Document and Entity Information
Document and Entity Information - shares | 3 Months Ended | 9 Months Ended | |
Jan. 25, 2020 | Jan. 25, 2020 | Feb. 21, 2020 | |
Document Information [Line Items] | |||
Document Type | 10-Q | ||
Amendment Flag | false | ||
Document Period End Date | Jan. 25, 2020 | ||
Document Fiscal Year Focus | 2020 | ||
Document Fiscal Period Focus | Q3 | ||
Entity Shell Company | false | ||
Entity Registrant Name | Barnes & Noble Education, Inc. | ||
Entity Central Index Key | 0001634117 | ||
Current Fiscal Year End Date | --04-29 | ||
Entity Filer Category | Accelerated Filer | ||
Entity Emerging Growth Company | false | ||
Entity Small Business | false | ||
Entity Common Stock, Shares Outstanding | 48,297,554 |
Consolidated Statements of Oper
Consolidated Statements of Operations and Comprehensive Loss - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Jan. 25, 2020 | Jan. 26, 2019 | Jan. 25, 2020 | Jan. 26, 2019 | |
Sales: | ||||
Rental income | $ 48,614 | $ 56,019 | $ 119,729 | $ 134,251 |
Total sales | 502,292 | 548,008 | 1,594,177 | 1,700,258 |
Product sales and other | 453,678 | 491,989 | 1,474,448 | 1,566,007 |
Product and other cost of sales | 354,999 | 381,953 | 1,146,400 | 1,209,676 |
Rental cost of sales | 28,758 | 33,102 | 70,635 | 80,259 |
Cost of Goods and Services Sold | 383,757 | 415,055 | 1,217,035 | 1,289,935 |
Gross profit | 118,535 | 132,953 | 377,142 | 410,323 |
Selling and administrative expenses | 106,184 | 110,941 | 317,279 | 325,408 |
Depreciation and amortization expense | 15,117 | 16,374 | 46,542 | 49,333 |
Other Nonrecurring Expense | 0 | 0 | 433 | 0 |
Restructuring and other charges | 205 | 2,500 | 3,240 | 2,500 |
Business Development | 0 | 117 | 0 | 654 |
Operating (loss) income | (2,971) | 3,021 | 9,648 | 32,428 |
Interest expense, net | 1,904 | 2,546 | 5,882 | 7,904 |
Income (loss) before taxes | (4,875) | 475 | 3,766 | 24,524 |
Income tax expense (benefit) | (3,182) | (294) | 1,683 | 2,680 |
Net (loss) income | $ (1,693) | $ 769 | $ 2,083 | $ 21,844 |
(Loss) Earnings per share of common stock | ||||
Basic | $ (0.04) | $ 0.02 | $ 0.04 | $ 0.46 |
Diluted | $ (0.04) | $ 0.02 | $ 0.04 | $ 0.46 |
Weighted average common shares outstanding | ||||
Basic | 48,298 | 47,561 | 47,911 | 47,220 |
Diluted | 48,298 | 47,937 | 48,767 | 47,772 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) shares in Thousands, $ in Thousands | Jan. 25, 2020 | Apr. 27, 2019 | Jan. 26, 2019 |
Preferred Stock, Par or Stated Value Per Share | $ 0.01 | $ 0.01 | $ 0.01 |
Preferred Stock, Shares Authorized | 5,000 | 5,000 | 5,000 |
Preferred Stock, Shares Issued | 0 | 0 | 0 |
Preferred Stock, Shares Outstanding | 0 | 0 | 0 |
Common Stock, Par or Stated Value Per Share | $ 0.01 | $ 0.01 | $ 0.01 |
Common Stock, Shares Authorized | 200,000 | 200,000 | 200,000 |
Common Stock, Shares, Issued | 52,139 | 51,030 | 51,026 |
Common Stock, Shares, Outstanding | 48,297 | 47,563 | 47,561 |
Current assets: | |||
Cash and cash equivalents | $ 9,798 | $ 14,013 | $ 22,049 |
Receivables, net | 238,045 | 98,246 | 231,106 |
Merchandise inventories, net | 530,260 | 420,322 | 579,582 |
Textbook rental inventories | 48,474 | 47,001 | 50,577 |
Prepaid expenses and other current assets | 24,617 | 11,778 | 20,691 |
Total current assets | 851,194 | 591,360 | 904,005 |
Net property and equipment | 101,055 | 109,777 | 109,414 |
Operating Lease, Right-of-Use Asset | 251,743 | 0 | 0 |
Intangible assets, net | 179,596 | 194,978 | 208,439 |
Goodwill | 4,700 | 4,700 | 53,982 |
Deferred Tax Assets, Net, Noncurrent | 2,647 | 2,425 | 0 |
Other noncurrent assets | 37,169 | 42,940 | 40,216 |
Total assets | 1,428,104 | 946,180 | 1,316,056 |
Current liabilities: | |||
Accounts payable | 389,050 | 186,818 | 464,933 |
Accrued liabilities | 193,705 | 121,720 | 219,713 |
Operating Lease, Liability, Current | 102,247 | 0 | 0 |
Short-term Debt | 0 | 100,000 | 0 |
Total current liabilities | 685,002 | 408,538 | 684,646 |
Long-term deferred taxes, net | 0 | 0 | 7,991 |
Operating Lease, Liability, Noncurrent | 169,227 | 0 | 0 |
Other long-term liabilities | 50,529 | 53,514 | 58,632 |
Long-term Line of Credit, Noncurrent | 65,900 | 33,500 | 70,100 |
Liabilities | 970,658 | 495,552 | 821,369 |
Commitments and contingencies | 0 | 0 | 0 |
Preferred Stock, Value, Issued | 0 | 0 | 0 |
Common Stock, Value, Outstanding | 521 | 510 | 511 |
Additional Paid in Capital | 732,320 | 726,331 | 724,164 |
Retained Earnings (Accumulated Deficit) | (242,494) | (244,577) | (198,359) |
Treasury Stock, Value | (32,901) | (31,636) | (31,629) |
Total Equity | 457,446 | 450,628 | 494,687 |
Total liabilities and Parent Company equity | $ 1,428,104 | $ 946,180 | $ 1,316,056 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |
Jan. 25, 2020 | Jan. 25, 2020 | Jan. 26, 2019 | |
Net Income (Loss) Attributable to Parent | $ (1,693) | $ 2,083 | $ 21,844 |
Adjustments to reconcile net income to net cash flows from operating activities: | |||
Depreciation and amortization expense | 15,117 | 46,542 | 49,333 |
Content Amortization | 2,973 | 360 | |
Amortization of Debt Issuance Costs | 811 | 1,127 | |
Other Nonrecurring Expense | 0 | 433 | 0 |
Deferred Income Tax Expense (Benefit) | (222) | 5,885 | |
Share-based Compensation | 6,000 | 6,851 | |
Increase (Decrease) in Other Noncurrent Assets and Liabilities, Net | (2,992) | (1,183) | |
Increase (Decrease) in Operating Liabilities | 9,890 | 0 | |
Cash flows from investing activities: | |||
Purchases of property and equipment | (26,841) | (31,711) | |
Payments to Acquire Businesses, Net of Cash Acquired | 0 | (10,000) | |
Net increase in other noncurrent assets | 5,148 | 43 | |
Net cash flows used in investing activities | (21,693) | (41,668) | |
Cash flows from financing activities: | |||
Proceeds from borrowings on Credit Facility | 383,400 | 383,400 | 374,000 |
Repayments of borrowings on Credit Facility | (451,000) | (451,000) | (500,300) |
Payments for Repurchase of Common Stock | (1,265) | (1,971) | |
Net cash flows used in financing activities | (68,865) | (128,271) | |
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents, Period Increase (Decrease), Including Exchange Rate Effect | (4,206) | 5,923 | |
Changes in other operating assets and liabilities, net: | |||
Receivables, net | (139,875) | (131,046) | |
Merchandise inventories | (109,938) | (136,023) | |
Textbook rental inventories | (1,473) | (2,798) | |
Prepaid expenses and other current assets | (12,839) | (8,844) | |
Accounts payable and accrued liabilities | 284,959 | 370,356 | |
Changes in other operating assets and liabilities, net | (20,834) | (91,645) | |
Net Cash Provided by (Used in) Operating Activities | 86,352 | 175,862 | |
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents | 14,768 | 16,869 | |
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents | $ 10,562 | $ 10,562 | $ 22,792 |
Consolidated Statement of Equit
Consolidated Statement of Equity Statement - USD ($) $ in Thousands | Total | Additional Paid-in Capital [Member] | Common Stock [Member] | Treasury Stock [Member] |
Common Stock, Shares, Issued | 50,032,000 | |||
Common Stock, Value, Issued | $ 501 | |||
Additional Paid in Capital | $ 717,323 | |||
Treasury Stock, Shares | 3,115,000 | |||
Treasury Stock, Value | $ (29,658) | |||
Total Equity | 467,963 | |||
Retained Earnings (Accumulated Deficit) | (220,203) | |||
Net Income (Loss) Attributable to Parent | (38,622) | |||
Stock-based compensation expense | 2,341 | $ 2,341 | ||
Net Income (Loss) Attributable to Parent | $ 21,844 | |||
Common Stock, Shares, Issued | 50,032,000 | |||
Common Stock, Value, Issued | $ 501 | |||
Additional Paid in Capital | $ 719,664 | |||
Treasury Stock, Shares | 3,115,000 | |||
Treasury Stock, Value | $ (29,658) | |||
Total Equity | 431,682 | |||
Retained Earnings (Accumulated Deficit) | (258,825) | |||
Net Income (Loss) Attributable to Parent | 59,697 | |||
Stock-based compensation expense | 2,632 | 2,632 | ||
Shares repurchased for tax withholdings for vested stock awards | 350,000 | |||
CostOfRepurchasedSharesForTaxWittholdingForShareBasedCompensation | (1,971) | $ (1,971) | ||
Stock Issued During Period, Shares, Restricted Stock Award, Net of Forfeitures | 994,000 | |||
Stock Issued During Period, Value, Restricted Stock Award, Net of Forfeitures | $ 0 | (10) | $ 10 | |
Common Stock, Shares, Issued | 51,026,000 | |||
Common Stock, Value, Issued | $ 511 | |||
Additional Paid in Capital | $ 722,286 | |||
Treasury Stock, Shares | 3,465,000 | |||
Treasury Stock, Value | $ (31,629) | |||
Total Equity | 492,040 | |||
Retained Earnings (Accumulated Deficit) | (199,128) | |||
Net Income (Loss) Attributable to Parent | 769 | |||
Stock-based compensation expense | $ 1,878 | 1,878 | ||
Common Stock, Shares, Issued | 51,026,000 | |||
Common Stock, Value, Issued | $ 511 | |||
Additional Paid in Capital | $ 724,164 | |||
Treasury Stock, Shares | 3,465,000 | |||
Treasury Stock, Value | $ (31,629) | |||
Total Equity | 494,687 | |||
Retained Earnings (Accumulated Deficit) | $ (198,359) | |||
Common Stock, Shares, Issued | 51,030,000 | |||
Common Stock, Value, Issued | $ 510 | |||
Additional Paid in Capital | $ 726,331 | |||
Treasury Stock, Shares | 3,467,000 | |||
Treasury Stock, Value | $ (31,636) | |||
Total Equity | 450,628 | |||
Retained Earnings (Accumulated Deficit) | (244,577) | |||
Net Income (Loss) Attributable to Parent | (32,155) | |||
Stock-based compensation expense | 2,321 | 2,321 | ||
Shares repurchased for tax withholdings for vested stock awards | 12,000 | |||
CostOfRepurchasedSharesForTaxWittholdingForShareBasedCompensation | (40) | $ (40) | ||
Stock Issued During Period, Shares, Restricted Stock Award, Net of Forfeitures | 56,000 | |||
Stock Issued During Period, Value, Restricted Stock Award, Net of Forfeitures | 0 | (1) | $ 1 | |
Net Income (Loss) Attributable to Parent | $ 2,083 | |||
Shares repurchased for tax withholdings for vested stock awards | 374,733 | |||
Common Stock, Shares, Issued | 51,086,000 | |||
Common Stock, Value, Issued | $ 511 | |||
Additional Paid in Capital | $ 728,651 | |||
Treasury Stock, Shares | 3,479,000 | |||
Treasury Stock, Value | $ (31,676) | |||
Total Equity | 420,754 | |||
Retained Earnings (Accumulated Deficit) | (276,732) | |||
Net Income (Loss) Attributable to Parent | 35,931 | |||
Stock-based compensation expense | 1,860 | 1,860 | ||
Shares repurchased for tax withholdings for vested stock awards | 363,000 | |||
CostOfRepurchasedSharesForTaxWittholdingForShareBasedCompensation | (1,225) | $ (1,225) | ||
Stock Issued During Period, Shares, Restricted Stock Award, Net of Forfeitures | 1,053,000 | |||
Stock Issued During Period, Value, Restricted Stock Award, Net of Forfeitures | $ 0 | (10) | $ 10 | |
Common Stock, Shares, Issued | 52,139,000 | |||
Common Stock, Value, Issued | $ 521 | |||
Additional Paid in Capital | $ 730,501 | |||
Treasury Stock, Shares | 3,842,000 | |||
Treasury Stock, Value | $ (32,901) | |||
Total Equity | 457,320 | |||
Retained Earnings (Accumulated Deficit) | (240,801) | |||
Net Income (Loss) Attributable to Parent | (1,693) | |||
Stock-based compensation expense | $ 1,819 | $ 1,819 | ||
Common Stock, Shares, Issued | 52,139,000 | |||
Common Stock, Value, Issued | $ 521 | |||
Additional Paid in Capital | $ 732,320 | |||
Treasury Stock, Shares | 3,842,000 | |||
Treasury Stock, Value | $ (32,901) | |||
Total Equity | 457,446 | |||
Retained Earnings (Accumulated Deficit) | $ (242,494) |
Organization (Notes)
Organization (Notes) | 9 Months Ended |
Jan. 25, 2020 | |
Organization | Note 1. Organization Description of Business Barnes & Noble Education, Inc. is one of the largest contract operators of physical and virtual bookstores for college and university campuses and K-12 institutions across the United States. We are also one of the largest textbook wholesalers, inventory management hardware and software providers, and a leading provider of digital education solutions. We operate 1,436 physical, virtual, and custom bookstores and serve more than 6 million students, delivering essential educational content and tools within a dynamic omni channel retail environment. Additionally, we offer direct-to-student products and services to help students study more effectively and improve academic performance. The strengths of our business include our ability to compete by developing new products and solutions to meet market needs, our large operating footprint with direct access to students and faculty, our well-established, deep relationships with partners and stable, long-term contracts, and our well-recognized brands. We expect to continue to introduce scalable and advanced digital solutions focused largely on the student, expand our general merchandise e-commerce capabilities, increase market share with new accounts, and expand our strategic opportunities through acquisitions and partnerships. We expect general merchandise sales to continue to increase over the long term, as our product assortments continue to emphasize and reflect the changing consumer trends, and we evolve our presentation concepts and merchandising of products in stores and online, as we improve our e-commerce capabilities through investments we are making in new systems, processes and people. Prior to the fourth quarter of Fiscal 2019, we had three reportable segments: BNC, MBS, and Digital Student Solutions (“DSS”). During the fourth quarter of Fiscal 2019, in an effort to streamline our retail go-to-market strategy, reinforce our company branding, and more efficiently focus our product development efforts, we realigned our business and sales organization into the following three reportable segments: Retail, Wholesale and DSS. For additional information related to our strategies, operations and segments, see Part I - Item 1. Business and Part II - Item 8. Financial Statements and Supplementary Data - Note 6. Segment Reporting in our Annual Report on Form 10-K for the year ended April 27, 2019 . |
Summary of Significant Accounti
Summary of Significant Accounting Policies (Notes) | 9 Months Ended |
Jan. 25, 2020 | |
Summary of Significant Accounting Policies | Note 2. Summary of Significant Accounting Policies Basis of Presentation and Consolidation Our condensed consolidated financial statements reflect our condensed consolidated financial position, results of operations and cash flows in conformity with accounting principles generally accepted in the United States (“GAAP”). In the opinion of the Company’s management, the accompanying unaudited condensed consolidated financial statements of the Company contain all adjustments (consisting of only normal recurring adjustments) necessary to present fairly its consolidated financial position and the results of its operations and cash flows for the periods reported. These condensed consolidated financial statements are condensed and therefore do not include all of the information and footnotes required by GAAP. All material intercompany accounts and transactions have been eliminated in consolidation. Our business is highly seasonal. Our quarterly results also may fluctuate depending on the timing of the start of the various schools' semesters, as well as shifts in our fiscal calendar dates. These shifts in timing may affect the comparability of our results across periods. Our fiscal year is comprised of 52 or 53 weeks, ending on the Saturday closest to the last day of April. Due to the seasonal nature of the business, the results of operations for the 13 and 39 weeks ended January 25, 2020 are not indicative of the results expected for the 53 weeks ending May 2, 2020 (Fiscal 2020). For certain of our retail operations, sales are generally highest in the second and third fiscal quarters, when students purchase and rent textbooks and other course materials for the typical academic year, and lowest in the first and fourth fiscal quarters. Sales attributable to our wholesale business are generally highest in our first, second and third quarters, as MBS sells textbooks and other course materials for retail distribution. Our DSS segment sales and operating profit are realized relatively consistently throughout the year. Use of Estimates In preparing financial statements in conformity with GAAP, we are required to make estimates and assumptions that affect the reported amounts in the condensed consolidated financial statements and accompanying notes. Actual results could differ from those estimates. Merchandise Inventories Merchandise inventories, which consist of finished goods, are stated at the lower of cost or market. Market value of our inventory, which is all purchased finished goods, is determined based on its estimated net realizable value, which is generally the selling price less normally predictable costs of disposal and transportation. Reserves for non-returnable inventory are based on our history of liquidating non-returnable inventory. Cost is determined primarily by the retail inventory method for our Retail segment and last-in first out, or “LIFO”, method for our Wholesale segment. Our textbook inventories, for Retail and Wholesale, and trade book inventories are valued using the LIFO method and the related reserve was not material to the recorded amount of our inventories. For our physical bookstores, we also estimate and accrue shortage for the period between the last physical count of inventory and the balance sheet date. Shortage rates are estimated and accrued based on historical rates and can be affected by changes in merchandise mix and changes in actual shortage trends. Textbook Rental Inventories Physical textbooks out on rent are categorized as textbook rental inventories. At the time a rental transaction is consummated, the book is removed from merchandise inventories and moved to textbook rental inventories at cost. The cost of the book is amortized down to its estimated residual value over the rental period. The related amortization expense is included in cost of goods sold. At the end of the rental period, upon return, the book is removed from textbook rental inventories and recorded in merchandise inventories at its amortized cost. Leases Effective April 28, 2019, we adopted Accounting Standards Codification ("ASC") Topic 842, Leases , and recognized lease assets and lease liabilities on the condensed consolidated balance sheet for all operating lease arrangements based on the present value of future lease payments. We do not recognize lease assets or lease liabilities for short-term leases (i.e., those with a term of twelve months or less). We recognize lease expense on a straight-line basis over the lease term for contracts with fixed lease payments, including those with fixed annual minimums, or over a rolling twelve-month period for leases where the annual guarantee resets at the start of each contract year, in order to best reflect the pattern of usage of the underlying leased asset. As a result of adopting ASC Topic 842, we recorded an initial operating lease right-of-use asset of $277,006 (inclusive of prepaid assets and accrued liabilities related to existing leases) and an operating lease liability of $294,727 as of April 28, 2019 for all leases that were not completed and with lease terms in excess of twelve months at that date. For additional information, see Note 5. Leases . Revenue Recognition and Deferred Revenue Product sales and rentals The majority of our revenue is derived from the sale of products through our bookstore locations, including virtual bookstores, and our bookstore affiliated e-commerce websites, and contains a single performance obligation. Revenue from sales of our products is recognized at the point in time when control of the products is transferred to our customers in an amount that reflects the consideration we expect to be entitled to in exchange for the products. For additional information, see Note 4. Revenue. Retail product revenue is recognized when the customer takes physical possession of our products, which occurs either at the point of sale for products purchased at physical locations or upon receipt of our products by our customers for products ordered through our websites and virtual bookstores. Wholesale product revenue is recognized upon shipment of physical textbooks at which point title passes and risk of loss is transferred to the customer. Additional revenue is recognized for shipping charges billed to customers and shipping costs are accounted for as fulfillment costs within cost of goods sold. Revenue from the rental of physical textbooks, which contains a single performance obligation, is deferred and recognized over the rental period based on the passage of time commencing at the point of sale, when control of the product transfers to the customer. Rental periods are typically for a single semester and are always less than one year in duration. We offer a buyout option to allow the purchase of a rented physical textbook at the end of the rental period if the customer desires to do so. We record the buyout purchase when the customer exercises and pays the buyout option price which is determined at the time of the buyout. In these instances, we accelerate any remaining deferred rental revenue at the point of sale. Revenue from the rental of digital textbooks, which contains a single performance obligation, is recognized at the point of sale. A software feature is embedded within the content of our digital textbooks, such that upon expiration of the rental term the customer is no longer able to access the content. While the digital rental allows the customer to access digital content for a fixed period of time, once the digital content is delivered to the customer, our performance obligation is complete. We estimate returns based on an analysis of historical experience. A provision for anticipated merchandise returns is provided through a reduction of sales and cost of goods sold in the period that the related sales are recorded. For sales and rentals involving third-party products, we evaluate whether we are acting as a principal or an agent. Our determination is based on our evaluation of whether we control the specified goods or services prior to transferring them to the customer. There are significant judgments involved in determining whether we control the specified goods or services prior to transferring them to the customer including whether we have the ability to direct the use of the good or service and obtain substantially all of the remaining benefits from the good or service. For those transactions where we are the principal, we record revenue on a gross basis, and for those transactions where we are an agent to a third-party, we record revenue on a net basis. We do not have gift card or customer loyalty programs. We do not treat any promotional offers as expenses. Sales tax collected from our customers is excluded from reported revenues. Our payment terms are generally 30 days and do not extend beyond one year. Service and other revenue Service and other revenue is primarily derived from DSS segment subscription-based service revenues and partnership marketing services which includes promotional activities and advertisements within our physical bookstores and web properties performed on behalf of third-party customers. Subscription-based revenue, which contains a single performance obligation, is deferred and recognized based on the passage of time over the subscription period commencing at the point of sale, when control of the service transfers to the customer. The majority of subscriptions sold are one month in duration. Partnership marketing agreements often include multiple performance obligations which are individually negotiated with our customers. For these arrangements that contain distinct performance obligations, we allocate the transaction price based on the relative standalone selling price method by comparing the standalone selling price (“SSP”) of each distinct performance obligation to the total value of the contract. The revenue is recognized as each performance obligation is satisfied, typically at a point in time for partnership marketing service and overtime for advertising efforts as measured based upon the passage of time for contracts that are based on a stated period of time or the number of impressions delivered for contracts with a fixed number of impressions. Cost of Sales Our cost of sales primarily includes costs such as merchandise costs, textbook rental amortization, content development cost amortization, warehouse costs related to inventory management and order fulfillment, insurance, certain payroll costs, and management service agreement costs, including rent expense, related to our college and university contracts and other facility related expenses. Selling and Administrative Expenses Our selling and administrative expenses consist primarily of store payroll and store operating expenses. Selling and administrative expenses also include stock-based compensation and general office expenses, such as merchandising, procurement, field support, finance and accounting, and operating costs related to our DSS segment subscription-based services business. Shared-service costs such as human resources, legal, treasury, information technology, and various other corporate level expenses and other governance functions, are not allocated to any specific reporting segment and are recorded in Corporate Services. Evaluation of Goodwill and Other Long-Lived Assets As of January 25, 2020 , we had $0 , $0 and $4,700 of goodwill on our condensed consolidated balance sheet related to our Retail, Wholesale and DSS reporting units, respectively. In accordance with ASC 350-10, Intangibles - Goodwill and Other, we complete our annual goodwill impairment test as of the first day of the third quarter of each fiscal year, or whenever events or changes in circumstances indicate that the carrying amount of the reporting unit exceeds its fair value. We completed our annual goodwill impairment test as of the first day of the third quarter of Fiscal 2020. In performing the valuation, we used cash flows that reflected management’s forecasts and discount rates that included risk adjustments consistent with the current market conditions. The fair value of the DSS reporting unit was determined to exceed the carrying value of the reporting unit; therefore, no goodwill impairment was recognized. During the 13 and 39 weeks ended January 26, 2019, we completed our annual goodwill impairment test for Fiscal 2019 and concluded that the fair value of the MBS and DSS reporting units, as they existed at that time, each exceeded their respective carrying values and no goodwill impairment was recognized. In the fourth quarter of Fiscal 2019, due to the change in our reporting units identified as a result of the change in our reportable segments, we recognized a total goodwill impairment (non-cash impairment loss) of $49,282, consisting of the full carrying value of the goodwill allocated to the Retail and Wholesale reporting units. Our other long-lived assets include property and equipment and amortizable intangibles. As of January 25, 2020 , we had $101,055 and $179,596 of property and equipment and amortizable intangible assets, net of depreciation and amortization, respectively, on our condensed consolidated balance sheet. We review our long-lived assets for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable in accordance with ASC 360-10, Accounting for the Impairment or Disposal of Long-Lived Assets . During the 39 weeks ended January 25, 2020 , we recorded an impairment loss (non-cash) of $433 in the Retail segment related to net capitalized development costs for a project which are not recoverable. Income Taxes As of January 25, 2020 , other long-term liabilities includes $32,847 related to the long-term tax payable associated with the LIFO reserve. The LIFO reserve is impacted by changes in the consumer price index (“CPI”) and is dependent on the inventory levels at the end of our tax year (on or about January 31st) which is in the middle of our second largest selling cycle. At the end of the most recent tax year, inventory levels declined as compared to the prior year resulting in approximately $7,260 of the LIFO reserve becoming currently payable. Given recent trends relating to the pricing and rental of textbooks, management believes that an additional portion of the remaining long-term tax payable associated with the LIFO reserve could be payable within the next twelve months. We are unable to predict future trends for CPI and inventory levels, therefore it is difficult to project with reasonable certainty how much of this liability will become payable within the next twelve months. |
Recent Accounting Pronouncement
Recent Accounting Pronouncements (Notes) | 9 Months Ended |
Jan. 25, 2020 | |
Recent Accounting Pronouncements | Note 3. Recent Accounting Pronouncements In December 2019, the Financial Accounting Standards Board ("FASB") issued ASU 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes . The guidance seeks to simplify the accounting for income taxes by removing the following exceptions: 1) exception to the incremental approach for intraperiod tax allocation when there is a loss from continuing operations and income or a gain from other items, 2) exception to the requirement to recognize a deferred tax liability for equity method investments when a foreign subsidiary becomes an equity method investment, 3) exception to the ability not to recognize a deferred tax liability for a foreign subsidiary when a foreign equity method investment becomes a subsidiary and 4) exception to the general methodology for calculating income taxes in an interim period when a year-to-date loss exceeds the anticipated loss for the year. Additionally, the guidance seeks to further simplify the accounting for income taxes by: 1) requiring that an entity recognize a franchise tax (or similar tax) that is partially based on income as an income-based tax and account for any incremental amount incurred as a non-income-based tax, 2) requiring that an entity evaluate when a step up in the tax basis of goodwill should be considered part of the business combination in which the book goodwill was originally recognized and when it should be considered a separate transaction, 3) specifying that an entity is not required to allocate the consolidated amount of current and deferred tax expense to a legal entity that is not subject to tax in its separate financial statements (although the entity may elect to do so (on an entity-by-entity basis) for a legal entity that is both not subject to tax and disregarded by the taxing authority), 4) requiring that an entity reflect the effect of an enacted change in tax laws or rates in the annual effective tax rate computation in the interim period that includes the enactment date and 5) making minor improvements for income tax accounting related to employee stock ownership plans and investments in qualified affordable housing projects accounted for using the equity method. This guidance will be effective for fiscal years and interim periods beginning after December 15, 2020. Different components of the guidance require retrospective, modified retrospective or prospective adoption, and early adoption is permitted. We are currently assessing whether we will early adopt this guidance, and the impact on our condensed consolidated financial statements is not currently estimable. In August 2018, the FASB issued ASU No. 2018-15, Intangibles - Goodwill and Other - Internal-Use Software (Subtopic 350-40): Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract ("ASU 2018-15"), which requires an entity (customer) in a hosting arrangement that is a service contract to follow the guidance to determine which implementation costs to capitalize as an asset (as prepaid expense) related to the service contract and which costs to expense. The ASU requires upfront implementation costs incurred in a cloud computing arrangement (or hosting arrangement) that is a service contract to be amortized to hosting expense over the term of the arrangement, beginning when the module or component of the hosting arrangement is ready for its intended use. We have adopted this standard effective April 28, 2019 (first day of this fiscal year) prospectively for all implementation costs incurred in a cloud computing arrangement (or hosting arrangement) that is a service contract after the date of adoption. Under previous accounting guidance, we capitalized certain implementation costs, primarily related to digital and consumer data platforms, to property and equipment on the condensed consolidated balance sheets and depreciated these implementation costs to depreciation and amortization expense in the consolidated statement of operations over the term of the service contract once the asset was ready for its intended use. The adoption of this standard will impact our condensed consolidated financial statements to the extent that implementation costs which were previously capitalized and depreciated as described above, will be included in prepaid expenses and other assets in the condensed consolidated balance sheets and amortized to selling and administrative expense in the consolidated statement of operations under this adopted guidance. We expect to incur additional costs to implement cloud computing arrangements during the remainder of Fiscal 2020 and expect the implementation costs capitalized to prepaid expense in the condensed consolidated balance sheet will increase accordingly. In June 2016, the FASB issued ASU 2016-13 , Financial Instruments-Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments . The ASU replaces the existing incurred loss impairment model for trade receivables with an expected loss model which requires the use of forward-looking information to calculate expected credit loss estimates. These changes may result in earlier recognition of credit losses. Early adoption is permitted and the guidance requires a modified retrospective method of adoption through a cumulative-effect adjustment to retained earnings as of the beginning of the first reporting period in which the guidance is effective. This guidance is effective for annual periods beginning after December 15, 2019. We plan to adopt this guidance during the first quarter of Fiscal 2021 and we are currently in the process of evaluating the impact of this update. We believe the adoption of the guidance will not have a material impact on our condensed consolidated financial statements. |
Revenue (Notes)
Revenue (Notes) | 9 Months Ended |
Jan. 25, 2020 | |
Revenue from Contract with Customer [Abstract] | |
Revenue from Contract with Customer [Text Block] | Note 4. Revenue Revenue from sales of our products and services is recognized either at the point in time when control of the products is transferred to our customers or over time as services are provided in an amount that reflects the consideration we expect to be entitled to in exchange for the products or services. See Note 2. Summary of Significant Accounting Pronouncements for additional information related to our revenue recognition policies and Note 6. Segment Reporting for a description of each segment's product and service offerings. Disaggregation of Revenue The following table disaggregates the revenue associated with our major product and service offerings: 13 weeks ended 39 weeks ended January 25, 2020 January 26, 2019 January 25, 2020 January 26, 2019 Retail Product Sales $ 400,170 $ 431,555 $ 1,320,587 $ 1,396,940 Rental Income 48,614 56,019 119,729 134,251 Service and Other Revenue (a) 9,204 10,572 34,097 37,946 Retail Total Sales $ 457,988 $ 498,146 $ 1,474,413 $ 1,569,137 Wholesale Sales $ 66,996 $ 78,508 $ 179,515 $ 209,282 DSS Sales (b) $ 6,435 $ 5,237 $ 17,024 $ 15,848 Eliminations (c) $ (29,127 ) $ (33,883 ) $ (76,775 ) $ (94,009 ) Total Sales $ 502,292 $ 548,008 $ 1,594,177 $ 1,700,258 (a) Service and other revenue primarily relates to brand partnerships and other service revenues. (b) DSS sales primarily relate to direct-to-student subscription-based revenue. (c) The sales eliminations represent the elimination of Wholesale sales and fulfillment service fees to Retail and the elimination of Retail commissions earned from Wholesale. Contract Assets and Contract Liabilities Contract assets represent the sale of goods or services to a customer before we have the right to obtain consideration from the customer. Contract assets consist of unbilled amounts at the reporting date and are transferred to accounts receivable when the rights become unconditional. Contract assets (unbilled receivables) were $0 as of January 25, 2020, January 26, 2019 and April 27, 2019 on our condensed consolidated balance sheets. Contract liabilities represent an obligation to transfer goods or services to a customer for which we have received consideration and consists of our deferred revenue liability (deferred revenue). Deferred revenue primarily consists of advanced payments from customers related to textbook rental and subscription-based performance obligations that have not yet been satisfied, as well as unsatisfied performance obligations associated with partnership marketing services. Deferred revenue is recognized ratably over the terms of the related rental or subscription periods, or when the contracted services are provided to our partnership marketing customers. Deferred revenue of $60,708 , $69,662 , and $20,418 is recorded within Accrued Liabilities on our condensed consolidated balance sheets for the periods ended January 25, 2020, January 26, 2019 and April 27, 2019, respectively. The following table presents changes in contract liabilities: 39 weeks ended January 25, 2020 January 26, 2019 Deferred revenue at the beginning of period $ 20,418 $ 20,144 Additions to deferred revenue during the period 170,375 189,832 Reductions to deferred revenue for revenue recognized during the period (130,085 ) (140,314 ) Deferred revenue balance at the end of period $ 60,708 $ 69,662 As of January 26, 2019, we expect to recognize $60,708 of the deferred revenue balance within the next 12 months. |
Leases (Notes)
Leases (Notes) | 9 Months Ended |
Jan. 25, 2020 | |
Leases [Abstract] | |
Leases of Lessee Disclosure [Text Block] | Note 5. Leases Effective the first quarter of Fiscal 2020 (April 28, 2019), we adopted FASB ASC 842, Leases (Topic 842), which requires us to recognize lease assets and lease liabilities on the condensed consolidated balance sheets for substantially all lease arrangements. We adopted this standard using a modified retrospective basis, with no restatement of prior periods. We elected the package of practical expedients permitted under the transition guidance for existing or expired contracts and did not reassess whether such contracts contain leases, the lease classification or the initial direct costs. Additionally, we utilized the historical lease term and did not utilize the practical expedient allowing the use of hindsight in determining the lease term and in assessing impairment of its right-of-use (“ROU”) assets. Additionally, we elected to apply the available practical expedient allowing for the election of an accounting policy by class of underlying asset to combine lease and non-lease components for all of our asset classes. Our portfolio of leases consists of operating leases comprised of operations agreements which grant us the right to operate on-campus bookstores at colleges and universities; real estate leases for office and warehouse operations; and vehicle leases. We do not have finance leases or short-term leases (i.e., those with a term of twelve months or less). We recognize a ROU asset and lease liability in our condensed consolidated balance sheets for leases with a term greater than twelve months. Options to extend or terminate a lease are included in the determination of the ROU asset and lease liability when it is reasonably certain that such options will be exercised. Our lease terms generally range from one year to fifteen years and a number of agreements contain minimum annual guarantees, many of which are adjusted at the start of each contract year based on the actual sales activity of the leased premises for the most recently completed contract year. Payment terms are based on the fixed rates explicit in the lease, including minimum annual guarantees, and/or variable rates based on: i) a percentage of revenues or sales arising at the relevant premises ("variable commissions"), and/or ii) operating expenses, such as common area charges, real estate taxes and insurance. For contracts with fixed lease payments, including those with minimum annual guarantees, we recognize lease expense on a straight-line basis over the lease term or over the contract year in order to best reflect the pattern of usage of the underlying leased asset and our minimum obligations arising from these types of leases. Our lease agreements do not contain any material residual value guarantees, material restrictions or covenants. We used our incremental borrowing rates to determine the present value of fixed lease payments based on the information available at the lease commencement date, as the rate implicit in the lease is not readily determinable. We utilized an estimated collateralized incremental borrowing rate as of the effective date or the commencement date of the lease, whichever is later. The following table summarizes lease expense for the 13 and 39 weeks ended January 25, 2020 : 13 weeks ended 39 weeks ended January 25, 2020 January 25, 2020 Variable lease expense $ 23,402 $ 54,412 Operating lease expense 37,188 137,148 Net lease expense $ 60,590 $ 191,560 The following table summarizes our minimum fixed lease obligations, excluding variable commissions, as of January 25, 2020 : As of January 25, 2020 Remainder of Fiscal 2020 $ 65,672 Fiscal 2021 63,753 Fiscal 2022 47,012 Fiscal 2023 39,724 Fiscal 2024 31,316 Thereafter 58,018 Total lease payments 305,495 Less: imputed interest (34,021 ) Operating lease liabilities at period end $ 271,474 Future lease payment obligations related to leases that were entered into, but did not commence as of January 25, 2020 , were not material. The following summarizes additional information related to our operating leases: As of January 25, 2020 Weighted average remaining lease term (in years) 4.9 years Weighted average discount rate 4.3 % Supplemental cash flow information: Cash payments for lease liabilities within operating activities $ 106,690 ROU assets obtained in exchange for lease liabilities from initial recognition $ 88,902 |
Segment Reporting (Notes)
Segment Reporting (Notes) | 9 Months Ended |
Jan. 25, 2020 | |
Segment Reporting | Note 6. Segment Reporting Prior to the fourth quarter of Fiscal 2019, we had three reportable segments: BNC, MBS, and DSS. During the fourth quarter of Fiscal 2019, in an effort to streamline our retail go-to-market strategy, reinforce our company branding, and more efficiently focus our product development efforts, we realigned our business and sales organization into the following three reportable segments: Retail, Wholesale and DSS. The Retail Segment combines the operations of the former BNC segment with MBS Direct (from the former MBS segment), the Wholesale Segment is comprised of the MBS wholesale business (from the former MBS segment), and the DSS Segment remains unchanged. Additionally, unallocated shared-service costs, which include various corporate level expenses and other governance functions, continue to be presented as “Corporate Services”. We identify our segments in accordance with the way our business is managed (focusing on the financial information distributed) and the manner in which our chief operating decision maker allocates resources and assesses financial performance. The following summarizes the three segments. For additional information about each segment's operations, see Part I - Item 1. Business in our Annual Report on Form 10-K for the year ended April 27, 2019 . Retail The Retail Segment operates 1,436 college, university, and K-12 school bookstores, comprised of 772 physical bookstores and 664 virtual bookstores. Our bookstores typically operate under agreements with the college, university, or K-12 schools to be the official bookstore, with the majority of these agreements providing us exclusive rights to sell course materials and supplies, including physical and digital products. The majority of the physical campus bookstores have school-branded e-commerce sites which we operate and which offer students access to affordable course materials and affinity products, including emblematic apparel and gifts. The Retail Segment also offers inclusive access programs, in which course materials, including e-content, are offered at a reduced price through a course materials fee, and delivered to students on or before the first day of class. Additionally, the Retail Segment offers a suite of digital content and services to colleges and universities, including a variety of open educational resource-based courseware. Wholesale The Wholesale Segment is comprised of our wholesale textbook business and is one of the largest textbook wholesalers in the country. The Wholesale Segment centrally sources, sells, and distributes new and used textbooks to approximately 3,500 physical bookstores (including our Retail Segment's 772 physical bookstores) and sources and distributes new and used textbooks to our 664 virtual bookstores. Additionally, the Wholesale Segment sells hardware and a software suite of applications that provides inventory management and point-of-sale solutions to approximately 400 college bookstores. DSS The Digital Student Solutions (“DSS”) Segment includes direct-to-student products and services to assist students to study more effectively and improve academic performance. The DSS Segment is comprised of the operations of Student Brands, LLC, a leading direct-to-student subscription-based writing services business, and bartleby ® , a direct-to-student subscription-based offering providing textbook solutions, expert questions and answers, tutoring and test prep services. Corporate Services Corporate Services represent unallocated shared-service costs which include corporate level expenses and other governance functions, including executive functions, such as accounting, legal, treasury, information technology, and human resources. Intercompany Eliminations The eliminations are primarily related to the following intercompany activities: • The sales eliminations represent the elimination of Wholesale sales and fulfillment service fees to Retail and the elimination of Retail commissions earned from Wholesale, and • These cost of sales eliminations represent (i) the recognition of intercompany profit for Retail inventory that was purchased from Wholesale in a prior period that was subsequently sold to external customers during the current period and the elimination of Wholesale service fees charged for fulfillment of inventory for virtual store sales, net of (ii) the elimination of intercompany profit for Wholesale inventory purchases by Retail that remain in ending inventory at the end of the current period. Our international operations are not material and the majority of the revenue and total assets are within the United States. Summarized financial information for our reportable segments is reported below: 13 weeks ended 39 weeks ended January 25, January 26, January 25, 2020 January 26, 2019 Sales: Retail $ 457,988 $ 498,146 $ 1,474,413 $ 1,569,137 Wholesale 66,996 78,508 179,515 209,282 DSS 6,435 5,237 17,024 15,848 Elimination (29,127 ) (33,883 ) (76,775 ) (94,009 ) Total Sales $ 502,292 $ 548,008 $ 1,594,177 $ 1,700,258 Gross Profit Retail $ 99,790 $ 106,244 $ 322,869 $ 341,466 Wholesale 14,235 22,739 41,688 56,559 DSS 5,283 4,969 13,838 15,312 Elimination (773 ) (999 ) (1,253 ) (3,014 ) Total Gross Profit $ 118,535 $ 132,953 $ 377,142 $ 410,323 Depreciation and Amortization Retail $ 11,699 $ 12,769 $ 35,372 $ 39,061 Wholesale 1,483 1,496 4,531 4,455 DSS 1,904 2,072 6,543 5,698 Corporate Services 31 37 96 119 Total Depreciation and Amortization $ 15,117 $ 16,374 $ 46,542 $ 49,333 Operating (Loss) Income Retail $ (3,747 ) $ (4,920 ) $ 11,478 $ 18,180 Wholesale 8,440 15,845 23,493 35,703 DSS (1,608 ) (678 ) (6,420 ) (627 ) Corporate Services (5,412 ) (6,234 ) (17,832 ) (17,862 ) Elimination (644 ) (992 ) (1,071 ) (2,966 ) Total Operating (Loss) Income $ (2,971 ) $ 3,021 $ 9,648 $ 32,428 13 weeks ended 39 weeks ended January 25, January 26, January 25, 2020 January 26, 2019 The following is a reconciliation of segment Operating (Loss) Income to consolidated (Loss) Income Before Income Taxes: Total Operating Income $ (2,971 ) $ 3,021 $ 9,648 $ 32,428 Interest Expense, net 1,904 2,546 5,882 7,904 (Loss) Income Before Income Taxes $ (4,875 ) $ 475 $ 3,766 $ 24,524 |
Equity and Earnings Per Share (
Equity and Earnings Per Share (Notes) | 9 Months Ended |
Jan. 25, 2020 | |
Net Earnings (Loss) Per Share | Note 7. Equity and Earnings Per Share Equity Share Repurchases On December 14, 2015, our Board of Directors authorized a stock repurchase program of up to $50,000 , in the aggregate, of our outstanding Common Stock. The stock repurchase program is carried out at the direction of management (which may include a plan under Rule 10b5-1 of the Securities Exchange Act of 1934). The stock repurchase program may be suspended, terminated, or modified at any time. Any repurchased shares will be held as treasury stock and will be available for general corporate purposes. During the 39 weeks ended January 25, 2020, we did not repurchase shares of our Common Stock under the program and as of January 25, 2020 , approximately $26,669 remains available under the stock repurchase program. During the 39 weeks ended January 25, 2020, we repurchased 374,733 shares of our Common Stock outside of the stock repurchase program in connection with employee tax withholding obligations for vested stock awards. Earnings Per Share Basic EPS is computed based upon the weighted average number of common shares outstanding for the year. Diluted EPS is computed based upon the weighted average number of common shares outstanding for the year plus the dilutive effect of common stock equivalents using the treasury stock method and the average market price of our common stock for the year. We include participating securities (unvested share-based payment awards that contain non-forfeitable rights to dividends or dividend equivalents) in the computation of EPS pursuant to the two-class method. Our participating securities consist solely of unvested restricted stock awards, which have contractual participation rights equivalent to those of stockholders of unrestricted common stock. The two-class method of computing earnings per share is an allocation method that calculates earnings per share for common stock and participating securities. During periods of net loss, no effect is given to the participating securities because they do not share in the losses of the Company. During the 13 weeks ended January 25, 2020 and January 26, 2019 average shares of 3,682,169 and 1,412,951 were excluded from the diluted earnings per share calculation as their inclusion would have been antidilutive, respectively. During the 39 weeks ended January 25, 2020 and January 26, 2019, average shares of 1,348,949 and 2,844,886 , respectively, were excluded from the diluted earnings per share calculation as their inclusion would have been antidilutive. The following is a reconciliation of the basic and diluted earnings (loss) per share calculation: 13 weeks ended 39 weeks ended (shares in thousands) January 25, January 26, January 25, January 26, Numerator for basic and diluted earnings per share: Net (loss) income available to common shareholders $ (1,693 ) $ 769 $ 2,083 $ 21,844 Less allocation of earnings to participating securities — — (1 ) (9 ) Net (loss) income available to common shareholders $ (1,693 ) $ 769 $ 2,082 $ 21,835 Numerator for diluted earnings per share: Net (loss) income available to common shareholders $ (1,693 ) $ 769 $ 2,082 $ 21,835 Allocation of earnings to participating securities — — 1 9 Less diluted allocation of earnings to participating securities — — (1 ) (9 ) Net (loss) income available to common shareholders $ (1,693 ) $ 769 $ 2,082 $ 21,835 Denominator for basic earnings per share: Basic weighted average shares of Common Stock 48,298 47,561 47,911 47,220 Denominator for diluted earnings per share: Basic weighted average shares of Common Stock 48,298 47,561 47,911 47,220 Average dilutive restricted stock units — 178 403 403 Average dilutive performance shares — 45 9 41 Average dilutive restricted shares — 3 12 10 Average dilutive performance share units — 150 432 98 Diluted weighted average shares of Common Stock 48,298 47,937 48,767 47,772 (Loss) Earnings per share of Common Stock: Basic $ (0.04 ) $ 0.02 $ 0.04 $ 0.46 Diluted $ (0.04 ) $ 0.02 $ 0.04 $ 0.46 |
Fair Values of Financial Instru
Fair Values of Financial Instruments (Notes) | 9 Months Ended |
Jan. 25, 2020 | |
Fair Values of Financial Instruments | Note 8. Fair Values of Financial Instruments In accordance with ASC No. 820, Fair Value Measurements and Disclosures , the fair value of an asset is considered to be the price at which the asset could be sold in an orderly transaction between unrelated knowledgeable and willing parties. A liability’s fair value is defined as the amount that would be paid to transfer the liability to a new obligor, not the amount that would be paid to settle the liability with the creditor. Assets and liabilities recorded at fair value are measured using a three-tier fair value hierarchy, which prioritizes the inputs used in measuring fair value. These tiers include: Level 1—Observable inputs that reflect quoted prices in active markets Level 2—Inputs other than quoted prices in active markets that are either directly or indirectly observable Level 3—Unobservable inputs in which little or no market data exists, therefore requiring us to develop our own assumptions Our financial instruments include cash and cash equivalents, receivables, accrued liabilities and accounts payable. The fair values of cash and cash equivalents, receivables, accrued liabilities and accounts payable approximates their carrying values because of the short-term nature of these instruments, which are all considered Level 1. The fair value of short-term and long-term debt approximates its carrying value. |
Credit Facility (Notes)
Credit Facility (Notes) | 9 Months Ended |
Jan. 25, 2020 | |
Credit Facility | Note 9. Credit Facility We have a credit agreement (the “Credit Agreement”), amended March 1, 2019, under which the lenders committed to provide us with a 5 -year asset-backed revolving credit facility in an aggregate committed principal amount of $400,000 (the “Credit Facility”). We have the option to request an increase in commitments under the Credit Facility of up to $100,000 , subject to certain restrictions. Proceeds from the Credit Facility are used for general corporate purposes, including seasonal working capital needs. The agreement includes an incremental first in, last out seasonal loan facility (the “FILO Facility”) for a $100,000 incremental facility maintaining the maximum availability under the Credit Agreement at $500,000 . As of January 25, 2020, we are in compliance with all debt covenants under the Credit Agreement. On March 2, 2020, we were granted a waiver to the condition to the upcoming draw under the FILO Facility, scheduled for April 2020, that Consolidated EBITDA (as defined in the Credit Agreement) minus Restricted Payments (as defined in the Credit Agreement) equal at least $90,000. In connection with the waiver, the applicable margin for credit extensions made under the FILO Facility after March 2, 2020 through the end of 2020 was increased by 0.50% (to 3.25% per annum for LIBO rate loans and 2.25% for base rate loans). For additional information including interest terms and covenant requirements related to the Credit Facility, refer to Part II - Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations - Liquidity in our Annual Report on Form 10-K for the year ended April 27, 2019. During the 39 weeks ended January 25, 2020 , we borrowed $383,400 and repaid $451,000 under the Credit Agreement, with $65,900 of outstanding borrowings as of January 25, 2020, comprised entirely of outstanding borrowings under the Credit Facility. During the 39 weeks ended January 26, 2019 , we borrowed $374,000 and repaid $500,300 under the Credit Agreement, with $70,100 of outstanding borrowings as of January 26, 2019, comprised entirely of outstanding borrowings under the Credit Facility. As of both January 25, 2020 and January 26, 2019 , we have issued $4,759 in letters of credit under the Credit Facility. |
Supplementary Information (Note
Supplementary Information (Notes) | 9 Months Ended |
Jan. 25, 2020 | |
Supplementary info [Abstract] | |
Supplementary Information [Text Block] | Note 10. Supplementary Information Impairment Loss (non-cash) We review our long-lived assets for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable in accordance with ASC 360-10, Accounting for the Impairment or Disposal of Long-Lived Assets . During the 39 weeks ended January 25, 2020 , we recognized an impairment loss (non-cash) of $433 in the Retail segment related to net capitalized development costs for a project which are not recoverable. Restructuring and other charges During the 13 and 39 weeks ended January 25, 2020 , we recognized expenses totaling $205 and $3,240 , respectively, comprised primarily of $0 and $791 , respectively, for severance and other employee termination and benefit costs associated with several management changes and the elimination of various positions as part of cost reduction objectives, and $205 and $2,449 , respectively, for professional service costs related to restructuring, process improvements, and shareholder activist activities. During the 13 and 39 weeks ended January 26, 2019, we recognized restructuring and other charges totaling $2,500 for severance and other employee termination and benefit costs associated with management changes. In February 2020, we implemented a cost reduction program designed to streamline our operations, maximize productivity and drive profitability. For additional information, see Note 15. Subsequent Event . |
Employees Benefit Plan (Notes)
Employees Benefit Plan (Notes) | 9 Months Ended |
Jan. 25, 2020 | |
Employees' Defined Contribution Plan | Note 11. Employee Benefit Plans We sponsor defined contribution plans for the benefit of substantially all of the employees of BNC and DSS. MBS maintains a profit sharing plan covering substantially all full-time employees of MBS. For all plans, we are responsible to fund the employer contributions directly. Total employee benefit expense for these plans was $844 and $1,509 during the 13 weeks ended January 25, 2020 and January 26, 2019 , respectively. Total employee benefit expense for these plans was $3,683 and $4,978 for the 39 weeks ended January 25, 2020 and January 26, 2019 , respectively. |
Stock-Based Compensation Stock-
Stock-Based Compensation Stock-Based Compensation (Notes) | 9 Months Ended |
Jan. 25, 2020 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Disclosure of Compensation Related Costs, Share-based Payments [Text Block] | Note 12. Stock-Based Compensation We recognize compensation expense for awards ratably over the requisite service period of the award, which is generally three years. We recognize compensation expense based on the number of awards expected to vest using an estimated average forfeiture rate. We calculate the fair value of stock-based awards based on the closing price on the date the award was granted for those awards with only service or performance conditions. For those awards with market conditions, we have determined the grant date fair value using the Monte Carlo simulation model. During the 39 weeks ended January 25, 2020 , we granted the following awards under the Equity Incentive Plan: • 190,480 restricted stock units ("RSU") awards and 38,096 restricted stock ("RS") awards with a one-year vesting period to the current Board of Directors ("BOD") members for annual compensation. • 709,517 performance share unit ("PSU") awards to employees that will vest based upon the achievement of pre-established performance goals related to absolute total shareholder returns ("TSR") determined by the Company's common stock price and Company Adjusted EBITDA measured over a two-year performance period (Fiscal 2020 - Fiscal 2021) with one additional year of time-based vesting. The number of PSU awards that will vest range from 0%-150% of the target award based on actual performance. • 1,350,674 RSU awards to employees with a three-year vesting period. We recognized stock-based compensation expense for equity-based awards in selling and administrative expenses as follows: 13 weeks ended 39 weeks ended January 25, January 26, January 25, January 26, Restricted stock expense $ 30 $ 30 $ 90 $ 80 Restricted stock units expense 1,515 1,860 5,227 6,010 Performance shares expense — (72 ) 12 42 Performance share units expense 274 60 671 719 Stock-based compensation expense $ 1,819 $ 1,878 $ 6,000 $ 6,851 Total unrecognized compensation cost related to unvested awards as of January 25, 2020 was $10,103 and is expected to be recognized over a weighted-average period of 1.8 years. Approximately $1,821 of the unrecognized compensation cost is related to performance shares and performance share units, which is subject to attaining the stated performance metrics. |
Income Taxes Income Taxes (Note
Income Taxes Income Taxes (Notes) | 9 Months Ended |
Jan. 25, 2020 | |
Income Tax Disclosure [Abstract] | |
Income Tax Disclosure [Text Block] | Note 13. Income Taxes We recorded income tax benefit of $(3,182) on a pre-tax loss of $(4,875) during the 13 weeks ended January 25, 2020 , which represented an effective income tax rate of 65.3% and income tax benefit of $(294) on pre-tax income of $475 during the 13 weeks ended January 26, 2019 , which represented an effective income tax rate of (61.9)% . The effective tax rate for the 13 weeks ended January 26, 2019 is higher as compared to the prior year comparable period due to permanent differences. We recorded income tax expense of $1,683 on a pre-tax income of $3,766 during the 39 weeks ended January 25, 2020 , which represented an effective income tax rate of 44.7% and income tax expense of $2,680 on pre-tax income of $24,524 during the 39 weeks ended January 26, 2019 , which represented an effective income tax rate of 10.9% . The effective tax rate for the 39 weeks ended January 26, 2019 is higher as compared to the prior year comparable period due to permanent differences. |
Legal Proceedings (Notes)
Legal Proceedings (Notes) | 9 Months Ended |
Jan. 25, 2020 | |
Legal Proceedings | Note 14. Legal Proceedings We are involved in a variety of claims, suits, investigations and proceedings that arise from time to time in the ordinary course of our business, including actions with respect to contracts, intellectual property, taxation, employment, benefits, personal injuries and other matters. The results of these proceedings in the ordinary course of business are not expected to have a material adverse effect on our condensed consolidated financial position, results of operations, or cash flows. On or about January 22, 2020, a purported class action complaint was filed in the United States District Court for the District of Delaware against the Company, along with several publishers, another collegiate bookstore retailer, and an industry association by Campus Book Company, Inc., BJJ Corporation, CBSKY, Inc., CBSNM, Inc., and Renttext.com, Inc. The plaintiffs claim, on their own behalf and on behalf of the purported class, that the Company and the other defendants violated Section 1 of the Sherman Act (15 U.S.C. § 1), Section 2 of the Sherman Act (15 U.S.C. § 2), Section 13(a) of the Robinson-Patman Act (15 U.S.C. §13(a)), and various state antitrust and unfair trade practices laws for alleged activities in connection with inclusive access and the sale of course materials to universities and their students. We intend to vigorously defend this matter and are currently unable to estimate any potential losses. |
Subsequent Event (Notes)
Subsequent Event (Notes) | 9 Months Ended |
Jan. 25, 2020 | |
Subsequent Events [Abstract] | |
Subsequent Events [Text Block] | Note 15. Subsequent Event In February 2020, we implemented a significant cost reduction program designed to streamline our operations, maximize productivity and drive profitability. Certain elements of this plan have recently been implemented, while other actions are planned for Fiscal 2021, which begins in May 2020. We anticipate meaningful annualized cost savings from this program, the majority of which are expected to be realized beginning in Fiscal 2021. As a result of the personnel and related elements of this program, we expect to recognize a restructuring charge of $10,000 to $15,000 during the fourth quarter of Fiscal 2020. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 9 Months Ended |
Jan. 25, 2020 | |
Basis of Presentation | Basis of Presentation and Consolidation Our condensed consolidated financial statements reflect our condensed consolidated financial position, results of operations and cash flows in conformity with accounting principles generally accepted in the United States (“GAAP”). In the opinion of the Company’s management, the accompanying unaudited condensed consolidated financial statements of the Company contain all adjustments (consisting of only normal recurring adjustments) necessary to present fairly its consolidated financial position and the results of its operations and cash flows for the periods reported. These condensed consolidated financial statements are condensed and therefore do not include all of the information and footnotes required by GAAP. All material intercompany accounts and transactions have been eliminated in consolidation. Our business is highly seasonal. Our quarterly results also may fluctuate depending on the timing of the start of the various schools' semesters, as well as shifts in our fiscal calendar dates. These shifts in timing may affect the comparability of our results across periods. Our fiscal year is comprised of 52 or 53 weeks, ending on the Saturday closest to the last day of April. Due to the seasonal nature of the business, the results of operations for the 13 and 39 weeks ended January 25, 2020 are not indicative of the results expected for the 53 weeks ending May 2, 2020 (Fiscal 2020). For certain of our retail operations, sales are generally highest in the second and third fiscal quarters, when students purchase and rent textbooks and other course materials for the typical academic year, and lowest in the first and fourth fiscal quarters. Sales attributable to our wholesale business are generally highest in our first, second and third quarters, as MBS sells textbooks and other course materials for retail distribution. Our DSS segment sales and operating profit are realized relatively consistently throughout the year. |
Use of Estimates | Use of Estimates In preparing financial statements in conformity with GAAP, we are required to make estimates and assumptions that affect the reported amounts in the condensed consolidated financial statements and accompanying notes. Actual results could differ from those estimates. |
Merchandise Inventories | Merchandise Inventories Merchandise inventories, which consist of finished goods, are stated at the lower of cost or market. Market value of our inventory, which is all purchased finished goods, is determined based on its estimated net realizable value, which is generally the selling price less normally predictable costs of disposal and transportation. Reserves for non-returnable inventory are based on our history of liquidating non-returnable inventory. Cost is determined primarily by the retail inventory method for our Retail segment and last-in first out, or “LIFO”, method for our Wholesale segment. Our textbook inventories, for Retail and Wholesale, and trade book inventories are valued using the LIFO method and the related reserve was not material to the recorded amount of our inventories. For our physical bookstores, we also estimate and accrue shortage for the period between the last physical count of inventory and the balance sheet date. Shortage rates are estimated and accrued based on historical rates and can be affected by changes in merchandise mix and changes in actual shortage trends. |
Textbook Rentals Inventories | Textbook Rental Inventories Physical textbooks out on rent are categorized as textbook rental inventories. At the time a rental transaction is consummated, the book is removed from merchandise inventories and moved to textbook rental inventories at cost. The cost of the book is amortized down to its estimated residual value over the rental period. The related amortization expense is included in cost of goods sold. At the end of the rental period, upon return, the book is removed from textbook rental inventories and recorded in merchandise inventories at its amortized cost. |
Revenue Recognition | Revenue Recognition and Deferred Revenue Product sales and rentals The majority of our revenue is derived from the sale of products through our bookstore locations, including virtual bookstores, and our bookstore affiliated e-commerce websites, and contains a single performance obligation. Revenue from sales of our products is recognized at the point in time when control of the products is transferred to our customers in an amount that reflects the consideration we expect to be entitled to in exchange for the products. For additional information, see Note 4. Revenue. Retail product revenue is recognized when the customer takes physical possession of our products, which occurs either at the point of sale for products purchased at physical locations or upon receipt of our products by our customers for products ordered through our websites and virtual bookstores. Wholesale product revenue is recognized upon shipment of physical textbooks at which point title passes and risk of loss is transferred to the customer. Additional revenue is recognized for shipping charges billed to customers and shipping costs are accounted for as fulfillment costs within cost of goods sold. Revenue from the rental of physical textbooks, which contains a single performance obligation, is deferred and recognized over the rental period based on the passage of time commencing at the point of sale, when control of the product transfers to the customer. Rental periods are typically for a single semester and are always less than one year in duration. We offer a buyout option to allow the purchase of a rented physical textbook at the end of the rental period if the customer desires to do so. We record the buyout purchase when the customer exercises and pays the buyout option price which is determined at the time of the buyout. In these instances, we accelerate any remaining deferred rental revenue at the point of sale. Revenue from the rental of digital textbooks, which contains a single performance obligation, is recognized at the point of sale. A software feature is embedded within the content of our digital textbooks, such that upon expiration of the rental term the customer is no longer able to access the content. While the digital rental allows the customer to access digital content for a fixed period of time, once the digital content is delivered to the customer, our performance obligation is complete. We estimate returns based on an analysis of historical experience. A provision for anticipated merchandise returns is provided through a reduction of sales and cost of goods sold in the period that the related sales are recorded. For sales and rentals involving third-party products, we evaluate whether we are acting as a principal or an agent. Our determination is based on our evaluation of whether we control the specified goods or services prior to transferring them to the customer. There are significant judgments involved in determining whether we control the specified goods or services prior to transferring them to the customer including whether we have the ability to direct the use of the good or service and obtain substantially all of the remaining benefits from the good or service. For those transactions where we are the principal, we record revenue on a gross basis, and for those transactions where we are an agent to a third-party, we record revenue on a net basis. We do not have gift card or customer loyalty programs. We do not treat any promotional offers as expenses. Sales tax collected from our customers is excluded from reported revenues. Our payment terms are generally 30 days and do not extend beyond one year. Service and other revenue Service and other revenue is primarily derived from DSS segment subscription-based service revenues and partnership marketing services which includes promotional activities and advertisements within our physical bookstores and web properties performed on behalf of third-party customers. Subscription-based revenue, which contains a single performance obligation, is deferred and recognized based on the passage of time over the subscription period commencing at the point of sale, when control of the service transfers to the customer. The majority of subscriptions sold are one month in duration. Partnership marketing agreements often include multiple performance obligations which are individually negotiated with our customers. For these arrangements that contain distinct performance obligations, we allocate the transaction price based on the relative standalone selling price method by comparing the standalone selling price (“SSP”) of each distinct performance obligation to the total value of the contract. The revenue is recognized as each performance obligation is satisfied, typically at a point in time for partnership marketing service and overtime for advertising efforts as measured based upon the passage of time for contracts that are based on a stated period of time or the number of impressions delivered for contracts with a fixed number of impressions. |
Lessee, Leases [Policy Text Block] | Effective the first quarter of Fiscal 2020 (April 28, 2019), we adopted FASB ASC 842, Leases (Topic 842), which requires us to recognize lease assets and lease liabilities on the condensed consolidated balance sheets for substantially all lease arrangements. We adopted this standard using a modified retrospective basis, with no restatement of prior periods. We elected the package of practical expedients permitted under the transition guidance for existing or expired contracts and did not reassess whether such contracts contain leases, the lease classification or the initial direct costs. Additionally, we utilized the historical lease term and did not utilize the practical expedient allowing the use of hindsight in determining the lease term and in assessing impairment of its right-of-use (“ROU”) assets. Additionally, we elected to apply the available practical expedient allowing for the election of an accounting policy by class of underlying asset to combine lease and non-lease components for all of our asset classes. Our portfolio of leases consists of operating leases comprised of operations agreements which grant us the right to operate on-campus bookstores at colleges and universities; real estate leases for office and warehouse operations; and vehicle leases. We do not have finance leases or short-term leases (i.e., those with a term of twelve months or less). We recognize a ROU asset and lease liability in our condensed consolidated balance sheets for leases with a term greater than twelve months. Options to extend or terminate a lease are included in the determination of the ROU asset and lease liability when it is reasonably certain that such options will be exercised. Our lease terms generally range from one year to fifteen years and a number of agreements contain minimum annual guarantees, many of which are adjusted at the start of each contract year based on the actual sales activity of the leased premises for the most recently completed contract year. Payment terms are based on the fixed rates explicit in the lease, including minimum annual guarantees, and/or variable rates based on: i) a percentage of revenues or sales arising at the relevant premises ("variable commissions"), and/or ii) operating expenses, such as common area charges, real estate taxes and insurance. For contracts with fixed lease payments, including those with minimum annual guarantees, we recognize lease expense on a straight-line basis over the lease term or over the contract year in order to best reflect the pattern of usage of the underlying leased asset and our minimum obligations arising from these types of leases. Our lease agreements do not contain any material residual value guarantees, material restrictions or covenants. We used our incremental borrowing rates to determine the present value of fixed lease payments based on the information available at the lease commencement date, as the rate implicit in the lease is not readily determinable. We utilized an estimated collateralized incremental borrowing rate as of the effective date or the commencement date of the lease, whichever is later. |
Cost of Sales, Policy [Policy Text Block] | Cost of Sales Our cost of sales primarily includes costs such as merchandise costs, textbook rental amortization, content development cost amortization, warehouse costs related to inventory management and order fulfillment, insurance, certain payroll costs, and management service agreement costs, including rent expense, related to our college and university contracts and other facility related expenses. |
Selling, General and Administrative Expenses, Policy [Policy Text Block] | Selling and Administrative Expenses Our selling and administrative expenses consist primarily of store payroll and store operating expenses. Selling and administrative expenses also include stock-based compensation and general office expenses, such as merchandising, procurement, field support, finance and accounting, and operating costs related to our DSS segment subscription-based services business. Shared-service costs such as human resources, legal, treasury, information technology, and various other corporate level expenses and other governance functions, are not allocated to any specific reporting segment and are recorded in Corporate Services. |
Implementation Costs Policy [Policy Text Block] | Under previous accounting guidance, we capitalized certain implementation costs, primarily related to digital and consumer data platforms, to property and equipment on the condensed consolidated balance sheets and depreciated these implementation costs to depreciation and amortization expense in the consolidated statement of operations over the term of the service contract once the asset was ready for its intended use. The adoption of this standard will impact our condensed consolidated financial statements to the extent that implementation costs which were previously capitalized and depreciated as described above, will be included in prepaid expenses and other assets in the condensed consolidated balance sheets and amortized to selling and administrative expense in the consolidated statement of operations under this adopted guidance. |
Goodwill and Intangible Assets, Goodwill, Policy [Policy Text Block] | Evaluation of Goodwill and Other Long-Lived Assets As of January 25, 2020 , we had $0 , $0 and $4,700 of goodwill on our condensed consolidated balance sheet related to our Retail, Wholesale and DSS reporting units, respectively. In accordance with ASC 350-10, Intangibles - Goodwill and Other, we complete our annual goodwill impairment test as of the first day of the third quarter of each fiscal year, or whenever events or changes in circumstances indicate that the carrying amount of the reporting unit exceeds its fair value. We completed our annual goodwill impairment test as of the first day of the third quarter of Fiscal 2020. In performing the valuation, we used cash flows that reflected management’s forecasts and discount rates that included risk adjustments consistent with the current market conditions. The fair value of the DSS reporting unit was determined to exceed the carrying value of the reporting unit; therefore, no goodwill impairment was recognized. During the 13 and 39 weeks ended January 26, 2019, we completed our annual goodwill impairment test for Fiscal 2019 and concluded that the fair value of the MBS and DSS reporting units, as they existed at that time, each exceeded their respective carrying values and no goodwill impairment was recognized. In the fourth quarter of Fiscal 2019, due to the change in our reporting units identified as a result of the change in our reportable segments, we recognized a total goodwill impairment (non-cash impairment loss) of $49,282, consisting of the full carrying value of the goodwill allocated to the Retail and Wholesale reporting units. |
Impairment or Disposal of Long-Lived Assets, Policy [Policy Text Block] | Our other long-lived assets include property and equipment and amortizable intangibles. As of January 25, 2020 , we had $101,055 and $179,596 of property and equipment and amortizable intangible assets, net of depreciation and amortization, respectively, on our condensed consolidated balance sheet. We review our long-lived assets for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable in accordance with ASC 360-10, Accounting for the Impairment or Disposal of Long |
Consolidation, Subsidiaries or Other Investments, Consolidated Entities, Policy [Policy Text Block] | Intercompany Eliminations The eliminations are primarily related to the following intercompany activities: • The sales eliminations represent the elimination of Wholesale sales and fulfillment service fees to Retail and the elimination of Retail commissions earned from Wholesale, and • These cost of sales eliminations represent (i) the recognition of intercompany profit for Retail inventory that was purchased from Wholesale in a prior period that was subsequently sold to external customers during the current period and the elimination of Wholesale service fees charged for fulfillment of inventory for virtual store sales, net of (ii) the elimination of intercompany profit for Wholesale inventory purchases by Retail that remain in ending inventory at the end of the current period. Our international operations are not material and the majority of the revenue and total assets are within the United States. |
Share Repurchase [Policy Text Block] | Share Repurchases On December 14, 2015, our Board of Directors authorized a stock repurchase program of up to $50,000 , in the aggregate, of our outstanding Common Stock. The stock repurchase program is carried out at the direction of management (which may include a plan under Rule 10b5-1 of the Securities Exchange Act of 1934). The stock repurchase program may be suspended, terminated, or modified at any time. Any repurchased shares will be held as treasury stock and will be available for general corporate purposes. |
Fair Values of Financial Instruments | In accordance with ASC No. 820, Fair Value Measurements and Disclosures , the fair value of an asset is considered to be the price at which the asset could be sold in an orderly transaction between unrelated knowledgeable and willing parties. A liability’s fair value is defined as the amount that would be paid to transfer the liability to a new obligor, not the amount that would be paid to settle the liability with the creditor. Assets and liabilities recorded at fair value are measured using a three-tier fair value hierarchy, which prioritizes the inputs used in measuring fair value. These tiers include: Level 1—Observable inputs that reflect quoted prices in active markets Level 2—Inputs other than quoted prices in active markets that are either directly or indirectly observable Level 3—Unobservable inputs in which little or no market data exists, therefore requiring us to develop our own assumptions Our financial instruments include cash and cash equivalents, receivables, accrued liabilities and accounts payable. The fair values of cash and cash equivalents, receivables, accrued liabilities and accounts payable approximates their carrying values because of the short-term nature of these instruments, which are all considered Level 1. The fair value of short-term and long-term debt approximates its carrying value. |
Net Earnings (Loss) Per Share | Earnings Per Share Basic EPS is computed based upon the weighted average number of common shares outstanding for the year. Diluted EPS is computed based upon the weighted average number of common shares outstanding for the year plus the dilutive effect of common stock equivalents using the treasury stock method and the average market price of our common stock for the year. We include participating securities (unvested share-based payment awards that contain non-forfeitable rights to dividends or dividend equivalents) in the computation of EPS pursuant to the two-class method. Our participating securities consist solely of unvested restricted stock awards, which have contractual participation rights equivalent to those of stockholders of unrestricted common stock. The two-class method of computing earnings per share is an allocation method that calculates earnings per share for common stock and participating securities. During periods of net loss, no effect is given to the participating securities because they do not share in the losses of the Company. |
Share-based Compensation, Option and Incentive Plans Policy [Policy Text Block] | We recognize compensation expense for awards ratably over the requisite service period of the award, which is generally three years. We recognize compensation expense based on the number of awards expected to vest using an estimated average forfeiture rate. We calculate the fair value of stock-based awards based on the closing price on the date the award was granted for those awards with only service or performance conditions. For those awards with market conditions, we have determined the grant date fair value using the Monte Carlo simulation model. |
Income Tax, Policy [Policy Text Block] | Income Taxes As of January 25, 2020 , other long-term liabilities includes $32,847 related to the long-term tax payable associated with the LIFO reserve. The LIFO reserve is impacted by changes in the consumer price index (“CPI”) and is dependent on the inventory levels at the end of our tax year (on or about January 31st) which is in the middle of our second largest selling cycle. At the end of the most recent tax year, inventory levels declined as compared to the prior year resulting in approximately $7,260 of the LIFO reserve becoming currently payable. Given recent trends relating to the pricing and rental of textbooks, management believes that an additional portion of the remaining long-term tax payable associated with the LIFO reserve could be payable within the next twelve months. We are unable to predict future trends for CPI and inventory levels, therefore it is difficult to project with reasonable certainty how much of this liability will become payable within the next twelve months. |
Revenue (Tables)
Revenue (Tables) | 9 Months Ended |
Jan. 25, 2020 | |
Disaggregation of Revenue [Line Items] | |
Disaggregation of Revenue [Table Text Block] | Disaggregation of Revenue The following table disaggregates the revenue associated with our major product and service offerings: 13 weeks ended 39 weeks ended January 25, 2020 January 26, 2019 January 25, 2020 January 26, 2019 Retail Product Sales $ 400,170 $ 431,555 $ 1,320,587 $ 1,396,940 Rental Income 48,614 56,019 119,729 134,251 Service and Other Revenue (a) 9,204 10,572 34,097 37,946 Retail Total Sales $ 457,988 $ 498,146 $ 1,474,413 $ 1,569,137 Wholesale Sales $ 66,996 $ 78,508 $ 179,515 $ 209,282 DSS Sales (b) $ 6,435 $ 5,237 $ 17,024 $ 15,848 Eliminations (c) $ (29,127 ) $ (33,883 ) $ (76,775 ) $ (94,009 ) Total Sales $ 502,292 $ 548,008 $ 1,594,177 $ 1,700,258 (a) Service and other revenue primarily relates to brand partnerships and other service revenues. (b) DSS sales primarily relate to direct-to-student subscription-based revenue. (c) The sales eliminations represent the elimination of Wholesale sales and fulfillment service fees to Retail and the elimination of Retail commissions earned from Wholesale |
Revenue Deferred Revenue (Table
Revenue Deferred Revenue (Tables) | 9 Months Ended |
Jan. 25, 2020 | |
Revenue Recognition and Deferred Revenue [Abstract] | |
Contract with Customer, Asset and Liability [Table Text Block] | The following table presents changes in contract liabilities: 39 weeks ended January 25, 2020 January 26, 2019 Deferred revenue at the beginning of period $ 20,418 $ 20,144 Additions to deferred revenue during the period 170,375 189,832 Reductions to deferred revenue for revenue recognized during the period (130,085 ) (140,314 ) Deferred revenue balance at the end of period $ 60,708 $ 69,662 |
Leases (Tables)
Leases (Tables) | 9 Months Ended |
Jan. 25, 2020 | |
Leases [Abstract] | |
Schedule of Rent Expense [Table Text Block] | The following table summarizes lease expense for the 13 and 39 weeks ended January 25, 2020 : 13 weeks ended 39 weeks ended January 25, 2020 January 25, 2020 Variable lease expense $ 23,402 $ 54,412 Operating lease expense 37,188 137,148 Net lease expense $ 60,590 $ 191,560 |
Lessee, Operating Lease, Liability, Maturity [Table Text Block] | The following table summarizes our minimum fixed lease obligations, excluding variable commissions, as of January 25, 2020 : As of January 25, 2020 Remainder of Fiscal 2020 $ 65,672 Fiscal 2021 63,753 Fiscal 2022 47,012 Fiscal 2023 39,724 Fiscal 2024 31,316 Thereafter 58,018 Total lease payments 305,495 Less: imputed interest (34,021 ) Operating lease liabilities at period end $ 271,474 |
Supplemental Operating Lease Disclosures [Table Text Block] | The following summarizes additional information related to our operating leases: As of January 25, 2020 Weighted average remaining lease term (in years) 4.9 years Weighted average discount rate 4.3 % Supplemental cash flow information: Cash payments for lease liabilities within operating activities $ 106,690 ROU assets obtained in exchange for lease liabilities from initial recognition $ 88,902 |
Segment Reporting Segment Repor
Segment Reporting Segment Reporting (Tables) | 9 Months Ended |
Jan. 25, 2020 | |
Segment Reporting Information [Line Items] | |
Schedule of Segment Reporting Information, by Segment [Table Text Block] | Summarized financial information for our reportable segments is reported below: 13 weeks ended 39 weeks ended January 25, January 26, January 25, 2020 January 26, 2019 Sales: Retail $ 457,988 $ 498,146 $ 1,474,413 $ 1,569,137 Wholesale 66,996 78,508 179,515 209,282 DSS 6,435 5,237 17,024 15,848 Elimination (29,127 ) (33,883 ) (76,775 ) (94,009 ) Total Sales $ 502,292 $ 548,008 $ 1,594,177 $ 1,700,258 Gross Profit Retail $ 99,790 $ 106,244 $ 322,869 $ 341,466 Wholesale 14,235 22,739 41,688 56,559 DSS 5,283 4,969 13,838 15,312 Elimination (773 ) (999 ) (1,253 ) (3,014 ) Total Gross Profit $ 118,535 $ 132,953 $ 377,142 $ 410,323 Depreciation and Amortization Retail $ 11,699 $ 12,769 $ 35,372 $ 39,061 Wholesale 1,483 1,496 4,531 4,455 DSS 1,904 2,072 6,543 5,698 Corporate Services 31 37 96 119 Total Depreciation and Amortization $ 15,117 $ 16,374 $ 46,542 $ 49,333 Operating (Loss) Income Retail $ (3,747 ) $ (4,920 ) $ 11,478 $ 18,180 Wholesale 8,440 15,845 23,493 35,703 DSS (1,608 ) (678 ) (6,420 ) (627 ) Corporate Services (5,412 ) (6,234 ) (17,832 ) (17,862 ) Elimination (644 ) (992 ) (1,071 ) (2,966 ) Total Operating (Loss) Income $ (2,971 ) $ 3,021 $ 9,648 $ 32,428 |
Reconciliation of Operating Profit (Loss) from Segments to Consolidated [Table Text Block] | 13 weeks ended 39 weeks ended January 25, January 26, January 25, 2020 January 26, 2019 The following is a reconciliation of segment Operating (Loss) Income to consolidated (Loss) Income Before Income Taxes: Total Operating Income $ (2,971 ) $ 3,021 $ 9,648 $ 32,428 Interest Expense, net 1,904 2,546 5,882 7,904 (Loss) Income Before Income Taxes $ (4,875 ) $ 475 $ 3,766 $ 24,524 |
Net Earnings (Loss) Per Share (
Net Earnings (Loss) Per Share (Tables) | 9 Months Ended |
Jan. 25, 2020 | |
Reconciliation of Basic and Diluted Loss Per Share | The following is a reconciliation of the basic and diluted earnings (loss) per share calculation: 13 weeks ended 39 weeks ended (shares in thousands) January 25, January 26, January 25, January 26, Numerator for basic and diluted earnings per share: Net (loss) income available to common shareholders $ (1,693 ) $ 769 $ 2,083 $ 21,844 Less allocation of earnings to participating securities — — (1 ) (9 ) Net (loss) income available to common shareholders $ (1,693 ) $ 769 $ 2,082 $ 21,835 Numerator for diluted earnings per share: Net (loss) income available to common shareholders $ (1,693 ) $ 769 $ 2,082 $ 21,835 Allocation of earnings to participating securities — — 1 9 Less diluted allocation of earnings to participating securities — — (1 ) (9 ) Net (loss) income available to common shareholders $ (1,693 ) $ 769 $ 2,082 $ 21,835 Denominator for basic earnings per share: Basic weighted average shares of Common Stock 48,298 47,561 47,911 47,220 Denominator for diluted earnings per share: Basic weighted average shares of Common Stock 48,298 47,561 47,911 47,220 Average dilutive restricted stock units — 178 403 403 Average dilutive performance shares — 45 9 41 Average dilutive restricted shares — 3 12 10 Average dilutive performance share units — 150 432 98 Diluted weighted average shares of Common Stock 48,298 47,937 48,767 47,772 (Loss) Earnings per share of Common Stock: Basic $ (0.04 ) $ 0.02 $ 0.04 $ 0.46 Diluted $ (0.04 ) $ 0.02 $ 0.04 $ 0.46 |
Stock-Based Compensation Stoc_2
Stock-Based Compensation Stock-Based Compensation (Tables) | 9 Months Ended |
Jan. 25, 2020 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Schedule of Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Table Text Block] | We recognized stock-based compensation expense for equity-based awards in selling and administrative expenses as follows: 13 weeks ended 39 weeks ended January 25, January 26, January 25, January 26, Restricted stock expense $ 30 $ 30 $ 90 $ 80 Restricted stock units expense 1,515 1,860 5,227 6,010 Performance shares expense — (72 ) 12 42 Performance share units expense 274 60 671 719 Stock-based compensation expense $ 1,819 $ 1,878 $ 6,000 $ 6,851 |
Organization - Additional Infor
Organization - Additional Information (Detail) Person in Millions | 9 Months Ended | 12 Months Ended |
Jan. 25, 2020PersonStoresegment | Apr. 27, 2019segment | |
Organization Consolidation And Presentation Of Financial Statements [Line Items] | ||
Number of Stores | Store | 1,436 | |
Number of students covered to build relationships and derive sales | Person | 6 | |
Number of Reportable Segments | segment | 3 | 3 |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies Summary of Significant Accounting Policies (Details) - USD ($) $ in Thousands | Jan. 25, 2020 | Oct. 26, 2019 | Apr. 28, 2019 | Apr. 27, 2019 | Jan. 26, 2019 |
Operating Lease, Right-of-Use Asset | $ 251,743 | $ 277,006 | $ 0 | $ 0 | |
Operating Lease, Liability | 271,474 | $ 294,727 | |||
Goodwill | 4,700 | 4,700 | 53,982 | ||
Property, Plant and Equipment, Net | 101,055 | 109,777 | 109,414 | ||
Intangible Assets, Net (Excluding Goodwill) | 179,596 | 194,978 | 208,439 | ||
Liabilities, Current | 685,002 | $ 408,538 | $ 684,646 | ||
Deferred Tax Asset Current [Member] | |||||
Liabilities, Noncurrent | 32,847 | ||||
Liabilities, Current | 7,260 | ||||
Wholesale [Member] | |||||
Goodwill | $ 0 | ||||
Retail [Member] | |||||
Goodwill | 0 | ||||
DSS [Member] | |||||
Goodwill | $ 4,700 |
Revenue (Details)
Revenue (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||||
Jan. 25, 2020 | Jan. 26, 2019 | Jan. 25, 2020 | Jan. 26, 2019 | Apr. 27, 2019 | Oct. 27, 2018 | Apr. 28, 2018 | |
Disaggregation of Revenue [Line Items] | |||||||
Revenues | $ 502,292 | $ 548,008 | $ 1,594,177 | $ 1,700,258 | |||
Rental income | 48,614 | 56,019 | 119,729 | 134,251 | |||
Contract with Customer, Liability, Current | 60,708 | 60,708 | |||||
Contract with Customer, Asset, Net | 0 | 0 | $ 0 | $ 0 | |||
Deferred Revenue | 60,708 | 69,662 | 60,708 | 69,662 | $ 20,418 | $ 20,144 | |
Deferred Revenue, Additions | 170,375 | 189,832 | |||||
Contract with Customer, Liability, Revenue Recognized | (130,085) | (140,314) | |||||
Retail Segment [Member] | |||||||
Disaggregation of Revenue [Line Items] | |||||||
Revenues | 457,988 | 498,146 | |||||
Rental income | 48,614 | 56,019 | |||||
Retail Segment [Member] | Retail Product [Member] | |||||||
Disaggregation of Revenue [Line Items] | |||||||
Revenues | 400,170 | 431,555 | |||||
Retail Segment [Member] | Service and Other [Member] | |||||||
Disaggregation of Revenue [Line Items] | |||||||
Revenues | 9,204 | 10,572 | |||||
BNC [Member] | |||||||
Disaggregation of Revenue [Line Items] | |||||||
Revenues | 1,474,413 | 1,569,137 | |||||
Rental income | 119,729 | 134,251 | |||||
BNC [Member] | Retail Product [Member] | |||||||
Disaggregation of Revenue [Line Items] | |||||||
Revenues | 1,320,587 | 1,396,940 | |||||
BNC [Member] | Service and Other [Member] | |||||||
Disaggregation of Revenue [Line Items] | |||||||
Revenues | 34,097 | 37,946 | |||||
MBS [Member] | |||||||
Disaggregation of Revenue [Line Items] | |||||||
Revenues | 179,515 | 209,282 | |||||
Wholesale [Member] | |||||||
Disaggregation of Revenue [Line Items] | |||||||
Revenues | 66,996 | 78,508 | |||||
DSS [Member] | |||||||
Disaggregation of Revenue [Line Items] | |||||||
Revenues | 6,435 | 5,237 | 17,024 | 15,848 | |||
Intersegment Eliminations [Member] | |||||||
Disaggregation of Revenue [Line Items] | |||||||
Revenues | $ (29,127) | $ (33,883) | $ (76,775) | $ (94,009) |
Leases Leases (Details)
Leases Leases (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |
Jan. 25, 2020 | Jan. 25, 2020 | Apr. 28, 2019 | |
Leases [Abstract] | |||
Operating Lease, Weighted Average Remaining Lease Term | 4 years 10 months 15 days | 4 years 10 months 15 days | |
Lessee, Operating Lease, Liability, Payments, Remainder of Fiscal Year | $ 65,672 | $ 65,672 | |
Variable Lease, Cost | 23,402 | 54,412 | |
Lease, Cost | 37,188 | 137,148 | |
Operating Lease, Expense | 60,590 | 191,560 | |
Lessee, Operating Lease, Liability, Payments, Due Year Two | 63,753 | 63,753 | |
Lessee, Operating Lease, Liability, Payments, Due Year Three | 47,012 | 47,012 | |
Lessee, Operating Lease, Liability, Payments, Due Year Four | 39,724 | 39,724 | |
Lessee, Operating Lease, Liability, Payments, Due Year Five | 31,316 | 31,316 | |
Lessee, Operating Lease, Liability, Payments, Due after Year Five | 58,018 | 58,018 | |
Lessee, Operating Lease, Liability, Payments, Due | 305,495 | 305,495 | |
Lessee, Operating Lease, Liability, Undiscounted Excess Amount | 34,021 | 34,021 | |
Operating Lease, Liability | $ 271,474 | $ 271,474 | $ 294,727 |
Operating Lease, Weighted Average Discount Rate, Percent | 4.30% | 4.30% | |
Operating Lease, Payments | $ 106,690 | ||
ROU Asst Obtained in Exchange for Lease Liabilites | $ 88,902 |
Segment Reporting Segment Rep_2
Segment Reporting Segment Reporting (Details) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Jan. 25, 2020USD ($)Store | Jan. 26, 2019USD ($) | Jan. 25, 2020USD ($)Storesegment | Jan. 26, 2019USD ($) | Apr. 27, 2019segment | |
Segment Reporting Information [Line Items] | |||||
Revenues | $ 502,292 | $ 548,008 | $ 1,594,177 | $ 1,700,258 | |
Number of Reportable Segments | segment | 3 | 3 | |||
Number of Stores | Store | 1,436 | 1,436 | |||
Gross Profit | $ 118,535 | 132,953 | $ 377,142 | 410,323 | |
Depreciation and amortization expense | 15,117 | 16,374 | 46,542 | 49,333 | |
Operating Income (Loss) | (2,971) | 3,021 | 9,648 | 32,428 | |
Interest expense, net | 1,904 | 2,546 | 5,882 | 7,904 | |
Income (Loss) from Continuing Operations before Equity Method Investments, Income Taxes, Noncontrolling Interest | $ (4,875) | 475 | $ 3,766 | 24,524 | |
Number of System Customers | Store | 400 | 400 | |||
Retail Segment [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Revenues | $ 457,988 | 498,146 | |||
Gross Profit | 99,790 | 106,244 | |||
Depreciation and amortization expense | 11,699 | 12,769 | |||
Operating Income (Loss) | (3,747) | (4,920) | |||
BNC [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Revenues | $ 1,474,413 | 1,569,137 | |||
Gross Profit | 322,869 | 341,466 | |||
Depreciation and amortization expense | 35,372 | 39,061 | |||
Operating Income (Loss) | $ 11,478 | 18,180 | |||
Wholesale [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Revenues | 66,996 | 78,508 | |||
Gross Profit | 14,235 | 22,739 | |||
Depreciation and amortization expense | 1,483 | 1,496 | |||
Operating Income (Loss) | 8,440 | 15,845 | |||
Number of Wholesale Customers | Store | 3,500 | ||||
MBS [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Revenues | $ 179,515 | 209,282 | |||
Gross Profit | 41,688 | 56,559 | |||
Depreciation and amortization expense | 4,531 | 4,455 | |||
Operating Income (Loss) | 23,493 | 35,703 | |||
Corporate, Non-Segment [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Depreciation and amortization expense | 31 | 37 | 96 | 119 | |
Operating Income (Loss) | (5,412) | (6,234) | (17,832) | (17,862) | |
DSS [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Revenues | 6,435 | 5,237 | 17,024 | 15,848 | |
Gross Profit | 5,283 | 4,969 | 13,838 | 15,312 | |
Depreciation and amortization expense | 1,904 | 2,072 | 6,543 | 5,698 | |
Operating Income (Loss) | (1,608) | (678) | (6,420) | (627) | |
Intersegment Eliminations [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Revenues | (29,127) | (33,883) | (76,775) | (94,009) | |
Gross Profit | (773) | (999) | (1,253) | (3,014) | |
Operating Income (Loss) | $ (644) | $ (992) | $ (1,071) | $ (2,966) | |
Physical Stores [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Number of Stores | Store | 772 | 772 | |||
Virtual Stores [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Number of Stores | Store | 664 | 664 |
Net Earnings (Loss) Per Share -
Net Earnings (Loss) Per Share - Additional Information (Detail) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended | |||||||
Jan. 25, 2020 | Oct. 26, 2019 | Jul. 27, 2019 | Jan. 26, 2019 | Oct. 27, 2018 | Jul. 28, 2018 | Jan. 25, 2020 | Jan. 26, 2019 | Dec. 14, 2015 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||||||
Stock Repurchase Program, Authorized Amount | $ 50,000 | ||||||||
Stock Repurchase Program, Remaining Authorized Repurchase Amount | $ 26,669 | $ 26,669 | |||||||
Shares Paid for Tax Withholding for Share Based Compensation | 374,733 | ||||||||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 3,682,169 | 1,412,951 | 1,348,949 | 2,844,886 | |||||
Net Income (Loss) Attributable to Parent | $ (1,693) | $ 35,931 | $ (32,155) | $ 769 | $ 59,697 | $ (38,622) | $ 2,083 | $ 21,844 | |
Net Income (Loss) Attributable to Parent, Diluted | $ (1,693) | $ 769 | $ 2,082 | $ 21,835 | |||||
Weighted Average Number of Shares Outstanding, Basic | 48,298,000 | 47,561,000 | 47,911,000 | 47,220,000 | |||||
Weighted Average Number of Shares Outstanding, Diluted | 48,298,000 | 47,937,000 | 48,767,000 | 47,772,000 | |||||
Earnings Per Share, Basic | $ (0.04) | $ 0.02 | $ 0.04 | $ 0.46 | |||||
Earnings Per Share, Diluted | $ (0.04) | $ 0.02 | $ 0.04 | $ 0.46 | |||||
Undistributed Earnings (Loss) Allocated to Participating Securities, Basic | $ 0 | $ 0 | $ (1) | $ (9) | |||||
Net Income (Loss) Available to Common Stockholders, Basic | (1,693) | 769 | 2,082 | 21,835 | |||||
Undistributed Earnings, Basic | 0 | 0 | 1 | 9 | |||||
Undistributed Earnings (Loss) Allocated to Participating Securities, Diluted | $ 0 | $ 0 | $ (1) | $ (9) | |||||
Average dilutive restricted stock units | 0 | 178,000 | 403,000 | 403,000 | |||||
Average dilutive performance shares | 0 | 45,000 | 9,000 | 41,000 | |||||
Average dilutive restricted shares | 0 | 3,000 | 12,000 | 10,000 | |||||
Average Dilutive Performance Share Units | 0 | 150,000 | 432,000 | 98,000 |
Credit Facility - Additional In
Credit Facility - Additional Information (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | 9 Months Ended | |||
Jan. 25, 2020 | Oct. 26, 2019 | Jan. 25, 2020 | Jan. 26, 2019 | Apr. 27, 2019 | Oct. 27, 2018 | |
Line of Credit Facility [Line Items] | ||||||
Debt Instrument, Description | On March 2, 2020, we were granted a waiver to the condition to the upcoming draw under the FILO Facility, scheduled for April 2020, that Consolidated EBITDA (as defined in the Credit Agreement) minus Restricted Payments (as defined in the Credit Agreement) equal at least $90,000. In connection with the waiver, the applicable margin for credit extensions made under the FILO Facility after March 2, 2020 through the end of 2020 was increased by 0.50% (to 3.25% per annum for LIBO rate loans and 2.25% for base rate loans). | |||||
Line Of Credit Potential Increase Amount | $ 100,000 | $ 100,000 | ||||
Proceeds from Lines of Credit | 383,400 | 383,400 | $ 374,000 | |||
Repayments of Lines of Credit | 451,000 | 451,000 | 500,300 | |||
Letters of Credit Outstanding, Amount | 4,759 | 4,759 | 5 | |||
Long-term Line of Credit, Noncurrent | 65,900 | $ 0 | 65,900 | 70,100 | $ 33,500 | $ 0 |
Short-term Debt | 0 | $ 0 | 0 | $ 0 | $ 100,000 | $ 0 |
Revolving Credit Facility [Member] | ||||||
Line of Credit Facility [Line Items] | ||||||
Line of Credit Facility, Maximum Borrowing Capacity | 500,000 | 500,000 | ||||
New Credit Facility [Member] | ||||||
Line of Credit Facility [Line Items] | ||||||
Credit Facility Maturity Term | 5 years | |||||
Line of Credit Facility, Maximum Borrowing Capacity | 400,000 | 400,000 | ||||
FILO [Member] | ||||||
Line of Credit Facility [Line Items] | ||||||
Line of Credit Facility, Maximum Borrowing Capacity | $ 100,000 | $ 100,000 |
Supplementary Information (Deta
Supplementary Information (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Jan. 25, 2020 | Jan. 26, 2019 | Jan. 25, 2020 | Jan. 26, 2019 | |
Other Nonrecurring Expense | $ 0 | $ 0 | $ 433 | $ 0 |
Restructuring and other charges | 205 | $ 2,500 | 3,240 | $ 2,500 |
Other Restructuring [Member] | ||||
Restructuring and other charges | 0 | 791 | ||
Other Restructuring [Member] | ||||
Restructuring and other charges | $ 205 | $ 2,449 |
Employees Benefit Plans - Addit
Employees Benefit Plans - Additional Information (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Jan. 25, 2020 | Jan. 26, 2019 | Jan. 25, 2020 | Jan. 26, 2019 | |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||||
Company contributions, employee benefit expenses | $ 844 | $ 1,509 | $ 3,683 | $ 4,978 |
Stock-Based Compensation Stoc_3
Stock-Based Compensation Stock-Based Compensation (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Jan. 25, 2020 | Jan. 26, 2019 | Jan. 25, 2020 | Jan. 26, 2019 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based Compensation | $ 6,000 | $ 6,851 | ||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized | $ 10,103 | $ 10,103 | ||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Period for Recognition | 1 year 9 months | |||
Performance Shares [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized | 1,821 | $ 1,821 | ||
Selling, General and Administrative Expenses [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based Compensation | 1,819 | $ 1,878 | 6,000 | 6,851 |
Selling, General and Administrative Expenses [Member] | Restricted Stock [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based Compensation | 30 | 30 | 90 | 80 |
Selling, General and Administrative Expenses [Member] | Restricted Stock Units (RSUs) [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based Compensation | 1,515 | 1,860 | 5,227 | 6,010 |
Selling, General and Administrative Expenses [Member] | Performance Shares [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based Compensation | 0 | (72) | 12 | 42 |
Selling, General and Administrative Expenses [Member] | Performance Share Units (PSUs) [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based Compensation | $ 274 | $ 60 | $ 671 | $ 719 |
BOD Grant [Member] | Restricted Stock [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period | 38,096 | |||
BOD Grant [Member] | Restricted Stock Units (RSUs) [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period | 190,480 | |||
Employee Grant [Member] | Restricted Stock Units (RSUs) [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period | 1,350,674 | |||
Employee Grant [Member] | Performance Share Units (PSUs) [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period | 709,517 |
Income Taxes Income Taxes (Deta
Income Taxes Income Taxes (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Jan. 25, 2020 | Jan. 26, 2019 | Jan. 25, 2020 | Jan. 26, 2019 | |
Income Tax Disclosure [Abstract] | ||||
Income Tax Expense (Benefit) | $ (3,182) | $ (294) | $ 1,683 | $ 2,680 |
Income (Loss) from Continuing Operations before Equity Method Investments, Income Taxes, Noncontrolling Interest | $ (4,875) | $ 475 | $ 3,766 | $ 24,524 |
Effective Income Tax Rate Reconciliation, Percent | 65.30% | (61.90%) | 44.70% | 10.90% |
Subsequent Event (Details)
Subsequent Event (Details) | 9 Months Ended |
Jan. 25, 2020 | |
Subsequent Events [Abstract] | |
Restructuring and Related Cost, Description | In February 2020, we implemented a significant cost reduction program designed to streamline our operations, maximize productivity and drive profitability. Certain elements of this plan have recently been implemented, while other actions are planned for Fiscal 2021, which begins in May 2020. We anticipate meaningful annualized cost savings from this program, the majority of which are expected to be realized beginning in Fiscal 2021. As a result of the personnel and related elements of this program, we expect to recognize a restructuring charge of $10,000 to $15,000 during the fourth quarter of Fiscal 2020. |