, sales, and settlements, net 318.3 Actual return on assets, assets still held at reporting date (16.8) Foreign currency translation (9.9) End of year balance $ 291.6 |
Schedule of Expected Benefit Payments | The following benefit payments are currently estimated to be paid by the UK Plan: (in millions) Expected benefit payments Fiscal 2023 $ 9.4 Fiscal 2024 9.4 Fiscal 2025 9.3 Fiscal 2026 9.5 Fiscal 2027 9.4 Next five fiscal years $ 48.2 |
Loans, overdrafts and long-te_2
Loans, overdrafts and long-term debt (Tables) | 12 Months Ended |
Jan. 29, 2022 | |
Debt Disclosure [Abstract] | |
Summary of Loans, Overdrafts and Long-Term Debt | (in millions) January 29, 2022 January 30, 2021 Debt: Senior Notes, net of unamortized discount $ 147.7 $ 147.6 Gross debt 147.7 147.6 Less: Unamortized debt issuance costs (0.6) (0.9) Total long-term debt $ 147.1 $ 146.7 |
Schedule of Maturities of Long-term Debt | The annual aggregate maturities of the Company’s debt (excluding the impact of debt issuance costs) for the five years subsequent to January 29, 2022 are presented below. (in millions) Fiscal 2023 $ — Fiscal 2024 — Fiscal 2025 147.7 Fiscal 2026 — Fiscal 2027 — Thereafter — Gross Debt $ 147.7 |
Accrued expenses and other cu_2
Accrued expenses and other current liabilities (Tables) | 12 Months Ended |
Jan. 29, 2022 | |
Payables and Accruals [Abstract] | |
Summary of Accrued Expenses And Other Current Liabilities | (in millions) January 29, 2022 January 30, 2021 Accrued compensation and benefits $ 138.2 $ 111.6 Accrued advertising 30.5 52.3 Other taxes 64.4 69.3 Payroll taxes 25.9 27.5 Accrued expenses 242.6 233.4 Total accrued expenses and other current liabilities $ 501.6 $ 494.1 |
Warranty Reserve for Diamond and Gemstone Guarantee | The warranty reserve for diamond and gemstone guarantee is as follows: (in millions) Fiscal 2022 Fiscal 2021 Fiscal 2020 Warranty reserve, beginning of period $ 37.3 $ 36.3 $ 33.2 Warranty expense 8.7 8.5 13.5 Utilized (1) (10.0) (7.5) (10.4) Warranty reserve, end of period $ 36.0 $ 37.3 $ 36.3 (1) Includes impact of foreign currency translation. (in millions) January 29, 2022 January 30, 2021 Disclosed as: Current liabilities (1) $ 10.2 $ 10.7 Other liabilities - non-current (see Note 26) 25.8 26.6 Total warranty reserve $ 36.0 $ 37.3 |
Other liabilities - non-curre_2
Other liabilities - non-current (Tables) | 12 Months Ended |
Jan. 29, 2022 | |
Other Liabilities Disclosure [Abstract] | |
Schedule of Other Liabilities | (in millions) January 29, 2022 January 30, 2021 Deferred compensation 29.6 25.5 Warranty reserve 25.8 26.6 Other liabilities 54.5 59.0 UK pension 7.7 — Total other liabilities $ 117.6 $ 111.1 |
Share-based compensation (Table
Share-based compensation (Tables) | 12 Months Ended |
Jan. 29, 2022 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Share-Based Compensation Expense and Associated Tax Benefits | Share-based compensation expense and the associated tax benefits recognized in the consolidated statements of operations are as follows: (in millions) Fiscal 2022 Fiscal 2021 Fiscal 2020 Share-based compensation expense $ 45.8 $ 14.5 $ 16.9 Income tax benefit $ (5.9) $ (3.6) $ (4.2) |
Summary of Unrecognized Compensation Cost Related to Outstanding Awards | As of January 29, 2022, unrecognized compensation cost related to unvested awards granted under share-based compensation plans is as follows: (in millions) Unrecognized Compensation Cost Weighted average period Omnibus Plan $ 50.4 1.9 years Total $ 50.4 |
Omnibus Plan | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Significant Assumptions Utilized to Estimate Weighted-Average Fair Value of Awards Granted | The significant assumptions utilized to estimate the weighted-average fair value of RSAs, Common Shares, RSUs, and PSUs granted under the Omnibus Plans are as follows: Omnibus Plan Fiscal 2022 Fiscal 2021 Fiscal 2020 Share price $ 60.65 $ 11.10 $ 20.76 Expected term 2.9 years 2.9 years 2.8 years Dividend yield 4.3 % 5.5 % 7.5 % Fair value $ 53.58 $ 9.37 $ 18.14 The significant assumptions utilized to estimate the weighted-average fair value of stock options granted under the Omnibus Plans are as follows: Fiscal 2020 Share price $ 22.17 Exercise price $ 25.18 Risk free interest rate 2.4 % Expected term 6.0 years Expected volatility 42.7 % Dividend yield 6.7 % Fair value $ 4.27 |
Activity for Awards Granted Under the Plan | The Fiscal 2022 activity for Common Shares, RSAs, RSUs and PSUs granted under the Omnibus Plans is as follows: Omnibus Plans (in millions, except per share amounts) No. of Weighted Weighted Intrinsic (1) Outstanding at January 30, 2021 4.8 $ 15.24 1.8 years $ 192.3 Fiscal 2022 activity: Granted 1.0 54.22 Vested (0.9) 10.90 Lapsed or forfeited (0.6) 37.06 Outstanding at January 29, 2022 4.3 $ 22.28 1.1 years $ 369.3 (1) Intrinsic value for outstanding RSAs, RSUs, and PSUs is based on the fair market value of Signet’s common stock on the last business day of the fiscal year. The Fiscal 2022 activity for stock options granted under the Omnibus Plans is as follows: Omnibus Plans (in millions, except per share amounts) No. of Weighted Weighted Intrinsic (1) Outstanding at January 30, 2021 0.5 $ 38.98 7.3 years $ 0.8 Fiscal 2022 activity: Exercised (0.3) 39.15 Outstanding at January 29, 2022 0.2 $ 38.70 6.3 years $ 8.9 (1) Intrinsic value for outstanding awards is based on the fair market value of Signet’s common stock on the last business day of the fiscal year. |
Summary of Additional Information about Awards Granted | The following table summarizes additional information about awards granted under the Omnibus Plans: (in millions) Fiscal 2022 Fiscal 2021 Fiscal 2020 Total intrinsic value of awards vested $ 76.6 $ 5.0 $ 3.5 |
Organization and summary of s_4
Organization and summary of significant accounting policies - Narrative (Details) $ in Millions | 3 Months Ended | 12 Months Ended | ||
Jan. 29, 2022USD ($) | Jan. 29, 2022USD ($)segment | Jan. 30, 2021USD ($) | Feb. 01, 2020USD ($) | |
Organization and critical accounting policies [Abstract] | ||||
Number of reportable segments | segment | 3 | |||
Selling, General and Administrative Expense [Abstract] | ||||
Labor and related expense | $ 1,447.7 | $ 996.1 | $ 1,196.6 | |
Advertising and promotional costs [Abstract] | ||||
Advertising expense | 527 | 343 | $ 388.9 | |
Property, Plant and Equipment [Abstract] | ||||
Capitalized computer software | $ 80.7 | $ 80.7 | $ 4.1 | |
Minimum | ||||
Organization and critical accounting policies [Abstract] | ||||
Percent of annual sales | 35.00% | |||
Property, Plant and Equipment [Abstract] | ||||
Period over which amortization is charged for capitalized payroll for internal use computer projects | 3 years | |||
Maximum | ||||
Organization and critical accounting policies [Abstract] | ||||
Percent of annual sales | 40.00% | |||
Property, Plant and Equipment [Abstract] | ||||
Period over which amortization is charged for capitalized payroll for internal use computer projects | 7 years |
Organization and summary of s_5
Organization and summary of significant accounting policies - Cash and Equivalents (Details) - USD ($) $ in Millions | Jan. 29, 2022 | Jan. 30, 2021 |
Cash and Cash Equivalents [Line Items] | ||
Cash and cash equivalents | $ 1,418.3 | $ 1,172.5 |
Cash and cash equivalents held in money markets and other accounts | ||
Cash and Cash Equivalents [Line Items] | ||
Cash and cash equivalents | 1,362.4 | 1,122.2 |
Cash equivalents from third-party credit card issuers | ||
Cash and Cash Equivalents [Line Items] | ||
Cash and cash equivalents | 54.4 | 48.8 |
Cash on hand | ||
Cash and Cash Equivalents [Line Items] | ||
Cash and cash equivalents | $ 1.5 | $ 1.5 |
Organization and summary of s_6
Organization and summary of significant accounting policies - Supplemental Cash Flow Information (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 29, 2022 | Jan. 30, 2021 | Feb. 01, 2020 | |
Non-cash investing activities: | |||
Capital expenditures in accounts payable | $ 6.2 | $ 1.2 | $ 0.1 |
Supplemental cash flow information: | |||
Interest paid | 14.8 | 30.5 | 34.7 |
Income tax paid (refunded), net | $ 120.7 | (176) | $ 5.7 |
CARES Act, income tax refunded | $ 183.4 |
Organization and summary of s_7
Organization and summary of significant accounting policies - Property Plant and Equipment (Details) | 12 Months Ended |
Jan. 29, 2022 | |
Minimum | Buildings | |
Property, Plant and Equipment [Line Items] | |
Useful life | 30 years |
Minimum | Furniture and fixtures | |
Property, Plant and Equipment [Line Items] | |
Useful life | 3 years |
Minimum | Equipment, including software | |
Property, Plant and Equipment [Line Items] | |
Useful life | 3 years |
Maximum | Buildings | |
Property, Plant and Equipment [Line Items] | |
Useful life | 40 years |
Maximum | Leasehold Improvements | |
Property, Plant and Equipment [Line Items] | |
Useful life | 10 years |
Maximum | Furniture and fixtures | |
Property, Plant and Equipment [Line Items] | |
Useful life | 10 years |
Maximum | Equipment, including software | |
Property, Plant and Equipment [Line Items] | |
Useful life | 7 years |
Revenue recognition - Disaggreg
Revenue recognition - Disaggregation of Revenue (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 29, 2022 | Jan. 30, 2021 | Feb. 01, 2020 | |
Disaggregation of Revenue [Line Items] | |||
Total sales | $ 7,826 | $ 5,226.9 | $ 6,137.1 |
Bridal | |||
Disaggregation of Revenue [Line Items] | |||
Total sales | 3,310.4 | 2,306.9 | 2,617.7 |
Fashion | |||
Disaggregation of Revenue [Line Items] | |||
Total sales | 3,222.8 | 2,057.1 | 2,241.5 |
Watches | |||
Disaggregation of Revenue [Line Items] | |||
Total sales | 399.6 | 254.1 | 384 |
Other | |||
Disaggregation of Revenue [Line Items] | |||
Total sales | 893.2 | 608.8 | 893.9 |
Store | |||
Disaggregation of Revenue [Line Items] | |||
Total sales | 6,245.6 | 4,011.8 | 5,333.4 |
Kay | |||
Disaggregation of Revenue [Line Items] | |||
Total sales | 2,985.8 | 2,008.6 | 2,414 |
Zales | |||
Disaggregation of Revenue [Line Items] | |||
Total sales | 1,624.8 | 1,121.6 | 1,276.8 |
Jared | |||
Disaggregation of Revenue [Line Items] | |||
Total sales | 1,326.3 | 920.9 | 1,088.1 |
Banter by Piercing Pagoda | |||
Disaggregation of Revenue [Line Items] | |||
Total sales | 553.4 | 337.5 | 331.7 |
Diamonds Direct (2) | |||
Disaggregation of Revenue [Line Items] | |||
Total sales | 132.5 | ||
James Allen | |||
Disaggregation of Revenue [Line Items] | |||
Total sales | 422.8 | 301.4 | 250.6 |
Peoples | |||
Disaggregation of Revenue [Line Items] | |||
Total sales | 206.2 | 150.9 | 204.6 |
International | |||
Disaggregation of Revenue [Line Items] | |||
Total sales | 492.4 | 355.9 | 518 |
Other | |||
Disaggregation of Revenue [Line Items] | |||
Total sales | 81.8 | 30.1 | 53.3 |
eCommerce | |||
Disaggregation of Revenue [Line Items] | |||
Total sales | 1,511.6 | 1,185 | 750.4 |
Other | |||
Disaggregation of Revenue [Line Items] | |||
Total sales | 68.8 | 30.1 | 53.3 |
North America | |||
Disaggregation of Revenue [Line Items] | |||
Total sales | 7,264.8 | 4,840.9 | 5,565.8 |
North America | Bridal | |||
Disaggregation of Revenue [Line Items] | |||
Total sales | 3,087.6 | 2,140.5 | 2,403.4 |
North America | Fashion | |||
Disaggregation of Revenue [Line Items] | |||
Total sales | 3,130.1 | 1,987.9 | 2,131 |
North America | Watches | |||
Disaggregation of Revenue [Line Items] | |||
Total sales | 241.8 | 145.6 | 214.9 |
North America | Other | |||
Disaggregation of Revenue [Line Items] | |||
Total sales | 805.3 | 566.9 | 816.5 |
North America | Store | |||
Disaggregation of Revenue [Line Items] | |||
Total sales | 5,867.9 | 3,772.9 | 4,880.2 |
North America | Kay | |||
Disaggregation of Revenue [Line Items] | |||
Total sales | 2,985.8 | 2,008.6 | 2,414 |
North America | Zales | |||
Disaggregation of Revenue [Line Items] | |||
Total sales | 1,624.8 | 1,121.6 | 1,276.8 |
North America | Jared | |||
Disaggregation of Revenue [Line Items] | |||
Total sales | 1,326.3 | 920.9 | 1,088.1 |
North America | Banter by Piercing Pagoda | |||
Disaggregation of Revenue [Line Items] | |||
Total sales | 553.4 | 337.5 | 331.7 |
North America | Diamonds Direct (2) | |||
Disaggregation of Revenue [Line Items] | |||
Total sales | 132.5 | ||
North America | James Allen | |||
Disaggregation of Revenue [Line Items] | |||
Total sales | 422.8 | 301.4 | 250.6 |
North America | Peoples | |||
Disaggregation of Revenue [Line Items] | |||
Total sales | 206.2 | 150.9 | 204.6 |
North America | International | |||
Disaggregation of Revenue [Line Items] | |||
Total sales | 0 | 0 | 0 |
North America | Other | |||
Disaggregation of Revenue [Line Items] | |||
Total sales | 13 | 0 | 0 |
North America | eCommerce | |||
Disaggregation of Revenue [Line Items] | |||
Total sales | 1,396.9 | 1,068 | 685.6 |
North America | Other | |||
Disaggregation of Revenue [Line Items] | |||
Total sales | 0 | 0 | 0 |
International | |||
Disaggregation of Revenue [Line Items] | |||
Total sales | 492.4 | 355.9 | 518 |
International | Bridal | |||
Disaggregation of Revenue [Line Items] | |||
Total sales | 222.8 | 166.4 | 214.3 |
International | Fashion | |||
Disaggregation of Revenue [Line Items] | |||
Total sales | 92.7 | 69.2 | 110.5 |
International | Watches | |||
Disaggregation of Revenue [Line Items] | |||
Total sales | 157.8 | 108.5 | 169.1 |
International | Other | |||
Disaggregation of Revenue [Line Items] | |||
Total sales | 19.1 | 11.8 | 24.1 |
International | Store | |||
Disaggregation of Revenue [Line Items] | |||
Total sales | 377.7 | 238.9 | 453.2 |
International | Kay | |||
Disaggregation of Revenue [Line Items] | |||
Total sales | 0 | 0 | 0 |
International | Zales | |||
Disaggregation of Revenue [Line Items] | |||
Total sales | 0 | 0 | 0 |
International | Jared | |||
Disaggregation of Revenue [Line Items] | |||
Total sales | 0 | 0 | 0 |
International | Banter by Piercing Pagoda | |||
Disaggregation of Revenue [Line Items] | |||
Total sales | 0 | 0 | 0 |
International | Diamonds Direct (2) | |||
Disaggregation of Revenue [Line Items] | |||
Total sales | 0 | ||
International | James Allen | |||
Disaggregation of Revenue [Line Items] | |||
Total sales | 0 | 0 | 0 |
International | Peoples | |||
Disaggregation of Revenue [Line Items] | |||
Total sales | 0 | 0 | 0 |
International | International | |||
Disaggregation of Revenue [Line Items] | |||
Total sales | 492.4 | 355.9 | 518 |
International | Other | |||
Disaggregation of Revenue [Line Items] | |||
Total sales | 0 | 0 | 0 |
International | eCommerce | |||
Disaggregation of Revenue [Line Items] | |||
Total sales | 114.7 | 117 | 64.8 |
International | Other | |||
Disaggregation of Revenue [Line Items] | |||
Total sales | 0 | 0 | 0 |
Other | |||
Disaggregation of Revenue [Line Items] | |||
Total sales | 68.8 | 30.1 | 53.3 |
Other | Bridal | |||
Disaggregation of Revenue [Line Items] | |||
Total sales | 0 | 0 | 0 |
Other | Fashion | |||
Disaggregation of Revenue [Line Items] | |||
Total sales | 0 | 0 | 0 |
Other | Watches | |||
Disaggregation of Revenue [Line Items] | |||
Total sales | 0 | 0 | 0 |
Other | Other | |||
Disaggregation of Revenue [Line Items] | |||
Total sales | 68.8 | 30.1 | 53.3 |
Other | Store | |||
Disaggregation of Revenue [Line Items] | |||
Total sales | 0 | 0 | 0 |
Other | Kay | |||
Disaggregation of Revenue [Line Items] | |||
Total sales | 0 | 0 | 0 |
Other | Zales | |||
Disaggregation of Revenue [Line Items] | |||
Total sales | 0 | 0 | 0 |
Other | Jared | |||
Disaggregation of Revenue [Line Items] | |||
Total sales | 0 | 0 | 0 |
Other | Banter by Piercing Pagoda | |||
Disaggregation of Revenue [Line Items] | |||
Total sales | 0 | 0 | 0 |
Other | Diamonds Direct (2) | |||
Disaggregation of Revenue [Line Items] | |||
Total sales | 0 | ||
Other | James Allen | |||
Disaggregation of Revenue [Line Items] | |||
Total sales | 0 | 0 | 0 |
Other | Peoples | |||
Disaggregation of Revenue [Line Items] | |||
Total sales | 0 | 0 | 0 |
Other | International | |||
Disaggregation of Revenue [Line Items] | |||
Total sales | 0 | 0 | 0 |
Other | Other | |||
Disaggregation of Revenue [Line Items] | |||
Total sales | 68.8 | 30.1 | 53.3 |
Other | eCommerce | |||
Disaggregation of Revenue [Line Items] | |||
Total sales | 0 | 0 | 0 |
Other | Other | |||
Disaggregation of Revenue [Line Items] | |||
Total sales | $ 68.8 | $ 30.1 | $ 53.3 |
Revenue recognition - Narrative
Revenue recognition - Narrative (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 29, 2022 | Jan. 30, 2021 | Feb. 01, 2020 | |
Disaggregation of Revenue [Line Items] | |||
Capitalized contract cost, amortization | $ 41.7 | $ 26.3 | $ 29.5 |
North America | Extended Service Plans and Lifetime Warranty Agreements | |||
Disaggregation of Revenue [Line Items] | |||
Revenue, performance obligation, description of timing | 14 years |
Revenue recognition - Unamortiz
Revenue recognition - Unamortized Deferred Selling Costs (Details) - USD ($) $ in Millions | Jan. 29, 2022 | Jan. 30, 2021 |
Revenue from Contract with Customer [Abstract] | ||
Other current assets | $ 28.4 | $ 26.2 |
Other assets | 87.8 | 85.1 |
Total deferred selling costs | $ 116.2 | $ 111.3 |
Revenue recognition - Performan
Revenue recognition - Performance Obligation Narrative (Details) - Extended Service Plans and Lifetime Warranty Agreements - North America - Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2022-01-30 | Jan. 29, 2022 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Expected timing of satisfaction, period | 2 years |
Minimum | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Percentage of revenue recognized | 55.00% |
Maximum | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Percentage of revenue recognized | 60.00% |
Revenue recognition - ESP and V
Revenue recognition - ESP and Voucher Promotions (Details) - USD ($) $ in Millions | Jan. 29, 2022 | Jan. 30, 2021 | Feb. 01, 2020 |
Deferred Revenue Warranty [Roll Forward] | |||
Total deferred revenue | $ 1,198.9 | $ 1,072 | |
Current liabilities | 341.3 | 288.7 | |
Non-current liabilities | 857.6 | 783.3 | |
ESP deferred revenue | |||
Deferred Revenue Warranty [Roll Forward] | |||
Total deferred revenue | 1,116.5 | 1,028.9 | $ 960 |
Other deferred revenue | |||
Deferred Revenue Warranty [Roll Forward] | |||
Total deferred revenue | $ 82.4 | $ 43.1 |
Revenue recognition - ESP Defer
Revenue recognition - ESP Deferred Revenue Rollforward (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 29, 2022 | Jan. 30, 2021 | Feb. 01, 2020 | |
Change in Contract with Customer, Liability [Roll Forward] | |||
ESP deferred revenue, beginning of period | $ 1,072 | ||
Plans sold | 100.5 | $ 73.1 | $ 30.8 |
ESP deferred revenue, end of period | 1,198.9 | 1,072 | |
ESP deferred revenue | |||
Change in Contract with Customer, Liability [Roll Forward] | |||
ESP deferred revenue, beginning of period | 1,028.9 | 960 | |
Plans sold | 528.9 | 337.4 | |
Revenue recognized | (441.3) | (268.5) | |
ESP deferred revenue, end of period | 1,116.5 | 1,028.9 | $ 960 |
Extended Service Plan and Voucher Promotions | |||
Change in Contract with Customer, Liability [Roll Forward] | |||
Revenue recognized | $ (244.1) | $ (163.5) |
Acquisitions - Additional Infor
Acquisitions - Additional Information (Detail) | Nov. 17, 2021USD ($)retailLocation | Mar. 29, 2021USD ($) | Jan. 29, 2022USD ($) | Jan. 30, 2021USD ($) | Feb. 01, 2020USD ($) |
Business Acquisition [Line Items] | |||||
Cash consideration | $ 515,800,000 | $ 0 | $ 0 | ||
Rocksbox | |||||
Business Acquisition [Line Items] | |||||
Cash consideration | $ 14,600,000 | ||||
Acquisition related costs | 1,400,000 | ||||
Diamonds Direct USA Inc. | |||||
Business Acquisition [Line Items] | |||||
Cash consideration | $ 501,200,000 | ||||
Acquisition related costs | $ 5,000,000 | ||||
Cash acquired from acquisition | $ 14,200,000 | ||||
Number of retail locations | retailLocation | 22 | ||||
Goodwill, expected tax deductible amount | $ 0 | ||||
Diamonds Direct USA Inc. | Trade names | |||||
Business Acquisition [Line Items] | |||||
Intangible assets | $ 126,000,000 |
Acquisitions - Assets Acquired
Acquisitions - Assets Acquired and Liabilities Assumed (Details) - USD ($) $ in Millions | Jan. 29, 2022 | Nov. 17, 2021 | Jan. 30, 2021 |
Business Acquisition [Line Items] | |||
Goodwill | $ 484.6 | $ 238 | |
Diamonds Direct USA Inc. | |||
Business Acquisition [Line Items] | |||
Inventories | $ 229.1 | ||
Property, plant and equipment | 32.3 | ||
Right-of-use assets | 56.9 | ||
Intangible assets | 126 | ||
Other assets | 6.7 | ||
Identifiable assets acquired | 451 | ||
Accounts payable | 46.8 | ||
Deferred revenue | 26.1 | ||
Operating lease liabilities | 57.6 | ||
Deferred taxes | 33.6 | ||
Other liabilities | 27.6 | ||
Liabilities assumed | 191.7 | ||
Identifiable net assets acquired | 259.3 | ||
Goodwill | 241.9 | ||
Total consideration transferred | $ 501.2 |
Segment information - Additiona
Segment information - Additional Information (Details) | 12 Months Ended |
Jan. 29, 2022segment | |
Segment Reporting [Abstract] | |
Number of reportable segments | 3 |
Segment information - Summary o
Segment information - Summary of Activity by Segment (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 29, 2022 | Jan. 30, 2021 | Feb. 01, 2020 | |
Segment Reporting Information [Line Items] | |||
Total sales | $ 7,826 | $ 5,226.9 | $ 6,137.1 |
Operating income (loss) | 903.4 | (57.7) | 158.3 |
Interest expense, net | (16.9) | (32) | (35.6) |
Other non-operating (loss) income | (2.1) | 0 | 7 |
Income (loss) before income taxes | 884.4 | (89.7) | 129.7 |
Depreciation and amortization | 163.5 | 176 | 178 |
Capital additions | 129.6 | 83 | 136.3 |
Asset impairments | 1.5 | 159 | 47.7 |
Restructuring charges | (3.3) | 46.2 | 69.9 |
Charge related to litigation settlement | 1.7 | 7.5 | 33.2 |
Total assets | 6,575.1 | 6,178.9 | |
Total long-lived assets | 1,374.7 | 1,022.5 | |
Diamonds Direct USA Inc. | |||
Segment Reporting Information [Line Items] | |||
Acquisition related costs | 5 | ||
Corporate and unallocated | |||
Segment Reporting Information [Line Items] | |||
Operating income (loss) | (92.2) | (72) | (119.7) |
Restructuring charges | (2.3) | 0.5 | 20.8 |
Charge related to litigation settlement | 1.7 | 7.5 | 33.2 |
Total assets | 515.6 | 517.9 | |
North America | |||
Segment Reporting Information [Line Items] | |||
Total sales | 7,264.8 | 4,840.9 | 5,565.8 |
North America | Operating Segments | |||
Segment Reporting Information [Line Items] | |||
Total sales | 7,264.8 | 4,840.9 | 5,565.8 |
Operating income (loss) | 981.4 | 57.9 | 284.9 |
Depreciation and amortization | 149.2 | 163.7 | 159.9 |
Capital additions | 112.6 | 79 | 128.3 |
Asset impairments | 2 | 136.7 | 47.7 |
Gain from sale of customer in-house finance receivable | 1.4 | ||
Restructuring charges | (1) | ||
Inventory charges | 1.6 | 6 | |
Severance costs | 36 | 42.1 | |
Total assets | 5,540.1 | 5,101.9 | |
Total long-lived assets | 1,328.4 | 978.1 | |
North America | Operating Segments | Diamonds Direct USA Inc. and Rocksbox | |||
Segment Reporting Information [Line Items] | |||
Acquisition related costs | 6.4 | ||
North America | Operating Segments | Fair Value Adjustment to Inventory | Diamonds Direct USA Inc. | |||
Segment Reporting Information [Line Items] | |||
Operating income (loss) | (5.4) | ||
North America | Canada | Operating Segments | |||
Segment Reporting Information [Line Items] | |||
Total sales | 206.2 | 150.9 | 204.6 |
International | |||
Segment Reporting Information [Line Items] | |||
Total sales | 492.4 | 355.9 | 518 |
International | Operating Segments | |||
Segment Reporting Information [Line Items] | |||
Total sales | 492.4 | 355.9 | 518 |
Operating income (loss) | 14.4 | (43.3) | 9 |
Depreciation and amortization | 14 | 12 | 17.8 |
Capital additions | 16.6 | 4 | 8 |
Asset impairments | (0.5) | 22.3 | |
Severance costs | 9.7 | 7 | |
Total assets | 438.2 | 514.2 | |
Total long-lived assets | 43.4 | 41.6 | |
Other | |||
Segment Reporting Information [Line Items] | |||
Total sales | 68.8 | 30.1 | 53.3 |
Other | Operating Segments | |||
Segment Reporting Information [Line Items] | |||
Total sales | 68.8 | 30.1 | 53.3 |
Operating income (loss) | (0.2) | (0.3) | (15.9) |
Depreciation and amortization | 0.3 | 0.3 | 0.3 |
Capital additions | 0.4 | 0 | 0 |
Inventory charges | (0.2) | $ 3.2 | |
Total assets | 81.2 | 44.9 | |
Total long-lived assets | $ 2.9 | $ 2.8 |
Restructuring plans - Narrative
Restructuring plans - Narrative (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | 48 Months Ended | |||
May 05, 2018 | Jan. 29, 2022 | Jan. 30, 2021 | Feb. 01, 2020 | Jan. 29, 2022 | Feb. 02, 2019 | |
Restructuring Cost and Reserve [Line Items] | ||||||
Restructuring charges | $ (3.3) | $ 46.2 | $ 69.9 | |||
Signet Path to Brillance | ||||||
Restructuring Cost and Reserve [Line Items] | ||||||
Restructuring plan, length | 3 years | |||||
Restructuring charges | (3.3) | 47.6 | 79.1 | $ 249.3 | ||
Restructuring reserve | 4 | $ 10.2 | $ 12.4 | 4 | $ 12.6 | |
Accrued Expenses And Other Current Liabilities | Signet Path to Brillance | ||||||
Restructuring Cost and Reserve [Line Items] | ||||||
Restructuring reserve | 1.9 | 1.9 | ||||
Other Noncurrent Liabilities | Signet Path to Brillance | ||||||
Restructuring Cost and Reserve [Line Items] | ||||||
Restructuring reserve | $ 2.1 | $ 2.1 |
Restructuring plans - Restructu
Restructuring plans - Restructuring and Related Costs (Details) - USD ($) $ in Millions | 12 Months Ended | 48 Months Ended | ||
Jan. 29, 2022 | Jan. 30, 2021 | Feb. 01, 2020 | Jan. 29, 2022 | |
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring charges | $ (3.3) | $ 46.2 | $ 69.9 | |
Signet Path to Brillance | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring charges | (3.3) | 47.6 | 79.1 | $ 249.3 |
Signet Path to Brillance | Cost of sales | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Inventory charges | 0 | 1.4 | 9.2 | |
Signet Path to Brillance | Restructuring charges | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Other Plan related expenses | (3.3) | 46.2 | 69.9 | |
Inventory charges | Signet Path to Brillance | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring charges | 0 | 1.4 | 9.2 | 72.8 |
Termination benefits | Signet Path to Brillance | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring charges | (1.1) | 24.1 | 16.1 | 48.8 |
Store closure and other costs | Signet Path to Brillance | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring charges | $ (2.2) | $ 22.1 | $ 53.8 | $ 127.7 |
Restructuring plans - Schedule
Restructuring plans - Schedule of Plan Liabilities (Details) - USD ($) $ in Millions | 12 Months Ended | 48 Months Ended | ||
Jan. 29, 2022 | Jan. 30, 2021 | Feb. 01, 2020 | Jan. 29, 2022 | |
Restructuring Reserve [Roll Forward] | ||||
Charged to expense | $ (3.3) | $ 46.2 | $ 69.9 | |
Signet Path to Brillance | ||||
Restructuring Reserve [Roll Forward] | ||||
Beginning balance | 10.2 | 12.4 | 12.6 | |
Payments and other adjustments | (2.9) | (49.8) | (79.3) | |
Charged to expense | (3.3) | 47.6 | 79.1 | $ 249.3 |
Ending balance | 4 | 10.2 | 12.4 | 4 |
Termination benefits | Signet Path to Brillance | ||||
Restructuring Reserve [Roll Forward] | ||||
Beginning balance | 2.1 | 2 | 0 | |
Payments and other adjustments | (1) | (24) | (14.1) | |
Charged to expense | (1.1) | 24.1 | 16.1 | 48.8 |
Ending balance | 0 | 2.1 | 2 | 0 |
Store closure and other costs | Signet Path to Brillance | ||||
Restructuring Reserve [Roll Forward] | ||||
Beginning balance | 8.1 | 10.4 | 12.6 | |
Payments and other adjustments | (1.9) | (25.8) | (65.2) | |
Charged to expense | (2.2) | 23.5 | 63 | |
Ending balance | $ 4 | $ 8.1 | $ 10.4 | $ 4 |
Redeemable preferred shares - N
Redeemable preferred shares - Narrative (Details) - Series A Redeemable Convertible Preferred Stock - USD ($) $ / shares in Units, $ in Millions | Oct. 05, 2018 | Oct. 05, 2016 | Jan. 29, 2022 | Jan. 30, 2021 |
Temporary Equity [Line Items] | ||||
Redeemable convertible preferred stock, shares issued (in shares) | 625,000 | |||
Preferred stock, purchase price | $ 625 | |||
Shares issued, price per share (in usd per share) | $ 1,000 | |||
Payments of stock issuance costs | $ 13.7 | |||
Accumulated accretion of dividends | $ 9 | $ 7.3 | ||
Preferred stock, dividend rate, percentage | 5.00% | |||
Percentage exceeding applicable conversion price | 175.00% | |||
Threshold period at which shares can be converted | 20 days | |||
Percentage of cash equal to the stated value | 101.00% | |||
Maximum | ||||
Temporary Equity [Line Items] | ||||
Preferred dividends, percentage of average quarterly cash dividends (not more than) | 130.00% |
Redeemable preferred shares - R
Redeemable preferred shares - Redeemable Preferred Shares (Details) - Series A Redeemable Convertible Preferred Stock $ / shares in Units, shares in Millions, $ in Millions | 12 Months Ended | |
Jan. 29, 2022USD ($)$ / sharesshares | Jan. 30, 2021USD ($)$ / sharesshares | |
Temporary Equity [Line Items] | ||
Conversion rate | 12.2297 | 12.2297 |
Conversion price (in usd per share) | $ / shares | $ 81.7682 | $ 81.7682 |
Potential impact of preferred shares if-converted to common shares (in shares) | shares | 8 | 7.9 |
Liquidation preference | $ | $ 665.1 | $ 656.8 |
Common shares, treasury share_3
Common shares, treasury shares, and dividends - Additional Information (Detail) - USD ($) | Mar. 14, 2022 | Jan. 29, 2022 | Jan. 29, 2022 | Jan. 30, 2021 | Feb. 01, 2020 | Jan. 21, 2022 | Aug. 23, 2021 | Aug. 22, 2021 |
Class of Stock [Line Items] | ||||||||
Common shares, par value (usd per share) | $ 0.18 | $ 0.18 | $ 0.18 | |||||
Accelerated share repurchases, total Value committed to repurchase | $ 250,000,000 | |||||||
Accelerated share repurchases, payment | $ 250,000,000 | $ 250,000,000 | ||||||
Treasury stock, shares, acquired | 2,500,000 | |||||||
Accelerated share repurchases, initial price paid per share | $ 80 | |||||||
Accelerated share repurchases, prepayment amount, percent paid up front | 80.00% | 80.00% | ||||||
Treasury stock reissued (in shares) | 2,500,000 | 0 | 400,000 | |||||
Treasury shares retired (in shares) | 0 | |||||||
Cumulative undeclared dividends | $ 0 | |||||||
Subsequent Event | ||||||||
Class of Stock [Line Items] | ||||||||
Treasury stock, shares, acquired | 800,000 | |||||||
Accelerated share repurchases, prepayment amount, percent to be paid upon final settlement | 20.00% | |||||||
2017 Program | ||||||||
Class of Stock [Line Items] | ||||||||
Remaining authorized repurchase amount | $ 413,200,000 | 413,200,000 | $ 225,000,000 | $ 165,600,000 | ||||
Increase to authorized amount | 500,000,000 | 500,000,000 | ||||||
Stock repurchase program, authorized amount | $ 1,159,400,000 | 1,159,400,000 | ||||||
Series A Redeemable Convertible Preferred Stock | ||||||||
Class of Stock [Line Items] | ||||||||
Dividends on redeemable convertible preferred shares | $ 1,700,000 | $ 1,700,000 | $ 1,700,000 |
Common shares, treasury share_4
Common shares, treasury shares, and dividends - Share Repurchase (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 3 Months Ended | 12 Months Ended | ||||
Apr. 30, 2022 | Jan. 29, 2022 | Jan. 30, 2021 | Feb. 01, 2020 | Aug. 23, 2021 | Aug. 22, 2021 | |
Class of Stock [Line Items] | ||||||
Amount repurchased | $ 311.8 | |||||
2017 Program | ||||||
Class of Stock [Line Items] | ||||||
Stock repurchase program, authorized amount | $ 1,159.4 | |||||
Shares repurchased (shares) | 3.2 | 0 | 0 | |||
Amount repurchased | $ 261.8 | $ 0 | $ 0 | |||
Average repurchase price per share (usd per share) | $ 81.16 | $ 0 | $ 0 | |||
Remaining authorized repurchase amount | $ 413.2 | $ 225 | $ 165.6 | |||
2017 Program | Scenario, Forecast | ||||||
Class of Stock [Line Items] | ||||||
Amount repurchased | $ 50 |
Common shares, treasury share_5
Common shares, treasury shares, and dividends - Dividends (Details) - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||||||
Jan. 29, 2022 | Oct. 30, 2021 | Jul. 31, 2021 | May 01, 2021 | Jan. 30, 2021 | Oct. 31, 2020 | Aug. 01, 2020 | May 02, 2020 | Feb. 01, 2020 | Nov. 02, 2019 | Aug. 03, 2019 | May 04, 2019 | Jan. 29, 2022 | Jan. 30, 2021 | Feb. 01, 2020 | |
Class of Stock [Line Items] | |||||||||||||||
Cash dividend per share (usd per share) | $ 0.18 | $ 0.18 | $ 0.18 | $ 0 | $ 0 | $ 0 | $ 0 | $ 0 | $ 0.37 | $ 0.37 | $ 0.37 | $ 0.37 | $ 0.54 | $ 0 | $ 1.48 |
Total dividends | $ 9 | $ 9.5 | $ 9.5 | $ 0 | $ 0 | $ 0 | $ 0 | $ 0 | $ 19.4 | $ 19.4 | $ 19.3 | $ 19.3 | $ 28 | $ 0 | $ 77.4 |
Dividends, preferred stock, cash | 34.5 | 33.5 | 32.9 | ||||||||||||
Series A Redeemable Convertible Preferred Stock | |||||||||||||||
Class of Stock [Line Items] | |||||||||||||||
Dividends, preferred stock, cash | 8.2 | $ 8.3 | $ 8.2 | $ 8.2 | $ 7.8 | $ 7.8 | $ 7.8 | $ 7.8 | 32.9 | $ 31.2 | |||||
Dividends, preferred stock, paid-in-kind | 8.1 | $ 8 | $ 7.9 | $ 7.8 | 31.8 | ||||||||||
Accrued Expenses And Other Current Liabilities | Common shares at par value | |||||||||||||||
Class of Stock [Line Items] | |||||||||||||||
Dividends payable, current | 9 | 9 | |||||||||||||
Accrued Expenses And Other Current Liabilities | Series A Redeemable Convertible Preferred Stock | |||||||||||||||
Class of Stock [Line Items] | |||||||||||||||
Dividends payable, current | $ 8.2 | $ 8.1 | $ 8.2 | $ 8.1 |
Earnings (loss) per common sh_3
Earnings (loss) per common share ("EPS") - Schedule of Earnings per Share (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 12 Months Ended | ||
Jan. 29, 2022 | Jan. 30, 2021 | Feb. 01, 2020 | |
EPS – basic | |||
Net income (loss) attributable to common shareholders | $ 735.4 | $ (48.7) | $ 72.6 |
Weighted average common shares outstanding (in shares) | 52.5 | 52 | 51.7 |
Earnings (loss) per common share: basic (usd per share) | $ 14.01 | $ (0.94) | $ 1.40 |
Add: Dividends on preferred shares | $ 34.5 | $ 0 | $ 0 |
EPS – diluted | |||
Numerator for diluted EPS | $ 769.9 | $ (48.7) | $ 72.6 |
Dilutive effect of share awards (in shares) | 2.5 | 0 | 0.1 |
Dilutive effect of preferred shares (in shares) | 8 | 0 | 0 |
Diluted weighted average number of common shares outstanding | 63 | 52 | 51.8 |
Earnings (loss) per common share: diluted (usd per share) | $ 12.22 | $ (0.94) | $ 1.40 |
Performance Shares | |||
EPS – diluted | |||
Dilutive effect of share awards (in shares) | 2 |
Earnings (loss) per common sh_4
Earnings (loss) per common share ("EPS") - Schedule of Antidilutive Securities Excluded From the Calculation of Earnings Per Share (Details) - shares shares in Millions | 12 Months Ended | ||
Jan. 29, 2022 | Jan. 30, 2021 | Feb. 01, 2020 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Anti-dilutive shares excluded from the calculation of earnings per share | 0.6 | 9.6 | 8.5 |
Performance Shares | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Anti-dilutive shares excluded from the calculation of earnings per share | 0 | 1.8 | 0.9 |
Series A Redeemable Convertible Preferred Stock | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Anti-dilutive shares excluded from the calculation of earnings per share | 0 | 7.8 | 7.6 |
Potential impact of accelerated share repurchase | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Anti-dilutive shares excluded from the calculation of earnings per share | 0.6 | 0 | 0 |
Accumulated other comprehensi_3
Accumulated other comprehensive income (loss) - Changes in Accumulated OCI by Component and Reclassifications Out of Accumulated OCI (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 29, 2022 | Jan. 30, 2021 | Feb. 01, 2020 | |
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Balance | $ 1,190.3 | $ 1,222.6 | $ 1,201.6 |
OCI before reclassifications | (63) | 15 | 9.7 |
Amounts reclassified from AOCI to earnings | 2.6 | (11.7) | (0.7) |
Total other comprehensive (loss) income | (60.4) | 3.3 | 9 |
Balance | 1,564 | 1,190.3 | 1,222.6 |
Accumulated other comprehensive (loss) income | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Balance | (290.5) | (293.8) | (302.8) |
Balance | (350.9) | (290.5) | (293.8) |
Foreign currency translation | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Balance | (238.9) | (250.1) | (248.4) |
OCI before reclassifications | (5.4) | 11.2 | (1.7) |
Amounts reclassified from AOCI to earnings | 0 | 0 | 0 |
Total other comprehensive (loss) income | (5.4) | 11.2 | (1.7) |
Balance | (244.3) | (238.9) | (250.1) |
Gain (losses) on available-for-sale securities, net | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Balance | 0.5 | 0.3 | (0.5) |
OCI before reclassifications | (0.3) | 0.2 | (0.2) |
Amounts reclassified from AOCI to earnings | 0 | 0 | 1 |
Total other comprehensive (loss) income | (0.3) | 0.2 | 0.8 |
Balance | 0.2 | 0.5 | 0.3 |
Gains (losses) on cash flow hedges | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Balance | (0.9) | 12.5 | 4 |
OCI before reclassifications | 0.6 | (0.8) | 11.2 |
Amounts reclassified from AOCI to earnings | 0.7 | (12.6) | (2.7) |
Total other comprehensive (loss) income | 1.3 | (13.4) | 8.5 |
Balance | 0.4 | (0.9) | 12.5 |
Pension plan | Actuarial gains (losses) | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Balance | (47.2) | (52.4) | (53.8) |
OCI before reclassifications | (57.9) | 4.4 | 0.4 |
Amounts reclassified from AOCI to earnings | 1.8 | 0.8 | 1 |
Total other comprehensive (loss) income | (56.1) | 5.2 | 1.4 |
Balance | (103.3) | (47.2) | (52.4) |
Pension plan | Prior service credits (costs) | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Balance | (4) | (4.1) | (4.1) |
OCI before reclassifications | 0 | 0 | 0 |
Amounts reclassified from AOCI to earnings | 0.1 | 0.1 | 0 |
Total other comprehensive (loss) income | 0.1 | 0.1 | 0 |
Balance | $ (3.9) | $ (4) | $ (4.1) |
Accumulated other comprehensi_4
Accumulated other comprehensive income (loss) - Reclassifications out of AOCI (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 29, 2022 | Jan. 30, 2021 | Feb. 01, 2020 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Cost of sales | $ (4,702) | $ (3,493) | $ (3,904.2) |
Other operating income (loss) | 8.5 | 2.4 | (29.6) |
Interest expense, net | (16.9) | (32) | (35.6) |
Other non-operating (loss) income | (2.1) | 0 | 7 |
Income taxes | (114.5) | 74.5 | (24.2) |
Net income (loss) | 769.9 | (15.2) | 105.5 |
Reclassification out of AOCI | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Net income (loss) | 2.6 | (11.7) | (0.7) |
Reclassification out of AOCI | Gains (losses) on cash flow hedges | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Total before income tax | 1 | (16.8) | (3.4) |
Income taxes | (0.3) | 4.2 | 0.7 |
Net income (loss) | 0.7 | (12.6) | (2.7) |
Reclassification out of AOCI | Accumulated defined benefit plans adjustment | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Total before income tax | 2.2 | 1.1 | 1.2 |
Income taxes | (0.3) | (0.2) | (0.2) |
Net income (loss) | 1.9 | 0.9 | 1 |
Reclassification out of AOCI | Actuarial gains (losses) | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Other non-operating (loss) income | 2.1 | 1 | 1.2 |
Reclassification out of AOCI | Prior service credits (costs) | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Other non-operating (loss) income | 0.1 | 0.1 | 0 |
Reclassification out of AOCI | Available-for-sale securities | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Other operating income (loss) | 0 | 0 | 1 |
Income taxes | 0 | 0 | 0 |
Net income (loss) | 0 | 0 | 1 |
Reclassification out of AOCI | Foreign currency contracts | Gains (losses) on cash flow hedges | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Cost of sales | 0.6 | 0 | (1.1) |
Other operating income (loss) | 0 | (0.6) | 0 |
Reclassification out of AOCI | Interest rate swaps | Gains (losses) on cash flow hedges | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Interest expense, net | 0 | 0 | (0.6) |
Reclassification out of AOCI | Commodity contracts | Gains (losses) on cash flow hedges | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Cost of sales | 0.4 | (6.9) | (1.7) |
Other operating income (loss) | $ 0 | $ (9.3) | $ 0 |
Income taxes - Summary of Incom
Income taxes - Summary of Income and Income Taxes (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 29, 2022 | Jan. 30, 2021 | Feb. 01, 2020 | |
Income (loss) before income taxes: | |||
– US | $ 665.9 | $ (173.4) | $ 32.3 |
– Foreign | 218.5 | 83.7 | 97.4 |
Income (loss) before income taxes | 884.4 | (89.7) | 129.7 |
Current taxation: | |||
– US | 108.1 | (222.2) | 3 |
– Foreign | 7.6 | 0.7 | 1.9 |
Deferred taxation: | |||
– US | 8.4 | 158.4 | 17 |
– Foreign | (9.6) | (11.4) | 2.3 |
Total income tax expense (benefit) | $ 114.5 | $ (74.5) | $ 24.2 |
Income taxes - Additional Infor
Income taxes - Additional Information (Detail) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||
Oct. 30, 2021 | Jan. 29, 2022 | Jan. 30, 2021 | Feb. 01, 2020 | Feb. 02, 2019 | |
Operating Loss Carryforwards [Line Items] | |||||
Statutory tax rate (percent) | 21.00% | 21.00% | 21.00% | ||
Income tax benefit, two year carryforward | $ 74 | ||||
Income tax benefit, five year carryforward | $ 12.4 | 26.4 | |||
Valuation allowance | $ 27.9 | 83.9 | |||
Capital loss carryforwards | 16.9 | 13.9 | |||
Decrease in valuation allowance | 56 | ||||
Unrecognized tax benefits | 24.9 | 25.4 | $ 23.5 | $ 18.1 | |
Accrued interest related to unrecognized tax benefits | 4.5 | ||||
Accrued penalties | 0.6 | ||||
Increase resulting from settlements with taxing authorities | 27.9 | ||||
Alternative Minimum Tax Credit Carryforward | |||||
Operating Loss Carryforwards [Line Items] | |||||
Tax credit carryforward, amount | 40.5 | ||||
State and Local Jurisdiction | |||||
Operating Loss Carryforwards [Line Items] | |||||
Income tax benefit related to release of valuation allowance | 49.8 | ||||
Valuation allowance | 49.8 | ||||
Domestic Tax Authority | |||||
Operating Loss Carryforwards [Line Items] | |||||
Net operating loss carry forwards | 17.9 | ||||
Capital loss carryforwards | 2.7 | ||||
Internal Revenue Service (IRS) | |||||
Operating Loss Carryforwards [Line Items] | |||||
Net operating loss carry forwards | 9.3 | ||||
Foreign Tax Authority | |||||
Operating Loss Carryforwards [Line Items] | |||||
Net operating loss carry forwards | 23.9 | ||||
Deferred tax assets | 2.1 | ||||
Foreign capital loss carry forward | $ 14.2 | $ 11.2 | |||
Bermuda | |||||
Operating Loss Carryforwards [Line Items] | |||||
Statutory tax rate (percent) | 0.00% |
Income taxes - Reconciliation o
Income taxes - Reconciliation of Statutory Tax Rate to Effective Tax Rate (Details) | 12 Months Ended | ||
Jan. 29, 2022 | Jan. 30, 2021 | Feb. 01, 2020 | |
Income Tax Disclosure [Abstract] | |||
US federal income tax rates | 21.00% | 21.00% | 21.00% |
US state income taxes | 3.30% | 4.10% | 3.10% |
Differences between US federal and foreign statutory income tax rates | (0.10%) | 0.10% | 1.30% |
Expenditures permanently disallowable for tax purposes, net of permanent tax benefits | 0.00% | (4.70%) | 3.30% |
Impact of global reinsurance arrangements | (2.20%) | 14.10% | (20.30%) |
Impact of global financing arrangements | (0.60%) | 0.00% | 0.00% |
Impairment of goodwill | 0.00% | (2.40%) | 7.50% |
CARES Act | (1.40%) | 111.90% | 0.00% |
Valuation allowance | (6.50%) | (55.50%) | 0.00% |
Other items | (0.60%) | (5.50%) | 2.80% |
Effective tax rate | 12.90% | 83.10% | 18.70% |
Income taxes - Components of De
Income taxes - Components of Deferred Tax Assets and Liabilities (Details) - USD ($) $ in Millions | Jan. 29, 2022 | Jan. 30, 2021 |
Assets | ||
Foreign property, plant and equipment | $ 7.1 | $ 7.3 |
Revenue deferral | 88.6 | 95.6 |
Derivative instruments | 0.3 | |
Lease liabilities | 284.3 | 331.5 |
Deferred compensation | 7.7 | 6.7 |
Retirement benefit obligations | 1.5 | |
Share-based compensation | 8.4 | 4.4 |
Other temporary differences | 42.4 | 57.2 |
Net operating losses and foreign tax credits | 84.3 | 56.5 |
Value of capital losses | 16.9 | 13.9 |
Total gross deferred tax assets (liabilities) | 541.2 | 573.4 |
Valuation allowance | (27.9) | (83.9) |
Deferred tax assets (liabilities) | 513.3 | 489.5 |
(Liabilities) | ||
Intangible assets | (77) | (41.7) |
US property, plant and equipment | (60.2) | (55.3) |
Inventory valuation | (237.8) | (230.4) |
Lease assets | (261.9) | (295.1) |
Retirement benefit obligations | (9.8) | |
Total gross deferred tax assets (liabilities) | (636.9) | (632.3) |
Total | ||
Total gross deferred tax assets (liabilities) | (95.7) | (58.9) |
Valuation allowance | (27.9) | (83.9) |
Deferred tax liabilities, net | (123.6) | (142.8) |
Deferred tax assets | 37.3 | 16.4 |
Non-current liabilities | $ (160.9) | $ (159.2) |
Income taxes - Summary of Activ
Income taxes - Summary of Activity of Unrecognized Tax Benefits (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 29, 2022 | Jan. 30, 2021 | Feb. 01, 2020 | |
Reconciliation of Unrecognized Tax Benefits | |||
Unrecognized tax benefits, beginning of period | $ 25.4 | $ 23.5 | $ 18.1 |
Increases related to current year tax positions | 2 | 1 | 2 |
Increases related to prior year tax positions | 0.4 | 3.4 | 6 |
Lapse of statute of limitations | (2.9) | (2.6) | (2.6) |
Difference on foreign currency translation | 0 | 0.1 | 0 |
Unrecognized tax benefits, end of period | $ 24.9 | $ 25.4 | $ 23.5 |
Other operating income (loss) -
Other operating income (loss) - Components of Other Operating Income, Net (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 29, 2022 | Jan. 30, 2021 | Feb. 01, 2020 | |
Other Income and Expenses [Abstract] | |||
Interest income from customer in-house finance receivables | $ 6.5 | $ 4.2 | $ 0 |
Shareholder litigation charges, net of insurance recoveries | (1.7) | (7.5) | (33.2) |
De-designated cash flow hedges | 0 | 9.9 | 0 |
UK government grants | 8.6 | 0 | 0 |
Other | (4.9) | (4.2) | 3.6 |
Other operating income (loss) | $ 8.5 | $ 2.4 | $ (29.6) |
Credit transactions (Details)
Credit transactions (Details) - USD ($) $ in Millions | May 17, 2021 | Jun. 30, 2018 | Jul. 31, 2021 | Aug. 04, 2018 | Jun. 30, 2021 |
Financing Receivable, Allowance for Credit Loss [Line Items] | |||||
Sale of receivables, percentage settled in cash | 95.00% | ||||
Sale of receivables. percentage deferred until second anniversary | 5.00% | 5.00% | |||
CarVal and Castlelake | |||||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||||
Accounts receivable, remaining purchase price of receivables sold, percentage | 5.00% | ||||
Proceeds from sale of in-house finance receivables | $ 57.8 | ||||
Customer in-house finance receivables, net | 56.4 | ||||
Proceeds from collection of finance receivables | 23.5 | ||||
CarVal and Castlelake | North America | |||||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||||
Credit transaction, net | $ 1.4 | ||||
CarVal | |||||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||||
Sale of receivables, additional percentage purchased | 50.00% | ||||
Genesis Financial Solution | |||||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||||
Sale of receivables, additional percentage purchased | 50.00% | ||||
Agreement renewal term | 1 year | ||||
Comenity Capital Bank | |||||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||||
Agreement renewal term | 2 years |
Accounts receivable, net - Port
Accounts receivable, net - Portfolio of Accounts Receivable (Details) - USD ($) $ in Millions | Jan. 29, 2022 | Jan. 30, 2021 |
Receivables [Abstract] | ||
Customer in-house finance receivables, net | $ 0 | $ 72 |
Accounts receivable, trade | 18.3 | 11.6 |
Accounts receivable, held for sale | 1.6 | 5.1 |
Accounts receivable, net | $ 19.9 | $ 88.7 |
Accounts receivable, net - Cred
Accounts receivable, net - Credit Quality of Finance Receivables (Details) $ in Millions | Jan. 30, 2021USD ($) |
Financing Receivable, Credit Quality Indicator [Line Items] | |
Total at amortized cost | $ 97.5 |
Near Prime | |
Financing Receivable, Credit Quality Indicator [Line Items] | |
Total at amortized cost | 46.6 |
Subprime | |
Financing Receivable, Credit Quality Indicator [Line Items] | |
Total at amortized cost | 38.9 |
Deep Subprime | |
Financing Receivable, Credit Quality Indicator [Line Items] | |
Total at amortized cost | $ 12 |
Accounts receivable, net - Roll
Accounts receivable, net - Rollforward of Allowance for Credit Losses (Details) - USD ($) $ in Millions | 12 Months Ended | |
Jan. 29, 2022 | Jan. 30, 2021 | |
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||
Beginning balance | $ 25.5 | $ 0 |
Provision for credit losses | (1) | 26.1 |
Write-offs | (5.5) | (0.6) |
Recoveries | 0.6 | 0 |
Reversal of allowance on receivables sold | (19.6) | 0 |
Ending balance | $ 0 | $ 25.5 |
Accounts receivable, net - Past
Accounts receivable, net - Past Due Status (Details) - USD ($) $ in Millions | Jan. 29, 2022 | Jan. 30, 2021 |
Financing Receivable, Past Due [Line Items] | ||
Total at amortized cost | $ 97.5 | |
Current | ||
Financing Receivable, Past Due [Line Items] | ||
Total at amortized cost | $ 81.3 | |
1 - 30 days past due | ||
Financing Receivable, Past Due [Line Items] | ||
Total at amortized cost | 9.1 | |
31 - 60 days past due | ||
Financing Receivable, Past Due [Line Items] | ||
Total at amortized cost | 2.6 | |
61 - 90 days past due | ||
Financing Receivable, Past Due [Line Items] | ||
Total at amortized cost | 1.7 | |
Greater than 90 days past due | ||
Financing Receivable, Past Due [Line Items] | ||
Total at amortized cost | $ 2.8 |
Accounts receivable, net - Addi
Accounts receivable, net - Additional Information (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 29, 2022 | Jan. 30, 2021 | Feb. 01, 2020 | |
Receivables [Abstract] | |||
Interest income from customer in-house finance receivables | $ 6.5 | $ 4.2 | $ 0 |
Inventories - Summary of Invent
Inventories - Summary of Inventory Components (Details) - USD ($) $ in Millions | Jan. 29, 2022 | Jan. 30, 2021 |
Inventory Disclosure [Abstract] | ||
Raw materials | $ 75.8 | $ 45.3 |
Merchandise inventories | 1,984.6 | 1,987.2 |
Total inventories | $ 2,060.4 | $ 2,032.5 |
Inventories - Additional Inform
Inventories - Additional Information (Details) - USD ($) $ in Millions | Jan. 29, 2022 | Jan. 30, 2021 |
Consignment inventory | ||
Inventories | ||
Other inventory | $ 533.2 | $ 387.4 |
Inventories - Rollforward of In
Inventories - Rollforward of Inventory Reserves (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 29, 2022 | Jan. 30, 2021 | Feb. 01, 2020 | |
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward] | |||
Balance at beginning of period | $ 52.9 | $ 67 | $ 95.3 |
Charged to income | 101.8 | 78.1 | 80.2 |
Utilization | (107.9) | (92.2) | (108.5) |
Balance at end of period | 46.8 | 52.9 | 67 |
Signet Path to Brillance | |||
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward] | |||
Balance at beginning of period | 2.2 | 20.8 | |
Charged to income | 1.4 | 9.2 | |
Utilization | $ (2.2) | (20) | (40) |
Balance at end of period | $ 2.2 | $ 20.8 |
Property, plant and equipment_3
Property, plant and equipment, net - Summary of Property, Plant and Equipment, Net (Details) - USD ($) $ in Millions | Jan. 29, 2022 | Jan. 30, 2021 |
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | $ 1,824.8 | $ 1,803.6 |
Accumulated depreciation and amortization | (1,248.9) | (1,198.1) |
Property, plant and equipment, net | 575.9 | 605.5 |
Land and buildings | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 21.7 | 21.8 |
Leasehold Improvements | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 640.9 | 616.9 |
Furniture and fixtures | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 698.3 | 669.9 |
Equipment | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 133.5 | 122.4 |
Software | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 251.5 | 334.2 |
Construction in progress | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | $ 78.9 | $ 38.4 |
Property, plant and equipment_4
Property, plant and equipment, net - Additional Information (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 29, 2022 | Jan. 30, 2021 | Feb. 01, 2020 | |
Property, Plant and Equipment [Abstract] | |||
Depreciation and amortization expense | $ 162.4 | $ 175.1 | $ 177.1 |
Property and equipment impairment | $ 1.6 | $ 28.1 | $ 0 |
Asset Impairments, net - Schedu
Asset Impairments, net - Schedule of Asset Impairment (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 29, 2022 | Jan. 30, 2021 | Feb. 01, 2020 | |
Asset Impairment Charges [Abstract] | |||
Goodwill impairment | $ 0 | $ 10.7 | $ 47.7 |
Indefinite-lived intangible asset impairment | 0 | 83.3 | 0 |
Property and equipment impairment | 1.6 | 28.1 | 0 |
Operating lease ROU asset impairment | (0.1) | 36.9 | 0 |
Total impairment | 1.5 | 159 | $ 47.7 |
Gain on termination or modification of lease | $ 1.4 | $ 4.4 |
Asset Impairments, net - Narrat
Asset Impairments, net - Narrative (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 29, 2022 | Jan. 30, 2021 | Feb. 01, 2020 | |
Asset Impairment Charges [Abstract] | |||
Property and equipment impairment | $ 1.6 | $ 28.1 | $ 0 |
Gain on termination or modification of lease | $ 1.4 | $ 4.4 |
Leases - Narrative (Details)
Leases - Narrative (Details) - USD ($) $ in Millions | Jan. 29, 2022 | Nov. 17, 2021 |
Leases [Abstract] | ||
Accrued rent | $ 16 | |
Diamonds Direct USA Inc. | ||
Lessee, Lease, Description [Line Items] | ||
Right-of-use assets | $ 56.9 |
Leases - Lease Term and Discoun
Leases - Lease Term and Discount Rate (Details) | Jan. 29, 2022 | Jan. 30, 2021 |
Leases [Abstract] | ||
Operating lease, weighted average remaining lease term (years) | 7 years 1 month 6 days | 6 years 2 months 12 days |
Operating lease, weighted average discount rate, percent | 5.50% | 5.50% |
Leases - Total Lease Costs For
Leases - Total Lease Costs For Operating Leases (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 29, 2022 | Jan. 30, 2021 | Feb. 01, 2020 | |
Leases [Abstract] | |||
Operating lease cost | $ 431.8 | $ 436.3 | $ 460.3 |
Short-term lease cost | 11.5 | 16.3 | 19.4 |
Variable lease cost | 127 | 110.3 | 107.1 |
Sublease income | (1.9) | (1.8) | (2) |
Total lease cost | $ 568.4 | $ 561.1 | $ 584.8 |
Leases - Schedule of Supplement
Leases - Schedule of Supplementary Cash Flow Information (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 29, 2022 | Jan. 30, 2021 | Feb. 01, 2020 | |
Leases [Abstract] | |||
Operating cash flows from operating leases | $ 479.6 | $ 400.4 | $ 467.7 |
Operating lease right-of-use assets obtained in exchange for lease obligations | 168.8 | 70.8 | 149.9 |
Reduction in the carrying amount of ROU assets | $ 351.7 | $ 348.3 | $ 360.1 |
Leases - Future Minimum Payment
Leases - Future Minimum Payments For Operating Leases (Details) $ in Millions | Jan. 29, 2022USD ($) |
Leases [Abstract] | |
Fiscal 2023 | $ 400.3 |
Fiscal 2024 | 304.4 |
Fiscal 2025 | 238.5 |
Fiscal 2026 | 174.3 |
Fiscal 2027 | 124.1 |
Thereafter | 446.9 |
Total minimum lease payments | 1,688.5 |
Less: Imputed interest | (383.4) |
Present value of lease liabilities | $ 1,305.1 |
Goodwill and intangibles - Addi
Goodwill and intangibles - Additional Information (Details) - USD ($) $ in Millions | Mar. 29, 2021 | May 02, 2020 | Aug. 03, 2019 | Jan. 29, 2022 | Jan. 30, 2021 | Feb. 01, 2020 | Nov. 17, 2021 |
Finite-Lived Intangible Assets [Line Items] | |||||||
Goodwill, impairment loss | $ 0 | $ 10.7 | $ 47.7 | ||||
Indefinite-lived intangible asset impairment | 0 | 83.3 | 0 | ||||
Goodwill | 484.6 | 238 | |||||
Amortization of intangible assets | 1.1 | 0.9 | 0.9 | ||||
Amortization of intangible liabilities | 3.3 | 5.4 | 5.5 | ||||
Diamonds Direct USA Inc. | |||||||
Finite-Lived Intangible Assets [Line Items] | |||||||
Intangible assets | $ 126 | ||||||
Goodwill | $ 241.9 | ||||||
North America | |||||||
Finite-Lived Intangible Assets [Line Items] | |||||||
Goodwill, impairment loss | $ 10.7 | $ 47.7 | 10.7 | ||||
Acquisitions | 246.6 | ||||||
Goodwill | $ 484.6 | $ 238 | $ 248.8 | ||||
North America | Zales | |||||||
Finite-Lived Intangible Assets [Line Items] | |||||||
Goodwill, impairment loss | 35.2 | ||||||
Indefinite-lived intangible asset impairment | $ 83.3 | ||||||
North America | R2Net Inc. | |||||||
Finite-Lived Intangible Assets [Line Items] | |||||||
Goodwill, impairment loss | $ 12.5 | ||||||
North America | Rocksbox | |||||||
Finite-Lived Intangible Assets [Line Items] | |||||||
Finite-lived intangible assets acquired | $ 11.6 | ||||||
Acquisitions | $ 4.7 | ||||||
Acquired finite-lived intangible assets, weighted average useful life | 8 years |
Goodwill and intangibles - Summ
Goodwill and intangibles - Summary of Goodwill (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||
May 02, 2020 | Aug. 03, 2019 | Jan. 29, 2022 | Jan. 30, 2021 | Feb. 01, 2020 | |
Goodwill [Roll Forward] | |||||
Beginning balance | $ 238 | ||||
Impairment | 0 | $ (10.7) | $ (47.7) | ||
Ending balance | 484.6 | 238 | |||
Accumulated impairment losses | 576 | 576 | |||
North America | |||||
Goodwill [Roll Forward] | |||||
Beginning balance | $ 248.8 | 238 | 248.8 | ||
Impairment | $ (10.7) | $ (47.7) | (10.7) | ||
Acquisitions | 246.6 | ||||
Impact of foreign exchange | (0.1) | ||||
Ending balance | $ 484.6 | $ 238 | $ 248.8 |
Goodwill and intangibles - Comp
Goodwill and intangibles - Composition of Intangible Assets and Liabilities (Details) - USD ($) $ in Millions | Jan. 29, 2022 | Jan. 30, 2021 |
Intangible assets, net: | ||
Definite-lived intangible assets, gross carrying amount | $ 15.8 | $ 5.6 |
Definite-lived intangible assets, accumulated amortization | (5.3) | (4.2) |
Net carrying amount | 10.5 | 1.4 |
Indefinite-lived intangible assets | 303.7 | 177.6 |
Intangible assets, gross | 319.5 | 183.2 |
Intangible assets, net | 314.2 | 179 |
Definite-lived intangible liabilities: | ||
Gross carrying amount | (38) | (38) |
Accumulated amortization | 30.8 | 27.5 |
Total | $ (7.2) | $ (10.5) |
Goodwill and intangibles - Su_2
Goodwill and intangibles - Summary of Future Amortization (Details) - USD ($) $ in Millions | Jan. 29, 2022 | Jan. 30, 2021 |
Intangible assets amortization | ||
Fiscal 2023 | $ 2.4 | |
Fiscal 2024 | 1.9 | |
Fiscal 2025 | 1.3 | |
Fiscal 2026 | 1.2 | |
Fiscal 2027 | 1.2 | |
Thereafter | 2.5 | |
Net carrying amount | 10.5 | $ 1.4 |
Intangible liabilities amortization | ||
Fiscal 2023 | (1.8) | |
Fiscal 2024 | (1.8) | |
Fiscal 2025 | (1.8) | |
Fiscal 2026 | (1.8) | |
Fiscal 2027 | 0 | |
Thereafter | 0 | |
Total | $ (7.2) | $ (10.5) |
Investments - Summary of Availa
Investments - Summary of Available-for-sale Securities (Details) - USD ($) $ in Millions | Jan. 29, 2022 | Jan. 30, 2021 |
Debt Securities, Available-for-sale [Line Items] | ||
Total investment in debt securities | $ 12.1 | $ 14.9 |
Unrealized Gain (Loss) | 0.2 | 0.5 |
Fair Value | 12.3 | 15.4 |
US Treasury securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Total investment in debt securities | 4.5 | 5.6 |
Unrealized Gain (Loss) | 0 | 0.1 |
Fair Value | 4.5 | 5.7 |
US government agency securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Total investment in debt securities | 2 | 3.1 |
Unrealized Gain (Loss) | 0 | 0.1 |
Fair Value | 2 | 3.2 |
Corporate bonds and notes | ||
Debt Securities, Available-for-sale [Line Items] | ||
Total investment in debt securities | 5.6 | 6.2 |
Unrealized Gain (Loss) | 0.2 | 0.3 |
Fair Value | $ 5.8 | $ 6.5 |
Investments - Additional Inform
Investments - Additional Information (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 29, 2022 | Jan. 30, 2021 | Feb. 01, 2020 | |
Debt Securities, Available-for-sale [Line Items] | |||
Realized gains | $ 0 | $ 0 | $ 1 |
Realized losses | 0 | 0 | |
Available-for-sale Securities | |||
Debt Securities, Available-for-sale [Line Items] | |||
Assets held by insurance regulators | $ 3.3 | $ 3.4 |
Investments - Summary of Invest
Investments - Summary of Investments in Debt Securities Outstanding (Details) - USD ($) $ in Millions | Jan. 29, 2022 | Jan. 30, 2021 |
Cost | ||
Less than one year | $ 4.1 | |
Year two through year five | 7 | |
Year six through year ten | 1 | |
Total investment in debt securities | 12.1 | $ 14.9 |
Fair Value | ||
Less than one year | 4.2 | |
Year two through year five | 7.1 | |
Year six through year ten | 1 | |
Fair Value | $ 12.3 | $ 15.4 |
Derivatives - Additional Inform
Derivatives - Additional Information (Details) oz in Thousands | 12 Months Ended | ||
Jan. 29, 2022USD ($) | Jan. 30, 2021USD ($)oz | Mar. 31, 2015USD ($) | |
Maximum | |||
Derivative [Line Items] | |||
Remaining settlement period | 12 months | ||
Cash Flow Hedging | |||
Derivative [Line Items] | |||
Expected pre-tax derivative losses | $ 400,000 | ||
Interest rate swaps | |||
Derivative [Line Items] | |||
Aggregate notional amount | $ 300,000,000 | ||
Foreign currency contracts | Not Designated as Hedging Instrument | |||
Derivative [Line Items] | |||
Aggregate notional amount | 93,800,000 | $ 107,600,000 | |
Foreign currency contracts | Cash Flow Hedging | |||
Derivative [Line Items] | |||
Aggregate notional amount | $ 11,200,000 | $ 12,500,000 | |
Remaining settlement period | 10 months | 12 months | |
Commodity contracts | Cash Flow Hedging | |||
Derivative [Line Items] | |||
Ounces of gold | oz | 1 |
Derivatives - Fair Value of Pre
Derivatives - Fair Value of Presentation of Derivative Assets and Liabilities (Details) - USD ($) $ in Millions | Jan. 29, 2022 | Jan. 30, 2021 |
Derivatives, Fair Value [Line Items] | ||
Fair value of derivative assets | $ 0.3 | $ 0.1 |
Fair value of derivative liabilities | (1.3) | (0.4) |
Designated as Hedging Instrument | ||
Derivatives, Fair Value [Line Items] | ||
Fair value of derivative liabilities | 0 | (0.4) |
Foreign currency contracts | Designated as Hedging Instrument | Other current assets | ||
Derivatives, Fair Value [Line Items] | ||
Fair value of derivative assets | 0.3 | 0 |
Foreign currency contracts | Designated as Hedging Instrument | Other current liabilities | ||
Derivatives, Fair Value [Line Items] | ||
Fair value of derivative liabilities | 0 | (0.3) |
Foreign currency contracts | Not Designated as Hedging Instrument | Other current assets | ||
Derivatives, Fair Value [Line Items] | ||
Fair value of derivative assets | 0 | 0.1 |
Foreign currency contracts | Not Designated as Hedging Instrument | Other current liabilities | ||
Derivatives, Fair Value [Line Items] | ||
Fair value of derivative liabilities | (1.3) | 0 |
Commodity contracts | Designated as Hedging Instrument | Other current liabilities | ||
Derivatives, Fair Value [Line Items] | ||
Fair value of derivative liabilities | $ 0 | $ (0.1) |
Derivatives - Derivatives Desig
Derivatives - Derivatives Designated as Cash Flow Hedges (Details) - Cash Flow Hedging - USD ($) $ in Millions | Jan. 29, 2022 | Jan. 30, 2021 | Feb. 01, 2020 |
Derivative [Line Items] | |||
Pre-tax gains (losses) recorded in AOCI | $ 0.5 | $ (1.1) | |
Foreign currency contracts | |||
Derivative [Line Items] | |||
Pre-tax gains (losses) recorded in AOCI | 0.5 | (0.7) | $ (1) |
Commodity contracts | |||
Derivative [Line Items] | |||
Pre-tax gains (losses) recorded in AOCI | $ 0 | $ (0.4) | $ 17.7 |
Derivatives - Derivative Instru
Derivatives - Derivative Instruments Designated as Cash Flow Hedges in OCI (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 29, 2022 | Jan. 30, 2021 | Feb. 01, 2020 | |
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||
Current period gains (losses) recognized in OCI | $ 0.6 | $ (1) | $ 14.8 |
(Gains) losses reclassified from AOCI to net income | 1 | (16.8) | (3.4) |
Cash Flow Hedging | |||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||
Gains (losses) recorded in AOCI, beginning of period | (1.1) | ||
Gains (losses) recorded in AOCI, end of period | 0.5 | (1.1) | |
Foreign currency contracts | Cash Flow Hedging | |||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||
Gains (losses) recorded in AOCI, beginning of period | (0.7) | (1) | |
Current period gains (losses) recognized in OCI | 0.6 | 0.9 | |
Gains (losses) recorded in AOCI, end of period | 0.5 | (0.7) | (1) |
Foreign currency contracts | Cash Flow Hedging | Cost of sales | |||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||
(Gains) losses reclassified from AOCI to net income | 0.6 | 0 | |
Foreign currency contracts | Cash Flow Hedging | Other Operating Income (Expense) | |||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||
(Gains) losses reclassified from AOCI to net income | 0 | (0.6) | |
Commodity contracts | Cash Flow Hedging | |||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||
Gains (losses) recorded in AOCI, beginning of period | (0.4) | 17.7 | |
Current period gains (losses) recognized in OCI | 0 | (1.9) | |
Gains (losses) recorded in AOCI, end of period | 0 | (0.4) | $ 17.7 |
Commodity contracts | Cash Flow Hedging | Cost of sales | |||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||
(Gains) losses reclassified from AOCI to net income | 0.4 | (6.9) | |
Commodity contracts | Cash Flow Hedging | Other Operating Income (Expense) | |||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||
(Gains) losses reclassified from AOCI to net income | $ 0 | $ (9.3) |
Derivatives - Derivatives Not D
Derivatives - Derivatives Not Designated as Hedging Instruments (Details) - USD ($) $ in Millions | 12 Months Ended | |
Jan. 29, 2022 | Jan. 30, 2021 | |
Not Designated as Hedging Instrument | Foreign currency contracts | Other operating income (loss) | ||
Derivative [Line Items] | ||
Foreign currency contracts not designated as hedging | $ (3.1) | $ 2.2 |
Fair value measurement - Fair V
Fair value measurement - Fair Value of Assets and Liabilities (Details) - USD ($) $ in Millions | Jan. 29, 2022 | Jan. 30, 2021 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets | $ 12.6 | $ 15.5 |
Liabilities | (1.3) | (0.4) |
US Treasury securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets | 4.5 | 5.7 |
US government agency securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets | 2 | 3.2 |
Corporate bonds and notes | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets | 5.8 | 6.5 |
Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets | 4.5 | 5.7 |
Liabilities | 0 | 0 |
Level 1 | US Treasury securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets | 4.5 | 5.7 |
Level 1 | US government agency securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets | 0 | 0 |
Level 1 | Corporate bonds and notes | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets | 0 | 0 |
Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets | 8.1 | 9.8 |
Liabilities | (1.3) | (0.4) |
Level 2 | US Treasury securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets | 0 | 0 |
Level 2 | US government agency securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets | 2 | 3.2 |
Level 2 | Corporate bonds and notes | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets | 5.8 | 6.5 |
Foreign currency contracts | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets | 0.3 | 0.1 |
Liabilities | (1.3) | (0.3) |
Foreign currency contracts | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets | 0 | 0 |
Liabilities | 0 | 0 |
Foreign currency contracts | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets | 0.3 | 0.1 |
Liabilities | (1.3) | (0.3) |
Commodity contracts | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Liabilities | 0 | (0.1) |
Commodity contracts | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Liabilities | 0 | 0 |
Commodity contracts | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Liabilities | $ 0 | $ (0.1) |
Fair value measurement - Narrat
Fair value measurement - Narrative (Details) - USD ($) $ in Millions | 1 Months Ended | 3 Months Ended | |
Jun. 30, 2018 | Aug. 04, 2018 | Jul. 31, 2021 | |
Fair Value Disclosures [Abstract] | |||
Sale of receivables. percentage deferred until second anniversary | 5.00% | 5.00% | |
Deferred payment, fair value disclosure | $ 23.5 |
Fair value measurement - Outsta
Fair value measurement - Outstanding Debt (Details) - Senior Notes - Level 2 - USD ($) $ in Millions | Jan. 29, 2022 | Jan. 30, 2021 |
Carrying Value | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Outstanding debt | $ 147.1 | $ 146.7 |
Fair Value | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Outstanding debt | $ 150 | $ 145.1 |
Retirement plans - Additional I
Retirement plans - Additional Information (Details) £ in Millions, $ in Millions | Aug. 09, 2021GBP (£) | Aug. 09, 2021USD ($) | Jul. 29, 2021GBP (£)employee | Jul. 29, 2021USD ($)employee | Jan. 29, 2022USD ($)plan | Jan. 30, 2021USD ($) | Feb. 01, 2020USD ($) |
Defined Benefit Plan Disclosure [Line Items] | |||||||
Number of pension scheme members | employee | 1,909 | 1,909 | |||||
Defined contribution plan, plan assets, amount | $ 22.7 | $ 21.7 | |||||
Liability, defined contribution plan | 32.4 | 33.3 | |||||
Life Insurance | |||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||
Defined contribution plan, plan assets, amount | 6 | 6.3 | |||||
Pension plan | |||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||
Employer discretionary contribution amount | $ 13 | 3.2 | $ 9.1 | ||||
Employer matching contribution, percent of match | 50.00% | ||||||
Employer matching contribution, maximum, percent of employees' gross pay | 6.00% | ||||||
Number of US non-qualified deferred compensation plans | plan | 2 | ||||||
Cost recognized | $ 2.2 | 0.8 | 3.6 | ||||
Foreign Plan | Pension plan | |||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||
Actuarial loss | 67.4 | 1.4 | |||||
Future amortization of gain (loss) | (3.7) | ||||||
Future amortization of prior service cost | 0.3 | ||||||
Accumulated benefit obligation | 303.3 | 247.6 | |||||
Employer contributions | 12.4 | 4.4 | |||||
Employer discretionary contribution amount | $ 2.4 | $ 2.4 | $ 2.4 | ||||
Foreign Plan | Pension plan | NAV | Fixed income | |||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||
Period of delay due to certain restrictions on withdrawals | 16 months | ||||||
Foreign Plan | Pension plan | Maximum | |||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||
Estimated future employer contributions in next fiscal year | $ 10 | ||||||
Signet Group Limited | Pension plan | |||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||
Defined benefit plan, expected future employer contributions, amount | £ 16.9 | $ 22.6 | |||||
Defined benefit plan, initial contribution amount | £ 7 | $ 9.7 | |||||
Actuarial loss | £ 53.3 | $ 72.9 |
Retirement plans - Change in UK
Retirement plans - Change in UK Plan Assets (Details) - Pension plan - Foreign Plan - USD ($) $ in Millions | 12 Months Ended | |
Jan. 29, 2022 | Jan. 30, 2021 | |
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | ||
Fair value at beginning of year | $ 299.2 | $ 281.9 |
Actual return on UK Plan assets | (0.3) | 11.9 |
Employer contributions | 12.4 | 4.4 |
Benefits paid | (8.9) | (9.8) |
Foreign currency translation | (6.8) | 10.8 |
Fair value at end of year | $ 295.6 | $ 299.2 |
Retirement plans - Change in _2
Retirement plans - Change in UK Benefit Obligation (Details) - Pension plan - Foreign Plan - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 29, 2022 | Jan. 30, 2021 | Feb. 01, 2020 | |
Defined Benefit Plan, Change in Benefit Obligation [Roll Forward] | |||
Benefit obligation at beginning of year | $ 247.6 | $ 243.4 | |
Interest cost | 3.3 | 4 | $ 5.5 |
Actuarial loss | 67.4 | 1.4 | |
Benefits paid | (8.9) | (9.8) | |
Foreign currency translation | (6.1) | 8.6 | |
Benefit obligation at end of year | 303.3 | 247.6 | $ 243.4 |
Funded status at end of year | $ (7.7) | $ 51.6 |
Retirement plans - Components o
Retirement plans - Components of UK Net Asset Recognized (Details) - Pension plan - Foreign Plan - USD ($) $ in Millions | Jan. 29, 2022 | Jan. 30, 2021 |
Defined Benefit Plan Disclosure [Line Items] | ||
Other assets (non current) | $ 0 | $ 51.6 |
Other liabilities (non-current) | $ (7.7) | $ 0 |
Retirement plans - AOCI Items n
Retirement plans - AOCI Items not yet Recognized (Details) - Pension plan - Foreign Plan - USD ($) $ in Millions | Jan. 29, 2022 | Jan. 30, 2021 | Feb. 01, 2020 |
Defined Benefit Plan Disclosure [Line Items] | |||
Net actuarial losses | $ (103.3) | $ (47.2) | $ (52.4) |
Net prior service costs | $ (3.9) | $ (4) | $ (4.1) |
Retirement plans - Components_2
Retirement plans - Components of Net Periodic Pension Cost (Details) - Pension plan - Foreign Plan - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 29, 2022 | Jan. 30, 2021 | Feb. 01, 2020 | |
Defined Benefit Plan Disclosure [Line Items] | |||
Service cost | $ 0 | $ 0 | $ (0.7) |
Interest cost | (3.3) | (4) | (5.5) |
Expected return on UK Plan assets | 3 | 5.5 | 7.8 |
Amortization of unrecognized actuarial losses | (2.1) | (0.9) | (1.2) |
Amortization of unrecognized net prior service costs | (0.1) | (0.1) | 0 |
Total net periodic benefit (cost) income | (2.5) | 0.5 | 0.4 |
Other changes in assets and benefit obligations recognized in OCI | (69.2) | 6.5 | 1.7 |
Total recognized in net periodic pension benefit (cost) and OCI | $ (71.7) | $ 7 | $ 2.1 |
Retirement plans - Assumptions
Retirement plans - Assumptions used to Determine Benefit Obligations and Periodic Pension Costs (Details) - Pension plan - Foreign Plan | 12 Months Ended | |
Jan. 29, 2022 | Jan. 30, 2021 | |
Assumptions used to determine benefit obligations (at the end of the year): | ||
Discount rate | 1.25% | 1.60% |
Assumptions used to determine net periodic pension costs (at the start of the year): | ||
Discount rate | 0.80% | 1.70% |
Expected return on UK Plan assets | 0.80% | 2.20% |
Retirement plans - Fair Value M
Retirement plans - Fair Value Measurements of Plan Assets (Details) - Foreign Plan - Pension plan - USD ($) $ in Millions | Jan. 29, 2022 | Jan. 30, 2021 | Feb. 01, 2020 |
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | $ 295.6 | $ 299.2 | $ 281.9 |
Fair Value, Inputs, Level 1, 2 and 3 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 295.6 | 278.7 | |
Level 1 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 4 | 209.5 | |
Level 2 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | 69.2 | |
Level 3 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 291.6 | 0 | |
Diversified equity securities | Fair Value, Inputs, Level 1, 2 and 3 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | 13 | |
Diversified equity securities | Level 1 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
Diversified equity securities | Level 2 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | 13 | |
Diversified equity securities | Level 3 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | ||
Diversified growth funds | Fair Value, Inputs, Level 1, 2 and 3 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | 44.4 | |
Diversified growth funds | Level 1 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | 44.4 | |
Diversified growth funds | Level 2 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
Diversified growth funds | Level 3 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | ||
Fixed income – government bonds | Fair Value, Inputs, Level 1, 2 and 3 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | 161.4 | |
Fixed income – government bonds | Level 1 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | 161.4 | |
Fixed income – government bonds | Level 2 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
Fixed income – government bonds | Level 3 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | ||
Corporate bonds and notes | Fair Value, Inputs, Level 1, 2 and 3 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | 56.2 | |
Corporate bonds and notes | Level 1 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
Corporate bonds and notes | Level 2 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | 56.2 | |
Corporate bonds and notes | Level 3 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | ||
Insurance contracts | Fair Value, Inputs, Level 1, 2 and 3 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 291.6 | 0 | |
Insurance contracts | Level 1 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
Insurance contracts | Level 2 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
Insurance contracts | Level 3 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 291.6 | ||
Cash | Fair Value, Inputs, Level 1, 2 and 3 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 4 | 3.7 | |
Cash | Level 1 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 4 | 3.7 | |
Cash | Level 2 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
Cash | Level 3 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | ||
Fixed income | NAV | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | 18 | |
Property | NAV | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | $ 0 | $ 2.5 |
Retirement plans - Future Benef
Retirement plans - Future Benefits Payments Estimated to be Paid (Details) - Pension plan - Foreign Plan $ in Millions | Jan. 29, 2022USD ($) |
Defined Benefit Plan Disclosure [Line Items] | |
Fiscal 2023 | $ 9.4 |
Fiscal 2024 | 9.4 |
Fiscal 2025 | 9.3 |
Fiscal 2026 | 9.5 |
Fiscal 2027 | 9.4 |
Next five fiscal years | $ 48.2 |
Retirement plans - Changes in F
Retirement plans - Changes in Fair Value of Level 3 Investment Assets (Details) - Pension plan - Foreign Plan - USD ($) $ in Millions | 12 Months Ended | |
Jan. 29, 2022 | Jan. 30, 2021 | |
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | ||
Fair value at beginning of year | $ 299.2 | $ 281.9 |
Actual return on assets, assets still held at reporting date | (0.3) | 11.9 |
Foreign currency translation | (6.8) | 10.8 |
Fair value at end of year | 295.6 | 299.2 |
Level 3 | ||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | ||
Fair value at beginning of year | 0 | |
Purchases, sales, and settlements, net | 318.3 | |
Actual return on assets, assets still held at reporting date | (16.8) | |
Foreign currency translation | (9.9) | |
Fair value at end of year | $ 291.6 | $ 0 |
Retirement plans - Fair Value o
Retirement plans - Fair Value of Unfunded, Non-qualified Deferred Compensation Plans Assets (Details) - USD ($) $ in Millions | Jan. 29, 2022 | Jan. 30, 2021 |
Defined Contribution Plan Disclosure [Line Items] | ||
Defined contribution plan, plan assets, amount | $ 22.7 | $ 21.7 |
Mutual funds | ||
Defined Contribution Plan Disclosure [Line Items] | ||
Defined contribution plan, plan assets, amount | 12.4 | 5 |
Level 1 | ||
Defined Contribution Plan Disclosure [Line Items] | ||
Defined contribution plan, plan assets, amount | 12.4 | 5 |
Level 1 | Mutual funds | ||
Defined Contribution Plan Disclosure [Line Items] | ||
Defined contribution plan, plan assets, amount | 12.4 | 5 |
NAV | Money market mutual funds | ||
Defined Contribution Plan Disclosure [Line Items] | ||
Defined contribution plan, plan assets, amount | $ 10.3 | $ 16.7 |
Loans, overdrafts and long-te_3
Loans, overdrafts and long-term debt - Summary (Details) - USD ($) $ in Millions | Jan. 29, 2022 | Jan. 30, 2021 |
Debt Instrument [Line Items] | ||
Total debt | $ 147.7 | $ 147.6 |
Less: Unamortized capitalized debt issuance fees | (0.6) | (0.9) |
Total long-term debt | 147.1 | 146.7 |
Senior Notes, net of unamortized discount | Senior Unsecured Notes | ||
Debt Instrument [Line Items] | ||
Total debt | $ 147.7 | $ 147.6 |
Loans, overdrafts and long-te_4
Loans, overdrafts and long-term debt - Schedule of Maturities of Long-term Debt (Details) - USD ($) $ in Millions | Jan. 29, 2022 | Jan. 30, 2021 |
Debt Disclosure [Abstract] | ||
Fiscal 2023 | $ 0 | |
Fiscal 2024 | 0 | |
Fiscal 2025 | 147.7 | |
Fiscal 2026 | 0 | |
Fiscal 2027 | 0 | |
Thereafter | 0 | |
Gross Debt | $ 147.7 | $ 147.6 |
Loans, overdrafts and long-te_5
Loans, overdrafts and long-term debt - Additional Information (Detail) | Sep. 27, 2019USD ($) | Jul. 31, 2021USD ($) | Jan. 30, 2021USD ($) | May 02, 2020USD ($) | Jan. 29, 2022USD ($) | Jan. 30, 2021USD ($) | Feb. 01, 2020USD ($) | Jul. 28, 2021USD ($) | May 19, 2014USD ($) |
Debt Instrument [Line Items] | |||||||||
Repayments of senior debt | $ 0 | $ 0 | $ 241,500,000 | ||||||
Gain on extinguishment of debt | 0 | (400,000) | 6,200,000 | ||||||
Payment of debt issuance costs | 3,900,000 | 0 | 9,300,000 | ||||||
Proceeds from revolving credit facilities | 0 | 900,000,000 | 858,300,000 | ||||||
Senior Unsecured Notes Due in 2024 | Signet UK Finance plc | |||||||||
Debt Instrument [Line Items] | |||||||||
Face amount | $ 400,000,000 | ||||||||
Stated interest rate | 4.70% | ||||||||
Credit Facility | |||||||||
Debt Instrument [Line Items] | |||||||||
Unamortized debt issuance costs | 2,000,000 | ||||||||
Senior Unsecured Notes Due in 2024 | Senior Notes | |||||||||
Debt Instrument [Line Items] | |||||||||
Unamortized debt issuance costs | 2,600,000 | ||||||||
Repayments of senior debt | $ 239,600,000 | ||||||||
Redemption price per $1,000 of principal amount | 950 | ||||||||
Gain on extinguishment of debt | 8,200,000 | ||||||||
Payment for debt extinguishment third party fees | 1,900,000 | ||||||||
Unamortized debt issuance expense | $ 900,000 | 600,000 | 900,000 | ||||||
Amortization related to capitalized fees | 300,000 | 200,000 | 600,000 | ||||||
Senior Asset-Based Credit Facility | Line of Credit | |||||||||
Debt Instrument [Line Items] | |||||||||
Unamortized debt issuance expense | 6,400,000 | 8,300,000 | 6,400,000 | ||||||
Amortization related to capitalized fees | 2,000,000 | $ 1,700,000 | $ 600,000 | ||||||
Term Loan Facility | |||||||||
Debt Instrument [Line Items] | |||||||||
Unamortized debt issuance costs | $ 400,000 | ||||||||
Term Loan Facility | Senior Asset-Based Credit Facility | Line of Credit | |||||||||
Debt Instrument [Line Items] | |||||||||
Face amount | $ 100,000,000 | ||||||||
Term Loan Facility | Senior Asset-Based Credit Facility | Revolving Credit Facility | |||||||||
Debt Instrument [Line Items] | |||||||||
Interest rate at period end | 1.70% | 1.40% | 1.70% | ||||||
Revolving Credit Facility | Senior Asset-Based Credit Facility | Line of Credit | |||||||||
Debt Instrument [Line Items] | |||||||||
Credit facility, maximum borrowing capacity | $ 1,500,000,000 | ||||||||
Additional borrowing capacity | $ 600,000,000 | ||||||||
Payment of debt issuance costs | $ 3,900,000 | ||||||||
Stand-by letters of credit | $ 19,000,000 | $ 20,100,000 | $ 19,000,000 | ||||||
Line of credit facility, remaining borrowing capacity | $ 1,300,000,000 | $ 1,200,000,000 | $ 1,300,000,000 | ||||||
Proceeds from revolving credit facilities | $ 900,000,000 | ||||||||
Covenant, minimum coverage ratio | 1 | ||||||||
Debt covenant, fixed covenant ratio threshold | $ 119,000,000 | ||||||||
Capitalized fees | $ 12,600,000 |
Accrued expenses and other cu_3
Accrued expenses and other current liabilities - Accrued Expenses and Other Current Liabilities (Detail) - USD ($) $ in Millions | Jan. 29, 2022 | Jan. 30, 2021 |
Payables and Accruals [Abstract] | ||
Accrued compensation and benefits | $ 138.2 | $ 111.6 |
Accrued advertising | 30.5 | 52.3 |
Other taxes | 64.4 | 69.3 |
Payroll taxes | 25.9 | 27.5 |
Accrued expenses | 242.6 | 233.4 |
Total accrued expenses and other current liabilities | $ 501.6 | $ 494.1 |
Accrued expenses and other cu_4
Accrued expenses and other current liabilities - Additional Information (Detail) | 12 Months Ended |
Jan. 29, 2022 | |
Payables and Accruals [Abstract] | |
Lifetime diamond guarantee inspection period | 6 months |
Accrued expenses and other cu_5
Accrued expenses and other current liabilities - Summary of Activity in Warranty Reserve (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 29, 2022 | Jan. 30, 2021 | Feb. 01, 2020 | |
Movement in Standard Product Warranty Accrual [Roll Forward] | |||
Balance at beginning of period | $ 37.3 | $ 36.3 | $ 33.2 |
Warranty expense | 8.7 | 8.5 | 13.5 |
Utilized | (10) | (7.5) | (10.4) |
Balance at end of period | $ 36 | $ 37.3 | $ 36.3 |
Accrued expenses and other cu_6
Accrued expenses and other current liabilities - Components of Warranty Reserve (Details) - USD ($) $ in Millions | Jan. 29, 2022 | Jan. 30, 2021 | Feb. 01, 2020 | Feb. 02, 2019 |
Payables and Accruals [Abstract] | ||||
Current liabilities | $ 10.2 | $ 10.7 | ||
Other liabilities - non-current (see Note 26) | 25.8 | 26.6 | ||
Included within accrued expenses above | $ 36 | $ 37.3 | $ 36.3 | $ 33.2 |
Other liabilities - non-curre_3
Other liabilities - non-current - Summary of Other Liabilities (Details) - USD ($) $ in Millions | Jan. 29, 2022 | Jan. 30, 2021 |
Other Liabilities Disclosure [Abstract] | ||
Deferred compensation | $ 29.6 | $ 25.5 |
Warranty reserve | 25.8 | 26.6 |
Other liabilities | 54.5 | 59 |
UK pension | 7.7 | 0 |
Total other liabilities | $ 117.6 | $ 111.1 |
Share-based compensation - Shar
Share-based compensation - Share-based Compensation Expense (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 29, 2022 | Jan. 30, 2021 | Feb. 01, 2020 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Income tax benefit | $ (5.9) | $ (3.6) | $ (4.2) |
Selling, general and administrative expenses | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share-based compensation expense | $ 45.8 | $ 14.5 | $ 16.9 |
Share-based compensation - Narr
Share-based compensation - Narrative (Details) $ / shares in Units, $ in Millions | 12 Months Ended | ||
Jan. 29, 2022USD ($)share_option_savings_plan$ / sharesshares | Jan. 30, 2021shares | Feb. 01, 2020 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Common Shares with no vesting requirements awarded to senior management | $ | $ 1.3 | ||
Shares granted | 0 | 0 | |
Number of share option savings plans | share_option_savings_plan | 3 | ||
Omnibus Plan | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Performance period | 2 years | 2 years | 3 years |
Shares available for grant (in shares) | 6,075,000 | ||
Employee Share Savings Plan | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Discount from market price | 5.00% | ||
Number of allocated shares (in shares) | 1,250,000 | ||
Sharesave Plans | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Vesting period | 36 months | ||
Discount from market price | 15.00% | ||
Number of allocated shares (in shares) | 1,000,000 | ||
Shares exercisable (shares) | 100,000 | ||
Weighted average exercise price, shares exercisable (usd per share) | $ / shares | $ 43.72 | ||
Minimum | Sharesave Plans | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Vesting period | 36 months | ||
Maximum | Sharesave Plans | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Vesting period | 42 months | ||
Restricted Stock | Omnibus Plan | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Vesting period | 3 years | ||
Stock Options | Omnibus Plan | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Award requisite service period | 10 years | ||
Time-Based Restricted Stock Units | Minimum | Omnibus Plan | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Vesting period | 1 year | ||
Time-Based Restricted Stock Units | Maximum | Omnibus Plan | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Vesting period | 3 years |
Share-based compensation - Unre
Share-based compensation - Unrecognized Compensation Costs related to Awards (Details) $ in Millions | 12 Months Ended |
Jan. 29, 2022USD ($) | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Unrecognized Compensation Cost | $ 50.4 |
Omnibus Plan | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Unrecognized Compensation Cost | $ 50.4 |
Weighted average period | 1 year 10 months 24 days |
Share-based compensation - Sign
Share-based compensation - Significant Assumptions used to Estimate Fair Value of Awards under Omnibus Plan (Details) - Omnibus Plan - $ / shares | 12 Months Ended | ||
Jan. 29, 2022 | Jan. 30, 2021 | Feb. 01, 2020 | |
Restricted Stock, Restricted Stock Units and Common Shares | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share price (usd per share) | $ 60.65 | $ 11.10 | $ 20.76 |
Expected term | 2 years 10 months 24 days | 2 years 10 months 24 days | 2 years 9 months 18 days |
Dividend yield | 4.30% | 5.50% | 7.50% |
Weighted average grant date fair value per share of awards granted (usd per share) | $ 53.58 | $ 9.37 | $ 18.14 |
Stock Options | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share price (usd per share) | 22.17 | ||
Exercise price (usd per share) | $ 25.18 | ||
Risk free interest rate | 2.40% | ||
Expected term | 6 years | ||
Expected volatility | 42.70% | ||
Dividend yield | 6.70% | ||
Weighted average grant date fair value per share of awards granted (usd per share) | $ 4.27 |
Share-based compensation - Summ
Share-based compensation - Summary of Activity of Awards Granted under Omnibus Plan (Details) - Omnibus Plan - Restricted Stock, Restricted Stock Units and Common Shares - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 12 Months Ended | |
Jan. 29, 2022 | Jan. 30, 2021 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | ||
Beginning Balance (shares) | 4.8 | |
Granted (shares) | 1 | |
Vested (shares) | (0.9) | |
Lapsed or forfeited (shares) | (0.6) | |
Ending Balance (shares) | 4.3 | 4.8 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Nonvested, Weighted Average Grant Date Fair Value [Abstract] | ||
Beginning Balance (usd per share) | $ 15.24 | |
Granted (usd per share) | 54.22 | |
Vested (usd per share) | 10.90 | |
Lapsed or forfeited (usd per share) | 37.06 | |
Ending Balance (usd per share) | $ 22.28 | $ 15.24 |
Weighted average remaining contractual life | 1 year 1 month 6 days | 1 year 9 months 18 days |
Intrinsic value | $ 369.3 | $ 192.3 |
Share-based compensation - Su_2
Share-based compensation - Summary of Activity of Stock Options Granted under Omnibus Plan (Details) - Omnibus Plan - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 12 Months Ended | |
Jan. 29, 2022 | Jan. 30, 2021 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward] | ||
Beginning Balance (shares) | 0.5 | |
Vested (shares) | (0.3) | |
Ending Balance (shares) | 0.2 | 0.5 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Nonvested, Weighted Average Grant Date Fair Value [Abstract] | ||
Beginning Balance (usd per share) | $ 38.98 | |
Vested (usd per share) | 39.15 | |
Ending Balance (usd per share) | $ 38.70 | $ 38.98 |
Weighted average remaining contractual life | 6 years 3 months 18 days | 7 years 3 months 18 days |
Intrinsic value | $ 8.9 | $ 0.8 |
Share-based compensation - Addi
Share-based compensation - Additional Information about Awards Granted under Omnibus Plan (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 29, 2022 | Jan. 30, 2021 | Feb. 01, 2020 | |
Omnibus Plan | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Total intrinsic value of awards vested | $ 76.6 | $ 5 | $ 3.5 |
Commitments and contingencies -
Commitments and contingencies - Narrative (Details) $ in Millions | Mar. 16, 2020USD ($)action | Aug. 01, 2016plaintiff | Feb. 02, 2015plaintiff | Aug. 01, 2020USD ($) | Feb. 01, 2020USD ($) | Jan. 29, 2022USD ($)propertylease | Jan. 30, 2021USD ($) | Feb. 01, 2020USD ($) |
Loss Contingencies [Line Items] | ||||||||
Number of leases assigned | lease | 11 | |||||||
Number of properties subleased | property | 6 | |||||||
Capital commitments related to expansion and renovation of stores | $ 18.2 | $ 0 | ||||||
Loss related to litigation settlement | 1.7 | 7.5 | $ 33.2 | |||||
Environmental Protection Agency Collective Action | ||||||||
Loss Contingencies [Line Items] | ||||||||
Number of plaintiffs | plaintiff | 9,124 | 70,000 | ||||||
S.D.N.Y. Cases | ||||||||
Loss Contingencies [Line Items] | ||||||||
Payments for legal settlements | $ 35 | |||||||
Litigation settlement, amount awarded to other party | $ 240 | |||||||
Shareholder Actions | ||||||||
Loss Contingencies [Line Items] | ||||||||
Loss related to litigation settlement | $ 1.7 | $ 7.5 | ||||||
Loss contingency, new claims filed, number | action | 4 | |||||||
Other Operating Income (Expense) | S.D.N.Y. Cases | ||||||||
Loss Contingencies [Line Items] | ||||||||
Loss related to litigation settlement | $ 33.2 | |||||||
Litigation administration costs | $ 0.6 |