Signet Jewelers Limited · NYSE:SIG
Signet Jewelers — ICR XChange Conference 2014
23 slides from Signet Jewelers's conference presentation, Jan 13, 2014
Slide 1: ICR XChange Conference
Every kiss begins with Kay.® ICR XChange Conference Monday, January 13, 2014 1
Slide 2: Forward Looking Statements & Other Disclosure Matters
Forward Looking Statements & Other Disclosure Matters Forward-Looking Statements - This presentation contains statements which are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements, based upon management’s beliefs and expectations
Slide 3: Signet Jewelers’ Mission
Signet Jewelers’ Mission Celebrate life… And express love 3
Slide 4: Holiday Season & Fiscal 2014 Results
Holiday Season & Fiscal 2014 Results Increased Holiday Season* same store sales Kay and Jared comps, both up +5.6%, led the way UK Division up +5.2% Driven by sales teams, broad based strength in merchandising, and multi-channel approach Consolidated eCommerce sales increased 27.2% Dilut
Slide 5: About Signet: Today’s Agenda
About Signet: Today’s Agenda Store brands Strategic priorities Competitive strengths Outlet and US regional stores UK update Capital structure 5
Slide 6: #1 Specialty Jeweler US & UK
#1 Specialty Jeweler US & UK Kay Jewelers #1 Jewelry store in US Sales: ~$2.0B. Stores: 985 in 50 states Jared The Galleria of Jewelry #1 US Off-Mall Specialty Jeweler Sales: ~$1.0B. Stores: 199 in 39 states H.Samuel #1 in UK Sales: ~$0.4B. Stores: 307 Ernest Jones #2 in UK Sales: ~$0.3B. Stores: 18
Slide 7: Strategic Priorities
Strategic Priorities Maximize Best in Digital Mid-Market Bridal EcoSystem 7
Slide 8: Maximize Mid-Market
Maximize Mid-Market Build upon existing strategies Test and expand new sales concepts Grow service capabilities Remain flexible in how stores execute 8
Slide 9: Best in Bridal
Best in Bridal About 50% of sales are bridal related High level of customer service & tailored customer finance programs Leading branded diamond programs Establishes long-term customer relationships 9
Slide 10: Best-in-Class Digital Ecosystem
Best-in-Class Digital Ecosystem On-line Education Websites Center Search Engines Digital Social Advertising Media eMail eCommerce Signet eCommerce Sales, $m Mobile Customer Targeting 40.6% 150.0 36.5% $129.8 125.0 20% $28.4 100.0 $92.3 75.0 $67.6 $23.8 $20.6 50.0 $101.4 $68.5 25.0 $47.0 - Fiscal 201
Slide 11: Signet’s Competitive Strengths
Signet’s Competitive Strengths Drive Growth Outstanding customer experience driven by in-store teams, training, after-sale service, and digital technology capabilities Successful development and growth of branded differentiated and exclusive merchandise Sector leading advertising and creative
Slide 12: A Great Customer Experience
A Great Customer Experience Best-in-class, comprehensive customer service Focus on training and development of sales associates Leadership in application of technology to sales adds to customer experience 12
Slide 13: Branded Differentiated and Exclusive Merchandise
Branded Differentiated and Exclusive Merchandise High quality merchandise carefully selected, often uniquely designed Branded & exclusive merchandise fosters newness for customers and powerful selling propositions for sales associates Supported by television advertising & extensive digital rea
Slide 14: Leadership in Advertising Drives Sales
Leadership in Advertising Drives Sales Everyone knows Every Kiss Begins With Kay ® and He Went to Jared ® Outstanding, creative advertising engages customers emotionally and drives sales Industry-leading share of voice Every kiss begins with Kay® He went to Jared! ® 14
Slide 15: Kay and Jared Real Estate Update
Kay and Jared Real Estate Update Fiscal 2014 net square footage growth in US of 4% Kay #1 mall jeweler and growth continues Rapidly growing power centers & outlet mall representation Jared #1 off mall specialty retail jeweler Continuing to expand store base 15
Slide 16: Supply Chain Leadership
Supply Chain Leadership New strategic diamond sourcing initiative Buying office in India Diamond polishing factory acquisition, November 2013 Established vendors to remain majority source 16
Slide 17: In-house Customer Finance: Enables Purchase of Jewelry; Builds Customer Loyalty
In-house Customer Finance: Enables Purchase of Jewelry; Builds Customer Loyalty Supports bridal business Skilled credit risk management About 57% of US business transacted using in-house credit Average outstanding balance of ~$1,100 Rapid repayment period, typically under a year Credit c
Slide 18: Outlet Strategy Update
Outlet Strategy Update Effective Kay outlet development driven by: Kay branding New merchandise Advertising Credit penetration Nearly 160 stores 18
Slide 19: US Regional Stores Update
US Regional Stores Update Approximately 200 stores Profitable with strong cash flow Improving competitive position Success with promotional tactics Added tablets to all stores Launching eCommerce capability in April 19
Slide 20: UK Division Update
UK Division Update Ongoing efforts to improve business Merchandise and store operations Real estate optimization Cost control UK business profitable and cash flow positive Holiday Season improvement, +5.2% same store sales growth 20
Slide 21: Capital Structure
Capital Structure Designed for focus on financial flexibility and strength Provides the ability to execute a variety of future strategic opportunities Designed to manage risk and succeed in all phases of the retail business cycle All internal growth initiatives have been supported while main
Slide 22: Proven Financial Strength & Long-Term Performance
Proven Financial Strength & Long-Term Performance Achieved growth in comparable store sales Leading operating margins Excellent cost control while investing in growth drivers Successful capital allocation drives high returns, growth and shareholder value Strong, balanced capital structure
Slide 23: ICR XChange Conference
Every kiss begins with Kay.® ICR XChange Conference Monday, January 13, 2014 23