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Income taxes (Tables)

12 Months Ended

Feb. 03, 2024

Income Tax Disclosure [Abstract]

Schedule of Income before Income Tax, Domestic and Foreign

(in millions)			Fiscal 2024						Fiscal 2023						Fiscal 2022
Income before income taxes:
– US			$	320.5					$	281.2					$	665.9
– Foreign			319.3						170.0						218.5
Total income before income taxes			$	639.8					$	451.2					$	884.4
Current taxation:
– US			$	(14.8)					$	157.1					$	108.1
– Foreign			24.5						16.7						7.6
Deferred taxation:
– US			82.0						(70.4)						8.4
– Foreign			(262.3)						(28.9)						(9.6)
Total income tax expense (benefit)			$	(170.6)					$	74.5					$	114.5

Schedule of Effective Income Tax Rate Reconciliation

As the statutory rate of corporation tax in Bermuda is 0%, the differences between the US federal income tax rate and the effective tax rates for Signet have been presented below:

			Fiscal 2024						Fiscal 2023						Fiscal 2022
US federal income tax rates			21.0		%				21.0		%				21.0		%
US state income taxes			2.7		%				2.9		%				3.3		%
Differences between US federal and foreign statutory income tax rates			0.4		%				0.8		%				(0.1)		%
Expenditures permanently disallowable for tax purposes, net of permanent tax benefits			(0.4)		%				(1.4)		%				—		%
Impact of global reinsurance arrangements			(5.8)		%				(8.7)		%				(2.2)		%
Impact of global financing arrangements			(1.5)		%				(2.2)		%				(0.6)		%
Bermuda economic transition adjustment			(41.1)		%				—		%				—		%
CARES Act			—		%				—		%				(1.4)		%
Valuation allowance			(0.3)		%				—		%				(6.5)		%
Other items			(1.7)		%				4.1		%				(0.6)		%
Effective tax rate			(26.7)		%				16.5		%				12.9		%

Schedule of Deferred Tax Assets and Liabilities

Deferred tax assets (liabilities) consisted of the following:

			February 3, 2024																		January 28, 2023
(in millions)			Assets						(Liabilities)						Total						Assets						(Liabilities)						Total
Intangible assets			$	—					$	(99.6)					$	(99.6)					$	—					$	(100.6)					$	(100.6)
US property, plant and equipment			—						(37.2)						(37.2)						—						(70.0)						(70.0)
Foreign property, plant and equipment			—						(1.4)						(1.4)						0.7						—						0.7
Inventory valuation			—						(243.7)						(243.7)						—						(208.1)						(208.1)
Revenue deferral			69.0						—						69.0						79.3						—						79.3
Lease assets			—						(225.6)						(225.6)						—						(230.3)						(230.3)
Lease liabilities			249.0						—						249.0						262.2						—						262.2
Deferred compensation			9.1						—						9.1						8.0						—						8.0
Retirement benefit obligations			—						—						—						—						(0.2)						(0.2)
Share-based compensation			11.0						—						11.0						8.6						—						8.6
Other temporary differences			33.4						—						33.4						95.6						—						95.6
Bermuda economic transition adjustment			263.3						—						263.3						—						—						—
163(j) interest carryforward			12.3						—						12.3						13.8						—						13.8
Net operating losses			66.0						—						66.0						65.9						—						65.9
Value of capital losses			11.5						—						11.5						13.2						—						13.2
Total gross deferred tax assets (liabilities)			$	724.6					$	(607.5)					$	117.1					$	547.3					$	(609.2)					$	(61.9)
Valuation allowance			(18.3)						—						(18.3)						(19.0)						—						(19.0)
Deferred tax assets (liabilities)			$	706.3					$	(607.5)					$	98.8					$	528.3					$	(609.2)					$	(80.9)
Disclosed as:
Non-current assets															$	300.5																	$	36.7
Non-current liabilities															(201.7)																		(117.6)
Deferred tax assets (liabilities)															$	98.8																	$	(80.9)

Summary of Valuation Allowance

The following table is a rollforward of the Company’s deferred tax asset valuation allowance:

(in millions)			Fiscal 2024						Fiscal 2023						Fiscal 2022
Beginning balance			$	19.0					$	27.9					$	83.9
Charged (credited) to income tax expense			(2.0)						—						(43.8)
Increases from acquisitions			1.4						1.9						—
Lapsed due to expiration of benefit			(0.3)						(9.7)						(11.9)
Foreign currency translation			0.2						(1.1)						(0.3)
Ending balance			$	18.3					$	19.0					$	27.9

Schedule of Unrecognized Tax Benefits Roll Forward

The following table summarizes the activity related to the Company’s unrecognized tax benefits for US federal, US state and non-US tax jurisdictions:

(in millions)			Fiscal 2024						Fiscal 2023						Fiscal 2022
Unrecognized tax benefits, beginning of period			$	85.9					$	24.9					$	25.4
Increases related to current year tax positions			1.5						1.6						2.0
Increases from acquisitions			—						2.3						—
Increases related to prior year tax positions			—						59.6						0.4
Settlements with tax authorities			(59.6)						—						—
Lapse of statute of limitations			(1.8)						(2.4)						(2.9)
Foreign currency translation			—						(0.1)						—
Unrecognized tax benefits, end of period			$	26.0					$	85.9					$	24.9

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