Signet Jewelers Ltd (NYSE:SIG) Q1 2019 Earnings Conference Call - Preliminary Transcript

Jun 06, 2018 • 08:30 am ET


Signet Jewelers Ltd (NYSE:SIG) Q1 2019 Earnings Conference Call - Preliminary Transcript


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Ladies and gentlemen, thank you for standing by. Welcome to the Signet Jewelers Limited First Quarter 2019 Results Conference Call. During the call, all participants will be in a listen-only mode. After the prepared comments, we will conduct a question-and-answer session. Instructions will be provided at that time. (Operator Instructions) Please note that this call is being recorded today, June 6, 2018 at 8:30 a.m. Eastern Time. I would now like to turn the meeting over to your host for today's call, Randi Abada, SVP of Investor Relations. Please go ahead, Randy.

Randi Abada

Good morning and welcome to our first quarter earnings conference call. On the call today are Signet's CEO, Gina Drosos and CFO, Michele Santana. During today's presentation, we will in places make certain forward-looking statements. Any statements that are not historical facts are subject to a number of risks and uncertainties and actual results may differ materially. We urge you to read the risk factors, cautionary language and other disclosures in our Annual Report on Form 10-K and quarterly reports on Form10-Q. Except as required by law, we undertake no obligation to revise or publicly update forward-looking statements in light of new information or future events.

During the call, we will discuss certain non-GAAP financial measures. For a discussion of the non-GAAP financial measures as well as reconciliations of the non-GAAP financial measures to the most directly comparable GAAP measures, investors should review the press release we posted on our website. I will now turn the call over to Gina.

Gina Drosos

Good morning, everyone and thank you for joining today's call. Today, Michelle and I will discuss Signet's first quarter which has a number of complexities impacting our results as well as update you on our early actions under our path to brilliance plan. We will then open the line for your questions. As discussed last quarter, our path to brilliance plan is designed to increase our cost competitiveness by driving out costs customers do not see or care about while enabling growth investments in our e-commerce and omni-channel capabilities, product and digital innovation, customer value and optimizing our real estate footprint.

This plan which is focused on three pillars: customer first, omni-channel and building a culture of agility and efficiency is intended to reposition Signet to be a shared gaining omni-channel jewelry category leader. While we are only two months into our three month transfer -- our three-year transformation plan, we have initiated a number of steps to build a strong foundation. Later on, I will spend time discussing some of these initiatives. Q1 showed signs of stabilization with same-store sales and earnings performance ahead of our guidance and we saw sequential improvement across majority of our core banners.

Additionally, with an intense focus on creating a seamless omni-channel experience, we once again achieved double-digit growth in e-commerce. We continue to see green shoots at Zales and Piercing Pagoda, which both achieved high single-digit same-store sales growth in the quarter and improved sequentially over a strong fourth quarter. Our