v3.25.1
Note 15 - Segment Information
 12 Months Ended
Feb. 01, 2025
Notes to Financial Statements  
Segment Reporting Disclosure [Text Block]

(15)

Segment Information

 

The Company’s operations are conducted through three operating segments consisting of DTC, commercial and international franchising. The DTC segment includes the operating activities of corporately-managed locations and other retail delivery operations in the U.S., Canada, the Republic of Ireland and the U.K., including the Company’s e-commerce sites and temporary stores. The commercial segment includes the Company’s transactions with other businesses, mainly comprised of wholesale activities, licensing the Company’s intellectual properties for third party use, and entertainment activities. The international franchising segment includes the licensing activities of the Company’s franchise agreements with store locations in select countries in Asia, Australia, the Middle East, Africa, and South America. The operating segments have discrete sources of revenue, different capital structures and different cost structures. These operating segments represent the basis on which the Company’s Chief Executive Officer, who is also the Chief Operating Decision Maker ("CODM"), regularly evaluates the business in assessing performance, determining the allocation of resources and the pursuit of future growth opportunities. The CODM uses contribution margin to allocate resources across the reportable segments as part of the Company's long-range and annual planning processes, and to evaluate planned versus actual results when assessing segment operating performance.  Accordingly, the Company has determined that each of its operating segments represent a reportable segment. The three reportable segments follow the same accounting policies used for the Company’s consolidated financial statements.

 

Following is a summary of the financial information for the Company’s reporting segments (in thousands):

 

  

Direct-to-

      

International

     
  

Consumer

  

Commercial

  

Franchising

  

Total

 
                 

Fifty-two weeks ended February 1, 2025

                

Total Revenue

 $460,325  $31,387  $4,692  $496,404 

Cost of Goods Sold

  207,200   13,439   3,247   223,886 

Gross Profit

  253,125   17,948   1,445   272,518 

Selling, General & Administrative

  134,076   1,166   -   135,242 

Contribution Margin

  119,049   16,782   1,445   137,276 

Overhead Expenses(1)

           70,996 

Interest Expense (Income)

           (861)

Income before income taxes

          $67,141 
                 

Fifty-three weeks ended February 3, 2024

                

Total Revenue

 $456,163  $25,413  $4,538  $486,114 

Cost of Goods Sold

  206,815   12,091   2,816   221,722 

Gross Margin

  249,348   13,322   1,722   264,392 

Selling, General & Administrative

  127,722   4,102   -   131,824 

Contribution Margin

  121,626   9,220   1,722   132,568 

Overhead Expenses(1)

           67,168 

Interest Expense (Income)

           (929)

Income before income taxes

          $66,329 
                 

Fifty-two weeks ended January 28, 2023

                

Total Revenue

 $446,181  $18,523  $3,233  $467,937 

Cost of Goods Sold

  211,489   8,591   1,985   222,065 

Gross Profit

  234,692   9,932   1,248   245,872 

Selling, General & Administrative

  118,550   44   -   118,594 

Contribution Margin

  116,142   9,888   1,248   127,278 

Overhead Expenses(1)

           65,335 

Interest Expense (Income)

           19 

Income before income taxes

          $61,924 

 

(1)Overhead expenses contain selling, general and administrative expenses not attributable to a segment.

 

 

 

 

Total assets, depreciation and amortization, and capital expenditures for the Company's segments, as well as for Corporate and support, are as follows:

 

   

Direct-to-

      

International

         
   

Consumer

  

Commercial

  

Franchising

  

Corporate

  

Total

 
                      

Fifty-two weeks ended February 1, 2025

                     
 

Total Assets

 $170,132  $11,712  $2,571  $105,541  $289,956 
 

Depreciation and amortization

  10,551   204   -   4,017   14,772 
 

Capital Expenditures

  11,414   -   -   7,903   19,317 

Fifty-three weeks ended February 3, 2024

                     
 

Total Assets

 $195,373  $8,801  $1,225  $66,926  $272,325 
 

Depreciation and amortization

  9,517   393   -   3,747   13,657 
 

Capital Expenditures

  6,733   -   -   11,562   18,295 

Fifty-two weeks ended January 28, 2023

                     
 

Total Assets

 $84,233  $7,466  $1,107  $187,988  $280,794 
 

Depreciation and amortization

  8,501   510   -   3,471   12,482 
 

Capital Expenditures

  3,922   -   -   9,712   13,634 

 

The Company’s reportable segments are primarily determined by the types of products and services that they offer. Each reportable segment may operate in many geographic areas. Revenues are recognized in the geographic areas based on the location of the customer or franchisee. The following schedule is a summary of the Company’s sales to external customers (in thousands):

 

  

North

             
  

America (1)

  

Europe (2)

  

Other (3)

  

Total

 
                 

Fifty-two weeks ended February 1, 2025

                

Net sales to external customers

 $425,139  $65,233  $6,032  $496,404 

Fifty-three weeks ended February 3, 2024

                

Net sales to external customers

 $426,244  $56,141  $3,729  $486,114 

Fifty-two weeks ended January 28, 2023

                

Net sales to external customers

 $408,881  $55,854  $3,202  $467,937 

 

For purposes of this table only:

 

(1)

North America includes corporately-managed stores in the United States and Canada.

(2)

Europe includes corporately-managed stores in the U.K. and Ireland.

(3)

Other includes franchise businesses outside of North America and Europe.

 

(a)(2) Financial Statement Schedules