Cover Page
Cover Page - shares | 6 Months Ended | |
Jul. 31, 2022 | Sep. 01, 2022 | |
Document Information [Line Items] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Jul. 31, 2022 | |
Document Fiscal Year Focus | 2022 | |
Document Fiscal Period Focus | Q2 | |
Trading Symbol | PLAY | |
Entity Registrant Name | Dave & Buster’s Entertainment, Inc. | |
Entity Central Index Key | 0001525769 | |
Entity Filer Category | Large Accelerated Filer | |
Current Fiscal Year End Date | --01-29 | |
Document Quarterly Report | true | |
Document Transition Report | false | |
Entity Interactive Data Current | Yes | |
Entity File Number | 001-35664 | |
Entity Incorporation, State or Country Code | DE | |
Entity Common Stock, Shares Outstanding | 48,235,675 | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Current Reporting Status | Yes | |
Entity Address, Address Line One | 1221 Beltline Rd | |
Entity Address, City or Town | Coppell | |
Entity Address, State or Province | TX | |
City Area Code | 214 | |
Entity Address, Postal Zip Code | 75019 | |
Local Phone Number | 357-9588 | |
Entity Tax Identification Number | 35-2382255 | |
Entity Shell Company | false | |
Title of 12(b) Security | Common Stock $0.01 par value | |
Security Exchange Name | NASDAQ |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Jul. 31, 2022 | Jan. 30, 2022 |
Current assets: | ||
Cash and cash equivalents | $ 100,386 | $ 25,910 |
Inventories | 46,977 | 40,319 |
Prepaid expenses | 17,847 | 11,316 |
Income taxes receivable | 34,682 | 64,921 |
Other current assets | 14,614 | 3,105 |
Total current assets | 214,506 | 145,571 |
Property and equipment (net of $972,301 and $908,536 accumulated depreciation as of July 31, 2022 and January 30, 2022, respectively) | 1,149,632 | 778,597 |
Operating lease right of use assets | 1,330,468 | 1,037,197 |
Deferred tax assets | 8,210 | 9,961 |
Tradenames | 190,100 | 79,000 |
Goodwill | 728,664 | 272,597 |
Other assets and deferred charges | 29,160 | 22,867 |
Total assets | 3,650,740 | 2,345,790 |
Current liabilities: | ||
Current installments of long-term debt | 8,500 | 0 |
Accounts payable | 67,444 | 62,493 |
Accrued liabilities | 330,294 | 248,493 |
Income taxes payable | 1,347 | 529 |
Total current liabilities | 407,585 | 311,515 |
Deferred income taxes | 13,308 | 12,012 |
Operating lease liabilities | 1,599,417 | 1,277,539 |
Other liabilities | 54,373 | 37,869 |
Long-term debt, net | 1,219,678 | 431,395 |
Commitments and contingencies | ||
Stockholders' equity: | ||
Common stock, par value $0.01; authorized: 400,000,000 shares; issued: 62,214,255 shares at July 31, 2022 and 61,563,613 shares at January 30, 2022; outstanding: 48,226,654 shares at July 31, 2022 and 48,489,935 shares at January 30, 2022 | 622 | 616 |
Preferred stock, 50,000,000 authorized; none issued | ||
Paid-in capital | 562,671 | 548,776 |
Treasury stock, 13,987,601 and 13,073,678 shares as of July 31, 2022 and January 30, 2022, respectively | (637,209) | (605,435) |
Accumulated other comprehensive loss | (908) | (3,628) |
Retained earnings | 431,203 | 335,131 |
Total stockholders' equity | 356,379 | 275,460 |
Total liabilities and stockholders' equity | $ 3,650,740 | $ 2,345,790 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Jul. 31, 2022 | Jan. 30, 2022 |
Statement of Financial Position [Abstract] | ||
Property and equipment, accumulated depreciation | $ 972,301 | $ 908,536 |
Common stock, par value | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 400,000,000 | 400,000,000 |
Common stock, shares issued | 62,214,255 | 61,563,613 |
Common stock, shares outstanding | 48,226,654 | 48,489,935 |
Preferred stock, shares authorized | 50,000,000 | 50,000,000 |
Preferred stock, shares issued | 0 | 0 |
Treasury stock, shares | 13,987,601 | 13,073,678 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jul. 31, 2022 | Aug. 01, 2021 | Jul. 31, 2022 | Aug. 01, 2021 | |
Total revenues | $ 468,359 | $ 377,638 | $ 919,460 | $ 642,978 |
Total cost of products | 75,536 | 57,711 | 145,557 | 97,482 |
Operating payroll and benefits | 113,674 | 80,623 | 207,035 | 130,902 |
Other store operating expenses | 142,440 | 105,116 | 266,865 | 189,561 |
General and administrative expenses | 37,710 | 18,470 | 66,007 | 35,561 |
Depreciation and amortization expense | 38,614 | 34,875 | 71,902 | 69,974 |
Pre-opening costs | 3,913 | 1,676 | 6,910 | 3,335 |
Total operating costs | 411,887 | 298,471 | 764,276 | 526,815 |
Operating income | 56,472 | 79,167 | 155,184 | 116,163 |
Interest expense, net | 17,118 | 13,728 | 28,509 | 28,548 |
Loss on debt refinancing | 1,479 | 1,479 | 0 | |
Income before provision for income taxes | 37,875 | 65,439 | 125,196 | 87,615 |
Provision for income taxes | 8,787 | 12,669 | 29,124 | 15,210 |
Net income | 29,088 | 52,770 | 96,072 | 72,405 |
Unrealized foreign currency translation gain (loss) | 19 | (15) | (23) | 46 |
Unrealized gain on derivatives, net of tax | 1,372 | 1,372 | 2,743 | 2,743 |
Total other comprehensive income | 1,391 | 1,357 | 2,720 | 2,789 |
Total comprehensive income | $ 30,479 | $ 54,127 | $ 98,792 | $ 75,194 |
Net income per share: | ||||
Basic | $ 0.6 | $ 1.1 | $ 1.97 | $ 1.51 |
Diluted | $ 0.59 | $ 1.07 | $ 1.95 | $ 1.47 |
Weighted average shares used in per share calculations: | ||||
Basic | 48,831,639 | 48,178,611 | 48,705,956 | 47,937,158 |
Diluted | 49,271,521 | 49,229,817 | 49,357,051 | 49,272,693 |
Amusement and Other Revenues [Member] | ||||
Total revenues | $ 311,364 | $ 254,632 | $ 610,553 | $ 434,214 |
Cost of amusement and other | 29,075 | 24,584 | 55,841 | 41,198 |
Food and Beverage [Member] | ||||
Total revenues | 156,995 | 123,006 | 308,907 | 208,764 |
Cost of food and beverage | $ 46,461 | $ 33,127 | $ 89,716 | $ 56,284 |
Consolidated Statements of Stoc
Consolidated Statements of Stockholders' Equity - USD ($) $ in Thousands | Total | Common Stock [Member] | Paid-In Capital [Member] | Treasury Stock at Cost [Member] | Accumulated Other Comprehensive Loss [Member] | Retained Earnings [Member] |
Beginning balance at Jan. 31, 2021 | $ 153,232 | $ 605 | $ 531,191 | $ (595,970) | $ (9,085) | $ 226,491 |
Beginning balance, shares at Jan. 31, 2021 | 60,488,833 | 12,842,227 | ||||
Net income | 72,405 | 72,405 | ||||
Unrealized foreign currency translation gain (loss) | 46 | 46 | ||||
Unrealized gain on derivatives, net of tax | 2,743 | 2,743 | ||||
Share-based compensation | 6,158 | 6,158 | ||||
Issuance of common stock | 3,007 | $ 8 | 2,999 | |||
Issuance of common stock, shares | 787,640 | |||||
Repurchase of common stock | (7,716) | $ (7,716) | ||||
Repurchase of common stock, shares | 177,871 | |||||
Ending balance at Aug. 01, 2021 | 229,875 | $ 613 | 540,348 | $ (603,686) | (6,296) | 298,896 |
Ending balance, shares at Aug. 01, 2021 | 61,276,473 | 13,020,098 | ||||
Beginning balance at May. 02, 2021 | 178,642 | $ 607 | 535,768 | $ (596,206) | (7,653) | 246,126 |
Beginning balance, shares at May. 02, 2021 | 60,691,906 | 12,847,298 | ||||
Net income | 52,770 | 52,770 | ||||
Unrealized foreign currency translation gain (loss) | (15) | (15) | ||||
Unrealized gain on derivatives, net of tax | 1,372 | 1,372 | ||||
Share-based compensation | 3,187 | 3,187 | ||||
Issuance of common stock | 1,399 | $ 6 | 1,393 | |||
Issuance of common stock, shares | 584,567 | |||||
Repurchase of common stock | (7,480) | $ (7,480) | ||||
Repurchase of common stock, shares | 172,800 | |||||
Ending balance at Aug. 01, 2021 | 229,875 | $ 613 | 540,348 | $ (603,686) | (6,296) | 298,896 |
Ending balance, shares at Aug. 01, 2021 | 61,276,473 | 13,020,098 | ||||
Beginning balance at Jan. 30, 2022 | 275,460 | $ 616 | 548,776 | $ (605,435) | (3,628) | 335,131 |
Beginning balance, shares at Jan. 30, 2022 | 61,563,613 | 13,073,678 | ||||
Net income | 96,072 | 96,072 | ||||
Unrealized foreign currency translation gain (loss) | (23) | (23) | ||||
Unrealized gain on derivatives, net of tax | 2,743 | 2,743 | ||||
Share-based compensation | 8,253 | 8,253 | ||||
Issuance of common stock | 5,648 | $ 6 | 5,642 | |||
Issuance of common stock, shares | 650,642 | |||||
Repurchase of common stock | (31,774) | $ (31,774) | ||||
Repurchase of common stock, shares | 913,923 | |||||
Ending balance at Jul. 31, 2022 | 356,379 | $ 622 | 562,671 | $ (637,209) | (908) | 431,203 |
Ending balance, shares at Jul. 31, 2022 | 62,214,255 | 13,987,601 | ||||
Beginning balance at May. 01, 2022 | 351,742 | $ 618 | 557,977 | $ (606,669) | (2,299) | 402,115 |
Beginning balance, shares at May. 01, 2022 | 61,817,849 | 13,099,392 | ||||
Net income | 29,088 | 29,088 | ||||
Unrealized foreign currency translation gain (loss) | 19 | 19 | ||||
Unrealized gain on derivatives, net of tax | 1,372 | 1,372 | ||||
Share-based compensation | 4,698 | 4,698 | ||||
Issuance of common stock | 0 | $ 4 | (4) | |||
Issuance of common stock, shares | 396,406 | |||||
Repurchase of common stock | (30,540) | $ (30,540) | ||||
Repurchase of common stock, shares | 888,209 | |||||
Ending balance at Jul. 31, 2022 | $ 356,379 | $ 622 | $ 562,671 | $ (637,209) | $ (908) | $ 431,203 |
Ending balance, shares at Jul. 31, 2022 | 62,214,255 | 13,987,601 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 6 Months Ended | |
Jul. 31, 2022 | Aug. 01, 2021 | |
Cash flows from operating activities: | ||
Net income | $ 96,072 | $ 72,405 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation and amortization expense | 71,902 | 69,974 |
Non-cash interest expense | 3,773 | 3,774 |
Impairment of long-lived assets | 1,841 | 0 |
Deferred taxes | 18,892 | (4,723) |
Loss on disposal of fixed assets | 370 | 257 |
Loss on debt refinancing | 1,479 | 0 |
Share-based compensation | 8,253 | 6,158 |
Other, net | 2,960 | 2,127 |
Changes in assets and liabilities, net of acquired assets and liabilities: | ||
Inventories | (1,732) | (4) |
Prepaid expenses | (3,900) | 1,405 |
Income tax receivable | 30,239 | 18,425 |
Other current assets | (2,245) | (800) |
Other assets and deferred charges | 896 | (2,503) |
Accounts payable | (20,336) | (4,918) |
Accrued liabilities | 26,871 | 39,187 |
Income taxes payable | 180 | 2,198 |
Other liabilities | (2,458) | (4,874) |
Net cash provided by operating activities | 233,057 | 198,088 |
Cash flows from investing activities: | ||
Capital expenditures | (99,889) | (37,915) |
Proceeds from sales of property and equipment | 434 | 446 |
Acquisition of a business, net of cash acquired | (822,752) | 0 |
Net cash used in investing activities | (922,207) | (37,469) |
Cash flows from financing activities: | ||
Proceeds from debt | 821,500 | 37,000 |
Payments of debt | (14,000) | (97,000) |
Debt issuance costs | (17,748) | 0 |
Proceeds from the exercise of stock options | 5,648 | 3,007 |
Repurchases of common stock under share repurchase program | (25,015) | 0 |
Repurchases of common stock to satisfy employee withholding tax obligations | (6,759) | (7,716) |
Net cash provided by (used in) financing activities | 763,626 | (64,709) |
Increase in cash and cash equivalents | 74,476 | 95,910 |
Beginning cash and cash equivalents | 25,910 | 11,891 |
Ending cash and cash equivalents | 100,386 | 107,801 |
Supplemental disclosures of cash flow information: | ||
Increase in fixed asset accounts payable | 5,169 | 2,745 |
Cash paid (refund received) for income taxes, net | (20,630) | (1,189) |
Cash paid for interest, net | $ 22,021 | $ 22,978 |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 6 Months Ended |
Jul. 31, 2022 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Note 1: Summary of Significant Accounting Policies The accompanying unaudited consolidated financial statements include the accounts of Dave & Buster’s Entertainment, Inc. (referred to herein as the “Company”, “we,” “us” and “our”), any predecessor companies and its wholly-owned subsidiaries, Dave & Buster’s Holdings, Inc. (“D&B Holdings”), which owns 100 % of the outstanding common stock of Dave & Buster’s, Inc. (“D&B Inc”), the operating company. All intercompany balances and transactions have been eliminated in consolidation. The Company, headquartered in Coppell, Texas, is a leading operator of high-volume entertainment and dining venues (“stores”) in North America for adults and families. On June 29, 2022 (the “Closing Date”), the Company completed its previously announced acquisition (the “Main Event Acquisition” or “the Acquisition”) of 100 % of the equity interests of Ardent Leisure US Holding Inc. (“Ardent US”), pursuant to that certain Agreement and Plan of Merger (the “Merger Agreement”), dated April 6, 2022, by and among the Company, Ardent US, Delta Bravo Merger Sub, Inc, the Company’s wholly-owned subsidiary formed for the purpose of completing the transactions set forth in the Merger Agreement, for the limited purposes set forth therein, Ardent Leisure Group Limited (“Ardent”), and, for the limited purposes set forth therein, RB ME LP (“RedBird”) and RB ME Blocker, LLC, REB ME Series 2019 Investor Aggregator LP and RedBird Series 2019 GP Co-Invest, Business Combinations During the first and second quarters of fiscal 2022, the Company opened one Dave & Buster’s store located in Sioux Falls, South Dakota and three Dave & Buster’s stores located in Brooklyn (Atlantic Center), New York, Modesto, California, and Augusta, Georgia, respectively. As of July 31, 2022, the Company owned and operated 148 Dave & Buster’s stores located in 41 states, Puerto referred to as “Main Event”), located in 17 states. The Company operates its business as two operating units aggregated into 53-week The Company’s 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 the information and notes 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. Our quarterly financial data should be read in conjunction with the audited financial statements and notes thereto for the year ended January 30, 2022, included in our Annual Report on Form 10-K as filed with the SEC. The preparation of consolidated financial statements in conformity with GAAP requires us to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenues and expenses and related disclosures of contingent assets and liabilities at the date of the consolidated financial statements and for the period then ended. Actual results could differ from those estimates. Operating results for the twenty-six weeks ended July 31, 2022 are not necessarily indicative of results that may be expected for any other interim period or for the fiscal year ending January 29, 2023. Cash and cash equivalents Fair value of financial instruments The carrying amounts of cash and cash equivalents, accounts and notes receivable, accounts payable, and other current liabilities approximate fair value because of their short-term nature. The fair value of the Company’s interest rate swap is determined based upon Level Two inputs which includes valuation models as reported by our counterparties and third-party valuation specialists. These valuation models are based on the present value of expected cash flows using forward rate curves. The fair value of our senior secured notes was $445,271 and $456,204 as of July 31, 2022 and January 30, 2022, respectively. The fair value of the Company’s term note was $881,343 as of July 31, 2022. The fair value of the Company’s debt is determined based on a discounted cash flow method, using a sector-specific yield curve based on market-derived, trade price data as of the measurement date, and is classified as a Level Two input within the fair value hierarchy. The Company also measures certain non-financial assets (primarily property and equipment, right-of-use (“ROU”) assets, goodwill, tradenames, and other assets) at fair value on a non-recurring basis in connection with its periodic evaluations of such assets for potential impairment. During the second quarter of fiscal 2022, an impairment of $1,841 was recognized related to Main Event’s corporate headquarters lease, which will be abandoned, and was included in “General and administrative expenses” in the Consolidated Statements of Comprehensive Income. During the first quarter of fiscal 2022, there were no impairments recognized. Interest rate swaps The fair value of outstanding interest rate swap derivatives liability was $30 and $3,823 as of July 31, 2022 and January 30, 2022, respectively, and the balance is included in “Accrued liabilities” in the Consolidated Balance Sheets. The following table summarizes the activity in accumulated other comprehensive loss related to our derivative instruments: Thirteen weeks ended Twenty-six weeks ended July 31, 2022 August 1, 2021 July 31, 2022 August 1, 2021 Loss reclassified or amortized into interest expense $ 1,887 $ 1,887 $ 3,774 $ 3,774 Income tax effect $ (515 ) $ (515 ) $ (1,031 ) $ (1,031 ) Revenue recognition twenty-six , respectively, related to the amount in deferred amusement revenue as of the end of fiscal 2021 (or as of the Closing Date of the Acquisition). In jurisdictions where we do not have a legal obligation to remit unredeemed gift card balances to a legal authority, we recognize revenue on unredeemed gift cards in proportion to the pattern of redemption by the customers. During the thirteen and twenty-six $1,200 and $3,300 $140 and $430, respectively, was breakage revenue. Stockholders’ equity respectively. Earnings per share share reflects the potential dilution that could occur if securities or other contracts to issue common stock were exercised or converted into common stock. For the calculation of diluted net income per share, the basic weighted average shares outstanding is increased by the dilutive effect of stock options and restricted share awards. Stock options and restricted share awards with an anti-dilutive effect are not included in the diluted net income per share calculation. For the thirteen weeks ended July 31, 2022 and August 1, 2021, the Company excluded anti-dilutive awards from the calculation of approximately and , respectively. For the twenty-six weeks ended July 31, 2022, and August 1, 2021, the Company excluded anti-dilutive awards from the calculation of approximately and , respectively. Thirteen weeks ended Twenty-six weeks ended July 31, 2022 August 1, 2021 July 31, 2022 August 1, 2021 Basic weighted average shares outstanding 48,831,639 48,178,611 48,705,956 47,937,158 Weighted average dilutive impact of awards 439,882 1,051,206 651,095 1,335,535 Diluted weighted average shares outstanding 49,271,521 49,229,817 49,357,051 49,272,693 Recent accounting pronouncements |
Business Combinations
Business Combinations | 6 Months Ended |
Jul. 31, 2022 | |
Business Combinations [Abstract] | |
Business Combinations | Note 2: Business Combinations On June 29, 2022, the Company acquired Main Event for approximately $837,380 in net cash and contingent consideration. Dallas-based Main Event, which debuted in 1998, is also focused on food, drinks, and games, largely for the demographic target of families with young children. The acquisition is expected to put the Company in a strategic position for accelerated, profitable growth in both brands as well as create cost synergies with our Dave & Buster’s brand. The Main Event Acquisition was made at a price above the determined fair value of the acquired identifiable net assets, resulting in goodwill, primarily due to expectations of the synergies that will be realized by combining the businesses and the benefits that will be gained from the assembled workforce. These synergies include the elimination of redundant facilities, functions, and staffing. None of the goodwill recorded from this business combination is expected to be tax deductible. The acquisition has been accounted for using the acquisition method of accounting with assets acquired and liabilities assumed recorded at fair value, and the results of Main Event have been included in the accompanying financial statements from June 29, 2022, the date of acquisition. Acquisition transaction costs totaling approximately $12,200 are recorded in general and administrative expenses as incurred. The following summarizes the purchase consideration paid, which consisted of cash consideration of $835,000 The components of the purchase price and net assets acquired in the Main Event Acquisition are as follows: Amount Gross cash consideration $ 857,293 Contingent consideration (1) 14,628 Less: cash acquired (34,541 ) Total consideration paid $ 837,380 Assets: Current assets 16,820 Property and equipment 339,046 Operating lease right 285,422 Deferred tax assets 16,876 Tradenames 111,100 Other assets and deferred charges 4,263 Liabilities: Accounts payable 20,118 Current portion of operating lease liabilities 11,475 Accrued liabilities 42,154 Operating lease liabilities 312,193 Other liabilities 6,272 Net assets acquired, excluding goodwill $ 381,315 Goodwill $ 456,065 (1) The Company has an obligation to pay, in cash, an aggregate amount equal to any “Transaction Tax Benefits,” with respect to any taxable year of the Company after the Closing Date ending on or before December 31, 2028, including the current taxable year. Transaction Tax Benefits is generally defined as any reduction in the Company’s liabilities for U.S. federal and state income taxes due to the use of net operating losses generated prior to the Closing Date. The contingent consideration could range from $0 Transaction Tax Benefits are achieved) to a cap, as defined in the Merger Agreement of approximately $14,600 and will be paid to the selling shareholders in cash. The contingent consideration was initially valued based on the maximum amount provided in the Merger Agreement pending completion of the valuation analysis. The preliminary allocation of the purchase price for the Acquisition was based on estimates of the fair value of the net assets acquired and are subject to adjustment for up to one year upon finalization, largely with respect to acquired property and equipment; lease assets and liabilities; deferred taxes; and contingent consideration. Measurements of these items inherently require significant estimates and assumptions considered to be Level Three fair value estimates. The fair values of property and equipment were determined using a cost approach that utilized the Replacement Cost New methodology. Key inputs and assumptions include current cost estimates, functional and economic obsolescence. The fair values of the real estate leases were determined using a market approach that utilized the Above-Below Regression methodology. Key inputs and assumptions include mean rental rates (based on metrics such as rent/revenue and operating cash flow/revenue) and discount rate. The fair value of the tradename was determined using an income approach that utilized the Relief from Royalty methodology. Key inputs and assumptions include the Company’s projected future EBITDA, royalty rates, discount rate, and long-term growth rate. The preliminary fair values of acquisition-related intangible assets are as follows: Amount Useful Life(Yrs) Favorable/unfavorable lease contracts, net $ 8,694 5-10 Tradenames 111,100 Indefinite Total acquisition-related intangible assets $ 119,794 Taxes — Unaudited Pro Forma Information To reflect the Acquisition as if it had occurred on February 1, 2021, the unaudited pro forma results include adjustments to reflect, among other things, the interest expense from debt financings obtained to partially fund the cash consideration transferred. Pro forma adjustments were tax effected at the Company’s historical statutory rates in effect for the respective periods. The unaudited pro forma amounts are not necessarily indicative of the combined results of operations that would have been realized had the acquisitions and related financings occurred on the aforementioned dates, nor are they meant to be indicative of any anticipated combined results of operations that the Company will experience after the transaction. In addition, the amounts do not include any adjustments for actions that may be taken following the completion of the transaction, such as expected cost savings, operating synergies, or revenue enhancements that may be realized subsequent to the transaction. The following unaudited pro forma information provides the effect of the Main Event Acquisition as if the acquisition had occurred on February 1, 2021: Thirteen Weeks Ended Twenty-six July 31, 2022 August 1, 2021 July 31, 2022 August 1, 2021 Revenues $ 544,554 $ 486,769 $ 1,120,074 $ 841,351 Net i $ 12,621 $ 53,687 $ 84,822 $ 69,572 Main Event’s revenues and net income attributable to the Company in the thirteen and twenty-six $51,405 $5,668 , respectively. The historical consolidated financial information of the Company and Main Event has been adjusted in the pro forma information to give effect to pro forma events that are directly attributable to the acquisitions and related financing arrangements and are factually supportable. |
Goodwill and Intangible Assets,
Goodwill and Intangible Assets, Net | 6 Months Ended |
Jul. 31, 2022 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Intangible Assets, Net | Note 3: Goodwill and Intangible Assets, Net Goodwill is evaluated at the level of the Company’s single operating segment, which also represents the Company’s only reporting unit. Goodwill is not subject to amortization and is evaluated for impairment annually or more frequently if an event occurs or circumstances change that would more likely than not reduce the fair value below carrying amount. Such events or circumstances generally include the occurrence of operating losses or a significant decline in earnings. The Company is permitted to first assess qualitative factors to determine whether the quantitative goodwill impairment test is necessary. If the qualitative assessment results in a determination that the fair value is more likely than not less than carrying amount, the Company performs a quantitative goodwill impairment test. The Company may bypass the qualitative assessment in any period and proceed directly to the goodwill impairment test. The Company estimates fair value by using forecasts of discounted future cash flows and peer market multiples. The Company would record an impairment charge based on the excess of the carrying amount over fair value (limited to the amount of goodwill). The Company determined t hat no impairments existed in periods reflected. The carrying amount of goodwill is impacted by foreign currency translation a djustments. The changes in the carrying amount of goodwill during fiscal 2022 and fiscal 2021 are as follows: Balance at January 31, 2021 $ 272,597 Currency adjustment — Balance at January 30, 2022 272,597 Currency adjustment 2 Acquisition of Main Event 456,065 Balance at July 31, 2022 $ 728,664 Intangible assets Tradenames with indefinite lives are not amortized and are reviewed for impairment annually or whenever events or changes in circumstances indicate they may be impaired. The Company may perform an optional qualitative assessment. If the Company determines that the fair value of the indefinite-lived intangible asset is more likely than not greater than its carrying amount, no additional testing is necessary. If not, or if the Company bypasses the optional qualitative assessment, the carrying value is written down to the fair value, if applicable. The net carrying amount of intangibles are as follows: July 31, 2022 January 30, 2022 Gross Accumulated Net Gross Accumulated Net Favorable/unfavorable lease contracts, net $ 8,694 $ (84 ) $ 8,610 $ — $ — $ — Tradenames (indefinite lived) $ 190,100 N/A N/A $ 79,000 N/A N/A The following table summarizes the estimated amortization expense for each of the next five fiscal years as of July 31, 2022: Remainder of 2022 $ 505 2023 $ 1,011 2024 $ 1,011 2025 $ 1,011 2026 $ 1,011 |
Accrued Liabilities
Accrued Liabilities | 6 Months Ended |
Jul. 31, 2022 | |
Other Liabilities Disclosure [Abstract] | |
Accrued Liabilities | Note 4: Accrued Liabilities Accrued liabilities consist of the following as of the end of each period: July 31, 2022 January 30, 2022 Deferred amusement revenue $ 107,229 $ 92,961 Current portion of operating lease liabilities, net (1) 63,007 45,445 Compensation and benefits 52,556 27,447 Deferred gift card revenue 16,095 11,855 Property taxes 14,443 6,450 Current portion of deferred occupancy costs 10,793 19,164 Accrued interest 9,179 8,629 Sales and use taxes 9,080 4,465 Customer deposits 8,179 3,471 Utilities 7,868 5,262 Current portion of long-term insurance 6,100 5,700 Variable rent liabilities 3,687 1,411 Other 22,078 16,233 Total accrued liabilities $ 330,294 $ 248,493 ( 1 The balance of leasehold incentive receivables of $10,536 and $10,064 as of July 31, 2022 and January 30, 2022, respectively, is reflected as a reduction of the current portion of operating lease liabilities. |
Leases
Leases | 6 Months Ended |
Jul. 31, 2022 | |
Leases | |
Leases | Note 5: Leases We currently lease most of the buildings or sites for our stores, store support centers, and warehouse space under facility operating leases. These leases typically have initial terms ranging from ten to twenty years and include one or more options to renew. When determining the lease term, we include option periods for which renewal is reasonably certain. Most of the leases require us to pay property taxes, insurance, and maintenance of the leased assets. Our lease agreements do not contain any material residual value guarantees or material restrictive covenants. Operating leases also includes certain equipment leases that have a term in excess of one year. Certain facility leases also have provisions for additional contingent rentals based on revenues. During fiscal 2020 and the first half of fiscal 2021, the Company entered into rent relief agreements with our respective landlords. The Company elected to apply an available practical expedient to account for lease concessions and deferrals resulting directly from the COVID-19 $4,293 and $8,434 as of July 31, 2022, and January 30, 2022, respectively, is included in “Other liabilities” in the Consolidated Balance Sheets. Operating lease cost, variable lease cost and short-term lease cost related primarily to our facilities is included in “Other store operating expenses” for our operating stores, “Pre-opening The components of lease expense, including variable lease costs primarily consisting of common area maintenance charges and property taxes, are as follows for the fiscal year ended: Thirteen Weeks Ended Twenty-Six Weeks Ended July 31, 2022 August 1, 2021 July 31, 2022 August 1, 2021 Operating lease cost $ 38,824 $ 33,297 $ 73,606 $ 66,591 Variable lease cost 9,023 7,241 18,870 14,630 Short-term lease cost 195 187 312 310 Amortization of favorable/unfavorable lease contracts, net 84 — 84 — Total $ 48,126 $ 40,725 $ 92,872 $ 81,531 Minimum future maturities of operating lease liabilities were as follows as of July 31, 2022, by fiscal year: Remainder of 2022 $ 87,998 2023 191,510 2024 191,626 2025 192,813 2026 194,074 Thereafter 1,786,702 Total future operating lease liability $ 2,644,723 Less: interest (971,763 ) Present value of operating lease liabilities $ 1,672,960 Operating lease payments in the table above includes minimum lease payments for future sites for which the leases have commenced. Operating lease payments exclude approximately $ of minimum lease payments for seven executed facility leases which have not yet commenced. |
Debt
Debt | 6 Months Ended |
Jul. 31, 2022 | |
Debt Disclosure [Abstract] | |
Debt | Note 6: Debt Long-term debt consists of the following: July 31, 2022 January 30, 2022 Senior secured notes $ 440,000 $ 440,000 Term loan 850,000 — Total debt outstanding 1,290,000 440,000 Current portion (8,500 ) — Original issue discount on term loan (41,968 ) — Debt issuance costs (19,854 ) (8,605 ) Long-term debt $ 1,219,678 $ 431,395 In connection with the closing of the Main Event Acquisition on June 29, 2022, D&B Inc entered into a senior secured credit agreement, which refinanced the $500,000 existing revolving facility, extend ed , were used to pay the consideration for the Acquisition. The revolving credit facility can expire before the stated maturity date if the aggregate outstanding principal amount of the Notes exceeds $100,000 ninety-one days prior to November 1, 2025. A portion of the revolving facility not to exceed $35,000 $8,605 and an unused commitment balance of $491,395 under the revolving facility. The Credit Facility may be increased through incremental facilities, by an amount equal to the greater of (i) $400,000 and (ii) 0.75 times trailing twelve-month Adjusted EBITDA, as defined, plus additional amounts subject to compliance with applicable leverage ratio and/or interest coverage ratio requirements. The Credit Facility is unconditionally guaranteed by D&B Holdings and certain of D&B Inc’s existing and future wholly owned material domestic The interest rates per annum applicable to SOFR term loans are based on a defined SOFR rate (with a floor of 0.50%) plus an additional credit spread adjustment of 0.10%, plus a margin of 5.00%. The interest rates per annum applicable to SOFR revolving loans are based on the term loan SOFR rate, plus an additional credit spread adjustment of 0.10%, plus an initial margin of 4.75%. Unused commitments under the revolving facility incur initial commitment fees of 0.50%. After the Company’s third quarter of fiscal 2022, the margin for SOFR revolving loans are subject to a pricing grid based on net total leverage, ranging from 4.25% to 4.75 %, and commitment fees are subject to a pricing grid based on net total leverage, ran ging from 0.30% to 0.50%. During fiscal 2020, the Company issued $550,000 aggregate principal amount of 7.625% senior secured notes (the “Notes”). Interest on the Notes is payable in arrears on November 1 and May 1 of each year. The Notes mature on November 1, 2025, unless earlier redeemed, and are subject to the terms and conditions set forth in the related indenture. The Notes were issued by D&B Inc and are unconditionally guaranteed by D&B Holdings and certain of D&B Inc’s existing and future wholly owned material domestic subsidiaries. During fiscal 2021, the Company redeemed a total of $110,000 outstanding principal amount of the Notes, and paid prepayment premiums of $3,300, plus accrued and unpaid interest to the date of redemptions. The early redemptions of the Notes resulted in a loss on extinguishment of approximately $2,300 related to a proportional amount of unamortized issuance costs. Beginning October 27, 2022, the Company may elect to further redeem the Notes, in whole or in part, at certain specified redemption prices, plus accrued and unpaid interest, at the redemption date. Amortization of debt issuance costs and original issue discount was $1,636 and $2,595 for the thirteen and twenty-six weeks ended July 31, 2022, and $1,103 and $2,205 for the thirteen and twenty-six weeks ended August 1, 2021, respectively, and is included in “Interest expense, net” in the Consolidated Statements of Comprehensive Income. For the twenty-six weeks ended July 31, 2022, and August 1, 2021, respectively, the Company’s weighted average effective interest rate on our total debt facilities (before capitalized interest amounts) was 10.08% and 10.17 %, respectively. During the second quarter of fiscal 2022, the Company recognized a loss of $1,479 , related to the write off of unamortized debt issuance costs associated with exiting creditors of the refinanced revolving facility. Our debt agreements contain restrictive covenants that, among other things, place certain limitations on our ability to incur additional indebtedness, make loans or advances to subsidiaries and other entities, pay dividends, acquire other businesses or sell assets. The Credit Facility also requires the Company to maintain a maximum net total leverage ratio, as defined, as of the end of each fiscal quarter, beginning with the Company’s first full fiscal quarter after the Closing Date. |
Commitments and Contingencies
Commitments and Contingencies | 6 Months Ended |
Jul. 31, 2022 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Note 7: Commitments and Contingencies We are subject to certain legal proceedings and claims that arise in the ordinary course of our business, including claims alleging violations of federal and state law regarding workplace and employment matters, discrimination, slip-and-fall and other customer-related incidents and similar matters. 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. Legal costs related to such claims are expensed as incurred. The Company is a defendant in several lawsuits filed in courts in California alleging violations of California Business and Professions Code, industry wage orders, wage-and-hour |
Share-Based Compensation
Share-Based Compensation | 6 Months Ended |
Jul. 31, 2022 | |
Share-based Payment Arrangement [Abstract] | |
Share-Based Compensation | Note 8: Share-Based Compensation Compensation expense related to stock options and restricted stock units is included in “General and administrative expenses” in the Consolidated Statements of Comprehensive Income and is as follows: Thirteen Weeks Ended Twenty-six Weeks Ended July 31, 2022 August 1, 2021 July 31, 2022 August 1, 2021 Stock options $ 307 84 $ 568 358 Restricted stock units 4,391 3,103 7,685 5,800 Share-based compensation expense $ 4,698 $ 3,187 $ 8,253 $ 6,158 Transactions related to stock option awards during the twenty-six 2014 Stock Incentive Plan 2010 Stock Incentive Plan Number Wtd. Avg. Number Wtd. Avg. of Options Exercise Price of Options Exercise Price Outstanding at January 30, 2022 933,379 $ 42.50 73,554 $ 8.33 Granted 188,793 36.49 — — Exercised (160,091 ) 34.95 (6,059 ) 8.69 Forfeited (8,847 ) 57.33 — — Outstanding at July 31, 2022 953,234 $ 42.43 67,495 $ 8.30 Exercisable at July 31, 2022 764,441 $ 43.90 67,495 $ 8.30 The total intrinsic value of options exercised during the twenty-six weeks ended July 31, 2022 was $2,287. The unrecognized expense related to our stock option plan totaled approximately $4,159 as of July 31, 2022 and will be expensed over a weighted average period of 4.3 years. Transactions related to restricted stock units during the twenty-six weeks ended July 31, 2022, were as follows: Wtd. Avg. Shares Fair Value Outstanding at January 30, 2022 922,799 $ 24.88 Granted 824,972 39.77 Performance adjusted units 11,808 46.75 Vested (484,492 ) 22.56 Forfeited (54,106 ) 50.51 Outstanding at July 31, 2022 1,220,981 $ 34.94 Fair value of our time-based and performance-based restricted stock units is based on our closing stock price on the date of grant. The grant date fair value of stock options was determined using the Black-Scholes option valuation model. The grant date fair value of market-based restricted stock units was determined using the Monte Carlo valuation model. The unrecognized expense related to restricted stock units was $32,489 as of July 31, 2022 and will be expensed over a weighted average period of 3.2 years. During the second quarter of fiscal 2022, the Company granted certain options, time-based, performance-based, and market-based restricted stock units to the newly appointed chief executive officer. The majority of these grants vest over five years , but the market-based restricted stock units can vest earlier if the targets are achieved prior to that time. As a result, the requisite service period for such grants was determined to be less than the explicit service period. During the twenty-six weeks ended July 31, 2022 and August 1, 2021, excess tax expense (benefit) of $(3,133) and $(5,665), respectively, were recognized in the “Provision for income taxes” in the Consolidated Statement of Comprehensive Income and classified as a source in operating activities in the Consolidated Statement of Cash Flows. |
Income Taxes
Income Taxes | 6 Months Ended |
Jul. 31, 2022 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Note 9: Income Taxes The effective tax rate for the twenty-six weeks ended July 31, 2022, was 23.3%, compared to 17.4% for the twenty-six weeks ended August 1, 2021. The previous year tax provision includes higher excess tax benefits associated with share-based compensation and credits associated with the reversal of certain tax valuation allowances. On March 27, 2020, the Coronavirus Aid, Relief and Economic Security Act (“CARES Act”) was signed into law. Intended to provide economic relief to those impacted by the COVID-19 pandemic, the CARES Act includes provisions, among others, allowing for the carryback of net operating losses generated in fiscal 2018, 2019 and 2020 and technical amendments regarding the expensing of qualified improvement property. The application of the technical amendments made by the CARES Act to qualified improvement property resulted in additional tax net operating losses which were carried back from fiscal 2020 and fiscal 2019 to years with a higher federal corporate income tax rate. During the second quarter of fiscal 2021, the Company filed the fiscal 2020 carryback claims for federal tax refunds of approximately $57,400, of which approximately $33,200 were received during the first quarter of fiscal 2022 . |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 6 Months Ended |
Jul. 31, 2022 | |
Accounting Policies [Abstract] | |
Description of the business | The accompanying unaudited consolidated financial statements include the accounts of Dave & Buster’s Entertainment, Inc. (referred to herein as the “Company”, “we,” “us” and “our”), any predecessor companies and its wholly-owned subsidiaries, Dave & Buster’s Holdings, Inc. (“D&B Holdings”), which owns 100 % of the outstanding common stock of Dave & Buster’s, Inc. (“D&B Inc”), the operating company. All intercompany balances and transactions have been eliminated in consolidation. The Company, headquartered in Coppell, Texas, is a leading operator of high-volume entertainment and dining venues (“stores”) in North America for adults and families. On June 29, 2022 (the “Closing Date”), the Company completed its previously announced acquisition (the “Main Event Acquisition” or “the Acquisition”) of 100 % of the equity interests of Ardent Leisure US Holding Inc. (“Ardent US”), pursuant to that certain Agreement and Plan of Merger (the “Merger Agreement”), dated April 6, 2022, by and among the Company, Ardent US, Delta Bravo Merger Sub, Inc, the Company’s wholly-owned subsidiary formed for the purpose of completing the transactions set forth in the Merger Agreement, for the limited purposes set forth therein, Ardent Leisure Group Limited (“Ardent”), and, for the limited purposes set forth therein, RB ME LP (“RedBird”) and RB ME Blocker, LLC, REB ME Series 2019 Investor Aggregator LP and RedBird Series 2019 GP Co-Invest, Business Combinations During the first and second quarters of fiscal 2022, the Company opened one Dave & Buster’s store located in Sioux Falls, South Dakota and three Dave & Buster’s stores located in Brooklyn (Atlantic Center), New York, Modesto, California, and Augusta, Georgia, respectively. As of July 31, 2022, the Company owned and operated 148 Dave & Buster’s stores located in 41 states, Puerto referred to as “Main Event”), located in 17 states. The Company operates its business as two operating units aggregated into 53-week The Company’s 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 the information and notes 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. Our quarterly financial data should be read in conjunction with the audited financial statements and notes thereto for the year ended January 30, 2022, included in our Annual Report on Form 10-K as filed with the SEC. |
Use of estimates | The preparation of consolidated financial statements in conformity with GAAP requires us to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenues and expenses and related disclosures of contingent assets and liabilities at the date of the consolidated financial statements and for the period then ended. Actual results could differ from those estimates. Operating results for the twenty-six weeks ended July 31, 2022 are not necessarily indicative of results that may be expected for any other interim period or for the fiscal year ending January 29, 2023. |
Cash and cash equivalents | Cash and cash equivalents |
Fair value of financial instruments | Fair value of financial instruments The carrying amounts of cash and cash equivalents, accounts and notes receivable, accounts payable, and other current liabilities approximate fair value because of their short-term nature. The fair value of the Company’s interest rate swap is determined based upon Level Two inputs which includes valuation models as reported by our counterparties and third-party valuation specialists. These valuation models are based on the present value of expected cash flows using forward rate curves. The fair value of our senior secured notes was $445,271 and $456,204 as of July 31, 2022 and January 30, 2022, respectively. The fair value of the Company’s term note was $881,343 as of July 31, 2022. The fair value of the Company’s debt is determined based on a discounted cash flow method, using a sector-specific yield curve based on market-derived, trade price data as of the measurement date, and is classified as a Level Two input within the fair value hierarchy. The Company also measures certain non-financial assets (primarily property and equipment, right-of-use (“ROU”) assets, goodwill, tradenames, and other assets) at fair value on a non-recurring basis in connection with its periodic evaluations of such assets for potential impairment. During the second quarter of fiscal 2022, an impairment of $1,841 was recognized related to Main Event’s corporate headquarters lease, which will be abandoned, and was included in “General and administrative expenses” in the Consolidated Statements of Comprehensive Income. During the first quarter of fiscal 2022, there were no impairments recognized. |
Interest rate swaps | Interest rate swaps The fair value of outstanding interest rate swap derivatives liability was $30 and $3,823 as of July 31, 2022 and January 30, 2022, respectively, and the balance is included in “Accrued liabilities” in the Consolidated Balance Sheets. The following table summarizes the activity in accumulated other comprehensive loss related to our derivative instruments: Thirteen weeks ended Twenty-six weeks ended July 31, 2022 August 1, 2021 July 31, 2022 August 1, 2021 Loss reclassified or amortized into interest expense $ 1,887 $ 1,887 $ 3,774 $ 3,774 Income tax effect $ (515 ) $ (515 ) $ (1,031 ) $ (1,031 ) |
Revenue recognition | Revenue recognition twenty-six , respectively, related to the amount in deferred amusement revenue as of the end of fiscal 2021 (or as of the Closing Date of the Acquisition). In jurisdictions where we do not have a legal obligation to remit unredeemed gift card balances to a legal authority, we recognize revenue on unredeemed gift cards in proportion to the pattern of redemption by the customers. During the thirteen and twenty-six $1,200 and $3,300 $140 and $430, respectively, was breakage revenue. |
Stockholders' equity | Stockholders’ equity respectively. |
Earnings per share | Earnings per share share reflects the potential dilution that could occur if securities or other contracts to issue common stock were exercised or converted into common stock. For the calculation of diluted net income per share, the basic weighted average shares outstanding is increased by the dilutive effect of stock options and restricted share awards. Stock options and restricted share awards with an anti-dilutive effect are not included in the diluted net income per share calculation. For the thirteen weeks ended July 31, 2022 and August 1, 2021, the Company excluded anti-dilutive awards from the calculation of approximately and , respectively. For the twenty-six weeks ended July 31, 2022, and August 1, 2021, the Company excluded anti-dilutive awards from the calculation of approximately and , respectively. Thirteen weeks ended Twenty-six weeks ended July 31, 2022 August 1, 2021 July 31, 2022 August 1, 2021 Basic weighted average shares outstanding 48,831,639 48,178,611 48,705,956 47,937,158 Weighted average dilutive impact of awards 439,882 1,051,206 651,095 1,335,535 Diluted weighted average shares outstanding 49,271,521 49,229,817 49,357,051 49,272,693 |
Recent accounting pronouncements | Recent accounting pronouncements |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 6 Months Ended |
Jul. 31, 2022 | |
Accounting Policies [Abstract] | |
Summarizes the Activity in Accumulated Other Comprehensive Loss | The following table summarizes the activity in accumulated other comprehensive loss related to our derivative instruments: Thirteen weeks ended Twenty-six weeks ended July 31, 2022 August 1, 2021 July 31, 2022 August 1, 2021 Loss reclassified or amortized into interest expense $ 1,887 $ 1,887 $ 3,774 $ 3,774 Income tax effect $ (515 ) $ (515 ) $ (1,031 ) $ (1,031 ) |
Summary of Calculation of Basic and Diluted Earnings Per Share | Basic weighted average shares outstanding are reconciled to diluted weighted average shares outstanding as follows: Thirteen weeks ended Twenty-six weeks ended July 31, 2022 August 1, 2021 July 31, 2022 August 1, 2021 Basic weighted average shares outstanding 48,831,639 48,178,611 48,705,956 47,937,158 Weighted average dilutive impact of awards 439,882 1,051,206 651,095 1,335,535 Diluted weighted average shares outstanding 49,271,521 49,229,817 49,357,051 49,272,693 |
Business Combinations (Tables)
Business Combinations (Tables) | 6 Months Ended |
Jul. 31, 2022 | |
Business Combinations [Abstract] | |
Summary of Purchase Price and Net Assets Acquired in the Acquisition | The components of the purchase price and net assets acquired in the Main Event Acquisition are as follows: Amount Gross cash consideration $ 857,293 Contingent consideration (1) 14,628 Less: cash acquired (34,541 ) Total consideration paid $ 837,380 Assets: Current assets 16,820 Property and equipment 339,046 Operating lease right 285,422 Deferred tax assets 16,876 Tradenames 111,100 Other assets and deferred charges 4,263 Liabilities: Accounts payable 20,118 Current portion of operating lease liabilities 11,475 Accrued liabilities 42,154 Operating lease liabilities 312,193 Other liabilities 6,272 Net assets acquired, excluding goodwill $ 381,315 Goodwill $ 456,065 (1) The Company has an obligation to pay, in cash, an aggregate amount equal to any “Transaction Tax Benefits,” with respect to any taxable year of the Company after the Closing Date ending on or before December 31, 2028, including the current taxable year. Transaction Tax Benefits is generally defined as any reduction in the Company’s liabilities for U.S. federal and state income taxes due to the use of net operating losses generated prior to the Closing Date. The contingent consideration could range from $0 Transaction Tax Benefits are achieved) to a cap, as defined in the Merger Agreement of approximately $14,600 and will be paid to the selling shareholders in cash. The contingent consideration was initially valued based on the maximum amount provided in the Merger Agreement pending completion of the valuation analysis. |
Summary of Acquisition-related Intangible | The preliminary fair values of acquisition-related intangible assets are as follows: Amount Useful Life(Yrs) Favorable/unfavorable lease contracts, net $ 8,694 5-10 Tradenames 111,100 Indefinite Total acquisition-related intangible assets $ 119,794 |
Summary of Unaudited Pro Forma Information Provides the Effect of the Main Event Acquisition | The following unaudited pro forma information provides the effect of the Main Event Acquisition as if the acquisition had occurred on February 1, 2021: Thirteen Weeks Ended Twenty-six July 31, 2022 August 1, 2021 July 31, 2022 August 1, 2021 Revenues $ 544,554 $ 486,769 $ 1,120,074 $ 841,351 Net i $ 12,621 $ 53,687 $ 84,822 $ 69,572 |
Goodwill and Intangible Asset_2
Goodwill and Intangible Assets, Net (Tables) | 6 Months Ended |
Jul. 31, 2022 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Intangible Assets, Net | The changes in the carrying amount of goodwill during fiscal 2022 and fiscal 2021 are as follows: Balance at January 31, 2021 $ 272,597 Currency adjustment — Balance at January 30, 2022 272,597 Currency adjustment 2 Acquisition of Main Event 456,065 Balance at July 31, 2022 $ 728,664 |
Schedule of Intangible Assets and Goodwill | The net carrying amount of intangibles are as follows: July 31, 2022 January 30, 2022 Gross Accumulated Net Gross Accumulated Net Favorable/unfavorable lease contracts, net $ 8,694 $ (84 ) $ 8,610 $ — $ — $ — Tradenames (indefinite lived) $ 190,100 N/A N/A $ 79,000 N/A N/A |
Summary of Estimated Amortization Expense | The following table summarizes the estimated amortization expense for each of the next five fiscal years as of July 31, 2022: Remainder of 2022 $ 505 2023 $ 1,011 2024 $ 1,011 2025 $ 1,011 2026 $ 1,011 |
Accrued Liabilities (Tables)
Accrued Liabilities (Tables) | 6 Months Ended |
Jul. 31, 2022 | |
Text Block [Abstract] | |
Accrued Liabilities | Accrued liabilities consist of the following as of the end of each period: July 31, 2022 January 30, 2022 Deferred amusement revenue $ 107,229 $ 92,961 Current portion of operating lease liabilities, net (1) 63,007 45,445 Compensation and benefits 52,556 27,447 Deferred gift card revenue 16,095 11,855 Property taxes 14,443 6,450 Current portion of deferred occupancy costs 10,793 19,164 Accrued interest 9,179 8,629 Sales and use taxes 9,080 4,465 Customer deposits 8,179 3,471 Utilities 7,868 5,262 Current portion of long-term insurance 6,100 5,700 Variable rent liabilities 3,687 1,411 Other 22,078 16,233 Total accrued liabilities $ 330,294 $ 248,493 ( 1 The balance of leasehold incentive receivables of $10,536 and $10,064 as of July 31, 2022 and January 30, 2022, respectively, is reflected as a reduction of the current portion of operating lease liabilities. |
Leases (Tables)
Leases (Tables) | 6 Months Ended |
Jul. 31, 2022 | |
Summary of Components of Lease Expense | The components of lease expense, including variable lease costs primarily consisting of common area maintenance charges and property taxes, are as follows for the fiscal year ended: Thirteen Weeks Ended Twenty-Six Weeks Ended July 31, 2022 August 1, 2021 July 31, 2022 August 1, 2021 Operating lease cost $ 38,824 $ 33,297 $ 73,606 $ 66,591 Variable lease cost 9,023 7,241 18,870 14,630 Short-term lease cost 195 187 312 310 Amortization of favorable/unfavorable lease contracts, net 84 — 84 — Total $ 48,126 $ 40,725 $ 92,872 $ 81,531 |
Summary of Minimum Future Maturities of Operating Lease Liabilities | Minimum future maturities of operating lease liabilities were as follows as of July 31, 2022, by fiscal year: Remainder of 2022 $ 87,998 2023 191,510 2024 191,626 2025 192,813 2026 194,074 Thereafter 1,786,702 Total future operating lease liability $ 2,644,723 Less: interest (971,763 ) Present value of operating lease liabilities $ 1,672,960 |
Debt (Tables)
Debt (Tables) | 6 Months Ended |
Jul. 31, 2022 | |
Debt Disclosure [Abstract] | |
Long-Term Debt | Long-term debt consists of the following: July 31, 2022 January 30, 2022 Senior secured notes $ 440,000 $ 440,000 Term loan 850,000 — Total debt outstanding 1,290,000 440,000 Current portion (8,500 ) — Original issue discount on term loan (41,968 ) — Debt issuance costs (19,854 ) (8,605 ) Long-term debt $ 1,219,678 $ 431,395 |
Share-Based Compensation (Table
Share-Based Compensation (Tables) | 6 Months Ended |
Jul. 31, 2022 | |
Share-based Payment Arrangement [Abstract] | |
Schedule of Compensation Cost for Share-based Payment Arrang | Compensation expense related to stock options and restricted stock units is included in “General and administrative expenses” in the Consolidated Statements of Comprehensive Income and is as follows: Thirteen Weeks Ended Twenty-six Weeks Ended July 31, 2022 August 1, 2021 July 31, 2022 August 1, 2021 Stock options $ 307 84 $ 568 358 Restricted stock units 4,391 3,103 7,685 5,800 Share-based compensation expense $ 4,698 $ 3,187 $ 8,253 $ 6,158 |
Transactions Related to Stock Options Awards | Transactions related to stock option awards during the twenty-six 2014 Stock Incentive Plan 2010 Stock Incentive Plan Number Wtd. Avg. Number Wtd. Avg. of Options Exercise Price of Options Exercise Price Outstanding at January 30, 2022 933,379 $ 42.50 73,554 $ 8.33 Granted 188,793 36.49 — — Exercised (160,091 ) 34.95 (6,059 ) 8.69 Forfeited (8,847 ) 57.33 — — Outstanding at July 31, 2022 953,234 $ 42.43 67,495 $ 8.30 Exercisable at July 31, 2022 764,441 $ 43.90 67,495 $ 8.30 |
Transactions Related to Restricted Stock Units | Transactions related to restricted stock units during the twenty-six weeks ended July 31, 2022, were as follows: Wtd. Avg. Shares Fair Value Outstanding at January 30, 2022 922,799 $ 24.88 Granted 824,972 39.77 Performance adjusted units 11,808 46.75 Vested (484,492 ) 22.56 Forfeited (54,106 ) 50.51 Outstanding at July 31, 2022 1,220,981 $ 34.94 |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies - Additional Information (Detail) $ in Thousands | 3 Months Ended | 6 Months Ended | ||||||
Apr. 14, 2020 USD ($) | Jul. 31, 2022 USD ($) Stores States Province shares | May 01, 2022 USD ($) | Aug. 01, 2021 shares | Jul. 31, 2022 USD ($) Stores Segment States Province shares | Aug. 01, 2021 USD ($) shares | Jun. 29, 2022 | Jan. 30, 2022 USD ($) | |
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | ||||||||
Number of stores | Stores | 148 | 148 | ||||||
Number of states store operates | States | 41 | 41 | ||||||
Number of operating segment | Segment | 2 | |||||||
Number of reportable segment | Segment | 1 | |||||||
Book overdrafts reclassified to accounts payable | $ 0 | $ 0 | $ 16,673 | |||||
Shares Paid for Tax Withholding for Share Based Compensation | shares | 148,935 | 177,871 | ||||||
Payments Related to Tax Withholding for Share-based Compensation | $ 6,759 | $ 7,716 | ||||||
National amount of the swap agreement | $ 350,000 | $ 350,000 | ||||||
Derivative, Average Fixed Interest Rate | 2.47% | 2.47% | ||||||
Notes payable, fair value | $ 445,271 | $ 445,271 | 456,204 | |||||
Weighted average anti-dilutive options excluded from calculation of common equivalent shares | shares | 291,678 | 164,811 | 177,847 | 134,177 | ||||
Interest rate swap derivative liability | $ 30 | $ 30 | $ 3,823 | |||||
Impairments of long lived assets | 1,841 | $ 0 | 1,841 | $ 0 | ||||
Term Note [Member] | ||||||||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | ||||||||
Notes payable, fair value | $ 881,343 | $ 881,343 | ||||||
Main Event [Member] | ||||||||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | ||||||||
Number of stores | Stores | 49 | 49 | ||||||
The Summit [Member] | ||||||||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | ||||||||
Number of stores | Stores | 3 | 3 | ||||||
Ardent [Member] | Main Event [Member] | ||||||||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | ||||||||
Business acquisition, percentage of voting interests acquired | 100% | |||||||
Interest Rate Swap [Member] | ||||||||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | ||||||||
Interest payments reclassified to interest expense | $ 17,609 | |||||||
Interest payments to be reclassified during next 12 months | $ 314 | |||||||
Loss on Derivative | $ 677 | $ (88) | ||||||
Dave And Busters Holdings Inc [Member] | ||||||||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | ||||||||
Percentage of outstanding common stock owned | 100% | 100% | ||||||
Canada [Member] | ||||||||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | ||||||||
Number of Canadian province | Province | 1 | 1 | ||||||
South Dakota [Member] | ||||||||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | ||||||||
Number of stores | Stores | 1 | 1 | ||||||
Amusement Revenue [Member] | Other Comprehensive Income (Loss) [Member] | ||||||||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | ||||||||
Deferred amusement revenue | $ 11,700 | $ 30,800 | ||||||
Gift Card Revenue [Member] | ||||||||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | ||||||||
Deferred amusement revenue | 1,200 | 3,300 | ||||||
Gift card breakage revenue | $ 140 | $ 430 |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies - Accumulated Other Comprehensive Loss (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jul. 31, 2022 | Aug. 01, 2021 | Jul. 31, 2022 | Aug. 01, 2021 | |
Loss reclassified or amortized into interest expense | $ 1,887 | $ 1,887 | $ 3,774 | $ 3,774 |
Income tax effect | $ (515) | $ (515) | $ (1,031) | $ (1,031) |
Summary of Significant Accoun_6
Summary of Significant Accounting Policies - Summary of Calculation of Basic and Diluted Earnings Per Share (Detail) - shares | 3 Months Ended | 6 Months Ended | ||
Jul. 31, 2022 | Aug. 01, 2021 | Jul. 31, 2022 | Aug. 01, 2021 | |
Earnings Per Share [Abstract] | ||||
Basic weighted average shares outstanding | 48,831,639 | 48,178,611 | 48,705,956 | 47,937,158 |
Weighted average dilutive impact of awards | 439,882 | 1,051,206 | 651,095 | 1,335,535 |
Diluted weighted average shares outstanding | 49,271,521 | 49,229,817 | 49,357,051 | 49,272,693 |
Business Combinations - Additio
Business Combinations - Additional Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Jun. 29, 2022 | Jul. 31, 2022 | |
Business combination transaction costs | $ 12,200 | |
Payments to acquire business gross before adjustments | 835,000 | |
Business Combination Transaction Costs Restructuring And Debt Issuance Costs | $ 51,405 | |
Decrease in the proforma net income attributable to the company | $ 5,668 | |
Gross cash consideration | 857,293 | |
Main Event [Member] | ||
Business combination aggregate consideration | 837,380 | |
Gross cash consideration | $ 857,293 |
Business Combinations - Summary
Business Combinations - Summary of Purchase Price and Net Assets Acquired in the Acquisition (Detail) - USD ($) $ in Thousands | Jun. 29, 2022 | Jul. 31, 2022 | Jan. 30, 2022 | Jan. 31, 2021 | |
Business Acquisition [Line Items] | |||||
Gross cash consideration | $ 857,293 | ||||
Liabilities: | |||||
Goodwill | $ 728,664 | $ 272,597 | $ 272,597 | ||
Main Event [Member] | |||||
Business Acquisition [Line Items] | |||||
Gross cash consideration | 857,293 | ||||
Contingent consideration | [1] | 14,628 | |||
Less: cash acquired | (34,541) | ||||
Total consideration paid | 837,380 | ||||
Assets: | |||||
Current assets | 16,820 | ||||
Property and equipment | 339,046 | ||||
Operating lease right of use assets | 285,422 | ||||
Deferred tax assets | 16,876 | ||||
Tradenames | 111,100 | ||||
Other assets and deferred charges | 4,263 | ||||
Liabilities: | |||||
Accounts payable | 20,118 | ||||
Current portion of operating lease liabilities | 11,475 | ||||
Accrued liabilities | 42,154 | ||||
Operating lease liabilities | 312,193 | ||||
Other liabilities | 6,272 | ||||
Net assets acquired, excluding goodwill | 381,315 | ||||
Goodwill | $ 456,065 | ||||
[1]The Company has an obligation to pay, in cash, an aggregate amount equal to any “Transaction Tax Benefits,” with respect to any taxable year of the Company after the Closing Date ending on or before December 31, 2028, including the current taxable year. Transaction Tax Benefits is generally defined as any reduction in the Company’s liabilities for U.S. federal and state income taxes due to the use of net operating losses generated prior to the Closing Date. The contingent consideration could range from $0 (if no Transaction Tax Benefits are achieved) to a cap, as defined in the Merger Agreement of approximately $14,600 and will be paid to the selling shareholders in cash. The contingent consideration was initially valued based on the maximum amount provided in the Merger Agreement pending completion of the valuation analysis. |
Business Combinations - Summa_2
Business Combinations - Summary of Purchase Price and Net Assets Acquired in the Acquisition (Parenthetical) (Detail) - Main Event [Member] $ in Thousands | Jun. 29, 2022 USD ($) |
Transaction tax benefits | $ 0 |
Business Combination, Contingent Consideration Arrangements, Range of Outcomes, Value, Low | 0 |
Business Combination, Contingent Consideration Arrangements, Range of Outcomes, Value, High | $ 14,600 |
Business Combinations - Summa_3
Business Combinations - Summary of Acquisition-related Intangible (Detail) $ in Thousands | 6 Months Ended |
Jul. 31, 2022 USD ($) | |
Disclosure In Tabular Form Of Finite And Indefinite Lived Intangible Assets Acquired In a Business Combination [Line Items] | |
Favorable/unfavorable lease contracts, net | $ 8,694 |
Tradenames | 111,100 |
Total acquisition-related intangible assets | $ 119,794 |
Maximum [Member] | |
Disclosure In Tabular Form Of Finite And Indefinite Lived Intangible Assets Acquired In a Business Combination [Line Items] | |
Finite-Lived Intangible Asset, Useful Life | 10 years |
Minimum [Member] | |
Disclosure In Tabular Form Of Finite And Indefinite Lived Intangible Assets Acquired In a Business Combination [Line Items] | |
Finite-Lived Intangible Asset, Useful Life | 5 years |
Business Combinations - Summa_4
Business Combinations - Summary of Unaudited Pro Forma Information Provides the Effect of the Acquisition of Main Event (Detail) - Main Event [Member] - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jul. 31, 2022 | Aug. 01, 2021 | Jul. 31, 2022 | Aug. 01, 2021 | |
Business Acquisition Proforma Information [Line Items] | ||||
Revenues | $ 544,554 | $ 486,769 | $ 1,120,074 | $ 841,351 |
Net Income | $ 12,621 | $ 53,687 | $ 84,822 | $ 69,572 |
Goodwill and Intangible Asset_3
Goodwill and Intangible Assets, Net - Schedule of Goodwill (Detail) - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended |
Jul. 31, 2022 | Jan. 30, 2022 | |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
Beginning balance | $ 272,597 | $ 272,597 |
Currency adjustment | 2 | 0 |
Acquisition of Main Event | 456,065 | |
Ending Balance | $ 728,664 | $ 272,597 |
Goodwill and Intangible Asset_4
Goodwill and Intangible Assets, Net - Net Carrying Amount of Acquisition-Related Intangibles (Detail) - USD ($) $ in Thousands | Jul. 31, 2022 | Jan. 30, 2022 |
Net Carrying Amount Of Acquisition Related Intangible [Line Items] | ||
Finite-Lived Intangible Assets, Gross | $ 190,100 | $ 79,000 |
Lease Agreements [Member] | ||
Net Carrying Amount Of Acquisition Related Intangible [Line Items] | ||
Finite-Lived Intangible Assets, Gross | 8,694 | |
Finite-Lived Intangible Assets, Net Amount | 8,610 | |
Finite-Lived Intangible Assets, Accumulated Amortization | (84) | |
Trade Names [Member] | ||
Net Carrying Amount Of Acquisition Related Intangible [Line Items] | ||
Finite-Lived Intangible Assets, Gross | $ 190,100 | $ 79,000 |
Accrued Liabilities - Accrued L
Accrued Liabilities - Accrued Liabilities (Detail) - USD ($) $ in Thousands | Jul. 31, 2022 | Jan. 30, 2022 | |
Deferred amusement revenue | $ 107,229 | $ 92,961 | |
Current portion of operating lease liabilities, net | [1] | 63,007 | 45,445 |
Compensation and benefits | 52,556 | 27,447 | |
Deferred gift card revenue | 16,095 | 11,855 | |
Property taxes | 14,443 | 6,450 | |
Current portion of deferred occupancy costs | 10,793 | 19,164 | |
Accrued interest | 9,179 | 8,629 | |
Sales and use taxes | 9,080 | 4,465 | |
Customer deposits | 8,179 | 3,471 | |
Utilities | 7,868 | 5,262 | |
Current portion of long-term insurance | 6,100 | 5,700 | |
Variable rent liabilities | 3,687 | 1,411 | |
Other | 22,078 | 16,233 | |
Total accrued liabilities | $ 330,294 | $ 248,493 | |
Operating Lease, Liability, Current, Statement of Financial Position [Extensible Enumeration] | Total accrued liabilities | Total accrued liabilities | |
[1]The balance of leasehold incentive receivables of $10,536 and $10,064 as of July 31, 2022 and January 30, 2022, respectively, is reflected as a reduction of the current portion of operating lease liabilities. |
Accrued Liabilities - Accrued_2
Accrued Liabilities - Accrued Liabilities (Parenthetical) (Detail) - USD ($) $ in Thousands | Jul. 31, 2022 | Jan. 30, 2022 |
Accrued Liabilities, Current [Abstract] | ||
Receivables for tenant improvement allowances | $ 10,536 | $ 10,064 |
Leases - Additional Information
Leases - Additional Information (Detail) - USD ($) $ in Thousands | Jul. 31, 2022 | Jan. 30, 2022 |
Future minimum rent operating leases not yet commenced | $ 102,000 | |
Other Liabilities [Member] | ||
Deferred occupancy costs | $ 4,293 | $ 8,434 |
Leases - Summary of Components
Leases - Summary of Components of Lease Expense (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jul. 31, 2022 | Aug. 01, 2021 | Jul. 31, 2022 | Aug. 01, 2021 | |
Leases | ||||
Operating lease cost | $ 38,824 | $ 33,297 | $ 73,606 | $ 66,591 |
Variable lease cost | 9,023 | 7,241 | 18,870 | 14,630 |
Short-term lease cost | 195 | 187 | 312 | 310 |
Amortization of favorable/unfavorable lease contracts, net | 84 | 0 | 84 | 0 |
Total | $ 48,126 | $ 40,725 | $ 92,872 | $ 81,531 |
Leases - Summary of Minimum Fut
Leases - Summary of Minimum Future Maturities of Operating Lease Liabilities (Detail) $ in Thousands | Jul. 31, 2022 USD ($) |
Leases | |
Remainder of 2022 | $ 87,998 |
2023 | 191,510 |
2024 | 191,626 |
2025 | 192,813 |
2026 | 194,074 |
Therafter | 1,786,702 |
Total future operating lease liability | 2,644,723 |
Less: interest | (971,763) |
Present value of operating lease liabilities | $ 1,672,960 |
Debt - Additional Information (
Debt - Additional Information (Detail) $ in Thousands | 3 Months Ended | 6 Months Ended | ||||||
Oct. 31, 2022 | Jul. 31, 2022 USD ($) | Jun. 29, 2022 USD ($) | Oct. 27, 2020 USD ($) | Jul. 31, 2022 USD ($) | Aug. 01, 2021 USD ($) | Jul. 31, 2022 USD ($) | Aug. 01, 2021 USD ($) | |
Debt Instrument [Line Items] | ||||||||
Debt instrument floor rate | 0.50% | 0.50% | 0.50% | |||||
Credit spread adjustment | 0.001 | |||||||
Weighted average interest rate on outstanding borrowings | 10.08% | 10.08% | 10.17% | 10.08% | 10.17% | |||
Amortization of debt issuance costs | $ 1,636 | $ 1,103 | $ 2,595 | $ 2,205 | ||||
Senior Notes [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Senior secured credit facility | $ 550,000 | |||||||
Maturity date | Nov. 01, 2025 | Nov. 01, 2025 | ||||||
Weighted average interest rate on outstanding borrowings | 7.625% | |||||||
Write off of Deferred Debt Issuance Cost | 2,300 | |||||||
Frequency of periodic interest payment | November 1 and May 1 of each year | |||||||
Early Repayment of Senior Debt | 110,000 | |||||||
Payment of debt extinguishment costs | $ 3,300 | |||||||
Term Loan Facility [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Senior secured credit facility | $ 850,000 | |||||||
Maturity date | Jun. 29, 2029 | |||||||
Original issue discount | $ 42,500 | |||||||
Debt Instrument, additional credit spread adjustment | 5% | |||||||
Revolving Credit Facility [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Revolving credit facility, maximum borrowing capacity | $ 500,000 | |||||||
Line of credit facility, maturity date | Jun. 29, 2027 | |||||||
Line of credit facility, maximum amount outstanding during period | $ 35,000 | |||||||
Letter of credit facility outstanding | $ 8,605 | 8,605 | $ 8,605 | |||||
Borrowing available | $ 491,395 | 491,395 | $ 491,395 | |||||
Write off of Deferred Debt Issuance Cost | 1,479 | |||||||
Revolving Credit Facility [Member] | Minimum [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Debt Instrument, additional credit spread adjustment | 4.25% | |||||||
Revolving Credit Facility [Member] | Maximum [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Debt Instrument, additional credit spread adjustment | 4.75% | |||||||
Revolving Credit Facility [Member] | Commitment Fees [Member] | Minimum [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Line of credit facility, unused capacity, commitment fee percentage | 0.30% | |||||||
Revolving Credit Facility [Member] | Commitment Fees [Member] | Maximum [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Line of credit facility, unused capacity, commitment fee percentage | 0.50% | |||||||
Revolving Credit Facility [Member] | Initial Rate [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Debt Instrument, additional credit spread adjustment | 4.75% | |||||||
Line of credit facility, unused capacity, commitment fee percentage | 0.50% | |||||||
Revolving Credit Facility [Member] | Springing Maturity Date [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Long term debt, gross | $ 100,000 | |||||||
Date of outstanding debt prior to maturity date | 91 days | |||||||
Credit Facility [Member] | Increase of Revolving Credit Facility [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Amount to increase revolving credit facility | $ 400,000 | $ 400,000 | $ 400,000 | |||||
EBITDA multiplier to increase revolving credit facility | 0.75 | 0.75 | 0.75 |
Debt - Long-Term Debt (Detail)
Debt - Long-Term Debt (Detail) - USD ($) $ in Thousands | Jul. 31, 2022 | Jan. 30, 2022 |
Debt Instrument [Line Items] | ||
Total debt outstanding | $ 1,290,000 | $ 440,000 |
Current portion | (8,500) | 0 |
Original issue discount on term loan | (41,968) | |
Debt issuance costs | (19,854) | (8,605) |
Long-term debt | 1,219,678 | 431,395 |
Senior Secured Debt [Member] | ||
Debt Instrument [Line Items] | ||
Total debt outstanding | 440,000 | $ 440,000 |
Term Loan [Member] | ||
Debt Instrument [Line Items] | ||
Total debt outstanding | $ 850,000 |
Share-Based Compensation - Addi
Share-Based Compensation - Additional Information (Detail) - USD ($) $ in Thousands | 6 Months Ended | |
Jul. 31, 2022 | Aug. 01, 2021 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Excess income tax benefit related to stock-based compensation plans | $ 3,133 | $ 5,665 |
Chief Executive Officer [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Vesting period | 5 years | |
Stock Options [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Total intrinsic value of stock options exercised | $ 2,287 | |
Unrecognized expense related to stock option plan | $ 4,159 | |
Unrecognized compensation expense, weighted average years | 4 years 3 months 18 days | |
Restricted Stock Units (RSU's) [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Unrecognized compensation expense, weighted average years | 3 years 2 months 12 days | |
Unrecognized expense related to unvested restricted stock and RSUs | $ 32,489 |
Share-Based Compensation - Sche
Share-Based Compensation - Schedule of Compensation Cost for Share-based Payment Arrangements, Allocation of Share-based Compensation Costs by Plan (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jul. 31, 2022 | Aug. 01, 2021 | Jul. 31, 2022 | Aug. 01, 2021 | |
Share-based Payment Arrangement, Noncash Expense [Abstract] | ||||
Stock options | $ 307 | $ 84 | $ 568 | $ 358 |
Restricted stock units | 4,391 | 3,103 | 7,685 | 5,800 |
Share-based compensation expense | $ 4,698 | $ 3,187 | $ 8,253 | $ 6,158 |
Share-Based Compensation - Tran
Share-Based Compensation - Transactions Related to Stock Option Awards (Detail) | 6 Months Ended |
Jul. 31, 2022 $ / shares shares | |
2014 Stock Incentive Plan [Member] | |
Number of Options | |
Options outstanding at January 30, 2022 | shares | 933,379 |
Granted | shares | 188,793 |
Exercised | shares | (160,091) |
Forfeited | shares | (8,847) |
Options outstanding at May 1, 2022 | shares | 953,234 |
Options exercisable at May 1, 2022 | shares | 764,441 |
Weighted Average Exercise Price | |
Options outstanding at January 30, 2022 | $ / shares | $ 42.5 |
Granted | $ / shares | 36.49 |
Exercised | $ / shares | 34.95 |
Forfeited | $ / shares | 57.33 |
Options outstanding at May 1, 2022 | $ / shares | 42.43 |
Options exercisable at May 1, 2022 | $ / shares | $ 43.9 |
2010 Stock Incentive Plan [Member] | |
Number of Options | |
Options outstanding at January 30, 2022 | shares | 73,554 |
Exercised | shares | (6,059) |
Options outstanding at May 1, 2022 | shares | 67,495 |
Options exercisable at May 1, 2022 | shares | 67,495 |
Weighted Average Exercise Price | |
Options outstanding at January 30, 2022 | $ / shares | $ 8.33 |
Exercised | $ / shares | 8.69 |
Options outstanding at May 1, 2022 | $ / shares | 8.3 |
Options exercisable at May 1, 2022 | $ / shares | $ 8.3 |
Share-Based Compensation - Tr_2
Share-Based Compensation - Transactions Related to Restricted Stock Units (Detail) | 6 Months Ended |
Jul. 31, 2022 $ / shares shares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Restricted Stock Awards, January 30, 2022 | shares | 922,799 |
Restricted Stock Awards, Granted | shares | 824,972 |
Restricted Stock Awards, Performance adjusted units | shares | 11,808 |
Restricted Stock Awards, Vested | shares | (484,492) |
Restricted Stock Awards, Forfeited | shares | (54,106) |
Restricted Stock Awards, July 1, 2022 | shares | 1,220,981 |
Weighted Average Grant Date Fair Value, January 30, 2022 | $ / shares | $ 24.88 |
Weighted Average Grant Date Fair Value, Granted | $ / shares | 39.77 |
Weighted Average Fair Value Grant Date, Performance adjusted units | $ / shares | 46.75 |
Weighted Average Fair Value, Vested | $ / shares | 22.56 |
Weighted Average Fair Value, Forfeited | $ / shares | 50.51 |
Weighted Average Fair Value, July 1, 2022 | $ / shares | $ 34.94 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
May 01, 2022 | Jul. 31, 2022 | Aug. 01, 2021 | Jan. 30, 2022 | |
Income Taxes [Line Items] | ||||
Corporate tax rate | 23.30% | 17.40% | ||
Income tax receivable related to CARES Act | $ 57,400 | |||
Income tax refund received | $ 33,200 |
Goodwill and Intangible Asset_5
Goodwill and Intangible Assets, Net -summarizes the estimated amortization expense for each of the next five fiscal years (Details) $ in Thousands | Jul. 31, 2022 USD ($) |
Net Carrying Amount Of Acquisition Related Intangible [Line Items] | |
Remainder of 2022 | $ 505 |
2023 | 1,011 |
2024 | 1,011 |
2025 | 1,011 |
2026 | $ 1,011 |