Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
Jan. 30, 2016 | Mar. 21, 2016 | Jul. 31, 2015 | |
Entity Registrant Name | DICKS SPORTING GOODS INC | ||
Entity Central Index Key | 1,089,063 | ||
Document Type | 10-K | ||
Document Period End Date | Jan. 30, 2016 | ||
Amendment Flag | false | ||
Current Fiscal Year End Date | --01-30 | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Public Float | $ 4,662,073,283 | ||
Document Fiscal Year Focus | 2,015 | ||
Document Fiscal Period Focus | FY | ||
Common Stock | |||
Entity Common Stock, Shares Outstanding | 90,022,393 | ||
Class B Common Stock | |||
Entity Common Stock, Shares Outstanding | 24,900,870 |
CONSOLIDATED STATEMENTS OF INCO
CONSOLIDATED STATEMENTS OF INCOME - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | ||
Jan. 30, 2016 | Jan. 31, 2015 | Feb. 01, 2014 | |
Income Statement [Abstract] | |||
Net sales | $ 7,270,965 | $ 6,814,479 | $ 6,213,173 |
Cost of goods sold, including occupancy and distribution costs | 5,088,078 | 4,727,813 | 4,269,223 |
GROSS PROFIT | 2,182,887 | 2,086,666 | 1,943,950 |
Selling, general and administrative expenses | 1,613,075 | 1,502,089 | 1,386,315 |
Pre-opening expenses | 34,620 | 30,518 | 20,823 |
INCOME FROM OPERATIONS | 535,192 | 554,059 | 536,812 |
Interest expense | 4,012 | 3,215 | 2,929 |
Other expense (income) | 305 | (5,170) | (12,224) |
INCOME BEFORE INCOME TAXES | 530,875 | 556,014 | 546,107 |
Provision for income taxes | 200,484 | 211,816 | 208,509 |
NET INCOME | $ 330,391 | $ 344,198 | $ 337,598 |
EARNINGS PER COMMON SHARE: | |||
Basic (in dollars per share) | $ 2.87 | $ 2.89 | $ 2.75 |
Diluted (in dollars per share) | $ 2.83 | $ 2.84 | $ 2.69 |
WEIGHTED AVERAGE COMMON SHARES OUTSTANDING: | |||
Basic (in shares) | 115,230 | 119,244 | 122,878 |
Diluted (in shares) | 116,794 | 121,238 | 125,628 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands | 12 Months Ended | ||
Jan. 30, 2016 | Jan. 31, 2015 | Feb. 01, 2014 | |
Statement of Comprehensive Income [Abstract] | |||
NET INCOME | $ 330,391 | $ 344,198 | $ 337,598 |
OTHER COMPREHENSIVE LOSS: | |||
Foreign currency translation adjustment, net of tax | (106) | (97) | (88) |
TOTAL OTHER COMPREHENSIVE LOSS | (106) | (97) | (88) |
COMPREHENSIVE INCOME | $ 330,285 | $ 344,101 | $ 337,510 |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Jan. 30, 2016 | Jan. 31, 2015 |
CURRENT ASSETS: | ||
Cash and cash equivalents | $ 118,936 | $ 221,679 |
Accounts receivable, net | 61,395 | 80,292 |
Income taxes receivable | 5,432 | 14,293 |
Inventories, net | 1,527,187 | 1,390,767 |
Prepaid expenses and other current assets | 99,740 | 91,767 |
Total current assets | 1,812,690 | 1,798,798 |
PROPERTY AND EQUIPMENT, NET | 1,347,885 | 1,203,382 |
INTANGIBLE ASSETS, NET | 109,440 | 110,162 |
GOODWILL | 200,594 | 200,594 |
OTHER ASSETS: | ||
Deferred income taxes | 6,165 | 8,954 |
Other | 82,562 | 69,814 |
Total other assets | 88,727 | 78,768 |
TOTAL ASSETS | 3,559,336 | 3,391,704 |
CURRENT LIABILITIES: | ||
Accounts payable | 677,864 | 614,511 |
Accrued expenses | 289,001 | 283,828 |
Deferred revenue and other liabilities | 184,386 | 172,259 |
Income taxes payable | 39,835 | 47,698 |
Current portion of other long-term debt and leasing obligations | 589 | 537 |
Total current liabilities | 1,191,675 | 1,118,833 |
LONG-TERM LIABILITIES: | ||
Other long-term debt and leasing obligations | 5,324 | 5,913 |
Deferred income taxes | 6,454 | 0 |
Deferred revenue and other liabilities | 566,696 | 434,733 |
Total long-term liabilities | $ 578,474 | $ 440,646 |
COMMITMENTS AND CONTINGENCIES | ||
STOCKHOLDERS' EQUITY: | ||
Preferred stock, par value $0.01 per share, authorized shares 5,000,000; none issued and outstanding | $ 0 | $ 0 |
Additional paid-in capital | 1,063,705 | 1,015,404 |
Retained earnings | 1,737,214 | 1,471,182 |
Accumulated other comprehensive loss | (179) | (73) |
Treasury stock, at cost, 20,604,263 and 13,208,580 at January 30, 2016 and January 31, 2015 respectively | (1,012,671) | (655,469) |
Total stockholders' equity | 1,789,187 | 1,832,225 |
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY | 3,559,336 | 3,391,704 |
Common Stock | ||
STOCKHOLDERS' EQUITY: | ||
Common stock | 869 | 932 |
Class B Common Stock | ||
STOCKHOLDERS' EQUITY: | ||
Common stock | $ 249 | $ 249 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares | Jan. 30, 2016 | Jan. 31, 2015 |
Preferred stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Preferred stock, authorized shares | 5,000,000 | 5,000,000 |
Preferred stock, issued shares | 0 | 0 |
Preferred stock, outstanding shares | 0 | 0 |
Treasury stock shares acquired | 20,604,263 | 13,208,580 |
Common Stock | ||
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, authorized shares | 200,000,000 | 200,000,000 |
Common stock, issued shares | 107,454,893 | 106,414,288 |
Common stock, outstanding shares | 86,850,630 | 93,205,708 |
Class B Common Stock | ||
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, authorized shares | 40,000,000 | 40,000,000 |
Common stock, issued shares | 24,900,870 | 24,900,870 |
Common stock, outstanding shares | 24,900,870 | 24,900,870 |
CONSOLIDATED STATEMENTS OF CHAN
CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY - USD ($) $ in Thousands | Total | Additional Paid-In Capital | Retained Earnings | Accumulated Other Comprehensive Income (Loss) | Treasury Stock | Common StockCommon Stock | Common StockClass B Common Stock |
BALANCE at Feb. 02, 2013 | $ 1,587,324 | $ 874,236 | $ 911,704 | $ 112 | $ (199,958) | $ 981 | $ 249 |
BALANCE (in shares) at Feb. 02, 2013 | 98,104,692 | 24,900,870 | |||||
Increase (Decrease) in Stockholders' Equity | |||||||
Exercise of stock options | 43,482 | 43,460 | $ 22 | ||||
Exercise of stock options (in shares) | 2,154,201 | ||||||
Restricted stock vested | 0 | (9) | $ 9 | ||||
Restricted stock vested (in shares) | 913,759 | ||||||
Minimum tax withholding requirements | (13,168) | (13,165) | $ (3) | ||||
Minimum tax withholding requirements (in shares) | (281,786) | ||||||
Net income | 337,598 | 337,598 | |||||
Stock-based compensation | 27,119 | 27,119 | |||||
Total tax benefit from exercise of stock options | 27,302 | 27,302 | |||||
Foreign currency translation adjustment, net of taxes of $62, $57, and $51 for the year ended 2015, 2014, and 2013, respectively | (88) | (88) | |||||
Purchase of shares for treasury | (255,602) | (255,554) | $ (48) | ||||
Purchase of shares for treasury (in shares) | (4,825,205) | ||||||
Cash dividends declared per common share of $0.55, $0.50, and $0.50 for the year ended 2015, 2014, and 2013, respectively | (61,788) | (61,788) | |||||
BALANCE at Feb. 01, 2014 | 1,692,179 | 958,943 | 1,187,514 | 24 | (455,512) | $ 961 | $ 249 |
BALANCE (in shares) at Feb. 01, 2014 | 96,065,661 | 24,900,870 | |||||
Increase (Decrease) in Stockholders' Equity | |||||||
Exercise of stock options | 26,121 | 26,110 | $ 11 | ||||
Exercise of stock options (in shares) | 1,175,540 | ||||||
Restricted stock vested | 0 | (4) | $ 4 | ||||
Restricted stock vested (in shares) | 433,249 | ||||||
Minimum tax withholding requirements | (7,793) | (7,792) | $ (1) | ||||
Minimum tax withholding requirements (in shares) | (139,867) | ||||||
Net income | 344,198 | 344,198 | |||||
Stock-based compensation | 26,275 | 26,275 | |||||
Total tax benefit from exercise of stock options | 11,872 | 11,872 | |||||
Foreign currency translation adjustment, net of taxes of $62, $57, and $51 for the year ended 2015, 2014, and 2013, respectively | (97) | (97) | |||||
Purchase of shares for treasury | $ (200,000) | (199,957) | $ (43) | ||||
Purchase of shares for treasury (in shares) | (4,300,000) | (4,328,875) | |||||
Cash dividends declared per common share of $0.55, $0.50, and $0.50 for the year ended 2015, 2014, and 2013, respectively | $ (60,530) | (60,530) | |||||
BALANCE at Jan. 31, 2015 | 1,832,225 | 1,015,404 | 1,471,182 | (73) | (655,469) | $ 932 | $ 249 |
BALANCE (in shares) at Jan. 31, 2015 | 93,205,708 | 24,900,870 | |||||
Increase (Decrease) in Stockholders' Equity | |||||||
Exercise of stock options | 20,617 | 20,609 | $ 8 | ||||
Exercise of stock options (in shares) | 773,773 | ||||||
Restricted stock vested | 0 | (4) | $ 4 | ||||
Restricted stock vested (in shares) | 400,951 | ||||||
Minimum tax withholding requirements | (7,753) | (7,752) | $ (1) | ||||
Minimum tax withholding requirements (in shares) | (134,119) | ||||||
Net income | 330,391 | 330,391 | |||||
Stock-based compensation | 29,288 | 29,288 | |||||
Total tax benefit from exercise of stock options | 6,160 | 6,160 | |||||
Foreign currency translation adjustment, net of taxes of $62, $57, and $51 for the year ended 2015, 2014, and 2013, respectively | (106) | (106) | |||||
Purchase of shares for treasury | $ (357,276) | (357,202) | $ (74) | ||||
Purchase of shares for treasury (in shares) | (7,400,000) | (7,395,683) | |||||
Cash dividends declared per common share of $0.55, $0.50, and $0.50 for the year ended 2015, 2014, and 2013, respectively | $ (64,359) | (64,359) | |||||
BALANCE at Jan. 30, 2016 | $ 1,789,187 | $ 1,063,705 | $ 1,737,214 | $ (179) | $ (1,012,671) | $ 869 | $ 249 |
BALANCE (in shares) at Jan. 30, 2016 | 86,850,630 | 24,900,870 |
CONSOLIDATED STATEMENTS OF CHA7
CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY (Parenthetical) - USD ($) $ in Thousands | 12 Months Ended | ||
Jan. 30, 2016 | Jan. 31, 2015 | Feb. 01, 2014 | |
Statement of Stockholders' Equity [Abstract] | |||
Foreign currency translation adjustment, taxes | $ 62 | $ 57 | $ 51 |
Cash dividends declared per share (in dollars per share) | $ 0.55 | $ 0.50 | $ 0.50 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 12 Months Ended | ||
Jan. 30, 2016 | Jan. 31, 2015 | Feb. 01, 2014 | |
CASH FLOWS FROM OPERATING ACTIVITIES: | |||
Net income | $ 330,391 | $ 344,198 | $ 337,598 |
Adjustments to reconcile net income to net cash provided by operating activities: | |||
Depreciation and amortization | 193,594 | 179,431 | 154,928 |
Deferred income taxes | 9,243 | (6,259) | 24,563 |
Stock-based compensation | 29,288 | 26,275 | 27,119 |
Excess tax benefit from exercise of stock options | (6,825) | (11,953) | (26,906) |
Gain on sale of asset | 0 | (14,428) | 0 |
Other non-cash items | 626 | 576 | 581 |
Changes in assets and liabilities: | |||
Accounts receivable | (6,412) | 1,797 | (9,690) |
Inventories | (136,420) | (158,702) | (135,879) |
Prepaid expenses and other assets | (21,266) | (11,004) | (7,717) |
Accounts payable | 34,232 | 81,330 | 11,684 |
Accrued expenses | 5,190 | 16,158 | (7,117) |
Income taxes payable / receivable | 7,157 | 32,476 | (13,357) |
Deferred construction allowances | 165,616 | 101,630 | 47,760 |
Deferred revenue and other liabilities | 39,100 | 24,453 | 303 |
Net cash provided by operating activities | 643,514 | 605,978 | 403,870 |
CASH FLOWS FROM INVESTING ACTIVITIES: | |||
Capital expenditures | (370,028) | (349,007) | (285,668) |
Proceeds from sale of other assets | 0 | 74,534 | 11,000 |
Deposits and purchases of other assets | (2,406) | (30,547) | (64,507) |
Net cash used in investing activities | (372,434) | (305,020) | (339,175) |
CASH FLOWS FROM FINANCING ACTIVITIES: | |||
Revolving credit borrowings | 1,338,100 | 1,401,800 | 926,000 |
Revolving credit repayments | (1,338,100) | (1,401,800) | (926,000) |
Payments on other long-term debt and leasing obligations | (537) | (925) | (8,984) |
Construction allowance receipts | 0 | 0 | 0 |
Proceeds from exercise of stock options | 20,617 | 26,121 | 43,482 |
Excess tax benefit from exercise of stock options | 6,826 | 12,204 | 27,106 |
Minimum tax withholding requirements | (7,753) | (7,793) | (13,168) |
Cash paid for treasury stock | (357,276) | (200,000) | (255,602) |
Cash dividends paid to stockholders | (64,715) | (61,262) | (64,432) |
Increase (decrease) in bank overdraft | 29,121 | (29,258) | 43,508 |
Net cash used in financing activities | (373,717) | (260,913) | (228,090) |
EFFECT OF EXCHANGE RATE CHANGES ON CASH AND CASH EQUIVALENTS | (106) | (97) | (88) |
NET (DECREASE) INCREASE IN CASH AND CASH EQUIVALENTS | (102,743) | 39,948 | (163,483) |
CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD | 221,679 | 181,731 | 345,214 |
CASH AND CASH EQUIVALENTS, END OF PERIOD | 118,936 | 221,679 | 181,731 |
Supplemental disclosure of cash flow information: | |||
Accrued property and equipment | 43,481 | 42,900 | 40,745 |
Cash paid during the year for interest | 3,308 | 2,631 | 2,255 |
Cash paid during the year for income taxes | $ 186,741 | $ 186,790 | $ 206,397 |
Basis of Presentation and Summa
Basis of Presentation and Summary of Significant Accounting Policies | 12 Months Ended |
Jan. 30, 2016 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation and Summary of Significant Accounting Policies | Basis of Presentation and Summary of Significant Accounting Policies Operations ā Dick's Sporting Goods, Inc. (together with its subsidiaries, referred to as "the Company", "we", "us" and "our" unless specified otherwise) is a leading omni-channel sporting goods retailer offering an extensive assortment of authentic, high-quality sports equipment, apparel, footwear and accessories through a blend of dedicated associates, in-store services and unique specialty shop-in-shops. The Company also owns and operates Golf Galaxy, Field & Stream and other specialty concept stores as well as eCommerce websites at www.DICKS.com, www.golfgalaxy.com, www.fieldandstreamshop.com and www.caliastudio.com. Fiscal Year ā The Company's fiscal year ends on the Saturday closest to the end of January. Fiscal years 2015 , 2014 and 2013 ended on January 30, 2016 , January 31, 2015 and February 1, 2014 , respectively. Principles of Consolidation ā The Consolidated Financial Statements include Dick's Sporting Goods, Inc. and its wholly-owned subsidiaries. All intercompany accounts and transactions have been eliminated in consolidation. Use of Estimates in the Preparation of Financial Statements ā The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America ("U.S. GAAP") requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Cash and Cash Equivalents ā Cash and cash equivalents consist of cash on hand and all highly liquid instruments purchased with a maturity of three months or less at the date of purchase. Cash equivalents are considered Level 1 investments and totaled $35.2 million and $89.0 million at January 30, 2016 and January 31, 2015 , respectively. Cash Management ā The Company's cash management system provides for the reimbursement of all major bank disbursement accounts on a daily basis. Accounts payable at January 30, 2016 and January 31, 2015 include $135.1 million and $105.9 million , respectively, of checks drawn in excess of cash balances not yet presented for payment. Accounts Receivable ā Accounts receivable consist principally of amounts receivable from vendors and landlords. The allowance for doubtful accounts totaled $2.7 million as of January 30, 2016 and January 31, 2015 . Inventories ā Inventories are stated at the lower of weighted average cost or market. Inventory costs consist of the direct cost of merchandise including freight. Inventories are net of shrinkage, obsolescence, other valuation accounts and vendor allowances totaling $113.5 million and $100.2 million at January 30, 2016 and January 31, 2015 , respectively. Property and Equipment ā Property and equipment are recorded at cost and include capitalized leases. For financial reporting purposes, depreciation and amortization are computed using the straight-line method over the following estimated useful lives: Buildings 40 years Leasehold improvements 10-25 years Furniture, fixtures and equipment 3-7 years For leasehold improvements and property and equipment under capital lease agreements, depreciation and amortization are calculated using the straight-line method over the shorter of the estimated useful lives of the assets or the lease term. Leasehold improvements made significantly after the initial lease term are depreciated over the shorter of their estimated useful lives or the remaining lease term, including renewal periods, if reasonably assured. Depreciation expense was $178.9 million , $159.1 million and $151.5 million for fiscal 2015 , 2014 and 2013 , respectively. Renewals and betterments are capitalized and repairs and maintenance are expensed as incurred. Impairment of Long-Lived Assets and Closed Store Reserves ā The Company evaluates its long-lived assets to assess whether the carrying values have been impaired whenever events and circumstances indicate that the carrying value of these assets may not be recoverable based on estimated undiscounted future cash flows. An impairment loss is recognized when the estimated undiscounted cash flows expected to result from the use of the asset plus eventual net proceeds expected from disposition of the asset (if any) are less than the carrying value of the asset. When an impairment loss is recognized, the carrying amount of the asset is reduced to its estimated fair value as determined based on quoted market prices or through the use of other valuation techniques. The Company recognizes a liability for costs associated with closed or relocated premises when the Company ceases to use the location. The calculation of accrued lease termination and other costs primarily includes future minimum lease payments, maintenance costs and taxes from the date of closure or relocation to the end of the remaining lease term, net of contractual or estimated sublease income. The liability is discounted using a credit-adjusted risk-free rate of interest. The assumptions used in the calculation of the accrued lease termination and other costs are evaluated on a quarterly basis. The current portion of accrued store closing and relocation reserves is included within accrued expenses and the long-term portion is included within long-term deferred revenue and other liabilities on the Consolidated Balance Sheets. The related expense is recorded within selling, general and administrative expenses on the Consolidated Statements of Income. Goodwill ā Goodwill represents the excess of acquisition cost over the fair value of the net assets of acquired entities. The Company assesses the carrying value of goodwill annually or whenever circumstances indicate that a decline in value may have occurred. The goodwill impairment test is a two-step impairment test. In the first step, the Company compares the fair value of each reporting unit to its carrying value. The Company determines the fair value of its reporting units using a combination of a discounted cash flow and a market value approach. If the fair value of the reporting unit exceeds the carrying value of the net assets assigned to that reporting unit, goodwill is not impaired and the Company is not required to perform further testing. If the carrying value of the net assets assigned to the reporting unit exceeds the fair value of the reporting unit, then the Company must perform the second step in order to determine the implied fair value of the reporting unit's goodwill and compare it to the carrying value of the reporting unit's goodwill. If the carrying value of goodwill exceeds the implied estimated fair value, an impairment charge to selling, general and administrative expenses is recorded to reduce the carrying value to the implied estimated fair value. A reporting unit is the operating segment, or a business unit one level below that operating segment, for which discrete financial information is prepared and regularly reviewed by management. Intangible Assets ā Intangible assets consist primarily of trademarks and acquired trade names with indefinite lives, which are tested for impairment annually or whenever circumstances indicate that a decline in value may have occurred. The Company estimates the fair value of these intangible assets based on an income approach using the relief-from-royalty method. The Company's finite-lived intangible assets consist primarily of favorable lease assets and other acquisition related assets. Finite-lived intangible assets are amortized over their estimated useful economic lives and are reviewed for impairment when factors indicate that an impairment may have occurred. The Company recognizes an impairment charge when the estimated fair value of the intangible asset is less than the carrying value. Self-Insurance ā The Company is self-insured for certain losses related to health, workers' compensation and general liability insurance, although we maintain stop-loss coverage with third party insurers to limit our liability exposure. Liabilities associated with these losses are estimated in part by considering historical claims experience, industry factors, severity factors and other actuarial assumptions. Pre-opening Expenses ā Pre-opening expenses, which consist primarily of rent, marketing, payroll and recruiting costs, are expensed as incurred. Rent is recognized within pre-opening expense from the date of building turnover to the Company through the date of store opening. Earnings Per Common Share ā Basic earnings per common share is computed based on the weighted average number of shares of common stock outstanding during the period. Diluted earnings per common share is computed based on the weighted average number of shares of common stock, plus the effect of dilutive potential common shares outstanding during the period, using the treasury stock method. Dilutive potential common shares include outstanding stock options, restricted stock and warrants. Stock-Based Compensation ā The Company has the ability to grant restricted shares of common stock, restricted stock units and stock options to purchase common stock under the Dick's Sporting Goods, Inc. 2012 Stock and Incentive Plan. The Company records stock-based compensation expenses based on the fair value of stock awards at the grant date and recognizes the expense over the related service period. Income Taxes ā The Company utilizes the asset and liability method of accounting for income taxes and provides deferred income taxes for temporary differences between the amounts reported for assets and liabilities for financial statement purposes and for income tax reporting purposes, using enacted tax rates in effect in the years in which the differences are expected to reverse. The Company recognizes the tax benefit from an uncertain tax position only if it is more likely than not that the tax position will be sustained on examination by the relevant taxing authorities, based on the technical merits of the position. The tax benefits recognized in the Consolidated Financial Statements from such a position are measured based on the largest benefit that will more likely than not be realized upon ultimate settlement. Interest and penalties related to income tax matters are recognized in income tax expense. Revenue Recognition ā Revenue from retail sales is recognized at the point of sale, net of sales tax. Revenue from eCommerce sales is recognized upon shipment of merchandise. Service-related revenue is recognized as the services are performed. A provision for anticipated merchandise returns is provided through a reduction of sales and cost of goods sold in the period that the related sales are recorded. Revenue from gift cards and returned merchandise credits (collectively the "cards") is deferred and recognized upon the redemption of the cards. These cards have no expiration date. Income from unredeemed cards is recognized on the Consolidated Statements of Income within selling, general and administrative expenses at the point at which redemption becomes remote. The Company performs an evaluation of the aging of the unredeemed cards, based on the elapsed time from the date of original issuance, to determine when redemption becomes remote. Cost of Goods Sold ā Cost of goods sold includes the cost of merchandise, vendor allowances, inventory shrinkage, freight, distribution, shipping and store occupancy costs. The Company defines merchandise margin as net sales less the cost of merchandise sold. The cost of merchandise includes product costs paid to the vendor, including items such as purchase discounts and vendor chargebacks, as well as inventory write-downs for the lower of cost or market. Store occupancy costs include rent, common area maintenance charges, real estate and other asset-based taxes, general maintenance, utilities, depreciation, fixture lease expenses and certain insurance expenses. Selling, General and Administrative Expenses ā Selling, general and administrative expenses include store and field support payroll and fringe benefits, advertising, bank card charges, information systems, marketing, legal, accounting, other store expenses and all expenses associated with operating the Company's corporate headquarters. Advertising Costs ā Production costs of advertising and the costs to run the advertisements are expensed the first time the advertisement takes place. Advertising expense, net of cooperative advertising, was $276.3 million , $248.7 million and $223.9 million for fiscal 2015 , 2014 and 2013 , respectively. Vendor Allowances ā Vendor allowances include allowances, rebates and cooperative advertising funds received from vendors. These funds are determined for each fiscal year and the majority are based on various quantitative contract terms. Amounts expected to be received from vendors relating to the purchase of merchandise inventories are recognized as a reduction of cost of goods sold as the merchandise is sold. Amounts that represent a reimbursement of costs incurred, such as advertising, are recorded as a reduction to the related expense in the period that the related expense is incurred. The Company records an estimate of earned allowances based on the latest projected purchase volumes and advertising forecasts. Segment Information ā The Company is a specialty omni-channel retailer that offers a broad range of products in its specialty retail stores primarily in the eastern United States. Given the economic characteristics of the store formats, the similar nature of the products sold, the type of customer and method of distribution, the Company's operating segments are aggregated within one reportable segment. The following table sets forth the approximate amount of net sales attributable to hardlines, apparel and footwear for the periods presented (in millions): Fiscal Year 2015 2014 2013 Hardlines $ 3,264 $ 2,992 $ 2,763 Apparel 2,553 2,461 2,184 Footwear 1,403 1,316 1,222 Other 51 45 44 Total net sales $ 7,271 $ 6,814 $ 6,213 Construction Allowances ā All of the Company's store locations are leased. The Company may receive reimbursement from a landlord for some of the cost of the structure, subject to satisfactory fulfillment of applicable lease provisions. These reimbursements may be referred to as tenant allowances, construction allowances or landlord reimbursements ("construction allowances"). The Company's accounting for construction allowances differs if the Company is deemed to be the owner of the asset during the construction period. Some of the Company's leases have a cap on the construction allowance, which places the Company at risk for cost overruns and causes the Company to be deemed the owner during the construction period. In cases where the Company is deemed to be the owner during the construction period, a sale and leaseback of the asset occurs when construction of the asset is complete and the lease term begins, if relevant sale-leaseback accounting criteria are met. Any gain or loss from the transaction is included within deferred revenue and other liabilities on the Consolidated Balance Sheets and deferred and amortized as rent expense on a straight-line basis over the term of the lease. The Company reports the amount of cash received for the construction allowance as construction allowance receipts within the financing activities section of its Consolidated Statements of Cash Flows when such allowances are received prior to completion of the sale-leaseback transaction. The Company reports the amount of cash received from construction allowances as proceeds from sale leaseback transactions within the investing activities section of its Consolidated Statements of Cash Flows when such amounts are received after the sale-leaseback accounting criteria have been achieved. In instances where the Company is not deemed to be the owner during the construction period, reimbursement from a landlord for tenant improvements is classified as an incentive and included within deferred revenue and other liabilities on the Consolidated Balance Sheets. The deferred rent credit is amortized as rent expense on a straight-line basis over the term of the lease. Landlord reimbursements from these transactions are included in cash flows from operating activities as a change in deferred construction allowances. Leases ā Escalating rent payments, rent abatements and rent holidays are considered in the calculation of minimum lease payments in the Company's capital lease tests and in determining straight-line rent expense for operating leases. The Company records any difference between the straight-line rent amount and amounts payable under the lease as part of deferred rent within long-term deferred revenue and other liabilities on the Consolidated Balance Sheets. Contingent payments based upon sales and future increases determined by inflation related indices cannot be estimated at the inception of the lease and accordingly, are charged to operations as incurred. The Company records contingent rent within accrued expenses on the Consolidated Balance Sheets. Recently Adopted Accounting Pronouncement Deferred Taxes In November 2015, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2015-17, " Balance Sheet Classification of Deferred Taxes. " This update requires an entity to classify deferred tax liabilities and assets as noncurrent within a classified statement of financial position. ASU 2015-17 is effective for annual reporting periods, and interim periods therein, beginning after December 15, 2016. This update may be applied either prospectively to all deferred tax liabilities and assets or retrospectively to all periods presented. Early application is permitted as of the beginning of the interim or annual reporting period. The Company has elected to early adopt ASU 2015-17 during the fourth quarter of fiscal 2015, with retrospective application. Accordingly, deferred tax assets in the amount of $51.6 million , which were previously classified as current assets at January 31, 2015, and deferred tax liabilities in the amount of $44.5 million , which were previously classified as long-term liabilities at January 31, 2015, were reclassified to non-current deferred income tax assets on the Company's Consolidated Balance Sheets to conform to current year presentation. Recently Issued Accounting Pronouncements Leases In February 2016, the FASB issued ASU 2016-02, "Leases (Topic 842)." This update requires an entity to recognize lease assets and lease liabilities on the balance sheet and to disclose key information about the entity's leasing arrangements. ASU 2016-02 is effective for annual reporting periods, and interim periods therein, beginning after December 15, 2018, with early application permitted. A modified retrospective approach is required. The Company is currently evaluating the impact of the adoption of ASU 2016-02 on the Company's Consolidated Financial Statements. Measurement of Inventory In July 2015, the FASB issued ASU 2015-11, " Simplifying the Measurement of Inventory. " This update requires an entity that determines the cost of inventory by methods other than last-in, first-out (LIFO) and the retail inventory method (RIM) to measure inventory at the lower of cost and net realizable value. ASU 2015-11 is effective for annual reporting periods, and interim periods therein, beginning after December 15, 2016. Prospective application is required. Early application is permitted as of the beginning of the interim or annual reporting period. The Company does not expect that the adoption of this guidance will have a significant impact on the Company's Consolidated Financial Statements. Contracts with Customers In May 2014, the FASB issued ASU 2014-09, " Revenue from Contracts with Customers. " This update requires an entity to recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. Additionally, the update (1) specifies the accounting for some costs to obtain or fulfill a contract with a customer and (2) expands disclosure requirements related to revenue and cash flows arising from contracts with customers. The update permits the use of either the retrospective or cumulative effect transition method. In August 2015, the FASB subsequently issued ASU 2015-14, " Revenue from Contracts with Customers - Deferral of the Effective Date, " which approved a one year deferral of ASU 2014-09 for annual reporting periods beginning after December 15, 2017, including interim periods within that reporting period. Early application is permitted as of the original effective date for annual reporting periods beginning after December 15, 2016, including interim reporting periods within that reporting period. The Company is currently evaluating the impact of the adoption of ASU 2014-09 and ASU 2015-14 on the Company's Consolidated Financial Statements. |
Goodwill and Other Intangible A
Goodwill and Other Intangible Assets | 12 Months Ended |
Jan. 30, 2016 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Other Intangible Assets | Goodwill and Other Intangible Assets At January 30, 2016 and January 31, 2015 , the Company reported goodwill of $200.6 million net of accumulated impairment charges of $111.3 million . There was no change in the carrying value of goodwill during fiscal 2015 or fiscal 2014 . No impairment charges were recorded for goodwill in fiscal 2015 , 2014 or 2013 . The Company had indefinite-lived and finite-lived intangible assets of $104.7 million and $4.8 million , respectively, as of January 30, 2016 and $103.8 million and $6.3 million , respectively, as of January 31, 2015 . During fiscal 2014, the Company recorded a $12.4 million non-cash impairment charge for a trademark and trade name related to the Company's golf restructuring to reduce the carrying value of the respective assets to their estimated fair value. On October 1, 2014, the Company purchased the intellectual property rights to the Field & Stream mark in product categories that were not otherwise owned by the Company for $26.3 million . The Company previously owned the intellectual property rights to the Field & Stream mark in the hunt, camp, fish and paddle product categories. These Field & Stream intellectual property assets are indefinite-lived intangible assets, which are not being amortized. The components of intangible assets were as follows (in thousands): 2015 2014 Gross Amount Accumulated Amortization Gross Amount Accumulated Amortization Trademarks (indefinite-lived) $ 89,056 $ ā $ 87,081 $ ā Trade name (indefinite-lived) 9,850 ā 11,400 ā Customer list 1,200 (1,200 ) 1,200 (1,200 ) Favorable leases and other finite-lived intangible assets 16,205 (11,435 ) 16,205 (9,882 ) Other indefinite-lived intangible assets 5,764 ā 5,358 ā Total intangible assets $ 122,075 $ (12,635 ) $ 121,244 $ (11,082 ) Amortization expense for the Company's finite-lived intangible assets was $1.6 million , $2.5 million and $2.3 million for fiscal 2015 , 2014 and 2013 , respectively. The annual estimated amortization expense of the finite-lived intangible assets recorded as of January 30, 2016 is expected to be as follows (in thousands): Fiscal Year Estimated Amortization Expense 2016 $ 1,498 2017 1,273 2018 1,055 2019 554 2020 240 Thereafter 150 Total $ 4,770 |
Store Closings
Store Closings | 12 Months Ended |
Jan. 30, 2016 | |
Store Closings [Abstract] | |
Store Closings | Store Closings The following table summarizes the activity of the Company's store closing reserves (in thousands): 2015 2014 Accrued store closing and relocation reserves, beginning of period $ 12,785 $ 17,102 Expense charged to earnings 4,496 2,149 Cash payments (5,344 ) (6,381 ) Interest accretion and other changes in assumptions (235 ) (85 ) Accrued store closing and relocation reserves, end of period 11,702 12,785 Less: current portion of accrued store closing and relocation reserves (4,394 ) (4,208 ) Long-term portion of accrued store closing and relocation reserves $ 7,308 $ 8,577 |
Property and Equipment
Property and Equipment | 12 Months Ended |
Jan. 30, 2016 | |
Property, Plant and Equipment [Abstract] | |
Property and Equipment | Property and Equipment Property and equipment are recorded at cost and consist of the following as of the end of the fiscal periods (in thousands): 2015 2014 Buildings and land $ 220,875 $ 220,852 Leasehold improvements 1,245,694 1,069,868 Furniture, fixtures and equipment 1,198,745 1,048,887 Total property and equipment 2,665,314 2,339,607 Less: accumulated depreciation and amortization (1,317,429 ) (1,136,225 ) Net property and equipment $ 1,347,885 $ 1,203,382 The amounts above include construction in progress of $124.4 million and $113.4 million for fiscal 2015 and 2014 , respectively. |
Accrued Expenses
Accrued Expenses | 12 Months Ended |
Jan. 30, 2016 | |
Accrued Liabilities, Current [Abstract] | |
Accrued Expenses | Accrued Expenses Accrued expenses consist of the following as of the end of the fiscal periods (in thousands): 2015 2014 Accrued payroll, withholdings and benefits $ 95,721 $ 98,327 Accrued real estate taxes, utilities and other occupancy 60,060 54,200 Accrued property and equipment 43,649 43,666 Accrued sales tax 28,169 26,153 Other accrued expenses 61,402 61,482 Total accrued expenses $ 289,001 $ 283,828 |
Deferred Revenue and Other Liab
Deferred Revenue and Other Liabilities | 12 Months Ended |
Jan. 30, 2016 | |
Deferred Credits and Other Liabilities [Abstract] | |
Deferred Revenue and Other Liabilities | Deferred Revenue and Other Liabilities Deferred revenue and other liabilities consist of the following as of the end of the fiscal periods (in thousands): 2015 2014 Current: Deferred gift card revenue $ 162,640 $ 151,791 Deferred construction allowances 1,850 1,686 Other 19,896 18,782 Total current $ 184,386 $ 172,259 Long-term: Deferred rent, including pre-opening rent $ 93,321 $ 80,130 Deferred construction allowances 384,428 278,391 Other 88,947 76,212 Total long-term $ 566,696 $ 434,733 |
Debt
Debt | 12 Months Ended |
Jan. 30, 2016 | |
Debt Disclosure [Abstract] | |
Debt | Debt The Company's outstanding debt consists of the following as of the end of the fiscal periods (in thousands): 2015 2014 Revolving line of credit $ ā $ ā Capital leases 5,565 5,994 Other debt 348 456 Total debt 5,913 6,450 Less: current portion (589 ) (537 ) Total long-term debt $ 5,324 $ 5,913 Revolving Credit Agreement ā On August 12, 2015, the Company entered into a five -year senior secured revolving credit agreement (the "Credit Agreement") that amended and restated the Company's then existing credit facility. The Credit Agreement provides for a $1 billion revolving credit facility, including up to $150 million in the form of letters of credit and allows the Company, subject to the satisfaction of certain conditions, to request an increase of up to $250 million in borrowing availability to the extent that existing or new lenders agree to provide such additional revolving commitments. Subject to specified conditions, the Credit Agreement matures on August 12, 2020. It is secured by a first priority security interest in certain property and assets, including receivables, inventory, deposit accounts, securities accounts and other personal property of the Company and is guaranteed by the Company's domestic subsidiaries. The annual interest rates applicable to loans under the Credit Agreement are, at the Company's option, equal to a base rate or an adjusted LIBOR rate plus, in each case, an applicable margin percentage. The applicable margin percentage for base rate loans is 0.125% to 0.375% and for adjusted LIBOR rate loans is 1.125% to 1.375% , depending on the borrowing availability of the Company. The Credit Agreement contains certain covenants that limit the ability of the Company to, among other things: incur or guarantee additional indebtedness; pay distributions on, redeem or repurchase capital stock or redeem or repurchase subordinated debt; make certain investments; sell assets; and consolidate, merge or transfer all or substantially all of the Company's assets. In addition, the Credit Agreement contains a covenant that requires the Company to maintain a minimum adjusted availability of 7.5% of its borrowing base. As of January 30, 2016, the Company was in compliance with the terms of the Credit Agreement. Credit Agreement information as of the fiscal periods ended (in thousands): 2015 2014 Outstanding borrowings under Credit Agreement $ ā $ ā Remaining borrowing capacity under Credit Agreement $ 985,969 $ 485,969 Outstanding letters of credit under Credit Agreement $ 14,031 $ 14,031 Capital Lease Obligations ā The gross and net carrying values of assets under capital leases were $6.9 million and $0.4 million , respectively, as of January 30, 2016 , and $7.3 million and $0.8 million , respectively, as of January 31, 2015 . Scheduled lease payments under capital lease obligations as of January 30, 2016 are as follows (in thousands): Fiscal Year 2016 $ 1,024 2017 1,024 2018 1,044 2019 1,103 2020 1,103 Thereafter 2,885 Subtotal 8,183 Less: amounts representing interest (2,618 ) Present value of net scheduled lease payments 5,565 Less: amounts due in one year (474 ) Total long-term capital leases $ 5,091 |
Operating Leases
Operating Leases | 12 Months Ended |
Jan. 30, 2016 | |
Leases, Operating [Abstract] | |
Operating Leases | Operating Leases The Company leases all of its stores, three of its distribution centers and certain equipment under non-cancellable operating leases that expire at various dates through 2032. Initial lease terms are generally for 10 to 15 years and most store leases contain multiple five -year renewal options and rent escalation provisions. The lease agreements provide primarily for the payment of minimum annual rentals, costs of utilities, property taxes, maintenance, common areas and insurance, and in some cases, contingent rent stated as a percentage of gross sales over certain base amounts. Rent expense under these operating leases totaled approximately $469.0 million , $441.5 million and $411.5 million for fiscal 2015 , 2014 and 2013 , respectively. Scheduled lease payments due under non-cancellable operating leases as of January 30, 2016 are as follows (in thousands): Fiscal Year 2016 $ 536,011 2017 532,823 2018 482,351 2019 430,619 2020 382,222 Thereafter 1,370,404 Total $ 3,734,430 |
Stockholders' Equity
Stockholders' Equity | 12 Months Ended |
Jan. 30, 2016 | |
Stockholders' Equity Note [Abstract] | |
Stockholders' Equity | Stockholders' Equity Common Stock, Class B Common Stock and Preferred Stock ā The Company's Amended and Restated Certificate of Incorporation authorizes the issuance of 200,000,000 shares of common stock, par value $0.01 per share, and the issuance of 40,000,000 shares of Class B common stock, par value $0.01 per share. In addition, the Company's Amended and Restated Certificate of Incorporation authorizes the issuance of up to 5,000,000 shares of preferred stock. Holders of common stock generally have rights identical to holders of Class B common stock, except that holders of common stock are entitled to one vote per share and holders of Class B common stock are entitled to ten votes per share. A related party, relatives of the related party and trusts held by them hold all of the Class B common stock. These shares can only be held by members of this group and are not publicly tradable. Each share of Class B common stock can be converted at any time into one share of common stock at the holder's option. Dividends per Common Share ā The Company declared and paid cash dividends of $0.55 , $0.50 and $0.50 per share of common stock and Class B common stock during fiscal 2015 , 2014 and 2013 , respectively. Treasury Stock ā On March 7, 2013, the Company's Board of Directors authorized a five -year share repurchase program of up to $1 billion of the Company's common stock. During fiscal 2015 , the Company repurchased 7.4 million shares of its common stock for $357.3 million . During fiscal 2014, the Company repurchased 4.3 million shares of its common stock for $200.0 million . |
Stock-Based Compensation and Em
Stock-Based Compensation and Employee Stock Plans | 12 Months Ended |
Jan. 30, 2016 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Stock-Based Compensation and Employee Stock Plans | Stock-Based Compensation and Employee Stock Plans The Company has the ability to grant restricted shares of common stock, restricted stock units and options to purchase common stock under the Dick's Sporting Goods, Inc. 2012 Stock and Incentive Plan (the "Plan"). As of January 30, 2016 , shares of common stock available for future issuance pursuant to the Plan were 9,775,561 shares. The following represents total stock-based compensation recognized in the Consolidated Statements of Income for the fiscal years presented (in thousands): 2015 2014 2013 Stock option expense $ 8,211 $ 7,903 $ 8,263 Restricted stock expense 21,077 18,372 18,856 Total stock-based compensation expense $ 29,288 $ 26,275 $ 27,119 Total related tax benefit $ 10,290 $ 9,200 $ 9,230 Stock Option Plans ā Stock options are generally granted on an annual basis, vest 25% per year over four years and have a seven -year maximum term. The fair value of each stock option granted is estimated on the grant date using the Black-Scholes ("Black-Scholes") option valuation model. The assumptions used to calculate the fair value of options granted are evaluated and revised, as necessary, to reflect market conditions and the Company's experience. These options are expensed on a straight-line basis over the vesting period, which is considered to be the requisite service period. Compensation expense is recognized only for those options expected to vest, with forfeitures estimated at the date of grant based on the Company's historical experience and future expectations. The fair value of stock-based awards to employees is estimated on the date of grant using the Black-Scholes valuation with the following assumptions: Employee Stock Option Plans Black-Scholes Valuation Assumptions 2015 2014 2013 Expected life (years) (1) 5.41 5.23 5.33 Expected volatility (2) 30.38% - 42.07% 31.97% - 44.48% 36.10% - 47.86% Weighted average volatility 32.67 % 36.28 % 46.71 % Risk-free interest rate (3) 1.28% - 1.74% 1.44% - 2.39% 0.73% - 1.73% Expected dividend yield 0.98% - 1.12% 0.90% - 1.13% 0.98% - 1.04% Weighted average grant date fair value $ 16.28 $ 17.31 $ 18.31 (1) The expected term of the options represents the estimated period of time until exercise and is based on historical experience of similar awards giving consideration to the contractual terms, vesting schedules and expectations of future employee behavior. (2) Expected volatility is based on the historical volatility of the Company's common stock over a timeframe consistent with the expected life of the stock options. (3) The risk-free interest rate is based on the implied yield available on U.S. Treasury constant maturity interest rates whose term is consistent with the expected life of the stock options. The assumptions used to calculate the fair value of options granted are evaluated and revised, as necessary, to reflect market conditions and experience. The stock option activity from February 2, 2013 through January 30, 2016 is presented in the following table: Shares Subject to Options Weighted Average Exercise Price per Share Weighted Average Remaining Contractual Life (Years) Aggregate Intrinsic Value (in thousands) Outstanding, February 2, 2013 6,708,724 $ 24.50 3.60 $ 157,380 Granted 682,344 47.31 Exercised (2,154,201 ) 20.18 Forfeited / Expired (282,820 ) 41.57 Outstanding, February 1, 2014 4,954,047 $ 28.55 3.19 $ 118,784 Granted 559,722 53.78 Exercised (1,175,540 ) 22.22 Forfeited / Expired (256,931 ) 44.42 Outstanding, January 31, 2015 4,081,298 $ 32.83 3.00 $ 78,432 Granted 812,482 56.97 Exercised (773,773 ) 26.64 Forfeited / Expired (145,495 ) 51.38 Outstanding, January 30, 2016 3,974,512 $ 38.29 2.94 $ 51,930 Exercisable, January 30, 2016 2,553,304 $ 29.42 1.51 $ 51,159 Vested and expected to vest, January 30, 2016 3,805,506 $ 37.55 2.81 $ 51,863 The aggregate intrinsic value reported in the table above is based on the Company's closing stock prices for the last business day of the period indicated. The total intrinsic value for stock options exercised during 2015 , 2014 and 2013 was $20.2 million , $34.3 million and $67.2 million , respectively. The total fair value of options vested during 2015 , 2014 and 2013 was $8.4 million , $8.2 million and $14.9 million , respectively. The nonvested stock option activity for the year ended January 30, 2016 is presented in the following table: Shares Subject to Options Weighted Average Grant Date Fair Value Nonvested, January 31, 2015 1,206,844 $ 18.10 Granted 812,482 16.28 Vested (462,175 ) 18.26 Forfeited (135,943 ) 17.87 Nonvested, January 30, 2016 1,421,208 $ 17.03 As of January 30, 2016 , unrecognized stock-based compensation expense related to nonvested stock options was approximately $15.2 million , net of estimated forfeitures, which is expected to be recognized over a weighted average period of approximately 2.57 years . The Company issues new shares of common stock upon exercise of stock options. Additional information regarding options outstanding as of January 30, 2016 is as follows: Options Outstanding Options Exercisable Range of Exercise Prices Shares Weighted Average Remaining Contractual Life (Years) Weighted Average Exercise Price Shares Weighted Average Exercise Price $13.82 - $26.03 1,077,719 0.32 $ 17.90 1,077,719 $ 17.90 $26.77 - $44.88 1,002,241 1.68 32.16 956,369 31.57 $45.34 - $55.29 1,244,756 4.57 50.38 508,268 49.22 $55.49 - $58.48 649,796 6.09 58.40 10,948 56.65 $13.82 - $58.48 3,974,512 2.94 $ 38.29 2,553,304 $ 29.42 Restricted Stock ā The Company issues shares of restricted stock to eligible employees, which are subject to forfeiture until the end of an applicable vesting period. The awards generally vest on the third anniversary of the date of grant, subject to the employee's continuing employment as of that date. The restricted stock activity from February 2, 2013 through January 30, 2016 is presented in the following table: Shares Weighted Average Grant Date Fair Value Nonvested, February 2, 2013 2,092,095 $ 35.48 Granted 1,806,949 46.85 Vested (913,769 ) 27.46 Forfeited (553,621 ) 39.93 Nonvested, February 1, 2014 2,431,654 $ 45.93 Granted 593,841 53.36 Vested (433,249 ) 39.99 Forfeited (406,127 ) 48.40 Nonvested, January 31, 2015 2,186,119 $ 48.67 Granted 661,640 56.95 Vested (400,951 ) 48.59 Forfeited (241,828 ) 50.52 Nonvested, January 30, 2016 2,204,980 $ 50.97 As of January 30, 2016 , total unrecognized stock-based compensation expense related to nonvested shares of restricted stock, net of estimated forfeitures, was approximately $27.8 million before income taxes, which is expected to be recognized over a weighted average period of approximately 1.63 years . During 2013, the Company issued a special grant of 1,185,793 shares of performance-based restricted stock in support of the Company's five-year strategic plan ("the Long-Term Incentive Plan"). The Company issued 90,735 and 118,095 shares pursuant to the Long-Term Incentive Plan during 2015 and 2014, respectively, to newly eligible associates. As of January 30, 2016 , nonvested restricted stock outstanding included 855,998 shares of these performance-based awards, which vest at the end of a five -year period based upon the achievement of certain pre-established financial performance metrics at the end of the performance period, with an opportunity for earlier vesting if the target metrics are achieved at the end of any fiscal year within the performance period. As of January 30, 2016 , these awards were not deemed probable of achieving the pre-established financial performance metrics. |
Income Taxes
Income Taxes | 12 Months Ended |
Jan. 30, 2016 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes The components of the provision for income taxes are as follows for the fiscal periods ended (in thousands): 2015 2014 2013 Current: Federal $ 164,165 $ 187,735 $ 156,177 State 27,076 30,340 27,769 191,241 218,075 183,946 Deferred: Federal 8,198 (5,740 ) 23,499 State 1,045 (519 ) 1,064 9,243 (6,259 ) 24,563 Total provision $ 200,484 $ 211,816 $ 208,509 The provision for income taxes differs from the amounts computed by applying the federal statutory rate as follows for the following periods: 2015 2014 2013 Federal statutory rate 35.0 % 35.0 % 35.0 % State tax, net of federal benefit 3.5 % 3.1 % 3.5 % Valuation allowance (0.1 )% ā % (0.4 )% Other permanent items (0.6 )% ā % 0.1 % Effective income tax rate 37.8 % 38.1 % 38.2 % Components of deferred tax assets (liabilities) consist of the following as of the fiscal periods ended (in thousands): 2015 2014 Inventory $ 45,442 $ 42,163 Employee benefits 37,295 34,167 Deferred rent 36,485 31,234 Stock-based compensation 26,843 25,913 Gift cards 15,884 13,691 Other accrued expenses not currently deductible for tax purposes 9,532 5,520 Capital loss carryforward 5,304 5,608 Non income-based tax reserves 5,274 8,174 Deferred revenue currently taxable 4,957 4,837 Store closing expense 4,569 4,984 Uncertain income tax positions 4,253 3,524 Insurance 2,280 2,432 Other 179 77 Valuation allowance (5,304 ) (5,608 ) Total deferred tax assets 192,993 176,716 Property and equipment (152,287 ) (134,057 ) Inventory (35,095 ) (27,386 ) Intangibles (5,900 ) (6,319 ) Total deferred tax liabilities (193,282 ) (167,762 ) Net deferred tax (liability) asset $ (289 ) $ 8,954 In 2015 , of the $0.3 million net deferred tax liability, $6.2 million is included within other long-term assets and $6.5 million is included within long-term liabilities on the Consolidated Balance Sheets. In 2014 , the $9.0 million net deferred tax asset was included in its entirety within other long-term assets. As of January 30, 2016, deferred income taxes have not been provided on accumulated, but undistributed earnings, of $31.6 million related to the Company's international subsidiaries. It is the Company's intention to permanently reinvest these earnings outside the United States. The amount of the unrecognized tax liability related to the undistributed earnings as of January 30, 2016 is estimated to be $10.9 million . As of January 30, 2016 , the total liability for uncertain tax positions, including related interest and penalties, was approximately $12.7 million . The following table represents a reconciliation of the Company's total balance of unrecognized tax benefits, excluding interest and penalties (in thousands): 2015 2014 2013 Beginning of fiscal year $ 8,376 $ 7,507 $ 10,670 Increases as a result of tax positions taken in a prior period 1,101 124 1,651 Decreases as a result of tax positions taken in a prior period ā ā (2,240 ) Increases as a result of tax positions taken in the current period 1,193 1,057 985 Decreases as a result of settlements during the current period (63 ) (312 ) (3,559 ) Reductions as a result of a lapse of statute of limitations during the current period (823 ) ā ā End of fiscal year $ 9,784 $ 8,376 $ 7,507 The balance at January 30, 2016 includes $6.4 million of unrecognized tax benefits that would impact our effective tax rate if recognized. The Company recognizes accrued interest and penalties related to unrecognized tax benefits in income tax expense. As of January 30, 2016 , the liability for uncertain tax positions includes $2.9 million for the accrual of interest and penalties. During fiscal 2015, 2014 and 2013, the Company recorded $1.2 million , $0.3 million and $0.9 million , respectively, for the accrual of interest and penalties in the Consolidated Statements of Income. The Company has federal, state and local examinations currently ongoing. It is possible that these examinations may be resolved within 12 months. Due to the potential for resolution of these examinations, and the expiration of various statutes of limitation, it is reasonably possible that $5.7 million of the Company's gross unrecognized tax benefits and interest at January 30, 2016 could be recognized within the next 12 months. The Company does not anticipate that changes in its unrecognized tax benefits will have a material impact on the Consolidated Statements of Income during fiscal 2016 . The Company participates in the Internal Revenue Service ("IRS") Compliance Assurance Program ("CAP"). As part of the CAP, tax years are audited on a contemporaneous basis so that all or most issues are resolved prior to the filing of the tax return. The IRS has completed examinations of 2014 and all prior tax years. The Company is no longer subject to examination in any of its major state jurisdictions for years prior to 2008 . |
Earnings per Common Share
Earnings per Common Share | 12 Months Ended |
Jan. 30, 2016 | |
Earnings Per Share [Abstract] | |
Earnings per Common Share | Earnings per Common Share The computations for basic and diluted earnings per common share are as follows (in thousands, except per share data): Fiscal Year Ended 2015 2014 2013 Earnings per common share - Basic: Net income $ 330,391 $ 344,198 $ 337,598 Weighted average common shares outstanding - basic 115,230 119,244 122,878 Earnings per common share $ 2.87 $ 2.89 $ 2.75 Earnings per common share - Diluted: Net income $ 330,391 $ 344,198 $ 337,598 Weighted average common shares outstanding - basic 115,230 119,244 122,878 Dilutive effect of stock-based awards 1,564 1,994 2,750 Weighted average common shares outstanding - diluted 116,794 121,238 125,628 Earnings per common share $ 2.83 $ 2.84 $ 2.69 Anti-dilutive stock-based awards excluded from diluted calculation 1,449 1,334 899 |
Retirement Savings Plans
Retirement Savings Plans | 12 Months Ended |
Jan. 30, 2016 | |
Compensation and Retirement Disclosure [Abstract] | |
Retirement Savings Plans | Retirement Savings Plans The Company's retirement savings plan, established pursuant to Section 401(k) of the Internal Revenue Code, covers regular status full-time hourly and salaried employees as of their date of hire and part-time regular employees who have worked 1,000 hours or more in a year. Employees must be 21 years of age to participate. Under the terms of the retirement savings plan, the Company may make a discretionary matching contribution equal to a percentage of each participant's contribution, up to 10% of the participant's compensation. The Company's discretionary matching contribution percentage is typically 50% . Total employer contributions recorded under the plan, net of forfeitures, was $7.0 million , $6.1 million and $6.4 million for fiscal 2015 , 2014 and 2013 , respectively. The Company also has non-qualified deferred compensation plans for highly compensated employees whose contributions are limited under qualified defined contribution plans. Amounts contributed and deferred under the deferred compensation plans are credited or charged with the performance of investment options offered under the plans and elected by the participants. In the event of bankruptcy, the assets of these plans are available to satisfy the claims of general creditors. The liability for compensation deferred under the Company's plans was $53.0 million and $52.2 million as of January 30, 2016 and January 31, 2015 , respectively, and is included within long-term liabilities on the Consolidated Balance Sheets. Total employer contributions recorded under these plans, net of forfeitures, was $2.0 million , $1.5 million and $1.0 million for fiscal 2015 , 2014 and 2013 , respectively. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Jan. 30, 2016 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies Marketing and Naming Rights Commitments Within the ordinary course of business, the Company enters into contractual commitments in order to promote the Company's brand and products, including media and naming rights extending through 2026 . The aggregate payments under these commitments were $43.0 million , $52.1 million and $29.0 million during fiscal 2015 , 2014 and 2013 , respectively. The aggregate amount of future minimum payments at January 30, 2016 is as follows (in thousands): Fiscal Year 2016 $ 38,336 2017 7,677 2018 3,176 2019 3,266 2020 2,799 Thereafter 17,611 Total $ 72,865 Licenses for Trademarks Within the ordinary course of business, the Company enters into licensing agreements for the exclusive or preferential rights to use certain trademarks extending through 2020. Under specific agreements, the Company is obligated to pay annual guaranteed minimum royalties. Also, the Company is required to pay additional royalties when the royalties that are based on qualified purchases or retail sales (dependent upon the agreement) exceed the guaranteed minimum. The aggregate payments under these commitments were $18.2 million , $16.4 million and $16.8 million during fiscal 2015 , 2014 and 2013 , respectively. The aggregate amount of future minimum payments at January 30, 2016 is as follows (in thousands): Fiscal Year 2016 $ 8,650 2017 8,800 2018 8,950 2019 9,100 2020 8,100 Thereafter ā Total $ 43,600 Other The Company also has other non-cancellable contractual commitments, including corporate aircraft and technology-related commitments extending through 2020. The aggregate payments under these commitments were $11.7 million , $8.7 million and $43.9 million during fiscal 2015 , 2014 and 2013 , respectively. The aggregate amount of future minimum payments at January 30, 2016 is as follows (in thousands): Fiscal Year 2016 $ 7,988 2017 3,660 2018 36,502 2019 5,645 2020 1,145 Thereafter ā Total $ 54,940 The Company is involved in legal proceedings incidental to the normal conduct of its business. Although the outcome of any pending legal proceedings cannot be predicted with certainty, management believes that adequate insurance coverage is maintained and that the ultimate resolution of these matters will not have a material adverse effect on the Company's liquidity, financial position or results of operations. |
Fair Value Measurements
Fair Value Measurements | 12 Months Ended |
Jan. 30, 2016 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Fair Value Measurements ASC 820, " Fair Value Measurement and Disclosures" , outlines a valuation framework and creates a fair value hierarchy for assets and liabilities as follows: Level 1: Observable inputs such as quoted prices in active markets; Level 2: Inputs, other than quoted prices in active markets, that are observable either directly or indirectly; and Level 3: Unobservable inputs in which there is little or no market data, which require the reporting entity to develop its own assumptions. Assets measured at fair value on a recurring basis as of January 30, 2016 and January 31, 2015 are set forth in the table below: Level 1 Description January 30, 2016 January 31, 2015 Assets: Deferred compensation plan assets held in trust (1) $ 53,040 $ 52,193 Total assets $ 53,040 $ 52,193 (1) Consists of investments in various mutual funds made by eligible individuals as part of the Company's deferred compensation plan (See Note 13). The fair value of cash and cash equivalents, accounts receivable, accounts payable and certain other liabilities approximated book value due to the short-term nature of these instruments at both January 30, 2016 and January 31, 2015 . The Company uses quoted prices in active markets to determine the fair value of the aforementioned assets determined to be Level 1 instruments. The Company's policy for recognition of transfers between levels of the fair value hierarchy is to recognize any transfer at the end of the fiscal quarter in which the determination to transfer was made. The Company did not transfer any assets or liabilities among the levels of the fair value hierarchy during the fiscal year ended January 30, 2016 and January 31, 2015. Additionally, the Company did not hold any Level 2 or Level 3 assets or liabilities during fiscal 2015 and fiscal 2014. |
Quarterly Financial Information
Quarterly Financial Information (Unaudited) | 12 Months Ended |
Jan. 30, 2016 | |
Quarterly Financial Information Disclosure [Abstract] | |
Quarterly Financial Information (Unaudited) | Quarterly Financial Information (Unaudited) Summarized quarterly financial information for fiscal 2015 and 2014 is as follows (in thousands, except earnings per share data): Fiscal 2015 First Quarter Second Quarter Third Quarter Fourth Quarter Net sales $ 1,565,308 $ 1,822,979 $ 1,642,627 $ 2,240,051 Gross profit (1) 468,988 553,558 488,376 671,966 Income from operations (1) 101,912 148,407 77,081 207,794 Net income (1) 63,345 90,839 47,215 (2) 128,993 Earnings per common share: Basic (1) $ 0.54 $ 0.78 $ 0.41 $ 1.15 Diluted (1) $ 0.53 $ 0.77 $ 0.41 $ 1.13 Weighted average common shares outstanding: Basic 117,044 116,281 114,978 112,618 Diluted 118,906 117,805 116,506 113,960 Fiscal 2014 First Quarter Second Quarter Third Quarter Fourth Quarter Net sales $ 1,438,908 $ 1,688,890 $ 1,526,675 $ 2,160,006 Gross profit (1) 440,883 502,556 451,972 691,256 Income from operations (1) 112,088 111,562 79,930 250,480 Net income 69,984 (3) 69,467 (4) 49,211 155,536 Earnings per common share: Basic (1) $ 0.58 $ 0.58 $ 0.42 $ 1.32 Diluted (1) $ 0.57 $ 0.57 $ 0.41 $ 1.30 Weighted average common shares outstanding: Basic 121,138 119,950 118,142 117,745 Diluted 123,360 121,840 120,002 119,749 (1) Quarterly results for fiscal 2015 and 2014 do not add to full year results due to rounding. (2) Includes litigation settlement charge of $4.7 million . (3) Includes gain on sale of a Gulfstream G650 corporate aircraft of $8.7 million . (4) Includes golf restructuring charges of $12.2 million . |
Subsequent Events
Subsequent Events | 12 Months Ended |
Jan. 30, 2016 | |
Subsequent Events [Abstract] | |
Subsequent Events | Subsequent Events On February 18, 2016 , our Board of Directors declared a quarterly cash dividend in the amount of $0.15125 per share of common stock and Class B common stock payable on March 31, 2016 to stockholders of record as of the close of business on March 11, 2016 . On March 16, 2016, our Board of Directors authorized a five -year share repurchase program of up to $1 billion of the Company's common stock. The Company currently expects to finance the repurchases from cash on hand and if necessary, availability under its Credit Agreement. |
SCHEDULE II VALUATION AND QUALI
SCHEDULE II VALUATION AND QUALIFYING ACCOUNTS | 12 Months Ended |
Jan. 30, 2016 | |
Valuation and Qualifying Accounts [Abstract] | |
SCHEDULE II VALUATION AND QUALIFYING ACCOUNTS | DICK'S SPORTING GOODS, INC. AND SUBSIDIARIES SCHEDULE II VALUATION AND QUALIFYING ACCOUNTS (Dollars in thousands) Balance at Beginning of Period Charged to Costs and Expenses Deductions Balance at End of Period Fiscal 2013 Inventory reserve $ 17,972 $ 4,620 $ (2,479 ) $ 20,113 Allowance for doubtful accounts 2,738 4,996 (4,625 ) 3,109 Reserve for sales returns 4,382 356,444 (356,420 ) 4,406 Allowance for deferred tax assets 7,942 ā (1,700 ) 6,242 Fiscal 2014 Inventory reserve $ 20,113 $ 18,634 $ (6,450 ) $ 32,297 Allowance for doubtful accounts 3,109 4,712 (5,137 ) 2,684 Reserve for sales returns 4,406 408,546 (407,123 ) 5,829 Allowance for deferred tax assets 6,242 ā (634 ) 5,608 Fiscal 2015 Inventory reserve $ 32,297 $ 10,761 $ (6,436 ) $ 36,622 Allowance for doubtful accounts 2,684 4,736 (4,693 ) 2,727 Reserve for sales returns 5,829 432,760 (430,835 ) 7,754 Allowance for deferred tax assets 5,608 ā (304 ) 5,304 |
Summary of Significant Accounti
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Jan. 30, 2016 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Fiscal Year | Fiscal Year ā The Company's fiscal year ends on the Saturday closest to the end of January. Fiscal years 2015 , 2014 and 2013 ended on January 30, 2016 , January 31, 2015 and February 1, 2014 , respectively. |
Principles of Consolidation | Principles of Consolidation ā The Consolidated Financial Statements include Dick's Sporting Goods, Inc. and its wholly-owned subsidiaries. All intercompany accounts and transactions have been eliminated in consolidation. |
Use of Estimates in the Preparation of Financial Statements | Use of Estimates in the Preparation of Financial Statements ā The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America ("U.S. GAAP") requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. |
Cash and Cash Equivalents / Cash Management | Cash and Cash Equivalents ā Cash and cash equivalents consist of cash on hand and all highly liquid instruments purchased with a maturity of three months or less at the date of purchase. Cash equivalents are considered Level 1 investments and totaled $35.2 million and $89.0 million at January 30, 2016 and January 31, 2015 , respectively. Cash Management ā The Company's cash management system provides for the reimbursement of all major bank disbursement accounts on a daily basis. Accounts payable at January 30, 2016 and January 31, 2015 include $135.1 million and $105.9 million , respectively, of checks drawn in excess of cash balances not yet presented for payment. |
Accounts Receivable | Accounts Receivable ā Accounts receivable consist principally of amounts receivable from vendors and landlords. The allowance for doubtful accounts totaled $2.7 million as of January 30, 2016 and January 31, 2015 . |
Inventories | Inventories ā Inventories are stated at the lower of weighted average cost or market. Inventory costs consist of the direct cost of merchandise including freight. Inventories are net of shrinkage, obsolescence, other valuation accounts and vendor allowances totaling $113.5 million and $100.2 million at January 30, 2016 and January 31, 2015 , respectively. |
Property and Equipment | Property and Equipment ā Property and equipment are recorded at cost and include capitalized leases. For financial reporting purposes, depreciation and amortization are computed using the straight-line method over the following estimated useful lives: Buildings 40 years Leasehold improvements 10-25 years Furniture, fixtures and equipment 3-7 years For leasehold improvements and property and equipment under capital lease agreements, depreciation and amortization are calculated using the straight-line method over the shorter of the estimated useful lives of the assets or the lease term. Leasehold improvements made significantly after the initial lease term are depreciated over the shorter of their estimated useful lives or the remaining lease term, including renewal periods, if reasonably assured. Depreciation expense was $178.9 million , $159.1 million and $151.5 million for fiscal 2015 , 2014 and 2013 , respectively. Renewals and betterments are capitalized and repairs and maintenance are expensed as incurred. |
Impairment of Long-Lived Assets and Closed Store Reserves | Impairment of Long-Lived Assets and Closed Store Reserves ā The Company evaluates its long-lived assets to assess whether the carrying values have been impaired whenever events and circumstances indicate that the carrying value of these assets may not be recoverable based on estimated undiscounted future cash flows. An impairment loss is recognized when the estimated undiscounted cash flows expected to result from the use of the asset plus eventual net proceeds expected from disposition of the asset (if any) are less than the carrying value of the asset. When an impairment loss is recognized, the carrying amount of the asset is reduced to its estimated fair value as determined based on quoted market prices or through the use of other valuation techniques. The Company recognizes a liability for costs associated with closed or relocated premises when the Company ceases to use the location. The calculation of accrued lease termination and other costs primarily includes future minimum lease payments, maintenance costs and taxes from the date of closure or relocation to the end of the remaining lease term, net of contractual or estimated sublease income. The liability is discounted using a credit-adjusted risk-free rate of interest. The assumptions used in the calculation of the accrued lease termination and other costs are evaluated on a quarterly basis. The current portion of accrued store closing and relocation reserves is included within accrued expenses and the long-term portion is included within long-term deferred revenue and other liabilities on the Consolidated Balance Sheets. The related expense is recorded within selling, general and administrative expenses on the Consolidated Statements of Income. |
Goodwill | Goodwill ā Goodwill represents the excess of acquisition cost over the fair value of the net assets of acquired entities. The Company assesses the carrying value of goodwill annually or whenever circumstances indicate that a decline in value may have occurred. The goodwill impairment test is a two-step impairment test. In the first step, the Company compares the fair value of each reporting unit to its carrying value. The Company determines the fair value of its reporting units using a combination of a discounted cash flow and a market value approach. If the fair value of the reporting unit exceeds the carrying value of the net assets assigned to that reporting unit, goodwill is not impaired and the Company is not required to perform further testing. If the carrying value of the net assets assigned to the reporting unit exceeds the fair value of the reporting unit, then the Company must perform the second step in order to determine the implied fair value of the reporting unit's goodwill and compare it to the carrying value of the reporting unit's goodwill. If the carrying value of goodwill exceeds the implied estimated fair value, an impairment charge to selling, general and administrative expenses is recorded to reduce the carrying value to the implied estimated fair value. A reporting unit is the operating segment, or a business unit one level below that operating segment, for which discrete financial information is prepared and regularly reviewed by management. |
Intangible Assets | Intangible Assets ā Intangible assets consist primarily of trademarks and acquired trade names with indefinite lives, which are tested for impairment annually or whenever circumstances indicate that a decline in value may have occurred. The Company estimates the fair value of these intangible assets based on an income approach using the relief-from-royalty method. The Company's finite-lived intangible assets consist primarily of favorable lease assets and other acquisition related assets. Finite-lived intangible assets are amortized over their estimated useful economic lives and are reviewed for impairment when factors indicate that an impairment may have occurred. The Company recognizes an impairment charge when the estimated fair value of the intangible asset is less than the carrying value. |
Self-Insurance | Self-Insurance ā The Company is self-insured for certain losses related to health, workers' compensation and general liability insurance, although we maintain stop-loss coverage with third party insurers to limit our liability exposure. Liabilities associated with these losses are estimated in part by considering historical claims experience, industry factors, severity factors and other actuarial assumptions. |
Pre-opening Expenses | Pre-opening Expenses ā Pre-opening expenses, which consist primarily of rent, marketing, payroll and recruiting costs, are expensed as incurred. Rent is recognized within pre-opening expense from the date of building turnover to the Company through the date of store opening. |
Earnings Per Common Share | Earnings Per Common Share ā Basic earnings per common share is computed based on the weighted average number of shares of common stock outstanding during the period. Diluted earnings per common share is computed based on the weighted average number of shares of common stock, plus the effect of dilutive potential common shares outstanding during the period, using the treasury stock method. Dilutive potential common shares include outstanding stock options, restricted stock and warrants. |
Stock-Based Compensation | Stock-Based Compensation ā The Company has the ability to grant restricted shares of common stock, restricted stock units and stock options to purchase common stock under the Dick's Sporting Goods, Inc. 2012 Stock and Incentive Plan. The Company records stock-based compensation expenses based on the fair value of stock awards at the grant date and recognizes the expense over the related service period. |
Income Taxes | Income Taxes ā The Company utilizes the asset and liability method of accounting for income taxes and provides deferred income taxes for temporary differences between the amounts reported for assets and liabilities for financial statement purposes and for income tax reporting purposes, using enacted tax rates in effect in the years in which the differences are expected to reverse. The Company recognizes the tax benefit from an uncertain tax position only if it is more likely than not that the tax position will be sustained on examination by the relevant taxing authorities, based on the technical merits of the position. The tax benefits recognized in the Consolidated Financial Statements from such a position are measured based on the largest benefit that will more likely than not be realized upon ultimate settlement. Interest and penalties related to income tax matters are recognized in income tax expense. |
Revenue Recognition | Revenue Recognition ā Revenue from retail sales is recognized at the point of sale, net of sales tax. Revenue from eCommerce sales is recognized upon shipment of merchandise. Service-related revenue is recognized as the services are performed. A provision for anticipated merchandise returns is provided through a reduction of sales and cost of goods sold in the period that the related sales are recorded. Revenue from gift cards and returned merchandise credits (collectively the "cards") is deferred and recognized upon the redemption of the cards. These cards have no expiration date. Income from unredeemed cards is recognized on the Consolidated Statements of Income within selling, general and administrative expenses at the point at which redemption becomes remote. The Company performs an evaluation of the aging of the unredeemed cards, based on the elapsed time from the date of original issuance, to determine when redemption becomes remote. |
Cost of Goods Sold | Cost of Goods Sold ā Cost of goods sold includes the cost of merchandise, vendor allowances, inventory shrinkage, freight, distribution, shipping and store occupancy costs. The Company defines merchandise margin as net sales less the cost of merchandise sold. The cost of merchandise includes product costs paid to the vendor, including items such as purchase discounts and vendor chargebacks, as well as inventory write-downs for the lower of cost or market. Store occupancy costs include rent, common area maintenance charges, real estate and other asset-based taxes, general maintenance, utilities, depreciation, fixture lease expenses and certain insurance expenses. |
Selling, General and Administrative Expenses | Selling, General and Administrative Expenses ā Selling, general and administrative expenses include store and field support payroll and fringe benefits, advertising, bank card charges, information systems, marketing, legal, accounting, other store expenses and all expenses associated with operating the Company's corporate headquarters. |
Advertising Costs | Advertising Costs ā Production costs of advertising and the costs to run the advertisements are expensed the first time the advertisement takes place. Advertising expense, net of cooperative advertising, was $276.3 million , $248.7 million and $223.9 million for fiscal 2015 , 2014 and 2013 , respectively. |
Vendor Allowances | Vendor Allowances ā Vendor allowances include allowances, rebates and cooperative advertising funds received from vendors. These funds are determined for each fiscal year and the majority are based on various quantitative contract terms. Amounts expected to be received from vendors relating to the purchase of merchandise inventories are recognized as a reduction of cost of goods sold as the merchandise is sold. Amounts that represent a reimbursement of costs incurred, such as advertising, are recorded as a reduction to the related expense in the period that the related expense is incurred. The Company records an estimate of earned allowances based on the latest projected purchase volumes and advertising forecasts. |
Segment Information | Segment Information ā The Company is a specialty omni-channel retailer that offers a broad range of products in its specialty retail stores primarily in the eastern United States. Given the economic characteristics of the store formats, the similar nature of the products sold, the type of customer and method of distribution, the Company's operating segments are aggregated within one reportable segment. The following table sets forth the approximate amount of net sales attributable to hardlines, apparel and footwear for the periods presented (in millions): Fiscal Year 2015 2014 2013 Hardlines $ 3,264 $ 2,992 $ 2,763 Apparel 2,553 2,461 2,184 Footwear 1,403 1,316 1,222 Other 51 45 44 Total net sales $ 7,271 $ 6,814 $ 6,213 |
Construction Allowances | Construction Allowances ā All of the Company's store locations are leased. The Company may receive reimbursement from a landlord for some of the cost of the structure, subject to satisfactory fulfillment of applicable lease provisions. These reimbursements may be referred to as tenant allowances, construction allowances or landlord reimbursements ("construction allowances"). The Company's accounting for construction allowances differs if the Company is deemed to be the owner of the asset during the construction period. Some of the Company's leases have a cap on the construction allowance, which places the Company at risk for cost overruns and causes the Company to be deemed the owner during the construction period. In cases where the Company is deemed to be the owner during the construction period, a sale and leaseback of the asset occurs when construction of the asset is complete and the lease term begins, if relevant sale-leaseback accounting criteria are met. Any gain or loss from the transaction is included within deferred revenue and other liabilities on the Consolidated Balance Sheets and deferred and amortized as rent expense on a straight-line basis over the term of the lease. The Company reports the amount of cash received for the construction allowance as construction allowance receipts within the financing activities section of its Consolidated Statements of Cash Flows when such allowances are received prior to completion of the sale-leaseback transaction. The Company reports the amount of cash received from construction allowances as proceeds from sale leaseback transactions within the investing activities section of its Consolidated Statements of Cash Flows when such amounts are received after the sale-leaseback accounting criteria have been achieved. In instances where the Company is not deemed to be the owner during the construction period, reimbursement from a landlord for tenant improvements is classified as an incentive and included within deferred revenue and other liabilities on the Consolidated Balance Sheets. The deferred rent credit is amortized as rent expense on a straight-line basis over the term of the lease. Landlord reimbursements from these transactions are included in cash flows from operating activities as a change in deferred construction allowances. |
Leases | Leases ā Escalating rent payments, rent abatements and rent holidays are considered in the calculation of minimum lease payments in the Company's capital lease tests and in determining straight-line rent expense for operating leases. The Company records any difference between the straight-line rent amount and amounts payable under the lease as part of deferred rent within long-term deferred revenue and other liabilities on the Consolidated Balance Sheets. Contingent payments based upon sales and future increases determined by inflation related indices cannot be estimated at the inception of the lease and accordingly, are charged to operations as incurred. The Company records contingent rent within accrued expenses on the Consolidated Balance Sheets. |
Recently Adopted Accounting Pronouncement / Recently Issued Accounting Pronouncements | Recently Adopted Accounting Pronouncement Deferred Taxes In November 2015, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2015-17, " Balance Sheet Classification of Deferred Taxes. " This update requires an entity to classify deferred tax liabilities and assets as noncurrent within a classified statement of financial position. ASU 2015-17 is effective for annual reporting periods, and interim periods therein, beginning after December 15, 2016. This update may be applied either prospectively to all deferred tax liabilities and assets or retrospectively to all periods presented. Early application is permitted as of the beginning of the interim or annual reporting period. The Company has elected to early adopt ASU 2015-17 during the fourth quarter of fiscal 2015, with retrospective application. Accordingly, deferred tax assets in the amount of $51.6 million , which were previously classified as current assets at January 31, 2015, and deferred tax liabilities in the amount of $44.5 million , which were previously classified as long-term liabilities at January 31, 2015, were reclassified to non-current deferred income tax assets on the Company's Consolidated Balance Sheets to conform to current year presentation. Recently Issued Accounting Pronouncements Leases In February 2016, the FASB issued ASU 2016-02, "Leases (Topic 842)." This update requires an entity to recognize lease assets and lease liabilities on the balance sheet and to disclose key information about the entity's leasing arrangements. ASU 2016-02 is effective for annual reporting periods, and interim periods therein, beginning after December 15, 2018, with early application permitted. A modified retrospective approach is required. The Company is currently evaluating the impact of the adoption of ASU 2016-02 on the Company's Consolidated Financial Statements. Measurement of Inventory In July 2015, the FASB issued ASU 2015-11, " Simplifying the Measurement of Inventory. " This update requires an entity that determines the cost of inventory by methods other than last-in, first-out (LIFO) and the retail inventory method (RIM) to measure inventory at the lower of cost and net realizable value. ASU 2015-11 is effective for annual reporting periods, and interim periods therein, beginning after December 15, 2016. Prospective application is required. Early application is permitted as of the beginning of the interim or annual reporting period. The Company does not expect that the adoption of this guidance will have a significant impact on the Company's Consolidated Financial Statements. Contracts with Customers In May 2014, the FASB issued ASU 2014-09, " Revenue from Contracts with Customers. " This update requires an entity to recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. Additionally, the update (1) specifies the accounting for some costs to obtain or fulfill a contract with a customer and (2) expands disclosure requirements related to revenue and cash flows arising from contracts with customers. The update permits the use of either the retrospective or cumulative effect transition method. In August 2015, the FASB subsequently issued ASU 2015-14, " Revenue from Contracts with Customers - Deferral of the Effective Date, " which approved a one year deferral of ASU 2014-09 for annual reporting periods beginning after December 15, 2017, including interim periods within that reporting period. Early application is permitted as of the original effective date for annual reporting periods beginning after December 15, 2016, including interim reporting periods within that reporting period. The Company is currently evaluating the impact of the adoption of ASU 2014-09 and ASU 2015-14 on the Company's Consolidated Financial Statements. |
Basis of Presentation and Sum28
Basis of Presentation and Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Jan. 30, 2016 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Schedule of estimated useful lives | For financial reporting purposes, depreciation and amortization are computed using the straight-line method over the following estimated useful lives: Buildings 40 years Leasehold improvements 10-25 years Furniture, fixtures and equipment 3-7 years |
Schedule of net sales attributable to hardlines, apparel and footwear | The following table sets forth the approximate amount of net sales attributable to hardlines, apparel and footwear for the periods presented (in millions): Fiscal Year 2015 2014 2013 Hardlines $ 3,264 $ 2,992 $ 2,763 Apparel 2,553 2,461 2,184 Footwear 1,403 1,316 1,222 Other 51 45 44 Total net sales $ 7,271 $ 6,814 $ 6,213 |
Goodwill and Other Intangible29
Goodwill and Other Intangible Assets (Tables) | 12 Months Ended |
Jan. 30, 2016 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of components of intangible assets | The components of intangible assets were as follows (in thousands): 2015 2014 Gross Amount Accumulated Amortization Gross Amount Accumulated Amortization Trademarks (indefinite-lived) $ 89,056 $ ā $ 87,081 $ ā Trade name (indefinite-lived) 9,850 ā 11,400 ā Customer list 1,200 (1,200 ) 1,200 (1,200 ) Favorable leases and other finite-lived intangible assets 16,205 (11,435 ) 16,205 (9,882 ) Other indefinite-lived intangible assets 5,764 ā 5,358 ā Total intangible assets $ 122,075 $ (12,635 ) $ 121,244 $ (11,082 ) |
Schedule of annual estimated amortization expense of finite-lived intangible assets | The annual estimated amortization expense of the finite-lived intangible assets recorded as of January 30, 2016 is expected to be as follows (in thousands): Fiscal Year Estimated Amortization Expense 2016 $ 1,498 2017 1,273 2018 1,055 2019 554 2020 240 Thereafter 150 Total $ 4,770 |
Store Closings (Tables)
Store Closings (Tables) | 12 Months Ended |
Jan. 30, 2016 | |
Store Closings [Abstract] | |
Schedule of the entity's accrued store closing and relocation reserves | The following table summarizes the activity of the Company's store closing reserves (in thousands): 2015 2014 Accrued store closing and relocation reserves, beginning of period $ 12,785 $ 17,102 Expense charged to earnings 4,496 2,149 Cash payments (5,344 ) (6,381 ) Interest accretion and other changes in assumptions (235 ) (85 ) Accrued store closing and relocation reserves, end of period 11,702 12,785 Less: current portion of accrued store closing and relocation reserves (4,394 ) (4,208 ) Long-term portion of accrued store closing and relocation reserves $ 7,308 $ 8,577 |
Property and Equipment (Tables)
Property and Equipment (Tables) | 12 Months Ended |
Jan. 30, 2016 | |
Property, Plant and Equipment [Abstract] | |
Schedule of the components of property and equipment | Property and equipment are recorded at cost and consist of the following as of the end of the fiscal periods (in thousands): 2015 2014 Buildings and land $ 220,875 $ 220,852 Leasehold improvements 1,245,694 1,069,868 Furniture, fixtures and equipment 1,198,745 1,048,887 Total property and equipment 2,665,314 2,339,607 Less: accumulated depreciation and amortization (1,317,429 ) (1,136,225 ) Net property and equipment $ 1,347,885 $ 1,203,382 |
Accrued Expenses (Tables)
Accrued Expenses (Tables) | 12 Months Ended |
Jan. 30, 2016 | |
Accrued Liabilities, Current [Abstract] | |
Schedule of accrued expenses | Accrued expenses consist of the following as of the end of the fiscal periods (in thousands): 2015 2014 Accrued payroll, withholdings and benefits $ 95,721 $ 98,327 Accrued real estate taxes, utilities and other occupancy 60,060 54,200 Accrued property and equipment 43,649 43,666 Accrued sales tax 28,169 26,153 Other accrued expenses 61,402 61,482 Total accrued expenses $ 289,001 $ 283,828 |
Deferred Revenue and Other Li33
Deferred Revenue and Other Liabilities (Tables) | 12 Months Ended |
Jan. 30, 2016 | |
Deferred Credits and Other Liabilities [Abstract] | |
Schedule of deferred revenue and other liabilities | Deferred revenue and other liabilities consist of the following as of the end of the fiscal periods (in thousands): 2015 2014 Current: Deferred gift card revenue $ 162,640 $ 151,791 Deferred construction allowances 1,850 1,686 Other 19,896 18,782 Total current $ 184,386 $ 172,259 Long-term: Deferred rent, including pre-opening rent $ 93,321 $ 80,130 Deferred construction allowances 384,428 278,391 Other 88,947 76,212 Total long-term $ 566,696 $ 434,733 |
Debt (Tables)
Debt (Tables) | 12 Months Ended |
Jan. 30, 2016 | |
Debt Disclosure [Abstract] | |
Schedule of outstanding debt | The Company's outstanding debt consists of the following as of the end of the fiscal periods (in thousands): 2015 2014 Revolving line of credit $ ā $ ā Capital leases 5,565 5,994 Other debt 348 456 Total debt 5,913 6,450 Less: current portion (589 ) (537 ) Total long-term debt $ 5,324 $ 5,913 |
Schedule of revolving facility information | Credit Agreement information as of the fiscal periods ended (in thousands): 2015 2014 Outstanding borrowings under Credit Agreement $ ā $ ā Remaining borrowing capacity under Credit Agreement $ 985,969 $ 485,969 Outstanding letters of credit under Credit Agreement $ 14,031 $ 14,031 |
Schedule of lease payments under capital lease obligations | Scheduled lease payments under capital lease obligations as of January 30, 2016 are as follows (in thousands): Fiscal Year 2016 $ 1,024 2017 1,024 2018 1,044 2019 1,103 2020 1,103 Thereafter 2,885 Subtotal 8,183 Less: amounts representing interest (2,618 ) Present value of net scheduled lease payments 5,565 Less: amounts due in one year (474 ) Total long-term capital leases $ 5,091 |
Operating Leases (Tables)
Operating Leases (Tables) | 12 Months Ended |
Jan. 30, 2016 | |
Leases, Operating [Abstract] | |
Schedule of lease payments due under non-cancellable operating leases | Scheduled lease payments due under non-cancellable operating leases as of January 30, 2016 are as follows (in thousands): Fiscal Year 2016 $ 536,011 2017 532,823 2018 482,351 2019 430,619 2020 382,222 Thereafter 1,370,404 Total $ 3,734,430 |
Stock-Based Compensation and 36
Stock-Based Compensation and Employee Stock Plans (Tables) | 12 Months Ended |
Jan. 30, 2016 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Schedule of stock-based compensation | The following represents total stock-based compensation recognized in the Consolidated Statements of Income for the fiscal years presented (in thousands): 2015 2014 2013 Stock option expense $ 8,211 $ 7,903 $ 8,263 Restricted stock expense 21,077 18,372 18,856 Total stock-based compensation expense $ 29,288 $ 26,275 $ 27,119 Total related tax benefit $ 10,290 $ 9,200 $ 9,230 |
Schedule of assumptions used to estimate the fair value of stock-based awards to employees | The fair value of stock-based awards to employees is estimated on the date of grant using the Black-Scholes valuation with the following assumptions: Employee Stock Option Plans Black-Scholes Valuation Assumptions 2015 2014 2013 Expected life (years) (1) 5.41 5.23 5.33 Expected volatility (2) 30.38% - 42.07% 31.97% - 44.48% 36.10% - 47.86% Weighted average volatility 32.67 % 36.28 % 46.71 % Risk-free interest rate (3) 1.28% - 1.74% 1.44% - 2.39% 0.73% - 1.73% Expected dividend yield 0.98% - 1.12% 0.90% - 1.13% 0.98% - 1.04% Weighted average grant date fair value $ 16.28 $ 17.31 $ 18.31 (1) The expected term of the options represents the estimated period of time until exercise and is based on historical experience of similar awards giving consideration to the contractual terms, vesting schedules and expectations of future employee behavior. (2) Expected volatility is based on the historical volatility of the Company's common stock over a timeframe consistent with the expected life of the stock options. (3) The risk-free interest rate is based on the implied yield available on U.S. Treasury constant maturity interest rates whose term is consistent with the expected life of the stock options. |
Schedule of stock option activity | The stock option activity from February 2, 2013 through January 30, 2016 is presented in the following table: Shares Subject to Options Weighted Average Exercise Price per Share Weighted Average Remaining Contractual Life (Years) Aggregate Intrinsic Value (in thousands) Outstanding, February 2, 2013 6,708,724 $ 24.50 3.60 $ 157,380 Granted 682,344 47.31 Exercised (2,154,201 ) 20.18 Forfeited / Expired (282,820 ) 41.57 Outstanding, February 1, 2014 4,954,047 $ 28.55 3.19 $ 118,784 Granted 559,722 53.78 Exercised (1,175,540 ) 22.22 Forfeited / Expired (256,931 ) 44.42 Outstanding, January 31, 2015 4,081,298 $ 32.83 3.00 $ 78,432 Granted 812,482 56.97 Exercised (773,773 ) 26.64 Forfeited / Expired (145,495 ) 51.38 Outstanding, January 30, 2016 3,974,512 $ 38.29 2.94 $ 51,930 Exercisable, January 30, 2016 2,553,304 $ 29.42 1.51 $ 51,159 Vested and expected to vest, January 30, 2016 3,805,506 $ 37.55 2.81 $ 51,863 |
Schedule of nonvested stock option activity | The nonvested stock option activity for the year ended January 30, 2016 is presented in the following table: Shares Subject to Options Weighted Average Grant Date Fair Value Nonvested, January 31, 2015 1,206,844 $ 18.10 Granted 812,482 16.28 Vested (462,175 ) 18.26 Forfeited (135,943 ) 17.87 Nonvested, January 30, 2016 1,421,208 $ 17.03 |
Schedule of stock options outstanding and exercisable by range of exercise prices | Additional information regarding options outstanding as of January 30, 2016 is as follows: Options Outstanding Options Exercisable Range of Exercise Prices Shares Weighted Average Remaining Contractual Life (Years) Weighted Average Exercise Price Shares Weighted Average Exercise Price $13.82 - $26.03 1,077,719 0.32 $ 17.90 1,077,719 $ 17.90 $26.77 - $44.88 1,002,241 1.68 32.16 956,369 31.57 $45.34 - $55.29 1,244,756 4.57 50.38 508,268 49.22 $55.49 - $58.48 649,796 6.09 58.40 10,948 56.65 $13.82 - $58.48 3,974,512 2.94 $ 38.29 2,553,304 $ 29.42 |
Schedule of nonvested restricted stock activity | The restricted stock activity from February 2, 2013 through January 30, 2016 is presented in the following table: Shares Weighted Average Grant Date Fair Value Nonvested, February 2, 2013 2,092,095 $ 35.48 Granted 1,806,949 46.85 Vested (913,769 ) 27.46 Forfeited (553,621 ) 39.93 Nonvested, February 1, 2014 2,431,654 $ 45.93 Granted 593,841 53.36 Vested (433,249 ) 39.99 Forfeited (406,127 ) 48.40 Nonvested, January 31, 2015 2,186,119 $ 48.67 Granted 661,640 56.95 Vested (400,951 ) 48.59 Forfeited (241,828 ) 50.52 Nonvested, January 30, 2016 2,204,980 $ 50.97 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Jan. 30, 2016 | |
Income Tax Disclosure [Abstract] | |
Schedule of components of the provision for income taxes | The components of the provision for income taxes are as follows for the fiscal periods ended (in thousands): 2015 2014 2013 Current: Federal $ 164,165 $ 187,735 $ 156,177 State 27,076 30,340 27,769 191,241 218,075 183,946 Deferred: Federal 8,198 (5,740 ) 23,499 State 1,045 (519 ) 1,064 9,243 (6,259 ) 24,563 Total provision $ 200,484 $ 211,816 $ 208,509 |
Reconciliation of the federal statutory income tax rate to the effective income tax rate | The provision for income taxes differs from the amounts computed by applying the federal statutory rate as follows for the following periods: 2015 2014 2013 Federal statutory rate 35.0 % 35.0 % 35.0 % State tax, net of federal benefit 3.5 % 3.1 % 3.5 % Valuation allowance (0.1 )% ā % (0.4 )% Other permanent items (0.6 )% ā % 0.1 % Effective income tax rate 37.8 % 38.1 % 38.2 % |
Schedule of the components of deferred tax assets (liabilities) | Components of deferred tax assets (liabilities) consist of the following as of the fiscal periods ended (in thousands): 2015 2014 Inventory $ 45,442 $ 42,163 Employee benefits 37,295 34,167 Deferred rent 36,485 31,234 Stock-based compensation 26,843 25,913 Gift cards 15,884 13,691 Other accrued expenses not currently deductible for tax purposes 9,532 5,520 Capital loss carryforward 5,304 5,608 Non income-based tax reserves 5,274 8,174 Deferred revenue currently taxable 4,957 4,837 Store closing expense 4,569 4,984 Uncertain income tax positions 4,253 3,524 Insurance 2,280 2,432 Other 179 77 Valuation allowance (5,304 ) (5,608 ) Total deferred tax assets 192,993 176,716 Property and equipment (152,287 ) (134,057 ) Inventory (35,095 ) (27,386 ) Intangibles (5,900 ) (6,319 ) Total deferred tax liabilities (193,282 ) (167,762 ) Net deferred tax (liability) asset $ (289 ) $ 8,954 |
Schedule of reconciliation of the Company's total unrecognized tax benefits balances, excluding interest and penalties | The following table represents a reconciliation of the Company's total balance of unrecognized tax benefits, excluding interest and penalties (in thousands): 2015 2014 2013 Beginning of fiscal year $ 8,376 $ 7,507 $ 10,670 Increases as a result of tax positions taken in a prior period 1,101 124 1,651 Decreases as a result of tax positions taken in a prior period ā ā (2,240 ) Increases as a result of tax positions taken in the current period 1,193 1,057 985 Decreases as a result of settlements during the current period (63 ) (312 ) (3,559 ) Reductions as a result of a lapse of statute of limitations during the current period (823 ) ā ā End of fiscal year $ 9,784 $ 8,376 $ 7,507 |
Earnings per Common Share (Tabl
Earnings per Common Share (Tables) | 12 Months Ended |
Jan. 30, 2016 | |
Earnings Per Share [Abstract] | |
Schedule of the computations for basic and diluted earnings per common share | The computations for basic and diluted earnings per common share are as follows (in thousands, except per share data): Fiscal Year Ended 2015 2014 2013 Earnings per common share - Basic: Net income $ 330,391 $ 344,198 $ 337,598 Weighted average common shares outstanding - basic 115,230 119,244 122,878 Earnings per common share $ 2.87 $ 2.89 $ 2.75 Earnings per common share - Diluted: Net income $ 330,391 $ 344,198 $ 337,598 Weighted average common shares outstanding - basic 115,230 119,244 122,878 Dilutive effect of stock-based awards 1,564 1,994 2,750 Weighted average common shares outstanding - diluted 116,794 121,238 125,628 Earnings per common share $ 2.83 $ 2.84 $ 2.69 Anti-dilutive stock-based awards excluded from diluted calculation 1,449 1,334 899 |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 12 Months Ended |
Jan. 30, 2016 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule of future minimum payments for marketing and naming rights commitments | The aggregate amount of future minimum payments at January 30, 2016 is as follows (in thousands): Fiscal Year 2016 $ 38,336 2017 7,677 2018 3,176 2019 3,266 2020 2,799 Thereafter 17,611 Total $ 72,865 |
Schedule of future minimum payments for trademark licensing commitments | The aggregate amount of future minimum payments at January 30, 2016 is as follows (in thousands): Fiscal Year 2016 $ 8,650 2017 8,800 2018 8,950 2019 9,100 2020 8,100 Thereafter ā Total $ 43,600 |
Schedule of future minimum payments for other contractual commitments | The aggregate amount of future minimum payments at January 30, 2016 is as follows (in thousands): Fiscal Year 2016 $ 7,988 2017 3,660 2018 36,502 2019 5,645 2020 1,145 Thereafter ā Total $ 54,940 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 12 Months Ended |
Jan. 30, 2016 | |
Fair Value Disclosures [Abstract] | |
Schedule of assets measured at fair value on a recurring basis | Assets measured at fair value on a recurring basis as of January 30, 2016 and January 31, 2015 are set forth in the table below: Level 1 Description January 30, 2016 January 31, 2015 Assets: Deferred compensation plan assets held in trust (1) $ 53,040 $ 52,193 Total assets $ 53,040 $ 52,193 (1) Consists of investments in various mutual funds made by eligible individuals as part of the Company's deferred compensation plan (See Note 13). |
Quarterly Financial Informati41
Quarterly Financial Information (Unaudited) (Tables) | 12 Months Ended |
Jan. 30, 2016 | |
Quarterly Financial Information Disclosure [Abstract] | |
Summary of quarterly financial information | Summarized quarterly financial information for fiscal 2015 and 2014 is as follows (in thousands, except earnings per share data): Fiscal 2015 First Quarter Second Quarter Third Quarter Fourth Quarter Net sales $ 1,565,308 $ 1,822,979 $ 1,642,627 $ 2,240,051 Gross profit (1) 468,988 553,558 488,376 671,966 Income from operations (1) 101,912 148,407 77,081 207,794 Net income (1) 63,345 90,839 47,215 (2) 128,993 Earnings per common share: Basic (1) $ 0.54 $ 0.78 $ 0.41 $ 1.15 Diluted (1) $ 0.53 $ 0.77 $ 0.41 $ 1.13 Weighted average common shares outstanding: Basic 117,044 116,281 114,978 112,618 Diluted 118,906 117,805 116,506 113,960 Fiscal 2014 First Quarter Second Quarter Third Quarter Fourth Quarter Net sales $ 1,438,908 $ 1,688,890 $ 1,526,675 $ 2,160,006 Gross profit (1) 440,883 502,556 451,972 691,256 Income from operations (1) 112,088 111,562 79,930 250,480 Net income 69,984 (3) 69,467 (4) 49,211 155,536 Earnings per common share: Basic (1) $ 0.58 $ 0.58 $ 0.42 $ 1.32 Diluted (1) $ 0.57 $ 0.57 $ 0.41 $ 1.30 Weighted average common shares outstanding: Basic 121,138 119,950 118,142 117,745 Diluted 123,360 121,840 120,002 119,749 (1) Quarterly results for fiscal 2015 and 2014 do not add to full year results due to rounding. (2) Includes litigation settlement charge of $4.7 million . (3) Includes gain on sale of a Gulfstream G650 corporate aircraft of $8.7 million . (4) Includes golf restructuring charges of $12.2 million . |
Basis of Presentation and Sum42
Basis of Presentation and Summary of Significant Accounting Policies (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Jan. 30, 2016 | Jan. 31, 2015 | Feb. 01, 2014 | |
Cash and Cash Equivalents / Cash Management | |||
Cash equivalents | $ 35,200 | $ 89,000 | |
Checks drawn in excess of cash balances not yet presented for payment | 135,100 | 105,900 | |
Accounts Receivable | |||
Allowance for doubtful acccounts | 2,700 | 2,700 | |
Inventories | |||
Inventory valuation and vendor allowances | 113,500 | 100,200 | |
Advertising Costs | |||
Advertising expense net of cooperative advertising | 276,300 | 248,700 | $ 223,900 |
New Accounting Pronouncement, Early Adoption [Line Items] | |||
Deferred tax liabilities, net | $ 6,454 | 0 | |
ASU 2015-17 [Retrospective early adoption] | |||
New Accounting Pronouncement, Early Adoption [Line Items] | |||
Deferred tax assets, net | 51,600 | ||
Deferred tax liabilities, net | $ 44,500 |
Basis of Presentation and Sum43
Basis of Presentation and Summary of Significant Accounting Policies - Property and Equipment (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 30, 2016 | Jan. 31, 2015 | Feb. 01, 2014 | |
Property and Equipment | |||
Depreciation expense | $ 178.9 | $ 159.1 | $ 151.5 |
Buildings | |||
Property and Equipment | |||
Estimated useful life | 40 years | ||
Leasehold improvements | Maximum | |||
Property and Equipment | |||
Estimated useful life | 25 years | ||
Leasehold improvements | Minimum | |||
Property and Equipment | |||
Estimated useful life | 10 years | ||
Furniture, fixtures and equipment | Maximum | |||
Property and Equipment | |||
Estimated useful life | 7 years | ||
Furniture, fixtures and equipment | Minimum | |||
Property and Equipment | |||
Estimated useful life | 3 years |
Basis of Presentation and Sum44
Basis of Presentation and Summary of Significant Accounting Policies - Segment Information (Details) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Jan. 30, 2016USD ($) | Oct. 31, 2015USD ($) | Aug. 01, 2015USD ($) | May. 02, 2015USD ($) | Jan. 31, 2015USD ($) | Nov. 01, 2014USD ($) | Aug. 02, 2014USD ($) | May. 03, 2014USD ($) | Jan. 30, 2016USD ($)ReportableSegment | Jan. 31, 2015USD ($)ReportableSegment | Feb. 01, 2014USD ($)ReportableSegment | |
Operating Segment Information | |||||||||||
Total net sales | $ 2,240,051 | $ 1,642,627 | $ 1,822,979 | $ 1,565,308 | $ 2,160,006 | $ 1,526,675 | $ 1,688,890 | $ 1,438,908 | $ 7,270,965 | $ 6,814,479 | $ 6,213,173 |
Operating Segment Information | |||||||||||
Number of reportable segments | ReportableSegment | 1 | 1 | 1 | ||||||||
Hardlines | |||||||||||
Operating Segment Information | |||||||||||
Total net sales | $ 3,264,000 | $ 2,992,000 | $ 2,763,000 | ||||||||
Apparel | |||||||||||
Operating Segment Information | |||||||||||
Total net sales | 2,553,000 | 2,461,000 | 2,184,000 | ||||||||
Footwear | |||||||||||
Operating Segment Information | |||||||||||
Total net sales | 1,403,000 | 1,316,000 | 1,222,000 | ||||||||
Other | |||||||||||
Operating Segment Information | |||||||||||
Total net sales | $ 51,000 | $ 45,000 | $ 44,000 |
Goodwill and Other Intangible45
Goodwill and Other Intangible Assets (Details) - USD ($) | Oct. 01, 2014 | Jan. 30, 2016 | Jan. 31, 2015 | Feb. 01, 2014 |
Goodwill and Intangible Assets Disclosure [Abstract] | ||||
Goodwill | $ 200,594,000 | $ 200,594,000 | ||
Accumulated impairment charges | 111,300,000 | 111,300,000 | ||
Change in carrying value of goodwill | 0 | 0 | ||
Goodwill impairment charges | 0 | 0 | $ 0 | |
Impairment charges on intangible assets | 12,400,000 | |||
Intellectual property rights | $ 26,300,000 | |||
Components of intangible assets | ||||
Indefinite-lived intangible assets | 104,700,000 | 103,800,000 | ||
Finite-lived intangible assets | 4,770,000 | 6,300,000 | ||
Total intangible assets | 122,075,000 | 121,244,000 | ||
Accumulated amortization | (12,635,000) | (11,082,000) | ||
Trademarks | ||||
Components of intangible assets | ||||
Indefinite-lived intangible assets | 89,056,000 | 87,081,000 | ||
Trade name | ||||
Components of intangible assets | ||||
Indefinite-lived intangible assets | 9,850,000 | 11,400,000 | ||
Customer list | ||||
Components of intangible assets | ||||
Gross amount - Finite-lived intangible assets | 1,200,000 | 1,200,000 | ||
Accumulated amortization | (1,200,000) | (1,200,000) | ||
Favorable leases and other finite-lived intangible assets | ||||
Components of intangible assets | ||||
Gross amount - Finite-lived intangible assets | 16,205,000 | 16,205,000 | ||
Accumulated amortization | (11,435,000) | (9,882,000) | ||
Other indefinite-lived intangible assets | ||||
Components of intangible assets | ||||
Indefinite-lived intangible assets | $ 5,764,000 | $ 5,358,000 |
Goodwill and Other Intangible46
Goodwill and Other Intangible Assets - Amortization Expense (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Jan. 30, 2016 | Jan. 31, 2015 | Feb. 01, 2014 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |||
Amortization expense of finite-lived intangible assets | $ 1,600 | $ 2,500 | $ 2,300 |
Estimated Amortization Expense | |||
2,016 | 1,498 | ||
2,017 | 1,273 | ||
2,018 | 1,055 | ||
2,019 | 554 | ||
2,020 | 240 | ||
Thereafter | 150 | ||
Total | $ 4,770 | $ 6,300 |
Store Closings (Details)
Store Closings (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Jan. 30, 2016 | Jan. 31, 2015 | |
Store Closings | ||
Accrued store closing and relocation reserves, beginning of period | $ 12,785 | $ 17,102 |
Expense charged to earnings | 4,496 | 2,149 |
Cash payments | (5,344) | (6,381) |
Interest accretion and other changes in assumptions | (235) | (85) |
Accrued store closing and relocation reserves, end of period | 11,702 | 12,785 |
Less: current portion of accrued store closing and relocation reserves | (4,394) | (4,208) |
Long-term portion of accrued store closing and relocation reserves | $ 7,308 | $ 8,577 |
Property and Equipment (Details
Property and Equipment (Details) - USD ($) $ in Thousands | Jan. 30, 2016 | Jan. 31, 2015 |
Property and Equipment | ||
Total property and equipment | $ 2,665,314 | $ 2,339,607 |
Less: accumulated depreciation and amortization | (1,317,429) | (1,136,225) |
Net property and equipment | 1,347,885 | 1,203,382 |
Buildings and land | ||
Property and Equipment | ||
Total property and equipment | 220,875 | 220,852 |
Leasehold improvements | ||
Property and Equipment | ||
Total property and equipment | 1,245,694 | 1,069,868 |
Furniture, fixtures and equipment | ||
Property and Equipment | ||
Total property and equipment | 1,198,745 | 1,048,887 |
Construction in progress | ||
Property and Equipment | ||
Total property and equipment | $ 124,400 | $ 113,400 |
Accrued Expenses (Details)
Accrued Expenses (Details) - USD ($) $ in Thousands | Jan. 30, 2016 | Jan. 31, 2015 |
Accrued Liabilities, Current [Abstract] | ||
Accrued payroll, withholdings and benefits | $ 95,721 | $ 98,327 |
Accrued real estate taxes, utilities and other occupancy | 60,060 | 54,200 |
Accrued property and equipment | 43,649 | 43,666 |
Accrued sales tax | 28,169 | 26,153 |
Other accrued expenses | 61,402 | 61,482 |
Total accrued expenses | $ 289,001 | $ 283,828 |
Deferred Revenue and Other Li50
Deferred Revenue and Other Liabilities (Details) - USD ($) $ in Thousands | Jan. 30, 2016 | Jan. 31, 2015 |
Current: | ||
Deferred gift card revenue | $ 162,640 | $ 151,791 |
Deferred construction allowances | 1,850 | 1,686 |
Other | 19,896 | 18,782 |
Total current | 184,386 | 172,259 |
Long-term: | ||
Deferred rent, including pre-opening rent | 93,321 | 80,130 |
Deferred construction allowances | 384,428 | 278,391 |
Other | 88,947 | 76,212 |
Total long-term | $ 566,696 | $ 434,733 |
Debt (Details)
Debt (Details) - USD ($) | Aug. 12, 2015 | Jan. 30, 2016 | Jan. 31, 2015 |
Debt | |||
Total debt | $ 5,913,000 | $ 6,450,000 | |
Less: current portion | (589,000) | (537,000) | |
Total long-term debt | 5,324,000 | 5,913,000 | |
Base rate | |||
Debt | |||
Variable rate basis | Base rate | ||
Base rate | Minimum | |||
Debt | |||
Interest rate margin (as a percent) | 0.125% | ||
Base rate | Maximum | |||
Debt | |||
Interest rate margin (as a percent) | 0.375% | ||
Adjusted LIBOR rate | |||
Debt | |||
Variable rate basis | Adjusted LIBOR rate | ||
Adjusted LIBOR rate | Minimum | |||
Debt | |||
Interest rate margin (as a percent) | 1.125% | ||
Adjusted LIBOR rate | Maximum | |||
Debt | |||
Interest rate margin (as a percent) | 1.375% | ||
Revolving credit agreement | |||
Debt | |||
Total debt | 0 | 0 | |
Term of credit agreement | 5 years | ||
Credit facility borrowing capacity | $ 1,000,000,000 | ||
Adjusted availability of borrowing base (as a percent) | 7.50% | ||
Borrowings under credit facility | 0 | 0 | |
Total borrowing capacity | 985,969,000 | 485,969,000 | |
Revolving credit agreement | Maximum | |||
Debt | |||
Credit facility borrowing capacity extension | $ 250,000,000 | ||
Letters of credit | |||
Debt | |||
Letters of credit maximum | $ 150,000,000 | ||
Letters of credit outstanding | 14,031,000 | 14,031,000 | |
Capital lease obligation | |||
Debt | |||
Total debt | 5,565,000 | 5,994,000 | |
Other debt | |||
Debt | |||
Total debt | $ 348,000 | $ 456,000 |
Debt - Capital Lease Obligation
Debt - Capital Lease Obligations (Details) - USD ($) $ in Thousands | Jan. 30, 2016 | Jan. 31, 2015 |
Capital Lease Obligations | ||
Gross carrying value | $ 6,900 | $ 7,300 |
Net carrying value | 400 | $ 800 |
Scheduled lease payments under capital lease obligations | ||
2,016 | 1,024 | |
2,017 | 1,024 | |
2,018 | 1,044 | |
2,019 | 1,103 | |
2,020 | 1,103 | |
Thereafter | 2,885 | |
Subtotal | 8,183 | |
Less: amounts representing interest | (2,618) | |
Present value of net scheduled lease payments | 5,565 | |
Less: amounts due in one year | (474) | |
Total long-term capital leases | $ 5,091 |
Operating Leases (Details)
Operating Leases (Details) $ in Thousands | 12 Months Ended | ||
Jan. 30, 2016USD ($)DistributionCenter | Jan. 31, 2015USD ($) | Feb. 01, 2014USD ($) | |
Operating leases | |||
Number of distribution centers leased | DistributionCenter | 3 | ||
Additional renewal period | 5 years | ||
Rent expense under operating leases | $ 469,000 | $ 441,500 | $ 411,500 |
Scheduled lease payments due under non-cancelable operating leases | |||
2,016 | 536,011 | ||
2,017 | 532,823 | ||
2,018 | 482,351 | ||
2,019 | 430,619 | ||
2,020 | 382,222 | ||
Thereafter | 1,370,404 | ||
Total | $ 3,734,430 | ||
Minimum | |||
Operating leases | |||
Initial tenure of operating leases | 10 years | ||
Maximum | |||
Operating leases | |||
Initial tenure of operating leases | 15 years |
Stockholders' Equity (Details)
Stockholders' Equity (Details) $ / shares in Units, $ in Thousands | Mar. 07, 2013USD ($) | Jan. 30, 2016USD ($)item$ / sharesshares | Jan. 31, 2015USD ($)item$ / sharesshares | Feb. 01, 2014USD ($)$ / shares |
Preferred stock, authorized shares | 5,000,000 | 5,000,000 | ||
Treasury Stock | ||||
Period over which shares may be purchased under share repurchase program (in years) | 5 years | |||
Authorized aggregate repurchases of common stock | $ | $ 1,000,000 | |||
Repurchase of common stock (in shares) | 7,400,000 | 4,300,000 | ||
Repurchase of common stock | $ | $ 357,276 | $ 200,000 | $ 255,602 | |
Common Stock | ||||
Common stock, authorized shares | 200,000,000 | 200,000,000 | ||
Common stock, par value (in dollars per share) | $ / shares | $ 0.01 | $ 0.01 | ||
Voting rights per common share | item | 1 | 1 | ||
Dividends per Common Share | ||||
Cash dividend paid | $ / shares | $ 0.55 | $ 0.50 | $ 0.50 | |
Class B Common Stock | ||||
Common stock, authorized shares | 40,000,000 | 40,000,000 | ||
Common stock, par value (in dollars per share) | $ / shares | $ 0.01 | $ 0.01 | ||
Voting rights per common share | item | 10 | 10 | ||
Number of shares of common stock to be received for each share of Class B common stock converted | 1 | 1 | ||
Dividends per Common Share | ||||
Cash dividend paid | $ / shares | $ 0.55 | $ 0.50 | $ 0.50 |
Stock-Based Compensation and 55
Stock-Based Compensation and Employee Stock Plans (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||||
Jan. 30, 2016 | Jan. 31, 2015 | Feb. 01, 2014 | Feb. 02, 2013 | ||
Stock-based compensation expense | |||||
Number of shares available for future issuance under the plan | 9,775,561 | ||||
Total stock-based compensation expense | $ 29,288 | $ 26,275 | $ 27,119 | ||
Total related tax benefit | 10,290 | 9,200 | 9,230 | ||
Stock options | |||||
Stock-based compensation expense | |||||
Stock-based compensation expense | $ 8,211 | $ 7,903 | $ 8,263 | ||
Vesting rights (as a percent) | 25.00% | ||||
Vesting period | 4 years | ||||
Weighted average assumptions used to estimate the fair value of stock-based awards to employees | |||||
Expected life | [1] | 5 years 4 months 28 days | 5 years 2 months 22 days | 5 years 3 months 28 days | |
Expected volatility, minimum (as a percent) | [2] | 30.38% | 31.97% | 36.10% | |
Expected volatility, maximum (as a percent) | [2] | 42.07% | 44.48% | 47.86% | |
Weighted average volatility (as a percent) | 32.67% | 36.28% | 46.71% | ||
Risk-free interest rate, minimum (as a percent) | [3] | 1.28% | 1.44% | 0.73% | |
Risk-free interest rate, maximum (as a percent) | [3] | 1.74% | 2.39% | 1.73% | |
Weighted average grant date fair value (in dollars per share) | $ 16.28 | $ 17.31 | $ 18.31 | ||
Shares Subject to Options | |||||
Outstanding at the beginning of the period (in shares) | 4,081,298 | 4,954,047 | 6,708,724 | ||
Granted (in shares) | 812,482 | 559,722 | 682,344 | ||
Exercised (in shares) | (773,773) | (1,175,540) | (2,154,201) | ||
Forfeited / Expired (in shares) | (145,495) | (256,931) | (282,820) | ||
Outstanding at the end of the period (in shares) | 3,974,512 | 4,081,298 | 4,954,047 | 6,708,724 | |
Exercisable at the end of the period (in shares) | 2,553,304 | ||||
Vested and expected to vest at the end of the period (in shares) | 3,805,506 | ||||
Weighted Average Exercise Price per Share | |||||
Outstanding at the beginning of the period (in dollars per share) | $ 32.83 | $ 28.55 | $ 24.50 | ||
Granted (in dollars per share) | 56.97 | 53.78 | 47.31 | ||
Exercised (in dollars per share) | 26.64 | 22.22 | 20.18 | ||
Forfeited / Expired (in dollars per share) | 51.38 | 44.42 | 41.57 | ||
Outstanding at the end of the period (in dollars per share) | 38.29 | $ 32.83 | $ 28.55 | $ 24.50 | |
Exercisable at the end of the period (in dollars per share) | 29.42 | ||||
Vested and expected to vest at the end of the period (in dollars per share) | $ 37.55 | ||||
Weighted Average Remaining Contractual Life (in years) | |||||
Weighted Average Remaining Contractual Life | 2 years 11 months 9 days | 3 years | 3 years 2 months 7 days | 3 years 7 months 6 days | |
Exercisable at the end of the period | 1 year 6 months 2 days | ||||
Vested and expected to vest at the end of the period | 2 years 9 months 23 days | ||||
Aggregate Intrinsic Value | |||||
Outstanding at the beginning of the period (in dollars) | $ 78,432 | $ 118,784 | $ 157,380 | ||
Outstanding at the end of the period (in dollars) | 51,930 | 78,432 | 118,784 | $ 157,380 | |
Exercisable at the end of the period (in dollars) | 51,159 | ||||
Vested and expected to vest at the end of the period (in dollars) | 51,863 | ||||
Additional disclosures | |||||
Total intrinsic value of stock options exercised | 20,200 | 34,300 | 67,200 | ||
Total fair value of options vested | $ 8,400 | $ 8,200 | $ 14,900 | ||
Nonvested stock option activity | |||||
Nonvested at the beginning of the period (in shares) | 1,206,844 | ||||
Granted (in shares) | 812,482 | 559,722 | 682,344 | ||
Vested (in shares) | (462,175) | ||||
Forfeited (in shares) | (135,943) | ||||
Nonvested at the end of the period (in shares) | 1,421,208 | 1,206,844 | |||
Weighted Average Grant Date Fair Value, Nonvested stock option activity | |||||
Nonvested at the beginning of the period (in dollars per share) | $ 18.10 | ||||
Granted (in dollars per share) | 16.28 | $ 17.31 | $ 18.31 | ||
Vested (in dollars per share) | 18.26 | ||||
Forfeited (in dollars per share) | 17.87 | ||||
Nonvested at the end of the period (in dollars per share) | $ 17.03 | $ 18.10 | |||
Unrecognized compensation expense | |||||
Unrecognized stock-based compensation expense related to nonvested awards, net of estimated forfeitures | $ 15,200 | ||||
Weighted average period over which unrecognized compensation expense is expected to be recognized | 2 years 6 months 27 days | ||||
Stock options | Minimum | |||||
Weighted average assumptions used to estimate the fair value of stock-based awards to employees | |||||
Expected dividend yield (as a percent) | 0.98% | 0.90% | 0.98% | ||
Stock options | Maximum | |||||
Stock-based compensation expense | |||||
Expiration terms of options | 7 years | ||||
Weighted average assumptions used to estimate the fair value of stock-based awards to employees | |||||
Expected dividend yield (as a percent) | 1.12% | 1.13% | 1.04% | ||
Restricted stock | |||||
Stock-based compensation expense | |||||
Stock-based compensation expense | $ 21,077 | $ 18,372 | $ 18,856 | ||
Vesting period | 3 years | ||||
Unrecognized compensation expense | |||||
Unrecognized stock-based compensation expense related to nonvested awards, net of estimated forfeitures | $ 27,800 | ||||
Weighted average period over which unrecognized compensation expense is expected to be recognized | 1 year 7 months 17 days | ||||
[1] | The expected term of the options represents the estimated period of time until exercise and is based on historical experience of similar awards giving consideration to the contractual terms, vesting schedules and expectations of future employee behavior. | ||||
[2] | Expected volatility is based on the historical volatility of the Company's common stock over a timeframe consistent with the expected life of the stock options. | ||||
[3] | The risk-free interest rate is based on the implied yield available on U.S. Treasury constant maturity interest rates whose term is consistent with the expected life of the stock options. |
Stock-Based Compensation and 56
Stock-Based Compensation and Employee Stock Plans - Stock Options Outstanding and Exercisable by Range of Exercise Prices (Details) | 12 Months Ended |
Jan. 30, 2016$ / sharesshares | |
$13.82 to $26.03 | |
Stock options outstanding and exercisable by exercise price range | |
Exercise price per share, low end of range (in dollars per share) | $ 13.82 |
Exercise price per share, high end of range (in dollars per share) | $ 26.03 |
Options Outstanding | |
Options Outstanding (in shares) | shares | 1,077,719 |
Weighted Average Remaining Contractual Life (in years) | 3 months 26 days |
Weighted Average Exercise Price (in dollars per share) | $ 17.90 |
Options Exercisable | |
Options Exercisable (in shares) | shares | 1,077,719 |
Weighted Average Exercise Price (in dollars per share) | $ 17.90 |
$26.77 to $44.88 | |
Stock options outstanding and exercisable by exercise price range | |
Exercise price per share, low end of range (in dollars per share) | 26.77 |
Exercise price per share, high end of range (in dollars per share) | $ 44.88 |
Options Outstanding | |
Options Outstanding (in shares) | shares | 1,002,241 |
Weighted Average Remaining Contractual Life (in years) | 1 year 8 months 5 days |
Weighted Average Exercise Price (in dollars per share) | $ 32.16 |
Options Exercisable | |
Options Exercisable (in shares) | shares | 956,369 |
Weighted Average Exercise Price (in dollars per share) | $ 31.57 |
$45.34 to $55.29 | |
Stock options outstanding and exercisable by exercise price range | |
Exercise price per share, low end of range (in dollars per share) | 45.34 |
Exercise price per share, high end of range (in dollars per share) | $ 55.29 |
Options Outstanding | |
Options Outstanding (in shares) | shares | 1,244,756 |
Weighted Average Remaining Contractual Life (in years) | 4 years 6 months 24 days |
Weighted Average Exercise Price (in dollars per share) | $ 50.38 |
Options Exercisable | |
Options Exercisable (in shares) | shares | 508,268 |
Weighted Average Exercise Price (in dollars per share) | $ 49.22 |
$55.49 to $58.48 | |
Stock options outstanding and exercisable by exercise price range | |
Exercise price per share, low end of range (in dollars per share) | 55.49 |
Exercise price per share, high end of range (in dollars per share) | $ 58.48 |
Options Outstanding | |
Options Outstanding (in shares) | shares | 649,796 |
Weighted Average Remaining Contractual Life (in years) | 6 years 1 month 2 days |
Weighted Average Exercise Price (in dollars per share) | $ 58.40 |
Options Exercisable | |
Options Exercisable (in shares) | shares | 10,948 |
Weighted Average Exercise Price (in dollars per share) | $ 56.65 |
$13.82 to $58.48 | |
Stock options outstanding and exercisable by exercise price range | |
Exercise price per share, low end of range (in dollars per share) | 13.82 |
Exercise price per share, high end of range (in dollars per share) | $ 58.48 |
Options Outstanding | |
Options Outstanding (in shares) | shares | 3,974,512 |
Weighted Average Remaining Contractual Life (in years) | 2 years 11 months 7 days |
Weighted Average Exercise Price (in dollars per share) | $ 38.29 |
Options Exercisable | |
Options Exercisable (in shares) | shares | 2,553,304 |
Weighted Average Exercise Price (in dollars per share) | $ 29.42 |
Stock-Based Compensation and 57
Stock-Based Compensation and Employee Stock Plans - Restricted Stock (Details) - USD ($) $ / shares in Units, $ in Millions | 12 Months Ended | ||
Jan. 30, 2016 | Jan. 31, 2015 | Feb. 01, 2014 | |
Restricted Stock | |||
Stock-Based Compensation and Employee Stock Plans | |||
Vesting period | 3 years | ||
Restricted stock activity | |||
Nonvested at the beginning of the period (in shares) | 2,186,119 | 2,431,654 | 2,092,095 |
Granted (in shares) | 661,640 | 593,841 | 1,806,949 |
Vested (in shares) | (400,951) | (433,249) | (913,769) |
Forfeited (in shares) | (241,828) | (406,127) | (553,621) |
Nonvested at the end of the period (in shares) | 2,204,980 | 2,186,119 | 2,431,654 |
Weighted Average Grant Date Fair Value | |||
Nonvested at beginning of the period (in dollars per share) | $ 48.67 | $ 45.93 | $ 35.48 |
Granted (in dollars per share) | 56.95 | 53.36 | 46.85 |
Vested (in dollars per share) | 48.59 | 39.99 | 27.46 |
Forfeited (in dollars per share) | 50.52 | 48.40 | 39.93 |
Nonvested at the end of the period (in dollars per share) | $ 50.97 | $ 48.67 | $ 45.93 |
Unrecognized compensation expense | |||
Unrecognized stock-based compensation expense related to nonvested awards, net of estimated forfeitures | $ 27.8 | ||
Weighted average period over which unrecognized compensation expense is expected to be recognized | 1 year 7 months 17 days | ||
Performance Shares 2013 Plan | |||
Stock-Based Compensation and Employee Stock Plans | |||
Vesting period | 5 years | ||
Restricted stock activity | |||
Granted (in shares) | 90,735 | 118,095 | 1,185,793 |
Nonvested at the end of the period (in shares) | 855,998 |
Income Taxes - Components of th
Income Taxes - Components of the Provision for Income Taxes (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Jan. 30, 2016 | Jan. 31, 2015 | Feb. 01, 2014 | |
Current: | |||
Federal | $ 164,165 | $ 187,735 | $ 156,177 |
State | 27,076 | 30,340 | 27,769 |
Total | 191,241 | 218,075 | 183,946 |
Deferred: | |||
Federal | 8,198 | (5,740) | 23,499 |
State | 1,045 | (519) | 1,064 |
Total | 9,243 | (6,259) | 24,563 |
Total provision | $ 200,484 | $ 211,816 | $ 208,509 |
Income Taxes - Reconciliation o
Income Taxes - Reconciliation of Effective Income Tax Rate (Details) | 12 Months Ended | ||
Jan. 30, 2016 | Jan. 31, 2015 | Feb. 01, 2014 | |
Reconciliation of the federal statutory income tax rate to the effective income tax rate | |||
Federal statutory rate (as a percent) | 35.00% | 35.00% | 35.00% |
State tax, net of federal benefit (as a percent) | 3.50% | 3.10% | 3.50% |
Valuation allowance (as a percent) | (0.10%) | 0.00% | (0.40%) |
Other permanent items (as a percent) | (0.60%) | 0.00% | 0.10% |
Effective income tax rate (as a percent) | 37.80% | 38.10% | 38.20% |
Income Taxes - Components of De
Income Taxes - Components of Deferred Tax Assets / Liabilities (Details) - USD ($) $ in Thousands | Jan. 30, 2016 | Jan. 31, 2015 |
Deferred tax assets | ||
Inventory | $ 45,442 | $ 42,163 |
Employee benefits | 37,295 | 34,167 |
Deferred rent | 36,485 | 31,234 |
Stock-based compensation | 26,843 | 25,913 |
Gift cards | 15,884 | 13,691 |
Other accrued expenses not currently deductible for tax purposes | 9,532 | 5,520 |
Capital loss carryforward | 5,304 | 5,608 |
Non income-based tax reserves | 5,274 | 8,174 |
Deferred revenue currently taxable | 4,957 | 4,837 |
Store closing expense | 4,569 | 4,984 |
Uncertain income tax positions | 4,253 | 3,524 |
Insurance | 2,280 | 2,432 |
Other | 179 | 77 |
Valuation allowance | (5,304) | (5,608) |
Total deferred tax assets | 192,993 | 176,716 |
Deferred tax liabilities | ||
Property and equipment | (152,287) | (134,057) |
Inventory | (35,095) | (27,386) |
Intangibles | (5,900) | (6,319) |
Total deferred tax liabilities | (193,282) | (167,762) |
Net deferred tax (liability) asset | (289) | 8,954 |
Net deferred tax assets recorded within other long-term assets | 6,165 | 8,954 |
Net deferred tax liabilities recorded within other long-term liabilities | 6,454 | $ 0 |
Undistributed earnings of foreign subsidiaries | 31,600 | |
Unrecognized tax liability related to undistributed earnings of foreign subsidiaries | $ 10,900 |
Income Taxes (Details)
Income Taxes (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Jan. 30, 2016 | Jan. 31, 2015 | Feb. 01, 2014 | |
Income Tax Disclosure [Abstract] | |||
Total liability for uncertain tax positions, including related interest and penalties | $ 12,700 | ||
Reconciliation of the Company's total unrecognized tax benefits balances, excluding interest and penalties | |||
Beginning of fiscal year | 8,376 | $ 7,507 | $ 10,670 |
Increases as a result of tax positions taken in a prior period | 1,101 | 124 | 1,651 |
Decreases as a result of tax positions taken in a prior period | 0 | 0 | (2,240) |
Increases as a result of tax positions taken in the current period | 1,193 | 1,057 | 985 |
Decreases as a result of settlements during the current period | (63) | (312) | (3,559) |
Reductions as a result of a lapse of statute of limitations during the current period | (823) | 0 | 0 |
End of fiscal year | 9,784 | 8,376 | 7,507 |
Unrecognized tax benefits that would impact effective tax rate if recognized | 6,400 | ||
Accrued interest and penalties associated with uncertain tax positions | 2,900 | ||
Accrual of interest and penalties related to uncertain tax positions | 1,200 | $ 300 | $ 900 |
Unrecognized tax benefits that could be recognized within the next 12 months | $ 5,700 |
Earnings per Common Share (Deta
Earnings per Common Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||||||||||
Jan. 30, 2016 | Oct. 31, 2015 | Aug. 01, 2015 | May. 02, 2015 | Jan. 31, 2015 | Nov. 01, 2014 | Aug. 02, 2014 | May. 03, 2014 | Jan. 30, 2016 | Jan. 31, 2015 | Feb. 01, 2014 | |||||||||
Earnings per common share - Basic: | |||||||||||||||||||
Net income | $ 128,993 | [1] | $ 47,215 | [1],[2] | $ 90,839 | [1] | $ 63,345 | [1] | $ 155,536 | $ 49,211 | $ 69,467 | [3] | $ 69,984 | [4] | $ 330,391 | $ 344,198 | $ 337,598 | ||
Weighted average common shares outstanding - basic | 112,618 | 114,978 | 116,281 | 117,044 | 117,745 | 118,142 | 119,950 | 121,138 | 115,230 | 119,244 | 122,878 | ||||||||
Earnings per common share (in dollars per share) - basic | $ 1.15 | [1] | $ 0.41 | [1] | $ 0.78 | [1] | $ 0.54 | [1] | $ 1.32 | [1] | $ 0.42 | [1] | $ 0.58 | [1] | $ 0.58 | [1] | $ 2.87 | $ 2.89 | $ 2.75 |
Earnings per common share - Diluted: | |||||||||||||||||||
Net income | $ 128,993 | [1] | $ 47,215 | [1],[2] | $ 90,839 | [1] | $ 63,345 | [1] | $ 155,536 | $ 49,211 | $ 69,467 | [3] | $ 69,984 | [4] | $ 330,391 | $ 344,198 | $ 337,598 | ||
Weighted average common shares outstanding - basic | 112,618 | 114,978 | 116,281 | 117,044 | 117,745 | 118,142 | 119,950 | 121,138 | 115,230 | 119,244 | 122,878 | ||||||||
Dilutive effect of stock-based awards (in shares) | 1,564 | 1,994 | 2,750 | ||||||||||||||||
Weighted average common shares outstanding - diluted | 113,960 | 116,506 | 117,805 | 118,906 | 119,749 | 120,002 | 121,840 | 123,360 | 116,794 | 121,238 | 125,628 | ||||||||
Earnings per common share (in dollars per share) - diluted | $ 1.13 | [1] | $ 0.41 | [1] | $ 0.77 | [1] | $ 0.53 | [1] | $ 1.30 | [1] | $ 0.41 | [1] | $ 0.57 | [1] | $ 0.57 | [1] | $ 2.83 | $ 2.84 | $ 2.69 |
Anti-dilutive stock-based awards excluded from diluted calculation (in shares) | 1,449 | 1,334 | 899 | ||||||||||||||||
[1] | Quarterly results for fiscal 2015 and 2014 do not add to full year results due to rounding. | ||||||||||||||||||
[2] | Includes litigation settlement charge of $4.7 million. | ||||||||||||||||||
[3] | Includes golf restructuring charges of $12.2 million. | ||||||||||||||||||
[4] | Includes gain on sale of a Gulfstream G650 corporate aircraft of $8.7 million. |
Retirement Savings Plans (Detai
Retirement Savings Plans (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 30, 2016 | Jan. 31, 2015 | Feb. 01, 2014 | |
Retirement savings plan | |||
Minimum number of working hours required to participate in the plan | 1000 hours | ||
Minimum employee age required to participate in the plan | 21 years | ||
Percentage of the participant's compensation for which a discretionary matching contribution may be made by the Company | 10.00% | ||
Company's discretionary matching contribution percentage | 50.00% | ||
Total expense recorded under the plan, net of forfeitures | $ 7 | $ 6.1 | $ 6.4 |
Deferred compensation plans | |||
Liability for compensation deferred under the Company's plans | 53 | 52.2 | |
Total expense recorded under the plans, net of forfeitures | $ 2 | $ 1.5 | $ 1 |
Commitments and Contingencies64
Commitments and Contingencies (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Jan. 30, 2016 | Jan. 31, 2015 | Feb. 01, 2014 | |
Trademark licensing royalties | |||
Aggregate payments for trademark licensing royalties | $ 18,200 | $ 16,400 | $ 16,800 |
2,016 | 8,650 | ||
2,017 | 8,800 | ||
2,018 | 8,950 | ||
2,019 | 9,100 | ||
2,020 | 8,100 | ||
Thereafter | 0 | ||
Total | 43,600 | ||
Marketing and naming rights commitments | |||
Payments for marketing, naming rights and other commitments | |||
Aggregate payments for marketing, naming rights and other commitments | 43,000 | 52,100 | 29,000 |
2,016 | 38,336 | ||
2,017 | 7,677 | ||
2,018 | 3,176 | ||
2,019 | 3,266 | ||
2,020 | 2,799 | ||
Thereafter | 17,611 | ||
Total | 72,865 | ||
Other commitments | |||
Payments for marketing, naming rights and other commitments | |||
Aggregate payments for marketing, naming rights and other commitments | 11,700 | $ 8,700 | $ 43,900 |
2,016 | 7,988 | ||
2,017 | 3,660 | ||
2,018 | 36,502 | ||
2,019 | 5,645 | ||
2,020 | 1,145 | ||
Thereafter | 0 | ||
Total | $ 54,940 |
Fair Value Measurements (Detail
Fair Value Measurements (Details) - Level 1 - USD ($) $ in Thousands | Jan. 30, 2016 | Jan. 31, 2015 | |
Fair Value Measurements | |||
Deferred compensation plan assets held in trust | [1] | $ 53,040 | $ 52,193 |
Total assets | $ 53,040 | $ 52,193 | |
[1] | Consists of investments in various mutual funds made by eligible individuals as part of the Company's deferred compensation plan (See NoteĀ 13). |
Quarterly Financial Informati66
Quarterly Financial Information (Unaudited) (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||||||||||
Jan. 30, 2016 | Oct. 31, 2015 | Aug. 01, 2015 | May. 02, 2015 | Jan. 31, 2015 | Nov. 01, 2014 | Aug. 02, 2014 | May. 03, 2014 | Jan. 30, 2016 | Jan. 31, 2015 | Feb. 01, 2014 | |||||||||
Quarterly Financial Information Disclosure [Abstract] | |||||||||||||||||||
Net sales | $ 2,240,051 | $ 1,642,627 | $ 1,822,979 | $ 1,565,308 | $ 2,160,006 | $ 1,526,675 | $ 1,688,890 | $ 1,438,908 | $ 7,270,965 | $ 6,814,479 | $ 6,213,173 | ||||||||
Gross profit | 671,966 | [1] | 488,376 | [1] | 553,558 | [1] | 468,988 | [1] | 691,256 | [1] | 451,972 | [1] | 502,556 | [1] | 440,883 | [1] | 2,182,887 | 2,086,666 | 1,943,950 |
Income from operations | 207,794 | [1] | 77,081 | [1] | 148,407 | [1] | 101,912 | [1] | 250,480 | [1] | 79,930 | [1] | 111,562 | [1] | 112,088 | [1] | 535,192 | 554,059 | 536,812 |
Net income | $ 128,993 | [1] | $ 47,215 | [1],[2] | $ 90,839 | [1] | $ 63,345 | [1] | $ 155,536 | $ 49,211 | $ 69,467 | [3] | $ 69,984 | [4] | $ 330,391 | $ 344,198 | $ 337,598 | ||
Earnings per common share: | |||||||||||||||||||
Basic (in dollars per share) | $ 1.15 | [1] | $ 0.41 | [1] | $ 0.78 | [1] | $ 0.54 | [1] | $ 1.32 | [1] | $ 0.42 | [1] | $ 0.58 | [1] | $ 0.58 | [1] | $ 2.87 | $ 2.89 | $ 2.75 |
Diluted (in dollars per share) | $ 1.13 | [1] | $ 0.41 | [1] | $ 0.77 | [1] | $ 0.53 | [1] | $ 1.30 | [1] | $ 0.41 | [1] | $ 0.57 | [1] | $ 0.57 | [1] | $ 2.83 | $ 2.84 | $ 2.69 |
Weighted average common shares outstanding: | |||||||||||||||||||
Basic (in shares) | 112,618 | 114,978 | 116,281 | 117,044 | 117,745 | 118,142 | 119,950 | 121,138 | 115,230 | 119,244 | 122,878 | ||||||||
Diluted (in shares) | 113,960 | 116,506 | 117,805 | 118,906 | 119,749 | 120,002 | 121,840 | 123,360 | 116,794 | 121,238 | 125,628 | ||||||||
Litigation settlement charge, net of tax | $ 4,700 | ||||||||||||||||||
Gain on sale of corporate aircraft, net of tax | $ 8,700 | ||||||||||||||||||
Golf restructuring charges, net of tax | $ 12,200 | ||||||||||||||||||
[1] | Quarterly results for fiscal 2015 and 2014 do not add to full year results due to rounding. | ||||||||||||||||||
[2] | Includes litigation settlement charge of $4.7 million. | ||||||||||||||||||
[3] | Includes golf restructuring charges of $12.2 million. | ||||||||||||||||||
[4] | Includes gain on sale of a Gulfstream G650 corporate aircraft of $8.7 million. |
Subsequent Events (Details)
Subsequent Events (Details) - USD ($) $ / shares in Units, $ in Billions | Mar. 16, 2016 | Feb. 18, 2016 | Mar. 07, 2013 |
Subsequent Events | |||
Period over which shares may be purchased under share repurchase program (in years) | 5 years | ||
Authorized aggregate repurchases of common stock | $ 1 | ||
Subsequent Events | |||
Subsequent Events | |||
Declaration date | Feb. 18, 2016 | ||
Payment date | Mar. 31, 2016 | ||
Record date | Mar. 11, 2016 | ||
Period over which shares may be purchased under share repurchase program (in years) | 5 years | ||
Authorized aggregate repurchases of common stock | $ 1 | ||
Subsequent Events | Common Stock | |||
Subsequent Events | |||
Dividend amount (in dollars per share) | $ 0.15125 | ||
Subsequent Events | Class B Common Stock | |||
Subsequent Events | |||
Dividend amount (in dollars per share) | $ 0.15125 |
SCHEDULE II VALUATION AND QUA68
SCHEDULE II VALUATION AND QUALIFYING ACCOUNTS (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Jan. 30, 2016 | Jan. 31, 2015 | Feb. 01, 2014 | |
Inventory reserve | |||
Valuation and qualifying accounts | |||
Balance at beginning of period | $ 32,297 | $ 20,113 | $ 17,972 |
Charged to costs and expenses | 10,761 | 18,634 | 4,620 |
Deductions | (6,436) | (6,450) | (2,479) |
Balance at end of period | 36,622 | 32,297 | 20,113 |
Allowance for doubtful accounts | |||
Valuation and qualifying accounts | |||
Balance at beginning of period | 2,684 | 3,109 | 2,738 |
Charged to costs and expenses | 4,736 | 4,712 | 4,996 |
Deductions | (4,693) | (5,137) | (4,625) |
Balance at end of period | 2,727 | 2,684 | 3,109 |
Reserve for sales returns | |||
Valuation and qualifying accounts | |||
Balance at beginning of period | 5,829 | 4,406 | 4,382 |
Charged to costs and expenses | 432,760 | 408,546 | 356,444 |
Deductions | (430,835) | (407,123) | (356,420) |
Balance at end of period | 7,754 | 5,829 | 4,406 |
Allowance for deferred tax assets | |||
Valuation and qualifying accounts | |||
Balance at beginning of period | 5,608 | 6,242 | 7,942 |
Charged to costs and expenses | 0 | 0 | 0 |
Deductions | (304) | (634) | (1,700) |
Balance at end of period | $ 5,304 | $ 5,608 | $ 6,242 |