Signet Jewelers : 2026 Annual Report

Published: 2026-05-14 19:05:09 ET SIG

Published on 05/14/2026 at 07:05 pm EDT

Fiscal 2026

A N N U A L R E P O R T

About Us

Signet operates approximately 2,600 stores primarily under the name brands of Kay Jewelers, Zales, Jared, Blue Nile, Diamonds Direct, Banter by Piercing Pagoda, Peoples Jewellers, H.Samuel, and Ernest Jones. As a Purpose-driven and sustainability-focused company, Signet is a participant in the United Nations Global Compact and adheres to its principles-based approach to responsible business. Our sales derive from the retailing of jewelry, watches, and associated services. Signet's shares are listed on the New York Stock Exchange (SIG).

Our Portfolio of Brands

Meant to be worn, layered, and lived in, Zales takes fine jewelry out of its box, turning it into a coveted daily ritual inspiring women to wear it whenever, wherever.

With quality, style, and accessibility at the core, Banter gives you the freedom to explore and define your look on your own terms.

Redefining modern luxury through curated designer collections, personalized service, and bespoke design innovation.

Diamonds Direct combines exceptional quality with a welcoming, high-touch experience that transforms meaningful moments into lasting relationships.

A luxury natural diamond retailer offering

expert craftsmanship, exceptional quality, and a curated selection of

bridal and fashion jewelry for life's meaningful moments, both online and in stores.

America's 1 jewelry destination and the leader in love, KAY offers fine jewelry that feels personal and intentional, empowering every story, every love, everywhere.

Canada's leading fine jewellery retailer, offering quality styles at great value to express love

for every occasion-from engagements and birthdays to just because.

The UK and Ireland's most loved high street jeweller, bringing the joy of jewellery to everyday life through accessible style, gifting, and value.

The UK's leading diamond h fine jewellery specialist, helping people choose with confidence at life's most meaningful moments.

Providing expert jewelry services such as care, repair, and bespoke custom design, as well as payment options, warranty, and insurance products.

Where We Operate

A G

UNITED STATES

2,238

Stores

CANADA

Stores

UK AND REPUBLIC OF IRELAND

253

Stores

ISRAEL

Technology Centers

BOTSWANA

Diamond Polishing Factory

INDIA

Diamond Imaging and Quality Control Center

UAE

Distribution Center

$6.8B

Total Sales

GLOBALLY

21.8%

ECommerce Sales

27,097

Total Team Members

This Report contains 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, quarterly reports on Form 10-Q, and current reports on Form 8-K. 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.

This Report also discusses certain non-GAAP financial measures. For further discussion of the non-GAAP financial measures, as well as reconciliations of the non-GAAP financial measures to the most directly comparable GAAP measures, see Item 7 of the Company's Annual Report on Form 10-K.

Letter from the

McCluskey

Chair of the Board Helen

DEAR SHAREHOLDERS,

Fiscal 2026 marked an important period of transition and strategic progress for Signet under the leadership of our new CEO J.K. Symancyk. The Signet Board

of Directors (the "Board") partnered closely with management to maintain continuity of our Purpose, clarity of priorities, and discipline in execution, while continuing to emphasize strong governance and prudent risk oversight in support of the Company's long term strategic direction.

Signet navigated a rapidly shifting consumer and macroeconomic landscape, returning to positive same-store sales and adjusted operating income1 growth.

This progress reflects the dedication of our team members and management's consistent focus on execution and highlights the growing impact of our Grow Brand Love strategy.

Now in his second year at the helm, J.K.'s integrity, transparency, and openness to new ideas have supported organizational alignment and have been well received

by team members and shareholders. His leadership has reinforced Signet's commitment to its Purpose of

Inspiring Love while positioning the Company to adapt to changing market conditions.

BUILDING ON STRONG FOUNDATIONS

"Our Grow Brand Love strategy is reorienting Signet's business towards stronger performance, greater organizational accountability, and a simplified and enhanced operating structure, providing a framework for value creation."

Our Grow Brand Love strategy is reorienting Signet's business towards stronger performance, greater organizational accountability, and a simplified and enhanced operating structure, providing a framework for value creation.

Signet's management has approached this work with discipline and focus, sharpening brand positioning, strengthening assortment, and enhancing operational performance.

To support this execution, the Board utilizes its diverse strengths and experience to effectively guide and oversee management. Our Directors leverage their collective expertise across retail, digital transformation, finance, capital allocation, portfolio management, sustainability, and governance to support thoughtful decision making and robust risk oversight.

ELEVATING CORPORATE GOVERNANCE

As Signet continues to evolve, the Board remains focused on maintaining governance practices that are fit for the Company's scale, ambition, and risk profile. In Fiscal 2026, we enhanced our oversight through the establishment of a standalone Technology Committee,

reflecting the growing importance of data, digital infrastructure, and cybersecurity to Signet's resilience and long term competitiveness.

We believe that operating ethically is fundamental to building trust, strengthening our brands, and creating long-term value for all our stakeholders. We are proud to have been named, for two consecutive years, among the 2026 World's Most Ethical Companies by Ethisphere. Signet is the only specialty jeweler to have received this recognition, which honors organizations that lead with integrity, prioritize ethical business practices, and demonstrate a commitment to doing what's right. In recognition of our dedication to strong corporate governance, Signet currently holds a rating of AA (on a scale of AAA-CCC) in the MSCI ESG Ratings assessment.

ROOTED IN INSPIRING LOVE

The Board remains confident in Signet's long term direction as it enters the second year of Grow Brand Love supported by a clear strategic framework,

disciplined oversight, and a continued focus on cash flow discipline and capital allocation. Our business remains rooted in Inspiring Love and celebrating life's most meaningful moments-principles that guide both management execution and Board stewardship.

I would like to thank the Signet team, my fellow Board members and extend my deep appreciation towards you, our shareholders, for your continued support. Your feedback over the past year has been instrumental

in informing our strategy and enabling our improved performance.

The Board remains focused on delivering long-term value and advancing Signet's Purpose in the years ahead.

Helen McCluskey

Chair of the Board

1 See Item 7 of the Company's Annual Report on Form 10-K for a discussion of the non-GAAP financial measures used by the Company and related reconciliation to the most comparable GAAP measures.

SIGNET JEWELERS / FISCAL 2026 ANNUAL REPORT

Fiscal 2026 Snapshot

FIRST YEAR OF GROW BRAND LOVE RETURNS BUSINESS TO GROWTH

$6.8B

Total Sales

1.3%

Same Store Sales Growth

CONSISTENT FREE CASH FLOW CONVERSION OF OPERATING INCOME

$515M

Adjusted Operating Income*

GREATER THAN

100%

Free Cash Flow Conversion*

*See Item 7 of the Company's Annual Report on Form 10-K for a discussion of the non-GAAP financial measures used by the Company and related reconciliations to the most comparable GAAP measures. Free cash flow conversion is determined by taking free cash flow as a percentage of adjusted operating income.

SIGNET JEWELERS / FISCAL 2026 ANNUAL REPORT

Letter from the Chief Executive Officer

J.K.

Symancyk

DEAR SHAREHOLDERS,

Fiscal 2026 was a year of resilience for Signet. In a dynamic and unpredictable macroeconomic environment, we continued executing on our Grow Brand Love strategy, returning Signet to growth, strengthening our operational foundation, deepening customer relationships, and reinforcing the foundation for sustainable long-term shareholder value.

We entered the year with a clear focus on sharpening our brand positioning and operating with greater efficiency. We delivered positive same store sales for the majority of the past year. Within that performance, Kay, Zales, and Jared delivered over 3% combined same store sales growth. We expanded our gross margin by 30 basis points, delivered 7% adjusted diluted EPS1 growth,

Zales launched "The Edit," a modern jewelry retail concept designed to feel less like a store and more like a destination. The space champions the spirit of self-purchase and self-reward, creating an environment where buying jewelry becomes an act of confidence and self-expression.

and generated free cash flow1 of $525 million, up 20% year-on-year, allowing us to repurchase $205 million

worth of our shares and increase our dividend for the fifth consecutive year in accordance with our priority of returning excess cash to shareholders.

We achieved this while navigating record gold prices and elevated tariffs, thanks to our strong cost management and nimble and efficient supply chain. We leveraged design to continue to deliver value in our products, capitalizing on our vendor relationships, and pivoting to different countries as needed in our sourcing. Importantly for our team members, we also delivered on a short-term incentive compensation reset.

Throughout this journey, we made sure to listen to our team members, our customers, and our shareholders. By understanding their perspectives and taking their feedback we were able to take actions that strengthened our business and lay strong foundations for the work ahead.

REFINING GROW BRAND LOVE

In Fiscal 2027, we will build on this progress while refining the imperatives of Grow Brand Love. The strategy's first imperative-shaping distinct and coveted brands-remains foundational. We believe each percentage point of increase in purchase consideration across Signet's brands equates to $100 million of revenue. We will further sharpen the market positioning of Kay, Zales, and Jared, which represent approximately 70% of our revenue, while elevating Blue Nile as a premium brand.

Lifting our customers' experience is central to strengthening and distinguishing our brands, building brand equity to drive emotional connections rather than primarily relying on promotion. We are making our product design more appealing and effective through distinct assortment architecture, product innovation, and SKU rationalization, reducing duplication and

"Signet has always played a meaningful role in Inspiring Love and celebrating life's most important moments. As we look to the future, we are focused on doing that even better-through stronger brands, deeper customer relationships, and a more agile and disciplined business."

improving productivity. We are ensuring that our stores enable our brands to capitalize on new opportunities to engage with our customers, renovating nearly 10% of our fleet in Fiscal 2027 while testing new formats and experiential designs. Our redesign of our Kay, Zales, and Jared websites, expected to be completed in the third quarter ahead of holiday season, will deliver improved navigation, personalization, and storytelling aligned with our customers' emotional purchase journey.

With regard to the second imperative of Grow Brand Love, we will unlock additional portfolio value by harnessing the strengths of our core business. We will work to strengthen our margins by improving inventory turns, managing our approach to tariff and commodity volatility, and enhancing our pricing architecture to reflect each brand's customer profile. Building a strong core also positions us to win in growth avenues such as services and with an integrated diamond strategy.

We are also aligning our marketing with brand-relevant content and storytelling by capitalizing on key demand periods, brand moments, and social engagement. We

will optimize cross-channel media with a focus on strengthening retention and engaging new audiences through cultural and experimental activations and compelling seasonal storytelling. Our spending will continue to be anchored in performance metrics and accountability, ensuring high impact and discipline.

We are advancing our work on the third imperative of Grow Brand Love of strengthening our operating model to support our strategy. Through strategic real estate actions and ongoing brand portfolio optimization, we are continuing to improve our performance. We are further centralizing support functions and have begun implementing an integrated diamond sourcing process, which will provide better management of our virtual diamond marketplace, drive further vertical integration, and elevate the natural diamond offerings available for our brands, particularly Blue Nile. We have continued to

build an integrated jewelry service network with additional capacity for repairs.

We continue to identify synergies and opportunities to consolidate our brand portfolio to augment core

performance and growth. We will evolve Blue Nile into an elevated luxury position, anchored in the enduring

value of natural diamonds. We will sunset jamesallen.com while leveraging the James Allen brand as a proprietary collection, transitioning complementary products and styles to the Blue Nile brand. We will also integrate the Rocksbox private-label fashion assortment as a distinct proprietary collection within Kay.

COMMITTED TO OUR PEOPLE AND COMMUNITIES

We are also making sure our teams are equipped with the expertise to execute our go-to-market priorities. Education builds customer trust and, ultimately, builds brand equity. From our contact centers to our technology teams to our jewelry consultants, we are

putting training in place to reinforce brand mindset and establish new leadership in key areas.

We are entering Fiscal 2027 with solid momentum, while remaining mindful of ongoing macroeconomic uncertainty, confident in the resilience of our business and the power of our assortment. We will focus on accelerating our core performance through sharper brand differentiation, broader customer reach, and a more seamless in-store and digital experience. We will

also continue to unlock additional efficiencies across our operating model.

None of this progress would be possible without the dedication of our more than 27,000 team members. Their passion for serving our customers, combined with their commitment to excellence, is what brings our strategy to life every day. I'm proud that Signet earned the designation of a Great Place to Work-CertifiedTM company for the sixth consecutive year, reflecting our commitment to our culture and Purpose. Signet was also recognized by Newsweek several times over the year for the superior quality and collegiality of our workplace.

Our teams once again demonstrated their commitment to community by raising $12 million for St. Jude Children's Research Hospital®, Signet's largest one-time donation to St. Jude. We raised these funds through the sale of plush puppies and bears at our stores, customer donations at the register and online, and team member and corporate support activities

like St. Jude Memphis Marathon® Weekend. This is

part of a $100 million fundraising commitment made by Signet to St. Jude in 2023 after the Company celebrated previously raising an initial $100 million.

Signet has always played a meaningful role in Inspiring Love and celebrating life's most important moments. As we look to the future, we are focused on doing that even better-through stronger brands, deeper customer relationships, and a more agile and disciplined business.

Thank you for your continued support.

J.K. Symancyk

Chief Executive Officer

1 See Item 7 of the Company's Annual Report on Form 10-K for a discussion of the non-GAAP financial measures used by the Company and related reconciliation to the most comparable GAAP measures.

Sustainability Highlights

OUR PURPOSE AND OUR CORPORATE SUSTAINABILITY GOALS

Our Grow Brand Love strategy builds on our strong foundation, our Purpose of Inspiring Love, and renews our dedication to measurable social and environmental impact. We work collaboratively across the Company on our 2030 Corporate Sustainability Goals, in-line with our Three Loves framework: Love for All People, Love for Our Team, Love for Our Planet and Products.

ST. JUDE

CHILDREN'S RESEARCH HOSPITAL

$122M raised throughout 27-year partnership

GREAT PLACE TO WORK-CERTIFIED™

Six consecutive years

UNITED NATIONS GLOBAL COMPACT

Participant since 2021

WORLD'S

MOST ETHICAL COMPANIES®

Honoree List (2025, 2026)

1 LOVE FOR ALL PEOPLE

In Fiscal 2026, we aligned our charitable donations with our Purpose of Inspiring Love through the Signet Love Inspires Foundation; continued engaging our customers in our longstanding partnership with St. Jude Children's Research Hospital® as part of our second $100 million fundraising commitment; and supported nearly 1,000 team members in the last four years who experienced hardships through the Signet Team Member Relief Fund.

2 LOVE FOR OUR TEAM

Signet earned the designation of a Great Place to Work-Certified™ company for the sixth consecutive year,

which reflects the pride, engagement, and enthusiasm of our team members as well as our ongoing commitment to our overall human capital management strategy.

3 LOVE FOR OUR PLANET AND PRODUCTS

In Fiscal 2026, Ethisphere named Signet to the 2026

World's Most Ethical Companies Honoree List. This recognition underscores Signet's dedication to ethical business practices that positively impact team members, the communities in which we operate, and broader stakeholders. We continue to advance our Science-Aligned Carbon Reduction Plan, which considers greenhouse gas emissions, including Scope 1 and

Scope 2, across the full value chain.

Signet will continue to manage environmental, social, and governance factors for our business and supply chain, as we seek to better respond to our shareholders' stewardship policies and needs. This includes ongoing efforts to be transparent on our progress toward our 2030 Corporate Sustainability Goals and adhering to SASB Standards in our corporate sustainability reporting.

Board of Directors and Leadership Team

BOARD OF DIRECTORS

Helen McCluskey

Chair of the Board

J.K. Symancyk

Chief Executive Officer

André V. Branch

Independent Director

Sandra B. Cochran

Independent Director

Jeffrey Gennette

Independent Director

R. Mark Graf

Independent Director

Zackery A. Hicks

Independent Director

Sharon L. McCollam

Independent Director

Nancy A. Reardon

Independent Director

Brian Tilzer

Independent Director

Eugenia Ulasewicz

Independent Director

Dontá L. Wilson

Independent Director

CORPORATE EXECUTIVES

J.K. Symancyk

Chief Executive Officer

Joan Hilson

Chief Operating and Financial Officer

Karen Cho

Chief People Officer

Stash Ptak

Chief Legal, Compliance, and Risk Officer

Colleen Rooney

Chief Corporate Affairs and Sustainability Officer

BRAND AND COMMERCIAL EXECUTIVES

Claudia Cividino President, Jared Jewelers and Diamonds Direct

Julie Yoakum President, KAY Jewelers and Peoples Jewellers

Neil Old

President, H. Samuel and Ernest Jones

Lisa Walker

President, Jewelry Services

Stacee Johnson-Williams Chief Merchandise Operations and Sourcing Officer

Lisa Laich

Chief Marketing Officer

Raghu Sagi

Chief Digital and Technology Officer

signetjewelers.com

Table of Contents

Washington, D.C. 20549

☒ Annual report pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

For the fiscal year ended January 31, 2026

For the transition period from to

Commission file number 1-32349

(Exact name of Registrant as specified in its charter)

Bermuda Not Applicable

(State or other jurisdiction of incorporation) (I.R.S. Employer Identification No.)

Clarendon House 2 Church Street Hamilton HM11 Bermuda

(Address of principal executive offices)

Registrant's telephone number, including area code: (441) 296 5872 Securities registered pursuant to Section 12(b) of the Act:

Title of Each Class Trading Symbol(s) Name of Each Exchange on which Registered

Common Shares of $0.18 each SIG The New York Stock Exchange Securities registered pursuant to Section 12(g) of the Act: None

Indicate by check mark if the registrant is a well-known seasoned issuer, as defined in Rule 405 of the Securities Act. Yes ☒ No ☐

Indicate by check mark if the registrant is not required to file reports pursuant to Section 13 or 15(d) of the Act. Yes ☐ No ☒

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes ☒ No ☐

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such

files). Yes ☒ No ☐

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of "large accelerated filer," "accelerated filer," "smaller reporting company," and "emerging growth company" in Rule 12b-2 of the Exchange Act.

Large accelerated filer ☒ Accelerated filer ☐

Non-accelerated filer ☐ Smaller reporting company ☐

Emerging growth company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Indicate by check mark whether the registrant has filed a report on and attestation to its management's assessment of the effectiveness of its internal control over financial reporting under Section 404(b) of the Sarbanes-Oxley Act (15 U.S.C. 7262(b)) by the registered public accounting firm that prepared or issued its audit report. ☒

‌If securities are registered pursuant to Section 12(b) of the Act, indicate by check mark whether the financial statements of the registrant included in the filing reflect the correction of an error to previously issued financial statements. ☐

Indicate by check mark whether any of those error corrections are restatements that required a recovery analysis of incentive-based compensation received by any of the registrant's executive officers during the relevant recovery period pursuant to §240.10D-1(b). ☐

Indicate by check mark whether the Registrant is a shell company (as defined in Rule 12b-2 of the Act). Yes ☐ No ☒

The aggregate market value of voting common shares held by non-affiliates of the Registrant (based upon the closing sales price quoted on the New York Stock Exchange) as of August 2, 2025 was $3,054,140,516.

Number of common shares outstanding on March 13, 2026: 40,067,774.

DOCUMENTS INCORPORATED BY REFERENCE

Portions of the Registrant's proxy statement for its 2026 annual meeting of shareholders which will be filed with the Securities and Exchange Commission within 120 days after January 31, 2026 are incorporated by reference into Part III.

SIGNET JEWELERS LIMITED

FISCAL 2026 ANNUAL REPORT ON FORM 10-K TABLE OF CONTENTS

PAGE

FORWARD-LOOKING STATEMENTS

PART I

ITEM 1. BUSINESS

ITEM 1A. RISK FACTORS

ITEM 1B. UNRESOLVED STAFF COMMENTS

ITEM 1C. CYBERSECURITY

ITEM 2. PROPERTIES

ITEM 3. LEGAL PROCEEDINGS

ITEM 4. MINE SAFETY DISCLOSURES

PART II

ITEM 5. MARKET FOR REGISTRANT'S COMMON EQ UITY, RELATED STOCKHOLDER MATTERS AND ISSUER PURCHASES OF EQ UITY SECURITIES

ITEM 6. [RESERVED]

ITEM 7. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

ITEM 7A. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

ITEM 8. FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA

ITEM 9. CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING AND FINANCIAL DISCLOSURE

ITEM 9A. CONTROLS AND PROCEDURES

ITEM 9B. OTHER INFORMATION

ITEM 9C. DISCLOSURE REGARDING FOREIGN JURISDICTIONS THAT PREVENT INSPECTIONS 95

PART III

ITEM 10.

DIRECTORS, EXECUTIVE OFFICERS AND CORPORATE GOVERNANCE

ITEM 11.

EXECUTIVE COMPENSATION

ITEM 12.

SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT AND RELATED STOCKHOLDER MATTERS

ITEM 13.

CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS, AND DIRECTOR INDEPENDENCE

ITEM 14.

PRINCIPAL ACCOUNTANT FEES AND SERVICES

PART IV

ITEM 15.

EXHIBITS AND FINANCIAL STATEMENT SCHEDULES

ITEM 16.

FORM 10-K SUMMARY

REFERENCES

Unless the context otherwise requires, references to "Signet", the "Company", "we", "us", or "our" refer to Signet Jewelers Limited and its consolidated subsidiaries. References to the "Parent Company" are to Signet Jewelers Limited.

PRESENTATION OF FINANCIAL INFORMATION

All references to "dollars," "US dollars" and "$" are to the lawful currency of the United States of America ("US"). Signet prepares its financial statements in US dollars. All references to "British pound(s)," "pounds," and "£" are to the lawful currency of the United Kingdom ("UK"). All references to "Canadian dollar" or "C$" are to the lawful currency of Canada.

Percentages in tables have been rounded and accordingly may not add up to 100%. Certain financial data may have been rounded. As a result of such rounding, the totals of data presented in this document may vary slightly from the actual arithmetical totals of such data.

Throughout this Annual Report on Form 10-K, financial data has been prepared in accordance with accounting principles generally accepted in the US ("GAAP"). However, Signet provides certain additional non-GAAP measures in order to assist investors in evaluating historical trends and current period performance of the business. Additional information related to the definition and purpose of each non-GAAP measure used can be found in Item 7.

Fiscal year, fourth quarter and Holiday Season

Signet's fiscal year ends on the Saturday nearest to January 31. As used herein, "Fiscal 2027", "Fiscal 2026", "Fiscal 2025", and "Fiscal 2024" refer to the 52-week period ending January 30, 2027, the 52-week periods ended January 31, 2026, and February 1, 2025, and the 53-week period ended February 3, 2024, respectively. Fourth quarter references relate to the 13 weeks ended January 31, 2026 ("fourth quarter") and February 1, 2025 ("prior year fourth quarter").

‌As used herein, the "Holiday Season" consists of results for the months of November and December.

FORWARD-LOOKING STATEMENTS

This Annual Report on Form 10-K contains statements which are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are based upon management's beliefs and expectations as well as on assumptions made by and data currently available to management, appear in a number of places throughout this document and include statements regarding, among other things, results of operations, financial condition, liquidity, prospects, growth, strategies and the industry in which we operate. The use of the words "guidance," "expects," "continue," "intends," "anticipates," "enhance," "estimates," "predicts," "believes," "should," "potential," "may," "preliminary," "forecast," "objective," "opportunity," "plan," "progress," "strategy," "target," or "will" and other similar expressions are intended to identify forward-looking statements. These forward-looking statements are not guarantees of future performance and are subject to a number of risks and uncertainties which could cause the actual results to not be realized, including, but not limited to: executing or optimizing major business or strategic initiatives, such as expansion of the services business or realizing the benefits of our restructuring plans or transformation strategies, including those that the Company may develop in the future; attracting and retaining key executive talent during periods of leadership transition, such as the recent changes in our senior leadership from the reorganization under our Grow Brand Love strategy; the failure to adequately mitigate the impact of existing tariffs and/or the imposition of additional duties, tariffs, taxes and other charges or other barriers to trade or impacts from trade relations; impacts of US government shutdowns, including recent disruptions to travel and related consumer activity resulting from interruptions to agencies such as the Transportation Security Administration and the Department of Homeland Security, on consumer spending; difficulty or delay in executing or integrating an acquisition; the impact of the conflicts in the Middle East on financial markets and consumer spending, such as from the impact of higher oil and gas prices, as well as on our operations of our quality control and technology centers in Israel; the negative impacts that public health crisis, disease outbreak, epidemic or pandemic has had, and could have in the future, on our business, financial condition, profitability and cash flows; risks relating to shifts in consumer spending away from the jewelry category or away from the cultural customs of expressing commitments through engagements and weddings; trends toward more experiential purchases such as travel; general economic or market conditions, including impacts of inflation or other pricing environment factors on our merchandise costs or other operating costs; a prolonged slowdown in the growth of the jewelry market or a recession in the overall economy; financial market risks; a decline in consumer discretionary spending or deterioration in consumer financial position; disruptions in our supply chain; our ability to attract and retain labor; changes to regulations relating to customer credit; disruption in the availability of credit for customers and customer inability to meet credit payment obligations, which has occurred and may continue to deteriorate; our ability to achieve the benefits related to the outsourcing of the credit portfolio, including due to technology disruptions and/or disruptions arising from changes to or termination of the relevant outsourcing agreements, as well as a potential increase in credit costs due to the current interest rate environment; deterioration in the performance of individual businesses or of the Company's market value relative to its book value, resulting in further impairments of long-lived assets or intangible assets or other adverse financial consequences; the volatility of our stock price; the impact of financial covenants, credit ratings or interest volatility on our ability to borrow; our ability to maintain adequate levels of liquidity for our cash needs, including debt obligations, payment of dividends, planned share repurchases (including execution of accelerated share repurchases and the payment of related excise taxes) and capital expenditures as well as the ability of our customers, suppliers and lenders to access sources of liquidity to provide for their own cash needs; potential regulatory changes; future legislative and regulatory requirements in the US and globally relating to climate change, including any new climate related disclosure or

‌compliance requirements, such as those issued in the state of California; exchange rate fluctuations; the cost, availability of and demand for diamonds, gold and other precious metals, including any impact on the global market supply of diamonds due to the ongoing conflicts in the Middle East, the potential sale or divestiture of the De Beers Diamond Company and its natural diamond mining operations by parent company Anglo-American plc, and the ongoing Russia-Ukraine conflict or related sanctions; stakeholder reactions to disclosure regarding the source and use of certain minerals; scrutiny or detention of goods produced in certain territories resulting from trade restrictions; seasonality of our business; the merchandising, pricing and inventory policies followed by us and our ability to manage inventory levels; our relationships with suppliers including the ability to continue to utilize extended payment terms and the ability to obtain merchandise that customers wish to purchase; the level of competition and promotional activity in the jewelry sector; our ability to optimize our multi-year strategy to gain market share, expand and improve existing services, innovate and achieve sustainable, long-term growth; the maintenance and continued innovation of our OmniChannel retailing and ability to increase digital sales, as well as management of digital marketing costs; failure to anticipate and keep pace with changing fashion trends; changes in the costs, retail prices, supply and consumer acceptance of, and demand for gem quality lab-grown diamonds and adequate identification of the use of substitute products in our jewelry; ability to execute successful marketing programs and manage social media; the ability to optimize our real estate footprint, including operating in attractive trade areas and effectively monitoring changes in consumer traffic in mall locations; the performance of and ability to recruit, train, motivate and retain qualified team members - particularly store associates in regions experiencing low unemployment rates; management of social, ethical and environmental risks; ability to deliver on our corporate sustainability goals or our environmental, social and governance goals; the reputation of Signet and its brands; inadequacy in and disruptions to internal controls and systems, including related to the migration to new information technology systems which impact financial reporting; risks associated with the Company's and its third-party service providers' use of artificial intelligence; security breaches and other disruptions to our or our third-party providers' information technology infrastructure and databases; an adverse development in legal or regulatory proceedings or tax matters, including any new claims or litigation brought by employees, suppliers, consumers or shareholders, regulatory initiatives or investigations, assessments or penalties levied by tax authorities, and ongoing compliance with regulations and any consent orders or other legal or regulatory decisions; failure to comply with labor regulations; collective bargaining activity; changes in corporate taxation rates, laws, rules or practices in the US and other jurisdictions in which our subsidiaries are incorporated, including developments related to the tax treatment of companies engaged in internet commerce or deductions associated with payments to foreign related parties that are subject to a low effective tax rate; risks related to international laws and Signet being domiciled in Bermuda; risks relating to the outcome of pending litigation; our ability to protect our intellectual property or assets including cash which could be affected by failure of a financial institution or conditions affecting the banking system and financial markets as a whole; changes in assumptions used in making accounting estimates relating to items such as extended service plans or asset impairments; or the impact of weather-related incidents, natural disasters, organized crime or theft, increased security costs, strikes, protests, riots or terrorism, or acts of war (including the ongoing Russia-Ukraine and conflicts in the Middle East).

For a discussion of these and other risks and uncertainties which could cause actual results to differ materially from those expressed in any forward-looking statement, see the "Risk Factors" section in Item 1A of this Annual Report on Form 10-K. Signet undertakes no obligation to update or revise any forward-looking statements to reflect subsequent events or circumstances, except as required by law.

PART I

‌ITEM 1. BUSINESS PURPOSE & STRATEGY

Signet's Purpose is Inspiring Love, with the mission to enable individuals to "celebrate life and express love". The Company's new vision, announced in Fiscal

2026, is to "Create an influential community of distinct jewelry brands, designs, and experiences for every significant milestone, every special moment, every expression of self, every kind of love, every day." Signet aims to lead innovation and market share in the jewelry category, expanding its market presence and achieving profitable growth by fostering brand loyalty through emotional and engaging customer connections while fully leveraging the benefits of our scale.

Signet introduced the Grow Brand Love strategy in Fiscal 2026 in connection with our new vision. This transformative approach focuses on positioning the Company for balanced and sustainable organic growth by building on our strong core foundation to create shareholder value. Grow Brand Love emphasizes style and product innovation, captivating experiences, and brand loyalty while harnessing centralized core capabilities. This strategic framework launched with three imperatives: Shifting from Banners to Brand Mindset; Growing our Core Business and Expanding to Adjacent Categories; and Organizational Realignment to Accelerate Strategy Execution. The first year of Grow Brand Love returned the business to growth, a result we look to continue going forward. In Fiscal 2027, those imperatives will evolve into Shaping Distinct and Coveted Brands; Unlocking Portfolio Value; and Strengthening our Operating Model.

Below is a summary of the goals within each of the three strategic imperatives under Grow Brand Love:

Shaping Distinct and Coveted Brands aims to leverage the strong brand recognition of Signet's businesses, focusing on how brand experience resonates within assortment, product designs and collaborations, and marketing that is expressed distinctly by channel, with the goal of increasing customer consideration. Aligned with our sharpened go-to-market brand strategies, we aim to create a captivating and modern shopping experience for our customers, both in-store and online. The focus will be on reflecting each brand's identity through new store designs, product innovations, and by leveraging a customer-centric e-commerce redesign for a more curated experience. Additionally, we will further align our real estate footprint to support each brand proposition and modernize stores through capital improvements. We believe the combination of these efforts will build brand equity to drive emotional connections rather than primarily relying on promotion.

Unlocking Portfolio Value focuses on leveraging Signet's strengths in scale and industry expertise, including improving inventory turnover, managing exposure to tariff and commodity price volatility and enhancing pricing architecture in each brand. Targeting consolidated sourcing and pricing efficiencies works to protect and expand margins. Tenured jewelry expertise provides Signet the opportunity to educate customers on the differences between timeless stores of value, such as natural diamonds, as well as industry innovations like lab-grown diamonds ("LGD"). Education builds customer trust and, ultimately, builds brand equity.

Strengthening our Operating Model involves cost diligence and accountability across the organization. This includes brand portfolio optimization - both customer facing and within support functions. For example, the transition of the James Allen and Rocksbox brands into proprietary collections within remaining brands, furthering footprint optimization as Signet limits exposure to declining malls, and organizational improvements that drive higher performing teams.

We believe that this Grow Brand Love framework has established a foundation for Signet to support sustainable organic growth, as well as create shareholder value and a high-performing organization for the future.

2030 Corporate Sustainability Goals

As a company with a Board-level Governance Nominations & Sustainability Committee focused on its corporate sustainability and a Purpose-inspired business strategy, Signet seeks to create business and stakeholder value through the pursuit of sustainable business practices, including the Company's award-winning open-source Signet Responsible Sourcing Protocol. To that end, the Company's 2030 Corporate Sustainability Goals ("CSGs") and its business strategy seek to be mutually reinforcing, further strengthening Signet's Corporate Citizenship and Sustainability leadership across the jewelry category value chain.

The Company's CSGs are aligned with the United Nations ("UN") Sustainable Development Goals in areas where Signet can have the most impact. Signet is a member of the UN Global Compact and adheres to its principles-based approach to responsible business. The Signet Leadership Team is engaged to provide governance and accountability for the Company's CSGs with leaders throughout the Company engaged in the Company's sustainability efforts. Brand leaders as well as functional leaders in Corporate Communications & Sustainability, Finance, Human Resources, Information Security, Digital & Technology, Legal, Marketing, Merchandising and Supply Chain are responsible for achieving short-term and long-term goals. Signet released its annual update on CSGs in its Fiscal 2025 Corporate Citizenship and Sustainability report published in June 2025.

For more information about Signet's Citizenship & Sustainability strategy and programs, please refer the Company's corporate website at https://www.signetjewelers.com/sustainability which is not, and shall not be deemed to be, a part of this Form 10-K or incorporated into any of our other filings made with the US Securities and Exchange Commission (the "SEC").

OVERVIEW

Signet is a specialty jewelry retailer incorporated in Bermuda. The Company operated 2,582 retail locations as of January 31, 2026, which when combined with the Company's digital capabilities, provides customers the opportunity to use both online and in-store experiences as part of their shopping journey. Signet manages its business by geography, a description of which follows:

The North America reportable segment operated nine brands through both online and brick and mortar retail operations. The segment had 2,238 locations in the US and 91 locations in Canada as of January 31, 2026.

In the US, the segment operated under the following brands: Kay (Kay Jewelers and Kay Outlet); Zales (Zales Jewelers and Zales Outlet); Jared (Jared Jewelers and Jared Vault); Banter by Piercing Pagoda; Diamonds Direct; Rocksbox; and Digital brands, James Allen and Blue Nile.

In Canada, the segment operated under the Peoples brand (Peoples Jewellers).

The International reportable segment had 253 locations in the UK and Republic of Ireland as of January 31, 2026, and maintained an online retail presence for its brands, H.Samuel and Ernest Jones.

Certain Company activities are managed in the "Other" reportable segment for financial reporting purposes, primarily the Company's diamond sourcing operation and diamond polishing factory in Botswana. See Note 5 of Item 8 for additional information regarding the Company's reportable segments.

Competition and Signet's Competitive Strengths

Jewelry retailing is highly fragmented and competitive. Signet competes against other specialty jewelers, as well as other retailers that sell jewelry, including department stores, mass merchandisers, discount stores, apparel and accessory fashion stores, brand retailers, online retail and auction sites, shopping clubs, home shopping television channels and direct home sellers. The jewelry category competes for customers' share-of-wallet with other consumer sectors such as electronics, clothing and furniture, as well as experience-oriented categories such as travel and restaurants. This competition for consumers' discretionary spending is particularly relevant to gift giving.

Signet believes its competitive advantages include strong awareness for each brand, superior customer experience, branded differentiated and exclusive merchandise, data-driven marketing and advertising, a diversified real estate portfolio, an ongoing commitment to a culture of innovation and agility, an efficient and flexible supply chain, a range of customer financing options, and services such as extended service plans, repair, custom design, and piercing, among others. Signet is committed to delivering an inspiring, innovative, full-service experience for customers across all channels to ensure the business's success. The Company prioritizes recruiting, training, and retaining qualified jewelry consultants to deliver customer satisfaction, including virtual jewelry consultants to support the online customer experience. Signet also continues to invest in capabilities to enhance the customer experience to make it more personalized and journey-focused.

Signet offers its customers a personalized and intimate shopping experience as a specialty jeweler, setting it apart from other retailers. Signet operates websites for each of its brands that serve as educational resources for customers seeking information on jewelry products and brands. Customers are able to invest time on these websites and social media to explore a range of merchandise, and often before visiting physical stores to make their purchase.

Brand Operations

As noted above, the Company operated nine brands in North America and two brands in the UK as of January 31, 2026, through both online and brick and mortar retail operations. Signet has specific operating and financial criteria that must be satisfied before investing in new stores or renewing leases on existing stores, including evaluation of the mall/trade area and market potential. Signet continues to rationalize its store footprint in a manner that it believes will drive greater store productivity. These efforts include development and implementation of innovative store concepts to improve the in-store shopping experience, execution of opportunistic store relocations and store closures aimed at under-performing stores, and reducing the Company's mall-based exposure, specifically in declining venues.

The Signet brand websites also offer customers the ability to purchase products online and have them delivered to their local store or home. Customers are able to choose from a variety of delivery methods based on product availability, including quick ship, buy-online-pickup-in-store ("BOPIS"), and same-day delivery. The aim is to create a hassle-free customer experience, connecting websites and customers seamlessly.

Store activity was as follows for Fiscal 2026 and Fiscal 2025:

February 3, 2024

Openings (1)

Closures (1)

February 1, 2025

Openings (1)

Closures (1)

January 31, 2026

North America segment:

Mall (2)

1,485

(44)

1,445

(63)

1,383

Off-mall and outlet

926

(8)

934

(9)

946

Total North America segment store activity

2,411

(52)

2,379

(72)

2,329

International segment store activity

287

(24)

263

(10)

253

Total Signet store activity

2,698

(76)

2,642

(82)

2,582

North America segment:

Total net selling square feet (thousands)

3,765

3,748

3,714

Decrease in net store selling space

(1.4)%

(0.5)%

(0.9)%

International segment:

Total net selling square feet (thousands)

330

307

298

Decrease in net store selling space

(15.4)%

(7.0)%

(2.9)%

(1) Includes 8 store repositions in Fiscal 2026 and 2 repositions in Fiscal 2025.

(2) Includes mall-based kiosks for the Banter by Piercing Pagoda brand.

Refer to Item 2 for additional information on the Company's real estate portfolio.

North America Brands

The North America reportable segment operates jewelry stores in malls, mall-based kiosks and off-mall locations throughout the US and Canada, as well as online. As of January 31, 2026, its US national brands principally included Kay, Zales, Jared, Diamonds Direct, Banter by Piercing Pagoda, Rocksbox, and Digital brands, James Allen and Blue Nile. Its Canadian stores operated as Peoples Jewellers.

Kay Jewelers ("Kay")

Kay is the largest specialty retail jewelry brand in the US based on sales, operating in shopping malls, off-mall centers and outlet malls, as well as online. Kay is positioned as the champion of modern love, connecting with customers and empowering them to tell their stories, and the destination for bridal and all occasion-based gifting offering a broad assortment of fine jewelry including bridal, diamond solitaire, fashion jewelry and watches.

In Fiscal 2027, the Rocksbox private label fashion assortment will become a distinct proprietary collection within Kay. Rocksbox will operate within the Kay team rather than as a standalone brand.

Kay accounted for 38% of Signet's consolidated sales in Fiscal 2026 (Fiscal 2025: 37%).

Zales Jewelers ("Zales")

Zales redefines fine jewelry. From jewelry box essentials to diamonds classics and personalized pieces that represent each individual customer. Zales designs are meant to be worn, layered and lived in. Zales blends quality craftsmanship with everyday style to make fine jewelry accessible. The brand is the third largest specialty retail jewelry brand in the US based on sales and operates primarily in shopping malls, outlet malls, neighborhood power centers and online.

Zales accounted for 18% of Signet's consolidated sales in Fiscal 2026 (Fiscal 2025: 18%).

Jared Jewelers ("Jared")

Jared is the fifth largest US specialty retail jewelry brand by sales and is a leading off-mall destination specialty retail jewelry store chain. Jared is positioned to curate an accessible luxury assortment and additional services to appeal to a higher income customer and deliver higher average price points than Kay and Zales. Every Jared also has an on-site Design & Service Center, which service multiple brands, and specialize in repairs of jewelry and the creation of custom

jewelry designs for our guests (refer to Services section below).

Jared locations are typically free-standing sites with high visibility and traffic flow, positioned close to major roads within shopping developments. Jared stores primarily operate in retail centers that contain strong retail co-tenants, including big box, destination stores and some smaller specialty units.

Jared accounted for 17% of Signet's consolidated sales in Fiscal 2026 (Fiscal 2025: 16%).

James Allen and Blue Nile ("Digital brands")

The Digital brands are comprised of the Company's online pure-play brands James Allen and Blue Nile. Blue Nile is a leading online retailer for diamonds and fine jewelry, offering vast selection, transparent pricing, and quality products like engagement rings, wedding bands, necklaces, and earrings, focusing on customer education and confident purchasing through detailed online tools. James Allen's focus is primarily diamonds, engagement rings and fine jewelry with technology at the core of the James Allen model, providing an innovative online buying experience to make it easy to find the right piece for any occasion. Both brands offer a wide selection of natural and lab-grown diamond options, and together look to maximize and achieve meaningful operating synergies that increases value for both our customers and shareholders.

In Fiscal 2027, to support our growth aspirations for Blue Nile to evolve into a more elevated luxury position, we will leverage the James Allen brand as a proprietary collection, and transition complementary products and styles to the Blue Nile website. During the first half of the year we will be sunsetting the jamesallen.com website.

The Digital brands accounted for 7% of Signet's consolidated sales in Fiscal 2026 (Fiscal 2025: 8%).

Diamonds Direct

Diamonds Direct is an off-mall, destination jeweler in the US, with a highly productive and efficient operating model with demonstrated growth and profitability. Diamonds Direct's strong value proposition, extensive bridal offerings and customer-centric, high-touch shopping experience is a destination for younger, luxury-oriented bridal shoppers. Diamonds Direct enhances Signet's accessible luxury positioning with a distinct focus on bridal, appealing to a higher income customer and delivers higher average price points compared to other brands. Diamonds Direct's stores are typically located in desirable off-mall sites proximate to high-end, destination centers alongside strong performing upscale retailers.

Diamonds Direct accounted for 5% of Signet's consolidated sales in Fiscal 2026 (Fiscal 2025: 6%).

Banter by Piercing Pagoda ("Banter")

Banter invites confident creatives to explore their styles with curated jewelry and piercing services. The assortment includes fashion gold, silver and diamond jewelry. The brand operates primarily through mall-based kiosks in high-traffic areas across the US that are easily accessible and visible in regional shopping malls and online. The brand also offers virtual styling sessions, giving customers an omni-channel shopping experience. Banter has continued to expand its facial piercing offerings with the introduction of hollow needle piercing in select markets, seeing opportunity to leverage this growing trend.

Banter accounted for 5% of Signet's consolidated sales in Fiscal 2026 (Fiscal 2025: 5%).

Peoples Jewellers ("Peoples")

Peoples is Canada's largest specialty jewelry retailer and is positioned as "Canada's #1 Diamond Store" emphasizing its diamond business while also offering a wide selection of gold jewelry, gemstone jewelry and watches. Peoples operates primarily in shopping malls and online.

Peoples accounted for 3% of Signet's consolidated sales in Fiscal 2026 (Fiscal 2025: 3%).

International Brands

The International reportable segment operates primarily in the UK and Republic of Ireland.

H.Samuel

H.Samuel has over 150 years of jewelry heritage, with a target customer focused on lower-price point fashion-trend oriented, everyday jewelry. H.Samuel continues to focus on larger store formats in regional shopping centers.

H.Samuel accounted for 4% of Signet's consolidated sales in Fiscal 2026 (Fiscal 2025: 3%).

Ernest Jones

Ernest Jones serves the upper middle market, with a target customer focused on high-quality, timeless jewelry. Ernest Jones accounted for 2% of Signet's consolidated sales in Fiscal 2026 (Fiscal 2025: 2%).

Products and merchandising

Signet believes that one of its competitive strengths is its industry-leading merchandising. Merchandise selection, innovation, availability and value are all critical success factors. The range of merchandise offered and the appropriate level of inventory availability are supported centrally by extensive and continuous research and testing. Signet's jewelry merchant teams are constantly evaluating global design trends, innovating, and developing new jewelry collections, including through strategic partnerships, that resonate with customers.

Signet purchases finished product where management has identified compelling value based on product design, cost and availability, among other factors. Under certain types of arrangements, this method of purchasing also provides the Company with the opportunity to reserve inventory held by vendors and to make returns or exchanges with suppliers, which reduces the risk of over- or under-purchasing. Signet's scale, balance sheet and robust procurement systems enable it to purchase merchandise at advantageous prices.

Suppliers

In Fiscal 2026, the five largest suppliers collectively accounted for approximately 22% of total purchases, with the largest supplier comprising approximately 6%. Signet transacts business with suppliers on a worldwide basis at various stages of the supply chain with third party diamond cutting and jewelry manufacturing being predominantly carried out in Asia.

Merchandise

Details of merchandise mix by major product category, which excludes sales from service plans, repairs, subscriptions, loose diamonds and other miscellaneous sales, are shown below:

North America

International

Consolidated

Fiscal 2026

Bridal

50 %

36 %

49 %

Fashion

45 %

33 %

44 %

Watches

4 %

30 %

6 %

Other

1 %

100 %

Fiscal 2025 (1)

Bridal

49 %

36 %

49 %

Fashion

46 %

34 %

45 %

Watches

4 %

29 %

5 %

Other

1 %

100 %

(1)

Certain amounts have been reclassified, primarily between bridal and fashion, to conform to the Company's current product categorizations, including harmonization of similar products across the North America and International segments.

The bridal category, which includes engagement, wedding and anniversary purchases, is predominantly diamond jewelry. All of our product categories are to an extent dependent on the economic environment as customers can trade up or down price points depending on their available budget. During Fiscal 2026, bridal represented 49% of Signet's total merchandise sales.

Merchandise is classified as non-branded, third-party branded, and branded differentiated and exclusive. Non-branded merchandise includes items and styles such as bracelets, gold necklaces, solitaire diamond rings, and diamond stud earrings. Branded differentiated and exclusive merchandise are items that are branded and exclusive to Signet within its marketplaces, or that are not widely available from other jewelry retailers (e.g. Vera Wang Love®, Neil Lane®, Disney Enchanted®).

Signet believes that the development of branded differentiated and exclusive merchandise raises the profile of its brands, helps to drive sales and provides its well-trained jewelry consultants with a powerful selling proposition. Digital marketing and national television advertisements include elements that drive brand awareness and purchase intent. Signet's scale and proven record of success in developing branded differentiated and exclusive merchandise attracts offers of such programs from jewelry manufacturers, designers and others ahead of competing retailers, and enables it to leverage its supply chain strengths.

Merchandise held on consignment is used to enhance product selection and test new designs. This minimizes exposure to changes in fashion trends and provides the flexibility for the Company to return non-performing merchandise to vendors. The bulk of Signet's consignment inventory is held in the North America reportable segment.

Signet also leverages "virtual inventory" through supplier relationships that enable the Company to display certain suppliers' inventories on brand websites for customers to purchase while not physically holding the items in its inventory. Virtual inventory expands the choice of merchandise available to customers online. During Fiscal 2026, sales of virtual inventory in the North America reportable segment were approximately 51% of segment e-commerce sales and 11% of total segment sales.

Raw materials

The Company's costs, as with the jewelry industry as a whole, are generally affected by fluctuations in the price and supply of natural and lab-grown diamonds, gold and, to a much lesser extent, other precious and semi-precious metals and stones. Signet generally procures its diamonds, gemstones and precious metals as part of the cost of finished jewelry; however the Company also procures diamonds through its diamond sourcing operation further described below. The cost of raw materials is only part of the cost involved

in determining the retail selling price of jewelry, with labor costs and assembly costs from third-party vendors also being significant factors.

Diamond sourcing

The Company's diamond sourcing operations procure loose polished diamonds as well as rough diamonds. Signet purchases loose polished diamonds in global markets (e.g. India and Israel) from a variety of sources (e.g. polishers and traders). As a sightholder with De Beers, the Company sources natural rough diamonds based upon contractual allocations. It also contracts with suppliers for lab-grown rough diamonds.

The Company primarily cuts and polishes natural rough diamonds it procures in its Gaborone, Botswana factory. Lab-grown rough diamonds are cut and polished at third-party factories primarily in India.

These diamonds are offered for sale as loose stones to customers to be mounted in settings through our custom designed jewelry offerings, supplied to our jewelry vendors to be included in our merchandise, and offered for sale on a stand-alone basis. By using these approaches, the cost of merchandise is reduced, and the consistency of quality is maintained, enabling Signet to provide better value to our customers. Buying loose diamonds allows Signet's buyers to gain a detailed understanding of the manufacturing cost structures and, in turn, leverage that knowledge to negotiate better prices for the supply of finished products. Stones that will not be used for Signet's needs are sold to third parties on the open market.

Signet continues to take steps to advance its vertical integration, which includes natural and lab-grown rough diamond sourcing and processing. Signet's objective with this initiative is to secure additional, reliable and consistent supplies of diamonds for customers worldwide while achieving further efficiencies in its supply chain.

Marketing and advertising

Marketing is one of Signet's most critical investments. The Company leverages its marketing spend to drive customer awareness, purchase consideration, traffic, and revenue in the short-term, and customer loyalty, lifetime value and market share growth over time. Effective and efficient marketing investment is a competitive advantage in the jewelry industry, which involves a discretionary purchase where much of the merchandise is not branded and the purchase cycle can stretch to years.

Signet's marketing investment is actively managed across multiple online and offline consumer touchpoints including premium video across linear and streaming platforms, social media influencers and creators, digital advertising, and in-store product storytelling. The Company's spend distribution and marketing approach evolve over time to align to changes in consumer behavior, marketing technology (e.g., artificial intelligence ("AI") and personalization capabilities) and economic shifts.

As marketing activities are undertaken throughout the year, digital and data capabilities provide real-time insights into customer journeys, enabling personalized communications. Signet continues to evolve its marketing model by balancing the timing and mix of its media investments, leveraging a personalized journey-based approach, and evolving content to align to shifts in media consumption. While the Company maintains its strong media presence during traditional time-based holidays (e.g., Valentine's Day, Mother's Day, and the Holiday Season), Signet has also expanded its visibility in milestone gifting occasions (e.g., birthdays and anniversaries) and in targeted "always on" bridal messaging.

The individual Signet brands are highly focused on driving differentiated brand value propositions across all customer touchpoints. In doing so, they work with a portfolio of media and creative partners and have access to an array of internal and external data, analytics, and personalization expertise.

Details of gross advertising (i.e. advertising before vendor contributions) by segment is shown below:

Fiscal 2026 Fiscal 2025

(in millions)

Gross advertising spend

as a % of sales

Gross advertising spend

as a % of sales

North America

$ 536.2

8.4 %

$ 545.5

8.7 %

International

18.8

4.6 %

14.6

3.9 %

Signet

$ 555.0

8.1 %

$ 560.1

8.4 %

Services

The Company offers repair services to its customers that include both merchandise repairs and custom design services and provide an important opportunity to build lifetime customer loyalty. Signet's custom jewelry offering utilizes a proprietary computer selling system, in-store design capabilities and centralized design and sourcing expertise. The custom design and repair business has its own field management and training structure and operates in Design & Service Centers located in Jared stores. These Design & Service Centers are staffed with skilled artisans who support the repair and custom business generated in the Kay, Zales and Jared brands. In addition, Signet operates centralized service facilities in Ohio, Washington, Tennessee, Illinois and Toronto, Canada, which allow the Company to provide customer and business-to-business repairs, appraisals and custom design services.

The Kay, Zales, Jared and Peoples brands sell extended service plans covering lifetime repair service for jewelry, and Banter sells jewelry replacement plans. The Design & Service Centers also service the lifetime repair service plans in the US, in addition to supporting the chargeable repairs and custom businesses. The Company offers lifetime repair service plans for both bridal and fashion merchandise, which cover services such as ring sizing, refinishing and polishing, rhodium plating of white gold, earring repair, chain soldering, engraving for bridal merchandise, and the resetting of diamonds and gemstones that arise due to the normal usage of the merchandise or a replacement option if the merchandise cannot be repaired. The extended service plans are a valuable part of the customer experience and product offerings. These plans provide the Company a higher rate of profitability than merchandise sales and are a significant component of Signet's operating income. Jewelry replacement plans require the issuance of new replacement merchandise if the original merchandise is determined to be defective or damaged within a defined period in accordance with the plan agreement. The North America segment also offers customers two-year and three-year fine watch warranties. Other services managed through third-party offerings include personal jewelry insurance and appraisals. Refer to Note 3 of Item 8 for additional information on Signet's extended service plans.

Customer finance

Several factors inherent in the US jewelry business support the circumstances through which Signet is positioned to generate profitable incremental business through its partner-supported consumer payment programs. These factors include a high average transaction value and a significant population of customers seeking to finance merchandise, primarily in the bridal category. Signet's financial service offerings are an integral part of its business and a major driver of customer retention. In North American markets, customers are offered revolving and promotional credit plans under Signet's private label credit card programs, a lease purchase option provided by Progressive Leasing, and installment loan and split-payment options provided by Affirm, allowing Signet to offer payment options that meet each customer's individual needs. The Company partners with these third-party providers who directly extend financing to Signet's customers, and who also manage and service the customers' accounts.

Below is a summary of the payment participation rate in North America which reflects activity for Signet's outsourced credit program in North America for Kay, Jared, Zales, Peoples and Banter customers, as well as lease purchase and Affirm customers:

(dollars in millions)

Fiscal 2026

Fiscal 2025

Total North America sales (1)

$ 5,494.4

$ 5,325.7

Credit, lease and Affirm purchase sales

$ 2,306.6

$ 2,268.2

Credit, lease and Affirm purchase sales as % of total eligible North America sales (1)

42.0 %

42.6 %

(1)Excludes Diamonds Direct, James Allen, Blue Nile and Rocksbox, as these brands do not fully participate in the Company's financing programs discussed above.

Through Signet's partnerships, the Company offers a range of financing, leasing, and payment opportunities across most of its brands and continues to source and develop new options to meet its customers' needs across the various merchandise price points. These offerings and partnerships allow the Company to focus on its core business of being the premier jewelry partner for its customers.

Comenity Bank and Comenity Capital Bank (collectively "Comenity") provide credit card services to the Kay, Jared, Zales and Banter brands. Concora Credit Inc. ("Concora") provides a second look program for applicants declined by Comenity. The Comenity and Concora program agreements are effective through December 2028. Servicing on non-prime receivables, including operational interfaces and customer servicing, is provided by Concora. As a result of the amended and restated agreements entered into with Comenity and Concora, Signet has not retained any customer in-house finance receivables since Fiscal 2022. Refer to Note 11 of Item 8 for additional information.

Progressive Leasing provides a no credit needed financing option in Kay, Jared, Zales and Banter brands, and Affirm offers buy now pay later installment loans and split payment options for the same brands. The Progressive Leasing program agreement is effective through May 2031, and the Affirm agreement is effective through September 2027.

HUMAN CAPITAL MANAGEMENT

Signet's People First Approach

At Signet, our approach to human capital management starts with our core value of "People First" and aims at creating a truly inclusive, innovative, and collaborative company culture. As a retail company, sales and customer relationships are at the core of our business model. Our success depends on our ability to attract, develop, and retain highly engaged, high performing and motivated employees, referred to as "team members," who are deeply connected to our Purpose of Inspiring Love. In Fiscal 2026, Signet earned the designation of a Great Place to Work-CertifiedTM company for the sixth consecutive year, which reflects the pride, engagement, and enthusiasm of our team members. We attribute this accolade to our focus on our Purpose, culture, team member engagement and our overall human capital management strategy. Signet's Board of Directors (the "Board"), through the Human Capital Management & Compensation Committee, oversee human capital management matters.

Team Members

As of January 31, 2026, the number of global team members employed at Signet was 27,097 as compared to 27,595 as of February 1, 2025. Approximately 89% of the Company's workforce was employed in North America, namely the US and Canada. Because of the seasonal nature of the retail business, the number of team members peaks during the Holiday Season.

January 31, 2026

February 1, 2025

February 3, 2024

North America

24,166

24,517

24,639

2,510

2,465

2,737

Other international

421

613

615

Total global team members

27,097

27,595

27,991

The following table provides additional information related to the North America team members as of January 31, 2026 and February 1, 2025.

January 31, 2026

February 1, 2025

Headcount by status

Full-time

13,751

13,986

Part-time

10,415

10,531

Total North America team members

24,166

24,517

Inclusive Culture

Signet values engaged team members as key to our success. Guided by our Purpose and "People First" core value, we foster a culture that respects and celebrates everyone. This workplace environment and culture strengthens our team and fuels business growth. Our diverse teams create an inviting experience for customers and help us better meet our customers' tastes, interests and purchase preferences. Our executive sponsors have collaborated with our Business Resource Groups, which are open to all employees, to create a culture of inclusion. As a result of these partnerships, the Business Resource Groups are thriving and continuing to grow.

Learning and Development

We strive to create a collaborative and energized environment where all team members can be empowered to learn, grow, and have meaningful careers. We foster advancement opportunities through internal leadership mentorship programs, training, internships, and a recruiting strategy that ensures we pursue top talent across industries and backgrounds. Investments in our people, such as training, allow us to recruit and retain exceptional candidates from other retailers and industries and provide them with new skills and experiences regarding Signet values, leadership traits and jewelry knowledge. To help our team members succeed in their roles, we emphasize ongoing training and development opportunities. These include, but are not limited to, role-based training for our retail team members, safety and security protocols, updates on new products and service offerings, and deployment of technologies. Our jewelry consultants engage in ongoing training and education on diamonds, precious gemstones and metals.

Total Rewards

Our emphasis on rewarding our retail team members with competitive wages and benefits provides a compelling package. Signet was an early retail adopter in setting a minimum wage of $15/hour for our US operations since the fall of Fiscal 2022. Jewelry consultants, the primary hourly paid position in stores, are also eligible for individual sales commission as well as a team bonus. Competitive benefits are critical to our success in identifying, recruiting, retaining, and incentivizing our existing and prospective team members. Signet aims to be a destination employer for both full-time and part-time workers in the retail space. Approximately 50% of our retail team members in North America are full-time and are offered medical, dental, vision and life insurance, and all eligible team members, regardless of full-time or part-time status, are offered a portfolio of benefits including paid time off and wellness benefits. Signet expands its benefits each year to retain and attract top talent. In Fiscal 2026, Signet made our benefits package more appealing to retail workers by offering immediate health insurance eligibility for non-exempt US team members. All US team members can contribute to a 401(k) plan, with a company matching contribution formula that provides up to a 3% matching opportunity. Signet offers Employee Assistance Programs to all US and international team members. The benefits package provided to Signet's international team members vary by country.

Workplace Health and Safety

We strive to maintain a safe and secure work environment and have specific safety programs. This includes administering a comprehensive occupational injury-and illness-prevention program and training for team members.

Collective bargaining

We respect our employees' rights to organize and engage in bargaining in good faith to reach a collective agreement that meets team members' needs. Our diamond polishing factory employees in Gaborone, Botswana are covered by a collective bargaining agreement (represents less than 1% of Signet's total employees). None of our employees in the UK and North America are covered by collective bargaining agreements.

Additional information about the Company's human capital management can be found in the Corporate Citizenship & Sustainability Report, which is available on the Company's website. The Corporate Citizenship & Sustainability Report is not, and will not be deemed to be, a part of this Annual Report on Form 10-K or incorporated by reference into any of the Company's other filings with the SEC.

MARKETS

Signet operates primarily in the US, Canada and UK markets.

Based on industry and transaction data from MasterCard Spending Pulse and market research company Circana, we estimate that the total US jewelry and watch market was approximately $63 billion in calendar year 2025, flat to the prior year. This implies a Signet jewelry and watch market share of 8.5%, virtually flat to the prior year. Since 2021, the industry average annual growth rate has decreased by approximately 2%. According to the latest data from the Jewelers Board of Trade, as of September 2025 there were approximately 16,800 jewelry retail stores in the US, down approximately 2% from the prior year.

Canada

The average of the most recent Canada jewelry and watch market estimates published by Euromonitor in January 2026 and Statista in July 2025 was approximately C$7.5 billion (adjusted to exclude Quebec) in calendar year 2025, an estimated increase of approximately 3% from the previous year based on these sources. Since 2021, based on the average of the above sources, the industry annual growth rate has been approximately 5%.

In the UK, the jewelry and watch market was approximately £7.7 billion in calendar year 2025 based on the average of estimates published by Euromonitor in January 2026, Statista in July 2025 and Mintel in August 2025, an estimated increase of approximately 2% from the previous year based on these sources. Since 2021, based on the average of the above sources, the industry annual growth rate has been approximately 5%.

TRADEMARKS AND TRADE NAMES

Signet is not dependent on any material patents or licenses in any of its reportable segments. Signet has several well-established trademarks and trade names associated with its brands which are significant in maintaining its reputation and competitive position in the jewelry retailing industry. Some of these trademarks and trade names include the following:

Kay®; Kay Jewelers®; Kay Jewelers Outlet®; Jared®; Jared The Galleria Of Jewelry®; Jared Vault®; Jared JewelersTM; Jared FoundryTM; Jared Atelier®; Every Kiss Begins with Kay®; Every Kiss®; Kay SignatureTM; Celebrate Life Express LoveTM; Leo®; The Leo DiamondTM; Chosen®; Ever Us®; James Allen®; Unstoppable Love®; Radiant Reflections®; Bold Reflections®; Vault Rewards®; Diamonds Direct®; Your Love. Our Passion.®; Rocksbox®; and Blue Nile®.

Zales®; Zales JewelersTM; Zales the Diamond Store®; Zales Outlet®; Zales EssentialsTM; Gordon's Jewelers®; Peoples Jewellers®; Peoples the Diamond Store®; Peoples Outlet the Diamond Store®; Banter®; Banter by Piercing PagodaTM; Arctic Brilliance®; and Arctic Brilliance Canadian Diamonds®.

H.Samuel®; Ernest Jones®; Ernest Jones The Outlet CollectionTM; Forever Diamonds®; Princessa Collection®; Secrets of the Sea®; It Feels Good To GiftTM; The Eternal Diamond - Cut From The Stars®; Style to Make You SmileTM; Celebrate Your Story®; Origin by Ernest Jones®; and Harriet®.

SEASONALITY

Signet's business is seasonal, with the fourth quarter historically accounting for approximately 35-40% of annual sales, as well as for a substantial portion of the annual operating income and cash flows. The Holiday Season consists of results for the months of November and December, with December being the highest volume month of the year.

REGULATION

As a company with both US and international operations, we are required to comply with numerous laws and regulations in the jurisdictions in which we operate, covering areas such as consumer protection, consumer privacy, data protection, consumer credit, consumer credit insurance, health and safety, waste disposal, supply chain integrity, truth in advertising and employment. Signet monitors changes in these laws to maintain compliance with applicable requirements.

CLIMATE CHANGE

Signet recognizes that climate change poses a systemic risk to its business operations, supply chain and long-term strategy. Adverse effects of climate change, such as extreme weather events, particularly over a prolonged period, could negatively impact the Company's business and results of operations if such conditions limit our consumers' ability to access our stores, cause our consumers to limit discretionary spending, or disrupt our vendors, global supply chains or distribution channels. Signet manages these risks through various processes, including continuous review of our physical footprint, utilization of supplier questionnaires to assess environmental performance, and the establishment of its CSGs (as previously discussed).

Signet has put a governance structure in place to monitor climate risks and adjust business operations accordingly. Two Board-level committees at Signet are responsible for monitoring climate risks: (1) the Audit Committee oversees all enterprise risks across the Company; and (2) the Governance Nominations & Sustainability Committee oversees enterprise-wide policy regarding Signet's 2030 CSGs, including the Company's plan to reduce greenhouse gas ("GHG") emissions, and provides management oversight for opportunities and risks that may significantly impact the Company's sustainability objectives and related initiatives on business performance. At the management level, Signet's Climate Action and Sustainability Committee, led by an in-house sustainability team to manage our climate strategy, is comprised of senior leaders across Signet's business operations. This committee meets periodically to review GHG performance, regulatory developments, and the effectiveness of internal controls and disclosures.

Signet continuously improves business processes and systems required to disclose GHG emissions with sufficient controls and assurances to satisfy statutory reporting requirements and applicable climate-related emissions reporting rules at the federal and state level. While the Company has established systems and processes to identify and manage climate-related risks, additional analysis of longer-term climate scenarios may be necessary to further evaluate potential physical and transition risks in order to inform business and operational strategies longer term.

See the "Risk Factors" section in Item 1A of this Annual Report on Form 10-K for additional information related to the potential impacts of climate change on our business.

AVAILABLE INFORMATION

Signet files annual reports on Form 10-K, quarterly reports on Form 10-Q, current reports on Form 8-K, proxy statements and other information with the SEC. Such information, and amendments to reports previously filed or furnished, is available free of charge from the Company's corporate website, https://www.signetjewelers.com, as soon as reasonably practicable after such materials are filed with or furnished to the SEC. The SEC also maintains an internet site at https://www.sec.gov that contains the Company's filings.

‌ITEM 1A. RISK FACTORS

Risks Related to Global and Economic Conditions

Many of the factors affecting consumer spending are outside of our control, and a decline in consumer spending may unfavorably impact Signet's future sales and earnings, particularly if such decline occurs during the Holiday Season.

Our financial performance is somewhat dependent on US consumer confidence and the broader economic environment. Overall economic conditions in the US, Canada, UK, and Europe impact our revenue and earnings. A deterioration in these conditions, particularly in the mid-tier and accessible luxury segments, could further pressure our future sales and profitability. The UK economy is also influenced by the Eurozone, which may affect our International segment and have ripple effects on the US economy.

Discretionary consumer spending is influenced by numerous factors including but not limited to: economic conditions, inflation, consumer confidence, unemployment, disposable income, interest rates, debt levels, credit availability, taxation, changes in government stimulus and assistance programs, shifts in discretionary spending toward travel and experiences. As our sales are highly seasonal, adverse economic shifts or changes in these factors during the Holiday Season could amplify negative impacts. While we serve a broad customer base, our mid-market store brands are more vulnerable to inflation and reductions in government stimulus than luxury jewelry retailers or even our own accessible luxury store brands.

Consumer spending is also affected by factors beyond our control, including wage levels, merchandise demand trends, competitive retail activity, supply chain disruptions, rising costs of necessities, weather and natural disasters (including those linked to climate change), public health crises, geopolitical conflicts, and social unrest. These pressures could reduce store traffic, same-store sales, and average transaction values, while causing us to increase promotional activity, which would negatively affect margins and overall financial performance, particularly if prolonged.

Jewelry is a discretionary purchase often perceived as a luxury, making it sensitive to economic downturns and declines in disposable income. During recessions or periods of high unemployment, consumers tend to reduce discretionary spending. To address demand fluctuations, we have historically adjusted pricing and promotions, but such measures can pressure margins and earnings.

Additionally, competition from other discretionary spending categories such as electronics, entertainment, and travel (especially during the Holiday Season) can further shift consumer priorities.

Rising inflation and increased operating costs including but not limited to tariffs, materials, labor, fulfillment and advertising may negatively impact our business. If we are unable to adjust pricing to offset these cost increases without negatively impacting demand, profitability may decline. Sharp commodity cost increases, including the recent impacts of gold and silver pricing, may create a lag before they are reflected in retail prices, affecting margins. If sustained, these costs may require higher inventory funding or adjustments in product offerings, disrupting sales and liquidity.

Any deterioration in consumers' financial position, changes to the regulatory requirements regarding the granting of credit to customers or disruption in the availability of credit to customers could adversely impact the Company's sales and earnings.

Approximately 42% of Signet's sales in the US and Canada utilize third-party customer financing or payment programs, with the additional purchases being made in cash or using third-party bank cards. Any significant deterioration in general economic conditions, including a potential recession, or increase in consumer debt levels may inhibit consumers' use of credit and decrease consumers' ability to satisfy requirements for access to customer financing or payment options, which could in turn have an adverse effect on the Company's sales.

Additionally, the ability of Signet's customers to obtain credit from our private label credit card providers and the terms of such credit depends on many factors, including continued arrangements with the parties providing the credit financing and compliance with applicable laws and regulations in the US and Canada, any of which may change from time to time. As discussed further in Note 11 to the consolidated financial statements in Item 8, Signet has outsourced its third-party credit programs, however, if any of those third-party credit agreements were to terminate, Signet may need to enter into other arrangements with

other third parties. If Signet is unable to find other potential providers to supply a similar third-party credit program and alternative payment options, Signet's ability to extend credit to customers could be impaired, which could have an adverse effect on our business.

Any new regulatory initiatives or investigations by federal or state authorities, including a potential cap on late fees or relating to the Company's in-store credit practices, promotions, and payment protection products could impose additional costs and/or restrictions on credit practices of the North America segment, which could have an adverse effect on the conduct of Signet's business.

Because of the highly seasonal nature of Signet's sales, any one of these factors that occurs during the Holiday Season would have an increased adverse impact.

New tariffs, trade embargoes, sanctions or other restrictions on foreign trade, if imposed against entire nations or specific goods, supplies or materials that the Company imports, could have an adverse effect on the Company's results of operations, cash flows or financial condition.

The Company sources almost all of its retail merchandise, which includes jewelry, watches, and cut and polished diamonds, from suppliers that manufacture outside of the US. Historically, approximately half of the finished merchandise and loose diamonds that Signet has purchased have been imported from India. Other key sourcing countries include Thailand, Italy, China, Botswana and Japan. In addition, many of the supplies, materials and fixtures used in our stores and operations are imported from foreign countries including but not limited to China, Mexico, and Canada.

Government officials in the US, Canada and the UK have periodically imposed tariffs on goods and materials that the Company imports. Since February 1, 2025, the US administration has announced a series of new tariffs and trade penalties affecting imports from a broad range of countries, including key sourcing countries for the Company noted above.

The imposition of additional or increased tariffs on jewelry or other supplies and materials that the Company imports from India or other countries, or the Company's inability to successfully manage inventory from such countries, could require the Company to further increase prices to its customers or, if unable to do so, result in reduced sales or lower gross margins.

Moreover, the evolving global tariff environment has caused, and is likely to continue to cause, significant uncertainty and instability in international trade and financial markets. The continuation of elevated tariffs, as well as retaliatory measures by foreign governments, have and may continue to adversely affect consumer sentiment and inflationary pressures, which has and may continue to reduce demand for our products. Also, disruptions and volatility in the financial markets may lead to adverse changes in the availability, terms, and cost of capital. These conditions, as well as the Company's inability to mitigate the risks related to tariffs, could have a material adverse impact on our business, results of operations, cash flows or financial condition.

Public health crises or disease outbreaks, epidemics or pandemics, such as COVID-19, have had and may in the future have a significant adverse impact on our business, financial condition, results of operations and cash flows and may exacerbate the effect of other risk factors on our business.

A public health crisis or disease outbreak, epidemic or pandemic, such as COVID-19, or the threat or fear of such an event, could adversely impact our business. COVID-19 significantly impacted consumer traffic and our retail sales during Fiscal 2021 and had long-term impacts on consumer shopping habits and trends. The scope, duration, and severity of any future public health crisis, as well as related governmental, regulatory, or behavioral responses, are inherently uncertain and could result in disruptions to our operations, supply chain, workforce availability, consumer demand, and financial markets.

A reduction in traffic to shopping malls or centers, including the closing of other destination retailers in the shopping areas where our stores are located, could significantly reduce our sales and leave us with excess inventory, which could have a material adverse effect on our business, financial condition, profitability, and cash flows.

Many Signet stores are located within shopping malls or shopping centers and benefit from heavy consumer traffic in such locations. Due to the increase in online shopping, there has been a substantial decline in shopping mall and shopping center traffic. If the Company does not focus its locations in attractive areas and/or increase its online sales, this trend away from shopping mall and shopping center purchases could adversely impact Signet's operations and financial condition. As Signet tests and develops new types of store locations and designs, there is no certainty as to their success.

Additionally, because many Signet stores are located within shopping malls or shopping centers, our sales are derived, in part, from the volume of traffic generated by the other destination retailers and the anchor stores in the malls and shopping centers where our stores are located. Customer traffic to these shopping areas may be adversely affected by the closing of such destination retailers or anchor stores, or by a reduction in traffic to such stores resulting from a regional or global economic downturn, an outbreak of flu or other viruses, increased crime, a general downturn in the local area where our store is located, or a decline in the desirability of the shopping environment of a particular mall or shopping center. Such a reduction in customer traffic would reduce our sales and leave us with excess inventory, which could have a material adverse effect on our business, financial condition, profitability, and cash flows. We may respond by increasing markdowns, initiating marketing promotions, or transferring product to other stores to reduce excess inventory, which would further decrease our gross margins and operating income.

Fluctuations in foreign exchange rates could adversely impact the Company's results of operations and financial condition.

Signet prepares its consolidated financial statements in US dollars. At January 31, 2026, Signet held approximately 90% of its total assets in entities whose functional currency is the US dollar and generated approximately 91% of its sales in US dollars for the fiscal year then ended. All the remaining assets and sales are primarily in British pounds and Canadian dollars. Therefore, the Company's results of operations and balance sheet are subject to fluctuations in the exchange rates between the US dollar and both the British pound and Canadian dollar. Accordingly, any decrease in the weighted average value of the British pound or Canadian dollar against the US dollar would decrease reported sales and operating income.

The monthly average exchange rates are used to prepare the statements of operations and are calculated based on the daily exchange rates experienced by the International segment and the Canadian subsidiaries of the North America segment in the fiscal month. If British pounds or Canadian dollars are held or used to fund the cash flow requirements of the business, any decrease in the weighted average value of the British pound or Canadian dollar against the US dollar would reduce the amount of cash and cash equivalents.

Signet uses foreign currency derivative instruments to hedge certain exposures to currency exchange rate risks. Market conditions, particularly in the UK and Canada could result in significant volatility in currency exchange rate fluctuations and increase Signet's exposure to foreign currency exchange rate risks and reduce its ability to effectively use certain derivative instruments to hedge risks. In addition, the prices of certain materials and products bought on the international markets by Signet are denominated in foreign currencies. As a result, Signet has exposures to exchange rate fluctuations on its cost of goods sold, as well as volatility of input prices if foreign manufacturers and suppliers are impacted by exchange rate fluctuations.

Our future results of operations may be adversely affected by input cost inflation.

Many aspects of our business have been, and may continue to be, directly affected by volatile commodity costs and other inflationary pressures. Commodities, such as diamonds and precious metals, are subject to price volatility which can be caused by commodity market fluctuations, changes in currency exchange rates, imbalances between supply and demand, and government programs and tariffs, policies and sanctions among other factors. Volatile fuel costs translate into unpredictable costs for the products and services we receive from our third-party providers. While we seek to offset increased input costs with a combination of price increases to our customers, purchasing strategies, cost savings initiatives and operating efficiencies, we may be unable to fully offset our increased

costs or unable to do so in a timely manner. If we are unable to fully offset such cost increases, our financial results could be materially adversely affected.

Signet's business could be adversely affected by extreme weather conditions, natural disasters, or terrorism and acts of war.

Extreme weather conditions in the areas in which the Company's stores are located have negatively impacted sales in the past and could negatively affect the Company's business and results of operations in the future. For example, frequent or unusually heavy snowfall, ice storms, flooding, extreme heat, prolonged cold periods, or other extreme weather conditions, whether as a result of climate change or otherwise, over a prolonged period could make it difficult for the Company's sales force or customers to travel to its stores and thereby reduce the Company's sales and profitability, particularly if such events occur during the Company's Holiday Season. In addition, natural disasters such as hurricanes, tornadoes, floods, earthquakes, or wildfires, or a combination of these or other factors, could damage or destroy the Company's facilities or make it difficult for the sales force or customers to travel to its stores, thereby negatively affecting the Company's business and results of operations.

Terrorism, armed conflict, and acts of war (or the expectation of such events), both in the US and abroad, could also have a significant impact on Signet's business and the worldwide economy. At times throughout the past several years, volatile geopolitical conditions have impacted the financial markets. Significant market volatility, and government actions taken in response, may exacerbate some of the risks we face. Conflicts abroad could cause decreased demand for the Company's products as consumers' attention and interests are diverted from jewelry and become focused on issues relating to these events or may impact consumers' ability to purchase discretionary items, including jewelry, due to prolonged macroeconomic effects such as the rising cost of energy. For instance, the Russia-Ukraine and recent Iran-Middle East conflicts have adversely impacted and could continue to adversely impact, among other things, certain of the Company's local markets and suppliers, global and local macroeconomic conditions, foreign exchange rates and financial markets, raw material, energy and transportation costs, and cause further supply chain disruptions. In addition, Signet operates quality control and technology centers in Israel. The recent Middle East conflicts could cause a disruption to Signet's operations including, but not limited to, delays in product quality certification, failure to maintain or timely update the e-commerce platform for our Digital brands or impact our supply chain with vendors located in the Middle East. An inability to receive products after quality control, shortages of products or difficulties in procuring Signet's products, or a disruption or shutdown of our digital brand websites, among others, may adversely impact our ability to commercialize, manufacture or market our products in a timely manner, any of which could have an adverse effect on Signet's results of operations. Furthermore, there have been travel advisories imposed related to travel to Israel, and restriction on travel, or delays and disruptions as related to imports and exports may be imposed in the future. Volatile geopolitical conditions give rise to regional instability and may result in heightened economic sanctions from the US and the international community in a manner that adversely affects Signet's business and may impact its ability to manufacture and ship its merchandise for sale to customers. Given that Signet's control over such issues, including both weather disasters and large-scale violence, is extremely limited, the Company may not have the ability to mitigate the impacts of such occurrences on its business and operations.

Risks Related to Our Operations and Seasonality

Fluctuations in the pricing and availability of commodities, particularly polished diamonds and gold, which account for the majority of Signet's merchandise costs, could adversely impact our earnings, inventory valuations and cash availability.

The jewelry industry is subject to significant fluctuations in the pricing and availability of natural and lab-grown diamonds, gold, silver, and other precious metals and stones. Increases in commodity costs may adversely affect our merchandise margins, earnings, and cash requirements. While we may seek to mitigate rising costs through product redesign, assortment changes, or pricing actions, such measures may not be successful, timely, or accepted by customers and could negatively impact demand.

Diamond pricing and availability are influenced by a range of factors outside our control, including mining and production decisions by major producers, supply chain inventory practices, geopolitical conditions in producing countries, trade sanctions, and regulatory frameworks such as the Kimberley Process. In addition, climate-related impacts such as severe weather may increase the cost and complexity of jewelry production, including diamond mining, cutting and polishing. Although Signet and its key suppliers source conflict-free diamonds from around the world, some supplier locations may be more vulnerable to flooding, extreme heat, sea-level rise or other physical risks than others. Disruptions in these regions could restrain supply, increase production costs, or affect distribution channels. Disruptions to diamond supply, changes in consumer demand for natural or lab-grown diamonds, or adverse consumer perceptions regarding the diamond supply chain could negatively affect our business.

Constraints in the supply of diamonds of the size, quality, or characteristics required for our assortments may require changes to our sourcing practices, inventory strategies, or commercial arrangements, including holding higher inventory levels or committing capital earlier in the supply chain. These actions may increase cash usage, operational complexity, or risk, and may not generate the anticipated benefits.

Disclaimer

Signet Jewelers Ltd. published this content on May 14, 2026, and is solely responsible for the information contained herein. Distributed via Public Technologies (PUBT), unedited and unaltered, on May 14, 2026 at 23:04 UTC.