Document_and_Entity_Informatio
Document and Entity Information | 9 Months Ended |
Nov. 02, 2014 | |
Document And Entity Information [Abstract] | |
Document Type | S-1 |
Amendment Flag | FALSE |
Document Period End Date | 2-Nov-14 |
Trading Symbol | PLAY |
Entity Registrant Name | Dave & Buster's Entertainment, Inc. |
Entity Central Index Key | 1525769 |
Entity Filer Category | Non-accelerated Filer |
Consolidated_Balance_Sheets
Consolidated Balance Sheets (USD $) | Nov. 02, 2014 | Feb. 02, 2014 | Feb. 03, 2013 |
In Thousands, unless otherwise specified | |||
Current assets: | |||
Cash and cash equivalents | $58,946 | $38,080 | $36,117 |
Inventories | 15,883 | 15,354 | 14,849 |
Prepaid expenses | 12,268 | 9,670 | 9,371 |
Deferred income taxes | 27,394 | 24,802 | 25,137 |
Income taxes receivable | 2,102 | 2,445 | 1,120 |
Other current assets | 6,898 | 8,993 | 12,152 |
Total current assets | 123,491 | 99,344 | 98,746 |
Property and equipment, net | 427,235 | 388,093 | 337,239 |
Tradenames | 79,000 | 79,000 | 79,000 |
Goodwill | 272,445 | 272,428 | 272,278 |
Other assets and deferred charges | 21,340 | 22,893 | 26,347 |
Total assets | 923,511 | 861,758 | 813,610 |
Current liabilities: | |||
Current installments of long-term debt | 1,500 | 1,500 | |
Accounts payable | 43,375 | 36,092 | 23,878 |
Accrued liabilities | 83,487 | 74,379 | 67,124 |
Income taxes payable | 1,333 | 1,073 | 192 |
Deferred income taxes | 897 | 189 | |
Total current liabilities | 129,092 | 113,044 | 92,883 |
Deferred income taxes | 17,284 | 23,654 | 24,887 |
Deferred occupancy costs | 93,853 | 81,743 | 69,544 |
Other liabilities | 10,185 | 8,692 | 9,335 |
Long-term debt, less current installments, net of unamortized discount | 428,976 | 484,177 | 469,550 |
Commitments and contingencies | |||
Stockholders' equity: | |||
Common stock, value | 402 | 334 | 334 |
Preferred stock, value | |||
Paid-in capital | 253,337 | 152,661 | 151,374 |
Treasury stock, value | -1,189 | -1,189 | -1,189 |
Accumulated other comprehensive income (loss) | -214 | -167 | 252 |
Accumulated deficit | -8,215 | -1,191 | -3,360 |
Total stockholders' equity | 244,121 | 150,448 | 147,411 |
Total liabilities and stockholders' equity | $923,511 | $861,758 | $813,610 |
Consolidated_Balance_Sheets_Pa
Consolidated Balance Sheets (Parenthetical) (USD $) | Nov. 02, 2014 | Feb. 02, 2014 | Feb. 03, 2013 |
In Thousands, except Share data, unless otherwise specified | |||
Statement of Financial Position [Abstract] | |||
Property and equipment, accumulated depreciation | $236,717 | $195,339 | $139,457 |
Common stock, par value | $0.01 | $0.01 | $0.01 |
Common stock, shares authorized | 400,000,000 | 112,491,784 | 112,491,784 |
Common stock, shares issued | 40,217,645 | 33,452,684 | 33,434,685 |
Common stock, shares outstanding | 39,969,233 | 33,204,272 | |
Preferred stock, shares authorized | 50,000,000 | 10,000,000 | 10,000,000 |
Preferred stock, shares issued | 0 | 0 | 0 |
Treasury stock, shares | 248,412 | 248,412 | 248,412 |
Consolidated_Statements_of_Com
Consolidated Statements of Comprehensive Income (Loss) (USD $) | 9 Months Ended | 12 Months Ended | |||
In Thousands, except Share data, unless otherwise specified | Nov. 02, 2014 | Nov. 03, 2013 | Feb. 02, 2014 | Feb. 03, 2013 | Jan. 29, 2012 |
Statement of Comprehensive Income [Abstract] | |||||
Food and beverage revenues | $256,077 | $222,508 | $310,111 | $298,421 | $272,606 |
Amusement and other revenues | 283,605 | 241,700 | 325,468 | 309,646 | 268,939 |
Total revenues | 539,682 | 464,208 | 635,579 | 608,067 | 541,545 |
Cost of food and beverage | 65,939 | 55,988 | 77,577 | 73,019 | 65,751 |
Cost of amusement and other | 39,335 | 35,255 | 47,437 | 46,098 | 41,417 |
Total cost of products | 105,274 | 91,243 | 125,014 | 119,117 | 107,168 |
Operating payroll and benefits | 126,357 | 108,716 | 150,172 | 145,571 | 130,875 |
Other store operating expenses | 170,440 | 150,107 | 199,537 | 192,792 | 175,993 |
General and administrative expenses | 31,462 | 26,905 | 36,440 | 40,356 | 34,896 |
Depreciation and amortization expense | 52,321 | 49,333 | 66,337 | 63,457 | 54,277 |
Pre-opening costs | 7,942 | 5,175 | 7,040 | 3,060 | 4,186 |
Total operating costs | 493,796 | 431,479 | 584,540 | 564,353 | 507,395 |
Operating income | 45,886 | 32,729 | 51,039 | 43,714 | 34,150 |
Interest expense, net | 29,826 | 35,879 | 47,809 | 47,634 | 44,931 |
Loss on debt retirement | 27,578 | ||||
Income (loss) before provision (benefit) for income taxes | -11,518 | -3,150 | 3,230 | -3,920 | -10,781 |
Benefit for income taxes | -4,494 | -442 | 1,061 | -12,702 | -3,796 |
Net income (loss) | -7,024 | -2,708 | 2,169 | 8,782 | -6,985 |
Unrealized foreign currency translation gain (loss) | -47 | -176 | -419 | 15 | 42 |
Total comprehensive income (loss) | -7,071 | -2,884 | 1,750 | 8,797 | -6,943 |
Net income (loss) per share: | |||||
Net income (loss) | ($7,024) | ($2,708) | $2,169 | $8,782 | ($6,985) |
Basic | ($0.21) | ($0.08) | $0.07 | $0.26 | ($0.20) |
Diluted | ($0.21) | ($0.08) | $0.06 | $0.26 | ($0.20) |
Weighted average shares used in per share calculations: | |||||
Basic shares | 33,763,436 | 33,186,273 | 33,187,776 | 33,186,426 | 34,478,732 |
Diluted shares | 33,763,436 | 33,186,273 | 34,030,115 | 33,747,535 | 34,478,732 |
Consolidated_Statements_of_Sto
Consolidated Statements of Stockholders' Equity (USD $) | Total | Common Stock [Member] | Paid-in capital [Member] | Treasury stock at cost [Member] | Accumulated other comprehensive (loss) [Member] | Accumulated deficit [Member] |
In Thousands, except Share data | ||||||
Beginning balance at Jan. 30, 2011 | $239,830 | $2 | $246,290 | ($1,500) | $195 | ($5,157) |
Beginning balance, shares at Jan. 30, 2011 | 55,233,021 | 337,475 | ||||
Net income (loss) | -6,985 | -6,985 | ||||
Unrealized foreign currency translation gain (loss) | 42 | 42 | ||||
Stock-based compensation | 1,038 | 1,038 | ||||
Purchase of common stock | -96,888 | -1 | -96,887 | |||
Purchase of common stock, shares | -21,798,336 | |||||
Purchase of treasury stock | -597 | -597 | ||||
Purchase of treasury stock, shares | 115,299 | |||||
Sale of treasury stock | 1,075 | 167 | 908 | |||
Sale of treasury stock, shares | -204,362 | |||||
Ending balance at Jan. 29, 2012 | 137,515 | 1 | 150,608 | -1,189 | 237 | -12,142 |
Ending balance, shares at Jan. 29, 2012 | 33,434,685 | 248,412 | ||||
Net income (loss) | 8,782 | 8,782 | ||||
Unrealized foreign currency translation gain (loss) | 15 | 15 | ||||
Stock-based compensation | 1,099 | 1,099 | ||||
Ending balance at Feb. 03, 2013 | 147,411 | 1 | 151,707 | -1,189 | 252 | -3,360 |
Ending balance, shares at Feb. 03, 2013 | 33,434,685 | 248,412 | ||||
Net income (loss) | 2,169 | 2,169 | ||||
Unrealized foreign currency translation gain (loss) | -419 | -419 | ||||
Stock-based compensation | 1,207 | 1,207 | ||||
Sale of Stock | 80 | 80 | ||||
Sale of Stock, shares | 17,999 | |||||
Ending balance at Feb. 02, 2014 (Scenario, Previously Reported [Member]) | 1 | 152,994 | ||||
Ending balance at Feb. 02, 2014 | 150,448 | 334 | 152,661 | -1,189 | -167 | -1,191 |
Ending balance, shares at Feb. 02, 2014 | 33,452,684 | 248,412 | ||||
Net income (loss) | -7,024 | -7,024 | ||||
Unrealized foreign currency translation gain (loss) | -47 | -47 | ||||
Stock-based compensation | 1,864 | 256 | 1,864 | |||
Proceeds from the issuance of common stock, value | 100,659 | 68 | 100,591 | |||
Proceeds from the issuance of common stock, shares | 6,764,705 | |||||
Costs associated with the issuance of common stock | -1,779 | -1,779 | ||||
Ending balance at Nov. 02, 2014 | $244,121 | $402 | $253,337 | ($1,189) | ($214) | ($8,215) |
Ending balance, shares at Nov. 02, 2014 | 40,217,645 | 248,412 |
Consolidated_Statements_of_Cas
Consolidated Statements of Cash Flows (USD $) | 9 Months Ended | 12 Months Ended | |||
In Thousands, unless otherwise specified | Nov. 02, 2014 | Nov. 03, 2013 | Feb. 02, 2014 | Feb. 03, 2013 | Jan. 29, 2012 |
Cash flows from operating activities: | |||||
Net income (loss) | ($7,024) | ($2,708) | $2,169 | $8,782 | ($6,985) |
Adjustments to reconcile net income (loss) to net cash provided by operating activities: | |||||
Depreciation and amortization expense | 52,321 | 49,333 | 66,337 | 63,457 | 54,277 |
Debt cost and discount amortization | 1,962 | 2,397 | 3,189 | 2,946 | 2,914 |
Payment of accreted interest | -50,193 | ||||
Accretion of note discount | 8,341 | 11,768 | 15,881 | 14,141 | 11,830 |
Deferred income tax benefit | -8,065 | -2,997 | -801 | -13,548 | -4,004 |
Loss on disposal of fixed assets | 1,267 | 2,185 | 2,631 | 2,640 | 1,279 |
Loss on debt retirement | 8,580 | ||||
Share-based compensation charges | 1,864 | 908 | 1,207 | 1,099 | 1,038 |
Business interruption reimbursement | -1,629 | ||||
Other, net | 64 | -1,176 | 676 | -1,181 | 707 |
Changes in assets and liabilities: | |||||
Inventories | -529 | -864 | -505 | -9 | -609 |
Prepaid expenses | -2,557 | -364 | -157 | 1,502 | -1,017 |
Income tax receivable | 344 | -22 | -1,325 | -1,120 | 5,861 |
Other current assets | 2,110 | 6,283 | 3,015 | -8,461 | -1,561 |
Other assets and deferred charges | -1,034 | -72 | -364 | 924 | 442 |
Accounts payable | 7,086 | 4,665 | -1,774 | -96 | 5,280 |
Accrued liabilities | 7,870 | 10,908 | 6,782 | 1,574 | 2,563 |
Income taxes payable | 260 | -1,338 | 291 | -711 | -578 |
Deferred occupancy costs | 12,253 | 3,250 | 12,214 | 6,691 | 4,089 |
Other liabilities | 1,793 | 4,138 | 412 | 4,166 | -1,120 |
Net cash provided by operating activities | 36,713 | 86,294 | 109,878 | 82,796 | 72,777 |
Cash flows from investing activities: | |||||
Capital expenditures | -91,670 | -75,308 | -105,894 | -78,689 | -72,946 |
Insurance proceeds on Nashville property | 798 | ||||
Proceeds from sales of property and equipment | 60 | 208 | 217 | 201 | 1,646 |
Net cash used in investing activities | -91,610 | -75,100 | -105,677 | -78,488 | -70,502 |
Cash flows from financing activities: | |||||
Repayment of senior notes | -200,000 | ||||
Repayment of senior discount notes | -100,000 | ||||
Borrowing under new senior credit facility | 528,675 | 100,000 | |||
Debt issuance costs | -8,212 | -818 | -818 | -4,088 | |
Proceeds from the issuance of common stock, net of underwriter fees | 100,659 | ||||
Payment of costs associated with the issuance of common stock | -984 | ||||
Repurchase of shares from former executives | -1,597 | ||||
Proceeds from sale of treasury stock | 1,075 | ||||
Sale of common stock | 80 | ||||
Purchase of common stock | -96,888 | ||||
Net cash provided by (used in) financing activities | 75,763 | -1,943 | -2,238 | -1,875 | -2,998 |
Increase (decrease) in cash and cash equivalents | 20,866 | 9,251 | 1,963 | 2,433 | -723 |
Beginning cash and cash equivalents | 38,080 | 36,117 | 36,117 | 33,684 | 34,407 |
Ending cash and cash equivalents | 58,946 | 45,368 | 38,080 | 36,117 | 33,684 |
Supplemental disclosures of cash flow information: | |||||
Cash paid (refunds received) for income taxes, net | 2,900 | 2,008 | 2,151 | 2,515 | -5,380 |
Cash paid for interest and related debt fees, net of amounts capitalized | 23,523 | 16,429 | 29,096 | 32,435 | 30,723 |
Cash paid for interest and related debt fees, related to debt retirement | 18,998 | ||||
Cash paid for settlement of accreted interest on retired senior discount notes | 50,193 | ||||
Senior Secured Credit Facility [Member] | |||||
Cash flows from financing activities: | |||||
Paydown of new senior credit facility | -144,375 | -1,125 | -1,500 | -1,875 | -1,500 |
New Senior Secured Credit Facility [Member] | |||||
Cash flows from financing activities: | |||||
Paydown of new senior credit facility | ($100,000) |
Description_of_Business_and_Ba
Description of Business and Basis of Presentation | 9 Months Ended | 12 Months Ended | ||||||||||||||||||||||||
Nov. 02, 2014 | Feb. 02, 2014 | |||||||||||||||||||||||||
Accounting Policies [Abstract] | ||||||||||||||||||||||||||
Description of Business and Basis of Presentation | Note 1: Description of Business and Basis of Presentation | Note 1: Description of Business and Summary of Significant Accounting Policies | ||||||||||||||||||||||||
Description of Business—On June 1, 2010, Dave & Buster’s Entertainment, Inc. (“D&B Entertainment”), a newly-formed Delaware corporation owned by Oak Hill Capital Partners III, L.P. and Oak Hill Capital Management Partners III, L.P. (collectively, the “Oak Hill Funds”) acquired all of the outstanding common stock of Dave & Buster’s Holding, Inc. (“D&B Holdings”) from Wellspring Capital Partners III, L.P and HBK Main Street Investors L.P. In connection therewith, Games Merger Corp., a newly-formed Missouri corporation and an indirect wholly-owned subsidiary of D&B Entertainment, merged with and into D&B Holdings’ wholly-owned, direct subsidiary, Dave & Buster’s, Inc. (with Dave & Buster’s, Inc. being the surviving corporation in the merger). Dave & Buster’s, Inc. owns and operates high-volume venues in North America that combine dining and entertainment for both adults and families. | Description of Business—On June 1, 2010, Dave & Buster’s Entertainment, Inc. (“D&B Entertainment”), a newly-formed Delaware corporation owned by Oak Hill Capital Partners III, L.P. and Oak Hill Capital Management Partners III, L.P. (collectively, the “Oak Hill Funds”) acquired all of the outstanding common stock of Dave & Buster’s Holding, Inc. (“D&B Holdings”) from Wellspring Capital Partners III, L.P and HBK Main Street Investors L.P. (collectively, “Predecessor”). In connection therewith, Games Merger Corp., a newly-formed Missouri corporation and an indirect wholly-owned subsidiary of D&B Entertainment, merged with and into D&B Holdings’ wholly-owned, direct subsidiary, Dave & Buster’s, Inc. (“Dave & Buster’s”) (with Dave & Buster’s being the surviving corporation in the merger). Dave & Buster’s owns, operates and licenses high-volume venues that combine dining and entertainment in North America for both adults and families. | |||||||||||||||||||||||||
D&B Entertainment owns no significant assets or operations other than the ownership of all the common stock of D&B Holdings. D&B Holdings owns no significant assets or operations other than the ownership of all the common stock of Dave & Buster’s, Inc. References to the “Company”, “we”, “us”, and “our” refers to D&B Entertainment and its subsidiaries and any predecessor companies. All material intercompany accounts and transactions have been eliminated in consolidation. | D&B Entertainment owns no significant assets or operations other than the ownership of all the common stock of D&B Holdings. D&B Holdings owns no significant assets or operations other than the ownership of all the common stock of Dave & Buster’s. References to the “Company”, “we”, “us”, and “our” refers to D&B Entertainment and its subsidiaries and any predecessor companies. All material intercompany accounts and transactions have been eliminated in consolidation. | |||||||||||||||||||||||||
On October 9, 2014, we amended our certificate of incorporation to increase our authorized share count to 450,000,000 shares of stock, including 400,000,000 shares of common stock and 50,000,000 shares of preferred stock, each with a par value of $0.01 per share and to split our common stock 224.9835679 for 1. On October 16, 2014, we amended and restated our certificate of incorporation in its entirety. | Our one industry segment is the operation and licensing of high-volume entertainment and dining venues under the names “Dave & Buster’s” and “Dave & Buster’s Grand Sports Café.” As of February 2, 2014, there were 66 company-owned locations in the United States and Canada. Subsequent to February 2, 2014, we opened new stores in Westchester, California and Vernon Hills, Illinois. On May 31, 2013, our lone franchise store ceased operation as Dave & Buster’s. This change and the associated termination of the related franchise and development agreements did not have a material impact on our financial position or results of operations. Dave & Buster’s operates its business as one operating and one reportable segment. We operate on a 52 or 53 week fiscal year that ends on the Sunday after the Saturday closest to January 31. Each quarterly period has 13 weeks, except for a 53-week year when the fourth quarter has 14 weeks. Our fiscal year ended February 3, 2013 consists of 53 weeks. All other fiscal years presented herein consist of 52 weeks. | |||||||||||||||||||||||||
On October 9, 2014, we completed our initial public offering of 5,882,353 shares of common stock at a price to the public of $16.00 per share. On October 10, 2014, the Company’s common stock began trading on the NASDAQ Global Market under the ticker symbol “PLAY”. We had granted the underwriters an option for a period of 30 days to purchase an additional 882,352 shares of our common stock which was exercised in full on October 21, 2014. After underwriting discounts and commissions and offering expenses, we received net proceeds from the initial public offering (the “IPO”) of approximately $98,573. We used these proceeds to repay a portion of the principal amount of term loan debt outstanding under the new senior secured credit facility. | Basis of Presentation—The accompanying audited financial statements have been prepared in accordance with generally accepted accounting principles (“GAAP”) in the United States as prescribed by the Securities and Exchange Commission. | |||||||||||||||||||||||||
We operate our business as one operating and one reportable segment. Our one industry segment is the operation and licensing of high-volume entertainment and dining venues under the names “Dave & Buster’s” and “Dave & Buster’s Grand Sports Café.” We operate on a 52 or 53 week fiscal year that ends on the Sunday after the Saturday closest to January 31. Each quarterly period has 13 weeks, except for a 53 week year when the fourth quarter has 14 weeks. Our fiscal years ending February 1, 2015 and February 2, 2014, both consist of 52 weeks. | The financial statements include our accounts after elimination of all significant intercompany balances and transactions. All dollar amounts are presented in thousands, unless otherwise noted, except share amounts. | |||||||||||||||||||||||||
During the first thirty-nine weeks of fiscal 2014, we opened five new stores. As of November 2, 2014, there were 70 company-owned stores in the United States and Canada. We have also opened new stores in Albuquerque, New Mexico on November 3, 2014, Clackamas (Portland), Oregon on November 10, 2014 and Greenville, South Carolina on November 17, 2014. On August 12, 2014, we permanently closed our location in Kensington/Bethesda, Maryland (“Bethesda”). Revenues for our Bethesda store were $5,416 and $8,973 in the thirty-nine weeks ended November 2, 2014 and November 3, 2013, respectively. Operating income for the store was $851 for the thirty-nine weeks ended November 2, 2014, and $2,109 for the same period of fiscal 2013. | In October 2014 we completed our initial public offering of our common stock to the public. We sold a total of 6,764,705 shares (including the full exercise of underwriters option to purchase additional shares) at a price to the public of $16.00. Our common stock began trading on the NASDAQ Global Market under the ticker symbol “PLAY” on October 10, 2014. In connection with our initial public offering, our board of directors and shareholders approved a 224.9835679 for 1 stock split of our common stock. This stock split was effective on October 9, 2014. | |||||||||||||||||||||||||
Reclassifications—All share and per-share data herein have been retroactively adjusted to reflect the 224.9835679 for 1 stock split as though it had occurred prior to the earliest data presented. One reclassification has been made to the fiscal year 2013 Consolidated Balance Sheets to conform to the fiscal year 2014 presentation. We reclassified $333 of Paid-in capital as of February 2, 2014, to Common stock to effect the 224.9835679 for 1 stock split. | Reclassifications—All share and per-share data herein have been retroactively adjusted to reflect the 224.9835679 for 1 stock split as though it had occurred prior to the earliest data presented. One reclassification has been made to the fiscal year 2013 and fiscal year 2012 Consolidated Balance Sheets to reflect the impact of the stock split to common stock. We reclassified $333 of Paid-in capital as of February 2, 2014 and February 3, 2013, to common stock to effect the 224.9835679 for 1 stock split. | |||||||||||||||||||||||||
Such reclassifications impacted the shares disclosed on the Consolidated Balance Sheets, the weighted average shares and Net income (loss) per share on the Consolidated Statements of Comprehensive Income (Loss), share amounts included in the Consolidated Statements of Stockholders’ Equity and the share and per share amounts listed in Notes 6 and 7. | Such reclassifications impacted the shares disclosed on the Consolidated Balance Sheets, the weighted average shares and Net income (loss) per share on the Consolidated Statements of Comprehensive Income (Loss), share amounts included in the Consolidated Statements of Stockholders’ Equity and the share amounts listed in Notes 10 and 15. | |||||||||||||||||||||||||
Seasonality—Our revenues and operations are influenced by seasonal shifts in consumer spending. Revenues associated with spring and year-end holidays during our first and fourth quarters have historically been higher as compared to the other quarters and will continue to be susceptible to the impact of severe spring and winter weather on customer traffic and sales during those periods. Our third quarter, which encompasses the back-to-school fall season, has historically had lower revenues as compared to the other quarters. | ||||||||||||||||||||||||||
Related Party Transactions—Funds managed by Oak Hill Advisors, L.P. (the “OHA Funds”) comprise one of the creditors participating in the term loan portion of our new senior secured credit facility. As of November 2, 2014, the OHA Funds held approximately 10.8% or $46,622 of our total term loan obligation. Oak Hill Advisors, L.P. is an independent investment firm that is not an affiliate of the Oak Hill Funds and is not under common control with the Oak Hill Funds. Certain employees of the Oak Hill Funds, in their individual capacities, have passive investments in Oak Hill Advisors, L.P. and/or the funds it manages. | Use of estimates—The preparation of financial statements in conformity with GAAP requires us to make certain estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Actual results could differ from those estimates. | |||||||||||||||||||||||||
Subsequent to the IPO, the Oak Hill Funds beneficially own approximately 79.2% of our outstanding stock, and certain members of our Board of Directors and our management beneficially own approximately 3.7% of our outstanding stock. The Oak Hill Funds continue to own a majority of the voting power of our outstanding common stock. As a result, we are a “controlled company” within the meaning of the corporate governance standards of NASDAQ. | Cash and cash equivalents—We consider transaction settlements in process from credit card companies and all highly liquid temporary investments with original maturities of three months or less to be cash equivalents. | |||||||||||||||||||||||||
We have an expense reimbursement agreement with Oak Hill Capital Management, LLC (“Oak Hill Capital”), which provides for the reimbursement of certain costs and expenses of Oak Hill Capital. We made payments to Oak Hill Capital of $7 and $41 during the thirteen and thirty-nine weeks ended November 2, 2014, respectively, and $20 and $115 during the thirteen and thirty-nine weeks ended November 3, 2013, respectively. | Concentration of Credit Risk—Financial instruments which potentially subject us to a concentration of credit risk are cash and cash equivalents. We currently maintain our day-to-day operating cash balances with major financial institutions. At times, our operating cash balances may be in excess of the Federal Deposit Insurance Corporation (“FDIC”) insurance limit. From time to time, we invest temporary excess cash in overnight investments with expected minimal volatility, such as money market funds. Although we maintain balances that exceed the FDIC insured limit, we have not experienced any losses related to this balance, and we believe credit risk to be minimal. | |||||||||||||||||||||||||
We paid board compensation of $59 and $176 during the thirteen and thirty-nine weeks ended November 2, 2014 and November 3, 2013, respectively, to David Jones, who serves as a senior advisor to the Oak Hill Funds, and Alan Lacy, who served as a senior advisor to the Oak Hill Funds until December 2014. | Inventories—Inventories of food, beverages, merchandise and other supplies needed for our food service and amusement operations are stated at the lower of cost or market determined on a first-in, first-out method. | |||||||||||||||||||||||||
Interim financial statements—The accompanying unaudited financial statements have been prepared in accordance with generally accepted accounting principles (“GAAP”) in the United States for interim financial information as prescribed by the Securities and Exchange Commission (“SEC”). Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements. In the opinion of management, these financial statements contain all adjustments, consisting of normal recurring accruals, necessary to present fairly the financial position, results of operations and cash flows for the periods indicated. The preparation of financial statements in accordance with GAAP requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. We are a seasonal business, therefore operating results for the thirty-nine weeks ended November 2, 2014 are not necessarily indicative of results that may be expected for any other interim period or for the year ending February 1, 2015. These financial statements should be read in conjunction with the audited financial statements and notes thereto for the year ended February 2, 2014, included in our prospectus filed with the SEC pursuant to Rule 424(b) (4) under the Securities Act of 1933 on October 14, 2014. | Deferred tax assets—A deferred income tax asset or liability is established for the expected future consequences resulting from temporary differences in the financial reporting and tax basis of assets and liabilities. As of February 2, 2014, we have recorded $1,388 as a valuation allowance against a portion of our deferred tax assets. The valuation allowance was established in accordance with accounting guidance for income taxes. If our taxable income decreases in future periods or if the facts and circumstances on which our estimates and assumptions are based were to change, thereby impacting the likelihood of realizing the deferred tax assets, judgment would have to be applied in determining if an addition to the allowance would be required or the amount of the valuation allowance no longer required. | |||||||||||||||||||||||||
The financial statements include our accounts after elimination of all significant intercompany balances and transactions. All dollar amounts are presented in thousands, unless otherwise noted, except share amounts. | Property and equipment—Property and equipment are stated at cost, net of accumulated depreciation. Depreciation is charged to operations using the straight-line method over the assets’ estimated useful lives, which are as follows: | |||||||||||||||||||||||||
Concentration of Credit Risk—Financial instruments which potentially subject us to a concentration of credit risk are cash and cash equivalents. We currently maintain our day-to-day operating cash balances with major financial institutions. At times, our operating cash balances may be in excess of the Federal Deposit Insurance Corporation (“FDIC”) insurance limit. From time to time, we invest temporary excess cash in overnight investments with expected minimal volatility, such as money market funds. Although we maintain balances that exceed the FDIC insured limit, we have not experienced any losses related to this balance, and we believe credit risk to be minimal. | ||||||||||||||||||||||||||
Recent Accounting Pronouncements—In May 2014, the Financial Accounting Standards Board issued guidance outlining a single comprehensive model for entities to use in accounting for revenue arising from contracts with customers. This guidance requires an entity to recognize revenue when it transfers promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. Additionally, this guidance expands related disclosure requirements. This guidance is effective for reporting periods beginning after December 15, 2016. We are currently evaluating the impact this guidance will have on our consolidated financial position and results of operations. | ||||||||||||||||||||||||||
ESTIMATED DEPRECIABLE | ||||||||||||||||||||||||||
LIVES (IN YEARS) | ||||||||||||||||||||||||||
Buildings | Shorter of 40 | |||||||||||||||||||||||||
or expected | ||||||||||||||||||||||||||
ground lease term | ||||||||||||||||||||||||||
Leasehold and building improvements | Shorter of 20 or | |||||||||||||||||||||||||
expected lease term | ||||||||||||||||||||||||||
Furniture, fixtures and equipment | 10-Mar | |||||||||||||||||||||||||
Games | 20-May | |||||||||||||||||||||||||
Expenditures that substantially increase the useful lives of the property and equipment are capitalized, whereas costs incurred to maintain the appearance and functionality of such assets are charged to repair and maintenance expense. Interest costs incurred during construction are capitalized and depreciated based on the estimated useful life of the underlying asset. | ||||||||||||||||||||||||||
We review our property and equipment annually, on a store-by-store basis to determine whether facts or circumstances exist that may indicate the carrying values of these long-lived assets are impaired. We compare store-level undiscounted operating cash flows (which exclude interest, general and administrative and other allocated expenses) to the carrying amount of property and equipment allocated to each store. If the expected future cash flows are less than the asset carrying amount (an indication that the carrying amount may not be recoverable), we may recognize an impairment loss. Any impairment loss recognized equals the amount by which the asset carrying amount exceeds its fair value. We recognized an impairment loss of $200 during fiscal 2011 related to one of our stores in Dallas, Texas, which we permanently closed on May 2, 2011. No impairment charges were recognized in fiscal years 2013 or 2012. | ||||||||||||||||||||||||||
Goodwill and other intangible assets—In accordance with accounting guidance for goodwill and other intangible assets, goodwill and indefinite lived intangibles, such as tradenames, are not amortized, but are reviewed for impairment at least annually. We perform step one of the impairment test in our fourth quarter unless circumstances require this analysis to be completed sooner. Step one of the impairment test is based upon a comparison of the carrying value of our net assets, including goodwill balances, to the fair value of our net assets. Fair value is measured using a combination of the guideline company method, external transaction method, and the income approach. The guideline company method uses valuation multiples from selected publicly-traded companies that we believe are exposed to market forces that are similar to those faced by the Company. The external transaction method involves analyzing previous mergers or acquisitions involving private or public companies that are similar to the Company. The income approach consists of utilizing the discounted cash flow method that incorporates our estimates of future revenues and costs, discounted using a risk-adjusted discount rate. Key assumptions used in our testing include future store openings, revenue growth, operating expenses and discount rate. Estimates of revenue growth and operating expenses are based on internal projections considering our past performance and forecasted growth, market economics and the business environment impacting our Company’s performance. Discount rates are determined by using a weighted average cost of capital (“WACC”). The WACC considers market and industry data as well as company-specific risk factors. These estimates are highly subjective judgments and can be significantly impacted by changes in the business or economic conditions. Our estimates used in the income approach are consistent with the plans and estimates used to manage operations. We evaluate all methods to ensure reasonably consistent results. Based on the completion of the step one test, we determined that goodwill was not impaired. | ||||||||||||||||||||||||||
The evaluation of the carrying amount of other intangible assets with indefinite lives is made at least annually by comparing the carrying amount of these assets to their estimated fair value. The estimated fair value is generally determined on the basis of discounted future cash flows. If the estimated fair value is less than the carrying amount of the other intangible assets with indefinite lives, then an impairment charge is recorded to reduce the asset to its estimated fair value. | ||||||||||||||||||||||||||
Based on our analysis, we determined that our intangible assets with an indefinite life, our tradename, was not impaired. | ||||||||||||||||||||||||||
We have developed and acquired certain trademarks that are utilized in our business and have been determined to have finite lives. We also have intangible assets related to our non-compete agreements and customer relationships. These intangible assets are included in “Other assets and deferred charges” on the Consolidated Balance Sheet and are amortized over their useful lives. | ||||||||||||||||||||||||||
Deferred financing costs—The Company capitalizes costs incurred in connection with borrowings or establishment of credit facilities. These costs are included in “Other assets and deferred charges” and are amortized as an adjustment to interest expense over the life of the borrowing or life of the credit facility. In the case of early debt principal repayments, the Company adjusts the value of the corresponding deferred financing costs with a charge to interest expense, and similarly adjusts the future amortization expense. The following table details amounts relating to those assets: | ||||||||||||||||||||||||||
FISCAL YEAR ENDED | FISCAL YEAR ENDED | FISCAL YEAR ENDED | ||||||||||||||||||||||||
FEBRUARY 2, 2014 | FEBRUARY 3, 2013 | JANUARY 29, 2012 | ||||||||||||||||||||||||
Balance at beginning of period | $ | 10,076 | $ | 12,735 | $ | 11,312 | ||||||||||||||||||||
Additional deferred financing costs | 726 | — | 4,088 | |||||||||||||||||||||||
Amortization during period | (2,848 | ) | (2,659 | ) | (2,665 | ) | ||||||||||||||||||||
Balance at end of period | $ | 7,954 | $ | 10,076 | $ | 12,735 | ||||||||||||||||||||
Self-Insurance Accruals—We are self-insured for certain losses related to workers’ compensation claims, general liability matters and our company sponsored employee health insurance programs. We estimate the accrued liabilities for our self-insurance programs using historical claims experience and loss reserves, assisted by independent third-party actuaries. To limit our exposure to losses, we maintain stop-loss coverage through third-party insurers. | ||||||||||||||||||||||||||
Comprehensive income (loss)—Comprehensive income is defined as the change in equity of a business enterprise during a period from transactions and other events and circumstances from non-owner sources. In addition to net income (loss), unrealized foreign currency translation gain (loss) is included in comprehensive income. Unrealized translation loss for fiscal 2013 was $419. Unrealized translation gains for fiscal 2012 and fiscal 2011 were $15, and $42, respectively. | ||||||||||||||||||||||||||
Foreign currency translation—The financial statements related to the operations of our Toronto store are prepared in Canadian dollars. Income statement amounts are translated at average exchange rates for each period, while the assets and liabilities are translated at year-end exchange rates. Translation adjustments for assets and liabilities are included in stockholders’ equity as a component of accumulated comprehensive income (loss). | ||||||||||||||||||||||||||
Fair Value Disclosures—Fair value is defined as the price that we would receive to sell an asset or pay to transfer a liability (an exit price) in an orderly transaction between market participants on the measurement date. In determining fair value, U.S. GAAP establishes a three-level hierarchy used in measuring fair value, as follows: | ||||||||||||||||||||||||||
n | Level 1 inputs are quoted prices available for identical assets and liabilities in active markets. | |||||||||||||||||||||||||
n | Level 2 inputs are observable for the asset or liability, either directly or indirectly, including quoted prices for similar assets and liabilities in active markets or other inputs that are observable or can be corroborated by observable market data. | |||||||||||||||||||||||||
n | Level 3 inputs are less observable and reflect our own assumptions. | |||||||||||||||||||||||||
Our financial instruments consist of cash and cash equivalents, accounts receivable, accounts payable, our senior secured credit facility, our senior notes and our senior discount notes. The carrying amount of cash and cash equivalents, accounts receivable and accounts payable approximates fair value because of their short maturities. We believe that the carrying amount of our term credit facility approximates its fair value because the interest rates are adjusted regularly based on current market conditions. The fair value disclosures for our senior notes and senior discount notes are presented in Note 7. | ||||||||||||||||||||||||||
We may adjust the carrying amount of certain nonfinancial assets to fair value on a non-recurring basis when they are impaired. No such adjustments were made in fiscal 2013 or 2012. | ||||||||||||||||||||||||||
Share-based expense—The expense associated with share-based equity awards granted as more fully described in Note 10 have been calculated as required by current accounting standards related to stock compensation. The grant date fair values of the options granted in 2013, 2012 and 2011 have been determined based on the option pricing method prescribed in AICPA Practice Aid, Valuation of Privately-Held-Company Equity Securities Issued as Compensation. The expected term of the options were based on the weighted average of anticipated exercise dates. Since we do not have publicly traded equity securities, the volatility of our options has been estimated using peer group volatility information. The risk-free interest rate was based on the implied yield on U.S. Treasury zero-coupon issues with a remaining term equivalent to the expected term. The significant assumptions used in determining the underlying fair value of the weighted-average options granted in fiscal 2013, 2012 and 2011 were as follows: | ||||||||||||||||||||||||||
FISCAL 2013 | FISCAL 2012 | FISCAL 2011 | ||||||||||||||||||||||||
SERVICE | PERFORMANCE | SERVICE | PERFORMANCE | SERVICE | PERFORMANCE | |||||||||||||||||||||
BASED | BASED | BASED | BASED | BASED | BASED | |||||||||||||||||||||
Volatility | 48.2 | % | 47 | % | 44.7 | % | 50 | % | 55 | % | 55 | % | ||||||||||||||
Risk free interest rate | 1.15 | % | 1.06 | % | 0.78 | % | 0.33 | % | 1.46 | % | 1.47 | % | ||||||||||||||
Expected dividend yield | 0 | % | 0 | % | 0 | % | 0 | % | 0 | % | 0 | % | ||||||||||||||
Expected term—in years | 6.5 | 6.5 | 4.9 | 3 | 4 | 4 | % | |||||||||||||||||||
Weighted average calculated value | $ | 4.72 | $ | 4.16 | $ | 2.43 | $ | 2.25 | $ | 0.98 | $ | 0.52 | ||||||||||||||
The options granted in fiscal years 2013, 2012 and 2011 have been issued pursuant to the terms of the Dave & Buster’s Entertainment, Inc. 2010 Management Incentive Plan (“2010 D&B Entertainment Incentive Plan”). The 2010 D&B Entertainment Incentive Plan allows the granting of nonqualified stock options to members of management, outside board members and consultants. Grantees may receive (i) time vesting options, which vest ratably on the first through fifth anniversary of the date of grant and/or (ii) performance vesting options which include Adjusted EBITDA vesting options that vest over a prescribed time period based on D&B Entertainment meeting certain profitability targets for each fiscal year and IRR vesting options which vest upon a change in control of D&B Entertainment if the Oak Hill Fund’s internal rate of return is greater than or equal to certain percentages set forth in the applicable option agreement, in each case subject to the grantee’s continued employment with or service to D&B Entertainment or its subsidiaries (subject to certain conditions in the event of grantee termination). | ||||||||||||||||||||||||||
Revenue recognition—Food and beverage revenues are recorded at point of service. Amusement revenues consist primarily of credits on Power Cards purchased and used by customers to activate most of the video and redemption games in our midway. Amusement revenues are primarily recognized upon utilization of these game play credits. We have recognized a liability for the estimated amount of unused game play credits which we believe our customers will utilize in the future based on credits remaining on Power Cards, historic utilization patterns and revenue per game play credit sold. | ||||||||||||||||||||||||||
Amusements costs of products—Certain midway games allow customers to earn coupons, which may be redeemed for prizes. The cost of these prizes is included in the cost of amusement products and is generally recorded when coupons are utilized by the customers by redeeming the coupons for a prize in our “Winner’s Circle.” Customers may also store the coupon value on a Power Card for future redemption. We have accrued a liability for the estimated amount of outstanding coupons we believe that will be redeemed in subsequent periods based on coupons outstanding, historic redemption patterns and the estimated redemption cost of products per coupon. | ||||||||||||||||||||||||||
Advertising costs—Advertising costs are recorded as an expense in the period in which we incur the costs or the first time the advertising takes place. Advertising costs expensed were $27,475, $28,502 and $26,612 in fiscal year 2013, 2012 and 2011, respectively. | ||||||||||||||||||||||||||
Lease accounting—Rent expense is recorded on a straight-line basis over the lease term. The lease term commences on the date when we take possession and have the right to control the use of the leased premises. The lease term includes the initial non-cancelable lease term plus any periods covered by renewal options that we consider reasonably assured of exercising. The difference between rent payments and rent expense in any period is recorded as Deferred occupancy costs in the Consolidated Balance Sheets. Construction allowances we receive from the lessor to reimburse us for the cost of leasehold improvements are recorded as deferred occupancy costs and amortized as a reduction of rent over the term of the lease. | ||||||||||||||||||||||||||
We had construction allowance receivables of $5,677 and $8,893 as of February 2, 2014 and February 3, 2013, respectively, related to our new store openings. Such balances are included in “Other current assets” in the Company’s Consolidated Balance Sheet. All receivable amounts are expected to be collected. | ||||||||||||||||||||||||||
Related party transaction—We have an expense reimbursement agreement with Oak Hill Capital Management, LLC, which provides for the reimbursement of certain costs and expenses of Oak Hill Capital Management, LLC. We made payments to Oak Hill Capital Management, LLC of $115 during fiscal 2013, $76 during fiscal 2012, and $297 during fiscal 2011 under the terms of the expense reimbursement agreement. | ||||||||||||||||||||||||||
We paid board compensation of $235, $235 and $153 in fiscal 2013, 2012 and 2011, respectively, to David Jones and Alan Lacy, two board members who serve as Senior Advisors to the Oak Hill Funds. | ||||||||||||||||||||||||||
From time to time we temporarily borrow funds from Dave & Buster’s for payment of expenditures for our corporate purposes. Additionally, Dave & Buster’s owes us for certain tax-related matters. We had a net receivable of $6,907 and $3,349 as of February 2, 2014 and February 3, 2013, respectively. These intercompany amounts have been eliminated in the Consolidated Balance Sheets. | ||||||||||||||||||||||||||
Pre-opening costs—Pre-opening costs include costs associated with the opening and organizing of new stores, including pre-opening rent, staff training and recruiting, and travel costs for employees engaged in such pre-opening activities. All pre-opening costs are expensed as incurred. | ||||||||||||||||||||||||||
Income taxes—We use the asset/liability method for recording income taxes, which recognizes the amount of current and deferred taxes payable or refundable at the date of the financial statements as a result of all events that are recognized in the financial statements and as measured by the provisions of enacted tax laws. We also recognize liabilities for uncertain income tax positions for those items that meet the “more likely than not” threshold. | ||||||||||||||||||||||||||
The calculation of tax liabilities involves significant judgment and evaluation of uncertainties in the interpretation of state and federal tax regulations. As a result, we have established accruals for taxes that may become payable in future years as a result of audits by tax authorities. Tax accruals are reviewed regularly pursuant to accounting guidance for uncertainty in income taxes. Tax accruals are adjusted as events occur that affect the potential liability for taxes such as the expiration of statutes of limitations, conclusion of tax audits, identification of additional exposure based on current calculations, identification of new issues, or the issuance of statutory or administrative guidance or rendering of a court decision affecting a particular issue. Accordingly, we may experience significant changes in tax accruals in the future, if or when such events occur. | ||||||||||||||||||||||||||
As of February 2, 2014, we have accrued approximately $767 of unrecognized tax benefits, including approximately $291 of penalties and interest. During fiscal 2013, we recognized approximately $5 of tax benefits and an additional $1 of benefits related to penalties and interest based upon lapsing of time and settlement with taxing jurisdictions. Future recognition of potential interest or penalties, if any, will be recorded as a component of income tax expense. Because of the impact of deferred income tax accounting, $349 of unrecognized tax benefits, if recognized, would impact the effective tax rate. | ||||||||||||||||||||||||||
Recent Accounting Pronouncements | ||||||||||||||||||||||||||
Accounting Guidance Adopted—In July 2012, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU’) No. 2012-02, “Intangibles-Goodwill and Other (Topic 350): Testing Indefinite-Lived Intangible Assets for Impairment”. The revised standard is intended to reduce the cost and complexity of testing indefinite-lived intangible assets other than goodwill for impairment. It allows companies to perform a “qualitative” assessment to determine whether further impairment testing of indefinite-lived intangible assets is necessary, similar in approach to the goodwill impairment test. This amendment is effective for annual and interim impairment tests performed for fiscal years beginning after September 15, 2012. We review our intangible assets for impairment in our fourth quarter unless circumstances require this analysis to be completed sooner. The adoption of ASU No. 2012-02 did not have an impact on the Company’s financial position, results of operations or cash flows. | ||||||||||||||||||||||||||
In February 2013, the FASB issued ASU No. 2013-02, “Comprehensive Income (Topic 220): Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income,” which requires an entity to provide information about the amounts reclassified out of accumulated other comprehensive income by component. This guidance requires the disclosure of significant amounts reclassified from each component of accumulated other comprehensive income and the income statement line items affected by the reclassification. ASU No. 2013-02 is effective for the Company prospectively for reporting periods beginning after December 15, 2012. The adoption of ASU No. 2013-02 did not have an impact on the Company’s financial position, results of operations or cash flows. | ||||||||||||||||||||||||||
Accounting Guidance Not Yet Adopted—In July 2013, the FASB issued ASU No. 2013-11, “Income Taxes (Topic 740): Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists.” This amendment requires an unrecognized tax benefit related to a net operating loss carryforward, a similar tax loss or a tax credit carryforward to be presented as a reduction to a deferred tax asset, unless the tax benefit is not available at the reporting date to settle any additional income taxes under the tax law of the applicable tax jurisdiction. The amendment is effective for fiscal years, and interim periods within those years, beginning after December 15, 2013. Early adoption is permitted. We do not expect the provisions of ASU No. 2013-11 to have a material effect on the Company’s financial position, results of operations or cash flows. |
Casualty_loss
Casualty loss | 12 Months Ended |
Feb. 02, 2014 | |
Casualty Loss Disclosure [Abstract] | |
Casualty loss | Note 2: Casualty loss |
On May 2, 2010, flooding occurred in Nashville, Tennessee, causing considerable damage to our Nashville store and the retail mall where our store is located. The store is covered by up to $25,000 in property and business interruption insurance subject to an overall deductible of one thousand dollars. | |
During fiscal 2011, we recorded $3,215 as a reduction to “Other store operating expenses” in the Consolidated Statement of Operations related to the recovery of business interruption losses from our insurance carrier, of which $1,629 was received in fiscal 2010. Additionally, during fiscal 2011, we have received $2,414 from our insurance carrier which settled in full the casualty related receivables we recorded in 2010. $798 of the funds received relates to property and equipment, $156 relates to inventories, $778 relates to pre-opening costs, and $682 relates to remediation expenses and other costs incurred as a result of the flood. The build-out of our leased facility was completed prior to January 29, 2012, and our landlord delivered to us assets with a fair value of $2,443, which resulted in a gain that we recorded in “Other store operating expenses” of $955. As of January 29, 2012, all receivables casualty related have been collected and we expect no further collections related to this casualty loss. The store reopened on November 28, 2011. |
Inventories
Inventories | 12 Months Ended | ||||||||
Feb. 02, 2014 | |||||||||
Inventory Disclosure [Abstract] | |||||||||
Inventories | Note 3: Inventories | ||||||||
Inventories consist of the following: | |||||||||
FEBRUARY 2, | FEBRUARY 3, | ||||||||
2014 | 2013 | ||||||||
Operating store—food and beverage | $ | 3,961 | $ | 3,581 | |||||
Operating store—amusement | 6,214 | 6,125 | |||||||
Corporate supplies, warehouse and other | 5,179 | 5,143 | |||||||
$ | 15,354 | $ | 14,849 | ||||||
Amusement inventory includes electronic equipment, stuffed animals and small novelty items used as redemption prizes for certain midway games, as well as supplies needed for midway operations. |
Property_and_Equipment
Property and Equipment | 12 Months Ended | ||||||||
Feb. 02, 2014 | |||||||||
Property, Plant and Equipment [Abstract] | |||||||||
Property and Equipment | Note 4: Property and Equipment | ||||||||
Property and equipment consist of the following: | |||||||||
FEBRUARY 2, | FEBRUARY 3, | ||||||||
2014 | 2013 | ||||||||
Buildings and building improvements | $ | 14,176 | $ | 13,919 | |||||
Leasehold improvements | 330,641 | 288,555 | |||||||
Furniture, fixtures and equipment | 117,194 | 93,693 | |||||||
Games | 88,310 | 73,094 | |||||||
Construction in progress | 33,111 | 7,435 | |||||||
Total cost | 583,432 | 476,696 | |||||||
Accumulated depreciation | (195,339 | ) | (139,457 | ) | |||||
Property and equipment, net | $ | 388,093 | $ | 337,239 | |||||
Interest costs capitalized during the construction of facilities were $602 for fiscal 2013, $510 for fiscal 2012, and $759 for fiscal 2011. | |||||||||
Property and equipment are depreciated using the straight-line method over the estimated useful life of the assets. Depreciation expense totaled $64,933 for fiscal 2013, $61,957 for fiscal 2012, and $52,623 for fiscal 2011. |
Goodwill_and_Other_Intangible_
Goodwill and Other Intangible Assets | 12 Months Ended | ||||||||||||||||||||
Feb. 02, 2014 | |||||||||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | |||||||||||||||||||||
Goodwill and Other Intangible Assets | Note 5: Goodwill and Other Intangible Assets | ||||||||||||||||||||
Changes in the carrying amount of goodwill for the year ended February 2, 2014 and February 3, 2013 are as follows: | |||||||||||||||||||||
GROSS AMOUNT | |||||||||||||||||||||
Goodwill Balance at January 29, 2012 | $ | 272,286 | |||||||||||||||||||
Foreign exchange differences | (8 | ) | |||||||||||||||||||
Goodwill Balance at February 3, 2013 | 272,278 | ||||||||||||||||||||
Foreign exchange differences | 150 | ||||||||||||||||||||
Goodwill Balance at February 2, 2014 | $ | 272,428 | |||||||||||||||||||
The following table presents our goodwill and intangible assets at February 2, 2014 and February 3, 2013: | |||||||||||||||||||||
FEBRUARY 2, 2014 | FEBRUARY 3, 2013 | ||||||||||||||||||||
USEFUL LIVES | GROSS CARRYING | ACCUMULATED | GROSS CARRYING | ACCUMULATED | |||||||||||||||||
AMOUNT | AMORTIZATION | AMOUNT | AMORTIZATION | ||||||||||||||||||
Not subject to amortization: | |||||||||||||||||||||
Goodwill | $ | 272,428 | $ | — | $ | 272,278 | $ | — | |||||||||||||
Tradenames | 79,000 | — | 79,000 | — | |||||||||||||||||
Total not subject to amortization | 351,428 | — | 351,278 | — | |||||||||||||||||
Subject to amortization: | |||||||||||||||||||||
Trademarks | 7 years | 8,500 | (4,471 | ) | 8,500 | (3,255 | ) | ||||||||||||||
Customer relationships | 9 years | 1,700 | (694 | ) | 1,700 | (506 | ) | ||||||||||||||
Non-compete agreements | 2 years | 500 | (500 | ) | 500 | (500 | ) | ||||||||||||||
Total subject to amortization | 10,700 | (5,665 | ) | 10,700 | (4,261 | ) | |||||||||||||||
Total goodwill and intangibles | $ | 362,128 | $ | (5,665 | ) | $ | 361,978 | $ | (4,261 | ) | |||||||||||
The remaining weighted-average amortization period for intangibles subject to amortization is 3.7 years. Amortization expense was $1,404, $1,500, and $1,654 for the fiscal year 2013, the fiscal year 2012, and the fiscal year 2011, respectively. Estimated amortization expense relating to intangible assets subject to amortization for each of the five succeeding years and beyond is as follows: | |||||||||||||||||||||
AMORTIZATION | |||||||||||||||||||||
EXPENSE | |||||||||||||||||||||
2014 | $ | 1,399 | |||||||||||||||||||
2015 | 1,399 | ||||||||||||||||||||
2016 | 1,399 | ||||||||||||||||||||
2017 | 588 | ||||||||||||||||||||
2018 | 188 | ||||||||||||||||||||
Thereafter | 62 | ||||||||||||||||||||
Total future amortization expense | $ | 5,035 | |||||||||||||||||||
Accrued_Liabilities
Accrued Liabilities | 9 Months Ended | 12 Months Ended | ||||||||||||||||
Nov. 02, 2014 | Feb. 02, 2014 | |||||||||||||||||
Accrued Liabilities, Current [Abstract] | ||||||||||||||||||
Accrued Liabilities | Note 2: Accrued Liabilities | Note 6: Accrued Liabilities | ||||||||||||||||
Accrued liabilities consist of the following: | Accrued liabilities consist of the following: | |||||||||||||||||
NOVEMBER 2, | FEBRUARY 2, | FEBRUARY 2, | FEBRUARY 3, | |||||||||||||||
2014 | 2014 | 2014 | 2013 | |||||||||||||||
Compensation and benefits | $ | 18,666 | $ | 14,459 | Compensation and benefits | $ | 14,459 | $ | 15,205 | |||||||||
Deferred amusement revenue | 16,107 | 14,047 | Deferred amusement revenue | 14,047 | 11,675 | |||||||||||||
Rent | 10,059 | 9,040 | Amusement redemption liability | 9,707 | 7,144 | |||||||||||||
Amusement redemption liability | 10,026 | 9,707 | Rent | 9,040 | 8,902 | |||||||||||||
Property taxes | 5,233 | 3,159 | Deferred gift card revenue | 4,709 | 4,028 | |||||||||||||
Deferred gift card revenue | 4,687 | 4,709 | Sales and use taxes | 4,408 | 4,282 | |||||||||||||
Sales and use tax | 3,723 | 4,408 | Interest | 4,214 | 4,242 | |||||||||||||
Current portion of long-term insurance reserves | 3,358 | 3,358 | Current portion of long-term insurance reserves | 3,358 | 3,000 | |||||||||||||
Accrued interest | 418 | 4,214 | Property taxes | 3,159 | 2,884 | |||||||||||||
Other | 11,210 | 7,278 | Other | 7,278 | 5,762 | |||||||||||||
Total accrued liabilities | $ | 83,487 | $ | 74,379 | Total accrued liabilities | $ | 74,379 | $ | 67,124 | |||||||||
LongTerm_Debt
Long-Term Debt | 9 Months Ended | 12 Months Ended | ||||||||||||||||||||
Nov. 02, 2014 | Feb. 02, 2014 | |||||||||||||||||||||
Debt Disclosure [Abstract] | ||||||||||||||||||||||
Long-Term Debt | Note 3: Long-Term Debt | Note 7: Long-Term Debt | ||||||||||||||||||||
Long-term debt consisted of the following: | Long-term debt consisted of the following: | |||||||||||||||||||||
NOVEMBER 2, | FEBRUARY 2, | FEBRUARY 2, | FEBRUARY 3, | |||||||||||||||||||
2014 | 2014 | 2014 | 2013 | |||||||||||||||||||
New senior secured credit facility—term | $ | 430,000 | $ | — | Senior secured credit facility—term | $ | 144,375 | $ | 145,875 | |||||||||||||
Repaid Debt: | Senior notes | 200,000 | 200,000 | |||||||||||||||||||
Senior secured credit facility—term | — | 144,375 | Senior discount notes | 180,790 | 180,790 | |||||||||||||||||
Senior notes | — | 200,000 | ||||||||||||||||||||
Senior discount notes | — | 180,790 | Total debt outstanding | 525,165 | 526,665 | |||||||||||||||||
Unamortized debt discount—senior secured credit facility | (550 | ) | (796 | ) | ||||||||||||||||||
Total debt outstanding | 430,000 | 525,165 | Unamortized debt discount—senior discount notes | (38,938 | ) | (54,819 | ) | |||||||||||||||
Less: | Less current installments | (1,500 | ) | (1,500 | ) | |||||||||||||||||
Unamortized debt discount—new senior secured credit facility | (1,024 | ) | — | |||||||||||||||||||
Unamortized debt discount—senior secured credit facility | — | (550 | ) | Long-term debt, less current installments, net of unamortized discount | $ | 484,177 | $ | 469,550 | ||||||||||||||
Unamortized debt discount—senior discount notes | — | (38,938 | ) | |||||||||||||||||||
Current installments | — | (1,500 | ) | |||||||||||||||||||
Long-term debt, less current installments, net of unamortized discount | $ | 428,976 | $ | 484,177 | Senior Secured Credit Facility—The Dave & Buster’s senior secured credit facility provides (a) a $150,000 term loan facility with a maturity date of June 1, 2016, and (b) a $50,000 revolving credit facility with a maturity date of June 1, 2015. The $50,000 revolving credit facility includes (i) a $20,000 letter of credit sub-facility (ii) a $5,000 swingline sub-facility and (iii) a $1,000 (in US Dollar equivalent) sub-facility available in Canadian dollars to the Canadian subsidiary. The revolving credit facility will be used to provide financing for general purposes. The senior secured credit facility is secured by virtually all of Dave & Buster’s assets and is unconditionally guaranteed by each of its direct and indirect, existing and future domestic subsidiaries (with certain agreed-upon exceptions) and by certain specified guarantors with respect to the obligations of its Canadian subsidiary. Dave & Buster’s originally received proceeds on the term loan facility of $148,500, net of a $1,500 discount. The discount is being amortized to interest expense over the life of the term loan facility. As of February 2, 2014, we had no borrowings under the revolving credit facility, borrowings of $144,375 ($143,825, net of discount) under the term facility and $5,670 in letters of credit outstanding. We believe that the carrying amount of our term credit facility approximates its fair value because the interest rates are adjusted regularly based on current market conditions. The interest rate on the term loan facility at February 2, 2014 was 4.5%. The fair value of Dave & Buster’s senior secured credit facility was determined to be a Level Two instrument as defined by GAAP. | |||||||||||||||||
The interest rates per annum applicable to loans, other than swingline loans, under our senior secured credit facility are currently set based on a defined Eurodollar rate plus an applicable margin. Swingline loans bear interest at a base rate plus an applicable margin. | ||||||||||||||||||||||
The senior secured credit facility requires compliance with financial covenants including a minimum fixed charge coverage ratio test and a maximum leverage ratio test. The Company is required to maintain a minimum fixed charge coverage ratio of 1.15:1.00 and a maximum leverage ratio of 4.00:1.00 as of February 2, 2014. The financial covenants will become more restrictive over time. The required minimum fixed charge coverage ratio increases annually to a required ratio of 1.30:1.00 in the fourth quarter of fiscal year 2014 and thereafter. The maximum leverage ratio decreases annually to a required ratio of 3.25:1.00 in the fourth quarter of fiscal year 2014 and thereafter. In addition, the senior secured credit facility includes negative covenants restricting or limiting, D&B Holdings, Dave & Buster’s and its subsidiaries’ ability to, among other things, incur additional indebtedness, pay dividends, make capital expenditures and sell or acquire assets. Virtually all of the Company’s assets are pledged as collateral for the senior secured credit facility. | ||||||||||||||||||||||
On May 13, 2011, D&B Holdings and Dave & Buster’s executed an amendment (the “Amendment”) to the senior secured credit facility. The Amendment reduced the applicable term loan margins and LIBOR floor used in setting interest rates, as well as limited Dave & Buster’s requirement to meet the covenant ratios, as stipulated in the Amendment, until such time as we make a draw on our revolving credit facility or issue letters of credit in excess of $12,000. As of February 2, 2014, we have had no draws on our revolving credit facility and outstanding letters of credit have not exceeded $12,000, and as such we were not required to maintain financial ratios under our senior secured credit facility. | ||||||||||||||||||||||
New Senior Secured Credit Facility—D&B Holdings together with Dave & Buster’s, Inc. entered into a senior secured credit facility that provides a $530,000 term loan facility with a maturity date of July 25, 2020 and a $50,000 revolving credit facility with a maturity date of July 25, 2019. The $50,000 revolving credit facility includes a $20,000 letter of credit sub-facility and a $5,000 swingline sub-facility. The revolving credit facility will be used to provide financing for general purposes. | On May 14, 2013, D&B Holdings and Dave & Buster’s executed a second amendment (the “Second Amendment”) to the senior secured credit facility. The primary modification included in the Second Amendment is a reduction in the applicable term loan margin based on a consolidated leverage ratio greater than or equal to 2.75:1.00. If our consolidated leverage ratio is less than 2.75:1.00, the applicable term loan margin will be reduced for periods subsequent to fiscal 2013. As of February 2, 2014, Dave & Buster’s consolidated leverage ratio was 2.55:1.00 | |||||||||||||||||||||
The Dave & Buster’s senior secured credit facility also contains certain customary representations and warranties, affirmative covenants and events of default, including: payment defaults, breaches of representations and warranties, covenant defaults, cross-defaults and cross-acceleration to certain indebtedness, certain events of bankruptcy, certain events under the Employee Retirement Income Security Act of 1974 as amended from time to time (“ERISA”), material judgments, actual or asserted failures of any guarantee or security document supporting the senior secured credit facility to be in full force and effect and a change of control. If an event of default occurs, the lenders under the senior secured credit facility would be entitled to take various actions, including acceleration of amounts due under the senior secured credit facility and all other actions permitted to be taken by a secured creditor. | ||||||||||||||||||||||
The senior secured credit facility is secured by the assets of Dave & Buster’s, Inc. and is unconditionally guaranteed by each of its direct and indirect, existing and future domestic subsidiaries (with certain agreed-upon exceptions). The Company originally received proceeds from the term loan facility of $528,675, net of a $1,325 discount. The discount is being amortized to interest expense over the six-year life of the term loan facility. | Funds managed by Oak Hill Advisors, L.P. (the “OHA Funds”) collectively comprise one of twenty-two creditors participating in the term loan portion of our senior secured credit facility. As of February 2, 2014, the OHA Funds held approximately 9.97%, or $14,394, of our total term loan obligation. Oak Hill Advisors, L.P. is an independent investment firm that is not an affiliate of the Oak Hill Funds and is not under common control with the Oak Hill Funds. Oak Hill Advisors, L.P. and an affiliate of Oak Hill Capital Management, LLC co-manage Oak Hill Special Opportunities Fund, L.P., a private fund. Certain employees of the Oak Hill Funds, in their individual capacities, have passive investments in Oak Hill Advisors, L.P. and/or the funds it manages. | |||||||||||||||||||||
Following the IPO, we repaid $100,000 principal amount of term loan facility. This payment was applied to the future quarterly payments required by the credit agreement. No principal payments are required until the maturity of the credit facility on July 25, 2020. In conjunction with the repayment, we incurred a loss on extinguishment charge of $1,586, consisting of the write-off of unamortized deferred debt issuance cost and unamortized discount related to the portion of the term loan that was repaid. This loss is included in the “Loss on debt retirement” in the Consolidated Statement of Comprehensive Income (Loss). | ||||||||||||||||||||||
As of November 2, 2014, we had no borrowings under the revolving credit facility, borrowings of $430,000 ($428,976, net of discount) under the term loan facility and $5,822 in letters of credit outstanding. We believe that the carrying amount of our term loan facility approximates its fair value because the interest rates are adjusted regularly based on current market conditions. The fair value of the Company’s new senior secured credit facility was determined to be a Level Two instrument as defined by GAAP. | Senior notes—The Dave & Buster’s senior notes are general unsecured, unsubordinated obligations of Dave & Buster’s and mature on June 1, 2018. Interest on the notes is paid semi-annually and accrues at the rate of 11.0% per annum. On or after June 1, 2014, Dave & Buster’s may redeem all, or from time-to-time, a part of the senior notes at redemption prices (expressed as a percentage of principal amount) ranging from 105.5% to 100.0% plus accrued and unpaid interest. As of February 2, 2014, our $200,000 of senior notes had an approximate fair value of $214,500 based on quoted market price. The fair value of the Dave & Buster’s senior notes was determined to be a Level One instrument as defined by GAAP. | |||||||||||||||||||||
The interest rates per annum applicable to loans, other than swingline loans, under our new senior secured credit facility are currently set based on a defined LIBOR rate plus an applicable margin. Swingline loans bear interest at a base rate plus an applicable margin. The loans bear interest subject to a pricing grid based on a secured leveraged ratio, at LIBOR plus a spread ranging from 3.25% to 3.5% for the term loans and LIBOR plus a spread ranging from 3.0% to 3.5% for the revolving loans. The interest rate on the term loan facility at November 2, 2014 was 4.5%. | The senior notes restrict Dave & Buster’s ability to incur indebtedness, outside of the senior secured credit facility, unless the consolidated coverage ratio exceeds 2.00:1.00 or other financial and operational requirements are met. Additionally, the terms of the notes restrict Dave & Buster’s ability to make certain payments to affiliated entities. Dave & Buster’s was in compliance with the debt covenants as of February 2, 2014. | |||||||||||||||||||||
Senior Discount Notes—On February 22, 2011, D&B Entertainment issued principal amount $180,790 of 12.25% senior discount notes. The notes will mature on February 15, 2016. No cash interest will be paid on the notes prior to maturity, but the value of the notes will accrete (representing the amortization of original issue discount) between the date of original issue and the maturity date of the senior discount notes, at a rate of 12.25% per annum, such that the accreted value will equal the principal amount on the maturity date. | ||||||||||||||||||||||
Proceeds from the new senior secured credit facility were used as follows: | On or after August 15, 2013, the Company may redeem all, or from time-to-time, a part of the senior discount notes at redemption prices (expressed as a percentage of accreted value) ranging from 106.125% to 100.0%. As of February 2, 2014, our senior discount notes had an approximate fair value of $150,100 (carrying value of $141,852) based on quoted market prices. The fair value of the Company’s senior discount notes was determined to be a Level Two instrument as defined by GAAP. | |||||||||||||||||||||
The Company received net proceeds of $100,000, which we used to pay debt issuance costs and to repurchase a portion of the common stock owned by our stockholders. We did not retain any proceeds from the note issuance. D&B Entertainment is the sole obligor of the notes. D&B Holdings, Dave & Buster’s nor any of its subsidiaries are guarantors of these notes. However, neither D&B Holdings nor D&B Entertainment has any material assets or operations separate from Dave & Buster’s. | ||||||||||||||||||||||
The senior discount notes restrict the Company’s ability to incur indebtedness, outside of the senior secured credit facility, unless the consolidated coverage ratio exceeds 2.00:1.00 or other financial and operational requirements are met. Additionally, the terms of the senior discount notes restrict the Company’s ability to make certain payments to affiliated entities. The Company was in compliance with the debt covenants as of February 2, 2014. | ||||||||||||||||||||||
Future debt obligations—The following table sets forth our future debt principal payment obligations as of February 2, 2014 (excluding repayment obligations under the revolving portion of our senior secured credit facility). | ||||||||||||||||||||||
Repayment of Dave & Buster’s, Inc. senior credit facility | ||||||||||||||||||||||
Outstanding principal | $ | 143,509 | ||||||||||||||||||||
Accrued and unpaid interest | 460 | |||||||||||||||||||||
Legal expenses | 41 | DEBT OUTSTANDING | ||||||||||||||||||||
AS OF FEBRUARY 2, 2014 | ||||||||||||||||||||||
144,010 | 1 year or less | $ | 1,500 | |||||||||||||||||||
2 years | 1,500 | |||||||||||||||||||||
Repayment of Dave & Buster’s, Inc. 11% senior notes | 3 years | 322,165 | ||||||||||||||||||||
Outstanding principal | 200,000 | 4 years | — | |||||||||||||||||||
Accrued and unpaid interest | 3,239 | 5 years | 200,000 | |||||||||||||||||||
Premium for early redemption | 11,000 | Thereafter | — | |||||||||||||||||||
Additional interest paid to trustee | 1,833 | |||||||||||||||||||||
Total future payments | $ | 525,165 | ||||||||||||||||||||
216,072 | ||||||||||||||||||||||
Repayment of Dave & Buster’s Parent, Inc. (now known as D&B Entertainment) 12.25% senior discount notes | ||||||||||||||||||||||
Issue price outstanding, net of original issue discount | 100,000 | |||||||||||||||||||||
Previously accreted interest expense | 41,852 | The following tables set forth our recorded interest expense, net: | ||||||||||||||||||||
Current year interest accretion included in Interest expense, net | 8,341 | |||||||||||||||||||||
Premium for early redemption | 4,646 | |||||||||||||||||||||
Additional interest paid to trustee | 1,478 | |||||||||||||||||||||
156,317 | FISCAL YEAR | FISCAL YEAR | FISCAL YEAR | |||||||||||||||||||
ENDED | ENDED | ENDED | ||||||||||||||||||||
Total payments to retire prior debt | 516,399 | FEBRUARY 2, | FEBRUARY 3, | JANUARY 29, | ||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||||||
Dave & Buster’s debt-based interest expense | $ | 29,675 | $ | 31,393 | 31,196 | |||||||||||||||||
Payments of costs associated with new debt issuance | 8,212 | D&B Entertainment Interest accretion | 15,881 | 14,141 | 11,830 | |||||||||||||||||
Administrative fee paid to administrative agent | 31 | Amortization of issuance cost and discount | 3,189 | 2,946 | 3,031 | |||||||||||||||||
Capitalized interest | (602 | ) | (510 | ) | (759 | ) | ||||||||||||||||
8,243 | Interest income | (334 | ) | (336 | ) | (367 | ) | |||||||||||||||
Total interest expense, net | $ | 47,809 | $ | 47,634 | 44,931 | |||||||||||||||||
Retained cash | 4,033 | |||||||||||||||||||||
Net proceeds received | $ | 528,675 | ||||||||||||||||||||
The loss on debt retirement is comprised of the following: | ||||||||||||||||||||||
Non-cash charges | ||||||||||||||||||||||
Loss on refinancing | ||||||||||||||||||||||
Unamortized debt issuance cost | $ | 6,559 | ||||||||||||||||||||
Unamortized debt discount | 435 | |||||||||||||||||||||
Loss on early repayment | ||||||||||||||||||||||
Unamortized debt issuance cost | 1,347 | |||||||||||||||||||||
Unamortized debt discount | 239 | |||||||||||||||||||||
8,580 | ||||||||||||||||||||||
Direct costs associated with debt retirement | ||||||||||||||||||||||
Premium for early redemption: | ||||||||||||||||||||||
Dave & Buster’s, Inc. senior notes | 11,000 | |||||||||||||||||||||
D&B Entertainment senior discount notes | 4,646 | |||||||||||||||||||||
Additional interest paid to trustee: | ||||||||||||||||||||||
Dave & Buster’s, Inc. senior notes | 1,833 | |||||||||||||||||||||
D&B Entertainment senior discount notes | 1,478 | |||||||||||||||||||||
Legal expenses | 41 | |||||||||||||||||||||
18,998 | ||||||||||||||||||||||
Loss on debt retirement | $ | 27,578 | ||||||||||||||||||||
Our new senior secured credit facility contains restrictive covenants that, among other things, limit our ability and the ability of our subsidiaries to: incur additional indebtedness, make loans or advances to subsidiaries and other entities, make initial capital expenditures in relation to new stores, declare dividends, acquire other businesses or sell assets. In addition, under our senior secured credit facility, we are required to meet a maximum total leverage ratio if outstanding revolving loans and letters of credit (other than letters of credit that have been backstopped or cash collateralized) are in excess of 30% of the outstanding revolving commitments. As of November 2, 2014, we were not required to maintain any of the financial ratios under the senior secured credit facility and we were in compliance with the other restrictive covenants. | ||||||||||||||||||||||
The following tables set forth our recorded interest expense, net for the periods indicated: | ||||||||||||||||||||||
THIRTY- | THIRTY- | |||||||||||||||||||||
NINE WEEKS | NINE WEEKS | |||||||||||||||||||||
ENDED | ENDED | |||||||||||||||||||||
NOVEMBER 2, 2014 | NOVEMBER 3, 2013 | |||||||||||||||||||||
Dave & Buster’s, Inc. debt-based interest expense | $ | 20,129 | $ | 22,363 | ||||||||||||||||||
D&B Entertainment Interest accretion | 8,341 | 11,768 | ||||||||||||||||||||
Amortization of issuance cost and discount | 1,962 | 2,397 | ||||||||||||||||||||
Interest income | (204 | ) | (209 | ) | ||||||||||||||||||
Less capitalized interest | (402 | ) | (440 | ) | ||||||||||||||||||
Total interest expense, net | $ | 29,826 | $ | 35,879 | ||||||||||||||||||
Future debt obligations—The following table sets forth our future debt principal payment obligations as of: | ||||||||||||||||||||||
NOVEMBER 2, 2014 | ||||||||||||||||||||||
1 year or less | $ | — | ||||||||||||||||||||
2 years | — | |||||||||||||||||||||
3 years | — | |||||||||||||||||||||
4 years | — | |||||||||||||||||||||
5 years | — | |||||||||||||||||||||
Thereafter | 430,000 | |||||||||||||||||||||
Total future payments | $ | 430,000 | ||||||||||||||||||||
Income_Taxes
Income Taxes | 9 Months Ended | 12 Months Ended | ||||||||||||||||||||
Nov. 02, 2014 | Feb. 02, 2014 | |||||||||||||||||||||
Income Tax Disclosure [Abstract] | ||||||||||||||||||||||
Income Taxes | Note 4: Income Taxes | Note 8: Income Taxes | ||||||||||||||||||||
The provision (benefit) for income taxes is as follows: | The provision (benefit) for income taxes is as follows: | |||||||||||||||||||||
THIRTY-NINE WEEKS | THIRTY-NINE WEEKS | FISCAL YEAR | FISCAL YEAR | FISCAL YEAR | ||||||||||||||||||
ENDED | ENDED | ENDED | ENDED | ENDED | ||||||||||||||||||
NOVEMBER 2, 2014 | NOVEMBER 3, 2013 | FEBRUARY 2, | FEBRUARY 3, | JANUARY 29, | ||||||||||||||||||
Current Expense | 2014 | 2013 | 2012 | |||||||||||||||||||
Federal | $ | 1,381 | $ | 2,788 | Current expense | |||||||||||||||||
Foreign | 237 | (42 | ) | Federal | $ | 615 | $ | 536 | $ | — | ||||||||||||
State and local | 1,953 | (191 | ) | Foreign | 97 | 361 | (175 | ) | ||||||||||||||
Deferred expense (benefit) | (8,065 | ) | (2,997 | ) | State and local | 1,150 | (51 | ) | 383 | |||||||||||||
Deferred expense (benefit) | (801 | ) | (13,548 | ) | (4,004 | ) | ||||||||||||||||
Total provision (benefit) for income taxes | $ | (4,494 | ) | $ | (442 | ) | ||||||||||||||||
Total provision (benefit) for income taxes | $ | 1,061 | $ | (12,702 | ) | $ | (3,796 | ) | ||||||||||||||
We use the asset/liability method for recording income taxes, which recognizes the amount of current and deferred taxes payable or refundable at the date of the financial statements as a result of all events that are recognized in the financial statements and as measured by the provisions of enacted tax laws. We also recognize liabilities for uncertain income tax positions for those items that meet the “more likely than not” threshold. | ||||||||||||||||||||||
In assessing the realizability of deferred tax assets we consider whether it is more likely than not that some or all of the deferred tax assets will not be realized. Accordingly, as of November 2, 2014 we have established a valuation allowance of $923 for deferred tax assets associated with state taxes and uncertain tax positions. The ultimate realization of our deferred tax assets is dependent on the generation of future taxable income during periods in which temporary differences and tax credit carryforwards become deductible. | ||||||||||||||||||||||
The calculation of tax liabilities involves significant judgment and evaluation of uncertainties in the interpretation of federal and state tax regulations. As a result, we have established accruals for taxes that may become payable in future years due to audits by tax authorities. Tax accruals are reviewed regularly pursuant to accounting guidance for uncertainty in income taxes. Tax accruals are adjusted as events occur that affect the potential liability for taxes, such as the expiration of statutes of limitations, conclusion of tax audits, identification of additional exposure based on current calculations, identification of new issues, the issuance of statutory or administrative guidance, or rendering of a court decision affecting a particular issue. Accordingly, we may experience significant changes in tax accruals in the future, if or when such events occur. | ||||||||||||||||||||||
As of November 2, 2014, we have accrued approximately $457 of unrecognized tax benefits and approximately $316 of penalties and interest. Future recognition of potential interest or penalties, if any, will be recorded as a component of income tax expense. Because of the impact of deferred income tax accounting, $330 of unrecognized tax benefits, if recognized, would affect the effective tax rate. | Significant components of the deferred tax liabilities and assets in the consolidated balance sheets are as follows: | |||||||||||||||||||||
As of November 2, 2014 we had approximately $9,825 of available federal tax credit carryforwards. There is a 20-year carryforward on general business credits and AMT credits can be carried forward indefinitely. | ||||||||||||||||||||||
On December 16, 2014, Congress passed the Tax Increase Prevention Act of 2014 (the “Act”). The Act includes provisions that accelerate the recognition of depreciation expense, for tax purposes, related to certain assets placed in service between January 1, 2014 and December 31, 2014. The Company is currently evaluating the impact of the Act and anticipates that the acceleration of depreciation will reduce the amount of federal taxes payable and the amount of tax credits utilized in the current year. | ||||||||||||||||||||||
FEBRUARY 2, | FEBRUARY 3, | |||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||||
Deferred tax assets: | ||||||||||||||||||||||
Tax credit carryovers | $ | 10,297 | $ | 10,155 | ||||||||||||||||||
Deferred revenue and redemption ticket liability | 9,540 | 7,252 | ||||||||||||||||||||
Leasing transactions | 5,585 | 3,838 | ||||||||||||||||||||
State net operating loss carryovers | 3,503 | 3,444 | ||||||||||||||||||||
Workers’ compensation and general liability insurance | 3,429 | 3,666 | ||||||||||||||||||||
Accrued liabilities | 1,985 | 2,770 | ||||||||||||||||||||
Deferred compensation | 1,610 | 1,140 | ||||||||||||||||||||
Smallware supplies | 714 | 713 | ||||||||||||||||||||
Indirect benefit of unrecognized tax benefits | 225 | 216 | ||||||||||||||||||||
Other | 1,567 | 1,391 | ||||||||||||||||||||
Total deferred tax assets | 38,455 | 34,585 | ||||||||||||||||||||
Valuation allowance for deferred tax assets—US | (1,388 | ) | (1,158 | ) | ||||||||||||||||||
Total deferred tax assets net of valuation allowance | 37,067 | 33,427 | ||||||||||||||||||||
Deferred tax liabilities: | ||||||||||||||||||||||
Trademark/trade name | 31,578 | 31,928 | ||||||||||||||||||||
Property and equipment | 4,109 | 963 | ||||||||||||||||||||
Prepaid expenses | 232 | 189 | ||||||||||||||||||||
Total deferred tax liabilities | 35,919 | 33,080 | ||||||||||||||||||||
Net deferred tax asset | $ | 1,148 | $ | 347 | ||||||||||||||||||
The Net deferred tax asset is presented in the Consolidated Balance Sheets as follows: | ||||||||||||||||||||||
FEBRUARY 2, | FEBRUARY 3, | |||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||||
Deferred income taxes—current | $ | 24,802 | $ | 25,137 | ||||||||||||||||||
Other assets and deferred charge | — | 286 | ||||||||||||||||||||
Deferred tax assets | 24,802 | 25,423 | ||||||||||||||||||||
Deferred income taxes—current | — | 189 | ||||||||||||||||||||
Deferred income taxes | 23,654 | 24,887 | ||||||||||||||||||||
Deferred tax liabilities | 23,654 | 25,076 | ||||||||||||||||||||
Net deferred tax asset | $ | 1,148 | $ | 347 | ||||||||||||||||||
At February 2, 2014, we had a $1,388 valuation allowance against our deferred tax assets. The ultimate realization of our deferred tax assets is dependent on the generation of future taxable income during periods in which temporary differences become deductible. In assessing the realizability of our deferred tax assets, at February 2, 2014 we considered whether it is more likely than not that some or all of the deferred tax assets will not be realized. Based on the level of recent historical taxable income; consistent generation of annual taxable income, recent payments of income taxes currently due, and estimations of future taxable income we have concluded that it is more likely than not that we will realize the federal tax benefits associated with our deferred tax assets. We assessed the realizability of the deferred tax assets associated with state taxes, foreign taxes and uncertain tax positions and have concluded that it is more likely than not that a portion of these assets will not be realized. Accordingly, we have increased our previously established valuation allowance against our deferred tax assets for state taxes and uncertain tax positions by $230. | ||||||||||||||||||||||
As of February 2, 2014, we had federal tax credit carryforwards of $10,248, including $9,578 of general business credits and $670 of AMT credit carryovers. There is a 20-year carryforward on general business credits and net AMT credits can be carried forward indefinitely. The general business credits do not begin to expire until 2028 and are expected to be utilized over the next three fiscal years. | ||||||||||||||||||||||
As of February 2, 2014, we no longer had any Federal net operating loss carryforwards available to reduce current income taxes due. During fiscal year 2012 we utilized all $14,172 of federal net operating loss carryforwards that existed at the end of fiscal year 2011. These net operating losses resulted from stock-based compensation tax deductions realized by our Predecessor from the consummation of the June 2010 acquisition and were not from operating results. | ||||||||||||||||||||||
The State of Texas has enacted legislation which established a tax based on taxable margin. As a result of the legislation and in accordance with accounting guidance for income taxes, we recorded an income tax expense of $246, $269 and $228 for the fiscal years ended February 2, 2014, February 3, 2013 and January 29, 2012, respectively. | ||||||||||||||||||||||
We currently anticipate that approximately $46 of unrecognized tax benefits will be settled through federal and state audits or will be recognized as a result of the expiration of statute of limitations during fiscal 2014. Future recognition of potential interest or penalties, if any, will be recorded as a component of income tax expense. Because of the impact of deferred tax accounting, $349 of unrecognized tax benefits, if recognized, would affect the effective tax rate. | ||||||||||||||||||||||
We file income tax returns, which are periodically audited by various federal, state and foreign jurisdictions. We are generally no longer subject to federal, state, or foreign income tax examinations for years prior to 2009. In fiscal 2011 the Internal Revenue Service (“IRS”) commenced an examination of D&B Entertainment’s U.S. income tax returns for fiscal 2009. As of February 2, 2014, the audit has been closed and the examination resulted in an immaterial change related to tax inventory carrying value. | ||||||||||||||||||||||
The change in unrecognized tax benefits excluding interest, penalties and related income tax benefits were as follows: | ||||||||||||||||||||||
FISCAL YEAR | FISCAL YEAR | FISCAL YEAR | ||||||||||||||||||||
ENDED | ENDED | ENDED | ||||||||||||||||||||
FEBRUARY 2, | FEBRUARY 3, | JANUARY 29, | ||||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||||||
Balance at beginning of year | $ | 471 | $ | 940 | $ | 881 | ||||||||||||||||
Additions for tax positions of prior years | 176 | 108 | 118 | |||||||||||||||||||
Reductions for tax positions of prior years | (32 | ) | (1 | ) | — | |||||||||||||||||
Settlements | — | (576 | ) | — | ||||||||||||||||||
Lapse of statute of limitations | (139 | ) | — | (59 | ) | |||||||||||||||||
Balance at end of year | $ | 476 | $ | 471 | $ | 940 | ||||||||||||||||
As of February 2, 2014, the accrued interest and penalties on the unrecognized tax benefits were $147 and $144, respectively, excluding any related income tax benefits. As of February 3, 2013, the accrued interest and penalties on the unrecognized tax benefits were $156 and $134, respectively, excluding any related income tax benefits. The Company recognized interest accrued related to the unrecognized tax benefits and penalties as a component of the provision for income taxes recognized in the Consolidated Statements of Operations. | ||||||||||||||||||||||
The reconciliation of the federal statutory rate to the effective income tax rate follows: | ||||||||||||||||||||||
FISCAL YEAR | FISCAL YEAR | FISCAL YEAR | ||||||||||||||||||||
ENDED | ENDED | ENDED | ||||||||||||||||||||
FEBRUARY 2, | FEBRUARY 3, | JANUARY 29, | ||||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||||||
Federal corporate statutory rate | 35 | % | 35 | % | 35 | % | ||||||||||||||||
State and local income taxes, net of federal income tax benefit | 30.8 | % | 1.2 | % | 4.1 | % | ||||||||||||||||
Foreign taxes | 1.8 | % | 0.9 | % | 1.2 | % | ||||||||||||||||
Nondeductible expenses | 24.9 | % | (23.5 | )% | (7.1 | )% | ||||||||||||||||
Tax credits | (74.8 | )% | 65.8 | % | 20.1 | % | ||||||||||||||||
Valuation allowance | 7.1 | % | 257.4 | % | (7.8 | )% | ||||||||||||||||
Change in reserve | 0.2 | % | 32.9 | % | (2.1 | )% | ||||||||||||||||
Other | 1.7 | % | (45.7 | )% | (8.2 | )% | ||||||||||||||||
Effective tax rate | 26.7 | % | 324 | % | 35.2 | % | ||||||||||||||||
Leases
Leases | 12 Months Ended | ||||||||||||||||||||||||
Feb. 02, 2014 | |||||||||||||||||||||||||
Leases [Abstract] | |||||||||||||||||||||||||
Leases | Note 9: Leases | ||||||||||||||||||||||||
We lease certain property and equipment under various non-cancelable operating leases. Some of the leases include options for renewal or extension on various terms. Most of the leases require us to pay property taxes, insurance and maintenance of the leased assets. Certain leases also have provisions for additional contingent rentals based on revenues. For fiscal 2013, rent expense for operating leases was $54,450, including contingent rentals of $2,858. For fiscal 2012, rent expense for operating leases was $50,561, including contingent rentals of $2,620. For fiscal 2011, rent expense for operating leases was $47,342, including contingent rentals of $2,310. At February 2, 2014 future minimum lease payments, including any periods covered by renewal options we are reasonably assured of exercising (including the sale/leaseback transactions described below), are: | |||||||||||||||||||||||||
2014 | 2015 | 2016 | 2017 | 2018 | THEREAFTER | TOTAL | |||||||||||||||||||
$57,024 | $ | 56,068 | $ | 54,947 | $ | 53,125 | $ | 49,603 | $ | 284,780 | $ | 555,547 | |||||||||||||
At February 2, 2014, we also had lease commitments on equipment as follows: | |||||||||||||||||||||||||
2014 | 2015 | 2016 | 2017 | 2018 | THEREAFTER | TOTAL | |||||||||||||||||||
$797 | $ | 606 | $ | 167 | $ | 14 | $ | — | $ | — | $ | 1,584 | |||||||||||||
We have signed operating lease agreements for our stores located in Westchester, California and Vernon Hills, Illinois which opened in February and March 2014 respectively, and a future site in Panama City Beach, Florida which is expected to open in the second quarter of fiscal 2014. The landlord has fulfilled the obligations to commit us to the lease terms under these agreements and therefore, the future obligations related to these locations are included in the table above. Lease obligations related to the Company’s location in Kensington/Bethesda, Maryland have also been included in the table above. See Note 13, “Subsequent events” to our Consolidated Financial Statements for a description of events pertaining to the Kensington/Bethesda, Maryland location. | |||||||||||||||||||||||||
As of February 2, 2014 we currently have signed eleven additional lease agreements for future sites. Our commitments under these agreements are contingent upon among other things, the landlord’s delivery of access to the premises for construction. Future obligations related to these agreements are not included in the table above. Subsequent to February 2, 2014, future sites in Los Angeles, CA and Manchester, CT were delivered by their respective landlords resulting in future commitments of approximately $38,000. | |||||||||||||||||||||||||
During 2000 and 2001, we completed the sale/leaseback of three stores and the corporate headquarters. Cash proceeds of $24,774 were received along with twenty-year notes aggregating $6,750. The notes bear interest of 7% to 7.5%. At the end of fiscal years 2013 and 2012, the aggregate balance of the notes receivable due from the lessors under the sale/leaseback agreements was $2,936 and $3,201, respectively. Future minimum principal and interest payments due to us under these notes are as follows: | |||||||||||||||||||||||||
2014 | 2015 | 2016 | 2017 | 2018 | THEREAFTER | TOTAL | |||||||||||||||||||
$489 | $ | 489 | $ | 489 | $ | 489 | $ | 489 | $ | 1,424 | $ | 3,869 |
Equitybased_Compensation
Equity-based Compensation | 9 Months Ended | 12 Months Ended | ||||||||||||||||
Nov. 02, 2014 | Feb. 02, 2014 | |||||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ||||||||||||||||||
Equity-based Compensation | Note 7: Equity-based Compensation | Note 10: Common Stock | ||||||||||||||||
In June 2010 the members of D&B Entertainment board of directors approved the 2010 Stock Incentive Plan, which provides for the granting of options to acquire stock in D&B Entertainment to certain of our employees, outside directors and consultants. The options are subject to either time-based vesting or performance-based vesting. As a result of the IPO, all unvested performance-based shares were modified and fully vested. We recognized compensation expense of $859 during the thirteen weeks ended November 2, 2014 related to the accelerated vesting of these performance-based options. All time-based options will continue to vest under the existing vesting schedule. As a result of the performance-based options fully vesting, we re-evaluated our forfeiture assumptions and recognized additional compensation expense of $221 during the thirteen weeks ended November 2, 2014. | Stock Option Plans-Successor | |||||||||||||||||
In connection with the IPO, we adopted the 2014 Stock Incentive Plan which provides for grants of stock options, stock appreciation rights, restricted stock, other stock-based awards and cash-based awards. The number of shares of common stock available for issuance under the 2014 Stock Incentive Plan may not exceed 3,100,000. During the thirteen weeks ended November 2, 2014, 444,969 options to purchase our common stock at an exercise price equal to the initial public offering price ($16.00) were granted under the 2014 Stock Incentive Plan. Half of the options will vest three years after the grant date and the other half will vest four years after the grant date. The fair value of these stock options was estimated using the Black-Scholes option valuation model, which relied on the following assumptions: expected volatility (51.29%), expected dividend yield (0%), expected weighted-average term of the awards (6.75 years): risk-free interest rate (based on U.S. Treasury rates) (1.96%) and estimated fair value at the grant date ($16.00). | In June 2010 the members of D&B Entertainment board of directors approved the adoption of the 2010 D&B Entertainment Incentive Plan. The 2010 D&B Entertainment Incentive Plan provides for the granting of options to acquire stock in D&B Entertainment to certain of our employees, outside directors and consultants. The options are subject to either time-based vesting or performance-based vesting. Options granted under the 2010 D&B Entertainment Incentive Plan terminate on the ten-year anniversary of the grants. | |||||||||||||||||
We recognized equity-based compensation as a component of general and administrative expenses of $1,361 and $287 during the thirteen weeks ended November 2, 2014 and November 3, 2013, respectively, and $1,864 and $909 during the thirty-nine weeks ended November 2, 2014 and November 3, 2013, respectively. Of the total equity-based compensation recognized in the thirty-nine weeks ended November 2, 2014,$64 is related to stock options granted at the date of the IPO. As of November 2, 2014, total unrecognized compensation expense related to non-vested stock awards, including an estimate for pre-vesting forfeitures was $4,009, which is expected to be recognized over a weighted-average period of 3.9 years. | The various options provided for in the 2010 D&B Entertainment Incentive Plan are as follows, in each case subject to the grantees continued employment with or service to D&B Entertainment or its subsidiaries (subject to certain conditions in the event of grantee termination): | |||||||||||||||||
Service-based options | ||||||||||||||||||
These options contain a service-based (or time-based) vesting provision, whereby the options will vest annually in five equal amounts. | ||||||||||||||||||
Performance-based options | ||||||||||||||||||
These options contain various performance-based vesting provisions depending on the type of performance option granted. Adjusted EBITDA vesting options vest over a prescribed time period based on D&B Entertainment meeting certain profitability targets for each fiscal year during the vesting period. Adjusted EBITDA vesting options also vest upon a D&B Entertainment change of control provided that internal rate of return (IRR) conditions stipulated by the Oak Hill Funds are met. IRR vesting options vest upon a change in control of D&B Entertainment if the Oak Hill Fund’s internal rate of return is greater than or equal to certain percentages set forth in the applicable option agreement. Any options that have not vested prior to a change of control or do not vest in connection with a change of control will be forfeited by the grantee upon a change of control for no consideration. | ||||||||||||||||||
Transactions during fiscal 2013 under the 2010 D&B Entertainment Incentive Plan were as follows: | ||||||||||||||||||
SERVICE BASED OPTIONS | PERFORMANCE BASED OPTIONS | |||||||||||||||||
NUMBER | WEIGHTED | NUMBER | WEIGHTED | |||||||||||||||
OF OPTIONS | AVERAGE | OF OPTIONS | AVERAGE | |||||||||||||||
EXERCISE PRICE | EXERCISE PRICE | |||||||||||||||||
Options outstanding at beginning of year | 1,117,255 | $ | 4.69 | 2,736,258 | $ | 4.51 | ||||||||||||
Granted | 227,657 | 8.72 | 16,874 | 9.93 | ||||||||||||||
Exercised | (9,990 | ) | 4.44 | (8,009 | ) | 4.44 | ||||||||||||
Forfeited | (31,686 | ) | 5.04 | (54,311 | ) | 4.44 | ||||||||||||
Options outstanding at end of year | 1,303,236 | 5.39 | 2,690,812 | 4.54 | ||||||||||||||
Options exercisable at end of year | 589,457 | $ | 4.71 | 749,870 | $ | 4.65 | ||||||||||||
We recorded share-based compensation expense related to our stock option plan of $1,207, $1,099 and $1,038 during the fiscal year ended February 2, 2014, February 3, 2013 and January 29, 2012 respectively. The unrecognized expense related to our stock option plan totaled approximately $1,504 as of February 2, 2014 and will be expensed over a weighted average 1.6 years. The weighted average grant date fair value per option granted in fiscal year 2013 was $8.81. The average remaining term for all options outstanding at February 2, 2014 is 6.6 years. | ||||||||||||||||||
In the event that vesting of the previously unvested options is accelerated for any reason, the remaining unamortized share-based compensation would be accelerated. In addition, assumptions made regarding forfeitures in determining the remaining unamortized share-based compensation would be re-evaluated to determine if additional share-based compensation expense would be required for any changes in the underlying assumptions. | ||||||||||||||||||
Other Information—Related Party Transactions | ||||||||||||||||||
On September 30, 2010, we repurchased one thousand five hundred shares of our common stock from a former member of management for $1,500, of which $500 was paid in fiscal 2010 and $1,000 was paid in fiscal 2011 by Dave & Buster’s, Inc. on behalf of us prior to January 29, 2012. As described below, we subsequently resold approximately seventy-five and eight hundred thirty-three of the purchased shares on March 23, 2011 and January 18, 2012, respectively. We continue to retain approximately five hundred ninety-two of the purchased shares as treasury stock. | ||||||||||||||||||
On March 23, 2011, we sold to a member of management seventy-five shares of our common stock held as treasury stock for an aggregate price of $75, the value based on an independent third party valuation prepared as of January 30, 2011. | ||||||||||||||||||
On June 28, 2011, we repurchased approximately ninety shares of our common stock from a former member of management for approximately $90, of which the Dave & Buster’s, Inc., on behalf of us, paid $15. The purchased shares are being retained as treasury stock by the Company. | ||||||||||||||||||
On January 13, 2012, we repurchased approximately four hundred twenty-two shares of our common stock from a former member of management for approximately $507, all of which was paid by Dave & Buster’s, Inc. on behalf of us. The purchased shares are being retained as treasury stock by the Company. | ||||||||||||||||||
On January 18, 2012, we sold approximately eight hundred thirty-three shares of our common stock previously held as treasury stock to three outside directors for an aggregate price of approximately $1,000. Proceeds from the sale were used to repay funds that had been advanced to us by Dave & Buster’s, Inc. The per share sales price approximates the value per share as determined by an independent third party valuation prepared as of October 30, 2011. | ||||||||||||||||||
On January 6, 2014, a former member of management exercised his option for 17,999 shares at a strike price of $4.44. The Company issued new shares in satisfaction of this exercise. Proceeds from the exercise were allocated to Dave & Buster’s in anticipation of future expenses. | ||||||||||||||||||
Subsequent to the transactions described above, the Oak Hill Funds controls approximately 95.4% and certain members of our Board of Directors and management control approximately 4.5% of the outstanding common stock. The remaining 0.1% is owned by a former member of management. |
Employee_Benefit_Plan
Employee Benefit Plan | 12 Months Ended |
Feb. 02, 2014 | |
Compensation and Retirement Disclosure [Abstract] | |
Employee Benefit Plan | Note 11: Employee Benefit Plan |
We sponsor a plan to provide retirement benefits under the provisions of Section 401(k) of the Internal Revenue Code (the “401(k) Plan”) for all employees who have completed a specified term of service. Our contributions may range from 0% to 100% of employee contributions, up to a maximum of 6% of eligible employee compensation, as defined by the 401(k) Plan. Employees may elect to contribute up to 50% of their eligible compensation on a pretax basis. Benefits under the 401(k) Plan are limited to the assets of the 401(k) Plan. Expenses related to our contributions to the 401(k) plan were $370, $382, and $273 for fiscal 2013, 2012, and 2011, respectively. |
Commitments_and_Contingencies
Commitments and Contingencies | 9 Months Ended | 12 Months Ended | ||||
Nov. 02, 2014 | Feb. 02, 2014 | |||||
Commitments and Contingencies Disclosure [Abstract] | ||||||
Commitments and Contingencies | Note 5: Commitments and Contingencies | Note 12: Contingencies | ||||
We are subject to certain legal proceedings and claims that arise in the ordinary course of our business. In the opinion of management, based upon consultation with legal counsel, the amount of ultimate liability with respect to such legal proceedings and claims will not materially affect the consolidated results of our operations or our financial condition. | We are subject to certain legal proceedings and claims that arise in the ordinary course of our business. In the opinion of management, based upon consultation with legal counsel, the amount of ultimate liability with respect to such legal proceedings and claims will not materially affect the consolidated results of our operations or our financial condition. | |||||
On November 14, 2013, Dave & Buster’s, Inc. filed a complaint in federal court seeking declaratory and injunctive relief related to actions taken by a landlord attempting to terminate the lease agreement for our Bethesda store. The landlord alleged that the Company was in default of certain lease agreement provisions which restrict our ability to operate other Dave & Buster’s facilities within a prescribed distance of the Bethesda location. We believed that the lease provisions cited by the landlord were not legally enforceable and that the Company had the right to operate all facilities for the duration of the original lease term and any available lease extension periods. On July 21, 2014, the court issued its final ruling against the Company and the Bethesda store permanently closed on August 12, 2014. All our fixed assets from the Bethesda store are either fully depreciated or transferred to other locations. As with past store closures, we have experienced customer migration to other stores within the same market. | We are subject to the terms of a settlement agreement with the Federal Trade Commission (FTC) that requires us, on an ongoing basis, to establish, implement, and maintain a comprehensive information security program that is reasonably designed to protect the security, confidentiality, and integrity of personal information collected from or about consumers. The agreement does not require us to pay any fines or other monetary assessments and we do not believe that the terms of the agreement will have a material adverse effect on our business, operations, or financial performance. | |||||
We lease certain property and equipment under various non-cancelable operating leases. Some of the leases include options for renewal or extension on various terms. Most of the leases require us to pay property taxes, insurance, and maintenance of the leased assets. Certain leases also have provisions for additional percentage rentals based on revenues. | ||||||
The following table sets forth our lease commitments as of November 2, 2014: | ||||||
OPERATING LEASE | ||||||
OBLIGATIONS | ||||||
AT NOVEMBER 2, 2014 | ||||||
1 year or less | $ | 64,113 | ||||
2 years | 62,810 | |||||
3 years | 61,287 | |||||
4 years | 58,224 | |||||
5 years | 53,460 | |||||
Thereafter | 376,700 | |||||
Total future payments | $ | 676,594 | ||||
We have signed operating lease agreements for our stores located in Albuquerque, New Mexico, Clackamas (Portland), Oregon and Greenville, South Carolina which opened for business on November 3, 2014, November 10, 2014 and November 17, 2014, respectively. In addition we also have signed lease agreements for future sites located in Woburn (Boston), Massachusetts, Pelham, New York and Euless (Dallas), Texas. The landlord has fulfilled the obligations to commit us to the lease terms and therefore, the future obligations related to these locations are included in the table above. | ||||||
As of November 2, 2014, we have signed eleven lease agreements which contain certain landlord obligations which remain unfulfilled as of that date. Our commitments under these agreements are contingent upon, among other things, the landlord’s delivery of access to the premises for construction. Future obligations related to these agreements are not included in the table above. |
Subsequent_events
Subsequent events | 12 Months Ended |
Feb. 02, 2014 | |
Subsequent Events [Abstract] | |
Subsequent events | Note 13: Subsequent events |
On November 14, 2013, the Company filed a complaint in federal court seeking declaratory and injunctive relief related to actions taken by a landlord attempting to terminate the lease agreement for our store in Kensington/Bethesda, Maryland (“Bethesda”). The landlord alleged that the Company is in default of certain lease agreement provisions which restrict our ability to operate other Dave & Buster’s facilities within a prescribed distance of the Bethesda location. We believed that the lease provisions cited by the landlord were not legally enforceable and that the Company had the right to operate all facilities for the duration of the original lease term and any available lease extension periods. On March 21, 2014, the court ruled against the Company. The Company is evaluating all options available to it, including the filing of motions or appeals in an effort to overturn this decision. However, it is probable the store will close before the end of the first quarter of fiscal 2014. As of March 28, 2014, we believe that all of our fixed assets from the Bethesda store are either fully depreciated or can be transferred to other locations. With past store closures, we have experienced customer migration to other stores within the same market. We believe that some customers will choose to visit our store in Hanover, Maryland, which is approximately 30 miles from our Bethesda store. |
Quarterly_Financial_Informatio
Quarterly Financial Information (unaudited) | 12 Months Ended | ||||||||||||||||
Feb. 02, 2014 | |||||||||||||||||
Quarterly Financial Information Disclosure [Abstract] | |||||||||||||||||
Quarterly Financial Information (unaudited) | Note 14: Quarterly Financial Information (unaudited) | ||||||||||||||||
FISCAL YEAR ENDED FEBRUARY 2, 2014 | |||||||||||||||||
FIRST | SECOND | THIRD | FOURTH | ||||||||||||||
QUARTER | QUARTER | QUARTER | QUARTER | ||||||||||||||
5/5/13 | 8/4/13 | 11/3/13 | 2/2/14 | ||||||||||||||
Total revenues | $ | 168,155 | $ | 153,723 | $ | 142,330 | $ | 171,371 | |||||||||
Income (loss) before provision (benefit) for income taxes | 10,554 | (794 | ) | (12,910 | ) | 6,380 | |||||||||||
Net income (loss) | 7,550 | (98 | ) | (10,160 | ) | 4,877 | |||||||||||
FISCAL YEAR ENDED FEBRUARY 3, 2013 | |||||||||||||||||
FIRST | SECOND | THIRD | FOURTH | ||||||||||||||
QUARTER | QUARTER | QUARTER | QUARTER | ||||||||||||||
4/29/12 | 7/29/12 | 10/28/12 | 2/3/2013(1) | ||||||||||||||
Total revenues | $ | 163,474 | $ | 147,941 | $ | 131,066 | $ | 165,586 | |||||||||
Income (loss) before provision (benefit) for income taxes | 11,312 | (3,258 | ) | (14,180 | ) | 2,206 | |||||||||||
Net income (loss) | 8,857 | (1,603 | ) | (3,894 | ) | 5,422 | |||||||||||
-1 | Our fiscal 2012 year consisted of 53 weeks. Each quarterly period has 13 weeks, except the fourth quarterly period ended February 3, 2013, which consists of 14 weeks. We have estimated the revenues during the 53rd week of fiscal 2012 to be $10,355. | ||||||||||||||||
During 2013, we opened five locations: Virginia Beach, Virginia, in the second quarter, Syracuse, New York and Albany, New York, in the third quarter, Cary, North Carolina and Livonia, Michigan in the fourth quarter. During 2012, we opened four locations: Oklahoma City, Oklahoma in the first quarter, Orland Park, Illinois in the third quarter, Dallas, Texas and Boise, Idaho both in the fourth quarter. Additionally, during the fourth quarter of fiscal 2012, we permanently closed one store in Dallas, Texas. Pre-opening costs incurred in fiscal 2013 were $872, $1,970, $2,333 and $1,865 in the first, second, third and fourth quarters, respectively. Pre-opening costs incurred in fiscal 2012 were $150, $559, $1,089 and $1,262 in the first, second, third and fourth quarters, respectively. |
Earnings_per_share
Earnings per share | 9 Months Ended | 12 Months Ended | ||||||||||||||||||||
Nov. 02, 2014 | Feb. 02, 2014 | |||||||||||||||||||||
Earnings Per Share [Abstract] | ||||||||||||||||||||||
Earnings per share | Note 6: Earnings per share | Note 15: Earnings per share | ||||||||||||||||||||
Basic earnings per share (“EPS”) represents net income divided by the weighted average number of common shares outstanding during the period. Diluted EPS represents net income divided by the basic weighted average number of common shares plus, if dilutive, potential common shares outstanding during the period. Potential common shares consist of incremental common shares issuable upon the exercise of outstanding stock options. The dilutive effect of potential common shares is determined using the treasury stock method. | Basic earnings per share (“EPS”) represents net income divided by the weighted average number of common shares outstanding during the period. Diluted EPS represents net income divided by the basic weighted average number of common shares plus, if dilutive, potential common shares outstanding during the period. Potential common shares consist of incremental common shares issuable upon the exercise of outstanding stock options. The dilutive effect of potential common shares is determined using the treasury stock method, whereby outstanding stock options are assumed exercised at the beginning of the reporting period and the exercise proceeds from such stock options, unamortized compensation cost, and excess tax benefits arising in connection with these stock-based awards are assumed to be used to repurchase our common stock at the average market price during the period. | |||||||||||||||||||||
The following tables set forth the computation of EPS, basic and diluted for the thirty-nine weeks ended November 2, 2014 and November 3, 2013, respectively: | ||||||||||||||||||||||
The following table sets forth the computation of EPS, basic and diluted for the fiscal year ended February 2, 2014, February 3, 2013, and January 29, 2012: | ||||||||||||||||||||||
(in thousands, except per share data) | FISCAL YEAR | FISCAL YEAR | FISCAL YEAR | |||||||||||||||||||
ENDED | ENDED | ENDED | ||||||||||||||||||||
THIRTY-NINE WEEKS | THIRTY-NINE WEEKS | FEBRUARY 2, 2014 | FEBRUARY 3, 2013 | JANUARY 29, 2012 | ||||||||||||||||||
ENDED | ENDED | Numerator: | ||||||||||||||||||||
NOVEMBER 2, 2014 | NOVEMBER 3, 2013 | Net income (loss) | $ | 2,169 | $ | 8,782 | $ | (6,985 | ) | |||||||||||||
Numerator: | ||||||||||||||||||||||
Net loss | $ | (7,024 | ) | $ | (2,708 | ) | Denominator: | |||||||||||||||
Denominator: | Basic weighted average common shares outstanding | 33,187,776 | 33,186,426 | 34,478,732 | ||||||||||||||||||
Basic weighted average common shares outstanding | 33,763,436 | 33,186,273 | Potential common shares for stock options | 842,339 | 561,109 | — | ||||||||||||||||
Potential common shares for stock options | — | — | Diluted weighted average common shares outstanding | 34,030,115 | 33,747,535 | 34,478,732 | ||||||||||||||||
Diluted weighted average common shares outstanding | 33,763,436 | 33,186,273 | ||||||||||||||||||||
Net Loss per share: | Earnings (loss) per shares: | $ | 0.07 | $ | 0.26 | $ | (0.20 | ) | ||||||||||||||
Basic | $ | (0.21 | ) | $ | (0.08 | ) | Basic | $ | 0.06 | $ | 0.26 | $ | (0.20 | ) | ||||||||
Diluted | $ | (0.21 | ) | $ | (0.08 | ) | Diluted | |||||||||||||||
We had approximately 1,303,236 and 1,117,268 time-based stock option awards outstanding under our stock option plan as of February 2, 2014 and February 3, 2013, respectively. Performance based stock options under our stock option plan were not included in the earnings per share calculation as they did not meet the criteria for inclusion per GAAP guidance. | ||||||||||||||||||||||
As of November 2, 2014 and November 3, 2013, respectively, we had approximately 3,994,048 and 2,102,952 stock option awards outstanding under the Dave & Buster’s Entertainment, Inc. 2010 Management Incentive Plan (the “2010 Stock Incentive Plan”) and 444,969 stock option awards outstanding under the 2014 Omnibus Incentive Plan (the “2014 Stock Incentive Plan”), which were not included in the dilutive earnings per share calculation because the effect would have been anti-dilutive. In connection with the IPO, all unvested performance-based stock options were modified and became fully vested. As of November 3, 2013, 420,772 unvested Adjusted EBITDA performance-based stock options and 1,528,538 unvested internal rate of return performance-based stock options granted under the 2010 Stock Incentive Plan were not included in the earnings per share calculation as they did not meet the criteria for inclusion per GAAP guidance. |
Description_of_Business_and_Ba1
Description of Business and Basis of Presentation (Policies) | 9 Months Ended | 12 Months Ended | ||||||||||||||||||||||||
Nov. 02, 2014 | Feb. 02, 2014 | |||||||||||||||||||||||||
Accounting Policies [Abstract] | ||||||||||||||||||||||||||
Description of Business | Description of Business—On June 1, 2010, Dave & Buster’s Entertainment, Inc. (“D&B Entertainment”), a newly-formed Delaware corporation owned by Oak Hill Capital Partners III, L.P. and Oak Hill Capital Management Partners III, L.P. (collectively, the “Oak Hill Funds”) acquired all of the outstanding common stock of Dave & Buster’s Holding, Inc. (“D&B Holdings”) from Wellspring Capital Partners III, L.P and HBK Main Street Investors L.P. In connection therewith, Games Merger Corp., a newly-formed Missouri corporation and an indirect wholly-owned subsidiary of D&B Entertainment, merged with and into D&B Holdings’ wholly-owned, direct subsidiary, Dave & Buster’s, Inc. (with Dave & Buster’s, Inc. being the surviving corporation in the merger). Dave & Buster’s, Inc. owns and operates high-volume venues in North America that combine dining and entertainment for both adults and families. | Description of Business—On June 1, 2010, Dave & Buster’s Entertainment, Inc. (“D&B Entertainment”), a newly-formed Delaware corporation owned by Oak Hill Capital Partners III, L.P. and Oak Hill Capital Management Partners III, L.P. (collectively, the “Oak Hill Funds”) acquired all of the outstanding common stock of Dave & Buster’s Holding, Inc. (“D&B Holdings”) from Wellspring Capital Partners III, L.P and HBK Main Street Investors L.P. (collectively, “Predecessor”). In connection therewith, Games Merger Corp., a newly-formed Missouri corporation and an indirect wholly-owned subsidiary of D&B Entertainment, merged with and into D&B Holdings’ wholly-owned, direct subsidiary, Dave & Buster’s, Inc. (“Dave & Buster’s”) (with Dave & Buster’s being the surviving corporation in the merger). Dave & Buster’s owns, operates and licenses high-volume venues that combine dining and entertainment in North America for both adults and families. | ||||||||||||||||||||||||
D&B Entertainment owns no significant assets or operations other than the ownership of all the common stock of D&B Holdings. D&B Holdings owns no significant assets or operations other than the ownership of all the common stock of Dave & Buster’s, Inc. References to the “Company”, “we”, “us”, and “our” refers to D&B Entertainment and its subsidiaries and any predecessor companies. All material intercompany accounts and transactions have been eliminated in consolidation. | D&B Entertainment owns no significant assets or operations other than the ownership of all the common stock of D&B Holdings. D&B Holdings owns no significant assets or operations other than the ownership of all the common stock of Dave & Buster’s. References to the “Company”, “we”, “us”, and “our” refers to D&B Entertainment and its subsidiaries and any predecessor companies. All material intercompany accounts and transactions have been eliminated in consolidation. | |||||||||||||||||||||||||
On October 9, 2014, we amended our certificate of incorporation to increase our authorized share count to 450,000,000 shares of stock, including 400,000,000 shares of common stock and 50,000,000 shares of preferred stock, each with a par value of $0.01 per share and to split our common stock 224.9835679 for 1. On October 16, 2014, we amended and restated our certificate of incorporation in its entirety. | Our one industry segment is the operation and licensing of high-volume entertainment and dining venues under the names “Dave & Buster’s” and “Dave & Buster’s Grand Sports Café.” As of February 2, 2014, there were 66 company-owned locations in the United States and Canada. Subsequent to February 2, 2014, we opened new stores in Westchester, California and Vernon Hills, Illinois. On May 31, 2013, our lone franchise store ceased operation as Dave & Buster’s. This change and the associated termination of the related franchise and development agreements did not have a material impact on our financial position or results of operations. Dave & Buster’s operates its business as one operating and one reportable segment. We operate on a 52 or 53 week fiscal year that ends on the Sunday after the Saturday closest to January 31. Each quarterly period has 13 weeks, except for a 53-week year when the fourth quarter has 14 weeks. Our fiscal year ended February 3, 2013 consists of 53 weeks. All other fiscal years presented herein consist of 52 weeks. | |||||||||||||||||||||||||
On October 9, 2014, we completed our initial public offering of 5,882,353 shares of common stock at a price to the public of $16.00 per share. On October 10, 2014, the Company’s common stock began trading on the NASDAQ Global Market under the ticker symbol “PLAY”. We had granted the underwriters an option for a period of 30 days to purchase an additional 882,352 shares of our common stock which was exercised in full on October 21, 2014. After underwriting discounts and commissions and offering expenses, we received net proceeds from the initial public offering (the “IPO”) of approximately $98,573. We used these proceeds to repay a portion of the principal amount of term loan debt outstanding under the new senior secured credit facility. | ||||||||||||||||||||||||||
We operate our business as one operating and one reportable segment. Our one industry segment is the operation and licensing of high-volume entertainment and dining venues under the names “Dave & Buster’s” and “Dave & Buster’s Grand Sports Café.” We operate on a 52 or 53 week fiscal year that ends on the Sunday after the Saturday closest to January 31. Each quarterly period has 13 weeks, except for a 53 week year when the fourth quarter has 14 weeks. Our fiscal years ending February 1, 2015 and February 2, 2014, both consist of 52 weeks. | ||||||||||||||||||||||||||
During the first thirty-nine weeks of fiscal 2014, we opened five new stores. As of November 2, 2014, there were 70 company-owned stores in the United States and Canada. We have also opened new stores in Albuquerque, New Mexico on November 3, 2014, Clackamas (Portland), Oregon on November 10, 2014 and Greenville, South Carolina on November 17, 2014. On August 12, 2014, we permanently closed our location in Kensington/Bethesda, Maryland (“Bethesda”). Revenues for our Bethesda store were $5,416 and $8,973 in the thirty-nine weeks ended November 2, 2014 and November 3, 2013, respectively. Operating income for the store was $851 for the thirty-nine weeks ended November 2, 2014, and $2,109 for the same period of fiscal 2013. | ||||||||||||||||||||||||||
Basis of Presentation | Basis of Presentation—The accompanying audited financial statements have been prepared in accordance with generally accepted accounting principles (“GAAP”) in the United States as prescribed by the Securities and Exchange Commission. | |||||||||||||||||||||||||
The financial statements include our accounts after elimination of all significant intercompany balances and transactions. All dollar amounts are presented in thousands, unless otherwise noted, except share amounts. | ||||||||||||||||||||||||||
Reclassifications | Reclassifications—All share and per-share data herein have been retroactively adjusted to reflect the 224.9835679 for 1 stock split as though it had occurred prior to the earliest data presented. One reclassification has been made to the fiscal year 2013 Consolidated Balance Sheets to conform to the fiscal year 2014 presentation. We reclassified $333 of Paid-in capital as of February 2, 2014, to Common stock to effect the 224.9835679 for 1 stock split. | Reclassifications—All share and per-share data herein have been retroactively adjusted to reflect the 224.9835679 for 1 stock split as though it had occurred prior to the earliest data presented. One reclassification has been made to the fiscal year 2013 and fiscal year 2012 Consolidated Balance Sheets to reflect the impact of the stock split to common stock. We reclassified $333 of Paid-in capital as of February 2, 2014 and February 3, 2013, to common stock to effect the 224.9835679 for 1 stock split. | ||||||||||||||||||||||||
Such reclassifications impacted the shares disclosed on the Consolidated Balance Sheets, the weighted average shares and Net income (loss) per share on the Consolidated Statements of Comprehensive Income (Loss), share amounts included in the Consolidated Statements of Stockholders’ Equity and the share and per share amounts listed in Notes 6 and 7. | Such reclassifications impacted the shares disclosed on the Consolidated Balance Sheets, the weighted average shares and Net income (loss) per share on the Consolidated Statements of Comprehensive Income (Loss), share amounts included in the Consolidated Statements of Stockholders’ Equity and the share amounts listed in Notes 10 and 15. | |||||||||||||||||||||||||
Seasonality | Seasonality—Our revenues and operations are influenced by seasonal shifts in consumer spending. Revenues associated with spring and year-end holidays during our first and fourth quarters have historically been higher as compared to the other quarters and will continue to be susceptible to the impact of severe spring and winter weather on customer traffic and sales during those periods. Our third quarter, which encompasses the back-to-school fall season, has historically had lower revenues as compared to the other quarters. | |||||||||||||||||||||||||
Use of estimates | Use of estimates—The preparation of financial statements in conformity with GAAP requires us to make certain estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Actual results could differ from those estimates. | |||||||||||||||||||||||||
Cash and cash equivalents | Cash and cash equivalents—We consider transaction settlements in process from credit card companies and all highly liquid temporary investments with original maturities of three months or less to be cash equivalents. | |||||||||||||||||||||||||
Concentration of Credit Risk | Concentration of Credit Risk—Financial instruments which potentially subject us to a concentration of credit risk are cash and cash equivalents. We currently maintain our day-to-day operating cash balances with major financial institutions. At times, our operating cash balances may be in excess of the Federal Deposit Insurance Corporation (“FDIC”) insurance limit. From time to time, we invest temporary excess cash in overnight investments with expected minimal volatility, such as money market funds. Although we maintain balances that exceed the FDIC insured limit, we have not experienced any losses related to this balance, and we believe credit risk to be minimal. | Concentration of Credit Risk—Financial instruments which potentially subject us to a concentration of credit risk are cash and cash equivalents. We currently maintain our day-to-day operating cash balances with major financial institutions. At times, our operating cash balances may be in excess of the Federal Deposit Insurance Corporation (“FDIC”) insurance limit. From time to time, we invest temporary excess cash in overnight investments with expected minimal volatility, such as money market funds. Although we maintain balances that exceed the FDIC insured limit, we have not experienced any losses related to this balance, and we believe credit risk to be minimal. | ||||||||||||||||||||||||
Inventories | Inventories—Inventories of food, beverages, merchandise and other supplies needed for our food service and amusement operations are stated at the lower of cost or market determined on a first-in, first-out method. | |||||||||||||||||||||||||
Deferred tax assets | Deferred tax assets—A deferred income tax asset or liability is established for the expected future consequences resulting from temporary differences in the financial reporting and tax basis of assets and liabilities. As of February 2, 2014, we have recorded $1,388 as a valuation allowance against a portion of our deferred tax assets. The valuation allowance was established in accordance with accounting guidance for income taxes. If our taxable income decreases in future periods or if the facts and circumstances on which our estimates and assumptions are based were to change, thereby impacting the likelihood of realizing the deferred tax assets, judgment would have to be applied in determining if an addition to the allowance would be required or the amount of the valuation allowance no longer required. | |||||||||||||||||||||||||
Property and equipment | Property and equipment—Property and equipment are stated at cost, net of accumulated depreciation. Depreciation is charged to operations using the straight-line method over the assets’ estimated useful lives, which are as follows: | |||||||||||||||||||||||||
ESTIMATED DEPRECIABLE | ||||||||||||||||||||||||||
LIVES (IN YEARS) | ||||||||||||||||||||||||||
Buildings | Shorter of 40 | |||||||||||||||||||||||||
or expected | ||||||||||||||||||||||||||
ground lease term | ||||||||||||||||||||||||||
Leasehold and building improvements | Shorter of 20 or | |||||||||||||||||||||||||
expected lease term | ||||||||||||||||||||||||||
Furniture, fixtures and equipment | 10-Mar | |||||||||||||||||||||||||
Games | 20-May | |||||||||||||||||||||||||
Expenditures that substantially increase the useful lives of the property and equipment are capitalized, whereas costs incurred to maintain the appearance and functionality of such assets are charged to repair and maintenance expense. Interest costs incurred during construction are capitalized and depreciated based on the estimated useful life of the underlying asset. | ||||||||||||||||||||||||||
We review our property and equipment annually, on a store-by-store basis to determine whether facts or circumstances exist that may indicate the carrying values of these long-lived assets are impaired. We compare store-level undiscounted operating cash flows (which exclude interest, general and administrative and other allocated expenses) to the carrying amount of property and equipment allocated to each store. If the expected future cash flows are less than the asset carrying amount (an indication that the carrying amount may not be recoverable), we may recognize an impairment loss. Any impairment loss recognized equals the amount by which the asset carrying amount exceeds its fair value. We recognized an impairment loss of $200 during fiscal 2011 related to one of our stores in Dallas, Texas, which we permanently closed on May 2, 2011. No impairment charges were recognized in fiscal years 2013 or 2012. | ||||||||||||||||||||||||||
Goodwill and other intangible assets | Goodwill and other intangible assets—In accordance with accounting guidance for goodwill and other intangible assets, goodwill and indefinite lived intangibles, such as tradenames, are not amortized, but are reviewed for impairment at least annually. We perform step one of the impairment test in our fourth quarter unless circumstances require this analysis to be completed sooner. Step one of the impairment test is based upon a comparison of the carrying value of our net assets, including goodwill balances, to the fair value of our net assets. Fair value is measured using a combination of the guideline company method, external transaction method, and the income approach. The guideline company method uses valuation multiples from selected publicly-traded companies that we believe are exposed to market forces that are similar to those faced by the Company. The external transaction method involves analyzing previous mergers or acquisitions involving private or public companies that are similar to the Company. The income approach consists of utilizing the discounted cash flow method that incorporates our estimates of future revenues and costs, discounted using a risk-adjusted discount rate. Key assumptions used in our testing include future store openings, revenue growth, operating expenses and discount rate. Estimates of revenue growth and operating expenses are based on internal projections considering our past performance and forecasted growth, market economics and the business environment impacting our Company’s performance. Discount rates are determined by using a weighted average cost of capital (“WACC”). The WACC considers market and industry data as well as company-specific risk factors. These estimates are highly subjective judgments and can be significantly impacted by changes in the business or economic conditions. Our estimates used in the income approach are consistent with the plans and estimates used to manage operations. We evaluate all methods to ensure reasonably consistent results. Based on the completion of the step one test, we determined that goodwill was not impaired. | |||||||||||||||||||||||||
The evaluation of the carrying amount of other intangible assets with indefinite lives is made at least annually by comparing the carrying amount of these assets to their estimated fair value. The estimated fair value is generally determined on the basis of discounted future cash flows. If the estimated fair value is less than the carrying amount of the other intangible assets with indefinite lives, then an impairment charge is recorded to reduce the asset to its estimated fair value. | ||||||||||||||||||||||||||
Based on our analysis, we determined that our intangible assets with an indefinite life, our tradename, was not impaired. | ||||||||||||||||||||||||||
We have developed and acquired certain trademarks that are utilized in our business and have been determined to have finite lives. We also have intangible assets related to our non-compete agreements and customer relationships. These intangible assets are included in “Other assets and deferred charges” on the Consolidated Balance Sheet and are amortized over their useful lives. | ||||||||||||||||||||||||||
Deferred financing costs | Deferred financing costs—The Company capitalizes costs incurred in connection with borrowings or establishment of credit facilities. These costs are included in “Other assets and deferred charges” and are amortized as an adjustment to interest expense over the life of the borrowing or life of the credit facility. In the case of early debt principal repayments, the Company adjusts the value of the corresponding deferred financing costs with a charge to interest expense, and similarly adjusts the future amortization expense. The following table details amounts relating to those assets: | |||||||||||||||||||||||||
FISCAL YEAR ENDED | FISCAL YEAR ENDED | FISCAL YEAR ENDED | ||||||||||||||||||||||||
FEBRUARY 2, 2014 | FEBRUARY 3, 2013 | JANUARY 29, 2012 | ||||||||||||||||||||||||
Balance at beginning of period | $ | 10,076 | $ | 12,735 | $ | 11,312 | ||||||||||||||||||||
Additional deferred financing costs | 726 | — | 4,088 | |||||||||||||||||||||||
Amortization during period | (2,848 | ) | (2,659 | ) | (2,665 | ) | ||||||||||||||||||||
Balance at end of period | $ | 7,954 | $ | 10,076 | $ | 12,735 | ||||||||||||||||||||
Self-Insurance Accruals | Self-Insurance Accruals—We are self-insured for certain losses related to workers’ compensation claims, general liability matters and our company sponsored employee health insurance programs. We estimate the accrued liabilities for our self-insurance programs using historical claims experience and loss reserves, assisted by independent third-party actuaries. To limit our exposure to losses, we maintain stop-loss coverage through third-party insurers. | |||||||||||||||||||||||||
Comprehensive income (loss) | Comprehensive income (loss)—Comprehensive income is defined as the change in equity of a business enterprise during a period from transactions and other events and circumstances from non-owner sources. In addition to net income (loss), unrealized foreign currency translation gain (loss) is included in comprehensive income. Unrealized translation loss for fiscal 2013 was $419. Unrealized translation gains for fiscal 2012 and fiscal 2011 were $15, and $42, respectively. | |||||||||||||||||||||||||
Foreign currency translation | Foreign currency translation—The financial statements related to the operations of our Toronto store are prepared in Canadian dollars. Income statement amounts are translated at average exchange rates for each period, while the assets and liabilities are translated at year-end exchange rates. Translation adjustments for assets and liabilities are included in stockholders’ equity as a component of accumulated comprehensive income (loss). | |||||||||||||||||||||||||
Fair Value Disclosures | Fair Value Disclosures—Fair value is defined as the price that we would receive to sell an asset or pay to transfer a liability (an exit price) in an orderly transaction between market participants on the measurement date. In determining fair value, U.S. GAAP establishes a three-level hierarchy used in measuring fair value, as follows: | |||||||||||||||||||||||||
n | Level 1 inputs are quoted prices available for identical assets and liabilities in active markets. | |||||||||||||||||||||||||
n | Level 2 inputs are observable for the asset or liability, either directly or indirectly, including quoted prices for similar assets and liabilities in active markets or other inputs that are observable or can be corroborated by observable market data. | |||||||||||||||||||||||||
n | Level 3 inputs are less observable and reflect our own assumptions. | |||||||||||||||||||||||||
Our financial instruments consist of cash and cash equivalents, accounts receivable, accounts payable, our senior secured credit facility, our senior notes and our senior discount notes. The carrying amount of cash and cash equivalents, accounts receivable and accounts payable approximates fair value because of their short maturities. We believe that the carrying amount of our term credit facility approximates its fair value because the interest rates are adjusted regularly based on current market conditions. The fair value disclosures for our senior notes and senior discount notes are presented in Note 7. | ||||||||||||||||||||||||||
We may adjust the carrying amount of certain nonfinancial assets to fair value on a non-recurring basis when they are impaired. No such adjustments were made in fiscal 2013 or 2012. | ||||||||||||||||||||||||||
Share-based expense | Share-based expense—The expense associated with share-based equity awards granted as more fully described in Note 10 have been calculated as required by current accounting standards related to stock compensation. The grant date fair values of the options granted in 2013, 2012 and 2011 have been determined based on the option pricing method prescribed in AICPA Practice Aid, Valuation of Privately-Held-Company Equity Securities Issued as Compensation. The expected term of the options were based on the weighted average of anticipated exercise dates. Since we do not have publicly traded equity securities, the volatility of our options has been estimated using peer group volatility information. The risk-free interest rate was based on the implied yield on U.S. Treasury zero-coupon issues with a remaining term equivalent to the expected term. The significant assumptions used in determining the underlying fair value of the weighted-average options granted in fiscal 2013, 2012 and 2011 were as follows: | |||||||||||||||||||||||||
FISCAL 2013 | FISCAL 2012 | FISCAL 2011 | ||||||||||||||||||||||||
SERVICE | PERFORMANCE | SERVICE | PERFORMANCE | SERVICE | PERFORMANCE | |||||||||||||||||||||
BASED | BASED | BASED | BASED | BASED | BASED | |||||||||||||||||||||
Volatility | 48.2 | % | 47 | % | 44.7 | % | 50 | % | 55 | % | 55 | % | ||||||||||||||
Risk free interest rate | 1.15 | % | 1.06 | % | 0.78 | % | 0.33 | % | 1.46 | % | 1.47 | % | ||||||||||||||
Expected dividend yield | 0 | % | 0 | % | 0 | % | 0 | % | 0 | % | 0 | % | ||||||||||||||
Expected term—in years | 6.5 | 6.5 | 4.9 | 3 | 4 | 4 | % | |||||||||||||||||||
Weighted average calculated value | $ | 4.72 | $ | 4.16 | $ | 2.43 | $ | 2.25 | $ | 0.98 | $ | 0.52 | ||||||||||||||
The options granted in fiscal years 2013, 2012 and 2011 have been issued pursuant to the terms of the Dave & Buster’s Entertainment, Inc. 2010 Management Incentive Plan (“2010 D&B Entertainment Incentive Plan”). The 2010 D&B Entertainment Incentive Plan allows the granting of nonqualified stock options to members of management, outside board members and consultants. Grantees may receive (i) time vesting options, which vest ratably on the first through fifth anniversary of the date of grant and/or (ii) performance vesting options which include Adjusted EBITDA vesting options that vest over a prescribed time period based on D&B Entertainment meeting certain profitability targets for each fiscal year and IRR vesting options which vest upon a change in control of D&B Entertainment if the Oak Hill Fund’s internal rate of return is greater than or equal to certain percentages set forth in the applicable option agreement, in each case subject to the grantee’s continued employment with or service to D&B Entertainment or its subsidiaries (subject to certain conditions in the event of grantee termination). | ||||||||||||||||||||||||||
Revenue recognition | Revenue recognition—Food and beverage revenues are recorded at point of service. Amusement revenues consist primarily of credits on Power Cards purchased and used by customers to activate most of the video and redemption games in our midway. Amusement revenues are primarily recognized upon utilization of these game play credits. We have recognized a liability for the estimated amount of unused game play credits which we believe our customers will utilize in the future based on credits remaining on Power Cards, historic utilization patterns and revenue per game play credit sold. | |||||||||||||||||||||||||
Amusements costs of products | Amusements costs of products—Certain midway games allow customers to earn coupons, which may be redeemed for prizes. The cost of these prizes is included in the cost of amusement products and is generally recorded when coupons are utilized by the customers by redeeming the coupons for a prize in our “Winner’s Circle.” Customers may also store the coupon value on a Power Card for future redemption. We have accrued a liability for the estimated amount of outstanding coupons we believe that will be redeemed in subsequent periods based on coupons outstanding, historic redemption patterns and the estimated redemption cost of products per coupon. | |||||||||||||||||||||||||
Advertising costs | Advertising costs—Advertising costs are recorded as an expense in the period in which we incur the costs or the first time the advertising takes place. Advertising costs expensed were $27,475, $28,502 and $26,612 in fiscal year 2013, 2012 and 2011, respectively. | |||||||||||||||||||||||||
Lease accounting | Lease accounting—Rent expense is recorded on a straight-line basis over the lease term. The lease term commences on the date when we take possession and have the right to control the use of the leased premises. The lease term includes the initial non-cancelable lease term plus any periods covered by renewal options that we consider reasonably assured of exercising. The difference between rent payments and rent expense in any period is recorded as Deferred occupancy costs in the Consolidated Balance Sheets. Construction allowances we receive from the lessor to reimburse us for the cost of leasehold improvements are recorded as deferred occupancy costs and amortized as a reduction of rent over the term of the lease. | |||||||||||||||||||||||||
We had construction allowance receivables of $5,677 and $8,893 as of February 2, 2014 and February 3, 2013, respectively, related to our new store openings. Such balances are included in “Other current assets” in the Company’s Consolidated Balance Sheet. All receivable amounts are expected to be collected. | ||||||||||||||||||||||||||
Related Party Transactions | Related Party Transactions—Funds managed by Oak Hill Advisors, L.P. (the “OHA Funds”) comprise one of the creditors participating in the term loan portion of our new senior secured credit facility. As of November 2, 2014, the OHA Funds held approximately 10.8% or $46,622 of our total term loan obligation. Oak Hill Advisors, L.P. is an independent investment firm that is not an affiliate of the Oak Hill Funds and is not under common control with the Oak Hill Funds. Certain employees of the Oak Hill Funds, in their individual capacities, have passive investments in Oak Hill Advisors, L.P. and/or the funds it manages. | Related party transaction—We have an expense reimbursement agreement with Oak Hill Capital Management, LLC, which provides for the reimbursement of certain costs and expenses of Oak Hill Capital Management, LLC. We made payments to Oak Hill Capital Management, LLC of $115 during fiscal 2013, $76 during fiscal 2012, and $297 during fiscal 2011 under the terms of the expense reimbursement agreement. | ||||||||||||||||||||||||
Subsequent to the IPO, the Oak Hill Funds beneficially own approximately 79.2% of our outstanding stock, and certain members of our Board of Directors and our management beneficially own approximately 3.7% of our outstanding stock. The Oak Hill Funds continue to own a majority of the voting power of our outstanding common stock. As a result, we are a “controlled company” within the meaning of the corporate governance standards of NASDAQ. | We paid board compensation of $235, $235 and $153 in fiscal 2013, 2012 and 2011, respectively, to David Jones and Alan Lacy, two board members who serve as Senior Advisors to the Oak Hill Funds. | |||||||||||||||||||||||||
We have an expense reimbursement agreement with Oak Hill Capital Management, LLC (“Oak Hill Capital”), which provides for the reimbursement of certain costs and expenses of Oak Hill Capital. We made payments to Oak Hill Capital of $7 and $41 during the thirteen and thirty-nine weeks ended November 2, 2014, respectively, and $20 and $115 during the thirteen and thirty-nine weeks ended November 3, 2013, respectively. | From time to time we temporarily borrow funds from Dave & Buster’s for payment of expenditures for our corporate purposes. Additionally, Dave & Buster’s owes us for certain tax-related matters. We had a net receivable of $6,907 and $3,349 as of February 2, 2014 and February 3, 2013, respectively. These intercompany amounts have been eliminated in the Consolidated Balance Sheets. | |||||||||||||||||||||||||
We paid board compensation of $59 and $176 during the thirteen and thirty-nine weeks ended November 2, 2014 and November 3, 2013, respectively, to David Jones, who serves as a senior advisor to the Oak Hill Funds, and Alan Lacy, who served as a senior advisor to the Oak Hill Funds until December 2014. | ||||||||||||||||||||||||||
Pre-opening costs | Pre-opening costs—Pre-opening costs include costs associated with the opening and organizing of new stores, including pre-opening rent, staff training and recruiting, and travel costs for employees engaged in such pre-opening activities. All pre-opening costs are expensed as incurred. | |||||||||||||||||||||||||
Income taxes | Income taxes—We use the asset/liability method for recording income taxes, which recognizes the amount of current and deferred taxes payable or refundable at the date of the financial statements as a result of all events that are recognized in the financial statements and as measured by the provisions of enacted tax laws. We also recognize liabilities for uncertain income tax positions for those items that meet the “more likely than not” threshold. | |||||||||||||||||||||||||
The calculation of tax liabilities involves significant judgment and evaluation of uncertainties in the interpretation of state and federal tax regulations. As a result, we have established accruals for taxes that may become payable in future years as a result of audits by tax authorities. Tax accruals are reviewed regularly pursuant to accounting guidance for uncertainty in income taxes. Tax accruals are adjusted as events occur that affect the potential liability for taxes such as the expiration of statutes of limitations, conclusion of tax audits, identification of additional exposure based on current calculations, identification of new issues, or the issuance of statutory or administrative guidance or rendering of a court decision affecting a particular issue. Accordingly, we may experience significant changes in tax accruals in the future, if or when such events occur. | ||||||||||||||||||||||||||
As of February 2, 2014, we have accrued approximately $767 of unrecognized tax benefits, including approximately $291 of penalties and interest. During fiscal 2013, we recognized approximately $5 of tax benefits and an additional $1 of benefits related to penalties and interest based upon lapsing of time and settlement with taxing jurisdictions. Future recognition of potential interest or penalties, if any, will be recorded as a component of income tax expense. Because of the impact of deferred income tax accounting, $349 of unrecognized tax benefits, if recognized, would impact the effective tax rate. | ||||||||||||||||||||||||||
Recent Accounting Pronouncements | Recent Accounting Pronouncements—In May 2014, the Financial Accounting Standards Board issued guidance outlining a single comprehensive model for entities to use in accounting for revenue arising from contracts with customers. This guidance requires an entity to recognize revenue when it transfers promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. Additionally, this guidance expands related disclosure requirements. This guidance is effective for reporting periods beginning after December 15, 2016. We are currently evaluating the impact this guidance will have on our consolidated financial position and results of operations. | Recent Accounting Pronouncements | ||||||||||||||||||||||||
Accounting Guidance Adopted—In July 2012, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU’) No. 2012-02, “Intangibles-Goodwill and Other (Topic 350): Testing Indefinite-Lived Intangible Assets for Impairment”. The revised standard is intended to reduce the cost and complexity of testing indefinite-lived intangible assets other than goodwill for impairment. It allows companies to perform a “qualitative” assessment to determine whether further impairment testing of indefinite-lived intangible assets is necessary, similar in approach to the goodwill impairment test. This amendment is effective for annual and interim impairment tests performed for fiscal years beginning after September 15, 2012. We review our intangible assets for impairment in our fourth quarter unless circumstances require this analysis to be completed sooner. The adoption of ASU No. 2012-02 did not have an impact on the Company’s financial position, results of operations or cash flows. | ||||||||||||||||||||||||||
In February 2013, the FASB issued ASU No. 2013-02, “Comprehensive Income (Topic 220): Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income,” which requires an entity to provide information about the amounts reclassified out of accumulated other comprehensive income by component. This guidance requires the disclosure of significant amounts reclassified from each component of accumulated other comprehensive income and the income statement line items affected by the reclassification. ASU No. 2013-02 is effective for the Company prospectively for reporting periods beginning after December 15, 2012. The adoption of ASU No. 2013-02 did not have an impact on the Company’s financial position, results of operations or cash flows. | ||||||||||||||||||||||||||
Accounting Guidance Not Yet Adopted—In July 2013, the FASB issued ASU No. 2013-11, “Income Taxes (Topic 740): Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists.” This amendment requires an unrecognized tax benefit related to a net operating loss carryforward, a similar tax loss or a tax credit carryforward to be presented as a reduction to a deferred tax asset, unless the tax benefit is not available at the reporting date to settle any additional income taxes under the tax law of the applicable tax jurisdiction. The amendment is effective for fiscal years, and interim periods within those years, beginning after December 15, 2013. Early adoption is permitted. We do not expect the provisions of ASU No. 2013-11 to have a material effect on the Company’s financial position, results of operations or cash flows. | ||||||||||||||||||||||||||
Interim financial statements | Interim financial statements—The accompanying unaudited financial statements have been prepared in accordance with generally accepted accounting principles (“GAAP”) in the United States for interim financial information as prescribed by the Securities and Exchange Commission (“SEC”). Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements. In the opinion of management, these financial statements contain all adjustments, consisting of normal recurring accruals, necessary to present fairly the financial position, results of operations and cash flows for the periods indicated. The preparation of financial statements in accordance with GAAP requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. We are a seasonal business, therefore operating results for the thirty-nine weeks ended November 2, 2014 are not necessarily indicative of results that may be expected for any other interim period or for the year ending February 1, 2015. These financial statements should be read in conjunction with the audited financial statements and notes thereto for the year ended February 2, 2014, included in our prospectus filed with the SEC pursuant to Rule 424(b) (4) under the Securities Act of 1933 on October 14, 2014. | |||||||||||||||||||||||||
The financial statements include our accounts after elimination of all significant intercompany balances and transactions. All dollar amounts are presented in thousands, unless otherwise noted, except share amounts. |
Description_of_Business_and_Ba2
Description of Business and Basis of Presentation (Tables) | 12 Months Ended | ||||||||||||||||||||||||
Feb. 02, 2014 | |||||||||||||||||||||||||
Accounting Policies [Abstract] | |||||||||||||||||||||||||
Estimated Useful Lives of Assets | Depreciation is charged to operations using the straight-line method over the assets’ estimated useful lives, which are as follows: | ||||||||||||||||||||||||
ESTIMATED DEPRECIABLE | |||||||||||||||||||||||||
LIVES (IN YEARS) | |||||||||||||||||||||||||
Buildings | Shorter of 40 | ||||||||||||||||||||||||
or expected | |||||||||||||||||||||||||
ground lease term | |||||||||||||||||||||||||
Leasehold and building improvements | Shorter of 20 or | ||||||||||||||||||||||||
expected lease term | |||||||||||||||||||||||||
Furniture, fixtures and equipment | 10-Mar | ||||||||||||||||||||||||
Games | 20-May | ||||||||||||||||||||||||
Deferred Financing Costs Relating to Other Assets | The following table details amounts relating to those assets: | ||||||||||||||||||||||||
FISCAL YEAR ENDED | FISCAL YEAR ENDED | FISCAL YEAR ENDED | |||||||||||||||||||||||
FEBRUARY 2, 2014 | FEBRUARY 3, 2013 | JANUARY 29, 2012 | |||||||||||||||||||||||
Balance at beginning of period | $ | 10,076 | $ | 12,735 | $ | 11,312 | |||||||||||||||||||
Additional deferred financing costs | 726 | — | 4,088 | ||||||||||||||||||||||
Amortization during period | (2,848 | ) | (2,659 | ) | (2,665 | ) | |||||||||||||||||||
Balance at end of period | $ | 7,954 | $ | 10,076 | $ | 12,735 | |||||||||||||||||||
Significant Assumptions Used in Determining Underlying Fair Value of Weighted-Average Options Granted | The significant assumptions used in determining the underlying fair value of the weighted-average options granted in fiscal 2013, 2012 and 2011 were as follows: | ||||||||||||||||||||||||
FISCAL 2013 | FISCAL 2012 | FISCAL 2011 | |||||||||||||||||||||||
SERVICE | PERFORMANCE | SERVICE | PERFORMANCE | SERVICE | PERFORMANCE | ||||||||||||||||||||
BASED | BASED | BASED | BASED | BASED | BASED | ||||||||||||||||||||
Volatility | 48.2 | % | 47 | % | 44.7 | % | 50 | % | 55 | % | 55 | % | |||||||||||||
Risk free interest rate | 1.15 | % | 1.06 | % | 0.78 | % | 0.33 | % | 1.46 | % | 1.47 | % | |||||||||||||
Expected dividend yield | 0 | % | 0 | % | 0 | % | 0 | % | 0 | % | 0 | % | |||||||||||||
Expected term—in years | 6.5 | 6.5 | 4.9 | 3 | 4 | 4 | % | ||||||||||||||||||
Weighted average calculated value | $ | 4.72 | $ | 4.16 | $ | 2.43 | $ | 2.25 | $ | 0.98 | $ | 0.52 |
Inventories_Tables
Inventories (Tables) | 12 Months Ended | ||||||||
Feb. 02, 2014 | |||||||||
Inventory Disclosure [Abstract] | |||||||||
Inventories | Inventories consist of the following: | ||||||||
FEBRUARY 2, | FEBRUARY 3, | ||||||||
2014 | 2013 | ||||||||
Operating store—food and beverage | $ | 3,961 | $ | 3,581 | |||||
Operating store—amusement | 6,214 | 6,125 | |||||||
Corporate supplies, warehouse and other | 5,179 | 5,143 | |||||||
$ | 15,354 | $ | 14,849 | ||||||
Property_and_Equipment_Tables
Property and Equipment (Tables) | 12 Months Ended | ||||||||
Feb. 02, 2014 | |||||||||
Property, Plant and Equipment [Abstract] | |||||||||
Property and Equipment | Property and equipment consist of the following: | ||||||||
FEBRUARY 2, | FEBRUARY 3, | ||||||||
2014 | 2013 | ||||||||
Buildings and building improvements | $ | 14,176 | $ | 13,919 | |||||
Leasehold improvements | 330,641 | 288,555 | |||||||
Furniture, fixtures and equipment | 117,194 | 93,693 | |||||||
Games | 88,310 | 73,094 | |||||||
Construction in progress | 33,111 | 7,435 | |||||||
Total cost | 583,432 | 476,696 | |||||||
Accumulated depreciation | (195,339 | ) | (139,457 | ) | |||||
Property and equipment, net | $ | 388,093 | $ | 337,239 | |||||
Goodwill_and_Other_Intangible_1
Goodwill and Other Intangible Assets (Tables) | 12 Months Ended | ||||||||||||||||||||
Feb. 02, 2014 | |||||||||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | |||||||||||||||||||||
Changes in Carrying Amount of Goodwill | Changes in the carrying amount of goodwill for the year ended February 2, 2014 and February 3, 2013 are as follows: | ||||||||||||||||||||
GROSS AMOUNT | |||||||||||||||||||||
Goodwill Balance at January 29, 2012 | $ | 272,286 | |||||||||||||||||||
Goodwill and Intangible Assets | The following table presents our goodwill and intangible assets at February 2, 2014 and February 3, 2013: | ||||||||||||||||||||
FEBRUARY 2, 2014 | FEBRUARY 3, 2013 | ||||||||||||||||||||
USEFUL LIVES | GROSS CARRYING | ACCUMULATED | GROSS CARRYING | ACCUMULATED | |||||||||||||||||
AMOUNT | AMORTIZATION | AMOUNT | AMORTIZATION | ||||||||||||||||||
Not subject to amortization: | |||||||||||||||||||||
Goodwill | $ | 272,428 | $ | — | $ | 272,278 | $ | — | |||||||||||||
Tradenames | 79,000 | — | 79,000 | — | |||||||||||||||||
Total not subject to amortization | 351,428 | — | 351,278 | — | |||||||||||||||||
Subject to amortization: | |||||||||||||||||||||
Trademarks | 7 years | 8,500 | (4,471 | ) | 8,500 | (3,255 | ) | ||||||||||||||
Customer relationships | 9 years | 1,700 | (694 | ) | 1,700 | (506 | ) | ||||||||||||||
Non-compete agreements | 2 years | 500 | (500 | ) | 500 | (500 | ) | ||||||||||||||
Total subject to amortization | 10,700 | (5,665 | ) | 10,700 | (4,261 | ) | |||||||||||||||
Total goodwill and intangibles | $ | 362,128 | $ | (5,665 | ) | $ | 361,978 | $ | (4,261 | ) | |||||||||||
Estimates of Amortization Expense Relating to Intangible Assets Subject to Amortization | respectively. Estimated amortization expense relating to intangible assets subject to amortization for each of the five succeeding years and beyond is as follows: | ||||||||||||||||||||
AMORTIZATION | |||||||||||||||||||||
EXPENSE | |||||||||||||||||||||
2014 | $ | 1,399 | |||||||||||||||||||
2015 | 1,399 | ||||||||||||||||||||
2016 | 1,399 | ||||||||||||||||||||
2017 | 588 | ||||||||||||||||||||
2018 | 188 | ||||||||||||||||||||
Thereafter | 62 | ||||||||||||||||||||
Total future amortization expense | $ | 5,035 | |||||||||||||||||||
Accrued_Liabilities_Tables
Accrued Liabilities (Tables) | 9 Months Ended | 12 Months Ended | ||||||||||||||||
Nov. 02, 2014 | Feb. 02, 2014 | |||||||||||||||||
Accrued Liabilities, Current [Abstract] | ||||||||||||||||||
Accrued Liabilities | Accrued liabilities consist of the following: | Accrued liabilities consist of the following: | ||||||||||||||||
NOVEMBER 2, | FEBRUARY 2, | FEBRUARY 2, | FEBRUARY 3, | |||||||||||||||
2014 | 2014 | 2014 | 2013 | |||||||||||||||
Compensation and benefits | $ | 18,666 | $ | 14,459 | Compensation and benefits | $ | 14,459 | $ | 15,205 | |||||||||
Deferred amusement revenue | 16,107 | 14,047 | Deferred amusement revenue | 14,047 | 11,675 | |||||||||||||
Rent | 10,059 | 9,040 | Amusement redemption liability | 9,707 | 7,144 | |||||||||||||
Amusement redemption liability | 10,026 | 9,707 | Rent | 9,040 | 8,902 | |||||||||||||
Property taxes | 5,233 | 3,159 | Deferred gift card revenue | 4,709 | 4,028 | |||||||||||||
Deferred gift card revenue | 4,687 | 4,709 | Sales and use taxes | 4,408 | 4,282 | |||||||||||||
Sales and use tax | 3,723 | 4,408 | Interest | 4,214 | 4,242 | |||||||||||||
Current portion of long-term insurance reserves | 3,358 | 3,358 | Current portion of long-term insurance reserves | 3,358 | 3,000 | |||||||||||||
Accrued interest | 418 | 4,214 | Property taxes | 3,159 | 2,884 | |||||||||||||
Other | 11,210 | 7,278 | Other | 7,278 | 5,762 | |||||||||||||
Total accrued liabilities | $ | 83,487 | $ | 74,379 | Total accrued liabilities | $ | 74,379 | $ | 67,124 | |||||||||
LongTerm_Debt_Tables
Long-Term Debt (Tables) | 9 Months Ended | 12 Months Ended | ||||||||||||||||||||
Nov. 02, 2014 | Feb. 02, 2014 | |||||||||||||||||||||
Debt Disclosure [Abstract] | ||||||||||||||||||||||
Long-Term Debt | Long-term debt consisted of the following: | Long-term debt consisted of the following: | ||||||||||||||||||||
NOVEMBER 2, | FEBRUARY 2, | FEBRUARY 2, | FEBRUARY 3, | |||||||||||||||||||
2014 | 2014 | 2014 | 2013 | |||||||||||||||||||
New senior secured credit facility—term | $ | 430,000 | $ | — | Senior secured credit facility—term | $ | 144,375 | $ | 145,875 | |||||||||||||
Repaid Debt: | Senior notes | 200,000 | 200,000 | |||||||||||||||||||
Senior secured credit facility—term | — | 144,375 | Senior discount notes | 180,790 | 180,790 | |||||||||||||||||
Senior notes | — | 200,000 | ||||||||||||||||||||
Senior discount notes | — | 180,790 | Total debt outstanding | 525,165 | 526,665 | |||||||||||||||||
Unamortized debt discount—senior secured credit facility | (550 | ) | (796 | ) | ||||||||||||||||||
Total debt outstanding | 430,000 | 525,165 | Unamortized debt discount—senior discount notes | (38,938 | ) | (54,819 | ) | |||||||||||||||
Less: | Less current installments | (1,500 | ) | (1,500 | ) | |||||||||||||||||
Unamortized debt discount—new senior secured credit facility | (1,024 | ) | — | |||||||||||||||||||
Unamortized debt discount—senior secured credit facility | — | (550 | ) | Long-term debt, less current installments, net of unamortized discount | $ | 484,177 | $ | 469,550 | ||||||||||||||
Unamortized debt discount—senior discount notes | — | (38,938 | ) | |||||||||||||||||||
Current installments | — | (1,500 | ) | |||||||||||||||||||
Long-term debt, less current installments, net of unamortized discount | $ | 428,976 | $ | 484,177 | ||||||||||||||||||
Future Debt Payment Obligation | Future debt obligations—The following table sets forth our future debt principal payment obligations as of: | The following table sets forth our future debt principal payment obligations as of February 2, 2014 (excluding repayment obligations under the revolving portion of our senior secured credit facility). | ||||||||||||||||||||
NOVEMBER 2, 2014 | DEBT OUTSTANDING | |||||||||||||||||||||
1 year or less | $ | — | AS OF FEBRUARY 2, 2014 | |||||||||||||||||||
2 years | — | 1 year or less | $ | 1,500 | ||||||||||||||||||
3 years | — | 2 years | 1,500 | |||||||||||||||||||
4 years | — | 3 years | 322,165 | |||||||||||||||||||
5 years | — | 4 years | — | |||||||||||||||||||
Thereafter | 430,000 | 5 years | 200,000 | |||||||||||||||||||
Thereafter | — | |||||||||||||||||||||
Total future payments | $ | 430,000 | ||||||||||||||||||||
Total future payments | $ | 525,165 | ||||||||||||||||||||
Recorded Interest Expense, Net | The following tables set forth our recorded interest expense, net for the periods indicated: | The following tables set forth our recorded interest expense, net: | ||||||||||||||||||||
THIRTY- | THIRTY- | FISCAL YEAR | FISCAL YEAR | FISCAL YEAR | ||||||||||||||||||
NINE WEEKS | NINE WEEKS | ENDED | ENDED | ENDED | ||||||||||||||||||
ENDED | ENDED | FEBRUARY 2, | FEBRUARY 3, | JANUARY 29, | ||||||||||||||||||
NOVEMBER 2, 2014 | NOVEMBER 3, 2013 | 2014 | 2013 | 2012 | ||||||||||||||||||
Dave & Buster’s, Inc. debt-based interest expense | $ | 20,129 | $ | 22,363 | Dave & Buster’s debt-based interest expense | $ | 29,675 | $ | 31,393 | 31,196 | ||||||||||||
D&B Entertainment Interest accretion | 8,341 | 11,768 | D&B Entertainment Interest accretion | 15,881 | 14,141 | 11,830 | ||||||||||||||||
Amortization of issuance cost and discount | 1,962 | 2,397 | Amortization of issuance cost and discount | 3,189 | 2,946 | 3,031 | ||||||||||||||||
Interest income | (204 | ) | (209 | ) | Capitalized interest | (602 | ) | (510 | ) | (759 | ) | |||||||||||
Less capitalized interest | (402 | ) | (440 | ) | Interest income | (334 | ) | (336 | ) | (367 | ) | |||||||||||
Total interest expense, net | $ | 29,826 | $ | 35,879 | Total interest expense, net | $ | 47,809 | $ | 47,634 | 44,931 | ||||||||||||
Proceed from New Senior Secured Credit Facility | Proceeds from the new senior secured credit facility were used as follows: | |||||||||||||||||||||
Repayment of Dave & Buster’s, Inc. senior credit facility | ||||||||||||||||||||||
Outstanding principal | $ | 143,509 | ||||||||||||||||||||
Accrued and unpaid interest | 460 | |||||||||||||||||||||
Legal expenses | 41 | |||||||||||||||||||||
144,010 | ||||||||||||||||||||||
Repayment of Dave & Buster’s, Inc. 11% senior notes | ||||||||||||||||||||||
Outstanding principal | 200,000 | |||||||||||||||||||||
Accrued and unpaid interest | 3,239 | |||||||||||||||||||||
Premium for early redemption | 11,000 | |||||||||||||||||||||
Additional interest paid to trustee | 1,833 | |||||||||||||||||||||
216,072 | ||||||||||||||||||||||
Repayment of Dave & Buster’s Parent, Inc. (now known as D&B Entertainment) 12.25% senior discount notes | ||||||||||||||||||||||
Issue price outstanding, net of original issue discount | 100,000 | |||||||||||||||||||||
Previously accreted interest expense | 41,852 | |||||||||||||||||||||
Current year interest accretion included in Interest expense, net | 8,341 | |||||||||||||||||||||
Premium for early redemption | 4,646 | |||||||||||||||||||||
Additional interest paid to trustee | 1,478 | |||||||||||||||||||||
156,317 | ||||||||||||||||||||||
Total payments to retire prior debt | 516,399 | |||||||||||||||||||||
Payments of costs associated with new debt issuance | 8,212 | |||||||||||||||||||||
Administrative fee paid to administrative agent | 31 | |||||||||||||||||||||
8,243 | ||||||||||||||||||||||
Retained cash | 4,033 | |||||||||||||||||||||
Net proceeds received | $ | 528,675 | ||||||||||||||||||||
Loss on Debt Retirement | The loss on debt retirement is comprised of the following: | |||||||||||||||||||||
Non-cash charges | ||||||||||||||||||||||
Loss on refinancing | ||||||||||||||||||||||
Unamortized debt issuance cost | $ | 6,559 | ||||||||||||||||||||
Unamortized debt discount | 435 | |||||||||||||||||||||
Loss on early repayment | ||||||||||||||||||||||
Unamortized debt issuance cost | 1,347 | |||||||||||||||||||||
Unamortized debt discount | 239 | |||||||||||||||||||||
8,580 | ||||||||||||||||||||||
Direct costs associated with debt retirement | ||||||||||||||||||||||
Premium for early redemption: | ||||||||||||||||||||||
Dave & Buster’s, Inc. senior notes | 11,000 | |||||||||||||||||||||
D&B Entertainment senior discount notes | 4,646 | |||||||||||||||||||||
Additional interest paid to trustee: | ||||||||||||||||||||||
Dave & Buster’s, Inc. senior notes | 1,833 | |||||||||||||||||||||
D&B Entertainment senior discount notes | 1,478 | |||||||||||||||||||||
Legal expenses | 41 | |||||||||||||||||||||
18,998 | ||||||||||||||||||||||
Loss on debt retirement | $ | 27,578 | ||||||||||||||||||||
Income_Taxes_Tables
Income Taxes (Tables) | 9 Months Ended | 12 Months Ended | ||||||||||||||||||||
Nov. 02, 2014 | Feb. 02, 2014 | |||||||||||||||||||||
Income Tax Disclosure [Abstract] | ||||||||||||||||||||||
Provision (Benefit) for Income Taxes | The provision (benefit) for income taxes is as follows: | The provision (benefit) for income taxes is as follows: | ||||||||||||||||||||
THIRTY-NINE WEEKS | THIRTY-NINE WEEKS | FISCAL YEAR | FISCAL YEAR | FISCAL YEAR | ||||||||||||||||||
ENDED | ENDED | ENDED | ENDED | ENDED | ||||||||||||||||||
NOVEMBER 2, 2014 | NOVEMBER 3, 2013 | FEBRUARY 2, | FEBRUARY 3, | JANUARY 29, | ||||||||||||||||||
Current Expense | 2014 | 2013 | 2012 | |||||||||||||||||||
Federal | $ | 1,381 | $ | 2,788 | Current expense | |||||||||||||||||
Foreign | 237 | (42 | ) | Federal | $ | 615 | $ | 536 | $ | — | ||||||||||||
State and local | 1,953 | (191 | ) | Foreign | 97 | 361 | (175 | ) | ||||||||||||||
Deferred expense (benefit) | (8,065 | ) | (2,997 | ) | State and local | 1,150 | (51 | ) | 383 | |||||||||||||
Deferred expense (benefit) | (801 | ) | (13,548 | ) | (4,004 | ) | ||||||||||||||||
Total provision (benefit) for income taxes | $ | (4,494 | ) | $ | (442 | ) | ||||||||||||||||
Total provision (benefit) for income taxes | $ | 1,061 | $ | (12,702 | ) | $ | (3,796 | ) | ||||||||||||||
Components of Deferred Tax Liabilities and Assets | Significant components of the deferred tax liabilities and assets in the consolidated balance sheets are as follows: | |||||||||||||||||||||
FEBRUARY 2, | FEBRUARY 3, | |||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||||
Deferred tax assets: | ||||||||||||||||||||||
Tax credit carryovers | $ | 10,297 | $ | 10,155 | ||||||||||||||||||
Deferred revenue and redemption ticket liability | 9,540 | 7,252 | ||||||||||||||||||||
Leasing transactions | 5,585 | 3,838 | ||||||||||||||||||||
State net operating loss carryovers | 3,503 | 3,444 | ||||||||||||||||||||
Workers’ compensation and general liability insurance | 3,429 | 3,666 | ||||||||||||||||||||
Accrued liabilities | 1,985 | 2,770 | ||||||||||||||||||||
Deferred compensation | 1,610 | 1,140 | ||||||||||||||||||||
Smallware supplies | 714 | 713 | ||||||||||||||||||||
Indirect benefit of unrecognized tax benefits | 225 | 216 | ||||||||||||||||||||
Other | 1,567 | 1,391 | ||||||||||||||||||||
Total deferred tax assets | 38,455 | 34,585 | ||||||||||||||||||||
Valuation allowance for deferred tax assets—US | (1,388 | ) | (1,158 | ) | ||||||||||||||||||
Total deferred tax assets net of valuation allowance | 37,067 | 33,427 | ||||||||||||||||||||
Deferred tax liabilities: | ||||||||||||||||||||||
Trademark/trade name | 31,578 | 31,928 | ||||||||||||||||||||
Property and equipment | 4,109 | 963 | ||||||||||||||||||||
Prepaid expenses | 232 | 189 | ||||||||||||||||||||
Total deferred tax liabilities | 35,919 | 33,080 | ||||||||||||||||||||
Net deferred tax asset | $ | 1,148 | $ | 347 | ||||||||||||||||||
Net Deferred Tax Assets | The Net deferred tax asset is presented in the Consolidated Balance Sheets as follows: | |||||||||||||||||||||
FEBRUARY 2, | FEBRUARY 3, | |||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||||
Deferred income taxes—current | $ | 24,802 | $ | 25,137 | ||||||||||||||||||
Other assets and deferred charge | — | 286 | ||||||||||||||||||||
Deferred tax assets | 24,802 | 25,423 | ||||||||||||||||||||
Deferred income taxes—current | — | 189 | ||||||||||||||||||||
Deferred income taxes | 23,654 | 24,887 | ||||||||||||||||||||
Deferred tax liabilities | 23,654 | 25,076 | ||||||||||||||||||||
Net deferred tax asset | $ | 1,148 | $ | 347 | ||||||||||||||||||
Change in Unrecognized Tax Benefits | The change in unrecognized tax benefits excluding interest, penalties and related income tax benefits were as follows: | |||||||||||||||||||||
FISCAL YEAR | FISCAL YEAR | FISCAL YEAR | ||||||||||||||||||||
ENDED | ENDED | ENDED | ||||||||||||||||||||
FEBRUARY 2, | FEBRUARY 3, | JANUARY 29, | ||||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||||||
Balance at beginning of year | $ | 471 | $ | 940 | $ | 881 | ||||||||||||||||
Additions for tax positions of prior years | 176 | 108 | 118 | |||||||||||||||||||
Reductions for tax positions of prior years | (32 | ) | (1 | ) | — | |||||||||||||||||
Settlements | — | (576 | ) | — | ||||||||||||||||||
Lapse of statute of limitations | (139 | ) | — | (59 | ) | |||||||||||||||||
Balance at end of year | $ | 476 | $ | 471 | $ | 940 | ||||||||||||||||
Reconciliation of Federal Statutory Rate to Effective Income Tax Rate | The reconciliation of the federal statutory rate to the effective income tax rate follows: | |||||||||||||||||||||
FISCAL YEAR | FISCAL YEAR | FISCAL YEAR | ||||||||||||||||||||
ENDED | ENDED | ENDED | ||||||||||||||||||||
FEBRUARY 2, | FEBRUARY 3, | JANUARY 29, | ||||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||||||
Federal corporate statutory rate | 35 | % | 35 | % | 35 | % | ||||||||||||||||
State and local income taxes, net of federal income tax benefit | 30.8 | % | 1.2 | % | 4.1 | % | ||||||||||||||||
Foreign taxes | 1.8 | % | 0.9 | % | 1.2 | % | ||||||||||||||||
Nondeductible expenses | 24.9 | % | (23.5 | )% | (7.1 | )% | ||||||||||||||||
Tax credits | (74.8 | )% | 65.8 | % | 20.1 | % | ||||||||||||||||
Valuation allowance | 7.1 | % | 257.4 | % | (7.8 | )% | ||||||||||||||||
Change in reserve | 0.2 | % | 32.9 | % | (2.1 | )% | ||||||||||||||||
Other | 1.7 | % | (45.7 | )% | (8.2 | )% | ||||||||||||||||
Effective tax rate | 26.7 | % | 324 | % | 35.2 | % | ||||||||||||||||
Leases_Tables
Leases (Tables) | 9 Months Ended | 12 Months Ended | ||||||||||||||||||||||||||||
Nov. 02, 2014 | Feb. 02, 2014 | |||||||||||||||||||||||||||||
Future Minimum Lease Payments | The following table sets forth our lease commitments as of November 2, 2014: | At February 2, 2014 future minimum lease payments, including any periods covered by renewal options we are reasonably assured of exercising (including the sale/leaseback transactions described below), are: | ||||||||||||||||||||||||||||
OPERATING LEASE | 2014 | 2015 | 2016 | 2017 | 2018 | THEREAFTER | TOTAL | |||||||||||||||||||||||
OBLIGATIONS | $57,024 | $ | 56,068 | $ | 54,947 | $ | 53,125 | $ | 49,603 | $ | 284,780 | $ | 555,547 | |||||||||||||||||
AT NOVEMBER 2, 2014 | ||||||||||||||||||||||||||||||
1 year or less | $ | 64,113 | ||||||||||||||||||||||||||||
2 years | 62,810 | |||||||||||||||||||||||||||||
3 years | 61,287 | |||||||||||||||||||||||||||||
4 years | 58,224 | |||||||||||||||||||||||||||||
5 years | 53,460 | |||||||||||||||||||||||||||||
Thereafter | 376,700 | |||||||||||||||||||||||||||||
Total future payments | $ | 676,594 | ||||||||||||||||||||||||||||
Future Minimum Principal and Interest Payments | Future minimum principal and interest payments due to us under these notes are as follows: | |||||||||||||||||||||||||||||
2014 | 2015 | 2016 | 2017 | 2018 | THEREAFTER | TOTAL | ||||||||||||||||||||||||
$489 | $ | 489 | $ | 489 | $ | 489 | $ | 489 | $ | 1,424 | $ | 3,869 | ||||||||||||||||||
Equipment [Member] | ||||||||||||||||||||||||||||||
Future Minimum Lease Payments | At February 2, 2014, we also had lease commitments on equipment as follows: | |||||||||||||||||||||||||||||
2014 | 2015 | 2016 | 2017 | 2018 | THEREAFTER | TOTAL | ||||||||||||||||||||||||
$797 | $ | 606 | $ | 167 | $ | 14 | $ | — | $ | — | $ | 1,584 |
Equitybased_Compensation_Table
Equity-based Compensation (Tables) | 12 Months Ended | ||||||||||||||||
Feb. 02, 2014 | |||||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |||||||||||||||||
Transactions Related to Stock Options | Transactions during fiscal 2013 under the 2010 D&B Entertainment Incentive Plan were as follows: | ||||||||||||||||
SERVICE BASED OPTIONS | PERFORMANCE BASED OPTIONS | ||||||||||||||||
NUMBER | WEIGHTED | NUMBER | WEIGHTED | ||||||||||||||
OF OPTIONS | AVERAGE | OF OPTIONS | AVERAGE | ||||||||||||||
EXERCISE PRICE | EXERCISE PRICE | ||||||||||||||||
Options outstanding at beginning of year | 1,117,255 | $ | 4.69 | 2,736,258 | $ | 4.51 | |||||||||||
Granted | 227,657 | 8.72 | 16,874 | 9.93 | |||||||||||||
Exercised | (9,990 | ) | 4.44 | (8,009 | ) | 4.44 | |||||||||||
Forfeited | (31,686 | ) | 5.04 | (54,311 | ) | 4.44 | |||||||||||
Options outstanding at end of year | 1,303,236 | 5.39 | 2,690,812 | 4.54 | |||||||||||||
Options exercisable at end of year | 589,457 | $ | 4.71 | 749,870 | $ | 4.65 | |||||||||||
Quarterly_Financial_Informatio1
Quarterly Financial Information (unaudited) (Tables) | 12 Months Ended | ||||||||||||||||
Feb. 02, 2014 | |||||||||||||||||
Quarterly Financial Information Disclosure [Abstract] | |||||||||||||||||
Quarterly Financial Information | |||||||||||||||||
FISCAL YEAR ENDED FEBRUARY 2, 2014 | |||||||||||||||||
FIRST | SECOND | THIRD | FOURTH | ||||||||||||||
QUARTER | QUARTER | QUARTER | QUARTER | ||||||||||||||
5/5/13 | 8/4/13 | 11/3/13 | 2/2/14 | ||||||||||||||
Total revenues | $ | 168,155 | $ | 153,723 | $ | 142,330 | $ | 171,371 | |||||||||
Income (loss) before provision (benefit) for income taxes | 10,554 | (794 | ) | (12,910 | ) | 6,380 | |||||||||||
Net income (loss) | 7,550 | (98 | ) | (10,160 | ) | 4,877 | |||||||||||
FISCAL YEAR ENDED FEBRUARY 3, 2013 | |||||||||||||||||
FIRST | SECOND | THIRD | FOURTH | ||||||||||||||
QUARTER | QUARTER | QUARTER | QUARTER | ||||||||||||||
4/29/12 | 7/29/12 | 10/28/12 | 2/3/2013(1) | ||||||||||||||
Total revenues | $ | 163,474 | $ | 147,941 | $ | 131,066 | $ | 165,586 | |||||||||
Income (loss) before provision (benefit) for income taxes | 11,312 | (3,258 | ) | (14,180 | ) | 2,206 | |||||||||||
Net income (loss) | 8,857 | (1,603 | ) | (3,894 | ) | 5,422 | |||||||||||
-1 | Our fiscal 2012 year consisted of 53 weeks. Each quarterly period has 13 weeks, except the fourth quarterly period ended February 3, 2013, which consists of 14 weeks. We have estimated the revenues during the 53rd week of fiscal 2012 to be $10,355. |
Earnings_per_share_Tables
Earnings per share (Tables) | 9 Months Ended | 12 Months Ended | ||||||||||||||||||||
Nov. 02, 2014 | Feb. 02, 2014 | |||||||||||||||||||||
Earnings Per Share [Abstract] | ||||||||||||||||||||||
Summary of Calculation of Basic and Diluted Earnings Per Share | The following tables set forth the computation of EPS, basic and diluted for the thirty-nine weeks ended November 2, 2014 and November 3, 2013, respectively: | The following table sets forth the computation of EPS, basic and diluted for the fiscal year ended February 2, 2014, February 3, 2013, and January 29, 2012: | ||||||||||||||||||||
THIRTY-NINE WEEKS | THIRTY-NINE WEEKS | (in thousands, except per share data) | FISCAL YEAR | FISCAL YEAR | FISCAL YEAR | |||||||||||||||||
ENDED | ENDED | ENDED | ENDED | ENDED | ||||||||||||||||||
NOVEMBER 2, 2014 | NOVEMBER 3, 2013 | FEBRUARY 2, 2014 | FEBRUARY 3, 2013 | JANUARY 29, 2012 | ||||||||||||||||||
Numerator: | Numerator: | |||||||||||||||||||||
Net loss | $ | (7,024 | ) | $ | (2,708 | ) | Net income (loss) | $ | 2,169 | $ | 8,782 | $ | (6,985 | ) | ||||||||
Denominator: | ||||||||||||||||||||||
Basic weighted average common shares outstanding | 33,763,436 | 33,186,273 | Denominator: | |||||||||||||||||||
Potential common shares for stock options | — | — | Basic weighted average common shares outstanding | 33,187,776 | 33,186,426 | 34,478,732 | ||||||||||||||||
Diluted weighted average common shares outstanding | 33,763,436 | 33,186,273 | Potential common shares for stock options | 842,339 | 561,109 | — | ||||||||||||||||
Net Loss per share: | Diluted weighted average common shares outstanding | 34,030,115 | 33,747,535 | 34,478,732 | ||||||||||||||||||
Basic | $ | (0.21 | ) | $ | (0.08 | ) | ||||||||||||||||
Diluted | $ | (0.21 | ) | $ | (0.08 | ) | Earnings (loss) per shares: | $ | 0.07 | $ | 0.26 | $ | (0.20 | ) | ||||||||
Basic | $ | 0.06 | $ | 0.26 | $ | (0.20 | ) | |||||||||||||||
Diluted |
Description_of_Business_Basis_
Description of Business, Basis of Presentation and Summary of Significant Accounting Policies - Additional Information (Detail) (USD $) | 0 Months Ended | 9 Months Ended | 12 Months Ended | 3 Months Ended | 12 Months Ended | 1 Months Ended | 0 Months Ended | ||||||
In Thousands, except Share data, unless otherwise specified | Oct. 09, 2014 | Feb. 02, 2014 | Feb. 03, 2013 | Nov. 02, 2014 | Nov. 03, 2013 | Feb. 02, 2014 | Feb. 03, 2013 | Jan. 29, 2012 | Nov. 02, 2014 | Nov. 03, 2013 | Jan. 29, 2013 | Oct. 31, 2014 | Oct. 21, 2014 |
Segment | Segment | ||||||||||||
Store | Person | ||||||||||||
Location | Location | ||||||||||||
Description Of Business And Basis Of Presentation [Line Items] | |||||||||||||
Number of stores opened | 66 | 5 | 66 | 5 | |||||||||
Number of operating segments | 1 | 1 | |||||||||||
Number of reportable segments | 1 | 1 | |||||||||||
Stock split ratio | 224.9835679 | ||||||||||||
Reclassification of paid-in capital | $333 | $333 | |||||||||||
Valuation allowance for deferred tax assets - US | 1,388 | 1,158 | 923 | 1,388 | 1,158 | 923 | |||||||
Long lived asset impairment loss | 0 | 0 | 200 | ||||||||||
Unrealized foreign currency translation gain (loss) | -419 | 15 | 42 | ||||||||||
Advertising costs expensed | 27,475 | 28,502 | 26,612 | ||||||||||
Number of board members who received advisor fee | 2 | ||||||||||||
Net payable from related party | 6,907 | 3,349 | 6,907 | 3,349 | |||||||||
Unrecognized tax benefits | 767 | 767 | |||||||||||
Tax penalties and interest | 291 | 316 | 291 | 316 | |||||||||
Tax benefits recognized to penalties and interest | 5 | ||||||||||||
Tax benefits recognized to penalties and interest | 1 | ||||||||||||
Unrecognized tax benefits if recognized, would impact the effective tax rate | 349 | 330 | 349 | 330 | |||||||||
Increase in authorized share amendment description | On October 9, 2014, we amended our certificate of incorporation to increase our authorized share count to 450,000,000 shares of stock, including 400,000,000 shares of common stock and 50,000,000 shares of preferred stock, each with a par value of $0.01 per share and to split our common stock 224.9835679 for 1. | ||||||||||||
Increased authorized shares | 450,000,000 | ||||||||||||
Common stock, shares authorized | 400,000,000 | 112,491,784 | 112,491,784 | 400,000,000 | 112,491,784 | 112,491,784 | 400,000,000 | ||||||
Common stock, par value | $0.01 | $0.01 | $0.01 | $0.01 | $0.01 | $0.01 | $0.01 | ||||||
Preferred stock, shares authorized | 50,000,000 | 10,000,000 | 10,000,000 | 50,000,000 | 10,000,000 | 10,000,000 | 50,000,000 | ||||||
Preferred stock, par value | $0.01 | ||||||||||||
Underwriters option exercised period for purchasing additional shares | 30 days | ||||||||||||
Expiration date of Underwriters option to purchase additional shares | 21-Oct-14 | ||||||||||||
Proceeds from IPO | 100,659 | ||||||||||||
Operating income | 45,886 | 32,729 | 51,039 | 43,714 | 34,150 | ||||||||
Reclassification of paid-in capital | 333 | ||||||||||||
Oak Hill Capital Management Lic [Member] | |||||||||||||
Description Of Business And Basis Of Presentation [Line Items] | |||||||||||||
Related party expenses incurred under expense reimbursement agreement | 115 | 76 | 297 | ||||||||||
Percentage of term loan held by Oak Hill Advisors, L.P. | 10.80% | ||||||||||||
Term loan held by Oak Hill Advisors, L.P. | 46,622 | ||||||||||||
Percentage of outstanding common stock owned | 79.20% | 79.20% | |||||||||||
Reimbursement expenses | 41 | 115 | 7 | 20 | |||||||||
Board Members [Member] | Consulting Fee | |||||||||||||
Description Of Business And Basis Of Presentation [Line Items] | |||||||||||||
Board members compensation | 235 | 235 | 153 | ||||||||||
Construction | |||||||||||||
Description Of Business And Basis Of Presentation [Line Items] | |||||||||||||
Construction allowance receivables | 5,677 | 8,893 | 5,677 | 8,893 | |||||||||
Common Stock [Member] | |||||||||||||
Description Of Business And Basis Of Presentation [Line Items] | |||||||||||||
Common stock issued | 6,764,705 | ||||||||||||
Stock split ratio | 224.9835679 | ||||||||||||
Board Members [Member] | Oak Hill Capital Management Lic [Member] | |||||||||||||
Description Of Business And Basis Of Presentation [Line Items] | |||||||||||||
Percentage of outstanding common stock owned | 3.70% | 3.70% | |||||||||||
Director [Member] | |||||||||||||
Description Of Business And Basis Of Presentation [Line Items] | |||||||||||||
Board members compensation | 176 | 59 | |||||||||||
IPO [Member] | |||||||||||||
Description Of Business And Basis Of Presentation [Line Items] | |||||||||||||
Common stock issued | 5,882,353 | ||||||||||||
Common stock price per share | $16 | ||||||||||||
Proceeds from IPO | 98,573 | ||||||||||||
IPO [Member] | Common Stock [Member] | |||||||||||||
Description Of Business And Basis Of Presentation [Line Items] | |||||||||||||
Common stock issued | 6,764,705 | ||||||||||||
Share price | $16 | ||||||||||||
Under Writer Exercise Option [Member] | |||||||||||||
Description Of Business And Basis Of Presentation [Line Items] | |||||||||||||
Common stock issued | 882,352 | ||||||||||||
Common stock exercised | 882,352 | ||||||||||||
United States and Canada [Member] | |||||||||||||
Description Of Business And Basis Of Presentation [Line Items] | |||||||||||||
Number of stores opened | 70 | 70 | |||||||||||
Maryland [Member] | |||||||||||||
Description Of Business And Basis Of Presentation [Line Items] | |||||||||||||
Revenue | 5,416 | 8,973 | |||||||||||
Operating income | $851 | $2,109 |
Estimated_Useful_Lives_of_Asse
Estimated Useful Lives of Assets (Detail) | 12 Months Ended |
Feb. 02, 2014 | |
Buildings and building improvements | |
Property, Plant and Equipment [Line Items] | |
Estimated Depreciable Lives (In Years), description | Shorter of 40 or expected ground lease term |
Buildings and building improvements | Maximum | |
Property, Plant and Equipment [Line Items] | |
Estimated Depreciable Lives (In Years) | 40 years |
Leasehold Improvements | |
Property, Plant and Equipment [Line Items] | |
Estimated Depreciable Lives (In Years), description | Shorter of 20 or expected lease term |
Leasehold Improvements | Maximum | |
Property, Plant and Equipment [Line Items] | |
Estimated Depreciable Lives (In Years) | 20 years |
Furniture, fixtures and equipment | Maximum | |
Property, Plant and Equipment [Line Items] | |
Estimated Depreciable Lives (In Years) | 10 years |
Furniture, fixtures and equipment | Minimum | |
Property, Plant and Equipment [Line Items] | |
Estimated Depreciable Lives (In Years) | 3 years |
Games | Maximum | |
Property, Plant and Equipment [Line Items] | |
Estimated Depreciable Lives (In Years) | 20 years |
Games | Minimum | |
Property, Plant and Equipment [Line Items] | |
Estimated Depreciable Lives (In Years) | 5 years |
Deferred_Financing_Costs_Relat
Deferred Financing Costs Relating to Other Assets (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Feb. 02, 2014 | Feb. 03, 2013 | Jan. 29, 2012 |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | |||
Balance at beginning of period | $10,076 | $12,735 | $11,312 |
Additional deferred financing costs | 726 | 4,088 | |
Amortization during period | -2,848 | -2,659 | -2,665 |
Balance at end of period | $7,954 | $10,076 | $12,735 |
Significant_Assumptions_Used_i
Significant Assumptions Used in Determining Underlying Fair Value of Weighted-Average Options Granted (Detail) (USD $) | 12 Months Ended | ||
Feb. 02, 2014 | Feb. 03, 2013 | Jan. 29, 2012 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Weighted average calculated value | $8.81 | ||
Service Based Stock Options | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Volatility | 48.20% | 44.70% | 55.00% |
Risk free interest rate | 1.15% | 0.78% | 1.46% |
Expected dividend yield | 0.00% | 0.00% | 0.00% |
Expected term - in years | 6 years 6 months | 4 years 10 months 24 days | 4 years |
Weighted average calculated value | $4.72 | $2.43 | $0.98 |
Performance Based Stock Options | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Volatility | 47.00% | 50.00% | 55.00% |
Risk free interest rate | 1.06% | 0.33% | 1.47% |
Expected dividend yield | 0.00% | 0.00% | 0.00% |
Expected term - in years | 6 years 6 months | 3 years | 4 years |
Weighted average calculated value | $4.16 | $2.25 | $0.52 |
Casualty_loss_Additional_Infor
Casualty loss - Additional Information (Detail) (USD $) | 9 Months Ended | 12 Months Ended | 8 Months Ended | ||||
In Thousands, unless otherwise specified | Nov. 02, 2014 | Nov. 03, 2013 | Feb. 02, 2014 | Feb. 03, 2013 | Jan. 29, 2012 | Jan. 30, 2011 | 31-May-10 |
Business Interruption Loss [Line Items] | |||||||
Property and business interruption insurance | $25,000 | ||||||
Property and business interruption insurance deductible | 1,000 | ||||||
Recovery of business Interruption | 170,440 | 150,107 | 199,537 | 192,792 | 175,993 | ||
Insurance received | -1,629 | ||||||
Fair value of delivered assets by the landlord | 2,443 | ||||||
Gain recorded in other store operating expenses | 955 | ||||||
Casualty Related Receivables | |||||||
Business Interruption Loss [Line Items] | |||||||
Insurance received | 2,414 | 1,629 | |||||
Insurance carrier | |||||||
Business Interruption Loss [Line Items] | |||||||
Recovery of business Interruption | 3,215 | ||||||
Property And Equipment | Casualty Related Receivables | |||||||
Business Interruption Loss [Line Items] | |||||||
Insurance received | 798 | ||||||
Inventory | Casualty Related Receivables | |||||||
Business Interruption Loss [Line Items] | |||||||
Insurance received | 156 | ||||||
Pre-Opening Costs | Casualty Related Receivables | |||||||
Business Interruption Loss [Line Items] | |||||||
Insurance received | 778 | ||||||
Remediation Expenses and Other Costs | Casualty Related Receivables | |||||||
Business Interruption Loss [Line Items] | |||||||
Insurance received | $682 |
Inventories_Detail
Inventories (Detail) (USD $) | Nov. 02, 2014 | Feb. 02, 2014 | Feb. 03, 2013 |
In Thousands, unless otherwise specified | |||
Inventory [Line Items] | |||
Inventory | $15,883 | $15,354 | $14,849 |
Operating Store-Food and Beverage | |||
Inventory [Line Items] | |||
Inventory | 3,961 | 3,581 | |
Operating Store-Amusement | |||
Inventory [Line Items] | |||
Inventory | 6,214 | 6,125 | |
Corporate Supplies, Warehouse and Other | |||
Inventory [Line Items] | |||
Inventory | $5,179 | $5,143 |
Property_and_Equipment_Detail
Property and Equipment (Detail) (USD $) | Nov. 02, 2014 | Feb. 02, 2014 | Feb. 03, 2013 |
In Thousands, unless otherwise specified | |||
Property, Plant and Equipment [Line Items] | |||
Property and equipment, gross | $583,432 | $476,696 | |
Accumulated depreciation | -236,717 | -195,339 | -139,457 |
Property and equipment, net | 427,235 | 388,093 | 337,239 |
Buildings and building improvements | |||
Property, Plant and Equipment [Line Items] | |||
Property and equipment, gross | 14,176 | 13,919 | |
Leasehold Improvements | |||
Property, Plant and Equipment [Line Items] | |||
Property and equipment, gross | 330,641 | 288,555 | |
Furniture, fixtures and equipment | |||
Property, Plant and Equipment [Line Items] | |||
Property and equipment, gross | 117,194 | 93,693 | |
Games | |||
Property, Plant and Equipment [Line Items] | |||
Property and equipment, gross | 88,310 | 73,094 | |
Construction in Progress | |||
Property, Plant and Equipment [Line Items] | |||
Property and equipment, gross | $33,111 | $7,435 |
Property_and_Equipment_Capital
Property and Equipment Capitalized and Depreciated - Additional Information (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Feb. 02, 2014 | Feb. 03, 2013 | Jan. 29, 2012 |
Property, Plant and Equipment [Abstract] | |||
Capitalized interest cost | $602 | $510 | $759 |
Depreciation expense | $64,933 | $61,957 | $52,623 |
Changes_in_Carrying_Amount_of_
Changes in Carrying Amount of Goodwill (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Feb. 02, 2014 | Feb. 03, 2013 | Nov. 02, 2014 |
Goodwill and Intangible Assets Disclosure [Abstract] | |||
Beginning Balance | $272,278 | $272,286 | $272,445 |
Foreign exchange differences | 150 | -8 | |
Ending Balance | $272,428 | $272,278 | $272,445 |
Goodwill_and_Intangible_Assets
Goodwill and Intangible Assets (Detail) (USD $) | 12 Months Ended | |||
In Thousands, unless otherwise specified | Feb. 02, 2014 | Nov. 02, 2014 | Feb. 03, 2013 | Jan. 29, 2012 |
Goodwill And Intangible Assets [Line Items] | ||||
Useful Lives | 3 years 8 months 12 days | |||
Goodwill | $272,428 | $272,445 | $272,278 | $272,286 |
Tradenames | 79,000 | 79,000 | 79,000 | |
Total goodwill and intangibles | 362,128 | 361,978 | ||
Accumulated Amortization | -5,665 | -4,261 | ||
Indefinite-lived Intangible Assets | ||||
Goodwill And Intangible Assets [Line Items] | ||||
Total goodwill and intangibles | 351,428 | 351,278 | ||
Trademarks | ||||
Goodwill And Intangible Assets [Line Items] | ||||
Useful Lives | 7 years | |||
Gross Carrying Amount | 8,500 | 8,500 | ||
Accumulated Amortization | -4,471 | -3,255 | ||
Customer Relationships | ||||
Goodwill And Intangible Assets [Line Items] | ||||
Useful Lives | 9 years | |||
Gross Carrying Amount | 1,700 | 1,700 | ||
Accumulated Amortization | -694 | -506 | ||
Non-compete agreements | ||||
Goodwill And Intangible Assets [Line Items] | ||||
Useful Lives | 2 years | |||
Gross Carrying Amount | 500 | 500 | ||
Accumulated Amortization | -500 | -500 | ||
Finite lived intangible assets subject to amortization | ||||
Goodwill And Intangible Assets [Line Items] | ||||
Gross Carrying Amount | $10,700 | $10,700 |
Goodwill_and_Other_Intangible_2
Goodwill and Other Intangible Assets - Additional Information (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Feb. 02, 2014 | Feb. 03, 2013 | Jan. 29, 2012 |
Goodwill and Intangible Assets Disclosure [Abstract] | |||
Remaining weighted-average amortization period for intangibles subject to amortization | 3 years 8 months 12 days | ||
Amortization expense | $1,404 | $1,500 | $1,654 |
Estimated_Amortization_Expense
Estimated Amortization Expense Relating to Intangible Assets Subject to Amortization (Detail) (USD $) | Feb. 02, 2014 |
In Thousands, unless otherwise specified | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
2014 | $1,399 |
2015 | 1,399 |
2016 | 1,399 |
2017 | 588 |
2018 | 188 |
Thereafter | 62 |
Total future amortization expense | $5,035 |
Accrued_Liabilities_Accrued_Li
Accrued Liabilities - Accrued Liabilities (Detail) (USD $) | Nov. 02, 2014 | Feb. 02, 2014 | Feb. 03, 2013 |
In Thousands, unless otherwise specified | |||
Accrued Liabilities, Current [Abstract] | |||
Compensation and benefits | $18,666 | $14,459 | $15,205 |
Deferred amusement revenue | 16,107 | 14,047 | 11,675 |
Amusement redemption liability | 10,026 | 9,707 | 7,144 |
Rent | 10,059 | 9,040 | 8,902 |
Deferred gift card revenue | 4,687 | 4,709 | 4,028 |
Sales and use tax | 3,723 | 4,408 | 4,282 |
Accrued interest | 418 | 4,214 | 4,242 |
Current portion of long-term insurance reserves | 3,358 | 3,358 | 3,000 |
Property taxes | 5,233 | 3,159 | 2,884 |
Other | 11,210 | 7,278 | 5,762 |
Total accrued liabilities | $83,487 | $74,379 | $67,124 |
LongTerm_Debt_LongTerm_Debt_De
Long-Term Debt - Long-Term Debt (Detail) (USD $) | Nov. 02, 2014 | Feb. 02, 2014 | Feb. 03, 2013 | Feb. 22, 2011 |
In Thousands, unless otherwise specified | ||||
Debt Instrument [Line Items] | ||||
Debt outstanding | $430,000 | $525,165 | $526,665 | |
Current installments | -1,500 | -1,500 | ||
Long-term debt, less current installments, net of unamortized discount | 428,976 | 484,177 | 469,550 | |
New Senior Secured Credit Facility [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt outstanding | 430,000 | |||
Unamortized debt discount | -1,024 | |||
Senior Secured Credit Facility [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt outstanding | 144,375 | 145,875 | ||
Unamortized debt discount | -550 | -796 | ||
Senior Notes [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt outstanding | 200,000 | 200,000 | ||
Senior Discount Notes [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt outstanding | 180,790 | 180,790 | 180,790 | |
Unamortized debt discount | ($38,938) | ($54,819) |
LongTerm_Debt_Additional_Infor
Long-Term Debt - Additional Information (Detail) (USD $) | 0 Months Ended | 9 Months Ended | 12 Months Ended | 0 Months Ended | 9 Months Ended | 12 Months Ended | ||
Feb. 22, 2011 | Nov. 02, 2014 | Feb. 02, 2014 | Jan. 29, 2012 | Jun. 01, 2010 | Nov. 03, 2013 | Feb. 03, 2013 | 14-May-13 | |
Line of Credit Facility [Line Items] | ||||||||
Proceeds from term loan facility | $528,675,000 | $100,000,000 | ||||||
Letter of credit facility outstanding | 5,822,000 | |||||||
Credit facility, current borrowing | 144,375,000 | |||||||
Credit facility, current borrowing, net of discount | 428,976,000 | 143,825,000 | ||||||
Outstanding letter of credit above which the company is required to maintain financial ratios | 12,000,000 | |||||||
Redemption date of notes | 2-Feb-14 | 1-Jun-14 | ||||||
Senior notes | 141,852,000 | 200,000,000 | ||||||
Credit facility, current borrowing | 430,000,000 | 525,165,000 | 526,665,000 | |||||
Received net proceeds of debt issuance cost | 100,000,000 | |||||||
Percentage of excess outstanding debt to excess of revolving commitments | 30.00% | |||||||
Senior Notes [Member] | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Maturity Date | 1-Jun-18 | |||||||
Interest Rate | 11.00% | |||||||
Frequency of interest payments - Senior Notes | Semi-annually | |||||||
Senior notes fair value | 150,100,000 | 214,500,000 | ||||||
Consolidated coverage ratio | 200.00% | |||||||
Credit facility, current borrowing | 200,000,000 | 200,000,000 | ||||||
Senior Discount Notes [Member] | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Maturity Date | 15-Feb-16 | |||||||
Debt issuance discount cost | 38,938,000 | 54,819,000 | ||||||
Interest Rate | 12.25% | |||||||
Credit facility, current borrowing | 180,790,000 | 180,790,000 | 180,790,000 | |||||
Minimum | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Fixed charge coverage ratio | 115.00% | |||||||
Required fixed charge coverage ratio | 130.00% | |||||||
Redemption price of notes as percentage of principal amount | 100.00% | 100.00% | ||||||
Minimum | Second Amendment [Member] | Scenario One [Member] | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Leverage ratio | 275.00% | |||||||
Maximum | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Leverage ratio | 400.00% | |||||||
Required leverage ratio | 325.00% | |||||||
Redemption price of notes as percentage of principal amount | 106.13% | 105.50% | ||||||
Maximum | Second Amendment [Member] | Scenario Two [Member] | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Leverage ratio | 275.00% | |||||||
New Senior Secured Credit Facility [Member] | ||||||||
Line of Credit Facility [Line Items] | ||||||||
New senior secured credit facility | 530,000,000 | |||||||
Maturity Date | 25-Jul-20 | |||||||
Proceeds from term loan facility | 528,675,000 | |||||||
Debt issuance discount cost | 1,325,000 | |||||||
Interest Rate | 4.50% | |||||||
Secured term loan maturity period | 6 years | |||||||
Repayment of principal amount of term loan facility | 100,000,000 | |||||||
Loss on extinguishment charge | 1,586,000 | |||||||
New Senior Secured Credit Facility [Member] | Minimum | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Debt instrument interest rate | 3.25% | |||||||
New Senior Secured Credit Facility [Member] | Maximum | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Debt instrument interest rate | 3.50% | |||||||
Revolving Credit Facility [Member] | ||||||||
Line of Credit Facility [Line Items] | ||||||||
New senior secured credit facility | 50,000,000 | 50,000,000 | ||||||
Maturity Date | 25-Jul-19 | 1-Jun-15 | ||||||
Credit facility outstanding | 0 | 0 | ||||||
Revolving Credit Facility [Member] | Minimum | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Debt instrument interest rate | 3.00% | |||||||
Revolving Credit Facility [Member] | Maximum | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Debt instrument interest rate | 3.50% | |||||||
Letter of Credit Sub-Facility [Member] | ||||||||
Line of Credit Facility [Line Items] | ||||||||
New senior secured credit facility | 20,000,000 | 20,000,000 | ||||||
Letter of credit facility outstanding | 5,670,000 | |||||||
Swingline Sub-Facility [Member] | ||||||||
Line of Credit Facility [Line Items] | ||||||||
New senior secured credit facility | 5,000,000 | 5,000,000 | ||||||
Senior Secured Credit Facility [Member] | ||||||||
Line of Credit Facility [Line Items] | ||||||||
New senior secured credit facility | 150,000,000 | |||||||
Maturity Date | 1-Jun-16 | |||||||
Proceeds from term loan facility | 148,500,000 | |||||||
Debt issuance discount cost | 1,500,000 | |||||||
Interest Rate | 4.50% | |||||||
Leverage ratio | 255.00% | |||||||
Number of creditors for senior secured credit facility | 22 | |||||||
Percentage of term loan held by Oak Hill Advisors, L.P. | 9.97% | |||||||
Term loan held by Oak Hill Advisors, L.P. | 14,394,000 | |||||||
Repayment of principal amount of term loan facility | 144,375,000 | 1,500,000 | 1,500,000 | 1,125,000 | 1,875,000 | |||
Foreign Line of Credit [Member] | ||||||||
Line of Credit Facility [Line Items] | ||||||||
New senior secured credit facility | $1,000,000 |
Long_Term_Debt_Future_Debt_Pay
Long Term Debt - Future Debt Payment Obligation (Detail) (USD $) | Nov. 02, 2014 | Feb. 02, 2014 |
In Thousands, unless otherwise specified | ||
Debt Disclosure [Abstract] | ||
1 year or less | $0 | $1,500 |
2 years | 0 | 1,500 |
3 years | 0 | 322,165 |
4 years | 0 | 0 |
5 years | 0 | 200,000 |
Thereafter | 430,000 | 0 |
Total future payments | $430,000 | $525,165 |
Long_Term_Debt_Recorded_Intere
Long Term Debt - Recorded Interest Expense, Net (Detail) (USD $) | 9 Months Ended | 12 Months Ended | |||
In Thousands, unless otherwise specified | Nov. 02, 2014 | Nov. 03, 2013 | Feb. 02, 2014 | Feb. 03, 2013 | Jan. 29, 2012 |
Debt Disclosure [Abstract] | |||||
Dave & Buster's, Inc. debt-based interest expense | $20,129 | $22,363 | $29,675 | $31,393 | $31,196 |
D&B Entertainment Interest accretion | 8,341 | 11,768 | 15,881 | 14,141 | 11,830 |
Amortization of issuance cost and discount | 1,962 | 2,397 | 3,189 | 2,946 | 3,031 |
Capitalized interest | -402 | -440 | -602 | -510 | -759 |
Interest income | -204 | -209 | -334 | -336 | -367 |
Total interest expense, net | $29,826 | $35,879 | $47,809 | $47,634 | $44,931 |
Income_Taxes_Provision_Benefit
Income Taxes - Provision (Benefit) for Income Taxes (Detail) (USD $) | 9 Months Ended | 12 Months Ended | |||
In Thousands, unless otherwise specified | Nov. 02, 2014 | Nov. 03, 2013 | Feb. 02, 2014 | Feb. 03, 2013 | Jan. 29, 2012 |
Current expense (benefit): | |||||
Federal | $1,381 | $2,788 | $615 | $536 | |
Foreign | 237 | -42 | 97 | 361 | -175 |
State and local | 1,953 | -191 | 1,150 | -51 | 383 |
Deferred expense (benefit) | -8,065 | -2,997 | -801 | -13,548 | -4,004 |
Total provision (benefit) for income taxes | ($4,494) | ($442) | $1,061 | ($12,702) | ($3,796) |
Income_Taxes_Significant_Compo
Income Taxes - Significant Components of Deferred Tax Liabilities and Assets (Detail) (USD $) | Nov. 02, 2014 | Feb. 02, 2014 | Feb. 03, 2013 |
In Thousands, unless otherwise specified | |||
Deferred tax assets: | |||
Tax credit carryovers | $10,297 | $10,155 | |
Deferred revenue and redemption ticket liability | 9,540 | 7,252 | |
Leasing transactions | 5,585 | 3,838 | |
State net operating loss carryovers | 3,503 | 3,444 | |
Workers' compensation and general liability insurance | 3,429 | 3,666 | |
Accrued liabilities | 1,985 | 2,770 | |
Deferred compensation | 1,610 | 1,140 | |
Smallware supplies | 714 | 713 | |
Indirect benefit of unrecognized tax benefits | 225 | 216 | |
Other | 1,567 | 1,391 | |
Total deferred tax assets | 38,455 | 34,585 | |
Valuation allowance for deferred tax assets-US | -923 | -1,388 | -1,158 |
Total deferred tax assets net of valuation allowance | 37,067 | 33,427 | |
Deferred tax liabilities: | |||
Trademark/trade name | 31,578 | 31,928 | |
Property and equipment | 4,109 | 963 | |
Prepaid expenses | 232 | 189 | |
Total deferred tax liabilities | 35,919 | 33,080 | |
Net deferred tax asset | $1,148 | $347 |
Income_Taxes_Net_Deferred_Tax_
Income Taxes - Net Deferred Tax Liability (Detail) (USD $) | Nov. 02, 2014 | Feb. 02, 2014 | Feb. 03, 2013 |
In Thousands, unless otherwise specified | |||
Income Tax Disclosure [Abstract] | |||
Deferred income taxes-current | $27,394 | $24,802 | $25,137 |
Other assets and deferred charge | 286 | ||
Total deferred tax assets | 24,802 | 25,423 | |
Deferred income taxes-current | 897 | 189 | |
Deferred income taxes | 17,284 | 23,654 | 24,887 |
Total deferred tax liabilities | 23,654 | 25,076 | |
Net deferred tax asset | $1,148 | $347 |
Income_Taxes_Additional_Inform
Income Taxes - Additional Information (Detail) (USD $) | 0 Months Ended | 9 Months Ended | 12 Months Ended | ||||
In Thousands, unless otherwise specified | Nov. 02, 2014 | Nov. 02, 2014 | Nov. 03, 2013 | Feb. 02, 2014 | Feb. 03, 2013 | Jan. 29, 2012 | Jan. 30, 2011 |
Income Taxes [Line Items] | |||||||
Valuation allowance against deferred tax assets - US | $923 | $923 | $1,388 | $1,158 | |||
Federal tax credit carryforwards | 10,248 | ||||||
General business credits | 9,578 | ||||||
Alternative minimum tax "AMT" credit carryforwards | 670 | ||||||
Carryforward period, AMT credits | Indefinite | ||||||
Number of years carryforward on general business credits and AMT credits | 20 years | 20 years | |||||
Beginning year for state net operating loss carry forward expiry | 2028 | ||||||
Net operating loss carryforwards | 0 | 0 | 14,172 | ||||
State and local tax expense | 1,953 | -191 | 1,150 | -51 | 383 | ||
Unrecognized tax benefits will be settled through federal and state audits or will be recognized as a result of the expiration of statute of limitations | -46 | ||||||
Unrecognized tax benefits that would impact effective tax rate | 330 | 330 | 349 | ||||
Accrued interest on unrecognized tax benefits | 147 | 156 | |||||
Accrued penalties on unrecognized tax benefits | 144 | 134 | |||||
Unrecognized tax benefits | 457 | 457 | 476 | 471 | 940 | 881 | |
Unrecognized tax benefits, income tax penalties and interest accrued | 316 | 316 | 291 | ||||
Available stand alone tax credits | 9,825 | 9,825 | |||||
State and Local Jurisdiction [Member] | |||||||
Income Taxes [Line Items] | |||||||
Change in valuation allowance | 230 | ||||||
Dallas Texas [Member] | |||||||
Income Taxes [Line Items] | |||||||
State and local tax expense | $246 | $269 | $228 |
Income_Taxes_Change_in_Unrecog
Income Taxes - Change in Unrecognized Tax Benefits (Detail) (USD $) | 12 Months Ended | |||
In Thousands, unless otherwise specified | Feb. 02, 2014 | Feb. 03, 2013 | Jan. 29, 2012 | Nov. 02, 2014 |
Income Tax Disclosure [Abstract] | ||||
Balance at beginning of year | $471 | $940 | $881 | $457 |
Additions for tax positions of prior years | 176 | 108 | 118 | |
Reductions for tax positions of prior years | -32 | -1 | ||
Settlements | -576 | |||
Lapse of statute of limitations | -139 | -59 | ||
Balance at end of year | $476 | $471 | $940 | $457 |
Income_Taxes_Reconciliation_of
Income Taxes - Reconciliation of Federal Statutory Rate to Effective Income Tax Rate (Detail) | 12 Months Ended | ||
Feb. 02, 2014 | Feb. 03, 2013 | Jan. 29, 2012 | |
Income Tax Disclosure [Abstract] | |||
Federal corporate statutory rate | 35.00% | 35.00% | 35.00% |
State and local income taxes, net of federal income tax benefit | 30.80% | 1.20% | 4.10% |
Foreign taxes | 1.80% | 0.90% | 1.20% |
Nondeductible expenses | 24.90% | -23.50% | -7.10% |
Tax credits | -74.80% | 65.80% | 20.10% |
Valuation allowance | 7.10% | 257.40% | -7.80% |
Change in reserve | 0.20% | 32.90% | -2.10% |
Other | 1.70% | -45.70% | -8.20% |
Effective tax rate | 26.70% | 324.00% | 35.20% |
Leases_Additional_Information_
Leases - Additional Information (Detail) (USD $) | 12 Months Ended | |||||
In Thousands, unless otherwise specified | Feb. 02, 2014 | Feb. 03, 2013 | Jan. 29, 2012 | Feb. 02, 2001 | Nov. 02, 2014 | Apr. 11, 2014 |
Leases Disclosure [Line Items] | ||||||
Rent expense for operating leases | $54,450 | $50,561 | $47,342 | |||
Contingent rentals | 2,858 | 2,620 | 2,310 | |||
Operating leases future minimum payments due | 555,547 | 676,594 | ||||
Completed sale/leaseback cash proceed | 24,774 | |||||
Notes receivable due from the lessors | 2,936 | 3,201 | 6,750 | |||
Subsequent Event | ||||||
Leases Disclosure [Line Items] | ||||||
Operating leases future minimum payments due | $38,000 | |||||
Minimum | ||||||
Leases Disclosure [Line Items] | ||||||
Interest rate on notes | 7.00% | |||||
Maximum | ||||||
Leases Disclosure [Line Items] | ||||||
Interest rate on notes | 7.50% |
Leases_Future_Minimum_Lease_Pa
Leases - Future Minimum Lease Payments (Detail) (USD $) | Nov. 02, 2014 | Feb. 02, 2014 |
In Thousands, unless otherwise specified | ||
Leases [Abstract] | ||
2014 | $64,113 | $57,024 |
2015 | 62,810 | 56,068 |
2016 | 61,287 | 54,947 |
2017 | 58,224 | 53,125 |
2018 | 53,460 | 49,603 |
THEREAFTER | 376,700 | 284,780 |
Total | $676,594 | $555,547 |
Leases_Lease_Commitments_on_Eq
Leases - Lease Commitments on Equipment (Detail) (USD $) | Nov. 02, 2014 | Feb. 02, 2014 |
In Thousands, unless otherwise specified | ||
Operating Leased Assets [Line Items] | ||
2014 | $64,113 | $57,024 |
2015 | 62,810 | 56,068 |
2016 | 61,287 | 54,947 |
2017 | 58,224 | 53,125 |
2018 | 53,460 | 49,603 |
THEREAFTER | 376,700 | 284,780 |
Total | 676,594 | 555,547 |
Operating Lease Amendment | ||
Operating Leased Assets [Line Items] | ||
2014 | 797 | |
2015 | 606 | |
2016 | 167 | |
2017 | 14 | |
THEREAFTER | 0 | |
Total | $1,584 |
Leases_Future_Minimum_Principa
Leases - Future Minimum Principal and Interest Payments Due to Us (Detail) (USD $) | Feb. 02, 2014 |
In Thousands, unless otherwise specified | |
Leases [Abstract] | |
2014 | $489 |
2015 | 489 |
2016 | 489 |
2017 | 489 |
2018 | 489 |
THEREAFTER | 1,424 |
TOTAL | $3,869 |
Common_Stock_Additional_Inform
Common Stock - Additional Information (Detail) (USD $) | 0 Months Ended | 3 Months Ended | 9 Months Ended | 12 Months Ended | 0 Months Ended | ||||||||||
In Thousands, except Share data, unless otherwise specified | Jan. 18, 2012 | Jan. 13, 2012 | Jun. 28, 2011 | Mar. 23, 2011 | Sep. 30, 2010 | Nov. 02, 2014 | Nov. 03, 2013 | Nov. 02, 2014 | Nov. 03, 2013 | Feb. 02, 2014 | Feb. 03, 2013 | Jan. 29, 2012 | Jan. 29, 2011 | Jan. 29, 2010 | Jan. 06, 2014 |
Common Stock [Line Items] | |||||||||||||||
Expiration period of Incentive plan | 10 years | ||||||||||||||
Vesting Period | 5 years | ||||||||||||||
Share-based compensation expense related to stock option | $1,361 | $287 | $1,864 | $909 | $1,207 | $1,099 | $1,038 | ||||||||
Unrecognized expense related to stock option plan | 4,009 | 4,009 | 1,504 | ||||||||||||
Unrecognized expense, weighted average years | 3 years 10 months 24 days | 1 year 7 months 6 days | |||||||||||||
Weighted average grant date fair value per option granted | $8.81 | ||||||||||||||
Average remaining term for all options outstanding | 6 years 7 months 6 days | ||||||||||||||
Repurchase of common stock | 422 | 90 | 1,500 | ||||||||||||
Repurchase of common stock, amount | 507 | 90 | 1,500 | 1,189 | 1,189 | 1,189 | 1,189 | ||||||||
Payment for repurchase of common stock | 15 | 96,888 | 1,000 | 500 | |||||||||||
Stock issued during period, shares | 833 | 75 | |||||||||||||
Treasury stock, shares | 592 | 248,412 | 248,412 | 248,412 | 248,412 | ||||||||||
Stock issued during period, value | $1,000 | $75 | $1,075 | ||||||||||||
Dave And Busters Entertainment Inc [Member] | |||||||||||||||
Common Stock [Line Items] | |||||||||||||||
Number of stock options exercised | 17,999 | ||||||||||||||
Strike price of stock options exercised | $4.44 | ||||||||||||||
Oak Hill [Member] | |||||||||||||||
Common Stock [Line Items] | |||||||||||||||
Ownership percentage by parent | 95.40% | ||||||||||||||
Management [Member] | |||||||||||||||
Common Stock [Line Items] | |||||||||||||||
Ownership percentage by noncontrolling owners | 4.50% | ||||||||||||||
Former Management [Member] | |||||||||||||||
Common Stock [Line Items] | |||||||||||||||
Ownership percentage by noncontrolling owners | 0.10% |
Common_Stock_Transactions_Rela
Common Stock - Transactions Related to Stock Options (Detail) (USD $) | 12 Months Ended |
Feb. 02, 2014 | |
Service based option [Member] | |
Number of Options | |
Options outstanding at beginning of year | 1,117,255 |
Granted | 227,657 |
Exercised | -9,990 |
Forfeited | -31,686 |
Options outstanding at end of year | 1,303,236 |
Options exercisable at end of year | 589,457 |
Weighted Average Exercise Price | |
Options outstanding at beginning of year | $4.69 |
Granted | $8.72 |
Exercised | $4.44 |
Forfeited | $5.04 |
Options outstanding at end of year | $5.39 |
Options exercisable at end of year | $4.71 |
Performance Based Options [Member] | |
Number of Options | |
Options outstanding at beginning of year | 2,736,258 |
Granted | 16,874 |
Exercised | -8,009 |
Forfeited | -54,311 |
Options outstanding at end of year | 2,690,812 |
Options exercisable at end of year | 749,870 |
Weighted Average Exercise Price | |
Options outstanding at beginning of year | $4.51 |
Granted | $9.93 |
Exercised | $4.44 |
Forfeited | $4.44 |
Options outstanding at end of year | $4.54 |
Options exercisable at end of year | $4.65 |
Employee_Benefit_Plan_Addition
Employee Benefit Plan - Additional Information (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Feb. 02, 2014 | Feb. 03, 2013 | Jan. 29, 2012 |
Defined Benefit Plan Disclosure [Line Items] | |||
Percentage of maximum employee eligible compensation on pretax basis that can be contributed | 50.00% | ||
Expenses related to contributions to the 401k plan | $370 | $382 | $273 |
Minimum | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Contributions range | 0.00% | ||
Maximum | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Contributions range | 100.00% | ||
Maximum eligibility of employee compensation | 6.00% |
Quarterly_Financial_Informatio2
Quarterly Financial Information (Detail) (USD $) | 0 Months Ended | 3 Months Ended | 9 Months Ended | 12 Months Ended | |||||||||||
In Thousands, unless otherwise specified | Feb. 03, 2013 | Feb. 02, 2014 | Nov. 03, 2013 | Aug. 04, 2013 | 5-May-13 | Feb. 03, 2013 | Oct. 28, 2012 | Jul. 29, 2012 | Apr. 29, 2012 | Nov. 02, 2014 | Nov. 03, 2013 | Feb. 02, 2014 | Feb. 03, 2013 | Jan. 29, 2012 | |
Quarterly Financial Information Disclosure [Abstract] | |||||||||||||||
Total revenues | $10,355 | $171,371 | $142,330 | $153,723 | $168,155 | $165,586 | [1] | $131,066 | $147,941 | $163,474 | $539,682 | $464,208 | $635,579 | $608,067 | $541,545 |
Income (loss) before provision (benefit) for income taxes | 6,380 | -12,910 | -794 | 10,554 | 2,206 | [1] | -14,180 | -3,258 | 11,312 | -11,518 | -3,150 | 3,230 | -3,920 | -10,781 | |
Net income (loss) | $4,877 | ($10,160) | ($98) | $7,550 | $5,422 | [1] | ($3,894) | ($1,603) | $8,857 | ||||||
[1] | Our fiscal 2012 year consisted of 53 weeks. Each quarterly period has 13 weeks, except the fourth quarterly period ended February 3, 2013, which consists of 14 weeks. We have estimated the revenues during the 53rd week of fiscal 2012 to be $10,355. |
Quarterly_Financial_Informatio3
Quarterly Financial Information (Parenthetical) (Detail) (USD $) | 0 Months Ended | 3 Months Ended | 9 Months Ended | 12 Months Ended | |||||||||||
In Thousands, unless otherwise specified | Feb. 03, 2013 | Feb. 02, 2014 | Nov. 03, 2013 | Aug. 04, 2013 | 5-May-13 | Feb. 03, 2013 | Oct. 28, 2012 | Jul. 29, 2012 | Apr. 29, 2012 | Nov. 02, 2014 | Nov. 03, 2013 | Feb. 02, 2014 | Feb. 03, 2013 | Jan. 29, 2012 | |
Quarterly Financial Information Disclosure [Abstract] | |||||||||||||||
Total revenues | $10,355 | $171,371 | $142,330 | $153,723 | $168,155 | $165,586 | [1] | $131,066 | $147,941 | $163,474 | $539,682 | $464,208 | $635,579 | $608,067 | $541,545 |
[1] | Our fiscal 2012 year consisted of 53 weeks. Each quarterly period has 13 weeks, except the fourth quarterly period ended February 3, 2013, which consists of 14 weeks. We have estimated the revenues during the 53rd week of fiscal 2012 to be $10,355. |
Quarterly_Financial_Informatio4
Quarterly Financial Information - Additional Information (Detail) (USD $) | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||||||||||
In Thousands, unless otherwise specified | Feb. 02, 2014 | Nov. 03, 2013 | Aug. 04, 2013 | 5-May-13 | Feb. 03, 2013 | Oct. 28, 2012 | Jul. 29, 2012 | Apr. 29, 2012 | Nov. 02, 2014 | Nov. 03, 2013 | Feb. 02, 2014 | Feb. 03, 2013 | Jan. 29, 2012 |
Store | Location | Location | |||||||||||
Quarterly Financial Information Disclosure [Abstract] | |||||||||||||
Number of locations opened | 5 | 4 | |||||||||||
Number of stores permanently closed | 1 | ||||||||||||
Pre-opening costs incurred | $1,865 | $2,333 | $1,970 | $872 | $1,262 | $1,089 | $559 | $150 | $7,942 | $5,175 | $7,040 | $3,060 | $4,186 |
Earnings_Per_Share_Summary_of_
Earnings Per Share - Summary of Calculation of Basic and Diluted Earnings Per Share (Detail) (USD $) | 9 Months Ended | 12 Months Ended | |||
In Thousands, except Share data, unless otherwise specified | Nov. 02, 2014 | Nov. 03, 2013 | Feb. 02, 2014 | Feb. 03, 2013 | Jan. 29, 2012 |
Numerator: | |||||
Net income (loss) | ($7,024) | ($2,708) | $2,169 | $8,782 | ($6,985) |
Denominator: | |||||
Basic weighted average common shares outstanding | 33,763,436 | 33,186,273 | 33,187,776 | 33,186,426 | 34,478,732 |
Potential common shares for stock options | 0 | 0 | 842,339 | 561,109 | |
Diluted weighted average common shares outstanding | 33,763,436 | 33,186,273 | 34,030,115 | 33,747,535 | 34,478,732 |
Earnings (loss) per shares: | |||||
Basic | ($0.21) | ($0.08) | $0.07 | $0.26 | ($0.20) |
Diluted | ($0.21) | ($0.08) | $0.06 | $0.26 | ($0.20) |
Earnings_Per_share_Additional_
Earnings Per share - Additional Information (Detail) | 9 Months Ended | |||
Nov. 03, 2013 | Nov. 02, 2014 | Feb. 02, 2014 | Feb. 03, 2013 | |
Time Based Option Award | ||||
Earnings Per Share [Line Items] | ||||
Stock option awards outstanding | 1,303,236 | 1,117,268 | ||
2010 Stock Incentive Plan [Member] | EBITDA [Member] | ||||
Earnings Per Share [Line Items] | ||||
Number of securities excluded from the dilutive earnings per share calculation | 420,772 | |||
2010 Stock Incentive Plan [Member] | Internal Rate of Return [Member] | ||||
Earnings Per Share [Line Items] | ||||
Number of securities excluded from the dilutive earnings per share calculation | 1,528,538 | |||
2010 Stock Incentive Plan [Member] | Equity Option [Member] | ||||
Earnings Per Share [Line Items] | ||||
Number of securities excluded from the dilutive earnings per share calculation | 2,102,952 | 3,994,048 | ||
2010 Stock Incentive Plan [Member] | Equity Option [Member] | Omnibus Incentive Plan [Member] | ||||
Earnings Per Share [Line Items] | ||||
Number of securities excluded from the dilutive earnings per share calculation | 444,969 |
Long_Term_Debt_Proceed_from_Ne
Long Term Debt - Proceed from New Senior Secured Credit Facility (Detail) (USD $) | 9 Months Ended | 12 Months Ended | ||
In Thousands, unless otherwise specified | Nov. 02, 2014 | Nov. 03, 2013 | Feb. 02, 2014 | Jan. 29, 2012 |
Debt Instrument [Line Items] | ||||
Outstanding principal, senior notes/ senior discount notes | $200,000 | |||
Legal expenses | -41 | |||
Total payments to retire prior debt | 100,000 | |||
Total payments to retire prior debt | 516,399 | |||
Payments of costs associated with new debt issuance | 8,212 | 818 | 818 | 4,088 |
Administrative fee paid to administrative agent | 31 | |||
Payments of financing costs, total | 8,243 | |||
Retained cash | 4,033 | |||
Total proceeds | 528,675 | 100,000 | ||
Senior Secured Credit Facility [Member] | ||||
Debt Instrument [Line Items] | ||||
Outstanding principal | 143,509 | |||
Accrued and unpaid interest | 460 | |||
Legal expenses | 41 | |||
Total payments to retire prior debt | 144,010 | |||
Senior Notes [Member] | ||||
Debt Instrument [Line Items] | ||||
Outstanding principal, senior notes/ senior discount notes | 200,000 | |||
Accrued and unpaid interest | 3,239 | |||
Premium for early redemption | 11,000 | |||
Additional interest paid to trustee | 1,833 | |||
Total payments to retire prior debt | 216,072 | |||
Senior Discount Notes [Member] | ||||
Debt Instrument [Line Items] | ||||
Outstanding principal, senior notes/ senior discount notes | 100,000 | |||
Previously accreted interest expense | 41,852 | |||
Current year interest accretion included in interest expense, net | 8,341 | |||
Premium for early redemption | 4,646 | |||
Additional interest paid to trustee | 1,478 | |||
Total payments to retire prior debt | $156,317 |
Long_Term_Debt_Loss_on_Debt_Re
Long Term Debt - Loss on Debt Retirement (Detail) (USD $) | 9 Months Ended |
In Thousands, unless otherwise specified | Nov. 02, 2014 |
Debt Disclosure [Line Items] | |
Unamortized debt issuance cost | $6,559 |
Unamortized debt discount | 435 |
Unamortized debt issuance cost | 1,347 |
Unamortized debt discount | 239 |
Non-cash charges , Total | 8,580 |
Legal expenses | 41 |
Direct costs associated with debt retirement, Total | 18,998 |
Loss on debt retirement | 27,578 |
Senior Notes [Member] | |
Debt Disclosure [Line Items] | |
Premium for early redemption | 11,000 |
Additional interest paid to trustee | 1,833 |
Senior Discount Notes [Member] | |
Debt Disclosure [Line Items] | |
Premium for early redemption | 4,646 |
Additional interest paid to trustee | $1,478 |
Commitments_and_Contingencies_
Commitments and Contingencies - Future Minimum Lease Payments (Detail) (USD $) | Nov. 02, 2014 | Feb. 02, 2014 |
In Thousands, unless otherwise specified | ||
Commitments and Contingencies Disclosure [Abstract] | ||
Operating Lease Obligations, 1 year or less | $64,113 | $57,024 |
Operating Lease Obligations, 2 years | 62,810 | 56,068 |
Operating Lease Obligations, 3 years | 61,287 | 54,947 |
Operating Lease Obligations, 4 years | 58,224 | 53,125 |
Operating Lease Obligations, 5 years | 53,460 | 49,603 |
Operating Lease Obligations, thereafter | 376,700 | 284,780 |
Operating Lease Obligations, Total future payments | $676,594 | $555,547 |
Commitments_and_Contingencies_1
Commitments and Contingencies - Additional Information (Detail) | Nov. 02, 2014 |
Lease_Agreement | |
Commitments and Contingencies Disclosure [Abstract] | |
Lease agreement signed for future site | 11 |
Equitybased_Compensation_Addit
Equity-based Compensation - Additional Information (Detail) (USD $) | 3 Months Ended | 9 Months Ended | 12 Months Ended | |||||
In Thousands, except Share data, unless otherwise specified | Nov. 02, 2014 | Nov. 03, 2013 | Nov. 02, 2014 | Nov. 03, 2013 | Feb. 02, 2014 | Feb. 03, 2013 | Jan. 29, 2012 | Oct. 09, 2014 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Share-based compensation expense related to stock option | $1,361 | $287 | $1,864 | $909 | $1,207 | $1,099 | $1,038 | |
Estimated fair value at the grant date | $8.81 | |||||||
Unrecognized expense related to stock option plan | 4,009 | 4,009 | 1,504 | |||||
Unrecognized expense, weighted average years | 3 years 10 months 24 days | 1 year 7 months 6 days | ||||||
IPO [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Options to purchase common stock,issuance price per share | $16 | |||||||
Performance Based Options [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Share-based compensation expense related to stock option | 859 | |||||||
Addditional share based compensation expense | 221 | |||||||
Performance Based Options [Member] | IPO [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Share-based compensation expense related to stock option | $64 | |||||||
2014 Stock Incentive Plan [Member] | IPO [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Number of shares of common stock available for issuance | 3,100,000 | 3,100,000 | ||||||
Options to purchase common stock, granted | 444,969 | |||||||
Options to purchase common stock,issuance price per share | $16 | $16 | ||||||
Expected volatility | 51.29% | |||||||
Expected dividend yield | 0.00% | |||||||
Expected weighted-average term | 6 years 9 months | |||||||
Risk-free interest rate | 1.96% | |||||||
Estimated fair value at the grant date | $16 | |||||||
2014 Stock Incentive Plan [Member] | IPO [Member] | Vesting Period 3 Years [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Share-based Compensation, Vesting percentage | 50.00% | |||||||
2014 Stock Incentive Plan [Member] | IPO [Member] | Vesting Period 4 Years [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Share-based Compensation, Vesting percentage | 50.00% |