Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
Jan. 28, 2017 | Mar. 20, 2017 | Jul. 29, 2016 | |
Entity Registrant Name | DICKS SPORTING GOODS INC | ||
Entity Central Index Key | 1,089,063 | ||
Document Type | 10-K | ||
Document Period End Date | Jan. 28, 2017 | ||
Amendment Flag | false | ||
Current Fiscal Year End Date | --01-28 | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Public Float | $ 4,395,310,091 | ||
Document Fiscal Year Focus | 2,016 | ||
Document Fiscal Period Focus | FY | ||
Common Stock | |||
Entity Common Stock, Shares Outstanding | 88,085,668 | ||
Class B Common Stock | |||
Entity Common Stock, Shares Outstanding | 24,710,870 |
CONSOLIDATED STATEMENTS OF INCO
CONSOLIDATED STATEMENTS OF INCOME - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | ||
Jan. 28, 2017 | Jan. 30, 2016 | Jan. 31, 2015 | |
Income Statement [Abstract] | |||
Net sales | $ 7,921,981 | $ 7,270,965 | $ 6,814,479 |
Cost of goods sold, including occupancy and distribution costs | 5,556,198 | 5,088,078 | 4,727,813 |
GROSS PROFIT | 2,365,783 | 2,182,887 | 2,086,666 |
Selling, general and administrative expenses | 1,875,643 | 1,613,075 | 1,502,089 |
Pre-opening expenses | 40,286 | 34,620 | 30,518 |
INCOME FROM OPERATIONS | 449,854 | 535,192 | 554,059 |
Interest expense | 5,856 | 4,012 | 3,215 |
Other (income) expense | (14,424) | 305 | (5,170) |
INCOME BEFORE INCOME TAXES | 458,422 | 530,875 | 556,014 |
Provision for income taxes | 171,026 | 200,484 | 211,816 |
NET INCOME | $ 287,396 | $ 330,391 | $ 344,198 |
EARNINGS PER COMMON SHARE: | |||
Basic (in dollars per share) | $ 2.59 | $ 2.87 | $ 2.89 |
Diluted (in dollars per share) | $ 2.56 | $ 2.83 | $ 2.84 |
WEIGHTED AVERAGE COMMON SHARES OUTSTANDING: | |||
Basic (in shares) | 111,095 | 115,230 | 119,244 |
Diluted (in shares) | 112,216 | 116,794 | 121,238 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands | 12 Months Ended | ||
Jan. 28, 2017 | Jan. 30, 2016 | Jan. 31, 2015 | |
Statement of Comprehensive Income [Abstract] | |||
NET INCOME | $ 287,396 | $ 330,391 | $ 344,198 |
OTHER COMPREHENSIVE INCOME (LOSS): | |||
Foreign currency translation adjustment, net of tax | 47 | (106) | (97) |
TOTAL OTHER COMPREHENSIVE INCOME (LOSS) | 47 | (106) | (97) |
COMPREHENSIVE INCOME | $ 287,443 | $ 330,285 | $ 344,101 |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Jan. 28, 2017 | Jan. 30, 2016 |
CURRENT ASSETS: | ||
Cash and cash equivalents | $ 164,777 | $ 118,936 |
Accounts receivable, net | 75,199 | 61,395 |
Income taxes receivable | 2,307 | 5,432 |
Inventories, net | 1,638,632 | 1,527,187 |
Prepaid expenses and other current assets | 114,763 | 99,740 |
Total current assets | 1,995,678 | 1,812,690 |
PROPERTY AND EQUIPMENT, NET | 1,522,574 | 1,347,885 |
INTANGIBLE ASSETS, NET | 140,835 | 109,440 |
GOODWILL | 245,059 | 200,594 |
OTHER ASSETS: | ||
Deferred income taxes | 45,927 | 6,165 |
Other | 108,223 | 82,562 |
Total other assets | 154,150 | 88,727 |
TOTAL ASSETS | 4,058,296 | 3,559,336 |
CURRENT LIABILITIES: | ||
Accounts payable | 755,537 | 677,864 |
Accrued expenses | 384,210 | 289,001 |
Deferred revenue and other liabilities | 203,788 | 184,386 |
Income taxes payable | 53,234 | 39,835 |
Current portion of other long-term debt and leasing obligations | 646 | 589 |
Total current liabilities | 1,397,415 | 1,191,675 |
LONG-TERM LIABILITIES: | ||
Other long-term debt and leasing obligations | 4,679 | 5,324 |
Deferred income taxes | 0 | 6,454 |
Deferred revenue and other liabilities | 726,713 | 566,696 |
Total long-term liabilities | 731,392 | 578,474 |
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 | 1,130,830 | 1,063,705 |
Retained earnings | 1,956,066 | 1,737,214 |
Accumulated other comprehensive loss | (132) | (179) |
Treasury stock, at cost, 23,735,217 and 20,604,263 at January 28, 2017 and January 30, 2016 respectively | (1,158,378) | (1,012,671) |
Total stockholders' equity | 1,929,489 | 1,789,187 |
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY | 4,058,296 | 3,559,336 |
Common Stock | ||
STOCKHOLDERS' EQUITY: | ||
Common stock | 856 | 869 |
Class B Common Stock | ||
STOCKHOLDERS' EQUITY: | ||
Common stock | $ 247 | $ 249 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares | Jan. 28, 2017 | Jan. 30, 2016 |
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 | 23,735,217 | 20,604,263 |
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 | 109,355,095 | 107,454,893 |
Common stock, outstanding shares | 85,619,878 | 86,850,630 |
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 | 24,710,870 | 24,900,870 |
Common stock, outstanding shares | 24,710,870 | 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. 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 $28, $62 and $57 for the year ended 2016, 2015, and 2014, respectively | (97) | (97) | |||||
Purchase of shares for treasury | (200,000) | (199,957) | $ (43) | ||||
Purchase of shares for treasury (in shares) | (4,328,875) | ||||||
Cash dividends declared per common share of $0.605, $0.55 and $0.50 for the year ended 2016, 2015, and 2014, 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 $28, $62 and $57 for the year ended 2016, 2015, and 2014, 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 $0.605, $0.55 and $0.50 for the year ended 2016, 2015, and 2014, 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 | |||||
Increase (Decrease) in Stockholders' Equity | |||||||
Exchange of Class B common stock for common stock | 0 | $ 2 | $ (2) | ||||
Exchange of Class B common stock for common stock (in shares) | 190,000 | (190,000) | |||||
Exercise of stock options | 31,089 | 31,076 | $ 13 | ||||
Exercise of stock options (in shares) | 1,421,389 | ||||||
Restricted stock vested | 0 | (4) | $ 4 | ||||
Restricted stock vested (in shares) | 438,160 | ||||||
Minimum tax withholding requirements | (7,060) | (7,059) | $ (1) | ||||
Minimum tax withholding requirements (in shares) | (149,347) | ||||||
Net income | 287,396 | 287,396 | |||||
Stock-based compensation | 33,602 | 33,602 | |||||
Total tax benefit from exercise of stock options | 9,510 | 9,510 | |||||
Foreign currency translation adjustment, net of taxes of $28, $62 and $57 for the year ended 2016, 2015, and 2014, respectively | 47 | 47 | |||||
Purchase of shares for treasury | $ (145,738) | (145,707) | $ (31) | ||||
Purchase of shares for treasury (in shares) | (3,100,000) | (3,130,954) | |||||
Cash dividends declared per common share of $0.605, $0.55 and $0.50 for the year ended 2016, 2015, and 2014, respectively | $ (68,544) | (68,544) | |||||
BALANCE at Jan. 28, 2017 | $ 1,929,489 | $ 1,130,830 | $ 1,956,066 | $ (132) | $ (1,158,378) | $ 856 | $ 247 |
BALANCE (in shares) at Jan. 28, 2017 | 85,619,878 | 24,710,870 |
CONSOLIDATED STATEMENTS OF CHA7
CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY (Parenthetical) - USD ($) $ in Thousands | 12 Months Ended | ||
Jan. 28, 2017 | Jan. 30, 2016 | Jan. 31, 2015 | |
Statement of Stockholders' Equity [Abstract] | |||
Foreign currency translation adjustment, taxes | $ (28) | $ 62 | $ 57 |
Cash dividends declared per share (in dollars per share) | $ 0.605 | $ 0.55 | $ 0.50 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 12 Months Ended | ||
Jan. 28, 2017 | Jan. 30, 2016 | Jan. 31, 2015 | |
CASH FLOWS FROM OPERATING ACTIVITIES: | |||
Net income | $ 287,396 | $ 330,391 | $ 344,198 |
Adjustments to reconcile net income to net cash provided by operating activities: | |||
Depreciation and amortization | 233,834 | 193,594 | 179,431 |
Deferred income taxes | (45,036) | 9,243 | (6,259) |
Stock-based compensation | 33,602 | 29,288 | 26,275 |
Excess tax benefit from exercise of stock options | (10,011) | (6,825) | (11,953) |
Gain on sale of asset | 0 | 0 | (14,428) |
Other non-cash items | 721 | 626 | 576 |
Changes in assets and liabilities: | |||
Accounts receivable | (4,125) | (6,412) | 1,797 |
Inventories | (84,733) | (136,420) | (158,702) |
Prepaid expenses and other assets | (2,282) | (21,266) | (11,004) |
Accounts payable | 59,870 | 34,232 | 81,330 |
Accrued expenses | 64,469 | 5,190 | 16,158 |
Income taxes payable / receivable | 26,034 | 7,157 | 32,476 |
Deferred construction allowances | 179,864 | 165,616 | 101,630 |
Deferred revenue and other liabilities | 19,380 | 39,100 | 24,453 |
Net cash provided by operating activities | 758,983 | 643,514 | 605,978 |
CASH FLOWS FROM INVESTING ACTIVITIES: | |||
Capital expenditures | (421,920) | (370,028) | (349,007) |
Acquisitions, net of cash acquired | (118,769) | 0 | 0 |
Proceeds from sale of other assets | 0 | 0 | 74,534 |
Deposits and purchases of other assets | (9,635) | (2,406) | (30,547) |
Net cash used in investing activities | (550,324) | (372,434) | (305,020) |
CASH FLOWS FROM FINANCING ACTIVITIES: | |||
Revolving credit borrowings | 2,159,600 | 1,338,100 | 1,401,800 |
Revolving credit repayments | (2,159,600) | (1,338,100) | (1,401,800) |
Payments on other long-term debt and leasing obligations | (588) | (537) | (925) |
Construction allowance receipts | 0 | 0 | 0 |
Proceeds from exercise of stock options | 31,089 | 20,617 | 26,121 |
Excess tax benefit from exercise of stock options | 10,011 | 6,826 | 12,204 |
Minimum tax withholding requirements | (7,060) | (7,753) | (7,793) |
Cash paid for treasury stock | (145,738) | (357,276) | (200,000) |
Cash dividends paid to stockholders | (67,972) | (64,715) | (61,262) |
Increase (decrease) in bank overdraft | 17,393 | 29,121 | (29,258) |
Net cash used in financing activities | (162,865) | (373,717) | (260,913) |
EFFECT OF EXCHANGE RATE CHANGES ON CASH AND CASH EQUIVALENTS | 47 | (106) | (97) |
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS | 45,841 | (102,743) | 39,948 |
CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD | 118,936 | 221,679 | 181,731 |
CASH AND CASH EQUIVALENTS, END OF PERIOD | 164,777 | 118,936 | 221,679 |
Supplemental disclosure of cash flow information: | |||
Accrued property and equipment | 70,129 | 43,481 | 42,900 |
Cash paid during the year for interest | 4,983 | 3,308 | 2,631 |
Cash paid during the year for income taxes | $ 196,712 | $ 186,741 | $ 186,790 |
Basis of Presentation and Summa
Basis of Presentation and Summary of Significant Accounting Policies | 12 Months Ended |
Jan. 28, 2017 | |
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 – 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, and Dick's Team Sports HQ. The Company offers its products through a content-rich eCommerce platform that is integrated with its store network and provides customers with the convenience and expertise of a 24-hour storefront. Fiscal Year – The Company's fiscal year ends on the Saturday closest to the end of January. Fiscal years 2016 , 2015 and 2014 ended on January 28, 2017 , January 30, 2016 and January 31, 2015 , respectively. Principles of Consolidation – 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 – 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 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 $81.6 million and $35.2 million at January 28, 2017 and January 30, 2016 , respectively. Cash Management – The Company's cash management system provides for the reimbursement of all major bank disbursement accounts on a daily basis. Accounts payable at January 28, 2017 and January 30, 2016 include $152.5 million and $135.1 million , respectively, of checks drawn in excess of cash balances not yet presented for payment. Accounts Receivable – Accounts receivable consist principally of amounts receivable from vendors and landlords. The allowance for doubtful accounts totaled $3.2 million and $2.7 million as of January 28, 2017 and January 30, 2016 respectively. Inventories – 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 $176.4 million and $113.5 million at January 28, 2017 and January 30, 2016 , respectively. Property and Equipment – 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 Computer software 3-10 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 $203.1 million , $178.9 million and $159.1 million for fiscal 2016 , 2015 and 2014 , respectively. Renewals and betterments are capitalized and repairs and maintenance are expensed as incurred. Impairment of Long-Lived Assets and Closed Store Reserves – 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 related expense is recorded within selling, general and administrative expenses on the Consolidated Statements of Income. 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 non-current 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 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 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 customer lists, 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 – 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, which consist primarily of rent, marketing, payroll and recruiting costs, are expensed as incurred. Rent is recognized within pre-opening expense from the date the Company takes possession of a site through the date of store opening. Earnings Per Common Share – 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 – 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 – 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 from income tax matters are recognized in income tax expense. Revenue Recognition – 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 includes: the cost of merchandise (inclusive of vendor allowances, inventory shrinkage and inventory write-downs for the lower of cost or market); freight; distribution; shipping; and store occupancy costs. The Company defines merchandise margin as net sales less the cost of merchandise sold. 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 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 – 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 $304.9 million , $276.3 million and $248.7 million for fiscal 2016 , 2015 and 2014 , respectively. Vendor Allowances – 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 for 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 – 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 2016 2015 2014 Hardlines $ 3,574 $ 3,264 $ 2,992 Apparel 2,756 2,553 2,461 Footwear 1,529 1,403 1,316 Other 63 51 45 Total net sales $ 7,922 $ 7,271 $ 6,814 Construction Allowances – 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 – 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 Issued Accounting Pronouncements Intangibles - Goodwill and Other In January 2017, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2017-04, " Intangibles-Goodwill and Other (Topic 350): Simplifying the Test of Goodwill Impairment ". This update modifies the concept of impairment and simplifies how an entity is required to test goodwill for impairment by eliminating Step 2 from the goodwill impairment test. ASU 2017-04 is effective for interim or annual goodwill impairment tests during fiscal years beginning after December 15, 2019. Early application is permitted and prospective application is required. The Company does not expect that the adoption of this guidance will have a significant impact on the Company's Consolidated Financial Statements. Income Taxes In October 2016, the FASB issued ASU 2016-16, " Income Taxes (Topic 740): Intra-Entity Transfers of Assets Other Than Inventory ". This update requires the income tax consequences of intra-entity transfers of assets other than inventory to be recognized when the intra-entity transfer occurs rather than deferring recognition of income tax consequences until the transfer was made with an outside party. ASU 2016-16 is effective for annual reporting periods, and interim periods therein, beginning after December 15, 2017. Early application is permitted as of the beginning of the interim or annual reporting period. A modified retrospective approach should be applied. The Company plans to adopt ASU 2016-16 during the first quarter of fiscal 2017. The Company does not expect that the adoption of this guidance will have a significant impact on the Company's Consolidated Financial Statements. Statement of Cash Flows In August 2016, the FASB issued ASU 2016-15, " Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments (a consensus of the Emerging Issues Task Force) ". This update addresses eight specific cash flow topics with the objective of reducing the existing diversity in practice for certain aspects under Topic 230. ASU 2016-15 is effective for annual reporting periods, and interim periods therein, beginning after December 15, 2017. Early application is permitted as of the beginning of the interim or annual reporting period. If early adopted, an entity must adopt all of the amendments during the same period. The Company plans to adopt ASU 2016-15 during the first quarter of fiscal 2017. The Company does not expect that the adoption of this guidance will have a significant impact on the Company's Consolidated Financial Statements. Stock Compensation In March 2016, the FASB issued ASU 2016-09, " Compensation - Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting ". This update simplifies several aspects of the accounting for share-based payment transactions, including the income tax consequences, classification of awards as either equity or liabilities and classification on the statement of cash flows. ASU 2016-09 is effective for annual reporting periods, and interim periods therein, beginning after December 15, 2016, with early application permitted. If early adopted, an entity must adopt all of the amendments during the same period. The Company does not expect that the adoption of this guidance will have a significant impact on the Company's Consolidated Financial Statements, however, the Company's effective income tax rate will be impacted by the volume of share-based award activity during each reporting period. 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 but anticipates that it will result in significant right of use assets and related liabilities as all of the Company's retail locations and the majority of our supply chain facilities are categorized as operating leases. 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 for revenue and cash flows arising from contracts with customers. 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. In March 2016, April 2016, and December 2016, the FASB issued ASU 2016-08, " Revenue from Contracts with Customers - Principal versus Agent Considerations (Reporting Revenue Gross versus Net) ", ASU 2016-10, " Revenue from Contracts with Customers - Identifying Performance Obligations and Licensing ", and ASU 2016-20, " Technical Corrections and Improvements to Topic 606, Revenue from Contracts with Customers" , respectively, which further clarify the guidance for those specific topics within ASU 2014-09. In May 2016, the FASB issued ASU 2016-12, " Revenue from Contracts with Customers - Narrow Scope Improvements and Practical Expedients ", to reduce the risk of diversity in practice for certain aspects in ASU 2014-09, including collectibility, noncash consideration, presentation of sales tax and transition. These updates permit the use of either the retrospective or cumulative effect transition method. 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. These ASU's will most likely change the way the Company accounts for sales returns, our customer loyalty program, gift card breakage and certain other promotional programs. Based on current estimates, we do not expect these provisions of the ASU to have a material impact on our financial statements. The Company is continuing to evaluate which transition approach it will utilize and the impact these standards will have on the Company's Consolidated Financial Statements upon adoption. |
Goodwill and Other Intangible A
Goodwill and Other Intangible Assets | 12 Months Ended |
Jan. 28, 2017 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Other Intangible Assets | Goodwill and Other Intangible Assets The following table summarizes the carrying amount of goodwill and accumulated impairment charges as of the end of the fiscal periods (in thousands): 2016 2015 Carrying Value Accumulated Impairment Carrying Value Accumulated Impairment Goodwill $ 245,059 $ 111,312 $ 200,594 $ 111,312 No impairment charges were recorded for goodwill in fiscal 2016 , 2015 or 2014 . The Company had indefinite-lived and finite-lived intangible assets of $111.0 million and $29.8 million , respectively, as of January 28, 2017 and $104.7 million and $4.8 million , respectively, as of January 30, 2016 . During fiscal 2014, the Company recorded a $12.4 million non-cash impairment charge for a trademark and trade name from the Company's golf restructuring to reduce the carrying value of the respective assets to their estimated fair value. The components of intangible assets were as follows as of the end of the fiscal periods (in thousands): 2016 2015 Gross Amount Accumulated Amortization Gross Amount Accumulated Amortization Trademarks (indefinite-lived) $ 89,206 $ — $ 89,056 $ — Trade names (indefinite-lived) 16,031 — 9,850 — Customer lists 19,166 (2,260 ) 1,200 (1,200 ) Acquired technology and other finite-lived intangible assets 26,763 (13,843 ) 16,205 (11,435 ) Other indefinite-lived intangible assets 5,772 — 5,764 — Total intangible assets $ 156,938 $ (16,103 ) $ 122,075 $ (12,635 ) Amortization expense for the Company's finite-lived intangible assets was $3.5 million , $1.6 million and $2.5 million for fiscal 2016 , 2015 and 2014 , respectively. The annual estimated amortization expense of the finite-lived intangible assets recorded as of January 28, 2017 is expected to be as follows (in thousands): Fiscal Year Estimated Amortization Expense 2017 $ 6,283 2018 6,100 2019 5,206 2020 4,128 2021 3,991 Thereafter 4,118 Total $ 29,826 The following table summarizes intangible assets acquired during fiscal 2016: Finite-lived Indefinite-lived Total Intangible Assets Acquired Customer Lists Acquired Technology Tradenames Goodwill Tradenames TSA (1) $ 10,300 $ — $ 2,300 $ — $ — $ 12,600 Technology companies (2) 4,651 7,671 — 44,465 6,181 62,968 Golfsmith (3) 3,015 — 230 — — 3,245 Total $ 17,966 $ 7,671 $ 2,530 $ 44,465 $ 6,181 $ 78,813 Weighted average amortization period (in years) 7 5 3 6 (1) The Company acquired intellectual property assets of The Sports Authority ("TSA") along with the right to acquire 31 store leases for $17.2 million , net of sale proceeds. The Company retained 22 of the acquired store leases. (2) The Company acquired two sports management technology companies, Affinity Sports and GameChanger, which support the Dick's Team Sports HQ initiative, for an aggregate purchase price of $63.8 million . (3) The Company acquired intellectual property assets of Golfsmith International Holdings, Inc. ("Golfsmith") along with the right to acquire store leases and inventory for 30 stores, for approximately $41.1 million , of which $3.2 million was for intellectual property assets. |
Store Closings
Store Closings | 12 Months Ended |
Jan. 28, 2017 | |
Store Closings [Abstract] | |
Store Closings | Store Closings The following table summarizes the activity of the Company's store closing reserves (in thousands): 2016 2015 Accrued store closing and relocation reserves, beginning of period $ 11,702 $ 12,785 Expense charged to earnings 12,513 4,496 Cash payments (5,943 ) (5,344 ) Interest accretion and other changes in assumptions (741 ) (235 ) Accrued store closing and relocation reserves, end of period 17,531 11,702 Less: current portion of accrued store closing and relocation reserves (8,682 ) (4,394 ) Long-term portion of accrued store closing and relocation reserves $ 8,849 $ 7,308 The Company recorded $5.7 million of expense during fiscal 2016 for the closure of ten Golf Galaxy stores that were located in close proximity to an acquired Golfsmith store that is better positioned to serve its customers. |
Property and Equipment
Property and Equipment | 12 Months Ended |
Jan. 28, 2017 | |
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): 2016 2015 Buildings and land $ 224,061 $ 220,875 Leasehold improvements 1,514,825 1,245,694 Furniture, fixtures and equipment 932,442 896,846 Computer software 338,750 301,899 Total property and equipment 3,010,078 2,665,314 Less: accumulated depreciation and amortization (1,487,504 ) (1,317,429 ) Net property and equipment $ 1,522,574 $ 1,347,885 The amounts above include construction in progress of $182.8 million and $124.4 million for fiscal 2016 and 2015 , respectively. With the recent pace of consolidation within the sporting goods industry, the Company conducted a comprehensive review of its business, including its stores, during the fourth quarter of fiscal 2016. As a result of this comprehensive review, the Company recorded a $23.4 million impairment charge during fiscal 2016 to adjust certain long-lived store assets, primarily comprised of leasehold improvements, to fair value. |
Accrued Expenses
Accrued Expenses | 12 Months Ended |
Jan. 28, 2017 | |
Accrued Liabilities, Current [Abstract] | |
Accrued Expenses | Accrued Expenses Accrued expenses consist of the following as of the end of the fiscal periods (in thousands): 2016 2015 Accrued payroll, withholdings and benefits $ 137,472 $ 95,721 Accrued real estate taxes, utilities and other occupancy 78,367 60,060 Accrued property and equipment 71,365 43,649 Accrued sales tax 32,826 28,169 Other accrued expenses 64,180 61,402 Total accrued expenses $ 384,210 $ 289,001 |
Deferred Revenue and Other Liab
Deferred Revenue and Other Liabilities | 12 Months Ended |
Jan. 28, 2017 | |
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): 2016 2015 Current: Deferred gift card revenue $ 179,069 $ 162,640 Deferred construction allowances 1,794 1,850 Other 22,925 19,896 Total current $ 203,788 $ 184,386 Long-term: Deferred rent, including pre-opening rent $ 102,938 $ 93,321 Deferred construction allowances 523,078 384,428 Other 100,697 88,947 Total long-term $ 726,713 $ 566,696 |
Debt
Debt | 12 Months Ended |
Jan. 28, 2017 | |
Debt Disclosure [Abstract] | |
Debt | Debt The Company's outstanding debt consists of the following as of the end of the fiscal periods (in thousands): 2016 2015 Revolving line of credit $ — $ — Capital leases 5,091 5,565 Other debt 234 348 Total debt 5,325 5,913 Less: current portion (646 ) (589 ) Total long-term debt $ 4,679 $ 5,324 Revolving Credit Agreement – 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 a covenant that requires the Company to maintain a minimum adjusted availability of 7.5% of its borrowing base. The Credit Agreement also contains certain covenants that could within specific predefined circumstances limit the Company's ability to, among other things: incur or guarantee additional indebtedness; pay distributions on, redeem or repurchase capital stock; redeem or repurchase subordinated debt; make certain investments; sell assets; and consolidate, merge or transfer all or substantially all of the Company's assets. Other than in certain limited conditions, the Company is permitted to pay dividends and repurchase shares pursuant to its stock repurchase program. As of January 28, 2017, the Company was in compliance with the terms of the Credit Agreement. Credit Agreement information as of the fiscal periods ended (in thousands): 2016 2015 Outstanding borrowings under Credit Agreement $ — $ — Remaining borrowing capacity under Credit Agreement $ 978,687 $ 985,969 Outstanding letters of credit under Credit Agreement $ 21,313 $ 14,031 Capital Lease Obligations – The gross and net carrying values of assets under capital leases were $6.9 million and $0.3 million , respectively, as of January 28, 2017 , and $6.9 million and $0.4 million , respectively, as of January 30, 2016 . Scheduled lease payments under capital lease obligations as of January 28, 2017 are as follows (in thousands): Fiscal Year 2017 $ 1,024 2018 1,044 2019 1,103 2020 1,103 2021 943 Thereafter 1,942 Subtotal 7,159 Less: amounts representing interest (2,068 ) Present value of net scheduled lease payments 5,091 Less: amounts due in one year (521 ) Total long-term capital leases $ 4,570 |
Operating Leases
Operating Leases | 12 Months Ended |
Jan. 28, 2017 | |
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 2034. 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 $501.9 million , $469.0 million and $441.5 million for fiscal 2016 , 2015 and 2014 , respectively. Scheduled lease payments due under non-cancellable operating leases as of January 28, 2017 are as follows (in thousands): Fiscal Year 2017 $ 588,641 2018 566,233 2019 516,289 2020 465,706 2021 405,999 Thereafter 1,364,054 Total $ 3,906,922 |
Stockholders' Equity
Stockholders' Equity | 12 Months Ended |
Jan. 28, 2017 | |
Stockholders' Equity Note [Abstract] | |
Stockholders' Equity | Stockholders' Equity Common Stock, Class B Common Stock and Preferred Stock – 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 – The Company declared and paid cash dividends of $0.605 , $0.55 and $0.50 per share of common stock and Class B common stock during fiscal 2016 , 2015 and 2014 , respectively. Treasury Stock – 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 2016 , the Company repurchased 3.1 million shares of its common stock for $145.7 million . During fiscal 2015 , the Company repurchased 7.4 million shares of its common stock for $357.3 million . On March 16, 2016, the Company's Board of Directors authorized an additional five -year share repurchase program of up to $1 billion of the Company's common stock. |
Stock-Based Compensation and Em
Stock-Based Compensation and Employee Stock Plans | 12 Months Ended |
Jan. 28, 2017 | |
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 28, 2017 , shares of common stock available for future issuance pursuant to the Plan were 8,247,527 shares. The following represents total stock-based compensation recognized in the Consolidated Statements of Income for the fiscal years presented (in thousands): 2016 2015 2014 Stock option expense $ 9,506 $ 8,211 $ 7,903 Restricted stock expense 24,096 21,077 18,372 Total stock-based compensation expense $ 33,602 $ 29,288 $ 26,275 Total related tax benefit $ 11,718 $ 10,290 $ 9,200 Stock Option Plans – 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 2016 2015 2014 Expected life (years) (1) 5.40 5.41 5.23 Expected volatility (2) 29.20% - 31.93% 30.38% - 42.07% 31.97% - 44.48% Weighted average volatility 31.01 % 32.67 % 36.28 % Risk-free interest rate (3) 1.07% - 1.90% 1.28% - 1.74% 1.44% - 2.39% Expected dividend yield 1.03% - 1.59% 0.98% - 1.12% 0.90% - 1.13% Weighted average grant date fair value $ 12.56 $ 16.28 $ 17.31 (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 1, 2014 through January 28, 2017 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 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 Granted 1,143,326 47.79 Exercised (1,348,241 ) 22.28 Forfeited / Expired (208,512 ) 50.01 Outstanding, January 28, 2017 3,561,085 $ 46.71 3.88 $ 22,638 Exercisable, January 28, 2017 1,681,131 $ 41.77 2.09 $ 17,875 Vested and expected to vest, January 28, 2017 3,346,290 $ 46.45 3.76 $ 22,061 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 2016 , 2015 and 2014 was $36.4 million , $20.2 million and $34.3 million , respectively. The total fair value of options vested during 2016 , 2015 and 2014 was $8.4 million , $8.4 million and $8.2 million , respectively. The nonvested stock option activity for the year ended January 28, 2017 is presented in the following table: Shares Subject to Options Weighted Average Grant Date Fair Value Nonvested, January 30, 2016 1,421,208 $ 17.03 Granted 1,143,326 12.56 Vested (480,267 ) 17.49 Forfeited (204,313 ) 13.76 Nonvested, January 28, 2017 1,879,954 $ 14.55 As of January 28, 2017 , unrecognized stock-based compensation expense from nonvested stock options was approximately $17.0 million , net of estimated forfeitures, which is expected to be recognized over a weighted average period of approximately 2.56 years . The Company issues new shares of common stock upon exercise of stock options. Additional information regarding options outstanding as of January 28, 2017 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 $26.03 - $40.00 777,769 0.47 $ 31.01 777,769 $ 31.01 $40.42 - $46.97 372,898 3.40 45.91 250,689 45.98 $47.09 - $47.09 955,240 6.12 47.09 — — $47.73 - $55.29 770,694 3.61 52.11 488,742 51.18 $55.49 - $58.86 684,484 5.20 58.40 163,931 58.33 $26.03 - $58.86 3,561,085 3.88 $ 46.71 1,681,131 $ 41.77 Restricted Stock – 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 1, 2014 through January 28, 2017 is presented in the following table: Shares Weighted Average Grant Date Fair Value 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 Granted 789,460 47.89 Vested (438,160 ) 47.05 Forfeited (196,240 ) 51.23 Nonvested, January 28, 2017 2,360,040 $ 50.64 As of January 28, 2017 , total unrecognized stock-based compensation expense from nonvested shares of restricted stock, net of estimated forfeitures, was approximately $31.7 million before income taxes, which is expected to be recognized over a weighted average period of approximately 1.34 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 38,703 , 90,735 and 118,095 shares pursuant to the Long-Term Incentive Plan during 2016, 2015 and 2014, respectively, to newly eligible associates. As of January 28, 2017 , nonvested restricted stock outstanding included 827,008 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 28, 2017 , these awards were not deemed probable of achieving the pre-established financial performance metrics. |
Income Taxes
Income Taxes | 12 Months Ended |
Jan. 28, 2017 | |
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): 2016 2015 2014 Current: Federal $ 184,636 $ 164,165 $ 187,735 State 31,426 27,076 30,340 216,062 191,241 218,075 Deferred: Federal (38,138 ) 8,198 (5,740 ) State (6,898 ) 1,045 (519 ) (45,036 ) 9,243 (6,259 ) Total provision $ 171,026 $ 200,484 $ 211,816 The provision for income taxes differs from the amounts computed by applying the federal statutory rate as follows for the following periods: 2016 2015 2014 Federal statutory rate 35.0 % 35.0 % 35.0 % State tax, net of federal benefit 3.3 % 3.5 % 3.1 % Valuation allowance (0.1 )% (0.1 )% — % Other permanent items (0.9 )% (0.6 )% — % Effective income tax rate 37.3 % 37.8 % 38.1 % Components of deferred tax assets (liabilities) consist of the following as of the fiscal periods ended (in thousands): 2016 2015 Inventory $ 69,784 $ 45,442 Employee benefits 42,730 37,295 Deferred rent 41,684 36,485 Stock-based compensation 26,697 26,843 Gift cards 19,077 15,884 Deferred revenue currently taxable 12,485 4,957 Store closing expense 6,852 4,569 Other accrued expenses not currently deductible for tax purposes 6,577 9,532 Net operating loss carryforward 5,901 — Non income-based tax reserves 5,319 5,274 Capital loss carryforward 4,717 5,304 Uncertain income tax positions 3,597 4,253 Insurance 2,674 2,280 Other 139 179 Valuation allowance (4,717 ) (5,304 ) Total deferred tax assets 243,516 192,993 Property and equipment (146,925 ) (152,287 ) Inventory valuation (42,354 ) (35,095 ) Intangibles (8,310 ) (5,900 ) Total deferred tax liabilities (197,589 ) (193,282 ) Net deferred tax asset (liability) $ 45,927 $ (289 ) The deferred tax asset from net operating loss carryforwards of $5.9 million represents approximately $14.5 million of federal net operating losses which expire in 2030 and $16.0 million of state net operating losses which expire in 2034. In 2016 , the $45.9 million net deferred tax asset is included in its entirety within other long-term assets on the Consolidated Balance Sheet. In 2015 , of the $0.3 million net deferred tax liability, $6.2 million was included within other long-term assets and $6.5 million was included within long-term liabilities. As of January 28, 2017, deferred income taxes have not been provided on accumulated, but undistributed, earnings of $46.7 million from 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 from the undistributed earnings as of January 28, 2017 is estimated to be $16.1 million . As of January 28, 2017, the total liability for uncertain tax positions, including related interest and penalties, was approximately $10.8 million . The following table represents a reconciliation of the Company's total balance of unrecognized tax benefits, excluding interest and penalties (in thousands): 2016 2015 2014 Beginning of fiscal year $ 9,784 $ 8,376 $ 7,507 Increases as a result of tax positions taken in a prior period — 1,101 124 Decreases as a result of tax positions taken in a prior period (831 ) — — Increases as a result of tax positions taken in the current period 2,067 1,193 1,057 Decreases as a result of settlements during the current period (2,534 ) (63 ) (312 ) Reductions as a result of a lapse of statute of limitations during the current period (193 ) (823 ) — End of fiscal year $ 8,293 $ 9,784 $ 8,376 The balance at January 28, 2017 includes $5.4 million of unrecognized tax benefits that would impact our effective tax rate if recognized. The Company recognizes accrued interest and penalties from unrecognized tax benefits in income tax expense. As of January 28, 2017 , the liability for uncertain tax positions includes $2.5 million for the accrual of interest and penalties. During fiscal 2016, 2015 and 2014, the Company recorded $0.3 million , $1.2 million and $0.3 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 $3.3 million of the Company's gross unrecognized tax benefits and interest at January 28, 2017 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 2017 . 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 2015 and all prior tax years. The Company is no longer subject to examination in any of its major state jurisdictions for years prior to 2009 . |
Earnings per Common Share
Earnings per Common Share | 12 Months Ended |
Jan. 28, 2017 | |
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 2016 2015 2014 Earnings per common share - Basic: Net income $ 287,396 $ 330,391 $ 344,198 Weighted average common shares outstanding - basic 111,095 115,230 119,244 Earnings per common share $ 2.59 $ 2.87 $ 2.89 Earnings per common share - Diluted: Net income $ 287,396 $ 330,391 $ 344,198 Weighted average common shares outstanding - basic 111,095 115,230 119,244 Dilutive effect of stock-based awards 1,121 1,564 1,994 Weighted average common shares outstanding - diluted 112,216 116,794 121,238 Earnings per common share $ 2.56 $ 2.83 $ 2.84 Anti-dilutive stock-based awards excluded from diluted calculation 1,822 1,449 1,334 |
Retirement Savings Plans
Retirement Savings Plans | 12 Months Ended |
Jan. 28, 2017 | |
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 $8.7 million , $7.0 million and $6.1 million for fiscal 2016 , 2015 and 2014 , 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 $64.5 million and $53.0 million as of January 28, 2017 and January 30, 2016 , respectively, and is included within long-term liabilities on the Consolidated Balance Sheets. Total employer contributions recorded under these plans, net of forfeitures, was $2.2 million , $2.0 million and $1.5 million for fiscal 2016 , 2015 and 2014 , respectively. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Jan. 28, 2017 | |
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 $39.3 million , $43.0 million and $52.1 million during fiscal 2016 , 2015 and 2014 , respectively. The aggregate amount of future minimum payments at January 28, 2017 is as follows (in thousands): Fiscal Year 2017 $ 19,734 2018 11,293 2019 4,296 2020 3,860 2021 2,723 Thereafter 14,889 Total $ 56,795 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 2021. 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 $8.8 million , $18.2 million and $16.4 million during fiscal 2016 , 2015 and 2014 , respectively. The aggregate amount of future minimum payments at January 28, 2017 is as follows (in thousands): Fiscal Year 2017 $ 8,800 2018 9,365 2019 9,565 2020 8,595 2021 540 Thereafter — Total $ 36,865 Other The Company also has other non-cancellable contractual commitments, including minimum requirements with its third-party eCommerce fulfillment provider, corporate aircraft and technology-related commitments extending through 2020. The aggregate payments under these commitments were $17.9 million , $11.7 million and $8.7 million during fiscal 2016 , 2015 and 2014 , respectively. The aggregate amount of future minimum payments at January 28, 2017 is as follows (in thousands): Fiscal Year 2017 $ 31,150 2018 61,736 2019 28,698 2020 1,145 2021 — Thereafter — Total $ 122,729 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. 28, 2017 | |
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 28, 2017 and January 30, 2016 are set forth in the table below: Level 1 Description January 28, 2017 January 30, 2016 Assets: Deferred compensation plan assets held in trust (1) $ 64,512 $ 53,040 Total assets $ 64,512 $ 53,040 (1) Consists of investments in various mutual funds made by eligible individuals as part of the Company's deferred compensation plans (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 28, 2017 and January 30, 2016 . 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 years ended January 28, 2017 and January 30, 2016 . Additionally, the Company did not hold any Level 2 or Level 3 assets or liabilities during fiscal 2016 and fiscal 2015 . |
Quarterly Financial Information
Quarterly Financial Information (Unaudited) | 12 Months Ended |
Jan. 28, 2017 | |
Quarterly Financial Information Disclosure [Abstract] | |
Quarterly Financial Information (Unaudited) | Quarterly Financial Information (Unaudited) Summarized quarterly financial information for fiscal 2016 and 2015 is as follows (in thousands, except earnings per share data): Fiscal 2016 First Quarter Second Quarter Third Quarter Fourth Quarter Net sales (1) $ 1,660,343 $ 1,967,857 $ 1,810,347 $ 2,483,433 Gross profit (1) 495,797 597,378 552,843 719,764 Income from operations (1) 90,711 147,170 73,757 138,214 Net income 56,877 91,417 48,914 (2) 90,188 (3) Earnings per common share: Basic $ 0.51 $ 0.82 $ 0.44 $ 0.82 Diluted (1) $ 0.50 $ 0.82 $ 0.44 $ 0.81 Weighted average common shares outstanding: Basic 112,105 111,272 110,607 110,397 Diluted 113,276 112,118 111,826 111,644 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 (4) 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 (1) Quarterly results for fiscal 2016 and 2015 do not add to full year results due to rounding. (2) Includes TSA integration costs of $4.7 million . (3) Includes inventory write-down in connection with the Company's implementation of its new merchandising strategy of $28.8 million , non-cash store asset impairment and store closing charges of $20.3 million , a non-cash asset impairment charge of $4.8 million and TSA / Golfsmith store conversion costs of $3.7 million . (4) Includes litigation settlement charge of $4.7 million . |
Subsequent Event
Subsequent Event | 12 Months Ended |
Jan. 28, 2017 | |
Subsequent Events [Abstract] | |
Subsequent Event | Subsequent Event On February 9, 2017 , our Board of Directors declared a quarterly cash dividend in the amount of $0.17 per share of common stock and Class B common stock payable on March 31, 2017 to stockholders of record as of the close of business on March 10, 2017 . |
SCHEDULE II VALUATION AND QUALI
SCHEDULE II VALUATION AND QUALIFYING ACCOUNTS | 12 Months Ended |
Jan. 28, 2017 | |
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 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 — (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 — (304 ) 5,304 Fiscal 2016 Inventory reserve $ 36,622 $ 57,692 $ (6,512 ) $ 87,802 Allowance for doubtful accounts 2,727 4,834 (4,409 ) 3,152 Reserve for sales returns 7,754 449,666 (449,220 ) 8,200 Allowance for deferred tax assets 5,304 — (587 ) 4,717 |
Summary of Significant Accounti
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Jan. 28, 2017 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Fiscal Year | Fiscal Year – The Company's fiscal year ends on the Saturday closest to the end of January. Fiscal years 2016 , 2015 and 2014 ended on January 28, 2017 , January 30, 2016 and January 31, 2015 , respectively. |
Principles of Consolidation | Principles of Consolidation – 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 – 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 – 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 $81.6 million and $35.2 million at January 28, 2017 and January 30, 2016 , respectively. Cash Management – The Company's cash management system provides for the reimbursement of all major bank disbursement accounts on a daily basis. Accounts payable at January 28, 2017 and January 30, 2016 include $152.5 million and $135.1 million , respectively, of checks drawn in excess of cash balances not yet presented for payment. |
Accounts Receivable | Accounts Receivable – Accounts receivable consist principally of amounts receivable from vendors and landlords. The allowance for doubtful accounts totaled $3.2 million and $2.7 million as of January 28, 2017 and January 30, 2016 respectively. |
Inventories | Inventories – 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 $176.4 million and $113.5 million at January 28, 2017 and January 30, 2016 , respectively. |
Property and Equipment | Property and Equipment – 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 Computer software 3-10 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 $203.1 million , $178.9 million and $159.1 million for fiscal 2016 , 2015 and 2014 , 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 – 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 related expense is recorded within selling, general and administrative expenses on the Consolidated Statements of Income. 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 non-current 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 – 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 – 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 customer lists, 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 – 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 – 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 the Company takes possession of a site through the date of store opening. |
Earnings Per Common Share | Earnings Per Common Share – 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 – 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 – 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 from income tax matters are recognized in income tax expense. |
Revenue Recognition | Revenue Recognition – 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 – Cost of goods sold includes: the cost of merchandise (inclusive of vendor allowances, inventory shrinkage and inventory write-downs for the lower of cost or market); freight; distribution; shipping; and store occupancy costs. The Company defines merchandise margin as net sales less the cost of merchandise sold. 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 – 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 – 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 $304.9 million , $276.3 million and $248.7 million for fiscal 2016 , 2015 and 2014 , respectively. |
Vendor Allowances | Vendor Allowances – 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 for 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 – 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 2016 2015 2014 Hardlines $ 3,574 $ 3,264 $ 2,992 Apparel 2,756 2,553 2,461 Footwear 1,529 1,403 1,316 Other 63 51 45 Total net sales $ 7,922 $ 7,271 $ 6,814 |
Construction Allowances | Construction Allowances – 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 – 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 Issued Accounting Pronouncements | Recently Issued Accounting Pronouncements Intangibles - Goodwill and Other In January 2017, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2017-04, " Intangibles-Goodwill and Other (Topic 350): Simplifying the Test of Goodwill Impairment ". This update modifies the concept of impairment and simplifies how an entity is required to test goodwill for impairment by eliminating Step 2 from the goodwill impairment test. ASU 2017-04 is effective for interim or annual goodwill impairment tests during fiscal years beginning after December 15, 2019. Early application is permitted and prospective application is required. The Company does not expect that the adoption of this guidance will have a significant impact on the Company's Consolidated Financial Statements. Income Taxes In October 2016, the FASB issued ASU 2016-16, " Income Taxes (Topic 740): Intra-Entity Transfers of Assets Other Than Inventory ". This update requires the income tax consequences of intra-entity transfers of assets other than inventory to be recognized when the intra-entity transfer occurs rather than deferring recognition of income tax consequences until the transfer was made with an outside party. ASU 2016-16 is effective for annual reporting periods, and interim periods therein, beginning after December 15, 2017. Early application is permitted as of the beginning of the interim or annual reporting period. A modified retrospective approach should be applied. The Company plans to adopt ASU 2016-16 during the first quarter of fiscal 2017. The Company does not expect that the adoption of this guidance will have a significant impact on the Company's Consolidated Financial Statements. Statement of Cash Flows In August 2016, the FASB issued ASU 2016-15, " Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments (a consensus of the Emerging Issues Task Force) ". This update addresses eight specific cash flow topics with the objective of reducing the existing diversity in practice for certain aspects under Topic 230. ASU 2016-15 is effective for annual reporting periods, and interim periods therein, beginning after December 15, 2017. Early application is permitted as of the beginning of the interim or annual reporting period. If early adopted, an entity must adopt all of the amendments during the same period. The Company plans to adopt ASU 2016-15 during the first quarter of fiscal 2017. The Company does not expect that the adoption of this guidance will have a significant impact on the Company's Consolidated Financial Statements. Stock Compensation In March 2016, the FASB issued ASU 2016-09, " Compensation - Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting ". This update simplifies several aspects of the accounting for share-based payment transactions, including the income tax consequences, classification of awards as either equity or liabilities and classification on the statement of cash flows. ASU 2016-09 is effective for annual reporting periods, and interim periods therein, beginning after December 15, 2016, with early application permitted. If early adopted, an entity must adopt all of the amendments during the same period. The Company does not expect that the adoption of this guidance will have a significant impact on the Company's Consolidated Financial Statements, however, the Company's effective income tax rate will be impacted by the volume of share-based award activity during each reporting period. 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 but anticipates that it will result in significant right of use assets and related liabilities as all of the Company's retail locations and the majority of our supply chain facilities are categorized as operating leases. 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 for revenue and cash flows arising from contracts with customers. 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. In March 2016, April 2016, and December 2016, the FASB issued ASU 2016-08, " Revenue from Contracts with Customers - Principal versus Agent Considerations (Reporting Revenue Gross versus Net) ", ASU 2016-10, " Revenue from Contracts with Customers - Identifying Performance Obligations and Licensing ", and ASU 2016-20, " Technical Corrections and Improvements to Topic 606, Revenue from Contracts with Customers" , respectively, which further clarify the guidance for those specific topics within ASU 2014-09. In May 2016, the FASB issued ASU 2016-12, " Revenue from Contracts with Customers - Narrow Scope Improvements and Practical Expedients ", to reduce the risk of diversity in practice for certain aspects in ASU 2014-09, including collectibility, noncash consideration, presentation of sales tax and transition. These updates permit the use of either the retrospective or cumulative effect transition method. 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. These ASU's will most likely change the way the Company accounts for sales returns, our customer loyalty program, gift card breakage and certain other promotional programs. Based on current estimates, we do not expect these provisions of the ASU to have a material impact on our financial statements. The Company is continuing to evaluate which transition approach it will utilize and the impact these standards will have on the Company's Consolidated Financial Statements upon adoption. |
Basis of Presentation and Sum28
Basis of Presentation and Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Jan. 28, 2017 | |
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 Computer software 3-10 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 2016 2015 2014 Hardlines $ 3,574 $ 3,264 $ 2,992 Apparel 2,756 2,553 2,461 Footwear 1,529 1,403 1,316 Other 63 51 45 Total net sales $ 7,922 $ 7,271 $ 6,814 |
Goodwill and Other Intangible29
Goodwill and Other Intangible Assets (Tables) | 12 Months Ended |
Jan. 28, 2017 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of carrying amount of goodwill and accumulated impairment charges | The following table summarizes the carrying amount of goodwill and accumulated impairment charges as of the end of the fiscal periods (in thousands): 2016 2015 Carrying Value Accumulated Impairment Carrying Value Accumulated Impairment Goodwill $ 245,059 $ 111,312 $ 200,594 $ 111,312 |
Schedule of components of intangible assets | The components of intangible assets were as follows as of the end of the fiscal periods (in thousands): 2016 2015 Gross Amount Accumulated Amortization Gross Amount Accumulated Amortization Trademarks (indefinite-lived) $ 89,206 $ — $ 89,056 $ — Trade names (indefinite-lived) 16,031 — 9,850 — Customer lists 19,166 (2,260 ) 1,200 (1,200 ) Acquired technology and other finite-lived intangible assets 26,763 (13,843 ) 16,205 (11,435 ) Other indefinite-lived intangible assets 5,772 — 5,764 — Total intangible assets $ 156,938 $ (16,103 ) $ 122,075 $ (12,635 ) |
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 28, 2017 is expected to be as follows (in thousands): Fiscal Year Estimated Amortization Expense 2017 $ 6,283 2018 6,100 2019 5,206 2020 4,128 2021 3,991 Thereafter 4,118 Total $ 29,826 |
Schedule of acquired finite-lived and indefinite-lived intangible assets | The following table summarizes intangible assets acquired during fiscal 2016: Finite-lived Indefinite-lived Total Intangible Assets Acquired Customer Lists Acquired Technology Tradenames Goodwill Tradenames TSA (1) $ 10,300 $ — $ 2,300 $ — $ — $ 12,600 Technology companies (2) 4,651 7,671 — 44,465 6,181 62,968 Golfsmith (3) 3,015 — 230 — — 3,245 Total $ 17,966 $ 7,671 $ 2,530 $ 44,465 $ 6,181 $ 78,813 Weighted average amortization period (in years) 7 5 3 6 (1) The Company acquired intellectual property assets of The Sports Authority ("TSA") along with the right to acquire 31 store leases for $17.2 million , net of sale proceeds. The Company retained 22 of the acquired store leases. (2) The Company acquired two sports management technology companies, Affinity Sports and GameChanger, which support the Dick's Team Sports HQ initiative, for an aggregate purchase price of $63.8 million . (3) The Company acquired intellectual property assets of Golfsmith International Holdings, Inc. ("Golfsmith") along with the right to acquire store leases and inventory for 30 stores, for approximately $41.1 million , of which $3.2 million was for intellectual property assets. |
Store Closings (Tables)
Store Closings (Tables) | 12 Months Ended |
Jan. 28, 2017 | |
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): 2016 2015 Accrued store closing and relocation reserves, beginning of period $ 11,702 $ 12,785 Expense charged to earnings 12,513 4,496 Cash payments (5,943 ) (5,344 ) Interest accretion and other changes in assumptions (741 ) (235 ) Accrued store closing and relocation reserves, end of period 17,531 11,702 Less: current portion of accrued store closing and relocation reserves (8,682 ) (4,394 ) Long-term portion of accrued store closing and relocation reserves $ 8,849 $ 7,308 |
Property and Equipment (Tables)
Property and Equipment (Tables) | 12 Months Ended |
Jan. 28, 2017 | |
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): 2016 2015 Buildings and land $ 224,061 $ 220,875 Leasehold improvements 1,514,825 1,245,694 Furniture, fixtures and equipment 932,442 896,846 Computer software 338,750 301,899 Total property and equipment 3,010,078 2,665,314 Less: accumulated depreciation and amortization (1,487,504 ) (1,317,429 ) Net property and equipment $ 1,522,574 $ 1,347,885 |
Accrued Expenses (Tables)
Accrued Expenses (Tables) | 12 Months Ended |
Jan. 28, 2017 | |
Accrued Liabilities, Current [Abstract] | |
Schedule of accrued expenses | Accrued expenses consist of the following as of the end of the fiscal periods (in thousands): 2016 2015 Accrued payroll, withholdings and benefits $ 137,472 $ 95,721 Accrued real estate taxes, utilities and other occupancy 78,367 60,060 Accrued property and equipment 71,365 43,649 Accrued sales tax 32,826 28,169 Other accrued expenses 64,180 61,402 Total accrued expenses $ 384,210 $ 289,001 |
Deferred Revenue and Other Li33
Deferred Revenue and Other Liabilities (Tables) | 12 Months Ended |
Jan. 28, 2017 | |
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): 2016 2015 Current: Deferred gift card revenue $ 179,069 $ 162,640 Deferred construction allowances 1,794 1,850 Other 22,925 19,896 Total current $ 203,788 $ 184,386 Long-term: Deferred rent, including pre-opening rent $ 102,938 $ 93,321 Deferred construction allowances 523,078 384,428 Other 100,697 88,947 Total long-term $ 726,713 $ 566,696 |
Debt (Tables)
Debt (Tables) | 12 Months Ended |
Jan. 28, 2017 | |
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): 2016 2015 Revolving line of credit $ — $ — Capital leases 5,091 5,565 Other debt 234 348 Total debt 5,325 5,913 Less: current portion (646 ) (589 ) Total long-term debt $ 4,679 $ 5,324 |
Schedule of revolving facility information | Credit Agreement information as of the fiscal periods ended (in thousands): 2016 2015 Outstanding borrowings under Credit Agreement $ — $ — Remaining borrowing capacity under Credit Agreement $ 978,687 $ 985,969 Outstanding letters of credit under Credit Agreement $ 21,313 $ 14,031 |
Schedule of lease payments under capital lease obligations | Scheduled lease payments under capital lease obligations as of January 28, 2017 are as follows (in thousands): Fiscal Year 2017 $ 1,024 2018 1,044 2019 1,103 2020 1,103 2021 943 Thereafter 1,942 Subtotal 7,159 Less: amounts representing interest (2,068 ) Present value of net scheduled lease payments 5,091 Less: amounts due in one year (521 ) Total long-term capital leases $ 4,570 |
Operating Leases (Tables)
Operating Leases (Tables) | 12 Months Ended |
Jan. 28, 2017 | |
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 28, 2017 are as follows (in thousands): Fiscal Year 2017 $ 588,641 2018 566,233 2019 516,289 2020 465,706 2021 405,999 Thereafter 1,364,054 Total $ 3,906,922 |
Stock-Based Compensation and 36
Stock-Based Compensation and Employee Stock Plans (Tables) | 12 Months Ended |
Jan. 28, 2017 | |
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): 2016 2015 2014 Stock option expense $ 9,506 $ 8,211 $ 7,903 Restricted stock expense 24,096 21,077 18,372 Total stock-based compensation expense $ 33,602 $ 29,288 $ 26,275 Total related tax benefit $ 11,718 $ 10,290 $ 9,200 |
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 2016 2015 2014 Expected life (years) (1) 5.40 5.41 5.23 Expected volatility (2) 29.20% - 31.93% 30.38% - 42.07% 31.97% - 44.48% Weighted average volatility 31.01 % 32.67 % 36.28 % Risk-free interest rate (3) 1.07% - 1.90% 1.28% - 1.74% 1.44% - 2.39% Expected dividend yield 1.03% - 1.59% 0.98% - 1.12% 0.90% - 1.13% Weighted average grant date fair value $ 12.56 $ 16.28 $ 17.31 (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 1, 2014 through January 28, 2017 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 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 Granted 1,143,326 47.79 Exercised (1,348,241 ) 22.28 Forfeited / Expired (208,512 ) 50.01 Outstanding, January 28, 2017 3,561,085 $ 46.71 3.88 $ 22,638 Exercisable, January 28, 2017 1,681,131 $ 41.77 2.09 $ 17,875 Vested and expected to vest, January 28, 2017 3,346,290 $ 46.45 3.76 $ 22,061 |
Schedule of nonvested stock option activity | The nonvested stock option activity for the year ended January 28, 2017 is presented in the following table: Shares Subject to Options Weighted Average Grant Date Fair Value Nonvested, January 30, 2016 1,421,208 $ 17.03 Granted 1,143,326 12.56 Vested (480,267 ) 17.49 Forfeited (204,313 ) 13.76 Nonvested, January 28, 2017 1,879,954 $ 14.55 |
Schedule of stock options outstanding and exercisable by range of exercise prices | Additional information regarding options outstanding as of January 28, 2017 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 $26.03 - $40.00 777,769 0.47 $ 31.01 777,769 $ 31.01 $40.42 - $46.97 372,898 3.40 45.91 250,689 45.98 $47.09 - $47.09 955,240 6.12 47.09 — — $47.73 - $55.29 770,694 3.61 52.11 488,742 51.18 $55.49 - $58.86 684,484 5.20 58.40 163,931 58.33 $26.03 - $58.86 3,561,085 3.88 $ 46.71 1,681,131 $ 41.77 |
Schedule of nonvested restricted stock activity | The restricted stock activity from February 1, 2014 through January 28, 2017 is presented in the following table: Shares Weighted Average Grant Date Fair Value 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 Granted 789,460 47.89 Vested (438,160 ) 47.05 Forfeited (196,240 ) 51.23 Nonvested, January 28, 2017 2,360,040 $ 50.64 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Jan. 28, 2017 | |
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): 2016 2015 2014 Current: Federal $ 184,636 $ 164,165 $ 187,735 State 31,426 27,076 30,340 216,062 191,241 218,075 Deferred: Federal (38,138 ) 8,198 (5,740 ) State (6,898 ) 1,045 (519 ) (45,036 ) 9,243 (6,259 ) Total provision $ 171,026 $ 200,484 $ 211,816 |
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: 2016 2015 2014 Federal statutory rate 35.0 % 35.0 % 35.0 % State tax, net of federal benefit 3.3 % 3.5 % 3.1 % Valuation allowance (0.1 )% (0.1 )% — % Other permanent items (0.9 )% (0.6 )% — % Effective income tax rate 37.3 % 37.8 % 38.1 % |
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): 2016 2015 Inventory $ 69,784 $ 45,442 Employee benefits 42,730 37,295 Deferred rent 41,684 36,485 Stock-based compensation 26,697 26,843 Gift cards 19,077 15,884 Deferred revenue currently taxable 12,485 4,957 Store closing expense 6,852 4,569 Other accrued expenses not currently deductible for tax purposes 6,577 9,532 Net operating loss carryforward 5,901 — Non income-based tax reserves 5,319 5,274 Capital loss carryforward 4,717 5,304 Uncertain income tax positions 3,597 4,253 Insurance 2,674 2,280 Other 139 179 Valuation allowance (4,717 ) (5,304 ) Total deferred tax assets 243,516 192,993 Property and equipment (146,925 ) (152,287 ) Inventory valuation (42,354 ) (35,095 ) Intangibles (8,310 ) (5,900 ) Total deferred tax liabilities (197,589 ) (193,282 ) Net deferred tax asset (liability) $ 45,927 $ (289 ) |
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): 2016 2015 2014 Beginning of fiscal year $ 9,784 $ 8,376 $ 7,507 Increases as a result of tax positions taken in a prior period — 1,101 124 Decreases as a result of tax positions taken in a prior period (831 ) — — Increases as a result of tax positions taken in the current period 2,067 1,193 1,057 Decreases as a result of settlements during the current period (2,534 ) (63 ) (312 ) Reductions as a result of a lapse of statute of limitations during the current period (193 ) (823 ) — End of fiscal year $ 8,293 $ 9,784 $ 8,376 |
Earnings per Common Share (Tabl
Earnings per Common Share (Tables) | 12 Months Ended |
Jan. 28, 2017 | |
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 2016 2015 2014 Earnings per common share - Basic: Net income $ 287,396 $ 330,391 $ 344,198 Weighted average common shares outstanding - basic 111,095 115,230 119,244 Earnings per common share $ 2.59 $ 2.87 $ 2.89 Earnings per common share - Diluted: Net income $ 287,396 $ 330,391 $ 344,198 Weighted average common shares outstanding - basic 111,095 115,230 119,244 Dilutive effect of stock-based awards 1,121 1,564 1,994 Weighted average common shares outstanding - diluted 112,216 116,794 121,238 Earnings per common share $ 2.56 $ 2.83 $ 2.84 Anti-dilutive stock-based awards excluded from diluted calculation 1,822 1,449 1,334 |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 12 Months Ended |
Jan. 28, 2017 | |
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 28, 2017 is as follows (in thousands): Fiscal Year 2017 $ 19,734 2018 11,293 2019 4,296 2020 3,860 2021 2,723 Thereafter 14,889 Total $ 56,795 |
Schedule of future minimum payments for trademark licensing commitments | The aggregate amount of future minimum payments at January 28, 2017 is as follows (in thousands): Fiscal Year 2017 $ 8,800 2018 9,365 2019 9,565 2020 8,595 2021 540 Thereafter — Total $ 36,865 |
Schedule of future minimum payments for other contractual commitments | The aggregate amount of future minimum payments at January 28, 2017 is as follows (in thousands): Fiscal Year 2017 $ 31,150 2018 61,736 2019 28,698 2020 1,145 2021 — Thereafter — Total $ 122,729 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 12 Months Ended |
Jan. 28, 2017 | |
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 28, 2017 and January 30, 2016 are set forth in the table below: Level 1 Description January 28, 2017 January 30, 2016 Assets: Deferred compensation plan assets held in trust (1) $ 64,512 $ 53,040 Total assets $ 64,512 $ 53,040 (1) Consists of investments in various mutual funds made by eligible individuals as part of the Company's deferred compensation plans (See Note 13). |
Quarterly Financial Informati41
Quarterly Financial Information (Unaudited) (Tables) | 12 Months Ended |
Jan. 28, 2017 | |
Quarterly Financial Information Disclosure [Abstract] | |
Summary of quarterly financial information | Summarized quarterly financial information for fiscal 2016 and 2015 is as follows (in thousands, except earnings per share data): Fiscal 2016 First Quarter Second Quarter Third Quarter Fourth Quarter Net sales (1) $ 1,660,343 $ 1,967,857 $ 1,810,347 $ 2,483,433 Gross profit (1) 495,797 597,378 552,843 719,764 Income from operations (1) 90,711 147,170 73,757 138,214 Net income 56,877 91,417 48,914 (2) 90,188 (3) Earnings per common share: Basic $ 0.51 $ 0.82 $ 0.44 $ 0.82 Diluted (1) $ 0.50 $ 0.82 $ 0.44 $ 0.81 Weighted average common shares outstanding: Basic 112,105 111,272 110,607 110,397 Diluted 113,276 112,118 111,826 111,644 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 (4) 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 (1) Quarterly results for fiscal 2016 and 2015 do not add to full year results due to rounding. (2) Includes TSA integration costs of $4.7 million . (3) Includes inventory write-down in connection with the Company's implementation of its new merchandising strategy of $28.8 million , non-cash store asset impairment and store closing charges of $20.3 million , a non-cash asset impairment charge of $4.8 million and TSA / Golfsmith store conversion costs of $3.7 million . (4) Includes litigation settlement charge of $4.7 million . |
Basis of Presentation and Sum42
Basis of Presentation and Summary of Significant Accounting Policies (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 28, 2017 | Jan. 30, 2016 | Jan. 31, 2015 | |
Cash and Cash Equivalents / Cash Management | |||
Cash equivalents | $ 81.6 | $ 35.2 | |
Checks drawn in excess of cash balances not yet presented for payment | 152.5 | 135.1 | |
Accounts Receivable | |||
Allowance for doubtful acccounts | 3.2 | 2.7 | |
Inventories | |||
Inventory valuation and vendor allowances | 176.4 | 113.5 | |
Advertising Costs | |||
Advertising expense net of cooperative advertising | $ 304.9 | $ 276.3 | $ 248.7 |
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. 28, 2017 | Jan. 30, 2016 | Jan. 31, 2015 | |
Property and Equipment | |||
Depreciation expense | $ 203.1 | $ 178.9 | $ 159.1 |
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 | ||
Computer software | Maximum | |||
Property and Equipment | |||
Estimated useful life | 10 years | ||
Computer software | 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. 28, 2017USD ($) | Oct. 29, 2016USD ($) | Jul. 30, 2016USD ($) | Apr. 30, 2016USD ($) | Jan. 30, 2016USD ($) | Oct. 31, 2015USD ($) | Aug. 01, 2015USD ($) | May 02, 2015USD ($) | Jan. 28, 2017USD ($)ReportableSegment | Jan. 30, 2016USD ($)ReportableSegment | Jan. 31, 2015USD ($)ReportableSegment | |
Operating Segment Information | |||||||||||
Total net sales | $ 2,483,433 | $ 1,810,347 | $ 1,967,857 | $ 1,660,343 | $ 2,240,051 | $ 1,642,627 | $ 1,822,979 | $ 1,565,308 | $ 7,921,981 | $ 7,270,965 | $ 6,814,479 |
Operating Segment Information | |||||||||||
Number of reportable segments | ReportableSegment | 1 | 1 | 1 | ||||||||
Hardlines | |||||||||||
Operating Segment Information | |||||||||||
Total net sales | $ 3,574,000 | $ 3,264,000 | $ 2,992,000 | ||||||||
Apparel | |||||||||||
Operating Segment Information | |||||||||||
Total net sales | 2,756,000 | 2,553,000 | 2,461,000 | ||||||||
Footwear | |||||||||||
Operating Segment Information | |||||||||||
Total net sales | 1,529,000 | 1,403,000 | 1,316,000 | ||||||||
Other | |||||||||||
Operating Segment Information | |||||||||||
Total net sales | $ 63,000 | $ 51,000 | $ 45,000 |
Goodwill and Other Intangible45
Goodwill and Other Intangible Assets - Goodwill (Details) - USD ($) | 12 Months Ended | ||
Jan. 28, 2017 | Jan. 30, 2016 | Jan. 31, 2015 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |||
Goodwill | $ 245,059,000 | $ 200,594,000 | |
Accumulated impairment | 111,312,000 | 111,312,000 | |
Goodwill impairment charges | $ 0 | $ 0 | $ 0 |
Goodwill and Other Intangible46
Goodwill and Other Intangible Assets - Intangible Assets (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Jan. 31, 2015 | Jan. 28, 2017 | Jan. 30, 2016 | |
Components of intangible assets | |||
Indefinite-lived intangible assets | $ 111,000 | $ 104,700 | |
Finite-lived intangible assets | 29,826 | 4,800 | |
Total intangible assets | 156,938 | 122,075 | |
Accumulated amortization | (16,103) | (12,635) | |
Impairment charges on intangible assets | $ 12,400 | ||
Trademarks | |||
Components of intangible assets | |||
Indefinite-lived intangible assets | 89,206 | 89,056 | |
Trade names | |||
Components of intangible assets | |||
Indefinite-lived intangible assets | 16,031 | 9,850 | |
Customer lists | |||
Components of intangible assets | |||
Gross amount - Finite-lived intangible assets | 19,166 | 1,200 | |
Accumulated amortization | (2,260) | (1,200) | |
Acquired technology and other finite-lived intangible assets | |||
Components of intangible assets | |||
Gross amount - Finite-lived intangible assets | 26,763 | 16,205 | |
Accumulated amortization | (13,843) | (11,435) | |
Other indefinite-lived intangible assets | |||
Components of intangible assets | |||
Indefinite-lived intangible assets | $ 5,772 | $ 5,764 |
Goodwill and Other Intangible47
Goodwill and Other Intangible Assets - Amortization Expense (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Jan. 28, 2017 | Jan. 30, 2016 | Jan. 31, 2015 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |||
Amortization expense of finite-lived intangible assets | $ 3,500 | $ 1,600 | $ 2,500 |
Estimated Amortization Expense | |||
2,017 | 6,283 | ||
2,018 | 6,100 | ||
2,019 | 5,206 | ||
2,020 | 4,128 | ||
2,021 | 3,991 | ||
Thereafter | 4,118 | ||
Total | $ 29,826 | $ 4,800 |
Goodwill and Other Intangible48
Goodwill and Other Intangible Assets - Acquired (Details) $ in Thousands | 12 Months Ended |
Jan. 28, 2017USD ($)leasestoreDesignation_Rightacquisitions | |
Intangible Assets Acquired | |
Goodwill | $ 44,465 |
Finite-lived and indefinite-lived intangible assets acquired | $ 78,813 |
Acquired finite-lived intangible assets, weighted average useful life | 6 years |
The Sports Authority, Intangible Assets Acquired | |
Intangible Assets Acquired | |
Finite-lived and indefinite-lived intangible assets acquired | $ 12,600 |
Number of store leases, acquired | Designation_Right | 31 |
Cost to acquire assets | $ 17,200 |
Number of store leases, retained | lease | 22 |
Affinity and GameChanger, Intangible Assets Acquired | |
Intangible Assets Acquired | |
Goodwill | $ 44,465 |
Finite-lived and indefinite-lived intangible assets acquired | $ 62,968 |
Number of businesses, acquired | acquisitions | 2 |
Cost to acquire business | $ 63,800 |
Golfsmith, Intangible Assets Acquired | |
Intangible Assets Acquired | |
Finite-lived and indefinite-lived intangible assets acquired | 3,245 |
Cost to acquire business | $ 41,100 |
Number of stores, inventory acquired | store | 30 |
Trade names | |
Intangible Assets Acquired | |
Indefinite-lived intangible assets acquired | $ 6,181 |
Trade names | Affinity and GameChanger, Intangible Assets Acquired | |
Intangible Assets Acquired | |
Indefinite-lived intangible assets acquired | 6,181 |
Acquired Technology | |
Intangible Assets Acquired | |
Finite-lived intangible assets acquired | $ 7,671 |
Acquired finite-lived intangible assets, weighted average useful life | 5 years |
Acquired Technology | Affinity and GameChanger, Intangible Assets Acquired | |
Intangible Assets Acquired | |
Finite-lived intangible assets acquired | $ 7,671 |
Trade names | |
Intangible Assets Acquired | |
Finite-lived intangible assets acquired | $ 2,530 |
Acquired finite-lived intangible assets, weighted average useful life | 3 years |
Trade names | The Sports Authority, Intangible Assets Acquired | |
Intangible Assets Acquired | |
Finite-lived intangible assets acquired | $ 2,300 |
Trade names | Golfsmith, Intangible Assets Acquired | |
Intangible Assets Acquired | |
Finite-lived intangible assets acquired | 230 |
Customer lists | |
Intangible Assets Acquired | |
Finite-lived intangible assets acquired | $ 17,966 |
Acquired finite-lived intangible assets, weighted average useful life | 7 years |
Customer lists | The Sports Authority, Intangible Assets Acquired | |
Intangible Assets Acquired | |
Finite-lived intangible assets acquired | $ 10,300 |
Customer lists | Affinity and GameChanger, Intangible Assets Acquired | |
Intangible Assets Acquired | |
Finite-lived intangible assets acquired | 4,651 |
Customer lists | Golfsmith, Intangible Assets Acquired | |
Intangible Assets Acquired | |
Finite-lived intangible assets acquired | $ 3,015 |
Store Closings (Details)
Store Closings (Details) $ in Thousands | 12 Months Ended | |
Jan. 28, 2017USD ($)store | Jan. 30, 2016USD ($) | |
Store Closings | ||
Accrued store closing and relocation reserves, beginning of period | $ 11,702 | $ 12,785 |
Expense charged to earnings | 12,513 | 4,496 |
Cash payments | (5,943) | (5,344) |
Interest accretion and other changes in assumptions | (741) | (235) |
Accrued store closing and relocation reserves, end of period | 17,531 | 11,702 |
Less: current portion of accrued store closing and relocation reserves | (8,682) | (4,394) |
Long-term portion of accrued store closing and relocation reserves | 8,849 | $ 7,308 |
Golf Galaxy | ||
Business exit costs | ||
Expense related to the closure of ten Golf Galaxy stores | $ 5,700 | |
Number of stores closed | store | 10 |
Property and Equipment (Details
Property and Equipment (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Jan. 28, 2017 | Jan. 30, 2016 | |
Property and Equipment | ||
Total property and equipment | $ 3,010,078 | $ 2,665,314 |
Less: accumulated depreciation and amortization | (1,487,504) | (1,317,429) |
Net property and equipment | 1,522,574 | 1,347,885 |
Impairment of long-lived assets held-for-use | 23,400 | |
Buildings and land | ||
Property and Equipment | ||
Total property and equipment | 224,061 | 220,875 |
Leasehold improvements | ||
Property and Equipment | ||
Total property and equipment | 1,514,825 | 1,245,694 |
Furniture, fixtures and equipment | ||
Property and Equipment | ||
Total property and equipment | 932,442 | 896,846 |
Computer software | ||
Property and Equipment | ||
Total property and equipment | 338,750 | 301,899 |
Construction in progress | ||
Property and Equipment | ||
Total property and equipment | $ 182,800 | $ 124,400 |
Accrued Expenses (Details)
Accrued Expenses (Details) - USD ($) $ in Thousands | Jan. 28, 2017 | Jan. 30, 2016 |
Accrued Liabilities, Current [Abstract] | ||
Accrued payroll, withholdings and benefits | $ 137,472 | $ 95,721 |
Accrued real estate taxes, utilities and other occupancy | 78,367 | 60,060 |
Accrued property and equipment | 71,365 | 43,649 |
Accrued sales tax | 32,826 | 28,169 |
Other accrued expenses | 64,180 | 61,402 |
Total accrued expenses | $ 384,210 | $ 289,001 |
Deferred Revenue and Other Li52
Deferred Revenue and Other Liabilities (Details) - USD ($) $ in Thousands | Jan. 28, 2017 | Jan. 30, 2016 |
Current: | ||
Deferred gift card revenue | $ 179,069 | $ 162,640 |
Deferred construction allowances | 1,794 | 1,850 |
Other | 22,925 | 19,896 |
Total current | 203,788 | 184,386 |
Long-term: | ||
Deferred rent, including pre-opening rent | 102,938 | 93,321 |
Deferred construction allowances | 523,078 | 384,428 |
Other | 100,697 | 88,947 |
Total long-term | $ 726,713 | $ 566,696 |
Debt (Details)
Debt (Details) - USD ($) | Aug. 12, 2015 | Jan. 28, 2017 | Jan. 30, 2016 |
Debt | |||
Total debt | $ 5,325,000 | $ 5,913,000 | |
Less: current portion | (646,000) | (589,000) | |
Total long-term debt | 4,679,000 | 5,324,000 | |
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 | 978,687,000 | 985,969,000 | |
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 | 21,313,000 | 14,031,000 | |
Capital lease obligation | |||
Debt | |||
Total debt | 5,091,000 | 5,565,000 | |
Other debt | |||
Debt | |||
Total debt | $ 234,000 | $ 348,000 |
Debt - Capital Lease Obligation
Debt - Capital Lease Obligations (Details) - USD ($) $ in Thousands | Jan. 28, 2017 | Jan. 30, 2016 |
Capital Lease Obligations | ||
Gross carrying value | $ 6,900 | $ 6,900 |
Net carrying value | 300 | $ 400 |
Scheduled lease payments under capital lease obligations | ||
2,017 | 1,024 | |
2,018 | 1,044 | |
2,019 | 1,103 | |
2,020 | 1,103 | |
2,021 | 943 | |
Thereafter | 1,942 | |
Subtotal | 7,159 | |
Less: amounts representing interest | (2,068) | |
Present value of net scheduled lease payments | 5,091 | |
Less: amounts due in one year | (521) | |
Total long-term capital leases | $ 4,570 |
Operating Leases (Details)
Operating Leases (Details) $ in Thousands | 12 Months Ended | ||
Jan. 28, 2017USD ($)DistributionCenter | Jan. 30, 2016USD ($) | Jan. 31, 2015USD ($) | |
Operating leases | |||
Number of distribution centers leased | DistributionCenter | 3 | ||
Additional renewal period | 5 years | ||
Rent expense under operating leases | $ 501,900 | $ 469,000 | $ 441,500 |
Scheduled lease payments due under non-cancelable operating leases | |||
2,017 | 588,641 | ||
2,018 | 566,233 | ||
2,019 | 516,289 | ||
2,020 | 465,706 | ||
2,021 | 405,999 | ||
Thereafter | 1,364,054 | ||
Total | $ 3,906,922 | ||
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. 16, 2016USD ($) | Mar. 07, 2013USD ($) | Jan. 28, 2017USD ($)item$ / sharesshares | Jan. 30, 2016USD ($)item$ / sharesshares | Jan. 31, 2015USD ($)$ / 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 | 5 years | |||
Authorized aggregate repurchases of common stock | $ | $ 1,000,000 | $ 1,000,000 | |||
Repurchase of common stock (in shares) | 3,100,000 | 7,400,000 | |||
Repurchase of common stock | $ | $ 145,738 | $ 357,276 | $ 200,000 | ||
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 | $ 0.605 | $ 0.55 | $ 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 | $ 0.605 | $ 0.55 | $ 0.50 |
Stock-Based Compensation and 57
Stock-Based Compensation and Employee Stock Plans (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | |||
Jan. 28, 2017 | Jan. 30, 2016 | Jan. 31, 2015 | Feb. 01, 2014 | |
Stock-based compensation expense | ||||
Number of shares available for future issuance under the plan | 8,247,527 | |||
Total stock-based compensation expense | $ 33,602 | $ 29,288 | $ 26,275 | |
Total related tax benefit | 11,718 | 10,290 | 9,200 | |
Stock options | ||||
Stock-based compensation expense | ||||
Stock-based compensation expense | $ 9,506 | $ 8,211 | $ 7,903 | |
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 | 5 years 4 months 25 days | 5 years 4 months 28 days | 5 years 2 months 22 days | |
Expected volatility, minimum (as a percent) | 29.20% | 30.38% | 31.97% | |
Expected volatility, maximum (as a percent) | 31.93% | 42.07% | 44.48% | |
Weighted average volatility (as a percent) | 31.01% | 32.67% | 36.28% | |
Risk-free interest rate, minimum (as a percent) | 1.07% | 1.28% | 1.44% | |
Risk-free interest rate, maximum (as a percent) | 1.90% | 1.74% | 2.39% | |
Weighted average grant date fair value (in dollars per share) | $ 12.56 | $ 16.28 | $ 17.31 | |
Shares Subject to Options | ||||
Outstanding at the beginning of the period (in shares) | 3,974,512 | 4,081,298 | 4,954,047 | |
Granted (in shares) | 1,143,326 | 812,482 | 559,722 | |
Exercised (in shares) | (1,348,241) | (773,773) | (1,175,540) | |
Forfeited / Expired (in shares) | (208,512) | (145,495) | (256,931) | |
Outstanding at the end of the period (in shares) | 3,561,085 | 3,974,512 | 4,081,298 | 4,954,047 |
Exercisable at the end of the period (in shares) | 1,681,131 | |||
Vested and expected to vest at the end of the period (in shares) | 3,346,290 | |||
Weighted Average Exercise Price per Share | ||||
Outstanding at the beginning of the period (in dollars per share) | $ 38.29 | $ 32.83 | $ 28.55 | |
Granted (in dollars per share) | 47.79 | 56.97 | 53.78 | |
Exercised (in dollars per share) | 22.28 | 26.64 | 22.22 | |
Forfeited / Expired (in dollars per share) | 50.01 | 51.38 | 44.42 | |
Outstanding at the end of the period (in dollars per share) | 46.71 | $ 38.29 | $ 32.83 | $ 28.55 |
Exercisable at the end of the period (in dollars per share) | 41.77 | |||
Vested and expected to vest at the end of the period (in dollars per share) | $ 46.45 | |||
Weighted Average Remaining Contractual Life (in years) | ||||
Weighted Average Remaining Contractual Life | 3 years 10 months 17 days | 2 years 11 months 9 days | 3 years | 3 years 2 months 7 days |
Exercisable at the end of the period | 2 years 1 month 4 days | |||
Vested and expected to vest at the end of the period | 3 years 9 months 4 days | |||
Aggregate Intrinsic Value | ||||
Outstanding at the beginning of the period (in dollars) | $ 51,930 | $ 78,432 | $ 118,784 | |
Outstanding at the end of the period (in dollars) | 22,638 | 51,930 | 78,432 | $ 118,784 |
Exercisable at the end of the period (in dollars) | 17,875 | |||
Vested and expected to vest at the end of the period (in dollars) | 22,061 | |||
Additional disclosures | ||||
Total intrinsic value of stock options exercised | 36,400 | 20,200 | 34,300 | |
Total fair value of options vested | $ 8,400 | $ 8,400 | $ 8,200 | |
Nonvested stock option activity | ||||
Nonvested at the beginning of the period (in shares) | 1,421,208 | |||
Granted (in shares) | 1,143,326 | 812,482 | 559,722 | |
Vested (in shares) | (480,267) | |||
Forfeited (in shares) | (204,313) | |||
Nonvested at the end of the period (in shares) | 1,879,954 | 1,421,208 | ||
Weighted Average Grant Date Fair Value, Nonvested stock option activity | ||||
Nonvested at the beginning of the period (in dollars per share) | $ 17.03 | |||
Granted (in dollars per share) | 12.56 | $ 16.28 | $ 17.31 | |
Vested (in dollars per share) | 17.49 | |||
Forfeited (in dollars per share) | 13.76 | |||
Nonvested at the end of the period (in dollars per share) | $ 14.55 | $ 17.03 | ||
Unrecognized compensation expense | ||||
Unrecognized stock-based compensation expense related to nonvested awards, net of estimated forfeitures | $ 17,000 | |||
Weighted average period over which unrecognized compensation expense is expected to be recognized | 2 years 6 months 22 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) | 1.03% | 0.98% | 0.90% | |
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) | 1.59% | 1.12% | 1.13% | |
Restricted stock | ||||
Stock-based compensation expense | ||||
Stock-based compensation expense | $ 24,096 | $ 21,077 | $ 18,372 | |
Vesting period | 3 years | |||
Unrecognized compensation expense | ||||
Unrecognized stock-based compensation expense related to nonvested awards, net of estimated forfeitures | $ 31,700 | |||
Weighted average period over which unrecognized compensation expense is expected to be recognized | 1 year 4 months 4 days |
Stock-Based Compensation and 58
Stock-Based Compensation and Employee Stock Plans - Stock Options Outstanding and Exercisable by Range of Exercise Prices (Details) | 12 Months Ended |
Jan. 28, 2017$ / sharesshares | |
$26.03 to $40.00 | |
Stock options outstanding and exercisable by exercise price range | |
Exercise price per share, low end of range (in dollars per share) | $ 26.03 |
Exercise price per share, high end of range (in dollars per share) | $ 40 |
Options Outstanding | |
Options Outstanding (in shares) | shares | 777,769 |
Weighted Average Remaining Contractual Life (in years) | 5 months 21 days |
Weighted Average Exercise Price (in dollars per share) | $ 31.01 |
Options Exercisable | |
Options Exercisable (in shares) | shares | 777,769 |
Weighted Average Exercise Price (in dollars per share) | $ 31.01 |
$40.42 to $46.97 | |
Stock options outstanding and exercisable by exercise price range | |
Exercise price per share, low end of range (in dollars per share) | 40.42 |
Exercise price per share, high end of range (in dollars per share) | $ 46.97 |
Options Outstanding | |
Options Outstanding (in shares) | shares | 372,898 |
Weighted Average Remaining Contractual Life (in years) | 3 years 4 months 24 days |
Weighted Average Exercise Price (in dollars per share) | $ 45.91 |
Options Exercisable | |
Options Exercisable (in shares) | shares | 250,689 |
Weighted Average Exercise Price (in dollars per share) | $ 45.98 |
$47.09 to $47.09 | |
Stock options outstanding and exercisable by exercise price range | |
Exercise price per share, low end of range (in dollars per share) | 47.09 |
Exercise price per share, high end of range (in dollars per share) | $ 47.09 |
Options Outstanding | |
Options Outstanding (in shares) | shares | 955,240 |
Weighted Average Remaining Contractual Life (in years) | 6 years 1 month 15 days |
Weighted Average Exercise Price (in dollars per share) | $ 47.09 |
Options Exercisable | |
Options Exercisable (in shares) | shares | 0 |
Weighted Average Exercise Price (in dollars per share) | $ 0 |
$47.73 to $55.29 | |
Stock options outstanding and exercisable by exercise price range | |
Exercise price per share, low end of range (in dollars per share) | 47.73 |
Exercise price per share, high end of range (in dollars per share) | $ 55.29 |
Options Outstanding | |
Options Outstanding (in shares) | shares | 770,694 |
Weighted Average Remaining Contractual Life (in years) | 3 years 7 months 10 days |
Weighted Average Exercise Price (in dollars per share) | $ 52.11 |
Options Exercisable | |
Options Exercisable (in shares) | shares | 488,742 |
Weighted Average Exercise Price (in dollars per share) | $ 51.18 |
$55.49 to $58.86 | |
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) | $ 58.86 |
Options Outstanding | |
Options Outstanding (in shares) | shares | 684,484 |
Weighted Average Remaining Contractual Life (in years) | 5 years 2 months 13 days |
Weighted Average Exercise Price (in dollars per share) | $ 58.40 |
Options Exercisable | |
Options Exercisable (in shares) | shares | 163,931 |
Weighted Average Exercise Price (in dollars per share) | $ 58.33 |
$26.03 to $58.86 | |
Stock options outstanding and exercisable by exercise price range | |
Exercise price per share, low end of range (in dollars per share) | 26.03 |
Exercise price per share, high end of range (in dollars per share) | $ 58.86 |
Options Outstanding | |
Options Outstanding (in shares) | shares | 3,561,085 |
Weighted Average Remaining Contractual Life (in years) | 3 years 10 months 17 days |
Weighted Average Exercise Price (in dollars per share) | $ 46.71 |
Options Exercisable | |
Options Exercisable (in shares) | shares | 1,681,131 |
Weighted Average Exercise Price (in dollars per share) | $ 41.77 |
Stock-Based Compensation and 59
Stock-Based Compensation and Employee Stock Plans - Restricted Stock (Details) - USD ($) $ / shares in Units, $ in Millions | 12 Months Ended | |||
Jan. 28, 2017 | 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) | 2,204,980 | 2,186,119 | 2,431,654 | |
Granted (in shares) | 789,460 | 661,640 | 593,841 | |
Vested (in shares) | (438,160) | (400,951) | (433,249) | |
Forfeited (in shares) | (196,240) | (241,828) | (406,127) | |
Nonvested at the end of the period (in shares) | 2,360,040 | 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) | $ 50.97 | $ 48.67 | $ 45.93 | |
Granted (in dollars per share) | 47.89 | 56.95 | 53.36 | |
Vested (in dollars per share) | 47.05 | 48.59 | 39.99 | |
Forfeited (in dollars per share) | 51.23 | 50.52 | 48.40 | |
Nonvested at the end of the period (in dollars per share) | $ 50.64 | $ 50.97 | $ 48.67 | $ 45.93 |
Unrecognized compensation expense | ||||
Unrecognized stock-based compensation expense related to nonvested awards, net of estimated forfeitures | $ 31.7 | |||
Weighted average period over which unrecognized compensation expense is expected to be recognized | 1 year 4 months 4 days | |||
Performance Shares 2013 Plan | ||||
Stock-Based Compensation and Employee Stock Plans | ||||
Vesting period | 5 years | |||
Restricted stock activity | ||||
Granted (in shares) | 38,703 | 90,735 | 118,095 | 1,185,793 |
Nonvested at the end of the period (in shares) | 827,008 |
Income Taxes - Components of th
Income Taxes - Components of the Provision for Income Taxes (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Jan. 28, 2017 | Jan. 30, 2016 | Jan. 31, 2015 | |
Current: | |||
Federal | $ 184,636 | $ 164,165 | $ 187,735 |
State | 31,426 | 27,076 | 30,340 |
Total | 216,062 | 191,241 | 218,075 |
Deferred: | |||
Federal | (38,138) | 8,198 | (5,740) |
State | (6,898) | 1,045 | (519) |
Total | (45,036) | 9,243 | (6,259) |
Total provision | $ 171,026 | $ 200,484 | $ 211,816 |
Income Taxes - Reconciliation o
Income Taxes - Reconciliation of Effective Income Tax Rate (Details) | 12 Months Ended | ||
Jan. 28, 2017 | Jan. 30, 2016 | Jan. 31, 2015 | |
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) | 3.30% | 3.50% | 3.10% |
Valuation allowance (as a percent) | (0.10%) | (0.10%) | 0.00% |
Other permanent items (as a percent) | (0.90%) | (0.60%) | 0.00% |
Effective income tax rate (as a percent) | 37.30% | 37.80% | 38.10% |
Income Taxes - Components of De
Income Taxes - Components of Deferred Tax Assets / Liabilities (Details) - USD ($) $ in Thousands | Jan. 28, 2017 | Jan. 30, 2016 |
Deferred tax assets | ||
Inventory | $ 69,784 | $ 45,442 |
Employee benefits | 42,730 | 37,295 |
Deferred rent | 41,684 | 36,485 |
Stock-based compensation | 26,697 | 26,843 |
Gift cards | 19,077 | 15,884 |
Deferred revenue currently taxable | 12,485 | 4,957 |
Store closing expense | 6,852 | 4,569 |
Other accrued expenses not currently deductible for tax purposes | 6,577 | 9,532 |
Net operating loss carryforward | 5,901 | 0 |
Non income-based tax reserves | 5,319 | 5,274 |
Capital loss carryforward | 4,717 | 5,304 |
Uncertain income tax positions | 3,597 | 4,253 |
Insurance | 2,674 | 2,280 |
Other | 139 | 179 |
Valuation allowance | (4,717) | (5,304) |
Total deferred tax assets | 243,516 | 192,993 |
Deferred tax liabilities | ||
Property and equipment | (146,925) | (152,287) |
Inventory valuation | (42,354) | (35,095) |
Intangibles | (8,310) | (5,900) |
Total deferred tax liabilities | (197,589) | (193,282) |
Net deferred tax asset | 45,927 | |
Net deferred tax liability | (289) | |
Net deferred tax assets recorded within other long-term assets | 45,927 | 6,165 |
Net deferred tax liabilities recorded within other long-term liabilities | 0 | $ 6,454 |
Undistributed earnings of foreign subsidiaries | 46,700 | |
Unrecognized tax liability related to undistributed earnings of foreign subsidiaries | 16,100 | |
Federal | ||
Operating loss carryforwards | ||
Operating loss carryforwards | 14,500 | |
State | ||
Operating loss carryforwards | ||
Operating loss carryforwards | $ 16,000 |
Income Taxes (Details)
Income Taxes (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Jan. 28, 2017 | Jan. 30, 2016 | Jan. 31, 2015 | |
Income Tax Disclosure [Abstract] | |||
Total liability for uncertain tax positions, including related interest and penalties | $ 10,800 | ||
Reconciliation of the Company's total unrecognized tax benefits balances, excluding interest and penalties | |||
Beginning of fiscal year | 9,784 | $ 8,376 | $ 7,507 |
Increases as a result of tax positions taken in a prior period | 0 | 1,101 | 124 |
Decreases as a result of tax positions taken in a prior period | (831) | 0 | 0 |
Increases as a result of tax positions taken in the current period | 2,067 | 1,193 | 1,057 |
Decreases as a result of settlements during the current period | (2,534) | (63) | (312) |
Reductions as a result of a lapse of statute of limitations during the current period | (193) | (823) | 0 |
End of fiscal year | 8,293 | 9,784 | 8,376 |
Unrecognized tax benefits that would impact effective tax rate if recognized | 5,400 | ||
Accrued interest and penalties associated with uncertain tax positions | 2,500 | ||
Accrual of interest and penalties related to uncertain tax positions | 300 | $ 1,200 | $ 300 |
Unrecognized tax benefits that could be recognized within the next 12 months | $ 3,300 |
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. 28, 2017 | Oct. 29, 2016 | Jul. 30, 2016 | Apr. 30, 2016 | Jan. 30, 2016 | Oct. 31, 2015 | Aug. 01, 2015 | May 02, 2015 | Jan. 28, 2017 | Jan. 30, 2016 | Jan. 31, 2015 | |
Earnings per common share - Basic: | |||||||||||
Net income | $ 90,188 | $ 48,914 | $ 91,417 | $ 56,877 | $ 128,993 | $ 47,215 | $ 90,839 | $ 63,345 | $ 287,396 | $ 330,391 | $ 344,198 |
Weighted average common shares outstanding - basic | 110,397 | 110,607 | 111,272 | 112,105 | 112,618 | 114,978 | 116,281 | 117,044 | 111,095 | 115,230 | 119,244 |
Earnings per common share (in dollars per share) - basic | $ 0.82 | $ 0.44 | $ 0.82 | $ 0.51 | $ 1.15 | $ 0.41 | $ 0.78 | $ 0.54 | $ 2.59 | $ 2.87 | $ 2.89 |
Earnings per common share - Diluted: | |||||||||||
Net income | $ 90,188 | $ 48,914 | $ 91,417 | $ 56,877 | $ 128,993 | $ 47,215 | $ 90,839 | $ 63,345 | $ 287,396 | $ 330,391 | $ 344,198 |
Weighted average common shares outstanding - basic | 110,397 | 110,607 | 111,272 | 112,105 | 112,618 | 114,978 | 116,281 | 117,044 | 111,095 | 115,230 | 119,244 |
Dilutive effect of stock-based awards (in shares) | 1,121 | 1,564 | 1,994 | ||||||||
Weighted average common shares outstanding - diluted | 111,644 | 111,826 | 112,118 | 113,276 | 113,960 | 116,506 | 117,805 | 118,906 | 112,216 | 116,794 | 121,238 |
Earnings per common share (in dollars per share) - diluted | $ 0.81 | $ 0.44 | $ 0.82 | $ 0.50 | $ 1.13 | $ 0.41 | $ 0.77 | $ 0.53 | $ 2.56 | $ 2.83 | $ 2.84 |
Anti-dilutive stock-based awards excluded from diluted calculation (in shares) | 1,822 | 1,449 | 1,334 |
Retirement Savings Plans (Detai
Retirement Savings Plans (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 28, 2017 | Jan. 30, 2016 | Jan. 31, 2015 | |
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 | $ 8.7 | $ 7 | $ 6.1 |
Deferred compensation plans | |||
Liability for compensation deferred under the Company's plans | 64.5 | 53 | |
Total expense recorded under the plans, net of forfeitures | $ 2.2 | $ 2 | $ 1.5 |
Commitments and Contingencies66
Commitments and Contingencies (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Jan. 28, 2017 | Jan. 30, 2016 | Jan. 31, 2015 | |
Trademark licensing royalties | |||
Aggregate payments for trademark licensing royalties | $ 8,800 | $ 18,200 | $ 16,400 |
2,017 | 8,800 | ||
2,018 | 9,365 | ||
2,019 | 9,565 | ||
2,020 | 8,595 | ||
2,021 | 540 | ||
Thereafter | 0 | ||
Total | 36,865 | ||
Marketing and naming rights commitments | |||
Payments for marketing, naming rights and other commitments | |||
Aggregate payments for marketing, naming rights and other commitments | 39,300 | 43,000 | 52,100 |
2,017 | 19,734 | ||
2,018 | 11,293 | ||
2,019 | 4,296 | ||
2,020 | 3,860 | ||
2,021 | 2,723 | ||
Thereafter | 14,889 | ||
Total | 56,795 | ||
Other commitments | |||
Payments for marketing, naming rights and other commitments | |||
Aggregate payments for marketing, naming rights and other commitments | 17,900 | $ 11,700 | $ 8,700 |
2,017 | 31,150 | ||
2,018 | 61,736 | ||
2,019 | 28,698 | ||
2,020 | 1,145 | ||
2,021 | 0 | ||
Thereafter | 0 | ||
Total | $ 122,729 |
Fair Value Measurements (Detail
Fair Value Measurements (Details) - Level 1 - USD ($) $ in Thousands | Jan. 28, 2017 | Jan. 30, 2016 |
Fair Value Measurements | ||
Deferred compensation plan assets held in trust | $ 64,512 | $ 53,040 |
Total assets | $ 64,512 | $ 53,040 |
Quarterly Financial Informati68
Quarterly Financial Information (Unaudited) (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Jan. 28, 2017 | Oct. 29, 2016 | Jul. 30, 2016 | Apr. 30, 2016 | Jan. 30, 2016 | Oct. 31, 2015 | Aug. 01, 2015 | May 02, 2015 | Jan. 28, 2017 | Jan. 30, 2016 | Jan. 31, 2015 | |
Quarterly Financial Information Disclosure [Abstract] | |||||||||||
Net sales | $ 2,483,433 | $ 1,810,347 | $ 1,967,857 | $ 1,660,343 | $ 2,240,051 | $ 1,642,627 | $ 1,822,979 | $ 1,565,308 | $ 7,921,981 | $ 7,270,965 | $ 6,814,479 |
Gross profit | 719,764 | 552,843 | 597,378 | 495,797 | 671,966 | 488,376 | 553,558 | 468,988 | 2,365,783 | 2,182,887 | 2,086,666 |
Income from operations | 138,214 | 73,757 | 147,170 | 90,711 | 207,794 | 77,081 | 148,407 | 101,912 | 449,854 | 535,192 | 554,059 |
Net income | $ 90,188 | $ 48,914 | $ 91,417 | $ 56,877 | $ 128,993 | $ 47,215 | $ 90,839 | $ 63,345 | $ 287,396 | $ 330,391 | $ 344,198 |
Earnings per common share: | |||||||||||
Basic (in dollars per share) | $ 0.82 | $ 0.44 | $ 0.82 | $ 0.51 | $ 1.15 | $ 0.41 | $ 0.78 | $ 0.54 | $ 2.59 | $ 2.87 | $ 2.89 |
Diluted (in dollars per share) | $ 0.81 | $ 0.44 | $ 0.82 | $ 0.50 | $ 1.13 | $ 0.41 | $ 0.77 | $ 0.53 | $ 2.56 | $ 2.83 | $ 2.84 |
Weighted average common shares outstanding: | |||||||||||
Basic (in shares) | 110,397 | 110,607 | 111,272 | 112,105 | 112,618 | 114,978 | 116,281 | 117,044 | 111,095 | 115,230 | 119,244 |
Diluted (in shares) | 111,644 | 111,826 | 112,118 | 113,276 | 113,960 | 116,506 | 117,805 | 118,906 | 112,216 | 116,794 | 121,238 |
Integration and conversion costs, net of tax | $ 3,700 | $ 4,700 | |||||||||
Litigation settlement charge, net of tax | $ 4,700 | ||||||||||
Inventory write-down, net of tax | 28,800 | ||||||||||
Store asset impairment and store closing charges, net of tax | 20,300 | ||||||||||
Asset impairment charge, net of tax | $ 4,800 |
Subsequent Event (Details)
Subsequent Event (Details) - Subsequent Event | Feb. 09, 2017$ / shares |
Common Stock | |
Subsequent Event | |
Dividend amount (in dollars per share) | $ 0.17 |
Class B Common Stock | |
Subsequent Event | |
Dividend amount (in dollars per share) | $ 0.17 |
SCHEDULE II VALUATION AND QUA70
SCHEDULE II VALUATION AND QUALIFYING ACCOUNTS (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Jan. 28, 2017 | Jan. 30, 2016 | Jan. 31, 2015 | |
Inventory reserve | |||
Valuation and qualifying accounts | |||
Balance at beginning of period | $ 36,622 | $ 32,297 | $ 20,113 |
Charged to costs and expenses | 57,692 | 10,761 | 18,634 |
Deductions | (6,512) | (6,436) | (6,450) |
Balance at end of period | 87,802 | 36,622 | 32,297 |
Allowance for doubtful accounts | |||
Valuation and qualifying accounts | |||
Balance at beginning of period | 2,727 | 2,684 | 3,109 |
Charged to costs and expenses | 4,834 | 4,736 | 4,712 |
Deductions | (4,409) | (4,693) | (5,137) |
Balance at end of period | 3,152 | 2,727 | 2,684 |
Reserve for sales returns | |||
Valuation and qualifying accounts | |||
Balance at beginning of period | 7,754 | 5,829 | 4,406 |
Charged to costs and expenses | 449,666 | 432,760 | 408,546 |
Deductions | (449,220) | (430,835) | (407,123) |
Balance at end of period | 8,200 | 7,754 | 5,829 |
Allowance for deferred tax assets | |||
Valuation and qualifying accounts | |||
Balance at beginning of period | 5,304 | 5,608 | 6,242 |
Charged to costs and expenses | 0 | 0 | 0 |
Deductions | (587) | (304) | (634) |
Balance at end of period | $ 4,717 | $ 5,304 | $ 5,608 |