Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
Jan. 30, 2016 | Mar. 24, 2016 | Jul. 31, 2015 | |
Document And Entity Information [Abstract] | |||
Document Type | 10-K | ||
Amendment Flag | false | ||
Document Period End Date | Jan. 30, 2016 | ||
Document Fiscal Year Focus | 2,015 | ||
Document Fiscal Period Focus | FY | ||
Trading Symbol | SPWH | ||
Entity Registrant Name | SPORTSMAN'S WAREHOUSE HOLDINGS, INC. | ||
Entity Central Index Key | 1,132,105 | ||
Current Fiscal Year End Date | --01-30 | ||
Entity Filer Category | Accelerated Filer | ||
Entity Common Stock, Shares Outstanding | 42,004,368 | ||
Entity Well Known Seasoned Issuer | No | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Public Float | $ 210,123,179 |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Jan. 30, 2016 | Jan. 31, 2015 |
Current assets: | ||
Cash and cash equivalents | $ 2,109 | $ 1,751 |
Accounts receivable, net | 469 | 425 |
Merchandise inventories | 217,794 | 185,909 |
Prepaid expenses and other | 9,686 | 7,468 |
Deferred income taxes, current | 3,001 | 2,928 |
Income taxes receivable | 5,190 | |
Total current assets | 233,059 | 203,671 |
Property and equipment, net | 62,432 | 54,317 |
Deferred income taxes, noncurrent | 2,263 | 5,398 |
Definite lived intangibles, net | 3,923 | 5,729 |
Other long-term assets, net | 1,347 | 1,608 |
Total assets | 303,024 | 270,723 |
Current liabilities: | ||
Accounts payable | 46,698 | 28,500 |
Accrued expenses | 42,480 | 42,620 |
Income taxes payable | 1,779 | |
Revolving line of credit | 25,263 | 41,899 |
Current portion of long-term debt, net of discount | 9,033 | 1,333 |
Current portion of deferred rent | 3,018 | 2,873 |
Total current liabilities | 128,271 | 117,225 |
Long-term liabilities: | ||
Long-term debt, net of discount and current portion | 147,679 | 156,713 |
Deferred rent, noncurrent | 29,133 | 28,117 |
Total long-term liabilities | 176,812 | 184,830 |
Total liabilities | $ 305,083 | $ 302,055 |
Commitments and contingencies | ||
Stockholders' deficit: | ||
Preferred stock, $.01 par value; 20,000 shares authorized; 0 shares issued and outstanding | ||
Common stock, $.01 par value; 100,000 shares authorized; 42,004 and 41,818 shares issued and outstanding, respectively | $ 420 | $ 418 |
Additional paid-in capital | 77,757 | 76,257 |
Accumulated deficit | (80,236) | (108,007) |
Total stockholders' deficit | (2,059) | (31,332) |
Total liabilities and stockholders' deficit | $ 303,024 | $ 270,723 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares | Jan. 30, 2016 | Jan. 31, 2015 |
Statement Of Financial Position [Abstract] | ||
Preferred stock, par value | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized | 20,000,000 | 20,000,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock, par value | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 100,000,000 | 100,000,000 |
Common stock, shares issued | 42,004,000 | 41,818,000 |
Common stock, shares outstanding | 42,004,000 | 41,818,000 |
CONSOLIDATED STATEMENTS OF INCO
CONSOLIDATED STATEMENTS OF INCOME - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | ||
Jan. 30, 2016 | Jan. 31, 2015 | Feb. 01, 2014 | |
Income Statement [Abstract] | |||
Net sales | $ 729,912 | $ 660,003 | $ 643,163 |
Cost of goods sold | 491,382 | 444,796 | 435,933 |
Gross profit | 238,530 | 215,207 | 207,230 |
Selling, general, and administrative expenses | 179,218 | 170,315 | 147,140 |
Bankruptcy related expenses | 55 | ||
Income from operations | 59,312 | 44,892 | 60,035 |
Interest expense | (14,156) | (22,480) | (25,447) |
Income before income taxes | 45,156 | 22,412 | 34,588 |
Income tax expense | 17,385 | 8,628 | 12,838 |
Net income | $ 27,771 | $ 13,784 | $ 21,750 |
Earnings per share: | |||
Basic | $ 0.66 | $ 0.34 | $ 0.66 |
Diluted | $ 0.66 | $ 0.34 | $ 0.66 |
Weighted average shares outstanding: | |||
Basic | 41,966 | 39,961 | 33,170 |
Diluted | 42,334 | 40,141 | 33,185 |
CONSOLIDATED STATEMENTS OF STOC
CONSOLIDATED STATEMENTS OF STOCKHOLDERS DEFICIT - USD ($) shares in Thousands, $ in Thousands | Total | Restricted StockRestricted Nonvoting Common Stock | Common Stock | Additional Paid-in Capital | Accumulated Deficit |
Balance at Feb. 02, 2013 | $ (41,844) | $ 60 | $ 273 | $ (42,177) | |
Balance, shares at Feb. 02, 2013 | 5,964 | 27,265 | |||
Dividends | (101,065) | (101,065) | |||
Repurchase and retirement of restricted nonvoting common stock | (302) | $ (3) | (299) | ||
Repurchase and retirement of restricted nonvoting common stock, shares | (287) | ||||
Stock based compensation | 365 | $ 365 | |||
Net income | 21,750 | 21,750 | |||
Balance at Feb. 01, 2014 | (121,096) | $ 57 | $ 273 | 365 | (121,791) |
Balance, shares at Feb. 01, 2014 | 5,677 | 27,265 | |||
Issuance of common shares | 73,391 | $ 86 | 73,305 | ||
Stock Issued During Period Shares New Issues | 8,683 | ||||
Conversion of nonvoting common stock to common stock | $ (57) | $ 57 | |||
Conversion of nonvoting common stock to common stock, shares | (5,677) | 5,677 | |||
Vesting of Restricted Stock Units | $ 2 | (2) | |||
Vesting of Restricted Stock Units Shares | 193 | ||||
Payment of withholdings on restricted stock units | (991) | (991) | |||
Excess tax benefit from restricted stock units | 287 | 287 | |||
Stock based compensation | 3,293 | 3,293 | |||
Net income | 13,784 | 13,784 | |||
Balance at Jan. 31, 2015 | $ (31,332) | $ 418 | 76,257 | (108,007) | |
Balance, shares at Jan. 31, 2015 | 41,818 | 41,818 | |||
Vesting of Restricted Stock Units | $ 2 | (2) | |||
Vesting of Restricted Stock Units Shares | 186 | ||||
Payment of withholdings on restricted stock units | $ (1,041) | (1,041) | |||
Excess tax benefit from restricted stock units | 286 | 286 | |||
Stock based compensation | 2,257 | 2,257 | |||
Net income | 27,771 | 27,771 | |||
Balance at Jan. 30, 2016 | $ (2,059) | $ 420 | $ 77,757 | $ (80,236) | |
Balance, shares at Jan. 30, 2016 | 42,004 | 42,004 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 12 Months Ended | ||
Jan. 30, 2016 | Jan. 31, 2015 | Feb. 01, 2014 | |
Cash flows from operating activities: | |||
Net income | $ 27,771 | $ 13,784 | $ 21,750 |
Adjustments to reconcile net income to net cash provided by operating activities: | |||
Depreciation of property and equipment | 9,763 | 7,344 | 4,749 |
Amortization of discount on debt and deferred financing fees | 817 | 6,497 | 6,952 |
Amortization of definite lived intangible | 1,806 | 1,806 | 1,528 |
Net increase in deferred rent | 1,161 | 5,397 | 432 |
Gain on asset dispositions | (112) | ||
Deferred income taxes | 3,062 | (46) | 2,169 |
Excess tax benefits from stock-based compensation arrangements | (286) | (287) | |
Stock-based compensation | 2,257 | 3,293 | 365 |
Change in operating assets and liabilities: | |||
Accounts receivable, net | (44) | (12) | 1,052 |
Merchandise inventories | (31,885) | (24,575) | (28,344) |
Prepaid expenses and other | (5,435) | 86 | (1,522) |
Other long-term assets | 239 | (107) | 49 |
Accounts payable | 18,198 | 836 | 1,333 |
Accrued expenses | 983 | 8,127 | 2,049 |
Income taxes receivable and payable | 7,255 | (1,670) | (12,416) |
Net cash provided by operating activities | 35,662 | 20,473 | 34 |
Cash flows from investing activities: | |||
Purchase of property and equipment | (33,957) | (30,167) | (20,416) |
Purchase of business | (47,767) | ||
Proceeds from sale-leaseback transactions | 19,006 | ||
Proceeds from sale of fixed assets | 124 | ||
Net cash used in investing activities | (14,951) | (30,167) | (68,059) |
Cash flows from financing activities: | |||
Net borrowings on line of credit | (16,636) | 12,847 | 29,052 |
Borrowings on term loan | 160,000 | 235,000 | |
Issuance of common stock, net | 73,393 | (302) | |
Dividends paid | (101,065) | ||
(Decrease) increase in book overdraft | (1,123) | 2,609 | 5,696 |
Excess tax benefits from stock-based compensation arrangements | 286 | 287 | |
Payment of withholdings on restricted stock units | (1,041) | (993) | |
Payment of deferred financing costs | (239) | (2,227) | (3,960) |
Principal payments on unsecured note payable | (2,756) | ||
Principal payments on long-term debt | (1,600) | (234,225) | (125,863) |
Discount on term loan | (1,600) | (2,938) | |
Net cash (used in) provided by financing activities | (20,353) | 10,091 | 32,864 |
Net change in cash and cash equivalents | 358 | 397 | (35,161) |
Cash and cash equivalents at beginning of year | 1,751 | 1,354 | 36,515 |
Cash and cash equivalents at end of year | 2,109 | 1,751 | 1,354 |
Net cash paid during the year for: | |||
Interest | 12,799 | 16,408 | 18,979 |
Income taxes | $ 7,032 | $ 10,328 | $ 23,089 |
Nature of Business
Nature of Business | 12 Months Ended |
Jan. 30, 2016 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
Nature of Business | (1) Nature of Business Description of Business Sportsman’s Warehouse Holdings, Inc. (“Holdings”), a Delaware Corporation, and subsidiaries (collectively, the “Company”) operate retail sporting goods stores. As of January 30, 2016, the Company operated 64 stores in 19 states. Voluntary Reorganization under Chapter 11 On March 21, 2009, the Company and all of its subsidiaries filed a voluntary bankruptcy petition for reorganization under Chapter 11 of the United States Bankruptcy Code in the United States Bankruptcy Court for the District of Delaware (the “Bankruptcy Court”). On July 30, 2009, the Bankruptcy Court entered an order approving and confirming the Plan of Reorganization (the “Reorganization Plan”). On May 22, 2013, the Company’s bankruptcy case was closed after a final decree was entered by the bankruptcy court. Bankruptcy-Related Expenses The adoption of fresh start reporting upon emergence from bankruptcy required the Company to allocate the reorganization value to its assets and liabilities in a manner similar to that which is required under Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) Topic 805, Business Combinations, including estimated costs required to restructure and emerge from Chapter 11 bankruptcy. The Company incurred certain costs related to restructuring and emergence from Chapter 11 bankruptcy and included a liability as part of the reorganization value at August 14, 2009, the date of emergence from bankruptcy. Amounts greater than the estimated restructuring costs are expensed as incurred and included as a separate component of the consolidated statements of income to arrive at income from operations. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Jan. 30, 2016 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | (2) Summary of Significant Accounting Policies Principles of Consolidation The consolidated financial statements of the Company have been prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) and include the accounts of its four wholly owned subsidiaries, Sportsman’s Warehouse, Inc. (“Sportsman’s Warehouse”), Pacific Flyway Wholesale, LLC (“Pacific Flyway”), Sportsman’s Warehouse Southwest, Inc., and Minnesota Merchandising Corporation. All intercompany transactions and accounts have been eliminated in consolidation. Fiscal Year The Company operates using a 52/53 week fiscal year ending on the Saturday closest to January 31. Fiscal years 2015, 2014 and 2013 ended on January 30, 2016, January 31, 2015 and February 1, 2014, respectively. Fiscal years 2013, 2014, and 2015 contain 52 weeks of operations. Seasonality The Company’s business is generally seasonal, with a significant portion of total sales occurring during the third and fourth quarters of the fiscal year. Use of Estimates in the Preparation of Consolidated Financial Statements The preparation of consolidated financial statements in conformity with 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 consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Segment Reporting The Company operates solely as a sporting goods retailer whose Chief Operating Decision Maker (“CODM”) is the Chief Executive Officer. The CODM reviews financial information presented on a consolidated and individual store and cost center basis, for purposes of allocating resources and evaluating financial performance. The Company’s stores typically have similar square footage and offer essentially the same general product mix. The Company’s core customer demographic remains similar chainwide, as does the Company’s process for the procurement and marketing of its product mix. Furthermore, the Company distributes its product mix chainwide from a single distribution center. Given that the stores have the same economic characteristics, the individual stores are aggregated into one single operating and reportable segment. Cash and Cash Equivalents The Company considers cash on hand in stores and highly liquid investments with an initial maturity of three months or less as cash and cash equivalents. Checks issued pending bank clearance that result in overdraft balances for accounting purposes are classified as accrued expenses in the accompanying consolidated balance sheets. In accordance with the terms of a financing agreement (Note 9), the Company maintains depository accounts with two banks in a lock-box arrangement. Deposits into these accounts are used to reduce the outstanding balance on the line of credit as soon as the respective bank allows the funds to be transferred to the financing company. At January 30, 2016 and January 31, 2015, the combined balance in these accounts were $5,939 and $5,987, respectively. Accordingly, these amounts have been classified as a reduction in the line of credit as if the transfers had occurred on January 30, 2016 and January 31, 2015, respectively. Accounts Receivable The Company offers credit terms on the sale of products to certain government and corporate retail customers and requires no collateral from these customers. The Company performs ongoing credit evaluations of its customers’ financial condition and maintains an allowance for doubtful accounts receivable based upon historical experience and a specific review of accounts receivable at the end of each period. Actual bad debts may differ from these estimates and the difference could be significant. At January 30, 2016 and January 31, 2015, the allowance for doubtful accounts receivable totaled $0 and $113, respectively. The activity in the allowance for doubtful accounts was not significant for the fiscal years ended January 30, 2016, January 31, 2015 and February 1, 2014. Merchandise Inventories Merchandise inventories are stated at the lower of cost or market. Cost is determined using the weighted average cost method. The Company estimates a provision for inventory shrinkage based on its historical inventory accuracy rates as determined by periodic cycle counts. The allowance for damaged goods from returns is based upon historical experience. The Company also adjusts inventory for obsolete or slow moving inventory based on inventory productivity reports and by specific identification of slow moving or obsolete inventory. The inventory reserves for shrinkage, damaged, or obsolescence totaled $4,306 and $4,089 at January 30, 2016 and January 31, 2015, respectively. Property and Equipment Property and equipment are recorded at cost. Leasehold improvements primarily include the cost of improvements funded by landlord incentives or allowances. Maintenance, repairs, minor renewals, and betterments are expensed as incurred. Major renewals and betterments are capitalized. Upon retirement or disposal of assets, the cost and accumulated depreciation and amortization are eliminated from the respective accounts and the related gains or losses are credited or charged to earnings. Depreciation and amortization of property and equipment is computed using the straight-line method over the estimated useful lives of the related assets. Leasehold improvements are amortized over the shorter of the useful lives of the improvements or the term of the lease. Furniture, fixtures, and equipment, are depreciated over useful lives ranging from 3 to 10 years. Impairment of Long-Lived Assets The Company reviews its long-lived assets with definite lives for impairment whenever events or changes in circumstances may indicate that the carrying value of an asset may not be recoverable. The Company uses an estimate of the future undiscounted net cash flows of the related asset or group of assets over their remaining useful lives in measuring whether the assets are recoverable. If the carrying amount of an asset exceeds its estimated future cash flows, an impairment charge is recognized for the amount by which the carrying amount exceeds the estimated fair value of the asset. Impairment of long-lived assets is assessed at the lowest levels for which there are identifiable cash flows that are independent of other groups of assets. Assets to be disposed of are reported at the lower of the carrying amount or fair value, less the estimated costs to sell. No impairment charge to long-lived assets was recorded during the fiscal years ended January 30, 2016, January 31, 2015 or February 1, 2014. Prepaid Expenses and Other Prepaid expenses and other primarily consists of prepaid expenses, vendor rebates receivable, vendor advertising receivables and miscellaneous deposits. Revenue Recognition Revenue is recognized for retail sales at the time of the sale in the store. The Company records a reserve for estimated product returns in each reporting period, based on its historical experience. The Company’s sales returns reserve was $799 and $716 at January 30, 2016, and January 31, 2015, respectively. Revenue for gift cards sold is deferred and recognized as the gift cards are redeemed for merchandise. Gift card breakage income is recognized based upon historical redemption patterns and represents the balance of gift cards for which the Company believes the likelihood of redemption by the customer is remote. During the fiscal years ended January 30, 2016, January 31, 2015 and February 1, 2014, the Company recognized $846, $833 and $0 of gift card breakage income, respectively. This income is included in the accompanying consolidated statements of income as a reduction in selling, general, and administrative expenses (“SG&A”). In November of 2013, the Company launched a customer loyalty program. Under this program, the Company issues credits in the form of points to loyalty program members. The value of points earned by loyalty program members is included in accrued liabilities and recorded as a reduction of net sales at the time the points are earned. Loyalty breakage income is recognized based upon the balance of loyalty points that have expired after a dormancy period of 18 months. During the fiscal year ended January 30, 2016, the Company recognized $232 of loyalty breakage income. The Company did not recognize any loyalty breakage income for the fiscal year ended January 31, 2015. This income is included in the accompanying consolidated statements of income as an increase in net sales. Customer deposits on items placed in layaway are recorded as a liability. Revenue is recognized on layaway transactions at the point where the customer takes possession of the merchandise. These liabilities are recorded as unearned revenue in accrued expenses in the consolidated balance sheets. Sales taxes collected from customers and remitted to governmental authorities are accounted for on a net basis and, therefore, are excluded from net sales in the consolidated statements of income. Cost of Goods Sold Cost of goods sold primarily consists of merchandise acquisition costs, including freight-in costs, shipping costs, terms discounts received from the vendor and vendor allowances and rebates associated directly with merchandise. Vendor allowances include allowances and rebates received from vendors. The Company records an estimate of earned allowances based on purchase volumes. These funds are determined for each fiscal year, and the majority is based on various quantitative contract terms. Amounts expected to be received from vendors relating to purchase of merchandise inventories are recognized as a reduction of cost of goods sold as the merchandise is sold. Historical program results and current purchase volumes are reviewed when establishing the estimate for earned allowances. Shipping and Handling Fees and Costs All shipping and handling fees billed to customers are recorded as a component of net sales. All costs incurred related to the shipping and handling of products are recorded in cost of sales. Vendor Allowances Vendor allowances include price allowances, volume rebates, store opening costs reimbursements, marketing participation and advertising reimbursements received from vendors under the terms of specific arrangements with certain vendors. Vendor allowances related to merchandise are recognized as a reduction of the costs of merchandise as sold. Vendor reimbursements of costs are recorded as a reduction to expense in the period the related cost is incurred based on actual costs incurred. Any cost reimbursements exceeding expenses incurred are recognized as a reduction of the cost of merchandise sold. Volume allowances may be estimated based on historical purchases and estimates of projected purchases. Tenant Allowances The Company enters into various types of lease agreements in the operation of its stores, including remodel and build-to-suit arrangements. Under any type of lease agreement, the Company may receive reimbursement from a landlord for some of the costs related to occupancy or tenant improvements per lease provisions. These reimbursements may be referred to as tenant allowances or landlord reimbursements ("tenant allowances"). Reimbursement from a landlord for occupancy or tenant improvements is treated differently depending on the type of arrangement. Under most of the Company’s lease agreements, tenant allowances are included within deferred rent on the accompanying 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 rent. In lease agreements where the Company is the deemed owner of the building during the construction period, a deemed sale-leaseback of the building occurs when construction is complete and the lease term begins. Under these lease agreements, as the tenant allowances are received, the value of the Company’s construction-in-progress or leasehold improvements is reduced accordingly. The deemed sale-leaseback transactions are included in cash flows from investing activities. Health Insurance The Company maintains for its employees a partially self-funded health insurance plan. The Company maintains stop-loss insurance through an insurance company with a $100 per person deductible and aggregate claims limit above a predetermined threshold. The Company is under contract . with this insurance company through December 2016. The Company intends to maintain this plan indefinitely. However, the plan may be terminated, modified, suspended, or discontinued at any time for any reason specified by the Company. The Company has established reserve amounts based upon claims history and estimates of claims that have been incurred but not reported (“IBNR”). As of January 30, 2016 and January 31, 2015, the Company estimated the IBNR to be $980 and $811, respectively. Actual claims may differ from the estimate and such difference could be significant. These reserves are included in accrued expenses in the accompanying consolidated balance sheets. Workers Compensation Insurance Effective November 1, 2014, the Company maintains for its employees a high-deductible workers compensation plan. The Company maintains stop-loss insurance through an insurance company with a $150 per claim deductible and aggregate claims limit above a predetermined threshold. The Company intends to maintain this plan indefinitely. However, the plan may be terminated, modified, suspended, or discontinued at any time for any reason specified by the Company. Prior to November 1, 2014, we operated under a guaranteed cost insurance program. The Company has established reserve amounts based upon claims history and estimates of IBNR. As of January 30, 2016 and January 31, 2015, the Company estimated the IBNR to be $527 and $107, respectively, related to the workers compensation plan. Actual claims may differ from the estimate and such difference could be significant. These reserves are included in accrued expenses in the accompanying consolidated balance sheets. Operating Leases and Deferred Rent The Company has various operating lease commitments on its store locations. Certain leases contain rent escalation clauses that require higher rental payments in later years. Leases may also contain rent holidays, or free rents, during the lease term. Rent expense is recognized on a straight-line basis over the lease term. Rent expense in excess of rental payments is recorded as deferred rent on the accompanying consolidated balance sheets. Advertising Costs for newspaper, television, radio, and other advertising are expensed in the period in which the advertising occurs. The Company participates in various advertising and marketing cooperative programs with its vendors, who, under these programs, reimburse the Company for certain costs incurred. Payments received under these cooperative programs are recorded as a decrease to expense in the period that the advertising occurred. For the fiscal years ended January 30, 2016, January 31, 2015 and February 1, 2014, net advertising expenses totaled $6,634, $4,629 and $4,685, respectively. These amounts are included in selling, general and administrative expenses in the accompanying consolidated statements of income. Stock-Based Compensation Compensation expense is estimated based on grant date fair value on a straight-line basis over the requisite service or offering period. Costs associated with awards are included in compensation expense as a component of selling, general, and administrative expenses. Income Taxes The Company recognizes a deferred income tax liability or deferred income tax asset for the future tax consequences attributable to differences between the financial statement basis of existing assets and liabilities and their respective tax basis. Deferred income tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. A valuation allowance is provided against deferred income tax assets when it is more likely than not that all or some portion of the deferred income tax assets will not be realized. 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 tax authorities, based on the technical merits of the position. Interest and potential penalties are accrued related to unrecognized tax benefits in the provision for income taxes. Fair Value of Financial Instruments The carrying amounts of financial instruments except for long-term debt approximate fair value because of the general short-term nature of these instruments. The carrying amounts of long-term variable rate debt approximate fair value as the terms are consistent with market terms for similar debt instruments. The carrying amount of the Company’s financial instruments approximates fair value as of January 30, 2016 and January 31, 2015. Earnings Per Share Basic earnings per share is calculated by dividing net income by the weighted-average shares of common stock outstanding, reduced by shares repurchased and held in treasury, during the period. Diluted earnings per share represents basic earnings per share adjusted to include the potentially dilutive effect of outstanding share option awards, nonvested share awards and nonvested share unit awards. Comprehensive Income The Company has no components of income that would require classification as other comprehensive income for the fiscal years ended January 30, 2016, January 31, 2015 or February 1, 2014. Recent Accounting Pronouncements Revenue from Contracts with Customers In May 2014, the FASB issued Accounting Standards Update (“ASU”) 2014-09 “Revenue from Contracts with Customers” (Topic 606) (“ASU 2014-09”). ASU 2014-09 is a comprehensive new revenue recognition model requiring a company to recognize revenue to depict the transfer of goods or services to a customer at an amount reflecting the consideration it expects to receive in exchange for those goods or services. In August 2015, the FASB issued ASU 2015-14, “Revenue from Contracts with Customers” (Topic 606): Deferral of the Effective Date (“ASU 2015-14). ASU 2015-14 simply formalized a one year deferral of the effective date of ASU 2014-09. As a result of these two standards updates, the Company expects that it will apply the new revenue standard to annual and interim reporting periods beginning after December 15, 2017. In adopting ASU 2014-09 and ASU 2015-14, companies may use either a full retrospective or a modified retrospective approach. Management is evaluating the provisions of ASU 2014-09 and ASU 2015-14 and has not yet selected a transition method nor have they determined what impact the adoption of ASU 2014-09 and ASU 2015-14 will have on the Company's financial position or results of operations. Simplifying the Presentation of Debt Issuance Costs In April 2015, the FASB issued ASU 2015-03, “Simplifying the Presentation of Debt Issuance Costs” (“ASU 2015-03”). ASU 2015-03 requires that debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability, consistent with debt discounts. ASU 2015-03 is effective for the first interim period for fiscal years beginning after December 15, 2015, with early adoption permitted for financial statements that have not been previously issued. Management does not expect the adoption of ASU 2015-03 to have any effect on the Company’s financial position or results of operations. Simplifying the Measurement of Inventory In July 2015, the FASB issued ASU 2015-11, “Simplifying the Measurement of Inventory” (“ASU 2015-11”). Under ASU 2015-11, inventory will be measured at the “lower of cost and net realizable value” and options that currently exist for “market value” will be eliminated. ASU 2015-11 defines net realizable value as the “estimated selling prices in the ordinary course of business, less reasonably predictable costs of completion, disposal, and transportation.” No other changes were made to the current guidance on inventory measurement. ASU 2015-11 is effective for interim and annual periods beginning after December 15, 2016. Early application is permitted and should be applied prospectively. Management is evaluating the provisions of this statement, including which period to adopt, and has not determined what impact the adoption of ASU 2015-11 will have on the Company's financial position or results of operations. Presentation and Subsequent Measurement of Debt Issuance Costs Association with Line of Credit Arrangements In August 2015, the FASB issued ASU 2015-15, “Presentation and Subsequent Measurement of Debt Issuance Costs Association with Line of Credit Arrangements” (“ASU 2015-15”). ASU 2015-15 indicates that the guidance in ASU 2015-03 did not address presentation or subsequent measurement of debt issuance costs related to line of credit arrangements. Given the absence of authoritative guidance within ASU 2015-03, the SEC staff has indicated that they would not object to an entity deferring and presenting debt issuance costs ratably over the term of the line of credit arrangement, regardless of whether there are any outstanding borrowings on the line of credit arrangement. Management does not expect the adoption of ASU 2015-15 to have any effect on the Company’s financial position or results of operations. Simplifying the Presentation of Deferred Taxes In November 2015, the FASB issued ASU 2015-17 “Balance Sheet Classification of Deferred Taxes” (Topic 740) (“ASU 2015-17”). ASU 2015-17 is intended to simplify the presentation of deferred income taxes and requires that deferred tax liabilities and assets be classified as noncurrent in the company’s consolidated balance sheets. ASU 2015-17 is required to be adopted for annual periods beginning after December 15, 2016, with early adoption permitted. The Company will adopt the provisions of ASU 2015-17 prospectively, with the first annual period of change effective January 31, 2016. Management expects that the adoption of ASU 2015-17 to have an effect on the presentation of the Company’s financial position but no effect on the Company’s results of operations. Lease Accounting In February 2016, the FASB issued ASU 2016-02, “Leases” (“ASU 2016-02”). The standard amends the existing accounting standards for lease accounting, including requiring lessees to recognize most leases on their balance sheets and making targeted changes to lessor accounting. ASU 2016-02 will be effective beginning in the first quarter of 2019. Early adoption of ASU 2016-02 is permitted. The new leases standard requires a modified retrospective transition approach for all leases existing at, or entered into after, the date of initial application, with an option to use certain transition relief. Management is currently evaluating the impact of adopting ASU 2016-02 on the Company’s consolidated financial statements. |
Supplemental Cash Flow Informat
Supplemental Cash Flow Information | 12 Months Ended |
Jan. 30, 2016 | |
Supplemental Cash Flow Information [Abstract] | |
Supplemental Cash Flow Information | (3) Supplemental Cash Flow Information The following table sets forth non-cash investing items for the years ended: Fiscal Years Ended January 30, January 31, February 1, 2016 2015 2014 Leasehold improvements acquired through tenant allowances $ 3,036 $ 311 $ — Purchases of property and equipment included in accounts payable 1,094 1,263 1,307 |
Initial Public Offering
Initial Public Offering | 12 Months Ended |
Jan. 30, 2016 | |
Equity [Abstract] | |
Initial Public Offering | (4) Initial Public Offering On April 23, 2014, the Company completed its initial public offering, pursuant to which it issued and sold 8,333 shares of common stock at a price to the public of $9.50 per share; included in this offering was the sale of 4,167 shares by affiliates of Seidler Equity Partners III, L.P. The total net proceeds raised by the Company were $70,299 after deducting underwriting discounts and commissions of $5,542 and other offering expenses of $3,326. Total net proceeds were used to make an unscheduled early payment on the term loan (Note 10). In connection with the initial public offering, all of the then-outstanding shares of restricted nonvoting common stock automatically converted into shares of common stock. On May 16, 2014, the underwriters of the Company’s initial public offering of common stock partially exercised the over-allotment option granted at the time of the initial public offering to purchase an additional 1,400 shares of common stock at the public offering price of $9.50 per share, less underwriting discounts and commissions, which consists of 350 shares sold by the Company and 1,050 shares sold by affiliates of Seidler Equity Partners III, L.P. The Company received, after deducting underwriting discounts and commissions and estimated offering expenses, approximately $3,100 of net proceeds. Substantially all of the net proceeds were used for the repayment of an additional amount outstanding under the Company’s term loans. |
Secondary Offering
Secondary Offering | 12 Months Ended |
Jan. 30, 2016 | |
Equity [Abstract] | |
Secondary Offering | (5) Secondary Offering On September 30, 2015, 6,250 shares of common stock were sold in a secondary offering by certain existing shareholders, including affiliates of Seidler Equity Partners III, L.P. On October 26, 2015, the underwriters of the secondary offering partially exercised the option granted at the time of the secondary offering to purchase an additional 649 shares of common stock at the secondary offering price of $12.25 per share, less underwriting discounts and commissions, which consists solely of shares sold by affiliates of Seidler Equity Partners III, L.P. The Company received no proceeds from the secondary offering or partial exercise of the option. Total expenses incurred related to the secondary offering and the exercise of the option was $727 and is recorded in selling, general, and administrative expenses in the accompanying statements of income. |
Property and Equipment
Property and Equipment | 12 Months Ended |
Jan. 30, 2016 | |
Property Plant And Equipment [Abstract] | |
Property and Equipment | (6) Property and Equipment Property and equipment as of January 30, 2016 and January 31, 2015 are as follows: January 30, January 31, 2016 2015 Furniture, fixtures, and equipment $ 41,833 $ 32,678 Leasehold improvements 45,179 34,398 Construction in progress 5,593 7,651 Total property and equipment, gross 92,605 74,727 Less accumulated depreciation and amortization (30,173 ) (20,410 ) Total property and equipment, net $ 62,432 $ 54,317 Depreciation expense was $9,763, $7,344 and $4,749 for the fiscal years ended January 30, 2016, January 31, 2015 and February 1, 2014, respectively. |
Definite Lived Intangible Asset
Definite Lived Intangible Asset | 12 Months Ended |
Jan. 30, 2016 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Definite Lived Intangible Assets | (7) Definite Lived Intangible Asset Intangible assets increased as a result of the non-compete agreement associated with the acquisition of certain assets and assumed liabilities of Wholesale Sports Outdoor Outfitters (“Wholesale Sports”) in March 2013. The following table summarizes the definite lived intangible assets: January 30, 2016 Amortization period Gross carrying amount Accumulated amortization Net carrying amount Amortizing intangible assets: Non-compete agreement 5 years $ 9,063 (5,140 ) 3,923 Total $ 9,063 (5,140 ) 3,923 January 31, 2015 Amortization period Gross carrying amount Accumulated amortization Net carrying amount Amortizing intangible assets: Non-compete agreement 5 years $ 9,063 (3,334 ) 5,729 Total $ 9,063 (3,334 ) 5,729 Amortization expense for definite lived intangible asset was $1,806 for the fiscal year ended January 30, 2016. Amortization expense for the next three years is $1,806 in fiscal year 2016, $1,806 in fiscal year 2017 and $311 in fiscal year 2018. |
Accrued Expenses and Other Liab
Accrued Expenses and Other Liabilities | 12 Months Ended |
Jan. 30, 2016 | |
Payables And Accruals [Abstract] | |
Accrued Expenses and Other Liabilities | (8) Accrued Expenses and Other Liabilities Accrued expenses and other liabilities consist of the following at January 30, 2016 and January 31, 2015: January 30, January 31, 2016 2015 Book overdraft $ 7,182 $ 8,305 Unearned revenue 14,787 11,663 Accrued payroll and related expenses 8,573 7,104 Sales and use tax payable 2,998 3,708 Litigation accrual — 4,000 Other 8,940 7,840 $ 42,480 $ 42,620 |
Revolving Line of Credit
Revolving Line of Credit | 12 Months Ended |
Jan. 30, 2016 | |
Line Of Credit Facility [Abstract] | |
Revolving Line of Credit | (9) Revolving Line of Credit The Company has a senior secured revolving credit facility (“Revolving Line of Credit”) with Wells Fargo Bank, National Association (“Wells Fargo”) that provides for borrowings in the aggregate amount of up to $135,000, subject to a borrowing base calculation. All borrowings under the revolving credit facility are limited to a borrowing base equal to roughly (1) the lesser of (a) 90% of the net orderly liquidation value of our eligible inventory and (b) 75% of the lower of cost or market value of our eligible inventory, plus (2) 90% of the eligible accounts receivable, less certain reserves against outstanding gift cards, layaway deposits and amounts outstanding under commercial letters of credit, each term as defined in the credit agreement. Each of the subsidiaries of the Company is a borrower under the revolving credit facility, and all obligations under the revolving credit facility are guaranteed by the Company. All of the Company’s obligations under the revolving credit facility are secured by a lien on substantially all of the Company’s tangible and intangible assets and the tangible and intangible assets of all of the Company’s subsidiaries, including a pledge of all capital stock of each of the Company’s subsidiaries. The lien securing the obligations under the revolving credit facility is a first priority lien as to certain liquid assets, including cash, accounts receivable, deposit accounts and inventory. In addition, the credit agreement contains provisions that enable Wells Fargo to require the Company to maintain a lock-box for the collection of all receipts. As of January 30, 2016 and January 31, 2015, the Company had $31,202 and $47,886, respectively, in outstanding revolving loans under the Revolving Line of Credit. Amounts outstanding are offset on the consolidated balance sheets by amounts in depository accounts under lock-box arrangements, which were $5,939 and $5,987 as of January 30, 2016 and January 31, 2015, respectively. As of January 30, 2016, the Company had stand-by commercial letters of credit of $750 under the terms of the Revolving Line of Credit. Borrowings under the revolving credit facility bear interest based on either, at the Company’s option, the base rate or LIBOR, in each case plus an applicable margin. The base rate is the higher of (1) Wells Fargo’s prime rate, (2) the federal funds rate (as defined in the credit agreement) plus 0.50% and (3) the one-month LIBOR (as defined in the credit agreement) plus 1.00%. The applicable margin for loans under the revolving credit facility, which varies based on the average daily availability, ranges from 0.50% to 1.0% per year for base rate loans and from 1.50% to 2.00% per year for LIBOR loans. The weighted average interest rate on the amount outstanding under the revolving credit facility as of January 30, 2016 was 2.16%. The Company may be required to make mandatory prepayments under the revolving credit facility in the event of a disposition of certain property or assets, in the event of receipt of certain insurance or condemnation proceeds, upon the issuance of certain debt or equity securities, upon the incurrence of certain indebtedness for borrowed money or upon the receipt of certain payments not received in the ordinary course of business. The Revolving Line of Credit contains customary affirmative and negative covenants, including covenants that limit the Company’s ability to incur, create or assume certain indebtedness, to create, incur or assume certain liens, to make certain investments, to make sales, transfers and dispositions of certain property and to undergo certain fundamental changes, including certain mergers, liquidations and consolidations. The Revolving Line of Credit also requires us to maintain a minimum availability at all times of not less than 10% of the gross borrowing base, and in any event, not less than $5,000. The revolving credit facility also contains customary events of default. The Revolving Line of Credit matures on December 3, 2019. |
Long-Term Debt
Long-Term Debt | 12 Months Ended |
Jan. 30, 2016 | |
Debt Disclosure [Abstract] | |
Long-Term Debt | (10) Long-Term Debt Long-term debt consisted of the following as of January 30, 2016 and January 31, 2015: January 30, January 31, 2016 2015 Term loan $ 158,000 $ 159,600 Less discount (1,288 ) (1,554 ) 156,712 158,046 Less current portion, net of discount (9,033 ) (1,333 ) Long-term portion $ 147,679 $ 156,713 Term Loan The Company has a $160,000 senior secured term loan facility (“Term Loan”) with a financial institution. The Term Loan was issued at a price of 99% of the aggregate principal amount and has a maturity date of December 3, 2020. All of Sportsman’s Warehouse, Inc.’s obligations under the Term Loan are guaranteed by Holdings, Minnesota Merchandising Corporation, a wholly owned subsidiary of Holdings, and each of Sportsman’s Warehouse, Inc.’s subsidiaries. The Term Loan is secured by a lien on substantially all of the Company’s tangible and intangible assets. The lien securing the obligations under the Term Loan is a first priority lien as to certain non-liquid assets, including equipment, intellectual property, proceeds of assets sales and other personal property. The Term Loan requires quarterly principal payments of $400 payable on the last business day of each fiscal quarter up to and including October 30, 2020. A final installment payment consisting of the remaining unpaid balance is due on December 3, 2020. Sportsman’s Warehouse, Inc. may be required to make mandatory prepayments on the Term Loan in the event of, among other things, certain asset sales, the receipt of payment in respect of certain insurance claims or the issuance or incurrence of certain indebtedness. Sportsman’s Warehouse, Inc. may also be required to make mandatory prepayments based on any excess cash flows as defined in the agreement for the Term Loan. Due to the Company’s profitability during fiscal year 2015, the Company is required to make a mandatory prepayment of $7,700 by May 6, 2016, which will reduce the amount outstanding under the term loan. The Term Loan bears interest at a rate per annum equal to the one-, two-, three-, or six-month LIBOR (or, the nine- or 12-month LIBOR), as defined in the term loan agreement, at the Company’s election, which cannot be less than 1.25%, plus an applicable margin of 6.00%. The Term Loan contain customary affirmative and negative covenants, including covenants that limit the Company’s ability to incur, create or assume certain indebtedness, to incur or assume certain liens, to purchase, hold or acquire certain investments, to declare or make certain dividends and distributions and to engage in certain mergers, consolidations and asset sales. The Term Loan also requires the Company to comply with specified financial covenants, including a minimum interest coverage ratio on a trailing twelve month basis and a maximum total net leverage ratio. The Term Loan also contains customary events of default. As of January 30, 2016, the Term Loan had $156,712 outstanding, net of an unamortized discount of $1,288. During fiscal year 2015, Company recognized $266 of non-cash interest expense with respect to the amortization of this discount. During fiscal year 2014, the Company recognized $2,739 of non-cash interest expense with respect to the amortization of the discount on the prior term loan. Restricted Net Assets The provisions of the Term Loan and the Revolving Line of Credit restrict all of the net assets of the Company’s consolidated subsidiaries, which constitute all of the net assets on the Company’s consolidated balance sheet as of January 30, 2016, from being used to pay any dividends without prior written consent from the financial institutions party to the Company’s Term Loan and Revolving Line of Credit. |
Sale Leaseback Transactions
Sale Leaseback Transactions | 12 Months Ended |
Jan. 30, 2016 | |
Leases [Abstract] | |
Sale Leaseback Transactions | (11) Sale Leaseback Transactions During the fiscal year ended January 30, 2016, the Company completed a sale-leaseback of the land and buildings for two store locations. The Company received gross cash proceeds of $12,068, exclusive of transaction costs of approximately $277. The carrying value of the properties sold were $11,964. The Company realized a loss on this transaction of $173, which has been recorded in selling, general, and administrative expenses in the accompanying statements of income. The current and long-term portions of the deferred loss are included in current portion of deferred rent and deferred rent, noncurrent, respectively, in the consolidated balance sheet as of January 20, 2016. Amortization of the deferred loss is reflected as an increase to rent expense and is included within selling, general, and administrative expenses in the consolidated statement of income for the year ended January 30, 2016. During the fiscal year ended January 30, 2016, the Company completed a deemed sale-leaseback of the land and buildings for three store locations. In each of the related lease agreements for these store locations, the Company was required to pay all construction costs directly with the right of reimbursement up to a pre-determined tenant allowance. Also, the Company indemnified the landlords with respect to costs arising from third-party damage arising from the acts or omission of employees, sub-lessees, assignees, agent, and/or contractors arising during construction. As a result, and, based on appropriate accounting guidance, the Company was deemed the owner of the land and building during the construction period. The deemed sale occurred when the construction of the assets were complete and the lease terms began. At the time of sale, any assets, up to the value of each pre-determined tenant allowance, were written off the Company’s books, and any remaining amounts were considered leasehold improvements. The total value of tenant allowances received during fiscal year 2015 was $5,652. |
Common Stock
Common Stock | 12 Months Ended |
Jan. 30, 2016 | |
Equity [Abstract] | |
Common Stock | (12) Common Stock Holders of common stock are entitled to one vote per share, and to receive dividends and, upon liquidation or dissolution, are entitled to receive all assets available for distribution to stockholders on a proportional basis with the restricted nonvoting common stockholders. The holders have no preemptive or other subscription rights, and there are no redemption or sinking fund provisions with respect to such shares. |
Earnings Per Share
Earnings Per Share | 12 Months Ended |
Jan. 30, 2016 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | (13) Earnings Per Share Basic earnings per share is calculated by dividing net income by the weighted-average number of shares of common stock outstanding, reduced by the number of shares repurchased and held in treasury, during the period. Diluted earnings per share represents basic earnings per share adjusted to include the potentially dilutive effect of outstanding share option awards, nonvested share awards and nonvested share unit awards. The following table sets forth the computation of basic and diluted earnings per common share: Fiscal Year Ended January 30, January 31, February 1, 2016 2015 2014 Net income $ 27,771 $ 13,784 $ 21,750 Weighted-average shares of common stock outstanding: Basic 41,966 39,961 33,170 Dilutive effect of common stock equivalents 368 180 15 Diluted 42,334 40,141 33,185 Basic earnings per share $ 0.66 $ 0.34 $ 0.66 Diluted earnings per share $ 0.66 $ 0.34 $ 0.66 |
Stock-Based Compensation
Stock-Based Compensation | 12 Months Ended |
Jan. 30, 2016 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Stock-Based Compensation | (14) Stock-Based Compensation Stock-Based Compensation T he Company recognized total stock-based compensation expense of $2,257, $3,293, and $365 during fiscal years 2015, 2014, and 2013, respectively. Compensation expense related to the Company's stock-based payment awards is recognized in selling, general, and administrative expenses in the consolidated statements of income. Employee Stock Plans As of January 30, 2016, the number of shares available for awards under the 2013 Performance Incentive Plan (the “2013 Plan”) was 1,728,995. As of January 30, 2016, there were 598,697 awards outstanding under the 2013 Plan. Nonvested Stock Unit Awards During fiscal year 2015, the Company issued 27,668 nonvested stock units to employees or independent members of the Board of Directors at a weighted average grant date fair value of $11.28 per share. The nonvested stock units issued to employees vest evenly over four years on the grant date anniversary. The nonvested stock units issued to independent members of the Board of Directors vest evenly over 12 months on the grant date anniversary. During fiscal year 2014, the Company issued 5,000 nonvested stock units to employees at a weighted average grant date fair value of $7.04 per share. The nonvested stock units vest evenly over four years on the grant date anniversary. As of January 30, 2016 and January 31, 2015, respectively, the Company had $4,279 and $6,268 remaining in unrecognized compensation costs related to nonvested restricted stock units. The weighted average grant date fair value of the outstanding shares were $7.15 and $7.06, respectively. The expected net tax benefit related to the unrecognized compensation costs were $1,647 and $2,413, respectively. The Company had no net share settlements in fiscal year 2015 or 2014. The following table sets forth the rollforward of outstanding restricted stock units: Weigthed average grant-date Shares fair value Balance at January 31, 2015 887,853 $ 7.06 Grants 27,668 11.28 Forfeitures 7,892 7.06 Vested 308,932 7.27 Balance at January 30, 2016 598,697 $ 7.15 Weigthed average grant-date Shares fair value Balance at February 1, 2014 1,193,747 $ 7.06 Grants 5,000 7.04 Forfeitures 13,493 7.06 Vested 297,401 7.06 Balance at January 31, 2015 887,853 $ 7.06 |
Employee Stock Purchase Plan
Employee Stock Purchase Plan | 12 Months Ended |
Jan. 30, 2016 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Employee Stock Purchase Plan | (15) Employee Stock Purchase Plan In June 2015, the Company’s stockholders approved the Sportsman’s Warehouse Holdings, Inc. Employee Stock Purchase Plan (“ESPP”), which provides for the granting of up to 800 shares of the Company’s common stock to eligible employees. The ESPP period is semi-annual and allows participants to purchase the Company’s stock at 85% of the lower of (i) the market value per share of the common stock on the first day of the offering period or (ii) the market value per share of the common stock on the purchase date. The first plan period began on January 1, 2016. Stock-based compensation expense related to the ESPP in fiscal year 2015 was $15. The Company uses the Black-Scholes model to estimate the fair value of shares to be issued as of the grant date using the following weighted average assumptions: Fiscal Year Ended January 30, 2016 Risk-free interest rate 0.49 % Expected life (in years) 0.5 Expected volatility 36.1 % Dividend yield — |
Income Taxes
Income Taxes | 12 Months Ended |
Jan. 30, 2016 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | (16) Income Taxes For the fiscal years ended January 30, 2016, January 31, 2015 and February 1, 2014, the income tax provision consisted of the following: January 30, January 31, February 1, 2016 2015 2014 Current: Federal $ 12,341 $ 7,482 $ 9,421 State 1,982 1,192 1,248 Total current 14,323 8,674 10,669 Deferred: Federal 2,746 (103 ) 1,830 State 316 57 339 Total deferred 3,062 (46 ) 2,169 Total income tax provision $ 17,385 $ 8,628 $ 12,838 The provision for income taxes differs from the amounts computed by applying the federal statutory rate as follows for the following periods: January 30, January 31, February 1, 2016 2015 2014 Federal statutory rate 35.0 % 35.0 % 35.0 % State tax, net of federal benefit 3.5 3.5 3.6 Permanent items 0.2 0.2 0.3 Other items (0.2) (0.2) (1.8) Effective income tax rate 38.5 % 38.5 % 37.1 % The tax effects of temporary differences that give rise to significant portions of the deferred tax assets and deferred tax liabilities at January 30, 2016 and January 31, 2015, respectively, are presented below: January 30, January 31, 2016 2015 Deferred tax assets: Accrued liabilities $ 468 $ 444 Allowance for doubtful accounts — 44 Deferred rent 12,377 11,932 Intangible asset 1,293 — Inventories 2,335 2,189 Litigation accrual — 1,540 Net operating loss — 51 Sales return reserve 308 276 Stock-based compensation 634 600 Total gross deferred tax assets $ 17,415 $ 17,076 Deferred tax liabilities: Depreciation $ (11,407 ) $ (8,125 ) Prepaid expenses (744 ) (625 ) Total gross deferred tax liabilities $ (12,151 ) $ (8,750 ) Net deferred tax asset $ 5,264 $ 8,326 As of January 30, 2016 and January 31, 2015, the components of the current and long-term deferred income taxes are as follows: January 30, January 31, 2016 2015 Current deferred tax assets, net: Accrued liabilities $ 468 $ 444 Allowance for doubtful accounts - 44 Inventories 2,335 2,189 Prepaid expenses (744 ) (625 ) Sales return reserve 308 276 Stock-based compensation 634 600 Current deferred tax assets, net $ 3,001 $ 2,928 Non-current deferred tax assets, net: Deferred rent $ 12,377 $ 11,932 Depreciation (11,407 ) (8,125 ) Intangible asset 1,293 — Litigation accrual — 1,540 Net operating loss — 51 Non-current deferred tax assets, net $ 2,263 $ 5,398 Deferred tax assets have resulted primarily from the Company’s future deductible temporary differences. In assessing the realizability of deferred tax assets, management considers whether it is more likely than not that some portion or all of the deferred tax asset will not be realized. The Company’s ability to realize its deferred tax assets depends upon the generation of sufficient future taxable income to allow for the utilization of its deductible temporary differences. Management evaluates the realizability of the deferred tax assets and the need for additional valuation allowances annually. At January 30, 2016, based on current facts and circumstances, management believes that it is more likely than not that the Company will realize benefit for its gross deferred tax assets. As of January 30, 2016, the Company had no unrecognized tax benefits. The Company does not anticipate that unrecognized tax benefits will significantly increase or decrease within 12 months of the reporting date. There are no income tax returns that are currently under examination. Federal and state tax years that remain subject to examination are periods ended January 29, 2011 through January 31, 2015. At January 31, 2015, the Company had state net operating loss carry-forwards of approximately $1,387, which were used to offset taxable income in fiscal year 2015. The Company’s policy is to accrue interest expense, and penalties as appropriate, on estimated unrecognized tax benefits as a charge to interest expense in the consolidated statements of income. During fiscal year 2014, the Company accrued interest and penalties of $14. No interest or penalties were accrued for fiscal year 2015 or fiscal year 2013. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Jan. 30, 2016 | |
Commitments And Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | (17) Commitments and Contingencies Operating Leases The Company leases its retail store, office space, and warehouse locations under non-cancelable operating leases. Certain of these leases include tenant allowances that are amortized over the life of the lease. In 2015, 2014 and 2013, the Company received tenant allowances of $5,652, $5,129 and $200, respectively. The Company expects to receive $16,705 in tenant allowances under leases during fiscal year 2016. Certain leases require the Company to pay contingent rental amounts based on a percentage of sales, in addition to real estate taxes, insurance, maintenance and other operating expenses associated with the leased premises. These agreements expire at various dates through July 2030 and generally contain three, five-year renewal options. Rent expense under these leases totaled $33,209, $30,520 and $27,118 for the fiscal years ended January 30, 2016, January 31, 2015 and February 1, 2014, respectively. Future minimum lease payments for non-cancelable operating leases by fiscal year, as of January 30, 2016 are as follows: Fiscal Year: 2016 36,840 2017 37,869 2018 37,408 2019 35,076 2020 33,914 Thereafter 114,597 295,704 Legal Matters The Company is involved in various legal matters generally incidental to its business. After discussion with legal counsel, the Company believes that the disposition of these matters will not have a material impact on its consolidated financial condition, liquidity, or results of operations. On March 12, 2014, the Company was added as a defendant to a pending consolidated action filed in the United States District Court, Western District of Washington, captioned as Lacey Market Place Associates II, LLC, et al. v. United Farmers of Alberta Co-Operative Limited, et al., Case No. 2:13-cv-00383-JLR against United Farmers of Alberta Co-Operative Limited (the seller of Wholesale Sports), Wholesale Sports, Alamo Group, LLC and Donald F. Gaube and spouse. The amended complaint was filed by the landlords of two stores that the Company did not assume in the Company’s purchase of assets from Wholesale Sports. Such stores were formerly operated by Wholesale Sports in Skagit and Thurston Counties in Washington. The amended complaint alleged breach of lease, breach of collateral assignment, misrepresentation, intentional interference with contract, piercing the corporate veil and violation of Washington’s Fraudulent Transfer Act. The Company was named as a co-defendant with respect to the intentional interference with contract and fraudulent conveyance claims. The amended complaint sought against the Company and all defendants unspecified money damages, declaratory relief and attorneys’ fees and costs. On January 28, 2015, the court in the Lacey Marketplace action granted in part and denied in part the Company’s motion for summary judgment and dismissed the intentional interference claim against the Company, but declined to dismiss the fraudulent transfer claim. Trial in the Lacey Marketplace action began March 2, 2015 and concluded March 6, 2015. On March 9, 2015, the jury in the trial awarded $11,887 against the defendants to the action, including the Company. The Company reviewed the decision and accrued $4,000 in its results for the fiscal year ended January 31, 2015 related to this matter. The Company strongly disagreed with the jury’s verdict and filed post-trial motions seeking to have the verdict set aside. On July 30, 2015, the court granted the Company’s motion for judgment as a matter of law. Both United Farmers of Alberta Co-Operative Limited, a co-defendant, and the plaintiff have appealed the court’s summary judgment ruling against the tortious interference claim, and the July 30, 2015 ruling to the appellate court and the appeal is currently in process. Based on the court’s most recent judgment in favor of the Company, the Company determined that the likelihood of loss in this case is not probable, and, as such, the Company reversed the previous accrual of $4,000 in its results for the fiscal year ended January 30, 2016. The reversal of the $4,000 accrual is recorded in selling, general, and administrative expenses in the accompanying statements of income. |
Related Party Transactions
Related Party Transactions | 12 Months Ended |
Jan. 30, 2016 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | (18) Related-Party Transactions On August 14, 2009, the Company entered into a reimbursement agreement with Seidler Equity Partners III, L.P. Under the terms of this agreement, the Company agreed to reimburse Seidler Equity Partners III, L.P. for various out-of-pocket costs and expenses related to the Company up to a maximum of $150 annually. During the fiscal years ended January 30, 2016, January 31, 2015, and February 1, 2014, the Company made payments of $12, $35 and $18, respectively, under this agreement. At January 30, 2016 and January 31, 2015, there were no amounts payable under the terms of this agreement. |
Retirement Plan
Retirement Plan | 12 Months Ended |
Jan. 30, 2016 | |
Compensation And Retirement Disclosure [Abstract] | |
Retirement Plan | (19) Retirement Plan The Company sponsors a profit sharing plan (the “Plan”) for which Company contributions are based upon wages paid. As approved by the Board of Directors, the Company makes discretionary contributions to the Plan at rates determined by management. The Company made contributions of $282, $276 and $234 for the fiscal years ended January 30, 2016, January 31, 2015, and February 1, 2014, respectively. |
Summary of Significant Accoun26
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Jan. 30, 2016 | |
Accounting Policies [Abstract] | |
Principles of Consolidation | Principles of Consolidation The consolidated financial statements of the Company have been prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) and include the accounts of its four wholly owned subsidiaries, Sportsman’s Warehouse, Inc. (“Sportsman’s Warehouse”), Pacific Flyway Wholesale, LLC (“Pacific Flyway”), Sportsman’s Warehouse Southwest, Inc., and Minnesota Merchandising Corporation. All intercompany transactions and accounts have been eliminated in consolidation. |
Fiscal Year | Fiscal Year The Company operates using a 52/53 week fiscal year ending on the Saturday closest to January 31. Fiscal years 2015, 2014 and 2013 ended on January 30, 2016, January 31, 2015 and February 1, 2014, respectively. Fiscal years 2013, 2014, and 2015 contain 52 weeks of operations. |
Seasonality | Seasonality The Company’s business is generally seasonal, with a significant portion of total sales occurring during the third and fourth quarters of the fiscal year. |
Use of Estimates in the Preparation of Consolidated Financial Statements | Use of Estimates in the Preparation of Consolidated Financial Statements The preparation of consolidated financial statements in conformity with 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 consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. |
Segment Reporting | Segment Reporting The Company operates solely as a sporting goods retailer whose Chief Operating Decision Maker (“CODM”) is the Chief Executive Officer. The CODM reviews financial information presented on a consolidated and individual store and cost center basis, for purposes of allocating resources and evaluating financial performance. The Company’s stores typically have similar square footage and offer essentially the same general product mix. The Company’s core customer demographic remains similar chainwide, as does the Company’s process for the procurement and marketing of its product mix. Furthermore, the Company distributes its product mix chainwide from a single distribution center. Given that the stores have the same economic characteristics, the individual stores are aggregated into one single operating and reportable segment. |
Cash and Cash Equivalents | Cash and Cash Equivalents The Company considers cash on hand in stores and highly liquid investments with an initial maturity of three months or less as cash and cash equivalents. Checks issued pending bank clearance that result in overdraft balances for accounting purposes are classified as accrued expenses in the accompanying consolidated balance sheets. In accordance with the terms of a financing agreement (Note 9), the Company maintains depository accounts with two banks in a lock-box arrangement. Deposits into these accounts are used to reduce the outstanding balance on the line of credit as soon as the respective bank allows the funds to be transferred to the financing company. At January 30, 2016 and January 31, 2015, the combined balance in these accounts were $5,939 and $5,987, respectively. Accordingly, these amounts have been classified as a reduction in the line of credit as if the transfers had occurred on January 30, 2016 and January 31, 2015, respectively. |
Accounts Receivable | Accounts Receivable The Company offers credit terms on the sale of products to certain government and corporate retail customers and requires no collateral from these customers. The Company performs ongoing credit evaluations of its customers’ financial condition and maintains an allowance for doubtful accounts receivable based upon historical experience and a specific review of accounts receivable at the end of each period. Actual bad debts may differ from these estimates and the difference could be significant. At January 30, 2016 and January 31, 2015, the allowance for doubtful accounts receivable totaled $0 and $113, respectively. The activity in the allowance for doubtful accounts was not significant for the fiscal years ended January 30, 2016, January 31, 2015 and February 1, 2014. |
Merchandise Inventories | Merchandise Inventories Merchandise inventories are stated at the lower of cost or market. Cost is determined using the weighted average cost method. The Company estimates a provision for inventory shrinkage based on its historical inventory accuracy rates as determined by periodic cycle counts. The allowance for damaged goods from returns is based upon historical experience. The Company also adjusts inventory for obsolete or slow moving inventory based on inventory productivity reports and by specific identification of slow moving or obsolete inventory. The inventory reserves for shrinkage, damaged, or obsolescence totaled $4,306 and $4,089 at January 30, 2016 and January 31, 2015, respectively. |
Property and Equipment | Property and Equipment Property and equipment are recorded at cost. Leasehold improvements primarily include the cost of improvements funded by landlord incentives or allowances. Maintenance, repairs, minor renewals, and betterments are expensed as incurred. Major renewals and betterments are capitalized. Upon retirement or disposal of assets, the cost and accumulated depreciation and amortization are eliminated from the respective accounts and the related gains or losses are credited or charged to earnings. Depreciation and amortization of property and equipment is computed using the straight-line method over the estimated useful lives of the related assets. Leasehold improvements are amortized over the shorter of the useful lives of the improvements or the term of the lease. Furniture, fixtures, and equipment, are depreciated over useful lives ranging from 3 to 10 years. |
Impairment of Long-Lived Assets | Impairment of Long-Lived Assets The Company reviews its long-lived assets with definite lives for impairment whenever events or changes in circumstances may indicate that the carrying value of an asset may not be recoverable. The Company uses an estimate of the future undiscounted net cash flows of the related asset or group of assets over their remaining useful lives in measuring whether the assets are recoverable. If the carrying amount of an asset exceeds its estimated future cash flows, an impairment charge is recognized for the amount by which the carrying amount exceeds the estimated fair value of the asset. Impairment of long-lived assets is assessed at the lowest levels for which there are identifiable cash flows that are independent of other groups of assets. Assets to be disposed of are reported at the lower of the carrying amount or fair value, less the estimated costs to sell. No impairment charge to long-lived assets was recorded during the fiscal years ended January 30, 2016, January 31, 2015 or February 1, 2014. |
Prepaid Expenses and Other | Prepaid Expenses and Other Prepaid expenses and other primarily consists of prepaid expenses, vendor rebates receivable, vendor advertising receivables and miscellaneous deposits. |
Revenue Recognition | Revenue Recognition Revenue is recognized for retail sales at the time of the sale in the store. The Company records a reserve for estimated product returns in each reporting period, based on its historical experience. The Company’s sales returns reserve was $799 and $716 at January 30, 2016, and January 31, 2015, respectively. Revenue for gift cards sold is deferred and recognized as the gift cards are redeemed for merchandise. Gift card breakage income is recognized based upon historical redemption patterns and represents the balance of gift cards for which the Company believes the likelihood of redemption by the customer is remote. During the fiscal years ended January 30, 2016, January 31, 2015 and February 1, 2014, the Company recognized $846, $833 and $0 of gift card breakage income, respectively. This income is included in the accompanying consolidated statements of income as a reduction in selling, general, and administrative expenses (“SG&A”). In November of 2013, the Company launched a customer loyalty program. Under this program, the Company issues credits in the form of points to loyalty program members. The value of points earned by loyalty program members is included in accrued liabilities and recorded as a reduction of net sales at the time the points are earned. Loyalty breakage income is recognized based upon the balance of loyalty points that have expired after a dormancy period of 18 months. During the fiscal year ended January 30, 2016, the Company recognized $232 of loyalty breakage income. The Company did not recognize any loyalty breakage income for the fiscal year ended January 31, 2015. This income is included in the accompanying consolidated statements of income as an increase in net sales. Customer deposits on items placed in layaway are recorded as a liability. Revenue is recognized on layaway transactions at the point where the customer takes possession of the merchandise. These liabilities are recorded as unearned revenue in accrued expenses in the consolidated balance sheets. Sales taxes collected from customers and remitted to governmental authorities are accounted for on a net basis and, therefore, are excluded from net sales in the consolidated statements of income. |
Cost of Goods Sold | Cost of Goods Sold Cost of goods sold primarily consists of merchandise acquisition costs, including freight-in costs, shipping costs, terms discounts received from the vendor and vendor allowances and rebates associated directly with merchandise. Vendor allowances include allowances and rebates received from vendors. The Company records an estimate of earned allowances based on purchase volumes. These funds are determined for each fiscal year, and the majority is based on various quantitative contract terms. Amounts expected to be received from vendors relating to purchase of merchandise inventories are recognized as a reduction of cost of goods sold as the merchandise is sold. Historical program results and current purchase volumes are reviewed when establishing the estimate for earned allowances. |
Shipping and Handling Fees and Costs | Shipping and Handling Fees and Costs All shipping and handling fees billed to customers are recorded as a component of net sales. All costs incurred related to the shipping and handling of products are recorded in cost of sales. |
Vendor Allowances | Vendor Allowances Vendor allowances include price allowances, volume rebates, store opening costs reimbursements, marketing participation and advertising reimbursements received from vendors under the terms of specific arrangements with certain vendors. Vendor allowances related to merchandise are recognized as a reduction of the costs of merchandise as sold. Vendor reimbursements of costs are recorded as a reduction to expense in the period the related cost is incurred based on actual costs incurred. Any cost reimbursements exceeding expenses incurred are recognized as a reduction of the cost of merchandise sold. Volume allowances may be estimated based on historical purchases and estimates of projected purchases. |
Tenant Allowances | Tenant Allowances The Company enters into various types of lease agreements in the operation of its stores, including remodel and build-to-suit arrangements. Under any type of lease agreement, the Company may receive reimbursement from a landlord for some of the costs related to occupancy or tenant improvements per lease provisions. These reimbursements may be referred to as tenant allowances or landlord reimbursements ("tenant allowances"). Reimbursement from a landlord for occupancy or tenant improvements is treated differently depending on the type of arrangement. Under most of the Company’s lease agreements, tenant allowances are included within deferred rent on the accompanying 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 rent. In lease agreements where the Company is the deemed owner of the building during the construction period, a deemed sale-leaseback of the building occurs when construction is complete and the lease term begins. Under these lease agreements, as the tenant allowances are received, the value of the Company’s construction-in-progress or leasehold improvements is reduced accordingly. The deemed sale-leaseback transactions are included in cash flows from investing activities. |
Health Insurance | Health Insurance The Company maintains for its employees a partially self-funded health insurance plan. The Company maintains stop-loss insurance through an insurance company with a $100 per person deductible and aggregate claims limit above a predetermined threshold. The Company is under contract . with this insurance company through December 2016. The Company intends to maintain this plan indefinitely. However, the plan may be terminated, modified, suspended, or discontinued at any time for any reason specified by the Company. The Company has established reserve amounts based upon claims history and estimates of claims that have been incurred but not reported (“IBNR”). As of January 30, 2016 and January 31, 2015, the Company estimated the IBNR to be $980 and $811, respectively. Actual claims may differ from the estimate and such difference could be significant. These reserves are included in accrued expenses in the accompanying consolidated balance sheets. |
Workers Compensation Insurance | Workers Compensation Insurance Effective November 1, 2014, the Company maintains for its employees a high-deductible workers compensation plan. The Company maintains stop-loss insurance through an insurance company with a $150 per claim deductible and aggregate claims limit above a predetermined threshold. The Company intends to maintain this plan indefinitely. However, the plan may be terminated, modified, suspended, or discontinued at any time for any reason specified by the Company. Prior to November 1, 2014, we operated under a guaranteed cost insurance program. The Company has established reserve amounts based upon claims history and estimates of IBNR. As of January 30, 2016 and January 31, 2015, the Company estimated the IBNR to be $527 and $107, respectively, related to the workers compensation plan. Actual claims may differ from the estimate and such difference could be significant. These reserves are included in accrued expenses in the accompanying consolidated balance sheets. |
Operating Leases and Deferred Rent | Operating Leases and Deferred Rent The Company has various operating lease commitments on its store locations. Certain leases contain rent escalation clauses that require higher rental payments in later years. Leases may also contain rent holidays, or free rents, during the lease term. Rent expense is recognized on a straight-line basis over the lease term. Rent expense in excess of rental payments is recorded as deferred rent on the accompanying consolidated balance sheets. |
Advertising | Advertising Costs for newspaper, television, radio, and other advertising are expensed in the period in which the advertising occurs. The Company participates in various advertising and marketing cooperative programs with its vendors, who, under these programs, reimburse the Company for certain costs incurred. Payments received under these cooperative programs are recorded as a decrease to expense in the period that the advertising occurred. For the fiscal years ended January 30, 2016, January 31, 2015 and February 1, 2014, net advertising expenses totaled $6,634, $4,629 and $4,685, respectively. These amounts are included in selling, general and administrative expenses in the accompanying consolidated statements of income. |
Stock-Based Compensation | Stock-Based Compensation Compensation expense is estimated based on grant date fair value on a straight-line basis over the requisite service or offering period. Costs associated with awards are included in compensation expense as a component of selling, general, and administrative expenses. |
Income Taxes | Income Taxes The Company recognizes a deferred income tax liability or deferred income tax asset for the future tax consequences attributable to differences between the financial statement basis of existing assets and liabilities and their respective tax basis. Deferred income tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. A valuation allowance is provided against deferred income tax assets when it is more likely than not that all or some portion of the deferred income tax assets will not be realized. 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 tax authorities, based on the technical merits of the position. Interest and potential penalties are accrued related to unrecognized tax benefits in the provision for income taxes. |
Fair Value of Financial Instruments | Fair Value of Financial Instruments The carrying amounts of financial instruments except for long-term debt approximate fair value because of the general short-term nature of these instruments. The carrying amounts of long-term variable rate debt approximate fair value as the terms are consistent with market terms for similar debt instruments. The carrying amount of the Company’s financial instruments approximates fair value as of January 30, 2016 and January 31, 2015. |
Earnings Per Share | Earnings Per Share Basic earnings per share is calculated by dividing net income by the weighted-average shares of common stock outstanding, reduced by shares repurchased and held in treasury, during the period. Diluted earnings per share represents basic earnings per share adjusted to include the potentially dilutive effect of outstanding share option awards, nonvested share awards and nonvested share unit awards. |
Comprehensive Income | Comprehensive Income The Company has no components of income that would require classification as other comprehensive income for the fiscal years ended January 30, 2016, January 31, 2015 or February 1, 2014. |
Recent Accounting Pronouncements | Recent Accounting Pronouncements Revenue from Contracts with Customers In May 2014, the FASB issued Accounting Standards Update (“ASU”) 2014-09 “Revenue from Contracts with Customers” (Topic 606) (“ASU 2014-09”). ASU 2014-09 is a comprehensive new revenue recognition model requiring a company to recognize revenue to depict the transfer of goods or services to a customer at an amount reflecting the consideration it expects to receive in exchange for those goods or services. In August 2015, the FASB issued ASU 2015-14, “Revenue from Contracts with Customers” (Topic 606): Deferral of the Effective Date (“ASU 2015-14). ASU 2015-14 simply formalized a one year deferral of the effective date of ASU 2014-09. As a result of these two standards updates, the Company expects that it will apply the new revenue standard to annual and interim reporting periods beginning after December 15, 2017. In adopting ASU 2014-09 and ASU 2015-14, companies may use either a full retrospective or a modified retrospective approach. Management is evaluating the provisions of ASU 2014-09 and ASU 2015-14 and has not yet selected a transition method nor have they determined what impact the adoption of ASU 2014-09 and ASU 2015-14 will have on the Company's financial position or results of operations. Simplifying the Presentation of Debt Issuance Costs In April 2015, the FASB issued ASU 2015-03, “Simplifying the Presentation of Debt Issuance Costs” (“ASU 2015-03”). ASU 2015-03 requires that debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability, consistent with debt discounts. ASU 2015-03 is effective for the first interim period for fiscal years beginning after December 15, 2015, with early adoption permitted for financial statements that have not been previously issued. Management does not expect the adoption of ASU 2015-03 to have any effect on the Company’s financial position or results of operations. Simplifying the Measurement of Inventory In July 2015, the FASB issued ASU 2015-11, “Simplifying the Measurement of Inventory” (“ASU 2015-11”). Under ASU 2015-11, inventory will be measured at the “lower of cost and net realizable value” and options that currently exist for “market value” will be eliminated. ASU 2015-11 defines net realizable value as the “estimated selling prices in the ordinary course of business, less reasonably predictable costs of completion, disposal, and transportation.” No other changes were made to the current guidance on inventory measurement. ASU 2015-11 is effective for interim and annual periods beginning after December 15, 2016. Early application is permitted and should be applied prospectively. Management is evaluating the provisions of this statement, including which period to adopt, and has not determined what impact the adoption of ASU 2015-11 will have on the Company's financial position or results of operations. Presentation and Subsequent Measurement of Debt Issuance Costs Association with Line of Credit Arrangements In August 2015, the FASB issued ASU 2015-15, “Presentation and Subsequent Measurement of Debt Issuance Costs Association with Line of Credit Arrangements” (“ASU 2015-15”). ASU 2015-15 indicates that the guidance in ASU 2015-03 did not address presentation or subsequent measurement of debt issuance costs related to line of credit arrangements. Given the absence of authoritative guidance within ASU 2015-03, the SEC staff has indicated that they would not object to an entity deferring and presenting debt issuance costs ratably over the term of the line of credit arrangement, regardless of whether there are any outstanding borrowings on the line of credit arrangement. Management does not expect the adoption of ASU 2015-15 to have any effect on the Company’s financial position or results of operations. Simplifying the Presentation of Deferred Taxes In November 2015, the FASB issued ASU 2015-17 “Balance Sheet Classification of Deferred Taxes” (Topic 740) (“ASU 2015-17”). ASU 2015-17 is intended to simplify the presentation of deferred income taxes and requires that deferred tax liabilities and assets be classified as noncurrent in the company’s consolidated balance sheets. ASU 2015-17 is required to be adopted for annual periods beginning after December 15, 2016, with early adoption permitted. The Company will adopt the provisions of ASU 2015-17 prospectively, with the first annual period of change effective January 31, 2016. Management expects that the adoption of ASU 2015-17 to have an effect on the presentation of the Company’s financial position but no effect on the Company’s results of operations. Lease Accounting In February 2016, the FASB issued ASU 2016-02, “Leases” (“ASU 2016-02”). The standard amends the existing accounting standards for lease accounting, including requiring lessees to recognize most leases on their balance sheets and making targeted changes to lessor accounting. ASU 2016-02 will be effective beginning in the first quarter of 2019. Early adoption of ASU 2016-02 is permitted. The new leases standard requires a modified retrospective transition approach for all leases existing at, or entered into after, the date of initial application, with an option to use certain transition relief. Management is currently evaluating the impact of adopting ASU 2016-02 on the Company’s consolidated financial statements. |
Supplemental Cash Flow Inform27
Supplemental Cash Flow Information (Tables) | 12 Months Ended |
Jan. 30, 2016 | |
Supplemental Cash Flow Information [Abstract] | |
Schedule of Non-Cash Investing Items | The following table sets forth non-cash investing items for the years ended: Fiscal Years Ended January 30, January 31, February 1, 2016 2015 2014 Leasehold improvements acquired through tenant allowances $ 3,036 $ 311 $ — Purchases of property and equipment included in accounts payable 1,094 1,263 1,307 |
Property and Equipment (Tables)
Property and Equipment (Tables) | 12 Months Ended |
Jan. 30, 2016 | |
Property Plant And Equipment [Abstract] | |
Schedule of Property and Equipment | Property and equipment as of January 30, 2016 and January 31, 2015 are as follows: January 30, January 31, 2016 2015 Furniture, fixtures, and equipment $ 41,833 $ 32,678 Leasehold improvements 45,179 34,398 Construction in progress 5,593 7,651 Total property and equipment, gross 92,605 74,727 Less accumulated depreciation and amortization (30,173 ) (20,410 ) Total property and equipment, net $ 62,432 $ 54,317 |
Definite Lived Intangible Ass29
Definite Lived Intangible Asset (Tables) | 12 Months Ended |
Jan. 30, 2016 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Summary of Definite Lived Intangible Assets | Intangible assets increased as a result of the non-compete agreement associated with the acquisition of certain assets and assumed liabilities of Wholesale Sports Outdoor Outfitters (“Wholesale Sports”) in March 2013. The following table summarizes the definite lived intangible assets: January 30, 2016 Amortization period Gross carrying amount Accumulated amortization Net carrying amount Amortizing intangible assets: Non-compete agreement 5 years $ 9,063 (5,140 ) 3,923 Total $ 9,063 (5,140 ) 3,923 January 31, 2015 Amortization period Gross carrying amount Accumulated amortization Net carrying amount Amortizing intangible assets: Non-compete agreement 5 years $ 9,063 (3,334 ) 5,729 Total $ 9,063 (3,334 ) 5,729 |
Accrued Expenses and Other Li30
Accrued Expenses and Other Liabilities (Tables) | 12 Months Ended |
Jan. 30, 2016 | |
Payables And Accruals [Abstract] | |
Components of Accrued Expenses and Other Liabilities | Accrued expenses and other liabilities consist of the following at January 30, 2016 and January 31, 2015: January 30, January 31, 2016 2015 Book overdraft $ 7,182 $ 8,305 Unearned revenue 14,787 11,663 Accrued payroll and related expenses 8,573 7,104 Sales and use tax payable 2,998 3,708 Litigation accrual — 4,000 Other 8,940 7,840 $ 42,480 $ 42,620 |
Long-Term Debt (Tables)
Long-Term Debt (Tables) | 12 Months Ended |
Jan. 30, 2016 | |
Debt Disclosure [Abstract] | |
Summary of Long-Term Debt | Long-term debt consisted of the following as of January 30, 2016 and January 31, 2015: January 30, January 31, 2016 2015 Term loan $ 158,000 $ 159,600 Less discount (1,288 ) (1,554 ) 156,712 158,046 Less current portion, net of discount (9,033 ) (1,333 ) Long-term portion $ 147,679 $ 156,713 |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 12 Months Ended |
Jan. 30, 2016 | |
Earnings Per Share [Abstract] | |
Computation of Basic and Diluted Earnings Per Common Share | The following table sets forth the computation of basic and diluted earnings per common share: Fiscal Year Ended January 30, January 31, February 1, 2016 2015 2014 Net income $ 27,771 $ 13,784 $ 21,750 Weighted-average shares of common stock outstanding: Basic 41,966 39,961 33,170 Dilutive effect of common stock equivalents 368 180 15 Diluted 42,334 40,141 33,185 Basic earnings per share $ 0.66 $ 0.34 $ 0.66 Diluted earnings per share $ 0.66 $ 0.34 $ 0.66 |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 12 Months Ended |
Jan. 30, 2016 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Rollforward of Outstanding Restricted Stock Units | The following table sets forth the rollforward of outstanding restricted stock units: Weigthed average grant-date Shares fair value Balance at January 31, 2015 887,853 $ 7.06 Grants 27,668 11.28 Forfeitures 7,892 7.06 Vested 308,932 7.27 Balance at January 30, 2016 598,697 $ 7.15 Weigthed average grant-date Shares fair value Balance at February 1, 2014 1,193,747 $ 7.06 Grants 5,000 7.04 Forfeitures 13,493 7.06 Vested 297,401 7.06 Balance at January 31, 2015 887,853 $ 7.06 |
Employee Stock Purchase Plan (T
Employee Stock Purchase Plan (Tables) | 12 Months Ended |
Jan. 30, 2016 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Schedule of Weighted Average Assumptions Used to Estimate Fair Value of Shares to be Issued | The Company uses the Black-Scholes model to estimate the fair value of shares to be issued as of the grant date using the following weighted average assumptions: Fiscal Year Ended January 30, 2016 Risk-free interest rate 0.49 % Expected life (in years) 0.5 Expected volatility 36.1 % Dividend yield — |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Jan. 30, 2016 | |
Income Tax Disclosure [Abstract] | |
Provision for Income Taxes | For the fiscal years ended January 30, 2016, January 31, 2015 and February 1, 2014, the income tax provision consisted of the following: January 30, January 31, February 1, 2016 2015 2014 Current: Federal $ 12,341 $ 7,482 $ 9,421 State 1,982 1,192 1,248 Total current 14,323 8,674 10,669 Deferred: Federal 2,746 (103 ) 1,830 State 316 57 339 Total deferred 3,062 (46 ) 2,169 Total income tax provision $ 17,385 $ 8,628 $ 12,838 |
Schedule of Federal Statutory Tax Rate | The provision for income taxes differs from the amounts computed by applying the federal statutory rate as follows for the following periods: January 30, January 31, February 1, 2016 2015 2014 Federal statutory rate 35.0 % 35.0 % 35.0 % State tax, net of federal benefit 3.5 3.5 3.6 Permanent items 0.2 0.2 0.3 Other items (0.2) (0.2) (1.8) Effective income tax rate 38.5 % 38.5 % 37.1 % |
Schedule of Deferred Tax Assets and Liabilities | The tax effects of temporary differences that give rise to significant portions of the deferred tax assets and deferred tax liabilities at January 30, 2016 and January 31, 2015, respectively, are presented below: January 30, January 31, 2016 2015 Deferred tax assets: Accrued liabilities $ 468 $ 444 Allowance for doubtful accounts — 44 Deferred rent 12,377 11,932 Intangible asset 1,293 — Inventories 2,335 2,189 Litigation accrual — 1,540 Net operating loss — 51 Sales return reserve 308 276 Stock-based compensation 634 600 Total gross deferred tax assets $ 17,415 $ 17,076 Deferred tax liabilities: Depreciation $ (11,407 ) $ (8,125 ) Prepaid expenses (744 ) (625 ) Total gross deferred tax liabilities $ (12,151 ) $ (8,750 ) Net deferred tax asset $ 5,264 $ 8,326 |
Components of Current and Long-Term Deferred Income Taxes | As of January 30, 2016 and January 31, 2015, the components of the current and long-term deferred income taxes are as follows: January 30, January 31, 2016 2015 Current deferred tax assets, net: Accrued liabilities $ 468 $ 444 Allowance for doubtful accounts - 44 Inventories 2,335 2,189 Prepaid expenses (744 ) (625 ) Sales return reserve 308 276 Stock-based compensation 634 600 Current deferred tax assets, net $ 3,001 $ 2,928 Non-current deferred tax assets, net: Deferred rent $ 12,377 $ 11,932 Depreciation (11,407 ) (8,125 ) Intangible asset 1,293 — Litigation accrual — 1,540 Net operating loss — 51 Non-current deferred tax assets, net $ 2,263 $ 5,398 |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 12 Months Ended |
Jan. 30, 2016 | |
Commitments And Contingencies Disclosure [Abstract] | |
Schedule of Future Minimum Lease Payments For Non-Cancelable Operating Leases | Future minimum lease payments for non-cancelable operating leases by fiscal year, as of January 30, 2016 are as follows: Fiscal Year: 2016 36,840 2017 37,869 2018 37,408 2019 35,076 2020 33,914 Thereafter 114,597 295,704 |
Nature of Business - Additional
Nature of Business - Additional Information (Details) | Jan. 30, 2016StoresStates |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
Number of stores | Stores | 64 |
Number of states | States | 19 |
Summary of Significant Accoun38
Summary of Significant Accounting Policies - Additional Information (Details) | 12 Months Ended | ||
Jan. 30, 2016USD ($)SubsidiariesSegment | Jan. 31, 2015USD ($) | Feb. 01, 2014USD ($) | |
Significant Accounting Policies [Line Items] | |||
Number of subsidiaries | Subsidiaries | 4 | ||
Fiscal period duration | 364 days | 364 days | 364 days |
Number of reportable segment | Segment | 1 | ||
Allowance for doubtful accounts receivable | $ 0 | $ 113,000 | |
Inventory reserves | 4,306,000 | 4,089,000 | |
Impairment charge to long-lived assets | 0 | 0 | $ 0 |
Sales return reserve | 799,000 | 716,000 | |
Recognized gift card breakage income | $ 846,000 | 833,000 | 0 |
Loyalty points dormancy period | 18 months | ||
Recognized customer loyalty program breakage income | $ 232,000 | 0 | |
Stop-loss insurance maintained by health insurance company, deductible per person under health insurance | 100,000 | ||
Reserve on claims included in accrued expenses | 980,000 | 811,000 | |
Stop-loss insurance maintained by workers compensation insurance company, deductible per person under workers compensation insurance | 150,000 | ||
Workers compensation plan, estimated IBNR | 527,000 | 107,000 | |
Net advertising expenses | $ 6,634,000 | 4,629,000 | $ 4,685,000 |
Minimum | |||
Significant Accounting Policies [Line Items] | |||
Furniture, fixtures, and equipment, estimated useful life | P3Y | ||
Maximum | |||
Significant Accounting Policies [Line Items] | |||
Furniture, fixtures, and equipment, estimated useful life | P10Y | ||
Wells Fargo Senior Secured Revolving Credit Facility | |||
Significant Accounting Policies [Line Items] | |||
Amounts in depository under lock-box arrangements | $ 5,939,000 | $ 5,987,000 |
Supplemental Cash Flow Inform39
Supplemental Cash Flow Information - Schedule of Non-Cash Investing Items (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Jan. 30, 2016 | Jan. 31, 2015 | Feb. 01, 2014 | |
Supplemental Cash Flow Information [Abstract] | |||
Leasehold improvements acquired through tenant allowances | $ 3,036 | $ 311 | |
Purchases of property and equipment included in accounts payable | $ 1,094 | $ 1,263 | $ 1,307 |
Initial Public Offering - Addit
Initial Public Offering - Additional Information (Details) - Initial Public Offering - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | May. 16, 2014 | Apr. 23, 2014 |
Subsidiary Or Equity Method Investee [Line Items] | ||
Common stock, shares issued | 1,400 | 8,333 |
Common stock shares issued, price per share | $ 9.50 | $ 9.50 |
Proceeds from issuance initial public offering, net | $ 70,299 | |
Payment of underwriting discounts and commissions | 5,542 | |
Other offering expenses | $ 3,326 | |
Net proceeds from issuance of common stock | $ 3,100 | |
Parent Company | ||
Subsidiary Or Equity Method Investee [Line Items] | ||
Common stock, shares issued | 350 | |
Seidler Equity Partners III L.P. | ||
Subsidiary Or Equity Method Investee [Line Items] | ||
Common stock, shares issued | 1,050 | 4,167 |
Secondary Offering - Additional
Secondary Offering - Additional Information (Details) - Seidler Equity Partners III L.P. - Secondary Offering - USD ($) $ / shares in Units, shares in Thousands | Oct. 26, 2015 | Sep. 30, 2015 |
Subsidiary Or Equity Method Investee [Line Items] | ||
Common stock, shares issued | 649 | 6,250 |
Issuance of common stock, net | $ 0 | $ 0 |
Common stock shares issued, price per share | $ 12.25 | |
Selling, General and Administrative Expenses | ||
Subsidiary Or Equity Method Investee [Line Items] | ||
Offering expenses | $ 727,000 |
Property and Equipment - Schedu
Property and Equipment - Schedule of Property and Equipment (Details) - USD ($) $ in Thousands | Jan. 30, 2016 | Jan. 31, 2015 |
Property Plant And Equipment [Line Items] | ||
Total property and equipment, gross | $ 92,605 | $ 74,727 |
Less accumulated depreciation and amortization | (30,173) | (20,410) |
Total property and equipment, net | 62,432 | 54,317 |
Furniture, fixtures, and equipment | ||
Property Plant And Equipment [Line Items] | ||
Total property and equipment, gross | 41,833 | 32,678 |
Leasehold improvements | ||
Property Plant And Equipment [Line Items] | ||
Total property and equipment, gross | 45,179 | 34,398 |
Construction in progress | ||
Property Plant And Equipment [Line Items] | ||
Total property and equipment, gross | $ 5,593 | $ 7,651 |
Property and Equipment - Additi
Property and Equipment - Additional Information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Jan. 30, 2016 | Jan. 31, 2015 | Feb. 01, 2014 | |
Property Plant And Equipment Net [Abstract] | |||
Depreciation of property and equipment | $ 9,763 | $ 7,344 | $ 4,749 |
Definite Lived Intangible Ass44
Definite Lived Intangible Asset - Summary of Definite Lived Intangible Assets (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Jan. 30, 2016 | Jan. 31, 2015 | |
Finite-Lived Intangible Assets, Net [Abstract] | ||
Gross carrying amount | $ 9,063 | $ 9,063 |
Accumulated amortization | (5,140) | (3,334) |
Net carrying amount | $ 3,923 | $ 5,729 |
Non-compete agreement | ||
Finite-Lived Intangible Assets, Net [Abstract] | ||
Amortization period | 5 years | 5 years |
Gross carrying amount | $ 9,063 | $ 9,063 |
Accumulated amortization | (5,140) | (3,334) |
Net carrying amount | $ 3,923 | $ 5,729 |
Definite Lived Intangible Ass45
Definite Lived Intangible Asset - Additional Information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Jan. 30, 2016 | Jan. 31, 2015 | Feb. 01, 2014 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |||
Amortization expense for definite lived intangible asset, fiscal year | $ 1,806 | $ 1,806 | $ 1,528 |
Amortization expense for definite lived intangible asset, 2016 | 1,806 | ||
Amortization expense for definite lived intangible asset, 2017 | 1,806 | ||
Amortization expense for definite lived intangible asset, 2018 | $ 311 |
Accrued Expenses and Other Li46
Accrued Expenses and Other Liabilities - Components of Accrued Expenses and Other Liabilities (Details) - USD ($) $ in Thousands | Jan. 30, 2016 | Jan. 31, 2015 |
Payables And Accruals [Abstract] | ||
Book overdraft | $ 7,182 | $ 8,305 |
Unearned revenue | 14,787 | 11,663 |
Accrued payroll and related expenses | 8,573 | 7,104 |
Sales and use tax payable | 2,998 | 3,708 |
Litigation accrual | 4,000 | |
Other | 8,940 | 7,840 |
Accrued expenses | $ 42,480 | $ 42,620 |
Revolving Line Of Credit - Addi
Revolving Line Of Credit - Additional Information (Details) - USD ($) | 12 Months Ended | |
Jan. 30, 2016 | Jan. 31, 2015 | |
Wells Fargo Senior Secured Revolving Credit Facility | ||
Line Of Credit Facility [Line Items] | ||
Line of credit facility, maximum borrowing capacity | $ 135,000,000 | |
Line of Credit Facility, asset restrictions | the lesser of (a) 90% of the net orderly liquidation value of our eligible inventory and (b) 75% of the lower of cost or market value of our eligible inventory, plus (2) 90% of the eligible accounts receivable, less certain reserves against outstanding gift cards, layaway deposits and amounts outstanding under commercial letters of credit, each term as defined in the credit agreement. | |
Line of credit facility, amount outstanding | $ 31,202,000 | $ 47,886,000 |
Amounts in depository under lock-box arrangements | $ 5,939,000 | $ 5,987,000 |
Line of credit facility, interest rate description | the revolving credit facility bear interest based on either, at the Company’s option, the base rate or LIBOR, in each case plus an applicable margin. The base rate is the higher of (1) Wells Fargo’s prime rate, (2) the federal funds rate (as defined in the credit agreement) plus 0.50% and (3) the one-month LIBOR (as defined in the credit agreement) plus 1.00%. The applicable margin for loans under the revolving credit facility, which varies based on the average daily availability, ranges from 0.50% to 1.0% per year for base rate loans and from 1.50% to 2.00% per year for LIBOR loans. | |
Weighted average interest rate on amount outstanding | 2.16% | |
Revolving credit facility, covenant term | The Revolving Line of Credit also requires us to maintain a minimum availability at all times of not less than 10% of the gross borrowing base, and in any event, not less than $5,000 | |
Line of credit , maturity date | Dec. 3, 2019 | |
Wells Fargo Senior Secured Revolving Credit Facility | Minimum | ||
Line Of Credit Facility [Line Items] | ||
Line of credit facility available borrowing capacity | $ 5,000,000 | |
Line of credit facility gross borrowing base percentage | 10.00% | |
Wells Fargo Senior Secured Revolving Credit Facility | Federal Funds Rate | ||
Line Of Credit Facility [Line Items] | ||
Debt instrument applicable margin | 0.50% | |
Wells Fargo Senior Secured Revolving Credit Facility | London Interbank Offered Rate (LIBOR) | ||
Line Of Credit Facility [Line Items] | ||
Debt instrument applicable margin | 1.00% | |
Wells Fargo Senior Secured Revolving Credit Facility | London Interbank Offered Rate (LIBOR) | Minimum | ||
Line Of Credit Facility [Line Items] | ||
Debt instrument applicable margin | 1.50% | |
Wells Fargo Senior Secured Revolving Credit Facility | London Interbank Offered Rate (LIBOR) | Maximum | ||
Line Of Credit Facility [Line Items] | ||
Debt instrument applicable margin | 2.00% | |
Wells Fargo Senior Secured Revolving Credit Facility | Base Rate | Minimum | ||
Line Of Credit Facility [Line Items] | ||
Debt instrument applicable margin | 0.50% | |
Wells Fargo Senior Secured Revolving Credit Facility | Base Rate | Maximum | ||
Line Of Credit Facility [Line Items] | ||
Debt instrument applicable margin | 1.00% | |
Wells Fargo Stand-by Commercial Letters of Credit | ||
Line Of Credit Facility [Line Items] | ||
Net borrowing available under revolving line of credit | $ 750,000 |
Long-Term Debt - Summary of Lon
Long-Term Debt - Summary of Long-Term Debt (Details) - USD ($) $ in Thousands | Jan. 30, 2016 | Jan. 31, 2015 |
Debt Disclosure [Abstract] | ||
Term loan | $ 158,000 | $ 159,600 |
Less discount | (1,288) | (1,554) |
Long-term debt | 156,712 | 158,046 |
Less current portion, net of discount | (9,033) | (1,333) |
Long-term debt, net of discount and current portion | $ 147,679 | $ 156,713 |
Long-Term Debt - Additional Inf
Long-Term Debt - Additional Information (Details) - USD ($) $ in Thousands | May. 06, 2016 | Jan. 30, 2016 | Jan. 31, 2015 | Feb. 01, 2014 |
Debt Instrument [Line Items] | ||||
Long-term debt | $ 156,712 | $ 158,046 | ||
Debt instrument discount at issuance | 1,288 | 1,554 | ||
Amortization of discount on debt and deferred financing fees | 817 | 6,497 | $ 6,952 | |
Scenario Forecast | ||||
Debt Instrument [Line Items] | ||||
Mandatory prepayment amount of debt | $ 7,700 | |||
Term Loan | ||||
Debt Instrument [Line Items] | ||||
Senior secured loan facility | $ 160,000 | |||
Debt instrument issuance price, percentage of aggregate principal amount | 99.00% | |||
Line of credit , maturity date | Dec. 3, 2020 | |||
Quarterly loan principal repayment | $ 400 | $ 400 | ||
Debt instrument, interest rate term | The Term Loan bears interest at a rate per annum equal to the one-, two-, three-, or six-month LIBOR (or, the nine- or 12-month LIBOR), as defined in the term loan agreement, at the Company’s election, which cannot be less than 1.25%, plus an applicable margin of 6.00%. | |||
Debt instrument applicable margin | 6.00% | 6.00% | ||
Long-term debt | $ 156,712 | |||
Debt instrument discount at issuance | 1,288 | |||
Amortization of discount on debt and deferred financing fees | $ 266 | |||
Term Loan | London Interbank Offered Rate (LIBOR) | ||||
Debt Instrument [Line Items] | ||||
Debt instrument applicable margin | 1.25% | 1.25% | ||
Prior Term Loan | ||||
Debt Instrument [Line Items] | ||||
Amortization of discount on debt and deferred financing fees | $ 2,739 |
Sale Leaseback Transactions - A
Sale Leaseback Transactions - Additional Information (Details) $ in Thousands | 12 Months Ended | |||
Jan. 30, 2016USD ($)Stores | Jan. 31, 2015USD ($) | Feb. 01, 2014USD ($) | Feb. 02, 2013USD ($) | |
Sale Leaseback Transaction [Line Items] | ||||
Number of stores | Stores | 64 | |||
Tenant allowance received | $ 5,652 | $ 5,129 | $ 200 | |
Land and Buildings | Two Store Location | ||||
Sale Leaseback Transaction [Line Items] | ||||
Number of stores | Stores | 2 | |||
Sale leaseback transactions, gross cash proceeds received | $ 12,068 | |||
Sale leaseback transactions, transaction costs | 277 | |||
Carrying value of properties sold | 11,964 | |||
Land and Buildings | Two Store Location | Selling, General and Administrative Expenses | ||||
Sale Leaseback Transaction [Line Items] | ||||
Loss realized on sale leaseback transaction | $ 173 | |||
Land and Buildings | Three Store Locations | ||||
Sale Leaseback Transaction [Line Items] | ||||
Number of stores | Stores | 3 | |||
Tenant allowance received | $ 5,652 |
Earnings Per Share - Computatio
Earnings Per Share - Computation of Basic and Diluted Earnings Per Common Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 12 Months Ended | ||
Jan. 30, 2016 | Jan. 31, 2015 | Feb. 01, 2014 | |
Earnings Per Share [Abstract] | |||
Net income | $ 27,771 | $ 13,784 | $ 21,750 |
Weighted-average shares of common stock outstanding: | |||
Basic | 41,966 | 39,961 | 33,170 |
Dilutive effect of common stock equivalents | 368 | 180 | 15 |
Diluted | 42,334 | 40,141 | 33,185 |
Basic earnings per share | $ 0.66 | $ 0.34 | $ 0.66 |
Diluted earnings per share | $ 0.66 | $ 0.34 | $ 0.66 |
Stock-Based Compensation - Addi
Stock-Based Compensation - Additional Information (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | |||
Jan. 30, 2016 | Jan. 31, 2015 | Feb. 01, 2014 | Jan. 31, 2014 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Stock-based compensation | $ 2,257 | $ 3,293 | $ 365 | |
Employees | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Nonvested stock units vested over grant date | 4 years | 4 years | ||
Board of Directors | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Nonvested stock units vested over grant date | 12 months | |||
Nonvested Stock Unit Awards | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Issuance of nonvested stock units | 27,668 | 5,000 | ||
Nonvested stock units issued, weighted average grant date fair value per share | $ 11.28 | $ 7.04 | ||
Unrecognized compensation costs related to nonvested restricted stock units | $ 4,279 | $ 6,268 | ||
Nonvested stock units outstanding, weighted average grant date fair value per share | $ 7.15 | $ 7.06 | $ 7.06 | |
Expected net tax benefit related to the unrecognized compensation costs | $ 1,647 | $ 2,413 | ||
Employee Stock Plans | 2013 Plan | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Number of shares available for awards | 1,728,995 | |||
Number of awards outstanding | 598,697 | |||
Selling, General and Administrative Expenses | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Stock-based compensation | $ 2,257 | $ 3,293 | $ 365 |
Stock-Based Compensation - Roll
Stock-Based Compensation - Rollforward of Outstanding Restricted Stock Units (Details) - Restricted Stock Units - $ / shares | 12 Months Ended | |
Jan. 30, 2016 | Jan. 31, 2015 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Beginning balance, Shares | 887,853 | 1,193,747 |
Grants, Shares | 27,668 | 5,000 |
Forfeitures, Shares | 7,892 | 13,493 |
Vested, Shares | 308,932 | 297,401 |
Ending balance, Shares | 598,697 | 887,853 |
Beginning balance, Weighted average grant-date fair value | $ 7.06 | $ 7.06 |
Grants, Weighted average grant-date fair value | 11.28 | 7.04 |
Forfeitures, Weighted average grant-date fair value | 7.06 | 7.06 |
Vested, Weighted average grant-date fair value | 7.27 | 7.06 |
Ending balance, Weighted average grant-date fair value | $ 7.15 | $ 7.06 |
Employee Stock Purchase Plan -
Employee Stock Purchase Plan - Additional Information (Details) - USD ($) shares in Thousands, $ in Thousands | 1 Months Ended | 12 Months Ended | ||
Jun. 30, 2015 | Jan. 30, 2016 | Jan. 31, 2015 | Feb. 01, 2014 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Number of shares granted under ESPP | 800 | |||
Stock-based compensation expense | $ 2,257 | $ 3,293 | $ 365 | |
Employee Stock Purchase Plan | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Percentage of market value per share fixed as purchase price | 85.00% | |||
Stock-based compensation expense | $ 15 |
Employee Stock Purchase Plan 55
Employee Stock Purchase Plan - Schedule of Weighted Average Assumptions Used to Estimate Fair Value of Shares to be Issued (Details) | 12 Months Ended |
Jan. 30, 2016 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Risk-free interest rate | 0.49% |
Expected life (in years) | 6 months |
Expected volatility | 36.10% |
Income Taxes - Provision for In
Income Taxes - Provision for Income Tax (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Jan. 30, 2016 | Jan. 31, 2015 | Feb. 01, 2014 | |
Current: | |||
Federal | $ 12,341 | $ 7,482 | $ 9,421 |
State | 1,982 | 1,192 | 1,248 |
Total current | 14,323 | 8,674 | 10,669 |
Deferred: | |||
Federal | 2,746 | (103) | 1,830 |
State | 316 | 57 | 339 |
Total deferred | 3,062 | (46) | 2,169 |
Total income tax provision | $ 17,385 | $ 8,628 | $ 12,838 |
Income Taxes - Schedule of Fede
Income Taxes - Schedule of Federal Statutory Tax Rate (Details) | 12 Months Ended | ||
Jan. 30, 2016 | Jan. 31, 2015 | Feb. 01, 2014 | |
Reconciliation of the federal statutory income tax rate to the effective income tax rate | |||
Federal statutory rate | 35.00% | 35.00% | 35.00% |
State tax, net of federal benefit | 3.50% | 3.50% | 3.60% |
Permanent items | 0.20% | 0.20% | 0.30% |
Other items | (0.20%) | (0.20%) | (1.80%) |
Effective income tax rate | 38.50% | 38.50% | 37.10% |
Income Taxes - Schedule of Defe
Income Taxes - Schedule of Deferred Tax Assets and Liabilities (Details) - USD ($) $ in Thousands | Jan. 30, 2016 | Jan. 31, 2015 |
Deferred tax assets: | ||
Accrued liabilities | $ 468 | $ 444 |
Allowance for doubtful accounts | 44 | |
Deferred rent | 12,377 | 11,932 |
Intangible asset | 1,293 | |
Inventories | 2,335 | 2,189 |
Litigation accrual | 1,540 | |
Net operating loss | 51 | |
Sales return reserve | 308 | 276 |
Stock-based compensation | 634 | 600 |
Total gross deferred tax assets | 17,415 | 17,076 |
Deferred tax liabilities: | ||
Depreciation | (11,407) | (8,125) |
Prepaid expenses | (744) | (625) |
Total gross deferred tax liabilities | (12,151) | (8,750) |
Net deferred tax asset | $ 5,264 | $ 8,326 |
Income Taxes - Components of Cu
Income Taxes - Components of Current and Long-Term Deferred Income Taxes (Details) - USD ($) $ in Thousands | Jan. 30, 2016 | Jan. 31, 2015 |
Current deferred tax assets, net: | ||
Accrued liabilities | $ 468 | $ 444 |
Allowance for doubtful accounts | 44 | |
Inventories | 2,335 | 2,189 |
Prepaid expenses | (744) | (625) |
Sales return reserve | 308 | 276 |
Stock-based compensation | 634 | 600 |
Current deferred tax assets, net | 3,001 | 2,928 |
Non-current deferred tax assets, net: | ||
Deferred rent | 12,377 | 11,932 |
Depreciation | (11,407) | (8,125) |
Intangible asset | 1,293 | |
Litigation accrual | 1,540 | |
Net operating loss | 51 | |
Non-current deferred tax assets, net | $ 2,263 | $ 5,398 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Details) - USD ($) | 12 Months Ended | ||
Jan. 30, 2016 | Jan. 31, 2015 | Feb. 01, 2014 | |
Income Tax Disclosure [Abstract] | |||
Unrecognized tax benefits | $ 0 | ||
Operating loss carry-forwards | $ 1,387,000 | ||
Offsetting taxable income | 1,387,000 | ||
Accrued interest and penalties | $ 0 | $ 14,000 | $ 0 |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information (Details) - USD ($) $ in Thousands | Mar. 09, 2015 | Jan. 30, 2016 | Jan. 31, 2015 | Feb. 01, 2014 | Feb. 02, 2013 |
Operating Leases | |||||
Tenant allowance received | $ 5,652 | $ 5,129 | $ 200 | ||
Company expects to receive in tenant allowances under leases during 2016 | $ 16,705 | ||||
Lease Expiration Date | 2030-07 | ||||
Rent expense | $ 33,209 | $ 30,520 | $ 27,118 | ||
Loss contingency trial start date | Mar. 2, 2015 | ||||
Loss contingency trial end date | Mar. 6, 2015 | ||||
Trial award against defendants to the action | $ 11,887 | ||||
Accrued amount of litigation | $ 4,000 | ||||
Reversal amount of accrued litigation settlement | $ 4,000 | ||||
Minimum | |||||
Operating Leases | |||||
Renewal options | 3 years | ||||
Maximum | |||||
Operating Leases | |||||
Renewal options | 5 years |
Commitments and Contingencies62
Commitments and Contingencies - Future Minimum Lease Payments For Non-Cancelable Operating Leases (Details) $ in Thousands | Jan. 30, 2016USD ($) |
Operating Leases | |
2,016 | $ 36,840 |
2,017 | 37,869 |
2,018 | 37,408 |
2,019 | 35,076 |
2,020 | 33,914 |
Thereafter | 114,597 |
Operating Leases, Future Minimum Payments Due | $ 295,704 |
Related Party Transactions - Ad
Related Party Transactions - Additional Information (Details) - Seidler Equity Partners III L.P. - USD ($) | 12 Months Ended | ||
Jan. 30, 2016 | Jan. 31, 2015 | Feb. 01, 2014 | |
Related Party Transaction [Line Items] | |||
Related party agreement date | Aug. 14, 2009 | ||
Payments made to related party | $ 12,000 | $ 35,000 | $ 18,000 |
Amounts payable to related party | 0 | $ 0 | |
Maximum | |||
Related Party Transaction [Line Items] | |||
Reimbursement cost and expenses of related party | $ 150,000 |
Retirement Plan - Additional In
Retirement Plan - Additional Information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Jan. 30, 2016 | Jan. 31, 2015 | Feb. 01, 2014 | |
Compensation And Retirement Disclosure [Abstract] | |||
Company contribution under plan | $ 282 | $ 276 | $ 234 |