Document_And_Entity_Informatio
Document And Entity Information (USD $) | 12 Months Ended | ||
Sep. 30, 2014 | Dec. 08, 2014 | Mar. 31, 2014 | |
Entity Registrant Name | 'Natural Grocers by Vitamin Cottage, Inc. | ' | ' |
Entity Central Index Key | '0001547459 | ' | ' |
Current Fiscal Year End Date | '--09-30 | ' | ' |
Entity Filer Category | 'Accelerated Filer | ' | ' |
Entity Current Reporting Status | 'Yes | ' | ' |
Entity Voluntary Filers | 'No | ' | ' |
Entity Well-known Seasoned Issuer | 'No | ' | ' |
Entity Common Stock, Shares Outstanding (in shares) | ' | 22,487,600 | ' |
Entity Public Float | ' | ' | $392,305,227 |
Document Type | '10-K | ' | ' |
Document Period End Date | 30-Sep-14 | ' | ' |
Document Fiscal Year Focus | '2014 | ' | ' |
Document Fiscal Period Focus | 'FY | ' | ' |
Amendment Flag | 'false | ' | ' |
Consolidated_Balance_Sheets
Consolidated Balance Sheets (USD $) | Sep. 30, 2014 | Sep. 30, 2013 |
Current assets: | ' | ' |
Cash and cash equivalents | $5,113,000 | $8,132,000 |
Restricted cash | 0 | 500,000 |
Short term investments — available-for-sale securities | ' | 1,149,000 |
Accounts receivable, net | 2,146,000 | 2,401,000 |
Merchandise inventory | 58,381,000 | 45,472,000 |
Prepaid expenses and other current assets | 641,000 | 1,097,000 |
Deferred income tax assets | 832,000 | 1,114,000 |
Total current assets | 67,113,000 | 59,865,000 |
Property and equipment, net | 120,224,000 | 98,910,000 |
Other assets: | ' | ' |
Deposits and other assets | 712,000 | 203,000 |
Total goodwill and other intangibles, net | 900,000 | 900,000 |
Deferred financing costs, net | 36,000 | 25,000 |
Total other assets | 1,648,000 | 1,128,000 |
Total assets | 188,985,000 | 159,903,000 |
Current liabilities: | ' | ' |
Accounts payable | 33,835,000 | 28,918,000 |
Accrued expenses | 15,822,000 | 9,306,000 |
Capital and financing lease obligations, current portion | 229,000 | 174,000 |
Total current liabilities | 49,886,000 | 38,398,000 |
Long-term liabilities: | ' | ' |
Capital and financing lease obligations, net of current portion | 21,748,000 | 19,648,000 |
Deferred income tax liabilities | 5,409,000 | 6,877,000 |
Deferred rent | 5,842,000 | 4,731,000 |
Leasehold incentives | 7,246,000 | 5,716,000 |
Total long-term liabilities | 40,245,000 | 36,972,000 |
Total liabilities | 90,131,000 | 75,370,000 |
Stockholders’ equity: | ' | ' |
Common stock, $0.001 par value. Authorized 50,000,000 shares, 22,485,488 and 22,441,253 issued and outstanding, respectively | 22,000 | 22,000 |
Additional paid in capital | 54,552,000 | 53,704,000 |
Retained earnings | 44,280,000 | 30,807,000 |
Total stockholders’ equity | 98,854,000 | 84,533,000 |
Total liabilities and stockholders’ equity | $188,985,000 | $159,903,000 |
Consolidated_Balance_Sheets_Pa
Consolidated Balance Sheets (Parentheticals) (USD $) | Sep. 30, 2014 | Sep. 30, 2013 |
Common stock, par value (in dollars per share) | $0.00 | $0.00 |
Common stock, shares authorized (in shares) | 50,000,000 | 50,000,000 |
Common stock, shares issued (in shares) | 22,485,488 | 22,441,253 |
Common stock, shares outstanding (in shares) | 22,485,488 | 22,441,253 |
Consolidated_Statements_of_Inc
Consolidated Statements of Income (USD $) | 12 Months Ended | ||
Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2012 | |
Net sales | $520,674,000 | $430,655,000 | $336,385,000 |
Cost of goods sold and occupancy costs | 369,172,000 | 304,922,000 | 237,328,000 |
Gross profit | 151,502,000 | 125,733,000 | 99,057,000 |
Store expenses | 108,657,000 | 89,935,000 | 72,157,000 |
Administrative expenses | 14,823,000 | 13,479,000 | 12,733,000 |
Pre-opening and relocation expenses | 3,774,000 | 3,231,000 | 2,173,000 |
Operating income | 24,248,000 | 19,088,000 | 11,994,000 |
Other income (expense): | ' | ' | ' |
Dividends and interest income | 2,000 | 9,000 | 6,000 |
Interest expense | -2,496,000 | -2,166,000 | -568,000 |
Total other expense, net | -2,494,000 | -2,157,000 | -562,000 |
Income before income taxes | 21,754,000 | 16,931,000 | 11,432,000 |
Provision for income taxes | -8,281,000 | -6,379,000 | -3,955,000 |
Net income | 13,473,000 | 10,552,000 | 7,477,000 |
Net income attributable to noncontrolling interest | ' | ' | -828,000 |
Net income attributable to Natural Grocers by Vitamin Cottage, Inc. | $13,473,000 | $10,552,000 | $6,649,000 |
Earnings Per Share [Abstract] | ' | ' | ' |
Basic (in dollars per share) | $0.60 | $0.47 | $0.30 |
Diluted (in dollars per share) | $0.60 | $0.47 | $0.30 |
Weighted average common shares outstanding: | ' | ' | ' |
Basic (in shares) | 22,466,432 | 22,399,346 | 22,372,184 |
Diluted (in shares) | 22,479,835 | 22,441,382 | 22,463,093 |
Consolidated_Statements_of_Com
Consolidated Statements of Comprehensive Income (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2012 |
Net income | $13,473 | $10,552 | $7,477 |
Other comprehensive income (loss), net of tax: | ' | ' | ' |
Unrealized gain (loss) on available-for-sale securities, net of tax benefit (expense) | ' | 4 | -4 |
Other comprehensive income (loss) | ' | 4 | -4 |
Comprehensive income | 13,473 | 10,556 | 7,473 |
Less: Comprehensive income attributable to noncontrolling interest | ' | ' | -828 |
Comprehensive income attributable to Natural Grocers by Vitamin Cottage, Inc. | $13,473 | $10,556 | $6,645 |
Consolidated_Statements_of_Cas
Consolidated Statements of Cash Flows (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2012 |
Operating activities: | ' | ' | ' |
Net income | $13,473 | $10,552 | $7,477 |
Adjustments to reconcile net income to net cash provided by operating activities: | ' | ' | ' |
Depreciation and amortization | 17,212 | 13,496 | 9,949 |
Loss on disposal of property and equipment | 1 | 43 | 301 |
Share-based compensation (excluding cash portion of restricted stock award paid of $0, $0 and $335, respectively) | 532 | 602 | 780 |
Excess tax benefit from share-based compensation | -399 | -592 | -620 |
Deferred income tax (benefit) expense | -1,186 | 2,452 | 2,673 |
Non-cash interest expense | 19 | 47 | 38 |
Interest accrued on investments and amortization of premium | 9 | 27 | -4 |
Other amortization | ' | 26 | 68 |
Changes in operating assets and liabilities | ' | ' | ' |
Accounts receivable, net | 255 | -546 | 283 |
Income tax receivable | 612 | -601 | 1,489 |
Merchandise inventory | -12,909 | -7,928 | -7,724 |
Prepaid expenses and other assets | -665 | 105 | -170 |
Accounts payable | 5,202 | 4,480 | 6,860 |
Accrued expenses | 6,952 | 2,283 | 2,561 |
Deferred rent and leasehold incentives | 2,641 | 1,271 | 1,241 |
Net cash provided by operating activities | 31,749 | 25,717 | 25,202 |
Investing activities: | ' | ' | ' |
Acquisition of property and equipment | -36,512 | -39,708 | -25,259 |
Proceeds from sale of property and equipment | ' | 5,005 | 608 |
Purchase of available-for-sale securities | 0 | -521 | -1,751 |
Proceeds from sale of available-for-sale securities | 0 | 90 | ' |
Proceeds from maturity of available-for-sale securities | 1,140 | 1,010 | ' |
Decrease (increase) in restricted cash | 500 | -500 | ' |
Payments received on notes receivable, related party | ' | ' | 270 |
Payments received for premiums paid on split-dollar life insurance | ' | ' | 660 |
Notes receivable, related party—insurance premiums | ' | ' | -4 |
Increase in split-dollar life insurance premiums | ' | ' | -82 |
Net cash used in investing activities | -34,872 | -34,624 | -25,558 |
Financing activities: | ' | ' | ' |
Borrowings under credit facility | 46,440 | 81 | ' |
Repayments under credit facility | -46,440 | -81 | -27,236 |
Repayments under notes payable, related party | ' | -282 | -924 |
Capital and financing lease obligations payments | -182 | -121 | ' |
Distributions to noncontrolling interests | ' | ' | -810 |
Purchase of remaining 45% noncontrolling interest in BVC | ' | ' | -10,051 |
Proceeds from common stock issued in initial public offering, net of commissions | ' | ' | 58,135 |
Excess tax benefit from share-based compensation | 399 | 592 | 620 |
Equity issuance costs and BVC transaction costs | ' | -268 | -2,460 |
Payments on withholding tax for restricted stock unit vesting | -83 | -155 | ' |
Loan fees paid | -30 | -18 | -5 |
Net cash provided by (used in) financing activities | 104 | -252 | 17,269 |
Net (decrease) increase in cash and cash equivalents | -3,019 | -9,159 | 16,913 |
Cash and cash equivalents, beginning of year | 8,132 | 17,291 | 378 |
Cash and cash equivalents, end of year | 5,113 | 8,132 | 17,291 |
Supplemental disclosures of cash flow information: | ' | ' | ' |
Cash paid for interest, net of capitalized interest of $0, $0 and $25, respectively | 16 | 7 | 524 |
Cash paid for interest on capital and financing lease obligations, net of capitalized interest of $364, $0 and $0, respectively | 2,423 | 2,036 | 39 |
Income taxes paid | 3,762 | 3,916 | 519 |
Supplemental disclosures of non-cash investing and financing activities: | ' | ' | ' |
Acquisition of property and equipment not yet paid | 3,260 | 3,545 | 5,007 |
Property acquired through capital and financing lease obligations | 2,300 | 14,372 | 5,526 |
Equity issuance costs not yet paid | ' | ' | 256 |
Tax benefit associated with acquisition of noncontrolling interest in BVC | ' | ' | $3,592 |
Consolidated_Statements_of_Cas1
Consolidated Statements of Cash Flows (Parentheticals) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2012 |
Cash portion of restricted stock award paid | $0 | $0 | $335 |
Noncontrolling interest in BVC | ' | ' | 45.00% |
Capitalized interest | 0 | 0 | 25 |
Capitalized interest | $364 | $0 | $0 |
Consolidated_Statements_of_Cha
Consolidated Statements of Changes in Stockholders Equity (USD $) | Total | Accumulated Other Comprehensive Income (Loss) [Member] | Additional Paid-in Capital [Member] | Common Stock [Member] | Noncontrolling Interest [Member] | Parent [Member] | Retained Earnings [Member] | Common Class A [Member] | Common Class B [Member] |
Common Stock [Member] | Common Stock [Member] | ||||||||
Balances September 30, 2011 at Sep. 30, 2011 | $15,927,000 | ' | ' | ' | $1,527,000 | $14,400,000 | $13,606,000 | $1,000 | $793,000 |
Balances September 30, 2011 (in shares) at Sep. 30, 2011 | ' | ' | ' | ' | ' | ' | ' | 1,000 | 625,112 |
Distributions to noncontrolling interest | -810,000 | ' | ' | ' | -810,000 | ' | ' | ' | ' |
Net income attributable to noncontrolling interest | 828,000 | ' | ' | ' | 828,000 | ' | ' | ' | ' |
Unrealized gain (loss) on available-for-sale securities, net of tax benefit (expense) | -4,000 | -4,000 | ' | ' | ' | -4,000 | ' | ' | ' |
Net income attributable to Natural Grocers by Vitamin Cottage, Inc. | 6,649,000 | ' | ' | ' | ' | 6,649,000 | 6,649,000 | ' | ' |
Exchange of Vitamin Cottage Natural Food Markets, Inc. stock for common stock of Natural Grocers by Vitamin Cottage, Inc. (in shares) | ' | ' | ' | 17,378,625 | ' | ' | ' | -1,000 | -625,112 |
Exchange of Vitamin Cottage Natural Food Markets, Inc. stock for common stock of Natural Grocers by Vitamin Cottage, Inc. | ' | ' | 777,000 | 17,000 | ' | ' | ' | -1,000 | -793,000 |
Purchase of noncontrollinginterest (in shares) | ' | ' | ' | 670,056 | ' | ' | ' | ' | ' |
Purchase of noncontrollinginterest | -10,051,000 | ' | -8,507,000 | 1,000 | -1,545,000 | -8,506,000 | ' | ' | ' |
Tax benefit of purchase of noncontrolling interest | 3,592,000 | ' | 3,592,000 | ' | ' | 3,592,000 | ' | ' | ' |
Shares issued upon consummation of initial public offering, net of $4,376 underwriter discounts and commissions (in shares) | ' | ' | ' | 4,167,367 | ' | ' | ' | ' | ' |
Shares issued upon consummation of initial public offering, net of $4,376 underwriter discounts and commissions | 58,135,000 | ' | 58,131,000 | 4,000 | ' | 58,135,000 | ' | ' | ' |
Issuance costs | -2,717,000 | ' | -2,717,000 | ' | ' | -2,717,000 | ' | ' | ' |
Share-based compensation (in shares) | ' | ' | ' | 156,136 | ' | ' | ' | ' | ' |
Share-based compensation | 780,000 | ' | 780,000 | ' | ' | 780,000 | ' | ' | ' |
Excess tax benefit of share-based compensation | 620,000 | ' | 620,000 | ' | ' | 620,000 | ' | ' | ' |
Balances September 30, 2012 at Sep. 30, 2012 | 72,949,000 | -4,000 | 52,676,000 | 22,000 | ' | 72,949,000 | 20,255,000 | ' | ' |
Balances September 30, 2012 (in shares) at Sep. 30, 2012 | ' | ' | ' | 22,372,184 | ' | ' | ' | ' | ' |
Unrealized gain (loss) on available-for-sale securities, net of tax benefit (expense) | 4,000 | 4,000 | ' | ' | ' | 4,000 | ' | ' | ' |
Net income attributable to Natural Grocers by Vitamin Cottage, Inc. | 10,552,000 | ' | ' | ' | ' | 10,552,000 | 10,552,000 | ' | ' |
Issuance costs | -12,000 | ' | -12,000 | ' | ' | -12,000 | ' | ' | ' |
Share-based compensation (in shares) | ' | ' | ' | 69,069 | ' | ' | ' | ' | ' |
Share-based compensation | 448,000 | ' | 448,000 | ' | ' | 448,000 | ' | ' | ' |
Excess tax benefit of share-based compensation | 592,000 | ' | 592,000 | ' | ' | 592,000 | ' | ' | ' |
Balances September 30, 2012 at Sep. 30, 2013 | 84,533,000 | ' | 53,704,000 | 22,000 | ' | 84,533,000 | 30,807,000 | ' | ' |
Balances September 30, 2012 (in shares) at Sep. 30, 2013 | 22,441,253 | ' | ' | 22,441,253 | ' | ' | ' | ' | ' |
Net income attributable to Natural Grocers by Vitamin Cottage, Inc. | 13,473,000 | ' | ' | ' | ' | 13,473,000 | 13,473,000 | ' | ' |
Share-based compensation (in shares) | ' | ' | ' | 44,235 | ' | ' | ' | ' | ' |
Share-based compensation | 449,000 | ' | 449,000 | ' | ' | 449,000 | ' | ' | ' |
Excess tax benefit of share-based compensation | 399,000 | ' | 399,000 | ' | ' | 399,000 | ' | ' | ' |
Balances September 30, 2012 at Sep. 30, 2014 | $98,854,000 | ' | $54,552,000 | $22,000 | ' | $98,854,000 | $44,280,000 | ' | ' |
Balances September 30, 2012 (in shares) at Sep. 30, 2014 | 22,485,488 | ' | ' | 22,485,488 | ' | ' | ' | ' | ' |
Consolidated_Statements_of_Cha1
Consolidated Statements of Changes in Stockholders Equity (Parentheticals) (Parent [Member], USD $) | 12 Months Ended |
In Thousands, unless otherwise specified | Sep. 30, 2012 |
Parent [Member] | ' |
Underwriter discounts and commissions | $4,376 |
Note_1_Organization
Note 1 - Organization | 12 Months Ended |
Sep. 30, 2014 | |
Notes to Financial Statements | ' |
Nature of Operations [Text Block] | ' |
1. Organization | |
Nature of Business | |
Natural Grocers by Vitamin Cottage, Inc. (Natural Grocers or the holding company) and its consolidated subsidiaries (collectively, the Company) operate retail stores that specialize in natural and organic groceries and dietary supplements. The Company operates its retail stores under its trademark | |
Natural Grocers by Vitamin Cottage | |
® | |
with 87 stores as of September 30, 2014, including 32 stores in Colorado, 13 in Texas, eight in Oregon, six in Kansas, five in New Mexico, four each in Montana and Oklahoma, three each in Arizona, Idaho and Nebraska, two each in Utah and Wyoming, and one each in Missouri and Washington. The Company also has a bulk food repackaging facility and distribution center in Colorado. The Company had 72 and 59 stores as of September 30, 2013 and 2012, respectively. |
Note_2_Basis_of_Presentation_a
Note 2 - Basis of Presentation and Summary of Significant Accounting Policies | 12 Months Ended | |||||
Sep. 30, 2014 | ||||||
Notes to Financial Statements | ' | |||||
Organization, Consolidation, Basis of Presentation, Business Description and Accounting Policies [Text Block] | ' | |||||
2. Basis of Presentation and Summary of Significant Accounting Policies | ||||||
Principles of Consolidation | ||||||
The holding company was incorporated in Delaware on April 9, 2012. The accompanying consolidated financial statements include all the accounts of the holding company’s wholly owned subsidiaries, Vitamin Cottage Natural Food Markets, Inc. (the operating company), Vitamin Cottage Two Ltd. Liability Company (VC2), Natural Systems, LLC and Boulder Vitamin Cottage Group, LLC (BVC). The operating company formed the holding company in order to facilitate the purchase of the remaining noncontrolling interest in BVC and consummation of the Company’s initial public offering (IPO) during fiscal year 2012. Prior to the Company’s IPO on July 25, 2012, the Company had a majority 55% ownership of BVC. Prior to the settlement of the IPO, the Company issued 670,056 shares of stock in the holding company and paid approximately $10.1 million in cash to purchase the remaining 45% noncontrolling interest in BVC. Prior to the merger, BVC owned five | ||||||
Natural Grocers by Vitamin Cottage | ||||||
retail stores, which were managed by the operating company. Effective October 31, 2012, BVC merged with and into the operating company and ceased to exist. All significant intercompany balances and transactions have been eliminated in consolidation. | ||||||
Initial Public Offering | ||||||
The holding company was incorporated in anticipation of the Company’s IPO. Prior to the IPO, the holding company was a wholly owned subsidiary of the operating company. In connection with the Company’s IPO during the fourth quarter of fiscal year 2012, the Company completed a reorganization in which a) the existing shareholders of the operating company exchanged capital stock of the operating company for shares of common stock of the holding company and b) the operating company purchased the remaining 45% noncontrolling interest in BVC for a combination of cash and common stock of the holding company, as described above. The holding company’s only material asset is its direct 100% ownership in the operating company. On July 25, 2012, the Company issued 4,167,367 shares to the public in the IPO. Simultaneously with the IPO, certain selling shareholders sold 4,046,918 shares to the public, resulting in no additional proceeds to the Company. The total number of shares issued in the IPO was 8,214,285. | ||||||
Based on the public offering price of $15.00, the Company received gross proceeds from the issuance of 4,167,367 shares issued to the public in the IPO of approximately $62.5 million, and paid underwriting costs of 7%, or approximately $4.4 million, for net proceeds of approximately $58.1 million. The Company also incurred issuance costs of approximately $2.7 million. | ||||||
The Company accounted for the acquisition of the BVC noncontrolling interest, as described above, as an equity transaction. Since the transaction was treated as an equity transaction, the transaction costs were also reflected as a reduction of equity and a financing activity in the statement of cash flows for the year ended September 30, 2012. The Company recorded the issuance of the 670,056 shares in common stock at par value, reduced cash and cash equivalents by approximately $10.1 million, eliminated approximately $1.5 million in noncontrolling interest on the balance sheet as of September 30, 2012, and recorded the remaining amount as additional paid in capital. As a result of the acquisition of the remaining noncontrolling interest, the Company was entitled to tax deductions to the extent of any step up in tax basis on the assets of BVC, limited to the cash consideration paid. Accordingly, the tax basis in excess of book basis at the date of purchase resulted in deferred tax assets of approximately $3.6 million as of September 30, 2012. | ||||||
As of September 30, 2012, the Company used approximately $39.2 million of the net proceeds from the IPO to pay down all outstanding amounts under its then-existing credit facility of approximately $26.4 million, pay the cash portion of the BVC purchase of approximately $10.1 million, pay expenses associated with the IPO of approximately $2.4 million, and pay the cash portion of restricted stock awards of approximately $0.3 million. For the year ended September 30, 2013, the Company used approximately $0.3 million of the proceeds to pay the remaining issuance costs associated with the IPO, and the remaining proceeds from the IPO of approximately $18.6 million were used to fund working capital and for general corporate purposes. | ||||||
Use of Estimates | ||||||
The preparation of financial statements in conformity with generally accepted accounting principles in the United States of America (GAAP) requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Management reviews its estimates on an ongoing basis, including those related to allowances for self-insurance reserves, valuation of inventories, useful lives of property and equipment for depreciation and amortization, valuation allowances for deferred tax assets and liabilities and litigation based on currently available information. Changes in facts and circumstances may result in revised estimates and actual results could differ from those estimates. | ||||||
Segment Information | ||||||
The Company has one reporting segment, natural and organic retail stores. | ||||||
Cash and Cash Equivalents | ||||||
Cash and cash equivalents include currency on hand, demand deposits with banks, money market funds and credit and debit card transactions which typically settle within three business days. The Company considers all highly liquid investments with a remaining maturity of 90 days or less when acquired to be cash equivalents. | ||||||
Restricted | ||||||
Cash | ||||||
As of September 30, 2013, the Company held restricted cash of approximately $0.5 million which represented cash that was pledged as collateral for a standby letter of credit related to the Company’s workers’ compensation insurance. As of September 30, 2014, the Company had released the restricted cash balance which existed as of September 30, 2013, and has no restricted cash balance outstanding. | ||||||
Investments | ||||||
Available-for-sale investments are recorded at fair value. Unrealized holding gains and losses on available-for-sale investments are excluded from earnings and are reported as a component of other comprehensive income until realized. A decline in the fair value of any available-for-sale security below cost that is deemed to be other-than-temporary for a period greater than two fiscal quarters results in a reduction of the fair value. Declines in fair value deemed to be other-than-temporary are charged against net earnings. Investments that have an original maturity date of less than one year are classified as short-term assets, and investments that have an original maturity date greater than one year are classified as long-term assets. | ||||||
Accounts Receivable | ||||||
Accounts receivable consists primarily of receivables from vendors for certain promotional programs, newsletter advertising and other miscellaneous receivables and are presented net of any allowances for doubtful accounts. Vendor receivable balances are generally presented on a gross basis separate from any related payable due. Allowance for doubtful accounts is calculated based on historical experience and application of the specific identification method and totaled less than $0.1 million at September 30, 2014. There was no allowance for doubtful accounts as of September 30, 2013. | ||||||
Concentration of Credit Risk | ||||||
Financial instruments that potentially subject the Company to a concentration of credit risk consist primarily of investments in cash and cash equivalents and accounts receivable. The Company’s cash and cash equivalent account balances, which are held in major financial institutions, exceeded the Federal Deposit Insurance Corporation’s federally insured limits by approximately $2.5 million as of September 30, 2014. | ||||||
Vendor Concentration | ||||||
For the years ended September 30, 2014, 2013 and 2012, purchases from the Company’s largest vendor and one of its subsidiaries represented approximately 56%, 55% and 53% of all product purchases made during the respective periods. However, the Company believes that, if necessary, alternate vendors could supply similar products in adequate quantities to avoid material disruption to operations. | ||||||
Merchandise Inventory | ||||||
Merchandise inventory consists of goods held for sale. The cost of inventory includes certain costs associated with the preparation of inventory for sale, including inventory overhead costs. Merchandise inventory is carried at the lower of cost or market. Cost is determined using the weighted average cost method. | ||||||
Property and Equipment | ||||||
Property and equipment is stated at historical cost less accumulated depreciation. Depreciation is provided using the straight-line method over the following estimated useful lives of the related assets. | ||||||
Useful lives | ||||||
(in | ||||||
years) | ||||||
Land improvements | 5 | – | 15 | |||
Buildings | 40 | |||||
Leasehold and building improvements | 1 | – | 25 | |||
Capitalized real estate leases for build-to-suit stores | 40 | |||||
Capitalized real estate leases | 15 | |||||
Fixtures and equipment | 5 | – | 7 | |||
Computer hardware and software | 3 | – | 5 | |||
For land improvements and leasehold and building improvements, depreciation is recorded over the shorter of the assets’ useful lives or the lease terms. Maintenance, repairs and renewals that neither add to the value of the property nor appreciably prolong its life are charged to expense as incurred. Gains and losses on disposition of property and equipment are included in store expenses in the year of disposition, and primarily relate to store relocations. | ||||||
The Company capitalizes interest, if applicable, as part of the historical costs of buildings and leasehold and building improvements. The Company capitalizes certain costs incurred with developing or obtaining internal-use software. Capitalized software costs are included in property and equipment in the consolidated balance sheets and are amortized over the estimated useful lives of the software. Software costs that do not meet capitalization criteria are expensed as incurred. | ||||||
Fair Value of Financial Instruments | ||||||
The Company records its financial assets and liabilities at fair value in accordance with the framework for measuring fair value in authoritative guidance. The framework establishes a fair value hierarchy that distinguishes between assumptions based on market data (observable inputs) and the Company’s own assumptions (unobservable inputs). The three levels are defined as follows: | ||||||
Level 1— | Inputs are unadjusted quoted prices for identical assets or liabilities in active markets; | |||||
Level 2— | Inputs include quoted prices for similar assets or liabilities in active markets, and inputs that are observable for the asset or liability, either directly or indirectly, for substantially the full term of the financial instrument; and | |||||
Level 3— | Inputs are unobservable and are considered significant to the fair value measurement. | |||||
Transfers between levels of the fair value hierarchy are deemed to have occurred as of the date of the event or transfer. | ||||||
Goodwill and Intangible Assets | ||||||
Intangible assets primarily consist of goodwill, trademarks, favorable operating leases and covenants-not-to-compete. Goodwill and the | ||||||
Vitamin Cottage® | ||||||
trademark have indefinite lives and are not amortized; rather, they are tested for impairment at least annually. Intangible assets with definite lives are amortized over their estimated useful lives. The Company evaluates the reasonableness of the useful lives of these intangibles at least annually. | ||||||
The Company’s annual impairment testing of goodwill is performed as of September 30. In performing the Company’s analysis of goodwill, the Company first evaluates qualitative factors, including relevant events and circumstances, to determine whether it is more likely than not that the fair value of a reporting unit is less than its carrying amount. If it is not more likely than not that the fair value of a reporting unit is less than its carrying amount, the two-step impairment test is not necessary. If it is determined that it is more likely than not that the fair value of a reporting unit is less than its carrying amount, then the Company performs the two-step impairment test. Under the first step, the fair value of the reporting unit is compared with its carrying value (including goodwill). If the fair value of the reporting unit is less than its carrying value, an indication of goodwill impairment exists for the reporting unit and the Company must perform step two of the impairment test (measurement). Under step two, an impairment loss is recognized for any excess of the carrying amount of the reporting unit’s goodwill over the implied fair value of that goodwill. Thus far, the Company has recorded no impairment charges related to goodwill. | ||||||
Impairment of | ||||||
Finite-Lived | ||||||
Intangible and Long-Lived Assets | ||||||
Long-lived assets, such as property and equipment and purchased intangible assets subject to amortization, are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. The Company aggregates long-lived assets at the store level, which the Company considers to be the lowest level in the organization for which independent identifiable cash flows are available. If circumstances require a long-lived asset or asset group to be tested for possible impairment, the Company first compares undiscounted cash flows expected to be generated by that store to its carrying value. If the carrying value of the long-lived asset or asset group is not recoverable on an undiscounted cash flow basis, impairment is recognized to the extent that the carrying value exceeds its fair value. The Company considers factors such as historic and forecasted operating results, trends and future prospects, current market value, significant industry trends and other economic and regulatory factors in performing these analyses. Thus far, the Company has recorded no impairment charges related to finite-lived intangible or long-lived assets. | ||||||
Deferred Financing Costs | ||||||
Certain costs incurred with borrowings or establishment of credit facilities are deferred. These costs are amortized over the life of the borrowing or the life of the credit facility using the straight-line methods. | ||||||
Leases | ||||||
The Company leases retail stores, a bulk food repackaging facility and distribution center and administrative offices under long-term operating or capital and financing leases. These leases include scheduled increases in minimum rents and renewal provisions at the option of the Company. The lease term for accounting purposes commences with the date the Company takes possession of the space and ends on the later of the primary lease term or the expiration of any renewal periods that are deemed to be reasonably assured at the inception of the lease. | ||||||
Operating leases | ||||||
The Company accounts for operating leases with rent holidays and escalating payment terms by recognizing the associated expense on a straight-line basis over the lease term, and the difference between the average rental amount charged to expense and amounts payable under the leases are included in deferred rent. For certain leases, the Company has also received cash from landlords to compensate for costs incurred by the Company in making the store locations ready for operation (leasehold incentives or tenant allowances). Leasehold incentives received from a landlord are deferred and recognized on a straight-line basis as a reduction to rent expense over the lease term. | ||||||
Capital financing leases | ||||||
From time to time, the Company enters into leases with developers for build-to-suit store locations. Upon lease execution, the Company analyzes its involvement during the construction period. | ||||||
As a result of defined forms of lessee involvement, the Company could be deemed the “owner” for accounting purposes during the construction period, and may be required to capitalize the project costs on its balance sheet. If the project costs are capitalized, the Company performs a sale-leaseback analysis upon completion of the construction | ||||||
to determine if the Company can remove the assets from its balance sheet. If the asset cannot be removed from the balance sheet, the fair market value of the building remains recognized as an asset on the balance sheet, along with a corresponding capital lease financing obligation equal to the fair market value of the building less any amount the Company contributed towards construction. The Company does not record rent expense for the rental payments under capital financing leases, but rather payments under the capital financing lease obligations are recognized as a reduction of the capital lease financing obligation and as interest expense. The capital financing lease asset is depreciated on a straight-line basis over the estimated useful life of the asset. | ||||||
Capital leases | ||||||
Occasionally, the Company enters into leases that are deemed to be capital leases. For these leases, the Company capitalizes the lower of the present value of the minimum lease payments or the fair value of the leased asset at inception and records a corresponding capital lease obligation. The Company does not record rent expense for the rental payments under capital leases, but rather payments under the capital lease obligations are recognized as a reduction of the capital lease obligation and as interest expense. The capital lease asset is depreciated on a straight-line basis over the term of the related lease. | ||||||
Self-Insurance | ||||||
The Company is self-insured for certain losses relating to employee medical and dental benefits and workers compensation. Stop-loss coverage has been purchased to limit exposure to any significant level of claims. Self-insured losses are accrued based upon the Company’s estimates of the aggregate claims incurred but not reported using historical experience. The estimated accruals for these liabilities could be significantly affected if future occurrences and claims differ from historical trends. | ||||||
Revenue Recognition | ||||||
Revenue is recognized at the point of sale, net of in-house coupons, discounts and returns. Sales taxes are not included in sales. The Company charges sales tax on all taxable customer purchases and remits these taxes monthly to the appropriate taxing jurisdiction. The Company records a deferred revenue liability within accrued expenses when it sells the Company’s gift cards or issues gift cards for award or promotional purposes, and records a sale when a customer redeems the gift card. Generally, the gift cards do not expire. The Company currently does not record breakage for unused portions of gift cards. | ||||||
Cost of Goods Sold and Occupancy Costs | ||||||
Cost of goods sold and occupancy costs includes the cost of inventory sold during the period net of discounts and allowances, as well as, distribution, shipping and handling costs, store occupancy costs and costs of the bulk food repackaging facility and distribution center. The amount shown is net of various rebates from third-party vendors in the form of quantity discounts and payments. Vendor consideration associated with product discounts is recorded as either a reduction of merchandise inventory or cost of goods sold. Store occupancy costs include rent, common area maintenance and real estate taxes. Store occupancy costs do not include any rent amounts for the store leases classified as capital and financing lease obligations. | ||||||
Store Expenses | ||||||
Store expenses consist of store-level expenses such as salaries, benefits and share-based compensation, supplies, utilities, depreciation, gain or loss on disposal of assets and other related costs associated with operations support. Store expenses also include purchasing support services and advertising and marketing costs. | ||||||
Administrative Expenses | ||||||
Administrative expenses consist of salaries, benefits and share-based compensation, occupancy costs, depreciation, office supplies, hardware and software expenses, professional services expenses and other general and administrative expenses. | ||||||
Pre-Opening and Relocation Expenses | ||||||
Costs associated with the opening of new stores or relocating existing stores are expensed as incurred. | ||||||
Advertising and Marketing | ||||||
Advertising and marketing costs are expensed as incurred and are included in store expenses and pre-opening and relocation expenses in the consolidated statements of income. Total advertising and marketing expenses for the years ended September 30, 2014, 2013 and 2012 were approximately $7.8 million, $6.2 million and $5.1 million, respectively, net of vendor reimbursements received for newsletter advertising. Advertising expense reimbursements received from vendors totaled approximately $1.9 million, $1.5 million and $1.3 million for the years ended September 30, 2014, 2013 and 2012, respectively. | ||||||
S | ||||||
hare | ||||||
- | ||||||
B | ||||||
ased | ||||||
C | ||||||
ompensation | ||||||
The Company adopted an Omnibus Incentive Plan in connection with the IPO on July 25, 2012. Restricted common stock units are granted at the market price of the stock on the day of grant and expensed over the applicable vesting period. | ||||||
The excess tax benefits for recognized compensation costs are reported as a credit to additional-paid-in capital and as operating cash outflows when such excess tax benefits are realized by a reduction to current taxes payable. | ||||||
Income Taxes | ||||||
The Company accounts for income taxes using the asset and liability method. This method requires recognition of deferred tax assets and liabilities for expected future tax consequences of temporary differences that currently exist between the tax basis and financial reporting basis of the Company’s assets and liabilities. Deferred tax assets and liabilities are measured using enacted tax rates in the respective jurisdictions in which the Company operates. | ||||||
The Company considers the need to establish valuation allowances to reduce deferred income tax assets to the amounts the Company believes are more likely than not to be recovered. | ||||||
The Company recognizes the effect of income tax positions only if those positions are more likely than not of being sustained. Recognized income tax positions are measured at the largest amount that is greater than 50% likely of being realized. Changes in recognition or measurement are reflected in the period in which the change in judgment occurs. Although the Company believes that its estimates are reasonable, actual results could differ from these estimates. In addition, the Company is subject to periodic audits and examinations by the Internal Revenue Service (IRS) and other state and local taxing authorities. | ||||||
Any interest or penalties incurred related to income taxes are expensed as incurred and treated as permanent differences for tax purposes. | ||||||
Noncontrolling Interest in Consolidated Financial Statements | ||||||
Prior to the Company’s IPO on July 25, 2012, the Company had a majority 55% ownership of BVC, which owned five | ||||||
Natural Grocers by Vitamin Cottage | ||||||
retail stores managed by the operating company. Immediately prior to the IPO, the Company issued common stock and paid cash to purchase the remaining 45% noncontrolling interest in BVC. Noncontrolling interest in the Company’s consolidated financial statements relates to the noncontrolling 45% ownership in BVC prior to the purchase. Net income attributable to noncontrolling interest and net income attributable to the Company are reported separately in the consolidated statements of income and statements of comprehensive income. | ||||||
Recent Accounting Pronouncements | ||||||
In | ||||||
May 2014, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) 2014-09, “Revenue from Contracts with Customers.” ASU No 2014-09 provides guidance for revenue recognition. The standard’s core principle is that a company will recognize revenue when it transfers promised goods or services to customers in an amount that reflects the consideration to which the company expects to be entitled for the transfer of those goods or services. This guidance will be effective for the Company beginning on October 1, 2017 and early application is not permitted. The Company is currently in the process of evaluating the impact of adoption of this ASU on the Company’s consolidated financial statements and related disclosures. | ||||||
In August 2014, the FASB issued ASU 2014-15, “Presentation of Financial Statements – Going Concern (Subtopic 205-40): Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern.” ASU 2014-15 defines management’s responsibility to perform interim and annual assessments on whether there are conditions or events that raise substantial doubt about the entity’s ability to continue as a going concern within one year of the date the financial statements are issued and to provide related footnote disclosures, if required. The guidance will be effective for the Company beginning with its fiscal year ended September 30, 2017, and early application is permitted. The Company does not expect the adoption of this standard to have a material effect on its consolidated financial statements or disclosures. |
Note_3_Earnings_Per_Share
Note 3 - Earnings Per Share | 12 Months Ended | ||||||||||||
Sep. 30, 2014 | |||||||||||||
Notes to Financial Statements | ' | ||||||||||||
Earnings Per Share [Text Block] | ' | ||||||||||||
3. Earnings Per Share | |||||||||||||
Basic earnings per share excludes dilution and is computed by dividing net income attributable to Natural Grocers’ stockholders by the weighted average shares outstanding during the period. Diluted earnings per share reflects the potential dilution that could occur if the Company’s granted but unvested restricted stock units were to vest, resulting in the issuance of common stock that would then share in the earnings of the Company. Presented below is basic and diluted earnings per share for the years ended September 30, 2014, 2013 and 2012, dollars in thousands, except per share data: | |||||||||||||
Year ended September 30, | |||||||||||||
201 | 201 | 201 | |||||||||||
4 | 3 | 2 | |||||||||||
Net income attributable to Natural Grocers by Vitamin Cottage, Inc. | $ | 13,473 | 10,552 | 6,649 | |||||||||
Weighted average common shares outstanding | 22,466,432 | 22,399,346 | 22,372,184 | ||||||||||
Effect of dilutive securities | 13,403 | 42,036 | 90,909 | ||||||||||
Weighted average common shares outstanding including effect of dilutive securities | 22,479,835 | 22,441,382 | 22,463,093 | ||||||||||
Basic earnings per share | $ | 0.6 | 0.47 | 0.3 | |||||||||
Diluted earnings per share | $ | 0.6 | 0.47 | 0.3 | |||||||||
There were 3,558 and 50,320 non-vested restricted stock units (RSUs) for the years ended September 30, 2014 and 2013 excluded from the calculation as they are antidilutive. There were no antidilutive non-vested RSUs for the year ended September 30, 2012. | |||||||||||||
The Company did not declare or pay any dividends in the years ended September 30, 2014, 2013 and 2012. | |||||||||||||
As of September 30, 2014, the Company had 50,000,000 shares of common stock authorized and 22,485,488 shares issued and outstanding, as well as 10,000,000 shares of preferred common stock authorized with none issued and outstanding. |
Note_4_Investments
Note 4 - Investments | 12 Months Ended |
Sep. 30, 2014 | |
Notes to Financial Statements | ' |
Summary of Investment Holdings, Schedule of Investments [Text Block] | ' |
4. Investments | |
The Company may hold money market fund investments that are classified as cash and cash equivalents. The Company held no money market fund investments at September 30, 2014 and held approximately $0.5 million as of September 30, 2013. | |
The Company may also hold available-for-sale securities, generally consisting of certificates of deposit, corporate bonds and municipal bonds. The Company had no available-for-sale securities as of September 30, 2014 and held approximately $1.1 million, classified as short-term, as of September 30, 2013. At September 30, 2013, the average maturities of the Company’s short-term investments was approximately five months. | |
The Company established an investment policy in the fourth quarter of fiscal year 2012, with the objective to achieve maximum yields on invested funds while protecting principal, as well as ensuring that funds will be available to meet operating cash flow requirements. The investment policy establishes the type of investments that are acceptable, requires that each investment have a certain high level of rating as established by Standard and Poor’s or Moody’s and limits the amount of any one investment that may be held based on the market value of the total funds at the time of investment purchase. As of September 30, 2013, the Company’s investments in available-for-sale securities, which matured in the year ended September 30, 2014, were in compliance with the Company’s investment policy. | |
During the years ended September 30, 2014, 2013 and 2012, the Company recorded insignificant amounts of interest income and expense relating to amortized premiums paid. | |
As of September 30, 2013, available-for-sale securities totaling approximately $1.1 million were in net unrealized gain positions with an insignificant amount recorded in accumulated other comprehensive income for temporary increases in fair value, consisting of five securities in gain positions and four securities in loss positions due to the amortization of premiums paid to acquire the securities. As of September 30, 2012, available-for-sale securities totaling approximately $1.8 million were in net unrealized loss positions with an insignificant amount recorded in accumulated other comprehensive income for temporary declines in fair value, consisting of three securities in gain positions and nine securities in loss positions due to the amortization of premiums paid to acquire the securities. There was no other-than-temporary impairment on available-for-sale securities during the years ended September 30, 2014 or 2013. |
Note_5_Fair_Value_Measurements
Note 5 - Fair Value Measurements | 12 Months Ended | ||||||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||||||
Notes to Financial Statements | ' | ||||||||||||||||||||
Fair Value Disclosures [Text Block] | ' | ||||||||||||||||||||
5. Fair Value Measurements | |||||||||||||||||||||
The Company records its financial assets and liabilities at fair value in accordance with the framework for measuring fair value. The framework establishes a fair value hierarchy that distinguishes between assumptions based on market data (observable inputs) and market participant’s assumptions (unobservable inputs). Non-financial assets, such as goodwill and long-lived assets, are accounted for at fair value on a non-recurring basis. These items are tested for impairment on the occurrence of a triggering event or in the case of goodwill, at least on an annual basis. | |||||||||||||||||||||
The carrying amounts of financial instruments not included in the table below, including cash, restricted cash, accounts receivable, accounts payable and other accrued expenses | |||||||||||||||||||||
, approximate fair value because of the short maturity of those instruments. | |||||||||||||||||||||
As of September 30, 2014 and 2013, the Company had the following financial assets and liabilities that were subject to fair value measurements according to the fair value hierarchy, dollars in thousands: | |||||||||||||||||||||
As of September 30, | |||||||||||||||||||||
201 | 201 | ||||||||||||||||||||
4 | 3 | ||||||||||||||||||||
Input | Carrying | Fair Value | Carrying | Fair Value | |||||||||||||||||
Level | Amount | Amount | |||||||||||||||||||
Cash equivalents: | |||||||||||||||||||||
Money market fund | 1 | $ | ─ | ─ | 501 | 501 | |||||||||||||||
Investments — available-for-sale securities: | |||||||||||||||||||||
Certificates of deposit | 2 | ─ | ─ | 585 | 585 | ||||||||||||||||
Corporate bonds | 2 | ─ | ─ | 376 | 376 | ||||||||||||||||
Municipal bonds | 2 | ─ | ─ | 188 | 188 | ||||||||||||||||
The money market fund and available-for-sale securities are carried at fair value. For debt securities for which quoted market prices are not available, the fair value is determined using an income approach valuation technique that considers, among other things, rates currently observed in publicly traded debt markets for debt of similar terms to companies with comparable credit risk. During the year ended September 30, 2014, the Company made no purchases of available-for-sale securities. During the year ended September 30, 2013, the Company purchased approximately $0.5 million in available-for-sale securities. During the years ended September 30, 2014 and 2013, available-for-sale securities of approximately $1.1 million and $1.0 million, respectively, matured. During the year ended September 30, 2014, the Company had no proceeds from the sale of available-for-sale securities. During the year ended September 30, 2013, available-for-sale securities of approximately $0.1 million, were sold. During the years ended September 30, 2014 and 2013, there were no transfers between levels, and the Company had no level 3 instruments. See Note 4 for additional disclosures. |
Note_6_Property_and_Equipment
Note 6 - Property and Equipment | 12 Months Ended | ||||||||||||||
Sep. 30, 2014 | |||||||||||||||
Notes to Financial Statements | ' | ||||||||||||||
Property, Plant and Equipment Disclosure [Text Block] | ' | ||||||||||||||
6. Property and Equipment | |||||||||||||||
The Company had the following property and equipment balances as of September 30, 2014 and 2013, dollars in thousands: | |||||||||||||||
Useful lives | As of September 30, | ||||||||||||||
(in years) | 201 | 201 | |||||||||||||
4 | 3 | ||||||||||||||
Construction in process | n/a | $ | 6,867 | 5,421 | |||||||||||
Capitalized real estate leases for build-to-suit stores, including unamortized land of $617 and $600, respectively | 40 | 17,107 | 15,774 | ||||||||||||
Capitalized real estate leases | 15 | 4,866 | 4,866 | ||||||||||||
Land | n/a | 192 | ─ | ||||||||||||
Buildings | 40 | 3,985 | ─ | ||||||||||||
Land improvements | 5 | - | 15 | 1,000 | 1,000 | ||||||||||
Leasehold and building improvements | 1 | - | 25 | 74,691 | 59,058 | ||||||||||
Fixtures and equipment | 5 | - | 7 | 69,894 | 56,459 | ||||||||||
Computer hardware and software | 3 | - | 5 | 10,740 | 8,252 | ||||||||||
189,342 | 150,830 | ||||||||||||||
Less accumulated depreciation and amortization | (69,118 | ) | (51,920 | ) | |||||||||||
Property and equipment, net | $ | 120,224 | 98,910 | ||||||||||||
Capitalized real estate leases include the assets for build-to-suit stores and buildings under capital leases as of September 30, 2014 and 2013, respectively (see Note 2 and Note 11). | |||||||||||||||
As of September 30, 2014 and 2013, construction in process includes approximately $2.3 million and approximately $1.3 million, respectively, related to construction costs for build-to-suit leases in process for which the Company was deemed the owner during the construction period. | |||||||||||||||
Costs capitalized for computer software development for the years ended September 30, 2014 and 2013 were approximately $0.1 million in each period, primarily due to capitalization of internal staff compensation. Total costs capitalized for qualifying construction projects on leasehold and building improvements and fixtures and equipment includes approximately $0.5 million and $0.4 million, for the years ended September 30, 2014 and 2013, respectively, related to internal staff compensation. Interest costs of approximately $0.4 million were capitalized for the year ended September 30, 2014; no amounts of interest were capitalized for the year ended September 30, 2013 and insignificant amounts of interest costs were capitalized for the year ended September 30, 2012. Depreciation expense related to capitalized internal staff compensation was approximately $0.3 million, $0.3 million and $0.5 million for the years ended September 30, 2014, 2013 and 2012, respectively. | |||||||||||||||
Depreciation and amortization expense for the years ended September 30, 2014, 2013 and 2012 is summarized as follows, dollars in thousands: | |||||||||||||||
Year ended September 30, | |||||||||||||||
201 | 201 | 201 | |||||||||||||
4 | 3 | 2 | |||||||||||||
Depreciation and amortization expense included in cost of goods sold and occupancy costs | $ | 770 | 709 | 436 | |||||||||||
Depreciation and amortization expense included in store expenses | 15,861 | 12,365 | 8,710 | ||||||||||||
Depreciation and amortization expense included in administrative expenses | 581 | 422 | 803 | ||||||||||||
Total depreciation and amortization expense | $ | 17,212 | 13,496 | 9,949 |
Note_7_Goodwill_and_Other_Inta
Note 7 - Goodwill and Other Intangible Assets | 12 Months Ended | ||||||||||||
Sep. 30, 2014 | |||||||||||||
Notes to Financial Statements | ' | ||||||||||||
Goodwill and Intangible Assets Disclosure [Text Block] | ' | ||||||||||||
7. Goodwill and Other Intangible Assets | |||||||||||||
Goodwill and other intangible assets as of September 30, 2014 and 2013, are summarized as follows, dollars in thousands: | |||||||||||||
Useful lives | As of September 30, | ||||||||||||
(in years) | 201 | 201 | |||||||||||
4 | 3 | ||||||||||||
Amortizable intangible assets: | |||||||||||||
Covenants-not-to-compete | 5 | $ | 293 | 293 | |||||||||
Favorable operating lease | 5 | 339 | 339 | ||||||||||
Other intangibles | 0.5 | 22 | 22 | ||||||||||
Amortized intangible assets | 654 | 654 | |||||||||||
Less accumulated amortization | (654 | ) | (654 | ) | |||||||||
Amortized intangible assets, net | — | — | |||||||||||
Trademark | Indefinite | 389 | 389 | ||||||||||
Total other intangibles, net | 389 | 389 | |||||||||||
Goodwill | Indefinite | 511 | 511 | ||||||||||
Total goodwill and other intangibles, net | $ | 900 | 900 | ||||||||||
Amortization expense was $0, less than $0.1 million and approximately $0.1 million for the years ended September 30, 2014, 2013 and 2012, respectively. |
Note_8_Accrued_Expenses
Note 8 - Accrued Expenses | 12 Months Ended | ||||||||
Sep. 30, 2014 | |||||||||
Notes to Financial Statements | ' | ||||||||
Accounts Payable and Accrued Liabilities Disclosure [Text Block] | ' | ||||||||
8 | |||||||||
Accrued Expenses | |||||||||
The composition of accrued expenses as of September 30, 2014 and 2013, is summarized as follows, dollars in thousands: | |||||||||
As of September 30, | |||||||||
2014 | 201 | ||||||||
3 | |||||||||
Payroll and employee-related expenses | $ | 5,886 | 5,247 | ||||||
Accrued income taxes payable | 4,868 | 95 | |||||||
Accrued property, sales and use tax payable | 3,409 | 2,591 | |||||||
Deferred revenue related to gift card sales | 725 | 625 | |||||||
Other | 934 | 748 | |||||||
Total accrued expenses | $ | 15,822 | 9,306 |
Note_9_Deferred_Financing_Cost
Note 9 - Deferred Financing Costs | 12 Months Ended |
Sep. 30, 2014 | |
Notes to Financial Statements | ' |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Table Text Block] | ' |
9. Deferred Financing Costs | |
The Company has capitalized costs incurred in securing its Credit Facility (see Note 10). Deferred financing costs, net of accumulated amortization were less than $0.1 million as of September 30, 2014 and 2013. Accumulated amortization was approximately $0.9 million as of both September 30, 2014 and 2013. | |
Total amortization expense for deferred financing costs was less than $0.1 million for each of the years ended September 30, 2014, 2013 and 2012. |
Note_10_LongTerm_Debt
Note 10 - Long-Term Debt | 12 Months Ended |
Sep. 30, 2014 | |
Notes to Financial Statements | ' |
Debt and Capital Leases Disclosures [Text Block] | ' |
10. Long-Term Debt | |
Credit Facility | |
The Company has a Credit Facility which consists of a revolving credit facility and, previously, a term loan that was fully repaid in fiscal year 2012 (see further discussion of the Credit Facility and the term loan below). The operating company is the borrower under the Credit Facility and its obligations under the Credit Facility are guaranteed by the holding company. | |
The Credit Facility requires compliance with certain operational and financial covenants including a leverage ratio and fixed charge coverage ratio. The Credit Facility also contains certain other limitations on the Company’s ability to incur additional debt, guarantee other obligations, grant liens on assets and make investments or acquisitions as defined in the Credit Facility. Additionally, the Credit Facility prohibits the payment of cash dividends to the holding company from the operating company, without the administrative agent’s consent except when no default or event of default exists. | |
If no default or event of default exists dividends are allowed for various audit, accounting, tax, securities, indemnification, reimbursement, insurance and other reasonable expenses in the ordinary course of business. The Company does not expect such restrictions to impact its ability to meet cash obligations. The terms and conditions of the Credit Facility and associated documents are customary and include, among other things, guarantees, pledges and subordinations. At September 30, 2014 and 2013, the Company was in compliance with the debt covenants. | |
On October 31, 2012, the Company amended its then-existing credit agreement to decrease the borrowing limit from $21.0 million to $15.0 million and to lower the unused commitment fee to 0.20% from 0.375%. The reduction in the unused commitment fee was retroactive to August 1, 2012. The credit facility was scheduled to mature on June 30, 2014. | |
On December 12, 2013, the Company amended and restated its then-existing $15.0 million credit agreement, as a result of which, among other things, (i) the maturity date of the Company’s Credit Facility was extended by three years to January 31, 2017, (ii) the Company has the right to request the issuance of letters of credit under the Credit Facility of up to $3.0 million, (iii) the Company is allowed to increase the amount available under the revolving credit facility, by an additional amount that may not exceed $10.0 million, by obtaining an additional commitment or commitments, (iv) a requirement for a consolidated earnings before interest, taxes, depreciation and amortization to revenue ratio was eliminated and (v) the unused commitment fee was changed from 0.20% to amounts ranging from 0.15% to 0.35% based on certain conditions. The Company may borrow, prepay and re-borrow amounts under the Credit Facility at any time prior to the maturity date. | |
The Company had no amounts outstanding on its Credit Facility as of September 30, 2014 and 2013. During the years ended September 30, 2014 and 2013, the Company made and repaid draws on the Credit Facility. As of September 30, 2014, the Company had an undrawn, issued and outstanding letter of credit of $0.7 million which was reserved against the amount available for borrowing under the terms of the Credit Facility. As of September 30, 2014 and 2013, there was $14.3 million and $15.0 million, respectively, available for borrowing under the Credit Facility. | |
For floating rate borrowings under the Credit Facility, interest is determined by the lender’s administrative agent and is stated at the prime rate less the lender spread, subject to the Company meeting certain financial measures. For fixed rate borrowings under the Credit Facility, interest is determined by quoted LIBOR rates for the interest period plus the lender spread, subject to the Company meeting certain financial measures. The average annual interest rate for the years ended September 30, 2014, 2013 and 2012 was 1.85%, 3.30% and 2.54%, respectively. | |
The Company had no amounts outstanding under the term loan as of September 30, 2014 and 2013. Proceeds from the Company’s IPO on July 25, 2012 were used to prepay the then outstanding amount under the term loan of $15.8 million. The Company cannot borrow additional amounts on the term loan and as such had no activity under the term loan in the fiscal years ended September 30, 2014 and 2013. Interest was determined by the lender’s administrative agent and was stated at the alternate base rate for the interest period plus the applicable lender spread. The average interest rate for the year ended September 30, 2012 was approximately 2.02%. | |
Capital | |
and Financing Lease | |
Obligation | |
s | |
The Company had ten and nine leases as of September 30, 2014 and 2013, respectively, that are included in capital and financing lease obligations (see Notes 2 and 11). The Company does not record rent expense for these capitalized real estate leases, but rather rental payments under the capital leases are recognized as a reduction of the capital and financing lease obligation and as interest expense (see Note 11). | |
Interest | |
The Company incurred gross interest expense of approximately $2.9 million, $2.2 million and $0.6 million in the years ended September 30, 2014, 2013 and 2012, respectively. Interest expense for the years ended September 30, 2014 and 2013 relates primarily to interest on capital and financing lease obligations. Interest expense for the year ended September 30, 2012 relates primarily to interest for activity under the Credit Facility, including amortization of deferred financing costs. The Company capitalized interest of approximately $0.4 million for the year ended September 30, 2014, had no amounts of interest capitalized for the year ended September 30, 2013 and had insignificant amounts of interest capitalized for the year ended September 30, 2012 | |
. |
Note_11_Lease_Commitments
Note 11 - Lease Commitments | 12 Months Ended | ||||||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||||||
Notes to Financial Statements | ' | ||||||||||||||||||||
Leases of Lessee Disclosure [Text Block] | ' | ||||||||||||||||||||
1 | |||||||||||||||||||||
1 | |||||||||||||||||||||
. Lease Commitments | |||||||||||||||||||||
Operating Leases | |||||||||||||||||||||
The Company leases retail stores, a bulk food repackaging facility and distribution center and administrative offices under long-term operating leases through 2062. These leases include scheduled increases in minimum rents and renewal provisions at the option of the Company. Deferred rent expense as of September 30, 2014 and 2013 was approximately $5.8 million and $4.7 million, respectively. Tenant improvement allowances received from landlords (leasehold incentives) are recorded as liabilities and recognized evenly as a reduction to rent expense over the lease term. Leasehold incentives at September 30, 2014 and 2013 were approximately $7.2 million and $5.7 million, respectively. | |||||||||||||||||||||
The Company has seven leases with Chalet Properties, LLC (Chalet), one lease with the Isely Family Land Trust LLC and one lease with 3801 East Second Avenue LLC, all related parties (see Note 13). The terms and rental rates of these related party leases are similar to leases with nonrelated parties and are at market rental rates. The leases began at various times with the earliest occurring in November 1999, continue for various terms through February 2027 and include various options to renew. Present annual lease payments range from less than $0.1 million to approximately $0.3 million per lease. | |||||||||||||||||||||
The future minimum annual commitments under the terms of the Company’s operating leases having initial or remaining terms in excess of one year as of September 30, 2014 are as follows, dollars in thousands: | |||||||||||||||||||||
Third | Related | Total Operating | |||||||||||||||||||
parties | parties | Leases | |||||||||||||||||||
2015 | $ | 19,167 | 1,654 | 20,821 | |||||||||||||||||
2016 | 20,446 | 1,633 | 22,079 | ||||||||||||||||||
2017 | 20,003 | 1,635 | 21,638 | ||||||||||||||||||
2018 | 19,907 | 1,635 | 21,542 | ||||||||||||||||||
2019 | 18,646 | 1,635 | 20,281 | ||||||||||||||||||
Thereafter | 152,842 | 10,482 | 163,324 | ||||||||||||||||||
$ | 251,011 | 18,674 | 269,685 | ||||||||||||||||||
Total rent expense, including common area expenses and warehouse rent, for the years ended September 30, 2014, 2013 and 2012 totaled approximately $20.5 million, $14.8 million and $12.1 million, respectively, which is included in cost of goods sold and occupancy costs and administrative expenses in the consolidated statements of income. In addition, approximately $1.0 million, $0.6 million and $0.5 million is included in pre-opening and relocation expense associated with rent expense for stores prior to their opening date for the years ended September 30, 2014, 2013 and 2012, respectively. | |||||||||||||||||||||
For the year ended September 30, 2013, the Company completed one sale-leaseback transaction with an unrelated party for proceeds of approximately $5.0 million, with a gain on the sale of approximately $0.2 million which has been deferred and will be amortized over the initial lease term. Concurrent with the sale, the Company entered into an agreement to lease the property back from the purchaser over an initial lease term of 15 years. The Company classified the lease as operating and considers the transaction as a normal leaseback with no other continuing involvement. | |||||||||||||||||||||
Capital and Financing Lease Obligations | |||||||||||||||||||||
Capital and financing lease obligations as of September 30, 2014 and 2013, are as follows, dollars in thousands: | |||||||||||||||||||||
As of September 30, | |||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||
Capital lease finance obligations, due in monthly installments through fiscal year 2028 | $ | 14,989 | 13,746 | ||||||||||||||||||
Capital lease obligations due in monthly installments through fiscal year 2028 | 4,672 | 4,792 | |||||||||||||||||||
Capital lease finance obligation for assets under construction, due in monthly installments through fiscal year 2024 and 2028, respectively | 2,316 | 1,284 | |||||||||||||||||||
Total capital and financing lease obligations | 21,977 | 19,822 | |||||||||||||||||||
Less current portion | (229 | ) | (174 | ) | |||||||||||||||||
Total capital and financing lease obligations, net of current portion | $ | 21,748 | 19,648 | ||||||||||||||||||
Capital lease finance obligations | |||||||||||||||||||||
From time to time, the Company enters into leases with developers for build-to-suit store locations. Upon lease execution, the Company analyzes its involvement during the construction period | |||||||||||||||||||||
. | |||||||||||||||||||||
As a result of defined forms of lessee involvement, the Company could be deemed the “owner” for accounting purposes during the construction period, and would be required to capitalize construction costs on its balance sheet. If the project costs were capitalized, the Company performs a sale-leaseback analysis upon completion of the project to determine if the Company can remove the asset from its balance sheet. If the asset cannot be removed from the balance sheet, the fair market value of the building remains on the balance sheet along with a corresponding capital lease finance obligation equal to the fair market value of the building less any amounts the Company | |||||||||||||||||||||
contributed toward construction. The Company had capital lease finance obligations totaling approximately $15.0 million and $13.7 million as of September 30, 2014 and 2013, respectively. The leases that created the obligations expire or become subject to renewal clauses at various dates through fiscal year 2028. The Company does not record rent expense for capital lease finance obligations, but rather rent payments per the leases are recognized as a reduction of the related capital lease finance obligation and as interest expense. Depreciation expense for the related capitalized lease assets is included in store expenses in the consolidated statements of income. At the end of the lease term, the offsetting balances of the capitalized assets, net of accumulated depreciation, and capital lease finance obligation will be de-recognized. | |||||||||||||||||||||
Capital lease obligations | |||||||||||||||||||||
The Company had capital lease obligations totaling approximately $4.7 million and $4.8 million as of September 30, 2014 and 2013, respectively. Certain of the Company’s leases for store locations are considered capital leases, and as such, the Company has capitalized the present value of the minimum lease payments under the leases for the stores and recorded related capital lease obligations. The leases that created the obligation expire or become subject to renewal clauses at various dates through fiscal year 2028. The Company does not record rent expense for capital lease obligations, but rather rent payments per the leases are recognized as a reduction of the related capital lease obligation and as interest expense. Depreciation expense for the related capitalized lease assets is included in store expenses in the consolidated statements of income. | |||||||||||||||||||||
Capital lease finance obligation for assets under construction | |||||||||||||||||||||
As of September 30, 2014, the Company had recorded approximately $2.3 million for construction in process and approximately $2.3 million in capital lease finance obligations for assets under construction. Once construction is completed, the Company expects to be deemed to have continuing involvement and to capitalize any additional costs of construction. As of September 30, 2013, the Company had recorded approximately $1.3 million for construction in process and approximately $1.3 million in capital lease finance obligations for assets under construction. Once construction was completed, the Company was deemed to have continuing involvement and capitalized all additional costs of construction. The lease that created the obligation as of September 30, 2014 expires or becomes subject to renewal clauses in fiscal year 2024. The lease the created the obligation as of September 30, 2013 expires or becomes subject to renewal clauses at various dates in fiscal year 2028. The Company will not record rent expense for these leases, but rather rental payments under the leases will be recognized as a reduction of the capital lease finance obligation and as interest expense. Depreciation expense for the related capitalized lease assets is included in store expenses in the consolidated statements of income. At the end of the lease term, the offsetting balances of the capitalized assets, net of accumulated depreciation, and the capital lease finance obligation will be derecognized. | |||||||||||||||||||||
Future payments for capital | |||||||||||||||||||||
lease finance obligations and capital | |||||||||||||||||||||
lease obligations | |||||||||||||||||||||
Future payments | |||||||||||||||||||||
under the terms of the leases for opened stores included in capital lease finance obligations and capital lease obligations as of September 30, 2014 are as follows, dollars in thousands: | |||||||||||||||||||||
Interest | Principal | Interest | Payments on | Total future | |||||||||||||||||
expense on | payments on | expense on | capital lease | payments on capital lease finance and capital lease obligations | |||||||||||||||||
capital lease | capital lease | capital lease | obligations | ||||||||||||||||||
finance | finance | obligations | |||||||||||||||||||
obligations | obligations | ||||||||||||||||||||
2015 | $ | 2,104 | 73 | 666 | 134 | 2,977 | |||||||||||||||
2016 | 2,093 | 83 | 650 | 151 | 2,977 | ||||||||||||||||
2017 | 2,081 | 96 | 631 | 170 | 2,978 | ||||||||||||||||
2018 | 2,067 | 117 | 609 | 192 | 2,985 | ||||||||||||||||
2019 | 2,047 | 171 | 584 | 217 | 3,019 | ||||||||||||||||
Thereafter | 15,467 | 3,638 | 3,013 | 3,808 | 25,926 | ||||||||||||||||
Non-cash derecognition of capital lease finance obligations at end of lease term | — | 10,811 | — | — | 10,811 | ||||||||||||||||
$ | 25,859 | 14,989 | 6,153 | 4,672 | 51,673 | ||||||||||||||||
Future payments | |||||||||||||||||||||
under the terms of the lease for the store location at which construction was in progress as of September 30, 2014, based on the store opening date in the first quarter of fiscal 2015, is as follows, dollars in thousands: | |||||||||||||||||||||
Interest | Principal payments on | Total future | |||||||||||||||||||
expense on ca | cap | payments on capital lease finance | |||||||||||||||||||
pital lease | ital lease finance obligation for assets under construction | o | |||||||||||||||||||
f | bligation | ||||||||||||||||||||
inance obligation | for asset | ||||||||||||||||||||
for assets under construction | s | ||||||||||||||||||||
under construction | |||||||||||||||||||||
2015 | $ | 159 | 22 | 181 | |||||||||||||||||
2016 | 156 | 37 | 193 | ||||||||||||||||||
2017 | 153 | 39 | 192 | ||||||||||||||||||
2018 | 150 | 50 | 200 | ||||||||||||||||||
2019 | 147 | 54 | 201 | ||||||||||||||||||
Thereafter | 675 | 389 | 1,064 | ||||||||||||||||||
Non-cash derecognition of capital lease finance obligations at end of lease term | — | 1,725 | 1,725 | ||||||||||||||||||
$ | 1,440 | 2,316 | 3,756 |
Note_12_ShareBased_Compensatio
Note 12 - Share-Based Compensation | 12 Months Ended | ||||||||
Sep. 30, 2014 | |||||||||
Notes to Financial Statements | ' | ||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Text Block] | ' | ||||||||
1 | |||||||||
2 | |||||||||
. S | |||||||||
hare | |||||||||
-Based Compensation | |||||||||
The Company adopted an Omnibus Incentive Plan (the Plan) on July 17, 2012. Restricted stock unit awards granted pursuant to the Plan, if they vest, will be settled in shares of the Company’s common stock. At the adoption of the Plan, there were 1,090,151 shares of common stock available for issuance or delivery under the Plan, of which 752,403 remain available for grants as of September 30, 2014. The Plan provides for awards of options, stock appreciation rights, stock grants, restricted stock units, other share-based awards and cash-based incentive awards to officers, board members and certain employees who are not named executive officers and consultants. As of September 30, 2014, only restricted stock units had been granted under the Plan, at no out-of-pocket cost to officers, board members and key employees. Except as described below with respect to the Chief Financial Officer, these restricted stock units vest subject to requisite service requirements, immediately in part or annually in terms over a one-to-four year period. The award recipients are not entitled to cash dividends or to vote with regard to non-vested restricted stock units, and the units are subject to forfeiture during the vesting period. Restricted stock units are granted at the market price of the Company’s stock on the day of grant and are expensed on a straight-line basis over the vesting period. | |||||||||
The shares of non-vested restricted stock units as of September 30, 2014 were as follows: | |||||||||
Shares | Weighted average | ||||||||
grant date fair value | |||||||||
Non-vested as of September 30, 2012 | 90,909 | $ | 1.66 | ||||||
Granted | 68,911 | 32.87 | |||||||
Forfeited | (204 | ) | 34.07 | ||||||
Vested | (73,563 | ) | 7.25 | ||||||
Non-vested as of September 30, 2013 | 86,053 | 21.8 | |||||||
Granted | 3,558 | 42.16 | |||||||
Forfeited | (3,868 | ) | 34.07 | ||||||
Vested | (48,549 | ) | 12.38 | ||||||
Non-vested as of September 30, 2014 | 37,194 | 34.77 | |||||||
As of September 30, 2012, the Company had issued restricted stock unit awards to its Chief Financial Officer and a member of the Board of Directors (Board). The restricted stock grant to the Chief Financial Officer (CFO Award) was in accordance with the terms of her employment agreement that was signed in June 2008 which stated she was entitled to receive a grant of restricted stock units equal to 1.2% of the fully diluted shares of the Company in connection with an IPO. Two thirds of the CFO Award vested immediately upon completion of the IPO and was settled in a combination of common stock and cash. The remaining one third has vested in three equal parts over a six, 12 and 18 month period following the IPO, and were settled 100% in shares of common stock. The occurrence of the IPO was deemed a performance condition, and therefore no expense for fiscal year 2012 was recorded until the performance condition was deemed probable (i.e. the closing of the IPO). Upon completion of the IPO in the fourth quarter of fiscal year ended September 30, 2012, the Company recorded the entire expense associated with the two thirds of the CFO Award that vested immediately, the portion that was settled in common shares was equity classified and expensed at the grant date fair value and the portion that was settled in cash was liability classified and expensed at the market value on the date of the IPO. The remaining one third of the CFO Award was valued at the grant date fair value, once the performance condition was deemed probable (occurrence of the IPO) a portion of the expense relating to the vesting period that had already expired (June 2008 to July 25, 2012) was expensed, and the remaining amount was expensed ratably over the vesting period. Share-based compensation expense for the CFO Award was insignificant for each of the years ended September 30, 2014 and 2013, and was approximately $1.1 million for the year ended September 30, 2012. | |||||||||
Each independent member of the Company’s Board is granted a number of non-vested restricted stock units under the Plan equal to the number of shares of common stock having a value of $50,000 (based on the closing price of common stock on the New York Stock Exchange on the date of grant), which is granted each year on the date of the Company’s annual meeting of stockholders, or a pro rata portion in the case of a mid-year appointment. Share-based compensation expense for the Company’s awards to its Board was approximately $0.1 million, $0.1 million and insignificant for the years ended September 30, 2014, 2013 and 2012, respectively. | |||||||||
Share-based compensation expense for awards to certain employees who are not named executive officers was approximately $0.4 million, $0.5 million and $0 for the years ended September 30, 2014, 2013 and 2012, respectively. | |||||||||
The Company recorded total share-based compensation expense before income taxes of approximately $0.5 million, $0.6 million and $1.1 million in the years ended September 30, 2014, 2013 and 2012, respectively. The share-based compensation expense is included in cost of goods sold and occupancy expenses, store expenses or administrative expenses in the consolidated statements of income consistent with the manner in which the applicable officer, board member or key employee’s compensation expense is presented. | |||||||||
As of September 30, 2014, there was approximately $1.2 million of unrecognized share-based compensation expense related to non-vested restricted stock units, net of estimated forfeitures, which the Company anticipates will be recognized over a weighted average period of approximately three years. |
Note_13_Related_Party_Transact
Note 13 - Related Party Transactions | 12 Months Ended |
Sep. 30, 2014 | |
Notes to Financial Statements | ' |
Related Party Transactions Disclosure [Text Block] | ' |
1 | |
3 | |
. Related Party Transactions | |
The Company has ongoing relationships with related parties as noted: | |
Chalet | |
Properties, LLC | |
: | |
The Company has seven operating leases (see Note 11) with Chalet Properties, LLC (Chalet). Chalet is owned by four of the Company’s non-independent board members: Kemper Isely, Zephyr Isely, Heather Isely and Elizabeth Isely, and other related family members. Rent paid to Chalet was approximately $1.3 million, $1.3 million and $1.5 million for the years ended September 30, 2014, 2013 and 2012, respectively. | |
Isely Family Land Trust LLC: | |
The Company has one operating lease (see Note 11) with the Isely Family Land Trust LLC (Land Trust). The Land Trust is owned by the Isely Children’s Trust and by the Margaret A. Isely Family Trust. Rent paid to the Land Trust was approximately $0.3 million for each of the years ended September 30, 2014, 2013 and 2012. |
Note_14_Income_Taxes
Note 14 - Income Taxes | 12 Months Ended | ||||||||||||
Sep. 30, 2014 | |||||||||||||
Notes to Financial Statements | ' | ||||||||||||
Income Tax Disclosure [Text Block] | ' | ||||||||||||
1 | |||||||||||||
4 | |||||||||||||
. Income Taxes | |||||||||||||
The following are the components of the provision for income taxes as of September 30, 2014, 2013 and 2012, respectively, dollars in thousands: | |||||||||||||
Year ended | |||||||||||||
September 30, | |||||||||||||
201 | 201 | 201 | |||||||||||
4 | 3 | 2 | |||||||||||
Current federal income tax expense | $ | 8,304 | 3,376 | 1,102 | |||||||||
Current state income tax expense | 1,163 | 551 | 180 | ||||||||||
9,467 | 3,927 | 1,282 | |||||||||||
Deferred federal income tax (benefit) expense | (1,112 | ) | 2,156 | 2,339 | |||||||||
Deferred state income tax (benefit) expense | (74 | ) | 296 | 334 | |||||||||
(1,186 | ) | 2,452 | 2,673 | ||||||||||
Total provision for income taxes | $ | 8,281 | 6,379 | 3,955 | |||||||||
The differences between the United States federal statutory income tax rate and the Company’s effective tax rate are as follows: | |||||||||||||
Year ended | |||||||||||||
September 30, | |||||||||||||
2014 | 201 | 201 | |||||||||||
3 | 2 | ||||||||||||
Statutory tax rate | 35 | % | 34 | 34 | |||||||||
Nontaxable income attributable to noncontrolling interest | — | — | (2.7 | ) | |||||||||
State income taxes, net of federal income tax expense | 3 | 3.3 | 3 | ||||||||||
Other, net | 0.1 | 0.4 | 0.3 | ||||||||||
Effective tax rate | 38.1 | % | 37.7 | 34.6 | |||||||||
Deferred taxes have been classified on the consolidated balance sheets as follows, dollars in thousands: | |||||||||||||
As of September 30, | |||||||||||||
201 | 201 | ||||||||||||
4 | 3 | ||||||||||||
Current assets | $ | 832 | 1,114 | ||||||||||
Long-term liabilities | (5,409 | ) | (6,877 | ) | |||||||||
Net deferred tax liabilities | $ | (4,577 | ) | (5,763 | ) | ||||||||
The tax effects of temporary differences that give rise to significant portions of deferred tax assets and deferred tax liabilities are as follows, dollars in thousands: | |||||||||||||
As of September 30, | |||||||||||||
201 | 201 | ||||||||||||
4 | 3 | ||||||||||||
Deferred tax assets | |||||||||||||
Capital and financing lease obligations | $ | 8,330 | 7,553 | ||||||||||
Goodwill and BVC related intangibles | 2,937 | 3,209 | |||||||||||
Leasehold incentives | 2,746 | 2,179 | |||||||||||
Deferred rent | 2,214 | 1,803 | |||||||||||
Trademarks | 1,018 | 1,024 | |||||||||||
Accrued employee benefits | 590 | 728 | |||||||||||
Other | 248 | 386 | |||||||||||
Intangible assets - other | 74 | 80 | |||||||||||
Gross deferred tax assets | 18,157 | 16,962 | |||||||||||
Deferred tax liabilities | |||||||||||||
Property and equipment | (19,930 | ) | (20,497 | ) | |||||||||
Leasehold improvements | (2,804 | ) | (2,228 | ) | |||||||||
Gross deferred tax liabilities | (22,734 | ) | (22,725 | ) | |||||||||
Net deferred tax liabilities | $ | (4,577 | ) | (5,763 | ) | ||||||||
Prior to the purchase of the noncontrolling interest in BVC in connection with the IPO (see Note 2), BVC was treated as a partnership under the Internal Revenue Code and similar state statutes; therefore, no provision or liability for federal or state income taxes related to the noncontrolling interest in BVC was included in the consolidated financial statements for the years ended September 30, 2012 and prior. The deferred tax amounts for the Company’s book versus tax basis in its 55% interest of BVC was reflected in the consolidated tax provision as outside basis in BVC for the year ended September 30, 2012, prior to acquisition. Following the purchase of the noncontrolling interest in BVC, income from BVC is treated as taxable income to the Company and included in the provision for federal and state income taxes. As a result of the acquisition of the remaining noncontrolling interest, the Company is entitled to tax deductions to the extent of any step up in tax basis on the assets of BVC, limited to the cash consideration paid. Additionally, for tax purposes, in the year ended September 30, 2012, the Company recorded the noncontrolling interest purchase by stepping up acquired fixed asset balances by approximately $0.8 million to reflect fair market value and recorded additional intangibles of approximately $9.2 million. Accordingly, the tax basis in excess of book basis at the date of purchase resulted in deferred tax assets of approximately $3.6 million. | |||||||||||||
The Company believes that it is more likely than not that it will fully realize all deferred tax assets in the form of future deductions based on the nature of the deductible temporary differences and expected future taxable income. | |||||||||||||
The Company had approximately $0.1 million as of September 30, 2014 and 2013, respectively, in tax effected operating loss carryforwards related to state income taxes. The Company utilized less than $0.1 million in tax effected state income tax carryforwards in the year ended September 30, 2013, and will utilize less than $0.1 million in tax effected state income tax carryforwards in the year ended September 30, 2014. | |||||||||||||
The Company files income tax returns with federal, state and local tax authorities. With limited exceptions, the Company is no longer subject to federal income tax examinations for fiscal years 2011 and prior and is no longer subject to state and local income tax examinations for fiscal years 2009 and prior. | |||||||||||||
The American Taxpayer Relief Act of 2012 was enacted in January | |||||||||||||
2013. The impact of the new law has been recognized in the period of enactment. The primary impact affecting the Company is the extension of the 50% bonus depreciation on qualifying assets and the special 15 year depreciation life for qualified leasehold property and qualified retail improvement property for property acquired from January | |||||||||||||
1, 2013 through December 31, 2013. The Company also benefited from the American Taxpayer Relief Act of 2012 and by the extension of the Work Opportunity Tax Credit through December | |||||||||||||
31, 2013. |
Note_15_Defined_Contribution_P
Note 15 - Defined Contribution Plan | 12 Months Ended |
Sep. 30, 2014 | |
Notes to Financial Statements | ' |
Pension and Other Postretirement Benefits Disclosure [Text Block] | ' |
1 | |
5 | |
. Defined Contribution Plan | |
The Company has a defined contribution retirement plan (the Retirement Plan) covering substantially all employees who meet certain eligibility requirements as to age and length of service. The Retirement Plan incorporates the salary deferral provisions of Section 401(k) of the Internal Revenue Code. Employees may defer up to the annual maximum limit prescribed by the Internal Revenue Code. The Company, on a discretionary basis, may match 25% of participant contributions up to a maximum annual employer match of $2,500. The Company’s matching contribution included in administrative expenses was approximately $0.1 million, $0.4 million and $0.3 million for the years ended September 30, 2014, 2013 and 2012, respectively. |
Note_16_Segment_Reporting
Note 16 - Segment Reporting | 12 Months Ended | ||||||||||||
Sep. 30, 2014 | |||||||||||||
Notes to Financial Statements | ' | ||||||||||||
Segment Reporting Disclosure [Text Block] | ' | ||||||||||||
1 | |||||||||||||
6 | |||||||||||||
. Segment Reporting | |||||||||||||
The Company has one reporting segment, natural and organic retail stores. The Company’s revenues are derived from the sale of natural and organic products at its stores. All existing operations are domestic. | |||||||||||||
Sales from the Company’s natural and organic retail stores are derived from sales of the following products which are presented as a percentage of sales for the years ended September 30, 2014, 2013 and 2012 as follows: | |||||||||||||
As of September 30, | |||||||||||||
201 | 201 | 201 | |||||||||||
4 | 3 | 2 | |||||||||||
Grocery | 66.7 | % | 65.2 | 62.7 | |||||||||
Dietary supplements | 23.2 | 24.8 | 27 | ||||||||||
Body care, pet care and other | 10.1 | 10 | 10.3 | ||||||||||
100 | % | 100 | 100 |
Note_17_Selected_Quarterly_Fin
Note 17 - Selected Quarterly Financial Data (Unaudited) | 12 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Notes to Financial Statements | ' | ||||||||||||||||
Quarterly Financial Information [Text Block] | ' | ||||||||||||||||
17 | |||||||||||||||||
. Selected Quarterly Financial Data (Unaudited) | |||||||||||||||||
The summarized quarterly financial data presented below reflect all adjustments, which in the opinion of management, are of a normal and recurring nature necessary to present fairly the results of operations for the periods presented. | |||||||||||||||||
Summarized unaudited quarterly financial data for each fiscal year is as follows, dollars in thousands, except per share data: | |||||||||||||||||
Fiscal Year Ended September 30, 2014 | Three months ended | ||||||||||||||||
December 31, | March 31, | June 30, | September | ||||||||||||||
2013 | 2014 | 30, | |||||||||||||||
2014 | 2014 | ||||||||||||||||
Net sales | $ | 120,580 | 130,343 | 134,036 | 135,715 | ||||||||||||
Cost of goods sold and occupancy costs | 85,199 | 91,590 | 95,424 | 96,959 | |||||||||||||
Gross profit | 35,381 | 38,753 | 38,612 | 38,756 | |||||||||||||
Store expenses | 25,173 | 26,877 | 28,213 | 28,394 | |||||||||||||
Administrative expenses | 3,889 | 3,548 | 3,585 | 3,801 | |||||||||||||
Pre-opening and relocation expenses | 889 | 1,211 | 729 | 945 | |||||||||||||
Operating income | 5,430 | 7,117 | 6,085 | 5,616 | |||||||||||||
Other income (expense): | |||||||||||||||||
Dividends and interest income | 1 | 1 | — | — | |||||||||||||
Interest expense | (707 | ) | (704 | ) | (706 | ) | (379 | ) | |||||||||
Total other expense | (706 | ) | (703 | ) | (706 | ) | (379 | ) | |||||||||
Income before income taxes | 4,724 | 6,414 | 5,379 | 5,237 | |||||||||||||
Provision for income taxes | (1,802 | ) | (2,415 | ) | (2,015 | ) | (2,049 | ) | |||||||||
Net income | $ | 2,922 | 3,999 | 3,364 | 3,188 | ||||||||||||
Basic earnings per share | $ | 0.13 | 0.18 | 0.15 | 0.14 | ||||||||||||
Diluted earnings per share | 0.13 | 0.18 | 0.15 | 0.14 | |||||||||||||
Fiscal Year Ended September 30, 2013 | Three months ended | ||||||||||||||||
December 31, | March 31, | June 30, | September 30, | ||||||||||||||
2012 | 2013 | 2013 | |||||||||||||||
2013 | |||||||||||||||||
Net sales | $ | 95,831 | 106,485 | 113,164 | 115,175 | ||||||||||||
Cost of goods sold and occupancy costs | 67,994 | 74,668 | 80,571 | 81,689 | |||||||||||||
Gross profit | 27,837 | 31,817 | 32,593 | 33,486 | |||||||||||||
Store expenses | 20,203 | 22,163 | 23,181 | 24,388 | |||||||||||||
Administrative expenses | 3,326 | 3,342 | 3,242 | 3,569 | |||||||||||||
Pre-opening and relocation expenses | 519 | 796 | 961 | 955 | |||||||||||||
Operating income | 3,789 | 5,516 | 5,209 | 4,574 | |||||||||||||
Other income (expense): | |||||||||||||||||
Dividends and interest income | 2 | 2 | 3 | 2 | |||||||||||||
Interest expense | (255 | ) | (401 | ) | (610 | ) | (900 | ) | |||||||||
Total other expense | (253 | ) | (399 | ) | (607 | ) | (898 | ) | |||||||||
Income before income taxes | 3,536 | 5,117 | 4,602 | 3,676 | |||||||||||||
Provision for income taxes | (1,315 | ) | (1,900 | ) | (1,716 | ) | (1,448 | ) | |||||||||
Net income | $ | 2,221 | 3,217 | 2,886 | 2,228 | ||||||||||||
Basic earnings per share | $ | 0.1 | 0.14 | 0.13 | 0.1 | ||||||||||||
Diluted earnings per share | 0.1 | 0.14 | 0.13 | 0.1 |
Note_18_Commitments_and_Contin
Note 18 - Commitments and Contingencies | 12 Months Ended |
Sep. 30, 2014 | |
Notes to Financial Statements | ' |
Commitments and Contingencies Disclosure [Text Block] | ' |
18 | |
. Commitments and Contingencies | |
Self-Insurance | |
The Company is self-insured for claims under its health benefit plans, subject to a stop loss policy. The self-insurance liability related to claims under the Company’s health benefit plans is determined based on analysis of actual claims. The amounts related to these claims are included as a component of payroll and employee related expenses in accrued expenses. Liabilities associated with the risks that are retained by the Company are estimated, in part, by considering historical claims experience, demographic factors and other actuarial assumptions. While the Company believes that its assumptions are appropriate, the estimated accrual for these liabilities could be significantly affected if future occurrences and claims differ from these assumptions and historical trends. | |
Legal | |
The Company is periodically involved in various legal proceedings that are incidental to the conduct of its business, including but not limited to employment discrimination claims, customer injury claims and investigations. When the potential liability from a matter can be estimated and the loss is considered probable, the Company records the estimated loss. Due to uncertainties related to the resolution of lawsuits, investigations and claims, the ultimate outcome may differ from the estimates. Although the Company cannot predict with certainty the ultimate resolution of any lawsuits, investigations and claims asserted against it, management does not believe any currently pending legal proceeding to which the Company is a party will have a material adverse effect on its business, prospects, financial condition, cash flows or results of operations. |
Note_19_Subsequent_Events
Note 19 - Subsequent Events | 12 Months Ended |
Sep. 30, 2014 | |
Notes to Financial Statements | ' |
Subsequent Events [Text Block] | ' |
19 | |
. Subsequent Events | |
On November 7, 2014, the Company entered into an agreement to purchase substantially all of the assets and to assume certain liabilities of a natural food retailer located in Independence, Missouri. The purchase price for the transaction, prior to final adjustments, is approximately $6.2 million. The initial allocation of the purchase price is pending completion of various analyses and finalization of estimates. On December 7, 2014, the Company completed the acquisition, entered into an operating lease for the store location and began operations of the store under the Natural Grocers by Vitamin Cottage name. |
Significant_Accounting_Policie
Significant Accounting Policies (Policies) | 12 Months Ended | |||||
Sep. 30, 2014 | ||||||
Accounting Policies [Abstract] | ' | |||||
Consolidation, Policy [Policy Text Block] | ' | |||||
Principles of Consolidation | ||||||
The holding company was incorporated in Delaware on April 9, 2012. The accompanying consolidated financial statements include all the accounts of the holding company’s wholly owned subsidiaries, Vitamin Cottage Natural Food Markets, Inc. (the operating company), Vitamin Cottage Two Ltd. Liability Company (VC2), Natural Systems, LLC and Boulder Vitamin Cottage Group, LLC (BVC). The operating company formed the holding company in order to facilitate the purchase of the remaining noncontrolling interest in BVC and consummation of the Company’s initial public offering (IPO) during fiscal year 2012. Prior to the Company’s IPO on July 25, 2012, the Company had a majority 55% ownership of BVC. Prior to the settlement of the IPO, the Company issued 670,056 shares of stock in the holding company and paid approximately $10.1 million in cash to purchase the remaining 45% noncontrolling interest in BVC. Prior to the merger, BVC owned five | ||||||
Natural Grocers by Vitamin Cottage | ||||||
retail stores, which were managed by the operating company. Effective October 31, 2012, BVC merged with and into the operating company and ceased to exist. All significant intercompany balances and transactions have been eliminated in consolidation. | ||||||
Initial Public Offering [Policy Text Block] | ' | |||||
Initial Public Offering | ||||||
The holding company was incorporated in anticipation of the Company’s IPO. Prior to the IPO, the holding company was a wholly owned subsidiary of the operating company. In connection with the Company’s IPO during the fourth quarter of fiscal year 2012, the Company completed a reorganization in which a) the existing shareholders of the operating company exchanged capital stock of the operating company for shares of common stock of the holding company and b) the operating company purchased the remaining 45% noncontrolling interest in BVC for a combination of cash and common stock of the holding company, as described above. The holding company’s only material asset is its direct 100% ownership in the operating company. On July 25, 2012, the Company issued 4,167,367 shares to the public in the IPO. Simultaneously with the IPO, certain selling shareholders sold 4,046,918 shares to the public, resulting in no additional proceeds to the Company. The total number of shares issued in the IPO was 8,214,285. | ||||||
Based on the public offering price of $15.00, the Company received gross proceeds from the issuance of 4,167,367 shares issued to the public in the IPO of approximately $62.5 million, and paid underwriting costs of 7%, or approximately $4.4 million, for net proceeds of approximately $58.1 million. The Company also incurred issuance costs of approximately $2.7 million. | ||||||
The Company accounted for the acquisition of the BVC noncontrolling interest, as described above, as an equity transaction. Since the transaction was treated as an equity transaction, the transaction costs were also reflected as a reduction of equity and a financing activity in the statement of cash flows for the year ended September 30, 2012. The Company recorded the issuance of the 670,056 shares in common stock at par value, reduced cash and cash equivalents by approximately $10.1 million, eliminated approximately $1.5 million in noncontrolling interest on the balance sheet as of September 30, 2012, and recorded the remaining amount as additional paid in capital. As a result of the acquisition of the remaining noncontrolling interest, the Company was entitled to tax deductions to the extent of any step up in tax basis on the assets of BVC, limited to the cash consideration paid. Accordingly, the tax basis in excess of book basis at the date of purchase resulted in deferred tax assets of approximately $3.6 million as of September 30, 2012. | ||||||
As of September 30, 2012, the Company used approximately $39.2 million of the net proceeds from the IPO to pay down all outstanding amounts under its then-existing credit facility of approximately $26.4 million, pay the cash portion of the BVC purchase of approximately $10.1 million, pay expenses associated with the IPO of approximately $2.4 million, and pay the cash portion of restricted stock awards of approximately $0.3 million. For the year ended September 30, 2013, the Company used approximately $0.3 million of the proceeds to pay the remaining issuance costs associated with the IPO, and the remaining proceeds from the IPO of approximately $18.6 million were used to fund working capital and for general corporate purposes. | ||||||
Use of Estimates, Policy [Policy Text Block] | ' | |||||
Use of Estimates | ||||||
The preparation of financial statements in conformity with generally accepted accounting principles in the United States of America (GAAP) requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Management reviews its estimates on an ongoing basis, including those related to allowances for self-insurance reserves, valuation of inventories, useful lives of property and equipment for depreciation and amortization, valuation allowances for deferred tax assets and liabilities and litigation based on currently available information. Changes in facts and circumstances may result in revised estimates and actual results could differ from those estimates. | ||||||
Segment Reporting, Policy [Policy Text Block] | ' | |||||
Segment Information | ||||||
The Company has one reporting segment, natural and organic retail stores. | ||||||
Cash and Cash Equivalents, Unrestricted Cash and Cash Equivalents, Policy [Policy Text Block] | ' | |||||
Cash and Cash Equivalents | ||||||
Cash and cash equivalents include currency on hand, demand deposits with banks, money market funds and credit and debit card transactions which typically settle within three business days. The Company considers all highly liquid investments with a remaining maturity of 90 days or less when acquired to be cash equivalents. | ||||||
Cash and Cash Equivalents, Restricted Cash and Cash Equivalents, Policy [Policy Text Block] | ' | |||||
Restricted | ||||||
Cash | ||||||
As of September 30, 2013, the Company held restricted cash of approximately $0.5 million which represented cash that was pledged as collateral for a standby letter of credit related to the Company’s workers’ compensation insurance. As of September 30, 2014, the Company had released the restricted cash balance which existed as of September 30, 2013, and has no restricted cash balance outstanding. | ||||||
Investment, Policy [Policy Text Block] | ' | |||||
Investments | ||||||
Available-for-sale investments are recorded at fair value. Unrealized holding gains and losses on available-for-sale investments are excluded from earnings and are reported as a component of other comprehensive income until realized. A decline in the fair value of any available-for-sale security below cost that is deemed to be other-than-temporary for a period greater than two fiscal quarters results in a reduction of the fair value. Declines in fair value deemed to be other-than-temporary are charged against net earnings. Investments that have an original maturity date of less than one year are classified as short-term assets, and investments that have an original maturity date greater than one year are classified as long-term assets. | ||||||
Trade and Other Accounts Receivable, Policy [Policy Text Block] | ' | |||||
Accounts Receivable | ||||||
Accounts receivable consists primarily of receivables from vendors for certain promotional programs, newsletter advertising and other miscellaneous receivables and are presented net of any allowances for doubtful accounts. Vendor receivable balances are generally presented on a gross basis separate from any related payable due. Allowance for doubtful accounts is calculated based on historical experience and application of the specific identification method and totaled less than $0.1 million at September 30, 2014. There was no allowance for doubtful accounts as of September 30, 2013. | ||||||
Concentration Risk, Credit Risk, Policy [Policy Text Block] | ' | |||||
Concentration of Credit Risk | ||||||
Financial instruments that potentially subject the Company to a concentration of credit risk consist primarily of investments in cash and cash equivalents and accounts receivable. The Company’s cash and cash equivalent account balances, which are held in major financial institutions, exceeded the Federal Deposit Insurance Corporation’s federally insured limits by approximately $2.5 million as of September 30, 2014. | ||||||
Vendor Concentration [Policy Text Block] | ' | |||||
Vendor Concentration | ||||||
For the years ended September 30, 2014, 2013 and 2012, purchases from the Company’s largest vendor and one of its subsidiaries represented approximately 56%, 55% and 53% of all product purchases made during the respective periods. However, the Company believes that, if necessary, alternate vendors could supply similar products in adequate quantities to avoid material disruption to operations. | ||||||
Inventory, Policy [Policy Text Block] | ' | |||||
Merchandise Inventory | ||||||
Merchandise inventory consists of goods held for sale. The cost of inventory includes certain costs associated with the preparation of inventory for sale, including inventory overhead costs. Merchandise inventory is carried at the lower of cost or market. Cost is determined using the weighted average cost method. | ||||||
Property, Plant and Equipment, Policy [Policy Text Block] | ' | |||||
Property and Equipment | ||||||
Property and equipment is stated at historical cost less accumulated depreciation. Depreciation is provided using the straight-line method over the following estimated useful lives of the related assets. | ||||||
Useful lives | ||||||
(in | ||||||
years) | ||||||
Land improvements | 5 | – | 15 | |||
Buildings | 40 | |||||
Leasehold and building improvements | 1 | – | 25 | |||
Capitalized real estate leases for build-to-suit stores | 40 | |||||
Capitalized real estate leases | 15 | |||||
Fixtures and equipment | 5 | – | 7 | |||
Computer hardware and software | 3 | – | 5 | |||
For land improvements and leasehold and building improvements, depreciation is recorded over the shorter of the assets’ useful lives or the lease terms. Maintenance, repairs and renewals that neither add to the value of the property nor appreciably prolong its life are charged to expense as incurred. Gains and losses on disposition of property and equipment are included in store expenses in the year of disposition, and primarily relate to store relocations. | ||||||
The Company capitalizes interest, if applicable, as part of the historical costs of buildings and leasehold and building improvements. The Company capitalizes certain costs incurred with developing or obtaining internal-use software. Capitalized software costs are included in property and equipment in the consolidated balance sheets and are amortized over the estimated useful lives of the software. Software costs that do not meet capitalization criteria are expensed as incurred. | ||||||
Fair Value of Financial Instruments, Policy [Policy Text Block] | ' | |||||
Fair Value of Financial Instruments | ||||||
The Company records its financial assets and liabilities at fair value in accordance with the framework for measuring fair value in authoritative guidance. The framework establishes a fair value hierarchy that distinguishes between assumptions based on market data (observable inputs) and the Company’s own assumptions (unobservable inputs). The three levels are defined as follows: | ||||||
Level 1— | Inputs are unadjusted quoted prices for identical assets or liabilities in active markets; | |||||
Level 2— | Inputs include quoted prices for similar assets or liabilities in active markets, and inputs that are observable for the asset or liability, either directly or indirectly, for substantially the full term of the financial instrument; and | |||||
Level 3— | Inputs are unobservable and are considered significant to the fair value measurement. | |||||
Transfers between levels of the fair value hierarchy are deemed to have occurred as of the date of the event or transfer. | ||||||
Goodwill and Intangible Assets, Policy [Policy Text Block] | ' | |||||
Goodwill and Intangible Assets | ||||||
Intangible assets primarily consist of goodwill, trademarks, favorable operating leases and covenants-not-to-compete. Goodwill and the | ||||||
Vitamin Cottage® | ||||||
trademark have indefinite lives and are not amortized; rather, they are tested for impairment at least annually. Intangible assets with definite lives are amortized over their estimated useful lives. The Company evaluates the reasonableness of the useful lives of these intangibles at least annually. | ||||||
The Company’s annual impairment testing of goodwill is performed as of September 30. In performing the Company’s analysis of goodwill, the Company first evaluates qualitative factors, including relevant events and circumstances, to determine whether it is more likely than not that the fair value of a reporting unit is less than its carrying amount. If it is not more likely than not that the fair value of a reporting unit is less than its carrying amount, the two-step impairment test is not necessary. If it is determined that it is more likely than not that the fair value of a reporting unit is less than its carrying amount, then the Company performs the two-step impairment test. Under the first step, the fair value of the reporting unit is compared with its carrying value (including goodwill). If the fair value of the reporting unit is less than its carrying value, an indication of goodwill impairment exists for the reporting unit and the Company must perform step two of the impairment test (measurement). Under step two, an impairment loss is recognized for any excess of the carrying amount of the reporting unit’s goodwill over the implied fair value of that goodwill. Thus far, the Company has recorded no impairment charges related to goodwill. | ||||||
Impairment or Disposal of Long-Lived Assets, Including Intangible Assets, Policy [Policy Text Block] | ' | |||||
Impairment of | ||||||
Finite-Lived | ||||||
Intangible and Long-Lived Assets | ||||||
Long-lived assets, such as property and equipment and purchased intangible assets subject to amortization, are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. The Company aggregates long-lived assets at the store level, which the Company considers to be the lowest level in the organization for which independent identifiable cash flows are available. If circumstances require a long-lived asset or asset group to be tested for possible impairment, the Company first compares undiscounted cash flows expected to be generated by that store to its carrying value. If the carrying value of the long-lived asset or asset group is not recoverable on an undiscounted cash flow basis, impairment is recognized to the extent that the carrying value exceeds its fair value. The Company considers factors such as historic and forecasted operating results, trends and future prospects, current market value, significant industry trends and other economic and regulatory factors in performing these analyses. Thus far, the Company has recorded no impairment charges related to finite-lived intangible or long-lived assets. | ||||||
Deferred Charges, Policy [Policy Text Block] | ' | |||||
Deferred Financing Costs | ||||||
Certain costs incurred with borrowings or establishment of credit facilities are deferred. These costs are amortized over the life of the borrowing or the life of the credit facility using the straight-line methods. | ||||||
Lease, Policy [Policy Text Block] | ' | |||||
Leases | ||||||
The Company leases retail stores, a bulk food repackaging facility and distribution center and administrative offices under long-term operating or capital and financing leases. These leases include scheduled increases in minimum rents and renewal provisions at the option of the Company. The lease term for accounting purposes commences with the date the Company takes possession of the space and ends on the later of the primary lease term or the expiration of any renewal periods that are deemed to be reasonably assured at the inception of the lease. | ||||||
Operating leases | ||||||
The Company accounts for operating leases with rent holidays and escalating payment terms by recognizing the associated expense on a straight-line basis over the lease term, and the difference between the average rental amount charged to expense and amounts payable under the leases are included in deferred rent. For certain leases, the Company has also received cash from landlords to compensate for costs incurred by the Company in making the store locations ready for operation (leasehold incentives or tenant allowances). Leasehold incentives received from a landlord are deferred and recognized on a straight-line basis as a reduction to rent expense over the lease term. | ||||||
Capital financing leases | ||||||
From time to time, the Company enters into leases with developers for build-to-suit store locations. Upon lease execution, the Company analyzes its involvement during the construction period. | ||||||
As a result of defined forms of lessee involvement, the Company could be deemed the “owner” for accounting purposes during the construction period, and may be required to capitalize the project costs on its balance sheet. If the project costs are capitalized, the Company performs a sale-leaseback analysis upon completion of the construction | ||||||
to determine if the Company can remove the assets from its balance sheet. If the asset cannot be removed from the balance sheet, the fair market value of the building remains recognized as an asset on the balance sheet, along with a corresponding capital lease financing obligation equal to the fair market value of the building less any amount the Company contributed towards construction. The Company does not record rent expense for the rental payments under capital financing leases, but rather payments under the capital financing lease obligations are recognized as a reduction of the capital lease financing obligation and as interest expense. The capital financing lease asset is depreciated on a straight-line basis over the estimated useful life of the asset. | ||||||
Capital leases | ||||||
Occasionally, the Company enters into leases that are deemed to be capital leases. For these leases, the Company capitalizes the lower of the present value of the minimum lease payments or the fair value of the leased asset at inception and records a corresponding capital lease obligation. The Company does not record rent expense for the rental payments under capital leases, but rather payments under the capital lease obligations are recognized as a reduction of the capital lease obligation and as interest expense. The capital lease asset is depreciated on a straight-line basis over the term of the related lease. | ||||||
Self Insurance Reserve [Policy Text Block] | ' | |||||
Self-Insurance | ||||||
The Company is self-insured for certain losses relating to employee medical and dental benefits and workers compensation. Stop-loss coverage has been purchased to limit exposure to any significant level of claims. Self-insured losses are accrued based upon the Company’s estimates of the aggregate claims incurred but not reported using historical experience. The estimated accruals for these liabilities could be significantly affected if future occurrences and claims differ from historical trends. | ||||||
Revenue Recognition, Policy [Policy Text Block] | ' | |||||
Revenue Recognition | ||||||
Revenue is recognized at the point of sale, net of in-house coupons, discounts and returns. Sales taxes are not included in sales. The Company charges sales tax on all taxable customer purchases and remits these taxes monthly to the appropriate taxing jurisdiction. The Company records a deferred revenue liability within accrued expenses when it sells the Company’s gift cards or issues gift cards for award or promotional purposes, and records a sale when a customer redeems the gift card. Generally, the gift cards do not expire. The Company currently does not record breakage for unused portions of gift cards. | ||||||
Cost of Goods Sold and Occupancy Costs [Policy Text Block] | ' | |||||
Cost of Goods Sold and Occupancy Costs | ||||||
Cost of goods sold and occupancy costs includes the cost of inventory sold during the period net of discounts and allowances, as well as, distribution, shipping and handling costs, store occupancy costs and costs of the bulk food repackaging facility and distribution center. The amount shown is net of various rebates from third-party vendors in the form of quantity discounts and payments. Vendor consideration associated with product discounts is recorded as either a reduction of merchandise inventory or cost of goods sold. Store occupancy costs include rent, common area maintenance and real estate taxes. Store occupancy costs do not include any rent amounts for the store leases classified as capital and financing lease obligations. | ||||||
Store Expenses [Policy Text Block] | ' | |||||
Store Expenses | ||||||
Store expenses consist of store-level expenses such as salaries, benefits and share-based compensation, supplies, utilities, depreciation, gain or loss on disposal of assets and other related costs associated with operations support. Store expenses also include purchasing support services and advertising and marketing costs. | ||||||
Selling, General and Administrative Expenses, Policy [Policy Text Block] | ' | |||||
Administrative Expenses | ||||||
Administrative expenses consist of salaries, benefits and share-based compensation, occupancy costs, depreciation, office supplies, hardware and software expenses, professional services expenses and other general and administrative expenses. | ||||||
Pre-Opening Costs and Relocation Expenses [Policy Text Block] | ' | |||||
Pre-Opening and Relocation Expenses | ||||||
Costs associated with the opening of new stores or relocating existing stores are expensed as incurred. | ||||||
Advertising Cost, Policy, Expensed Advertising Cost [Policy Text Block] | ' | |||||
Advertising and Marketing | ||||||
Advertising and marketing costs are expensed as incurred and are included in store expenses and pre-opening and relocation expenses in the consolidated statements of income. Total advertising and marketing expenses for the years ended September 30, 2014, 2013 and 2012 were approximately $7.8 million, $6.2 million and $5.1 million, respectively, net of vendor reimbursements received for newsletter advertising. Advertising expense reimbursements received from vendors totaled approximately $1.9 million, $1.5 million and $1.3 million for the years ended September 30, 2014, 2013 and 2012, respectively. | ||||||
Share-based Compensation, Option and Incentive Plans Policy [Policy Text Block] | ' | |||||
S | ||||||
hare | ||||||
- | ||||||
B | ||||||
ased | ||||||
C | ||||||
ompensation | ||||||
The Company adopted an Omnibus Incentive Plan in connection with the IPO on July 25, 2012. Restricted common stock units are granted at the market price of the stock on the day of grant and expensed over the applicable vesting period. | ||||||
The excess tax benefits for recognized compensation costs are reported as a credit to additional-paid-in capital and as operating cash outflows when such excess tax benefits are realized by a reduction to current taxes payable. | ||||||
Income Tax, Policy [Policy Text Block] | ' | |||||
Income Taxes | ||||||
The Company accounts for income taxes using the asset and liability method. This method requires recognition of deferred tax assets and liabilities for expected future tax consequences of temporary differences that currently exist between the tax basis and financial reporting basis of the Company’s assets and liabilities. Deferred tax assets and liabilities are measured using enacted tax rates in the respective jurisdictions in which the Company operates. | ||||||
The Company considers the need to establish valuation allowances to reduce deferred income tax assets to the amounts the Company believes are more likely than not to be recovered. | ||||||
The Company recognizes the effect of income tax positions only if those positions are more likely than not of being sustained. Recognized income tax positions are measured at the largest amount that is greater than 50% likely of being realized. Changes in recognition or measurement are reflected in the period in which the change in judgment occurs. Although the Company believes that its estimates are reasonable, actual results could differ from these estimates. In addition, the Company is subject to periodic audits and examinations by the Internal Revenue Service (IRS) and other state and local taxing authorities. | ||||||
Any interest or penalties incurred related to income taxes are expensed as incurred and treated as permanent differences for tax purposes. | ||||||
Consolidation, Subsidiaries or Other Investments, Consolidated Entities, Policy [Policy Text Block] | ' | |||||
Noncontrolling Interest in Consolidated Financial Statements | ||||||
Prior to the Company’s IPO on July 25, 2012, the Company had a majority 55% ownership of BVC, which owned five | ||||||
Natural Grocers by Vitamin Cottage | ||||||
retail stores managed by the operating company. Immediately prior to the IPO, the Company issued common stock and paid cash to purchase the remaining 45% noncontrolling interest in BVC. Noncontrolling interest in the Company’s consolidated financial statements relates to the noncontrolling 45% ownership in BVC prior to the purchase. Net income attributable to noncontrolling interest and net income attributable to the Company are reported separately in the consolidated statements of income and statements of comprehensive income. | ||||||
New Accounting Pronouncements, Policy [Policy Text Block] | ' | |||||
Recent Accounting Pronouncements | ||||||
In | ||||||
May 2014, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) 2014-09, “Revenue from Contracts with Customers.” ASU No 2014-09 provides guidance for revenue recognition. The standard’s core principle is that a company will recognize revenue when it transfers promised goods or services to customers in an amount that reflects the consideration to which the company expects to be entitled for the transfer of those goods or services. This guidance will be effective for the Company beginning on October 1, 2017 and early application is not permitted. The Company is currently in the process of evaluating the impact of adoption of this ASU on the Company’s consolidated financial statements and related disclosures. | ||||||
In August 2014, the FASB issued ASU 2014-15, “Presentation of Financial Statements – Going Concern (Subtopic 205-40): Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern.” ASU 2014-15 defines management’s responsibility to perform interim and annual assessments on whether there are conditions or events that raise substantial doubt about the entity’s ability to continue as a going concern within one year of the date the financial statements are issued and to provide related footnote disclosures, if required. The guidance will be effective for the Company beginning with its fiscal year ended September 30, 2017, and early application is permitted. The Company does not expect the adoption of this standard to have a material effect on its consolidated financial statements or disclosures. |
Note_2_Basis_of_Presentation_a1
Note 2 - Basis of Presentation and Summary of Significant Accounting Policies (Tables) | 12 Months Ended | |||||
Sep. 30, 2014 | ||||||
Notes Tables | ' | |||||
Property, Plant and Equipment [Table Text Block] | ' | |||||
Useful lives | ||||||
(in | ||||||
years) | ||||||
Land improvements | 5 | – | 15 | |||
Buildings | 40 | |||||
Leasehold and building improvements | 1 | – | 25 | |||
Capitalized real estate leases for build-to-suit stores | 40 | |||||
Capitalized real estate leases | 15 | |||||
Fixtures and equipment | 5 | – | 7 | |||
Computer hardware and software | 3 | – | 5 |
Note_3_Earnings_Per_Share_Tabl
Note 3 - Earnings Per Share (Tables) | 12 Months Ended | ||||||||||||
Sep. 30, 2014 | |||||||||||||
Notes Tables | ' | ||||||||||||
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block] | ' | ||||||||||||
Year ended September 30, | |||||||||||||
201 | 201 | 201 | |||||||||||
4 | 3 | 2 | |||||||||||
Net income attributable to Natural Grocers by Vitamin Cottage, Inc. | $ | 13,473 | 10,552 | 6,649 | |||||||||
Weighted average common shares outstanding | 22,466,432 | 22,399,346 | 22,372,184 | ||||||||||
Effect of dilutive securities | 13,403 | 42,036 | 90,909 | ||||||||||
Weighted average common shares outstanding including effect of dilutive securities | 22,479,835 | 22,441,382 | 22,463,093 | ||||||||||
Basic earnings per share | $ | 0.6 | 0.47 | 0.3 | |||||||||
Diluted earnings per share | $ | 0.6 | 0.47 | 0.3 |
Note_5_Fair_Value_Measurements1
Note 5 - Fair Value Measurements (Tables) | 12 Months Ended | ||||||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||||||
Notes Tables | ' | ||||||||||||||||||||
Fair Value, by Balance Sheet Grouping [Table Text Block] | ' | ||||||||||||||||||||
As of September 30, | |||||||||||||||||||||
201 | 201 | ||||||||||||||||||||
4 | 3 | ||||||||||||||||||||
Input | Carrying | Fair Value | Carrying | Fair Value | |||||||||||||||||
Level | Amount | Amount | |||||||||||||||||||
Cash equivalents: | |||||||||||||||||||||
Money market fund | 1 | $ | ─ | ─ | 501 | 501 | |||||||||||||||
Investments — available-for-sale securities: | |||||||||||||||||||||
Certificates of deposit | 2 | ─ | ─ | 585 | 585 | ||||||||||||||||
Corporate bonds | 2 | ─ | ─ | 376 | 376 | ||||||||||||||||
Municipal bonds | 2 | ─ | ─ | 188 | 188 |
Note_6_Property_and_Equipment_
Note 6 - Property and Equipment (Tables) | 12 Months Ended | ||||||||||||||
Sep. 30, 2014 | |||||||||||||||
Notes Tables | ' | ||||||||||||||
Schedule of Property Plant and Equipment Components [Table Text Block] | ' | ||||||||||||||
Useful lives | As of September 30, | ||||||||||||||
(in years) | 201 | 201 | |||||||||||||
4 | 3 | ||||||||||||||
Construction in process | n/a | $ | 6,867 | 5,421 | |||||||||||
Capitalized real estate leases for build-to-suit stores, including unamortized land of $617 and $600, respectively | 40 | 17,107 | 15,774 | ||||||||||||
Capitalized real estate leases | 15 | 4,866 | 4,866 | ||||||||||||
Land | n/a | 192 | ─ | ||||||||||||
Buildings | 40 | 3,985 | ─ | ||||||||||||
Land improvements | 5 | - | 15 | 1,000 | 1,000 | ||||||||||
Leasehold and building improvements | 1 | - | 25 | 74,691 | 59,058 | ||||||||||
Fixtures and equipment | 5 | - | 7 | 69,894 | 56,459 | ||||||||||
Computer hardware and software | 3 | - | 5 | 10,740 | 8,252 | ||||||||||
189,342 | 150,830 | ||||||||||||||
Less accumulated depreciation and amortization | (69,118 | ) | (51,920 | ) | |||||||||||
Property and equipment, net | $ | 120,224 | 98,910 | ||||||||||||
Depreciation and Amortization Expense [Table Text Block] | ' | ||||||||||||||
Year ended September 30, | |||||||||||||||
201 | 201 | 201 | |||||||||||||
4 | 3 | 2 | |||||||||||||
Depreciation and amortization expense included in cost of goods sold and occupancy costs | $ | 770 | 709 | 436 | |||||||||||
Depreciation and amortization expense included in store expenses | 15,861 | 12,365 | 8,710 | ||||||||||||
Depreciation and amortization expense included in administrative expenses | 581 | 422 | 803 | ||||||||||||
Total depreciation and amortization expense | $ | 17,212 | 13,496 | 9,949 |
Note_7_Goodwill_and_Other_Inta1
Note 7 - Goodwill and Other Intangible Assets (Tables) | 12 Months Ended | ||||||||||||
Sep. 30, 2014 | |||||||||||||
Notes Tables | ' | ||||||||||||
Schedule of Intangible Assets and Goodwill [Table Text Block] | ' | ||||||||||||
Useful lives | As of September 30, | ||||||||||||
(in years) | 201 | 201 | |||||||||||
4 | 3 | ||||||||||||
Amortizable intangible assets: | |||||||||||||
Covenants-not-to-compete | 5 | $ | 293 | 293 | |||||||||
Favorable operating lease | 5 | 339 | 339 | ||||||||||
Other intangibles | 0.5 | 22 | 22 | ||||||||||
Amortized intangible assets | 654 | 654 | |||||||||||
Less accumulated amortization | (654 | ) | (654 | ) | |||||||||
Amortized intangible assets, net | — | — | |||||||||||
Trademark | Indefinite | 389 | 389 | ||||||||||
Total other intangibles, net | 389 | 389 | |||||||||||
Goodwill | Indefinite | 511 | 511 | ||||||||||
Total goodwill and other intangibles, net | $ | 900 | 900 |
Note_8_Accrued_Expenses_Tables
Note 8 - Accrued Expenses (Tables) | 12 Months Ended | ||||||||
Sep. 30, 2014 | |||||||||
Notes Tables | ' | ||||||||
Schedule of Accrued Liabilities [Table Text Block] | ' | ||||||||
As of September 30, | |||||||||
2014 | 201 | ||||||||
3 | |||||||||
Payroll and employee-related expenses | $ | 5,886 | 5,247 | ||||||
Accrued income taxes payable | 4,868 | 95 | |||||||
Accrued property, sales and use tax payable | 3,409 | 2,591 | |||||||
Deferred revenue related to gift card sales | 725 | 625 | |||||||
Other | 934 | 748 | |||||||
Total accrued expenses | $ | 15,822 | 9,306 |
Note_11_Lease_Commitments_Tabl
Note 11 - Lease Commitments (Tables) | 12 Months Ended | ||||||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||||||
Notes Tables | ' | ||||||||||||||||||||
Schedule of Future Minimum Rental Payments for Operating Leases [Table Text Block] | ' | ||||||||||||||||||||
Third | Related | Total Operating | |||||||||||||||||||
parties | parties | Leases | |||||||||||||||||||
2015 | $ | 19,167 | 1,654 | 20,821 | |||||||||||||||||
2016 | 20,446 | 1,633 | 22,079 | ||||||||||||||||||
2017 | 20,003 | 1,635 | 21,638 | ||||||||||||||||||
2018 | 19,907 | 1,635 | 21,542 | ||||||||||||||||||
2019 | 18,646 | 1,635 | 20,281 | ||||||||||||||||||
Thereafter | 152,842 | 10,482 | 163,324 | ||||||||||||||||||
$ | 251,011 | 18,674 | 269,685 | ||||||||||||||||||
Schedule of Debt [Table Text Block] | ' | ||||||||||||||||||||
As of September 30, | |||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||
Capital lease finance obligations, due in monthly installments through fiscal year 2028 | $ | 14,989 | 13,746 | ||||||||||||||||||
Capital lease obligations due in monthly installments through fiscal year 2028 | 4,672 | 4,792 | |||||||||||||||||||
Capital lease finance obligation for assets under construction, due in monthly installments through fiscal year 2024 and 2028, respectively | 2,316 | 1,284 | |||||||||||||||||||
Total capital and financing lease obligations | 21,977 | 19,822 | |||||||||||||||||||
Less current portion | (229 | ) | (174 | ) | |||||||||||||||||
Total capital and financing lease obligations, net of current portion | $ | 21,748 | 19,648 | ||||||||||||||||||
Capital Lease Finance Obligations [Member] | Construction in Progress [Member] | ' | ||||||||||||||||||||
Notes Tables | ' | ||||||||||||||||||||
Schedule of Future Minimum Lease Payments for Capital and Finance Lease Obligations [Table Text Block] | ' | ||||||||||||||||||||
Interest | Principal payments on | Total future | |||||||||||||||||||
expense on ca | cap | payments on capital lease finance | |||||||||||||||||||
pital lease | ital lease finance obligation for assets under construction | o | |||||||||||||||||||
f | bligation | ||||||||||||||||||||
inance obligation | for asset | ||||||||||||||||||||
for assets under construction | s | ||||||||||||||||||||
under construction | |||||||||||||||||||||
2015 | $ | 159 | 22 | 181 | |||||||||||||||||
2016 | 156 | 37 | 193 | ||||||||||||||||||
2017 | 153 | 39 | 192 | ||||||||||||||||||
2018 | 150 | 50 | 200 | ||||||||||||||||||
2019 | 147 | 54 | 201 | ||||||||||||||||||
Thereafter | 675 | 389 | 1,064 | ||||||||||||||||||
Non-cash derecognition of capital lease finance obligations at end of lease term | — | 1,725 | 1,725 | ||||||||||||||||||
$ | 1,440 | 2,316 | 3,756 | ||||||||||||||||||
Capital Lease Finance Obligations [Member] | Assets Held Under Real Estate Leases for Build to Suit Stores [Member] | ' | ||||||||||||||||||||
Notes Tables | ' | ||||||||||||||||||||
Schedule of Future Minimum Lease Payments for Capital and Finance Lease Obligations [Table Text Block] | ' | ||||||||||||||||||||
Interest | Principal | Interest | Payments on | Total future | |||||||||||||||||
expense on | payments on | expense on | capital lease | payments on capital lease finance and capital lease obligations | |||||||||||||||||
capital lease | capital lease | capital lease | obligations | ||||||||||||||||||
finance | finance | obligations | |||||||||||||||||||
obligations | obligations | ||||||||||||||||||||
2015 | $ | 2,104 | 73 | 666 | 134 | 2,977 | |||||||||||||||
2016 | 2,093 | 83 | 650 | 151 | 2,977 | ||||||||||||||||
2017 | 2,081 | 96 | 631 | 170 | 2,978 | ||||||||||||||||
2018 | 2,067 | 117 | 609 | 192 | 2,985 | ||||||||||||||||
2019 | 2,047 | 171 | 584 | 217 | 3,019 | ||||||||||||||||
Thereafter | 15,467 | 3,638 | 3,013 | 3,808 | 25,926 | ||||||||||||||||
Non-cash derecognition of capital lease finance obligations at end of lease term | — | 10,811 | — | — | 10,811 | ||||||||||||||||
$ | 25,859 | 14,989 | 6,153 | 4,672 | 51,673 |
Note_12_ShareBased_Compensatio1
Note 12 - Share-Based Compensation (Tables) | 12 Months Ended | ||||||||
Sep. 30, 2014 | |||||||||
Notes Tables | ' | ||||||||
Schedule of Nonvested Restricted Stock Units Activity [Table Text Block] | ' | ||||||||
Shares | Weighted average | ||||||||
grant date fair value | |||||||||
Non-vested as of September 30, 2012 | 90,909 | $ | 1.66 | ||||||
Granted | 68,911 | 32.87 | |||||||
Forfeited | (204 | ) | 34.07 | ||||||
Vested | (73,563 | ) | 7.25 | ||||||
Non-vested as of September 30, 2013 | 86,053 | 21.8 | |||||||
Granted | 3,558 | 42.16 | |||||||
Forfeited | (3,868 | ) | 34.07 | ||||||
Vested | (48,549 | ) | 12.38 | ||||||
Non-vested as of September 30, 2014 | 37,194 | 34.77 |
Note_14_Income_Taxes_Tables
Note 14 - Income Taxes (Tables) | 12 Months Ended | ||||||||||||
Sep. 30, 2014 | |||||||||||||
Notes Tables | ' | ||||||||||||
Schedule of Components of Income Tax Expense (Benefit) [Table Text Block] | ' | ||||||||||||
Year ended | |||||||||||||
September 30, | |||||||||||||
201 | 201 | 201 | |||||||||||
4 | 3 | 2 | |||||||||||
Current federal income tax expense | $ | 8,304 | 3,376 | 1,102 | |||||||||
Current state income tax expense | 1,163 | 551 | 180 | ||||||||||
9,467 | 3,927 | 1,282 | |||||||||||
Deferred federal income tax (benefit) expense | (1,112 | ) | 2,156 | 2,339 | |||||||||
Deferred state income tax (benefit) expense | (74 | ) | 296 | 334 | |||||||||
(1,186 | ) | 2,452 | 2,673 | ||||||||||
Total provision for income taxes | $ | 8,281 | 6,379 | 3,955 | |||||||||
Schedule of Effective Income Tax Rate Reconciliation [Table Text Block] | ' | ||||||||||||
Year ended | |||||||||||||
September 30, | |||||||||||||
2014 | 201 | 201 | |||||||||||
3 | 2 | ||||||||||||
Statutory tax rate | 35 | % | 34 | 34 | |||||||||
Nontaxable income attributable to noncontrolling interest | — | — | (2.7 | ) | |||||||||
State income taxes, net of federal income tax expense | 3 | 3.3 | 3 | ||||||||||
Other, net | 0.1 | 0.4 | 0.3 | ||||||||||
Effective tax rate | 38.1 | % | 37.7 | 34.6 | |||||||||
Schedule of Classification of Deferred Tax Assets and Liabilities [Table Text Block] | ' | ||||||||||||
As of September 30, | |||||||||||||
201 | 201 | ||||||||||||
4 | 3 | ||||||||||||
Current assets | $ | 832 | 1,114 | ||||||||||
Long-term liabilities | (5,409 | ) | (6,877 | ) | |||||||||
Net deferred tax liabilities | $ | (4,577 | ) | (5,763 | ) | ||||||||
Schedule of Deferred Tax Assets and Liabilities [Table Text Block] | ' | ||||||||||||
As of September 30, | |||||||||||||
201 | 201 | ||||||||||||
4 | 3 | ||||||||||||
Deferred tax assets | |||||||||||||
Capital and financing lease obligations | $ | 8,330 | 7,553 | ||||||||||
Goodwill and BVC related intangibles | 2,937 | 3,209 | |||||||||||
Leasehold incentives | 2,746 | 2,179 | |||||||||||
Deferred rent | 2,214 | 1,803 | |||||||||||
Trademarks | 1,018 | 1,024 | |||||||||||
Accrued employee benefits | 590 | 728 | |||||||||||
Other | 248 | 386 | |||||||||||
Intangible assets - other | 74 | 80 | |||||||||||
Gross deferred tax assets | 18,157 | 16,962 | |||||||||||
Deferred tax liabilities | |||||||||||||
Property and equipment | (19,930 | ) | (20,497 | ) | |||||||||
Leasehold improvements | (2,804 | ) | (2,228 | ) | |||||||||
Gross deferred tax liabilities | (22,734 | ) | (22,725 | ) | |||||||||
Net deferred tax liabilities | $ | (4,577 | ) | (5,763 | ) |
Note_16_Segment_Reporting_Tabl
Note 16 - Segment Reporting (Tables) | 12 Months Ended | ||||||||||||
Sep. 30, 2014 | |||||||||||||
Notes Tables | ' | ||||||||||||
Schedule of Product Information [Table Text Block] | ' | ||||||||||||
As of September 30, | |||||||||||||
201 | 201 | 201 | |||||||||||
4 | 3 | 2 | |||||||||||
Grocery | 66.7 | % | 65.2 | 62.7 | |||||||||
Dietary supplements | 23.2 | 24.8 | 27 | ||||||||||
Body care, pet care and other | 10.1 | 10 | 10.3 | ||||||||||
100 | % | 100 | 100 |
Note_17_Selected_Quarterly_Fin1
Note 17 - Selected Quarterly Financial Data (Unaudited) (Tables) | 12 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Notes Tables | ' | ||||||||||||||||
Schedule of Quarterly Financial Information [Table Text Block] | ' | ||||||||||||||||
Fiscal Year Ended September 30, 2014 | Three months ended | ||||||||||||||||
December 31, | March 31, | June 30, | September | ||||||||||||||
2013 | 2014 | 30, | |||||||||||||||
2014 | 2014 | ||||||||||||||||
Net sales | $ | 120,580 | 130,343 | 134,036 | 135,715 | ||||||||||||
Cost of goods sold and occupancy costs | 85,199 | 91,590 | 95,424 | 96,959 | |||||||||||||
Gross profit | 35,381 | 38,753 | 38,612 | 38,756 | |||||||||||||
Store expenses | 25,173 | 26,877 | 28,213 | 28,394 | |||||||||||||
Administrative expenses | 3,889 | 3,548 | 3,585 | 3,801 | |||||||||||||
Pre-opening and relocation expenses | 889 | 1,211 | 729 | 945 | |||||||||||||
Operating income | 5,430 | 7,117 | 6,085 | 5,616 | |||||||||||||
Other income (expense): | |||||||||||||||||
Dividends and interest income | 1 | 1 | — | — | |||||||||||||
Interest expense | (707 | ) | (704 | ) | (706 | ) | (379 | ) | |||||||||
Total other expense | (706 | ) | (703 | ) | (706 | ) | (379 | ) | |||||||||
Income before income taxes | 4,724 | 6,414 | 5,379 | 5,237 | |||||||||||||
Provision for income taxes | (1,802 | ) | (2,415 | ) | (2,015 | ) | (2,049 | ) | |||||||||
Net income | $ | 2,922 | 3,999 | 3,364 | 3,188 | ||||||||||||
Basic earnings per share | $ | 0.13 | 0.18 | 0.15 | 0.14 | ||||||||||||
Diluted earnings per share | 0.13 | 0.18 | 0.15 | 0.14 | |||||||||||||
Fiscal Year Ended September 30, 2013 | Three months ended | ||||||||||||||||
December 31, | March 31, | June 30, | September 30, | ||||||||||||||
2012 | 2013 | 2013 | |||||||||||||||
2013 | |||||||||||||||||
Net sales | $ | 95,831 | 106,485 | 113,164 | 115,175 | ||||||||||||
Cost of goods sold and occupancy costs | 67,994 | 74,668 | 80,571 | 81,689 | |||||||||||||
Gross profit | 27,837 | 31,817 | 32,593 | 33,486 | |||||||||||||
Store expenses | 20,203 | 22,163 | 23,181 | 24,388 | |||||||||||||
Administrative expenses | 3,326 | 3,342 | 3,242 | 3,569 | |||||||||||||
Pre-opening and relocation expenses | 519 | 796 | 961 | 955 | |||||||||||||
Operating income | 3,789 | 5,516 | 5,209 | 4,574 | |||||||||||||
Other income (expense): | |||||||||||||||||
Dividends and interest income | 2 | 2 | 3 | 2 | |||||||||||||
Interest expense | (255 | ) | (401 | ) | (610 | ) | (900 | ) | |||||||||
Total other expense | (253 | ) | (399 | ) | (607 | ) | (898 | ) | |||||||||
Income before income taxes | 3,536 | 5,117 | 4,602 | 3,676 | |||||||||||||
Provision for income taxes | (1,315 | ) | (1,900 | ) | (1,716 | ) | (1,448 | ) | |||||||||
Net income | $ | 2,221 | 3,217 | 2,886 | 2,228 | ||||||||||||
Basic earnings per share | $ | 0.1 | 0.14 | 0.13 | 0.1 | ||||||||||||
Diluted earnings per share | 0.1 | 0.14 | 0.13 | 0.1 |
Note_1_Organization_Details_Te
Note 1 - Organization (Details Textual) | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2012 |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' | ' | ' |
Number of Stores | 87 | 72 | 59 |
Arizona [Member] | ' | ' | ' |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' | ' | ' |
Number of Stores | 3 | ' | ' |
Colorado [Member] | ' | ' | ' |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' | ' | ' |
Number of Stores | 32 | ' | ' |
Idaho [Member] | ' | ' | ' |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' | ' | ' |
Number of Stores | 3 | ' | ' |
Kansas [Member] | ' | ' | ' |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' | ' | ' |
Number of Stores | 6 | ' | ' |
Missouri [Member] | ' | ' | ' |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' | ' | ' |
Number of Stores | 1 | ' | ' |
Montana [Member] | ' | ' | ' |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' | ' | ' |
Number of Stores | 4 | ' | ' |
Nebraska [Member] | ' | ' | ' |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' | ' | ' |
Number of Stores | 3 | ' | ' |
New Mexico [Member] | ' | ' | ' |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' | ' | ' |
Number of Stores | 5 | ' | ' |
Oklahoma [Member] | ' | ' | ' |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' | ' | ' |
Number of Stores | 4 | ' | ' |
Oregon [Member] | ' | ' | ' |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' | ' | ' |
Number of Stores | 8 | ' | ' |
Texas [Member] | ' | ' | ' |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' | ' | ' |
Number of Stores | 13 | ' | ' |
Utah [Member] | ' | ' | ' |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' | ' | ' |
Number of Stores | 2 | ' | ' |
Washington [Member] | ' | ' | ' |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' | ' | ' |
Number of Stores | 1 | ' | ' |
Wyoming [Member] | ' | ' | ' |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' | ' | ' |
Number of Stores | 2 | ' | ' |
Note_2_Basis_of_Presentation_a2
Note 2 - Basis of Presentation and Summary of Significant Accounting Policies (Details Textual) (USD $) | 12 Months Ended | 1 Months Ended | 12 Months Ended | 1 Months Ended | 1 Months Ended | 12 Months Ended | ||||||||||
Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2012 | Jul. 24, 2012 | Jul. 25, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Jul. 25, 2012 | Sep. 30, 2012 | Jul. 24, 2012 | Jul. 24, 2012 | Oct. 31, 2012 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2012 | |
IPO [Member] | IPO [Member] | IPO [Member] | Selling Shareholders [Member] | BVC [Member] | BVC [Member] | BVC [Member] | BVC [Member] | Cost of Goods, Total [Member] | Cost of Goods, Total [Member] | Cost of Goods, Total [Member] | BVC [Member] | |||||
Supplier Concentration Risk [Member] | Supplier Concentration Risk [Member] | Supplier Concentration Risk [Member] | ||||||||||||||
Largest Vendor and One of its Subsidiaries [Member] | Largest Vendor and One of its Subsidiaries [Member] | Largest Vendor and One of its Subsidiaries [Member] | ||||||||||||||
Accounting Policies [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Noncontrolling Interest, Ownership Percentage by Parent | ' | ' | ' | ' | ' | ' | ' | ' | 55.00% | ' | 55.00% | ' | ' | ' | ' | ' |
Noncontrolling Interest Purchased, Shares Issued | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 670,056 | 670,056 | ' | ' | ' | ' |
Payments to Acquire Additional Interest in Subsidiaries | ' | ' | $10,051,000 | ' | ' | ' | $10,100,000 | ' | ' | ' | $10.10 | $10,100,000 | ' | ' | ' | ' |
Non-controlling Interest Purchased, Percentage | ' | ' | 45.00% | ' | ' | ' | ' | ' | ' | ' | 45.00% | ' | ' | ' | ' | ' |
Number of Stores | 87 | 72 | 59 | ' | ' | ' | ' | ' | ' | 5 | ' | ' | ' | ' | ' | ' |
Ownership in Operating Company | ' | ' | ' | 100.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Stock Issued During Period, Shares, New Issues | ' | ' | ' | ' | 4,167,367 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Stock Sold During Period Including Existing Shares | ' | ' | ' | ' | 8,214,285 | ' | ' | 4,046,918 | ' | ' | ' | ' | ' | ' | ' | ' |
Share Price | ' | ' | ' | ' | $15 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Gross Proceeds from Issuance of Shares in Initial Public Offering | ' | ' | ' | ' | 62,500,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Underwriting Costs Paid as Percentage of Gross Proceeds from Initial Public Offering | ' | ' | ' | ' | 7.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Payments of Underwriting Costs | ' | ' | ' | ' | 4,400,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Proceeds from Issuance Initial Public Offering | ' | ' | 58,135,000 | ' | 58,100,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Stock Issuance Costs | ' | ' | ' | ' | 2,700,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Noncontrolling Interest, Decrease from Redemptions or Purchase of Interests | ' | ' | -10,051,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,500,000 |
Deferred Tax Assets Step Up Tax Basis from Assets Acquired | ' | ' | ' | ' | ' | ' | ' | ' | 3,600,000 | ' | ' | ' | ' | ' | ' | 3,600,000 |
Portion of Proceeds from Initial Public Offering Put to Use for Repayment of Lines of Credit and Payments to Acquire Additional Interest in Subsidiaries and Stock Issuance Costs and to Settle Awards | ' | ' | ' | ' | ' | ' | 39,200,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Repayments of Lines of Credit | 46,440,000 | 81,000 | 27,236,000 | ' | ' | ' | 26,400,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Payments of Stock Issuance Costs | ' | 268,000 | 2,460,000 | ' | ' | 300,000 | 2,400,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Employee Service Share-based Compensation, Cash Flow Effect, Cash Used to Settle Awards | 0 | 0 | 335,000 | ' | ' | ' | 300,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Portion of Proceeds from Initial Public Offering Put to Use to Fund Working Capital and for General Corporate Purposes | ' | ' | ' | ' | ' | 18,600,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of Reportable Segments | 1 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restricted Cash and Cash Equivalents, Current | 0 | 500,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Allowance for Doubtful Accounts Receivable, Current | 100,000 | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Cash, Uninsured Amount | 2,500,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Concentration Risk, Percentage | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 56.00% | 55.00% | 53.00% | ' |
Marketing and Advertising Expense | 7,800,000 | 6,200,000 | 5,100,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Reimbursement Revenue | 1,900,000 | 1,500,000 | 1,300,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Goodwill, Impairment Loss | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Asset Impairment Charges | $0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Note_2_Basis_of_Presentation_a3
Note 2 - Basis of Presentation and Summary of Significant Accounting Policies - Estimated Useful Lives of the Related Assets (Details) | 12 Months Ended |
Sep. 30, 2014 | |
Assets Held under Capital Leases [Member] | ' |
Useful lives | '15 years |
Building [Member] | ' |
Useful lives | '40 years |
Furniture and Fixtures [Member] | Maximum [Member] | ' |
Useful lives | '7 years |
Furniture and Fixtures [Member] | Minimum [Member] | ' |
Useful lives | '5 years |
Land Improvements [Member] | Maximum [Member] | ' |
Useful lives | '15 years |
Land Improvements [Member] | Minimum [Member] | ' |
Useful lives | '5 years |
Capitalized Real Estate Leases for Build-to-suit Stores [Member] | ' |
Useful lives | '40 years |
Computer Hardware and Software [Member] | Maximum [Member] | ' |
Useful lives | '5 years |
Computer Hardware and Software [Member] | Minimum [Member] | ' |
Useful lives | '3 years |
Leasehold and Building Improvements [Member] | Maximum [Member] | ' |
Useful lives | '25 years |
Leasehold and Building Improvements [Member] | Minimum [Member] | ' |
Useful lives | '1 year |
Note_3_Earnings_Per_Share_Deta
Note 3 - Earnings Per Share (Details Textual) (USD $) | 12 Months Ended | ||
Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2012 | |
Earnings Per Share [Abstract] | ' | ' | ' |
Common Stock, Shares Authorized | 50,000,000 | 50,000,000 | ' |
Common Stock, Shares, Outstanding | 22,485,488 | 22,441,253 | ' |
Preferred Stock, Shares Authorized | 10,000,000 | ' | ' |
Dividends | $0 | $0 | $0 |
Common Stock, Shares, Issued | 22,485,488 | 22,441,253 | ' |
Preferred Stock, Shares Issued | 0 | ' | ' |
Preferred Stock, Shares Outstanding | 0 | ' | ' |
Restricted Stock Units (RSUs) [Member] | ' | ' | ' |
Earnings Per Share [Abstract] | ' | ' | ' |
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 3,558 | 50,320 | 0 |
Note_3_Earnings_Per_Share_Basi
Note 3 - Earnings Per Share - Basic and Diluted Earnings Per Share (Details) (USD $) | 12 Months Ended | ||
Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2012 | |
Net income attributable to Natural Grocers by Vitamin Cottage, Inc. | $13,473,000 | $10,552,000 | $6,649,000 |
Basic (in shares) | 22,466,432 | 22,399,346 | 22,372,184 |
Effect of dilutive securities (in shares) | 13,403 | 42,036 | 90,909 |
Weighted average common shares outstanding including effect of dilutive securities (in shares) | 22,479,835 | 22,441,382 | 22,463,093 |
Basic earnings per share (in dollars per share) | $0.60 | $0.47 | $0.30 |
Diluted earnings per share (in dollars per share) | $0.60 | $0.47 | $0.30 |
Note_4_Investments_Details_Tex
Note 4 - Investments (Details Textual) (USD $) | 12 Months Ended | ||
Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2012 | |
Investments, Debt and Equity Securities [Abstract] | ' | ' | ' |
Available-For-Sale Securities in Net Unrealized Gain Position Fair Value | ' | $1,100,000 | ' |
Available-For-Sale Securities in Unrealized Gain Positions Qualitative Disclosure Number of Positions | ' | 5 | 3 |
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions | ' | 4 | 9 |
Available-For-Sale Securities in Net Unrealized Loss Position Fair Value | ' | ' | 1,800,000 |
Other than Temporary Impairment Losses, Investments, Available-for-sale Securities | 0 | 0 | ' |
Cash and Cash Equivalents [Member] | ' | ' | ' |
Investments, Debt and Equity Securities [Abstract] | ' | ' | ' |
Money Market Funds, at Carrying Value | 0 | 500,000 | ' |
Short-term Investments [Member] | ' | ' | ' |
Investments, Debt and Equity Securities [Abstract] | ' | ' | ' |
Available-for-sale Securities | $0 | $1,100,000 | ' |
Investments Maturity Period | ' | '150 days | ' |
Note_5_Fair_Value_Measurements2
Note 5 - Fair Value Measurements (Details Textual) (USD $) | 12 Months Ended | ||
Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2012 | |
Fair Value Disclosures [Abstract] | ' | ' | ' |
Payments to Acquire Available-for-sale Securities | $0 | $521,000 | $1,751,000 |
Proceeds from Maturities, Prepayments and Calls of Available-for-sale Securities | 1,140,000 | 1,010,000 | ' |
Proceeds from Sale of Available-for-sale Securities | 0 | 90,000 | ' |
Fair Value, Assets, Level 1 to Level 2 Transfers, Amount | 0 | 0 | ' |
Fair Value, Assets, Level 2 to Level 1 Transfers, Amount | 0 | 0 | ' |
Fair Value, Inputs, Level 3 [Member] | ' | ' | ' |
Fair Value Disclosures [Abstract] | ' | ' | ' |
Assets, Fair Value Disclosure | $0 | $0 | ' |
Note_5_Fair_Value_Measurements3
Note 5 - Fair Value Measurements - Financial Assets and Liabilites Subject to Fair Value Measurements (Details) (USD $) | Sep. 30, 2013 |
Fair Value, Inputs, Level 2 [Member] | Reported Value Measurement [Member] | Certificates of Deposit [Member] | ' |
Investments b available-for-sale securities: | ' |
Available-for-Sale Securities | $585,000 |
Fair Value, Inputs, Level 2 [Member] | Reported Value Measurement [Member] | Corporate Bond Securities [Member] | Corporate Debt Securities [Member] | ' |
Investments b available-for-sale securities: | ' |
Available-for-Sale Securities | 376,000 |
Fair Value, Inputs, Level 2 [Member] | Reported Value Measurement [Member] | Municipal Bonds [Member] | ' |
Investments b available-for-sale securities: | ' |
Available-for-Sale Securities | 188,000 |
Fair Value, Inputs, Level 2 [Member] | Estimate of Fair Value Measurement [Member] | Certificates of Deposit [Member] | ' |
Investments b available-for-sale securities: | ' |
Available-for-Sale Securities | 585,000 |
Fair Value, Inputs, Level 2 [Member] | Estimate of Fair Value Measurement [Member] | Corporate Bond Securities [Member] | Corporate Debt Securities [Member] | ' |
Investments b available-for-sale securities: | ' |
Available-for-Sale Securities | 376,000 |
Fair Value, Inputs, Level 2 [Member] | Estimate of Fair Value Measurement [Member] | Municipal Bonds [Member] | ' |
Investments b available-for-sale securities: | ' |
Available-for-Sale Securities | 188,000 |
Money Market Funds [Member] | Fair Value, Inputs, Level 1 [Member] | Reported Value Measurement [Member] | ' |
Cash equivalents: | ' |
Money market fund | 501,000 |
Money Market Funds [Member] | Fair Value, Inputs, Level 1 [Member] | Estimate of Fair Value Measurement [Member] | ' |
Cash equivalents: | ' |
Money market fund | $501,000 |
Note_6_Property_and_Equipment_1
Note 6 - Property and Equipment (Details Textual) (USD $) | 12 Months Ended | ||
Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2012 | |
Property, Plant and Equipment [Abstract] | ' | ' | ' |
Property, Plant and Equipment, Gross | $189,342,000 | $150,830,000 | ' |
Interest Paid, Capitalized | 0 | 0 | 25,000 |
Property Plant and Equipment Internal Staff Compensation Amortized | 300,000 | 300,000 | 500,000 |
Build to Suit Lease in Process [Member] | ' | ' | ' |
Property, Plant and Equipment [Abstract] | ' | ' | ' |
Property, Plant and Equipment, Gross | 2,300,000 | 1,300,000 | ' |
Computer Software Development [Member] | ' | ' | ' |
Property, Plant and Equipment [Abstract] | ' | ' | ' |
Property, Plant and Equipment, Additions | 100,000 | 100,000 | ' |
Leasehold and Building Improvements and Fixtures and Equipment [Member] | ' | ' | ' |
Property, Plant and Equipment [Abstract] | ' | ' | ' |
Property Plant and Equipment Additions Internal Staff Compensation Capitalized | 500,000 | 400,000 | ' |
Capital and Financing Lease Obligations [Member] | ' | ' | ' |
Property, Plant and Equipment [Abstract] | ' | ' | ' |
Interest Paid, Capitalized | $400,000 | $0 | ' |
Note_6_Property_and_Equipment_2
Note 6 - Property and Equipment - Property and Equipment Components (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 |
Property, Plant and Equipment, gross | $189,342 | $150,830 |
Less accumulated depreciation and amortization | -69,118 | -51,920 |
Property and equipment, net | 120,224 | 98,910 |
Assets Held under Capital Leases [Member] | ' | ' |
Property, Plant and Equipment, gross | 4,866 | 4,866 |
Useful lives | '15 years | ' |
Building [Member] | ' | ' |
Property, Plant and Equipment, gross | 3,985 | ' |
Useful lives | '40 years | ' |
Construction in Progress [Member] | ' | ' |
Property, Plant and Equipment, gross | 6,867 | 5,421 |
Furniture and Fixtures [Member] | ' | ' |
Property, Plant and Equipment, gross | 69,894 | 56,459 |
Furniture and Fixtures [Member] | Maximum [Member] | ' | ' |
Useful lives | '7 years | ' |
Furniture and Fixtures [Member] | Minimum [Member] | ' | ' |
Useful lives | '5 years | ' |
Land Improvements [Member] | ' | ' |
Property, Plant and Equipment, gross | 1,000 | 1,000 |
Land Improvements [Member] | Maximum [Member] | ' | ' |
Useful lives | '15 years | ' |
Land Improvements [Member] | Minimum [Member] | ' | ' |
Useful lives | '5 years | ' |
Land [Member] | ' | ' |
Property, Plant and Equipment, gross | 192 | ' |
Capitalized Real Estate Leases for Build-to-suit Stores [Member] | ' | ' |
Property, Plant and Equipment, gross | 17,107 | 15,774 |
Useful lives | '40 years | ' |
Computer Hardware and Software [Member] | ' | ' |
Property, Plant and Equipment, gross | 10,740 | 8,252 |
Computer Hardware and Software [Member] | Maximum [Member] | ' | ' |
Useful lives | '5 years | ' |
Computer Hardware and Software [Member] | Minimum [Member] | ' | ' |
Useful lives | '3 years | ' |
Leasehold and Building Improvements [Member] | ' | ' |
Property, Plant and Equipment, gross | $74,691 | $59,058 |
Leasehold and Building Improvements [Member] | Maximum [Member] | ' | ' |
Useful lives | '25 years | ' |
Leasehold and Building Improvements [Member] | Minimum [Member] | ' | ' |
Useful lives | '1 year | ' |
Note_6_Property_and_Equipment_3
Note 6 - Property and Equipment - Property and Equipment Components (Details) (Parentheticals) (USD $) | Sep. 30, 2014 | Sep. 30, 2013 |
In Thousands, unless otherwise specified | ||
Property, Plant and Equipment, gross | $189,342 | $150,830 |
Unamortized Land [Member] | ' | ' |
Property, Plant and Equipment, gross | $617 | $600 |
Note_6_Property_and_Equipment_4
Note 6 - Property and Equipment - Depreciation and Amortization Expense (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2012 |
Depreciation and amortization expense | $17,212 | $13,496 | $9,949 |
Cost of Sales [Member] | ' | ' | ' |
Depreciation and amortization expense | 770 | 709 | 436 |
General and Administrative Expense [Member] | ' | ' | ' |
Depreciation and amortization expense | 581 | 422 | 803 |
Stores [Member] | ' | ' | ' |
Depreciation and amortization expense | $15,861 | $12,365 | $8,710 |
Note_7_Goodwill_and_Other_Inta2
Note 7 - Goodwill and Other Intangible Assets (Details Textual) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2012 | Sep. 30, 2013 |
Maximum [Member] | |||
Goodwill and Intangible Assets Disclosure [Abstract] | ' | ' | ' |
Amortization of Intangible Assets | $0 | $0.10 | $0.10 |
Note_7_Goodwill_and_Other_Inta3
Note 7 - Goodwill and Other Intangible Assets - Goodwill and Other Intangible Assets (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 |
Amortizable intangible assets: | ' | ' |
Amortized intangible assets | $654 | $654 |
Less accumulated amortization | -654 | -654 |
Trademark | 389 | 389 |
Total other intangibles, net | 389 | 389 |
Goodwill | 511 | 511 |
Total goodwill and other intangibles, net | 900 | 900 |
Noncompete Agreements [Member] | ' | ' |
Amortizable intangible assets: | ' | ' |
Useful lives | '5 years | ' |
Amortized intangible assets | 293 | 293 |
Other Intangible Assets [Member] | ' | ' |
Amortizable intangible assets: | ' | ' |
Useful lives | '182 days | ' |
Amortized intangible assets | 22 | 22 |
Favorable Operating Leases [Member] | ' | ' |
Amortizable intangible assets: | ' | ' |
Useful lives | '5 years | ' |
Amortized intangible assets | $339 | $339 |
Note_8_Accrued_Expenses_Compos
Note 8 - Accrued Expenses - Composition of Accrued Expenses (Details) (USD $) | Sep. 30, 2014 | Sep. 30, 2013 |
In Thousands, unless otherwise specified | ||
Payroll and employee-related expenses | $5,886 | $5,247 |
Accrued income taxes payable | 4,868 | 95 |
Accrued property, sales and use tax payable | 3,409 | 2,591 |
Deferred revenue related to gift card sales | 725 | 625 |
Other | 934 | 748 |
Total accrued expenses | $15,822 | $9,306 |
Note_9_Deferred_Financing_Cost1
Note 9 - Deferred Financing Costs (Details Textual) (USD $) | 12 Months Ended | ||
Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2012 | |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | ' | ' | ' |
Deferred Finance Costs, Noncurrent, Net | $36,000 | $25,000 | ' |
Accumulated Amortization of Noncurrent Deferred Finance Costs | 900,000 | 900,000 | ' |
Amortization of Financing Costs | 19,000 | 47,000 | 38,000 |
Maximum [Member] | ' | ' | ' |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | ' | ' | ' |
Deferred Finance Costs, Noncurrent, Net | 100,000 | 100,000 | ' |
Amortization of Financing Costs | $100,000 | $100,000 | $100,000 |
Note_10_LongTerm_Debt_Details_
Note 10 - Long-Term Debt (Details Textual) (USD $) | 12 Months Ended | 1 Months Ended | 12 Months Ended | 0 Months Ended | 10 Months Ended | 12 Months Ended | 10 Months Ended | |||||||||||
Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2014 | Sep. 30, 2013 | Jul. 25, 2012 | Sep. 30, 2012 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Oct. 31, 2012 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2012 | Dec. 12, 2013 | Sep. 30, 2014 | Sep. 30, 2014 | |
Capital and Financing Lease Obligations [Member] | Capital and Financing Lease Obligations [Member] | Term Loan [Member] | Term Loan [Member] | Term Loan [Member] | Term Loan [Member] | Letter of Credit [Member] | Revolving Credit Facility [Member] | Revolving Credit Facility [Member] | Revolving Credit Facility [Member] | Revolving Credit Facility [Member] | Revolving Credit Facility [Member] | Revolving Credit Facility [Member] | Revolving Credit Facility [Member] | Revolving Credit Facility [Member] | ||||
Maximum [Member] | Minimum [Member] | |||||||||||||||||
Debt Disclosure [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Line of Credit Facility Maximum Borrowing Capacity Before Amendment | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $21,000,000 | ' | ' | ' | ' | ' | ' | ' |
Line of Credit Facility, Maximum Borrowing Capacity | ' | ' | ' | ' | ' | ' | ' | ' | ' | 3,000,000 | 15,000,000 | ' | ' | ' | ' | 15,000,000 | ' | ' |
Line of Credit Facility, Unused Capacity, Commitment Fee Percentage | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0.20% | ' | ' | ' | ' | ' | 0.35% | 0.15% |
Line of Credit Facility Unused Capacity Commitment Fee Percentage Before Amendment | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0.38% | ' | ' | ' | ' | ' | ' | ' |
Line of Credit Facility Period by Which Maturity Date Extended | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '3 years | ' | ' | ' | ' | ' | ' |
Line of Credit Facility Additional Maximum Borrowing Capacity | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 10,000,000 | ' | ' | ' | ' | ' | ' |
Letters of Credit Outstanding, Amount | ' | ' | ' | ' | ' | ' | ' | ' | ' | 700,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Line of Credit Facility, Remaining Borrowing Capacity | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 14,300,000 | 14,300,000 | 15,000,000 | ' | ' | ' | ' |
Debt Instrument, Interest Rate During Period | ' | ' | ' | ' | ' | ' | 2.02% | ' | ' | ' | ' | ' | 1.85% | 3.30% | 2.54% | ' | ' | ' |
Repayments of Lines of Credit | 46,440,000 | 81,000 | 27,236,000 | ' | ' | 15,800,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Interest Expense, Debt, Excluding Amortization | 2,900,000 | 2,200,000 | 600,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Interest Costs Capitalized | ' | ' | ' | 400,000 | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Long-term Line of Credit | ' | ' | ' | ' | ' | ' | ' | $0 | $0 | ' | ' | $0 | $0 | $0 | ' | ' | ' | ' |
Capital and Financing Lease Obligations Number of Leases | ' | ' | ' | 10 | 9 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Note_11_Lease_Commitments_Deta
Note 11 - Lease Commitments (Details Textual) (USD $) | 12 Months Ended | ||
Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2012 | |
Leases [Abstract] | ' | ' | ' |
Deferred Rent Credit, Noncurrent | $5,842,000 | $4,731,000 | ' |
Incentive from Lessor | 7,246,000 | 5,716,000 | ' |
Operating Leases, Rent Expense, Net | 20,500,000 | 14,800,000 | 12,100,000 |
Pre-Opening Costs and Relocation Expenses for Stores Not Yet Opened Rent Expense | 1,000,000 | 600,000 | 500,000 |
Capital Lease Finance Obligations | 14,989,000 | 13,746,000 | ' |
Capital Lease Obligations | 4,672,000 | 4,792,000 | ' |
Chalet [Member] | ' | ' | ' |
Leases [Abstract] | ' | ' | ' |
Number of Properties Leased | 7 | ' | ' |
Isely Family Land Trust LLC [Member] | ' | ' | ' |
Leases [Abstract] | ' | ' | ' |
Number of Properties Leased | 1 | ' | ' |
Related Parties [Member] | ' | ' | ' |
Leases [Abstract] | ' | ' | ' |
Operating Leases Future Minimum Payments Due Per Lease Agreement Low End of Range | 100,000 | ' | ' |
Operating Leases Future Minimum Payments Due Per Lease Agreement High End of Range | 300,000 | ' | ' |
Third Parties [Member] | ' | ' | ' |
Leases [Abstract] | ' | ' | ' |
Number of Sale-Leaseback Transactions | ' | 1 | ' |
Sale Leaseback Transaction, Net Proceeds, Financing Activities | ' | 5,000,000 | ' |
Sale Leaseback Transaction, Deferred Gain, Gross | ' | 200,000 | ' |
Sale Leaseback Transaction Lease Term | ' | '15 years | ' |
3801 East Second Avenue LLC [Member] | ' | ' | ' |
Leases [Abstract] | ' | ' | ' |
Number of Properties Leased | 1 | ' | ' |
Build to Suit Lease in Process [Member] | ' | ' | ' |
Leases [Abstract] | ' | ' | ' |
Capital Lease Finance Obligations | 2,316,000 | 1,284,000 | ' |
Construction in Progress, Gross | $2,300,000 | $1,300,000 | ' |
Note_11_Lease_Commitments_Futu
Note 11 - Lease Commitments - Future Minimum Annual Payments under Operating Leases (Details) (USD $) | Sep. 30, 2014 |
In Thousands, unless otherwise specified | |
2015 | $20,821 |
2016 | 22,079 |
2017 | 21,638 |
2018 | 21,542 |
2019 | 20,281 |
Thereafter | 163,324 |
269,685 | |
Related Parties [Member] | ' |
2015 | 1,654 |
2016 | 1,633 |
2017 | 1,635 |
2018 | 1,635 |
2019 | 1,635 |
Thereafter | 10,482 |
18,674 | |
Third Parties [Member] | ' |
2015 | 19,167 |
2016 | 20,446 |
2017 | 20,003 |
2018 | 19,907 |
2019 | 18,646 |
Thereafter | 152,842 |
$251,011 |
Note_11_Lease_Commitments_Capi
Note 11 - Lease Commitments - Capital and Financing Lease Obligations (Details) (USD $) | Sep. 30, 2014 | Sep. 30, 2013 |
In Thousands, unless otherwise specified | ||
Capital lease finance obligations | $14,989 | $13,746 |
Capital lease obligations due in monthly installments through fiscal year 2028 | 4,672 | 4,792 |
Total capital and financing lease obligations | 21,977 | 19,822 |
Less current portion | -229 | -174 |
Total capital and financing lease obligations, net of current portion | 21,748 | 19,648 |
Build to Suit Lease in Process [Member] | ' | ' |
Capital lease finance obligations | $2,316 | $1,284 |
Note_11_Lease_Commitments_Sche
Note 11 - Lease Commitments - Schedule of Future Payments under the Terms of the Leases (Details) (Assets Held Under Real Estate Leases for Build to Suit Stores [Member], USD $) | Sep. 30, 2014 |
In Thousands, unless otherwise specified | |
Capital Lease Obligations [Member] | ' |
2015 | $666 |
2015 | 134 |
2016 | 650 |
2016 | 151 |
2017 | 631 |
2017 | 170 |
2018 | 609 |
2018 | 192 |
2019 | 584 |
2019 | 217 |
Thereafter | 3,013 |
Thereafter | 3,808 |
6,153 | |
6,153 | |
4,672 | |
Capital and Financing Lease Obligations [Member] | ' |
2015 | 2,977 |
2016 | 2,977 |
2017 | 2,978 |
2018 | 2,985 |
2019 | 3,019 |
Thereafter | 25,926 |
Non-cash derecognition of capital lease finance obligations at end of lease term | 10,811 |
51,673 | |
Capital Lease Finance Obligations [Member] | ' |
2015 | 2,104 |
2015 | 73 |
2016 | 2,093 |
2016 | 83 |
2017 | 2,081 |
2017 | 96 |
2018 | 2,067 |
2018 | 117 |
2019 | 2,047 |
2019 | 171 |
Thereafter | 15,467 |
Thereafter | 3,638 |
Non-cash derecognition of capital lease finance obligations at end of lease term | 10,811 |
25,859 | |
14,989 | |
$25,859 |
Note_11_Lease_Commitments_Futu1
Note 11 - Lease Commitments - Future Minimum Lease Payments for Stores Under Construction (Details) (Capital Lease Finance Obligations [Member], Build to Suit Lease in Process [Member], USD $) | Sep. 30, 2014 |
In Thousands, unless otherwise specified | |
Capital Lease Finance Obligations [Member] | Build to Suit Lease in Process [Member] | ' |
2015 | $159 |
2015 | 22 |
2015 | 181 |
2016 | 156 |
2016 | 37 |
2016 | 193 |
2017 | 153 |
2017 | 39 |
2017 | 192 |
2018 | 150 |
2018 | 50 |
2018 | 200 |
2019 | 147 |
2019 | 54 |
2019 | 201 |
Thereafter | 675 |
Thereafter | 389 |
Thereafter | 1,064 |
Non-cash derecognition of capital lease finance obligations at end of lease term | 1,725 |
Non-cash derecognition of capital lease finance obligations at end of lease term | 1,725 |
1,440 | |
2,316 | |
$3,756 |
Note_12_ShareBased_Compensatio2
Note 12 - Share-Based Compensation (Details Textual) (USD $) | 1 Months Ended | 12 Months Ended | |||
Jun. 30, 2008 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2012 | Jul. 17, 2012 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ' | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized | ' | ' | ' | ' | 1,090,151 |
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant | ' | 752,403 | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Grant Entitlement as Percentage of Fully Diluted Shares | 1.20% | ' | ' | ' | ' |
Allocated Share-based Compensation Expense | ' | $500,000 | $600,000 | $1,100,000 | ' |
Chief Financial Officer [Member] | ' | ' | ' | ' | ' |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ' | ' | ' | ' | ' |
Allocated Share-based Compensation Expense | ' | ' | ' | 1,100,000 | ' |
Board [Member] | ' | ' | ' | ' | ' |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ' | ' | ' | ' | ' |
Allocated Share-based Compensation Expense | ' | 100,000 | 100,000 | ' | ' |
Certain Employees [Member] | ' | ' | ' | ' | ' |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ' | ' | ' | ' | ' |
Allocated Share-based Compensation Expense | ' | 400,000 | 500,000 | 0 | ' |
Restricted Stock Units (RSUs) [Member] | ' | ' | ' | ' | ' |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ' | ' | ' | ' | ' |
Employee Service Share-based Compensation, Nonvested Awards, Compensation Not yet Recognized, Share-based Awards Other than Options | ' | 1,200,000 | ' | ' | ' |
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Period for Recognition | ' | '3 years | ' | ' | ' |
Restricted Stock Units (RSUs) [Member] | Board [Member] | ' | ' | ' | ' | ' |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ' | ' | ' | ' | ' |
Share-Based Compensation Arrangement by Share-Based Payment Award Equivalent Value of Shares Authorized to Grant | ' | $50,000 | ' | ' | ' |
Restricted Stock Units (RSUs) [Member] | Maximum [Member] | ' | ' | ' | ' | ' |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ' | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | ' | '4 years | ' | ' | ' |
Restricted Stock Units (RSUs) [Member] | Minimum [Member] | ' | ' | ' | ' | ' |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ' | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | ' | '1 year | ' | ' | ' |
One-Third [Member] | Restricted Stock Units (RSUs) [Member] | Chief Executive Officer [Member] | ' | ' | ' | ' | ' |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ' | ' | ' | ' | ' |
Share-Based Compensation Arrangement by Share-Based Payment Award Number of Equal Parts Over Which Awards Vest | ' | 3 | ' | ' | ' |
Share-Based Compensation Arrangement by Share-Based Payment Award Settlement Percentage of Awards in Shares of Common Stock | ' | 100.00% | ' | ' | ' |
One-Third [Member] | Restricted Stock Units (RSUs) [Member] | Chief Executive Officer [Member] | Vesting Over 12 Months [Member] | ' | ' | ' | ' | ' |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ' | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | ' | '1 year | ' | ' | ' |
One-Third [Member] | Restricted Stock Units (RSUs) [Member] | Chief Executive Officer [Member] | Vesting Over 18 Months [Member] | ' | ' | ' | ' | ' |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ' | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | ' | '1 year 180 days | ' | ' | ' |
One-Third [Member] | Restricted Stock Units (RSUs) [Member] | Chief Executive Officer [Member] | Vesting Over Six Months [Member] | ' | ' | ' | ' | ' |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ' | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | ' | '180 days | ' | ' | ' |
Note_12_ShareBased_Compensatio3
Note 12 - Share-Based Compensation - Changes in Non-Vested RSUs Outstanding (Details) (Restricted Stock Units (RSUs) [Member], USD $) | 12 Months Ended | ||
Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2012 | |
Restricted Stock Units (RSUs) [Member] | ' | ' | ' |
Non-vested balance (in shares) | 37,194 | 86,053 | 90,909 |
Non-vested Weighted Average Grant Date Fair Value (in dollars per share) | $34.77 | $21.80 | $1.66 |
Granted (in shares) | 3,558 | 68,911 | ' |
Granted (in dollars per share) | $42.16 | $32.87 | ' |
Forfeited (in shares) | -3,868 | -204 | ' |
Forfeited (in dollars per share) | $34.07 | $34.07 | ' |
Vested (in shares) | -48,549 | -73,563 | ' |
Vested (in dollars per share) | $12.38 | $7.25 | ' |
Note_13_Related_Party_Transact1
Note 13 - Related Party Transactions (Details Textual) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2012 |
Chalet [Member] | ' | ' | ' |
Related Party Transactions [Abstract] | ' | ' | ' |
Number of Properties Leased | 7 | ' | ' |
Related Party Transaction Number of Owners That Are Non-Independent Board Members of the Entity | 4 | ' | ' |
Related Party Transaction, Expenses from Transactions with Related Party | $1.30 | $1.30 | $1.50 |
Isely Family Land Trust LLC [Member] | ' | ' | ' |
Related Party Transactions [Abstract] | ' | ' | ' |
Number of Properties Leased | 1 | ' | ' |
Related Party Transaction, Expenses from Transactions with Related Party | $0.30 | $0.30 | $0.30 |
Note_14_Income_Taxes_Details_T
Note 14 - Income Taxes (Details Textual) (USD $) | 3 Months Ended | 9 Months Ended | 12 Months Ended | |||||||||
Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2012 | |
Income Tax Disclosure [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Percentage Extension of Bonus Depreciation on Qualifying Assets | ' | ' | ' | ' | ' | ' | ' | ' | 50.00% | ' | ' | ' |
Period of Special Extension Depreciation Life | ' | ' | ' | ' | ' | ' | ' | ' | '15 years | ' | ' | ' |
Income Tax Expense (Benefit) | $2,049 | $2,015 | $2,415 | $1,802 | $1,448 | $1,716 | $1,900 | $1,315 | ' | $8,281,000 | $6,379,000 | $3,955,000 |
BVC [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Income Tax Disclosure [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Noncontrolling Interest, Ownership Percentage by Parent | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 55.00% |
Additions to Tax Basis of Acquired Fixed Assets Due to Acquisition of Noncontrolling Interest | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 800,000 |
Additional Tax Basis of Intangible Assets Recorded Due to Acquisition of Noncontrolling Interest | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 9,200,000 |
Deferred Tax Assets Step Up Tax Basis from Assets Acquired | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 3,600,000 |
Domestic Tax Authority [Member] | BVC [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Income Tax Disclosure [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Income Tax Expense (Benefit) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0 |
State and Local Jurisdiction [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Income Tax Disclosure [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Operating Loss Carryforwards | 100,000 | ' | ' | ' | 100,000 | ' | ' | ' | ' | 100,000 | 100,000 | ' |
State and Local Jurisdiction [Member] | Maximum [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Income Tax Disclosure [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Operating Loss Carryforwards Utilized | ' | ' | ' | ' | ' | ' | ' | ' | ' | 100,000 | 100,000 | ' |
State and Local Jurisdiction [Member] | BVC [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Income Tax Disclosure [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Income Tax Expense (Benefit) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $0 |
Note_14_Income_Taxes_Component
Note 14 - Income Taxes - Components of the Provision for Income Taxes (Details) (USD $) | 12 Months Ended | ||
Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2012 | |
Current federal income tax expense | $8,304,000 | $3,376,000 | $1,102,000 |
Current state income tax expense | 1,163,000 | 551,000 | 180,000 |
9,467,000 | 3,927,000 | 1,282,000 | |
Deferred federal income tax (benefit) expense | -1,112,000 | 2,156,000 | 2,339,000 |
Deferred state income tax (benefit) expense | -74,000 | 296,000 | 334,000 |
-1,186,000 | 2,452,000 | 2,673,000 | |
Total provision for income taxes | $8,281,000 | $6,379,000 | $3,955,000 |
Note_14_Income_Taxes_Reconcili
Note 14 - Income Taxes - Reconciliation between the U.S. Federal Statutory Income Tax Rate and the Company's Effective Tax Rate (Details) | 12 Months Ended | ||
Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2012 | |
Rate | Rate | Rate | |
Statutory tax rate | 35.00% | 34.00% | 34.00% |
Nontaxable income attributable to noncontrolling interest | ' | ' | -2.70% |
State income taxes, net of federal income tax expense | 3.00% | 3.30% | 3.00% |
Other, net | 0.10% | 0.40% | 0.30% |
Effective tax rate | 38.10% | 37.70% | 34.60% |
Note_14_Income_Taxes_Deferred_
Note 14 - Income Taxes - Deferred Taxes (Details) (USD $) | Sep. 30, 2014 | Sep. 30, 2013 |
In Thousands, unless otherwise specified | ||
Current assets | $832 | $1,114 |
Long-term liabilities | -5,409 | -6,877 |
Net deferred tax liabilities | ($4,577) | ($5,763) |
Note_14_Income_Taxes_Tax_Effec
Note 14 - Income Taxes - Tax Effects of Temporary Differences That Give Rise to Deferred Tax Assets and Liabilities (Details) (USD $) | Sep. 30, 2014 | Sep. 30, 2013 |
In Thousands, unless otherwise specified | ||
Deferred tax assets | ' | ' |
Capital and financing lease obligations | $8,330 | $7,553 |
Goodwill and BVC related intangibles | 2,937 | 3,209 |
Leasehold incentives | 2,746 | 2,179 |
Deferred rent | 2,214 | 1,803 |
Trademarks | 1,018 | 1,024 |
Accrued employee benefits | 590 | 728 |
Other | 248 | 386 |
Intangible assets - other | 74 | 80 |
Gross deferred tax assets | 18,157 | 16,962 |
Deferred tax liabilities | ' | ' |
Property and equipment | -19,930 | -20,497 |
Leasehold improvements | -2,804 | -2,228 |
Gross deferred tax liabilities | -22,734 | -22,725 |
Net deferred tax liabilities | ($4,577) | ($5,763) |
Note_15_Defined_Contribution_P1
Note 15 - Defined Contribution Plan (Details Textual) (USD $) | 12 Months Ended | ||
Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2012 | |
Compensation and Retirement Disclosure [Abstract] | ' | ' | ' |
Defined Contribution Plan, Employer Matching Contribution, Percent of Match | 25.00% | ' | ' |
Defined Contribution Plan Employer Maximum Discretionary Contribution Amount per Employee | $2,500 | ' | ' |
Defined Contribution Plan, Cost Recognized | $100,000 | $400,000 | $300,000 |
Note_16_Segment_Reporting_Deta
Note 16 - Segment Reporting (Details Textual) | 12 Months Ended |
Sep. 30, 2014 | |
Segment Reporting [Abstract] | ' |
Number of Reportable Segments | 1 |
Note_16_Segment_Reporting_Sale
Note 16 - Segment Reporting - Sales from Natural and Organic Retail Stores (Details) | 12 Months Ended | ||
Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2012 | |
Sales percentage | 100.00% | 100.00% | 100.00% |
Body Care, Pet Care, and Other [Member] | ' | ' | ' |
Sales percentage | 10.10% | 10.00% | 10.30% |
Dietary Supplements [Member] | ' | ' | ' |
Sales percentage | 23.20% | 24.80% | 27.00% |
Grocery [Member] | ' | ' | ' |
Sales percentage | 66.70% | 65.20% | 62.70% |
Note_17_Selected_Quarterly_Fin2
Note 17 - Selected Quarterly Financial Data (Unaudited) - Unaudited Quarterly Financial Data (Details) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2012 | |
Net sales | $135,715 | $134,036 | $130,343 | $120,580 | $115,175 | $113,164 | $106,485 | $95,831 | $520,674,000 | $430,655,000 | $336,385,000 |
Cost of goods sold and occupancy costs | 96,959 | 95,424 | 91,590 | 85,199 | 81,689 | 80,571 | 74,668 | 67,994 | 369,172,000 | 304,922,000 | 237,328,000 |
Gross profit | 38,756 | 38,612 | 38,753 | 35,381 | 33,486 | 32,593 | 31,817 | 27,837 | 151,502,000 | 125,733,000 | 99,057,000 |
Store expenses | 28,394 | 28,213 | 26,877 | 25,173 | 24,388 | 23,181 | 22,163 | 20,203 | 108,657,000 | 89,935,000 | 72,157,000 |
Administrative expenses | 3,801 | 3,585 | 3,548 | 3,889 | 3,569 | 3,242 | 3,342 | 3,326 | 14,823,000 | 13,479,000 | 12,733,000 |
Pre-opening and relocation expenses | 945 | 729 | 1,211 | 889 | 955 | 961 | 796 | 519 | 3,774,000 | 3,231,000 | 2,173,000 |
Operating income | 5,616 | 6,085 | 7,117 | 5,430 | 4,574 | 5,209 | 5,516 | 3,789 | 24,248,000 | 19,088,000 | 11,994,000 |
Dividends and interest income | ' | ' | 1 | 1 | 2 | 3 | 2 | 2 | 2,000 | 9,000 | 6,000 |
Interest expense | -379 | -706 | -704 | -707 | -900 | -610 | -401 | -255 | -2,496,000 | -2,166,000 | -568,000 |
Total other expense | -379 | -706 | -703 | -706 | -898 | -607 | -399 | -253 | 2,494,000 | 2,157,000 | 562,000 |
Income before income taxes | 5,237 | 5,379 | 6,414 | 4,724 | 3,676 | 4,602 | 5,117 | 3,536 | 21,754,000 | 16,931,000 | 11,432,000 |
Provision for income taxes | -2,049 | -2,015 | -2,415 | -1,802 | -1,448 | -1,716 | -1,900 | -1,315 | -8,281,000 | -6,379,000 | -3,955,000 |
Net income | $3,188 | $3,364 | $3,999 | $2,922 | $2,228 | $2,886 | $3,217 | $2,221 | $13,473,000 | $10,552,000 | $6,649,000 |
Basic earnings per share (in dollars per share) | $0.14 | $0.15 | $0.18 | $0.13 | $0.10 | $0.13 | $0.14 | $0.10 | $0.60 | $0.47 | $0.30 |
Diluted earnings per share (in dollars per share) | $0.14 | $0.15 | $0.18 | $0.13 | $0.10 | $0.13 | $0.14 | $0.10 | $0.60 | $0.47 | $0.30 |
Note_19_Subsequent_Events_Deta
Note 19 - Subsequent Events (Details Textual) (Natural Food Retailer in Independence, Missouri [Member], Subsequent Event [Member], USD $) | 0 Months Ended |
In Millions, unless otherwise specified | Nov. 07, 2014 |
Natural Food Retailer in Independence, Missouri [Member] | Subsequent Event [Member] | ' |
Subsequent Events [Abstract] | ' |
Business Combination, Consideration Transferred | $6.20 |