Cover
Cover - USD ($) $ in Billions | 12 Months Ended | ||
Feb. 03, 2024 | Mar. 14, 2024 | Jul. 29, 2022 | |
Cover [Abstract] | |||
Document Type | 10-K | ||
Document Annual Report | true | ||
Document Period End Date | Feb. 03, 2024 | ||
Current Fiscal Year End Date | --02-03 | ||
Document Transition Report | false | ||
Entity File Number | 001-39589 | ||
Entity Registrant Name | Academy Sports and Outdoors, Inc. | ||
Entity Incorporation, State or Country Code | DE | ||
Entity Tax Identification Number | 85-1800912 | ||
Entity Address, Address Line One | 1800 North Mason Road | ||
Entity Address, City or Town | Katy | ||
Entity Address, State or Province | TX | ||
Entity Address, Postal Zip Code | 77449 | ||
City Area Code | 281 | ||
Local Phone Number | 646-5200 | ||
Title of 12(b) Security | Common Stock, par value $0.01 per share | ||
Trading Symbol | ASO | ||
Security Exchange Name | NASDAQ | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Small Business | false | ||
Entity Emerging Growth Company | false | ||
ICFR Auditor Attestation Flag | true | ||
Document Financial Statement Error Correction [Flag] | false | ||
Entity Shell Company | false | ||
Entity Public Float | $ 4.3 | ||
Entity Common Stock, Shares Outstanding | 74,405,351 | ||
Documents Incorporated by Reference | Documents Incorporated by Reference: Part III of this Annual Report on Form 10-K incorporates certain information from the registrant's definite proxy statement for its 2024 Annual Meeting of Stockholders, which shall be filed with the Securities and Exchange Commission pursuant to Regulation 14A of the Securities Exchange Act of 1934, as amended, within 120 days of the registrant's fiscal year end. | ||
Entity Central Index Key | 0001817358 | ||
Amendment Flag | false | ||
Document Fiscal Year Focus | 2023 | ||
Document Fiscal Period Focus | FY |
Audit Information
Audit Information | 12 Months Ended |
Feb. 03, 2024 | |
Audit Information [Abstract] | |
Auditor Firm ID | 34 |
Auditor Name | Deloitte & Touche LLP |
Auditor Location | Houston, Texas |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Feb. 03, 2024 | Jan. 28, 2023 |
CURRENT ASSETS: | ||
Cash and cash equivalents | $ 347,920 | $ 337,145 |
Accounts receivable - less allowance for doubtful accounts of $2,217 and $2,004, respectively | 19,371 | 16,503 |
Merchandise inventories, net | 1,194,159 | 1,283,517 |
Prepaid expenses and other current assets | 83,450 | 47,747 |
Assets held for sale | 0 | 1,763 |
Total current assets | 1,644,900 | 1,686,675 |
PROPERTY AND EQUIPMENT, NET | 445,209 | 351,424 |
RIGHT-OF-USE ASSETS | 1,111,237 | 1,100,085 |
TRADE NAME | 578,236 | 577,716 |
GOODWILL | 861,920 | 861,920 |
OTHER NONCURRENT ASSETS | 35,211 | 17,619 |
Total assets | 4,676,713 | 4,595,439 |
CURRENT LIABILITIES: | ||
Accounts payable | 541,077 | 686,472 |
Accrued expenses and other current liabilities | 217,932 | 240,169 |
Current lease liabilities | 117,849 | 109,075 |
Current maturities of long-term debt | 3,000 | 3,000 |
Total current liabilities | 879,858 | 1,038,716 |
LONG-TERM DEBT, NET | 484,551 | 584,456 |
LONG-TERM LEASE LIABILITIES | 1,091,294 | 1,072,192 |
DEFERRED TAX LIABILITIES, NET | 254,796 | 259,043 |
OTHER LONG-TERM LIABILITIES | 11,564 | 12,726 |
Total liabilities | 2,722,063 | 2,967,133 |
COMMITMENTS AND CONTINGENCIES (NOTE 14) | ||
STOCKHOLDERS' EQUITY: | ||
Preferred stock, $0.01 par value, authorized 50,000,000 shares; none issued and outstanding | 0 | 0 |
Common stock, $0.01 par value, authorized 300,000,000 shares; 74,349,927 and 76,711,720 issued and outstanding as of February 3, 2024 and January 28, 2023, respectively | 743 | 767 |
Additional paid-in capital | 242,098 | 216,209 |
Retained earnings | 1,711,809 | 1,411,330 |
Stockholders' equity | 1,954,650 | 1,628,306 |
Total liabilities and stockholders' equity | $ 4,676,713 | $ 4,595,439 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Feb. 03, 2024 | Jan. 28, 2023 |
Statement of Financial Position [Abstract] | ||
Allowance for doubtful accounts | $ 2,217 | $ 2,004 |
Preferred stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Preferred stock, authorized (in shares) | 50,000,000 | 50,000,000 |
Preferred stock, issued (in shares) | 0 | 0 |
Preferred stock, outstanding (in shares) | 0 | 0 |
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, authorized (in shares) | 300,000,000 | 300,000,000 |
Common stock, issued (in shares) | 74,349,927 | 76,711,720 |
Common stock, outstanding (in shares) | 74,349,927 | 76,711,720 |
Consolidated Statements of Inco
Consolidated Statements of Income - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | ||
Feb. 03, 2024 | Jan. 28, 2023 | Jan. 29, 2022 | |
Income Statement [Abstract] | |||
NET SALES | $ 6,159,291 | $ 6,395,073 | $ 6,773,128 |
COST OF GOODS SOLD | 4,049,080 | 4,182,571 | 4,422,033 |
GROSS MARGIN | 2,110,211 | 2,212,502 | 2,351,095 |
SELLING, GENERAL AND ADMINISTRATIVE EXPENSES | 1,432,356 | 1,365,953 | 1,443,148 |
OPERATING INCOME | 677,855 | 846,549 | 907,947 |
INTEREST EXPENSE, NET | 46,051 | 46,441 | 48,989 |
LOSS ON EARLY RETIREMENT OF DEBT | 1,525 | 1,963 | 2,239 |
OTHER (INCOME), NET | (32,877) | (20,175) | (2,821) |
INCOME BEFORE INCOME TAXES | 663,156 | 818,320 | 859,540 |
INCOME TAX EXPENSE | 143,966 | 190,319 | 188,159 |
NET INCOME | $ 519,190 | $ 628,001 | $ 671,381 |
EARNINGS PER COMMON SHARE: | |||
BASIC (in dollars per share) | $ 6.89 | $ 7.70 | $ 7.38 |
DILUTED (in dollars per share) | $ 6.70 | $ 7.49 | $ 7.12 |
WEIGHTED AVERAGE COMMON SHARES OUTSTANDING: | |||
BASIC (in shares) | 75,389 | 81,590 | 90,956 |
DILUTED (in shares) | 77,469 | 83,895 | 94,284 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 12 Months Ended | ||
Feb. 03, 2024 | Jan. 28, 2023 | Jan. 29, 2022 | |
Statement of Comprehensive Income [Abstract] | |||
Net income | $ 519,190 | $ 628,001 | $ 671,381 |
Recognized interest expense on interest rate swaps | 0 | 0 | 2,344 |
Tax benefit | 0 | 0 | 980 |
Total comprehensive income | $ 519,190 | $ 628,001 | $ 674,705 |
Consolidated Statements of Stoc
Consolidated Statements of Stockholders' Equity - USD ($) $ in Thousands | Total | Common Stock | Additional Paid-In Capital | Retained Earnings | Accumulated Other Comprehensive Income (Loss) |
Stockholders'/partners' equity, beginning balance (in shares) at Jan. 30, 2021 | 91,114,000 | ||||
Stockholders' equity attributable to parent, beginning balance at Jan. 30, 2021 | $ 1,111,983 | $ 911 | $ 127,228 | $ 987,168 | $ (3,324) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Net income | 671,381 | 671,381 | |||
Equity compensation | $ 39,264 | 39,264 | |||
Repurchase of common stock for retirement (in shares) | (10,566,796) | (10,567,000) | |||
Repurchase of common stock for retirement | $ (411,409) | $ (106) | (20,814) | (390,489) | |
Settlement of vested restricted stock units (in shares) | 923,000 | ||||
Settlement of vested Restricted Stock Units | 0 | $ 9 | (9) | ||
Share-Based Award Payments adjustment for forfeitures | 39 | 39 | |||
Issuance of common stock under employee stock purchase plan (in shares) | 114,000 | ||||
Issuance of common stock under employee stock purchase plan | 3,777 | $ 1 | 3,776 | ||
Stock option exercises (in shares) | 5,495,000 | ||||
Stock option exercises | 48,587 | $ 55 | 48,532 | ||
Recognized interest expense on interest rate swaps (net of tax expense) | 3,324 | 3,324 | |||
Stockholders'/partners' equity, ending balance (in shares) at Jan. 29, 2022 | 87,079,000 | ||||
Stockholders' equity attributable to parent, ending balance at Jan. 29, 2022 | 1,466,946 | $ 870 | 198,016 | 1,268,060 | 0 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Net income | 628,001 | 628,001 | |||
Equity compensation | $ 21,175 | 21,175 | |||
Repurchase of common stock for retirement (in shares) | (11,903,636) | (11,904,000) | |||
Repurchase of common stock for retirement | $ (489,475) | $ (119) | (29,258) | (460,098) | |
Settlement of vested restricted stock units (in shares) | 100,000 | ||||
Settlement of vested Restricted Stock Units | 0 | $ 1 | (1) | ||
Issuance of common stock under employee stock purchase plan (in shares) | 168,000 | ||||
Issuance of common stock under employee stock purchase plan | 5,043 | $ 2 | 5,041 | ||
Stock option exercises (in shares) | 1,269,000 | ||||
Stock option exercises | 21,249 | $ 13 | 21,236 | ||
Cash dividends declared | $ (24,633) | (24,633) | |||
Stockholders'/partners' equity, ending balance (in shares) at Jan. 28, 2023 | 76,711,720 | 76,712,000 | |||
Stockholders' equity attributable to parent, ending balance at Jan. 28, 2023 | $ 1,628,306 | $ 767 | 216,209 | 1,411,330 | 0 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Net income | 519,190 | 519,190 | |||
Equity compensation | $ 24,377 | 24,377 | |||
Repurchase of common stock for retirement (in shares) | (3,651,231) | (3,652,000) | |||
Repurchase of common stock for retirement | $ (204,154) | $ (36) | (12,625) | (191,493) | |
Settlement of vested restricted stock units (in shares) | 227,000 | ||||
Settlement of vested Restricted Stock Units | (5,536) | $ 2 | (5,538) | ||
Issuance of common stock under employee stock purchase plan (in shares) | 124,000 | ||||
Issuance of common stock under employee stock purchase plan | 5,484 | $ 1 | 5,483 | ||
Stock option exercises (in shares) | 939,000 | ||||
Stock option exercises | 14,201 | $ 9 | 14,192 | ||
Cash dividends declared | $ (27,218) | (27,218) | |||
Stockholders'/partners' equity, ending balance (in shares) at Feb. 03, 2024 | 74,349,927 | 74,350,000 | |||
Stockholders' equity attributable to parent, ending balance at Feb. 03, 2024 | $ 1,954,650 | $ 743 | $ 242,098 | $ 1,711,809 | $ 0 |
Consolidated Statements of St_2
Consolidated Statements of Stockholders' Equity (Parenthetical) - USD ($) $ in Thousands | 12 Months Ended | ||
Feb. 03, 2024 | Jan. 28, 2023 | Jan. 29, 2022 | |
Statement of Stockholders' Equity [Abstract] | |||
Recognized interest benefit (expense) on interest rate swaps, tax | $ 980 | $ 980,000 | |
Cash dividend declared (in dollars per share) | $ 0.09 | $ 0.075 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||
Feb. 03, 2024 | Jan. 28, 2023 | Jan. 29, 2022 | |
CASH FLOWS FROM OPERATING ACTIVITIES: | |||
Net income | $ 519,190 | $ 628,001 | $ 671,381 |
Adjustments to reconcile net income to net cash provided by operating activities: | |||
Depreciation and amortization | 110,936 | 106,762 | 105,274 |
Non-cash lease expense | 16,723 | (16) | (5,528) |
Equity compensation | 24,377 | 21,175 | 39,264 |
Amortization of deferred loan, terminated interest rate swaps and other costs | 2,739 | 3,054 | 5,524 |
Deferred income taxes | (4,247) | 41,831 | 79,490 |
Non-cash loss on early retirement of debt | 1,525 | 1,963 | 2,239 |
Gain on disposal of property and equipment | (388) | 0 | 0 |
Changes in assets and liabilities: | |||
Accounts receivable, net | (2,868) | 3,215 | (2,412) |
Merchandise inventories, net | 89,358 | (111,709) | (181,774) |
Prepaid expenses and other current assets | (50,225) | (11,287) | (8,147) |
Other noncurrent assets | (18,761) | (14,088) | 2,759 |
Accounts payable | (142,346) | (55,400) | (50,627) |
Accrued expenses and other current liabilities | (26,712) | (58,395) | 31,935 |
Income taxes payable | 17,640 | (3,407) | (14,129) |
Other long-term liabilities | (1,162) | 306 | (1,984) |
Net cash provided by operating activities | 535,779 | 552,005 | 673,265 |
CASH FLOWS FROM INVESTING ACTIVITIES: | |||
Capital expenditures | (207,770) | (108,304) | (75,802) |
Purchases of intangible assets | (520) | (502) | (215) |
Proceeds from the sale of property and equipment | 2,151 | 0 | 0 |
Net cash used in investing activities | (206,139) | (108,806) | (76,017) |
CASH FLOWS FROM FINANCING ACTIVITIES: | |||
Repayment of Term Loan | (103,000) | (103,000) | (102,250) |
Debt issuance fees | 0 | 0 | (927) |
Share-Based Award Payments | 0 | 0 | (11,214) |
Proceeds from exercise of stock options | 16,636 | 21,249 | 48,587 |
Proceeds from issuance of common stock under employee stock purchase program | 5,484 | 5,043 | 3,777 |
Taxes paid related to net share settlement of equity awards | (7,971) | (1,236) | (15,418) |
Repurchase of common stock for retirement | (202,796) | (489,475) | (411,409) |
Dividends paid | (27,218) | (24,633) | 0 |
Net cash used in financing activities | (318,865) | (592,052) | (488,854) |
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS | 10,775 | (148,853) | 108,394 |
CASH AND CASH EQUIVALENTS AT BEGINNING OF PERIOD | 337,145 | 485,998 | 377,604 |
CASH AND CASH EQUIVALENTS AT END OF PERIOD | 347,920 | 337,145 | 485,998 |
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION: | |||
Cash paid for interest | 45,446 | 43,250 | 44,710 |
Cash paid for income taxes | 132,126 | 168,180 | 125,040 |
NON-CASH INVESTING AND FINANCING ACTIVITIES: | |||
Non-cash capital expenditures | $ 6,687 | $ 4,046 | $ 2,951 |
Nature of Operations
Nature of Operations | 12 Months Ended |
Feb. 03, 2024 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Nature of Operations | Nature of Operations The Company All references to "we", "us", "our" or the "Company" in the financial statements refer to Academy Sports and Outdoors, Inc., a Delaware corporation ("ASO, Inc.") and the current parent holding company of our operations, and its consolidated subsidiaries. We conduct our operations primarily through our parent holding company's indirect subsidiary, Academy, Ltd., a Texas limited partnership doing business as "Academy Sports + Outdoors", or Academy, Ltd. All of the Company’s sales and business operations occur at Academy, Ltd., and Academy, Ltd. is also the borrower and/or issuer of the Company’s long-term debt and lessee of facilities. On August 3, 2011, an investment entity owned by investment funds and other entities affiliated with Kohlberg Kravis Roberts & Co. L.P. (collectively, "KKR"), acquired a majority interest in the Company. The Company completed an initial public offering (the "IPO") on October 6, 2020, and upon completion of the September 2021 Secondary Offering (as defined below), KKR no longer holds an ownership interest in the Company. The Company is a leading full-line sporting goods and outdoor recreational products retailer in the United States in terms of net sales. As of February 3, 2024, we operated 282 "Academy Sports + Outdoors" retail locations in 18 states and three distribution centers located in Katy, Texas, Twiggs County, Georgia and Cookeville, Tennessee. Our distribution centers receive, store and ship merchandise to our stores and customers. We also sell merchandise to customers across most of the United States via our academy.com website. Fiscal Year The Company’s fiscal year represents the 52 or 53 weeks ending on the Saturday closest to January 31 each year. References herein to 2023 relate to the 53-week fiscal year ended February 3, 2024, and references herein to 2022 and 2021 relate to the 52-week fiscal years ended January 28, 2023, and January 29, 2022, respectively. May 2021 Secondary Offering and Stock Repurchase On May 5, 2021, ASO, Inc. entered into an underwriting agreement (the “May 2021 Underwriting Agreement”), by and among ASO, Inc., Allstar LLC, Allstar Co-Invest Blocker L.P., KKR 2006 Allstar Blocker L.P., MSI 2011 LLC and MG Family Limited Partnership (collectively, the “May 2021 Selling Stockholders”), and Credit Suisse Securities (USA) LLC and J.P. Morgan Securities LLC, as representatives of the several underwriters named therein (the “May 2021 Underwriters”), relating to an underwritten offering of 14,000,000 shares of common stock at $30.96 per share (the “May 2021 Secondary Offering”), pursuant to the Company’s Registration Statement on Form S-1 (File No. 333-255720), filed on May 3, 2021. The May 2021 Selling Stockholders granted the May 2021 Underwriters the option to purchase, within 30 days from the date of the May 2021 Underwriting Agreement, an additional 2,100,000 shares of common stock. On May 6, 2021, the May 2021 Underwriters exercised in full their option to purchase the additional shares. The May 2021 Secondary Offering also included the Company's repurchase and simultaneous retirement of 3,229,974 shares out of the 14,000,000 shares at $30.96 per share, the same price granted to the May 2021 Underwriters, which was at a discount to the prevailing market price at the time of repurchase (see "Share Repurchases" in Note 2). The May 2021 Secondary Offering was completed on May 10, 2021. The Company did not receive any proceeds from the May 2021 Secondary Offering. The May 2021 Secondary Offering reduced the KKR ownership interest in the Company, resulting in a vesting event (the "2021 Vesting Event") for awards granted under the 2011 Unit Incentive Plan, whereby unvested time awards and performance-based awards which had previously met their performance targets vested and unvested performance-based awards which had not previously met their performance targets were forfeited. As a result, we incurred approximately $24.9 million in non-cash expenses related to equity-based compensation and approximately $15.4 million of cash expenses related to taxes on equity-based compensation. Additionally, approximately $8.2 million of Share-Based Award Payments (see Note 9) for equity-based compensation distributions were accelerated during the 2021 second quarter. September 2021 Secondary Offering and Stock Repurchase On September 14, 2021, ASO, Inc. entered into an underwriting agreement (the “September 2021 Underwriting Agreement”), by and among ASO, Inc., Allstar LLC, Allstar Co-Invest Blocker L.P. and KKR 2006 Allstar Blocker L.P. (collectively, the “September 2021 Selling Stockholders”), and Credit Suisse Securities (USA) LLC, as representative of the several underwriters named therein (the “September 2021 Underwriters”), relating to an underwritten offering (the “September 2021 Secondary Offering”) of 18,645,602 shares of common stock at approximately $43.52 per share, pursuant to the Company’s Registration Statement on Form S-1 (File No. 333-259477), filed on September 13, 2021. The September 2021 Secondary Offering also included the Company’s repurchase and simultaneous retirement of 4,500,000 shares out of the 18,645,602 shares of common stock at approximately $43.52, the same price granted to the September 2021 Underwriters, which was at a discount to the prevailing market price at the time of repurchase (see "Share Repurchases" in Note 2). The September 2021 Secondary Offering was completed on September 17, 2021. The Company did not receive any proceeds from the September 2021 Secondary Offering. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Feb. 03, 2024 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Summary of Significant Accounting Policies Basis of Presentation and Principles of Consolidation These consolidated financial statements include the accounts of ASO, Inc. and its subsidiaries, New Academy Holding Company, LLC ("NAHC"), Academy Managing Co., LLC, Associated Investors, LLC, Academy, Ltd., the Company's operating company, and Academy International Limited. NAHC, Academy Managing Co., LLC, and Associated Investors, LLC are intermediate holding companies. All intercompany balances and transactions have been eliminated in consolidation. ASO Co-Invest Blocker Sub, L.P. and ASO Blocker Sub, L.P. were dissolved effective January 31, 2021. Use of Estimates in the Preparation of Financial Statements The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America ("GAAP") requires our management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities as of the date of the financial statements, as well as the reported amounts of revenues and expenses during the reporting period. Our management bases its estimates on historical experience and other assumptions it believes to be reasonable under the circumstances. Actual results could differ significantly from those estimates. Our most significant estimates and assumptions that materially affect the financial statements involve difficult, subjective or complex judgments by management including the valuation of merchandise inventories, and performing goodwill, intangible and long-lived asset impairment analyses. Reclassifications Within the merchandise division sales table presented in Note 3, certain products and categories were recategorized among various categories and divisions, respectively, during 2023 to better align with our current merchandising strategy and view of the business. As a result, we have reclassified sales between divisions for 2022 and 2021 for comparability purposes. This reclassification is in divisional presentation only and did not impact the overall net sales balances previously disclosed. Cash and Cash Equivalents We consider credit and debit card transactions, which typically settle within three business days, demand deposits with banks, and all other highly liquid investments with original maturities of three months or less from the date of purchase to be cash equivalents. Financial Instruments Financial instruments are comprised of cash and cash equivalents, accounts receivable, accounts payable, certain accrued liabilities and debt. The carrying amounts of cash and cash equivalents, accounts receivable, accounts payable and accrued liabilities approximate their fair values due to the short-term nature of those instruments. We have also historically entered into derivative interest rate swaps to reduce the risk that our earnings and cash flows will be affected by changes in interest rates on our debt. The fair value of debt is influenced by fluctuations in market conditions for interest rates (see Note 6). We did not have any derivative financial instruments outstanding as of February 3, 2024 or January 28, 2023. Accounts Receivable Accounts receivable consists primarily of amounts due from vendors for vendor allowances and other accounts receivable. We provide an allowance for doubtful accounts based on both historical experience and a specific identification basis. Concentration of Risk Financial instruments which subject us to potential credit risk consist of cash and cash equivalents. We have established guidelines to limit our exposure to credit risk on cash and cash equivalents by placing investments with high credit quality financial institutions. Deposits with these financial institutions may exceed the amount of insurance provided; however, these deposits typically are redeemable upon demand. We believe that the financial risks associated with these financial instruments are minimal. We purchase merchandise inventories from approximately 1,400 vendors. In each of the years 2023, 2022 and 2021, purchases from our largest vendor represented approximately 11% of our total inventory purchases. No other vendor in any of the aforementioned years exceeded 10% of our purchases. We typically do not enter into long-term inventory purchase commitments, and we did not have any such commitments as of February 3, 2024 or January 28, 2023. A significant portion of our inventory purchases are manufactured outside of the United States, primarily in Asia. While we are not dependent on any single manufacturer outside of the United States, we could be adversely affected by political, health (including pandemic), safety, security, economic, tariff, climate, war or other disruptions affecting the business or operations of third-party manufacturers located outside of the United States. The Company’s geographic concentration in the southern United States subjects us to certain regional risks, such as the state of regional economies, including downturns in the housing market, increased unemployment and gas prices. Other regional risks include legislation, politics, cultural views, severe weather conditions or man-made disasters (such as an oil spill closing large areas of hunting or fishing), fires, heat waves, freezes, hurricanes, tornadoes, large storms and floods and other natural disasters specific to the states in which the Company operates. Merchandise Inventories, net Merchandise inventories are stated at the lower of weighted average cost and net realizable value. Merchandise inventories include the direct cost of merchandise and capitalized costs related to procurement, warehousing and distribution and are reflected net of shrinkage, vendor allowances and other valuation reserves. We record an inventory reserve for the estimated shrinkage between physical inventories on a by location basis. We generally perform a full physical inventory count for each store at least once a year, throughout the year, after which our shrinkage accrual rate for each store is updated based on historical results. For vendor allowances based on contractual provisions, we develop accrual rates as determined by the agreements, which are typically linked to purchase volumes. Other non-contractual vendor allowances received are applied upon receipt. We regularly review inventories and record a valuation adjustment when necessary such as for inventory that has a carrying value in excess of the net realizable value or for slow moving or obsolete inventory. Prior to 2023, we valued merchandise inventories at the lower of the weighted average cost method or LIFO method (see Change in Accounting Principle discussion below). The application of the LIFO inventory method did not result in any LIFO charges or credits affecting cost of sales in 2022 or 2021. Change in Accounting Principle Effective January 29, 2023, the Company changed the method of accounting for its inventories from the last-in-first-out (“LIFO”) method to the weighted average cost method. The Company believes that this inventory method change is preferable because we believe it improves comparability with industry peers and is a more accurate representation of merchandise inventories, net and cost of goods sold. Due to historical price deflation on the Company’s merchandise purchases, the Company was in a position where the LIFO merchandise inventories value exceeded the cost of its inventory for all periods presented in the consolidated financial statements. In considering the lower of cost or market principle, merchandise inventories valued at LIFO, including necessary valuation adjustments, approximated the cost of such inventories using the weighted average inventory method. As such, there is no impact to the prior periods from the retrospective presentation of the change. The following tables show the pro forma effect to our consolidated financial statements as if the Company had remained on LIFO (amounts in thousands): February 3, 2024 Consolidated Balance Sheet As Reported Effect of Change Pro Forma LIFO Merchandise inventories, net $ 1,194,159 $ (2,615) $ 1,191,544 Total current assets 1,644,900 (2,615) 1,642,285 Total assets 4,676,713 (2,615) 4,674,098 Accrued expenses and other current liabilities 217,932 (27,219) 190,713 Total current liabilities 879,858 (27,219) 852,639 Deferred tax liabilities, net 254,796 26,609 281,405 Total liabilities 2,722,063 (610) 2,721,453 Retained earnings 1,711,809 (2,005) 1,709,804 Stockholders' equity 1,954,650 (2,005) 1,952,645 Total liabilities and stockholders' equity 4,676,713 (2,615) 4,674,098 Year Ended February 3, 2024 As Reported Effect of Change Pro Forma LIFO Consolidated Statements of Income: Cost of goods sold $ 4,049,080 $ 2,615 $ 4,051,695 Gross margin 2,110,211 (2,615) 2,107,596 Operating income 677,855 (2,615) 675,240 Income before income taxes 663,156 (2,615) 660,541 Income tax expense 143,966 (610) 143,356 Net income 519,190 (2,005) 517,185 Earnings per common share: Basic $ 6.89 $ (0.03) $ 6.86 Diluted $ 6.70 $ (0.03) $ 6.67 Consolidated Statements of Cash Flows: Net income $ 519,190 $ (2,005) $ 517,185 Deferred income taxes (4,247) 26,609 22,362 LIFO charge — 2,615 2,615 Income taxes payable 17,640 (27,219) (9,579) Net cash provided by operating activities 535,779 — 535,779 Supplier Finance Programs In September 2022, the FASB issued ASU 2022-04: Liabilities - Supplier Finance Programs Disclosure of Supplier Finance Program Obligations. This pronouncement requires that a buyer in a supplier finance program disclose sufficient information about the program to allow a user of the financial statements to understand the program's nature, activity during the period, changes from period to period and potential magnitude. The Company adopted the new guidance as of January 29, 2023. We have previously entered into a supply chain financing arrangement with a third-party financial institution, whereby certain suppliers have the ability to settle outstanding payment obligations earlier than the due date required by our original supplier terms. Subsequently, we settle invoices with the financial institution within 45 days, which approximates our original supplier terms. The Company does not have an economic interest in suppliers’ voluntary participation, does not provide any guarantees or pledge assets under these arrangements, and our rights and obligations to our suppliers, including amounts due, are not impacted. The following table shows our liability associated with these arrangements, which is presented within accounts payable February 3, 2024 January 28, 2023 Invoices outstanding at the beginning of the year $ 8,953 $ 4,430 Invoices added 44,673 50,791 Invoices paid (46,452) (46,268) Invoices outstanding at the end of the year $ 7,174 $ 8,953 Property and Equipment Property and equipment are recorded at cost less accumulated depreciation and amortization. Cost includes interest capitalized on borrowings used to finance the construction of stores and other significant capital projects while under construction. Depreciation and amortization is computed using the straight-line method over the asset’s useful life, which is generally determined by asset category as follows: Leasehold improvements Lesser of asset useful life or lease term Software and computer equipment 2–5 years Other equipment 5–10 years Furniture and fixtures 7–10 years Buildings 40 years When assets are retired or sold, the cost and accumulated depreciation are removed from our accounts, and the resulting gain or loss is reflected in the consolidated statements of income. Repair and maintenance costs are charged to expense as incurred and significant improvements that substantially enhance the useful life or enhance the functionality of an asset are capitalized and amortized. Capitalized Computer Software Costs We capitalize certain costs incurred in connection with developing or obtaining computer software for internal use. Capitalized computer software costs are included in property and equipment on the consolidated balance sheets and amortized on a straight-line basis when placed into service over the estimated useful lives of the software. The amounts capitalized were $33.3 million, $33.3 million and $36.7 million in 2023, 2022 and 2021, respectively. Implementation costs for cloud-based information systems are capitalized in other non-current assets. Amortization of cloud-based software implementation costs is recognized in selling, general and administrative expenses and amortized over the longer of the contract term or expected benefit. The amounts capitalized were $23.5 million, $12.3 million and $3.7 million in 2023, 2022 and 2021, respectively. Capitalized Interest We capitalized interest primarily related to construction of new stores, store renovations, distribution centers and IT projects in the amount of $2.1 million, $0.6 million and $0.4 million in 2023, 2022 and 2021, respectively. Interest expense, net on the consolidated statement of income is shown net of capitalized interest. Impairment of Long-Lived Assets We review the carrying value of long-lived assets, including store assets, for indicators of impairment whenever events and circumstances indicate that the carrying value of an asset may not be recoverable. Recoverability of long-lived assets is measured by a comparison of the carrying amount of the assets to the estimated undiscounted future cash flows expected to be generated by the use of the assets, which is generally projected based on historical results. If such assets are considered to be impaired, the impairment loss recognized is the amount by which the carrying amount of the assets exceeds its estimated fair value, which is calculated using discounted expected future cash flows. As a result of our assessment, we did not record an impairment of long-lived assets in 2023, 2022 and 2021. Goodwill Goodwill represents the excess of the purchase price of an acquired business over the amounts assigned to assets acquired and liabilities assumed in a business combination. Goodwill is tested for impairment annually or more frequently if events or circumstances indicate that the carrying value of goodwill may not be recoverable. We test for goodwill at the reporting unit level, which is the operating segment level. We operate in one operating segment with one reporting unit. The annual goodwill impairment test provides for the option of first performing a qualitative assessment to evaluate the existence of events and circumstances that would lead to a determination that it is more likely than not that the fair value of a reporting unit is less than its carrying amount. If such a conclusion is reached, we would then be required to perform a quantitative impairment assessment of goodwill. However, if the qualitative assessment leads to a determination that it is more likely than not that the fair value of a reporting unit is greater than its carrying amount, then no further assessments are required. In 2023, 2022 and 2021, we performed a qualitative assessment and determined a quantitative assessment was not necessary. Our quantitative assessment for determining the fair value of our reporting unit includes using an estimated discounted cash flow model (income approach) and market value approach. The output of this assessment is an estimated fair value for our reporting unit that is compared to its carrying value to determine whether an impairment charge is necessary. The income approach uses a discounted cash flow analysis of our projected long-term future company income, and the market value approach is based on earnings multiples for a comparable set of public companies. No impairment of goodwill existed for 2023, 2022 or 2021. Intangible Assets Intangible assets primarily consists of the trade name "Academy Sports + Outdoors" (the "Trade Name"). The Trade Name is expected to generate cash flows indefinitely and, therefore, is accounted for as an indefinite-lived asset not subject to amortization. The Trade Name is tested for impairment annually or whenever events or circumstances indicate that the carrying amount of the Trade Name may not be recoverable. The annual Trade Name impairment test provides for the option of first performing a qualitative assessment to evaluate the existence of events and circumstances that would lead to a determination that it is more likely than not that the fair value of an intangible asset is less than its carrying amount. If such a conclusion is reached, we would then be required to perform a quantitative impairment assessment for the Trade Name. However, if the qualitative assessment leads to a determination that it is more likely than not that the fair value of an intangible asset is greater than its carrying amount, then no further assessments are required. In 2023, 2022 and 2021, we performed a qualitative assessment and determined a quantitative assessment was not necessary. Impairment is calculated as the excess of the Trade Name’s carrying value over its fair value. The fair value of the Trade Name is determined using the relief-from-royalty method, a variation of the income approach. This method assumes that, in lieu of ownership, a third party would be willing to pay a royalty in order to exploit the related benefits of these types of assets. Once a supportable royalty rate is determined, the rate is then applied to the projected long-term sales over the expected remaining life of the intangible assets to estimate the royalty savings. This approach is dependent on a number of factors, including projections of long-term sales, royalty rates, discount rates and other variables. No impairment of intangible assets existed for 2023, 2022 or 2021. Deferred Loan Costs Costs incurred to issue debt are deferred and recorded in the consolidated balance sheets. Those costs related to the issuance of our term loan and senior notes are recorded in long-term debt, net of current maturities and amortized as a component of interest expense over the terms of the related debt agreement using the effective interest method. The costs related to the issuance of our revolving credit facility is recorded in other noncurrent assets on the consolidated balance sheets and amortized as a component of interest expense over the terms of the related debt agreements using the straight-line method. Derivative Instruments We are exposed to interest rate risk, primarily related to changes in interest rates on our Term Loan (see Note 4) and have historically used interest rate swap agreements, which we have designated as "cash flow" hedges, to hedge against market risks relating to possible adverse changes in interest rates. We assess, both at the inception of the hedge and on an ongoing basis, whether derivatives used as hedging instruments are highly effective in offsetting the changes in the fair value or cash flow of the hedged items. If it is determined that a derivative is not highly effective as a hedge or ceases to be highly effective, we discontinue hedge accounting prospectively. Derivative financial instruments are recognized at fair value in the consolidated balance sheets (see Note 5). The changes in the fair value of derivative instruments designated as cash flow hedges are recorded in accumulated other comprehensive income ("AOCI"), net of tax effects, and are subsequently reclassified to earnings when the hedged transaction affects earnings. On January 19, 2021, we settled our three remaining outstanding interest rate swaps, which were scheduled to expire on various dates during 2021, for $4.1 million. As of February 3, 2024, we do not have any derivative financial instruments outstanding. Self-Insurance We maintain deductibles or self-insurance retentions for workers' compensation, general liability and employee health benefits. Additionally, we use the services of an independent actuary to assist in determining losses associated with workers' compensation, general liability and employee health benefits. Liabilities associated with these losses are actuarially derived and estimated in part by considering historical claims experience, industry factors, severity factors, claim development, as well as other actuarial assumptions. If actual trends, including the severity or frequency of claims, medical cost inflation or fluctuations in premiums, differ from our estimates, it could have a material adverse impact on our results of operations. Changes in legal claims, claim development, trends and interpretations, variability in inflation rates, changes in the nature and method of claims settlement, benefit level changes due to changes in applicable laws, insolvency of insurance carriers and changes in discount rates could all adversely affect our ultimate expected losses. We believe the actuarial valuation provides the best estimate of the ultimate expected losses, and we have recorded the present value of the actuarially determined ultimate losses for the insurance related liabilities mentioned above. Leases We account for our leases in accordance with Accounting Standards Codification ("ASC") 842 which requires that lessees recognize assets and liabilities arising from operating leases on the balance sheet and disclose key information about leasing arrangements. Nearly all of our store locations and all of our corporate office facilities, and warehouse and distribution centers are leased. We may receive reimbursement from a landlord for some or all of the cost of a construction project, which may be structured as a tenant improvement allowance or a construction allowance. Cash received from a landlord for tenant improvement allowances in store lease transactions are a reduction to the right-of-use assets on the balance sheet, which are amortized ratably over the remaining terms of the corresponding leases. Cash received for construction allowances is a reimbursement of certain spend incurred in the construction of the premises on behalf of the landlord, where the landlord owns the assets. We account for each lease and non-lease components for our building leases as a single lease component which allows certain costs such as common area maintenance associated with these leases to be included as rent expense. We exclude leases with contract terms of 12 months or less from ASC 842 accounting treatment, which results in straight-line recognition of the cost over the lease term with no associated balance sheet lease liability or right-of-use asset. Net Sales We sell merchandise under implicit contracts whereby the transaction price is the listed sales price less any discounts or coupons applied. Our typical coupons offer a discount, which is applied immediately at the time of purchase. However, under certain circumstances we may issue a coupon, or similar incentive, which contains a material future right. In such instances, a portion of the revenue is deferred and subsequently recognized when earned. Revenue from merchandise sales is recognized, net of sales tax, when the Company’s performance obligation to the customer is met, which is when the Company transfers control of the merchandise to the customer. Store merchandise sales are recognized at the point of sale. For e-commerce sales, significant judgment is applied in determining when the transfer of control occurs, which we believe occurs upon customer receipt, and accordingly online merchandise sales are recognized upon delivery of the merchandise to the customer. The Company does not extend a material amount of credit. The sales return allowance, which is our provision for anticipated merchandise returns, is provided through a reduction of sales and cost of goods sold on a gross basis in the period that the related sales are recorded. The sales return allowance and related liability are included in merchandise inventories and in accrued expenses and other liabilities, respectively, in our consolidated balance sheets. Merchandise returns are estimated based on historical experience. Cost of Goods Sold Cost of goods sold includes the direct cost of merchandise and costs related to procurement, warehousing and distribution. These costs consist primarily of payroll and benefits, occupancy costs and freight. Shipping and Handling Costs Shipping and handling costs billed to customers are included in net sales. Shipping and handling costs that we incur associated with shipping products to customers are included in cost of goods sold. Vendor Allowances Vendor allowances include volume purchase rebates, promotional and advertising allowances, cooperative advertising funds and support for new store openings. These allowances are generally determined for each fiscal year with the majority of allowances based on quantitative contract terms. Allowances related to the purchase of merchandise inventories are recorded as a reduction of cost of goods sold as the related merchandise is sold. Allowances for cooperative advertising and promotion programs and other expenses are recorded in selling, general and administrative expenses as a reduction of the related costs as the related expense is incurred. Any such allowance in excess of actual costs incurred that are included in selling, general and administrative expenses, or that do not require proof of performance, are recorded as a reduction of cost of sales. For volume purchase rebates, we record an estimate of vendor allowances earned based on the latest projected purchase volumes. Selling, General and Administrative Expenses Selling, general and administrative expenses include store and corporate administrative payroll and payroll benefits, store and corporate headquarters occupancy costs, depreciation, advertising, credit card processing, information technology, pre-opening costs and other store and administrative expenses. Advertising Expenses Advertising costs are expensed as incurred. Advertising expenses, net of specific vendor allowances, were $153.7 million, $144.5 million and $151.2 million in 2023, 2022 and 2021, respectively. Pre-Opening Expenses Non-capital expenditures associated with opening new stores and distribution centers prior to sales generation or start of operations, which consist primarily of occupancy costs, marketing, payroll and recruiting costs, are expensed as incurred. The following table summarizes our pre-opening expense activity for the periods presented: Fiscal Year Ended February 3, 2024 January 28, 2023 January 29, 2022 Number of new stores opened 14 9 — Pre-opening expenses (in millions) $ 8.3 $ 5.5 $ 0.2 Equity Compensation We account for equity compensation in accordance with ASC 718, which requires the measurement and recognition of compensation expense for all equity awards made to employees based on estimated fair values on the grant date. Option equity award fair values are estimated on the date of grant using an option-pricing model and restricted unit fair values are based on the estimated unit price on the date of the grant. For awards with service-based vesting requirements only, the fair value of the award is recognized as expense over the requisite service period, and for awards with performance-based vesting requirements, the fair value of the award ultimately expected to meet the performance target is recognized as expense over the service period. We recognize forfeitures as they occur. Share Repurchases On September 2, 2021, the Board of Directors of the Company authorized a share repurchase program (the "2021 Share Repurchase Program") under which the Company may purchase up to $500 million of its outstanding shares during the three-year period ending September 2, 2024. On June 2, 2022, the Board of Directors authorized a new share repurchase program (the "2022 Share Repurchase Program") under which the Company may purchase up to $600 million of its outstanding shares during the three-year period ending June 2, 2025. On November 29, 2023, the Board of Directors authorized a new share repurchase program (the "2023 Share Repurchase Program") under which the Company may purchase up to $600 million of its outstanding shares during the three-year period ending November 29, 2026. The 2023 Share Repurchase Program, the 2022 Share Repurchase Program and the 2021 Share Repurchase Program are collectively referred to as the "Share Repurchase Programs". Under the Share Repurchase Programs, repurchases can be made using a variety of methods, which may include open market purchases, block trades, privately negotiated transactions, accelerated share repurchase programs and/or a non-discretionary trading plan, all in compliance with the rules of the SEC and other applicable legal requirements. The timing, manner, price and amount of any common share repurchases will be determined by the Company in its discretion and will depend on a variety of factors, including legal requirements, price and economic and market conditions. The Share Repurchase Programs do not obligate the Company to acquire any particular number of common shares, and the programs may be suspended, extended, modified or discontinued at any time. The following table summarizes our share repurchases for the periods presented: Fiscal Year Ended February 3, 2024 January 28, 2023 January 29, 2022 Shares Repurchased (1) 3,651,231 11,903,636 10,566,796 Aggregate amount paid (amounts in millions) (2) $ 204.2 $ 489.5 $ 411.4 (1) Purchases for the fiscal year ended January 29, 2022, include purchases that were made prior to our Share Repurchase Programs. (2) Includes estimated excise tax fees of $1.4 million for the fiscal year ended February 3, 2024. The Company allocates the excess of the repurchase price over the par value of shares acquired to Retained Earnings and Additional Paid-in Capital. The portion allocated to Additional Paid-in Capital is determined by dividing the number of shares to be retired by the number of shares issued multiplied by the balance of Additional Paid-in Capital as of the retirement date. As of February 3, 2024, we no longer had availability under the 2021 Share Repurchase Program, and we had $696.7 million available for share repurchases pursuant to the combined 2023 Share Repurchase Program and 2022 Share Repurchase Program. Income Taxes The Company is subject to U.S. federal, state and foreign income taxes. We account for income taxes under the asset and liability method, which requires the recognition of deferred tax assets and liabilities for the expected future tax consequences of events that have been included in the financial statements. Under this method, deferred tax assets and liabilities are measured using enacted tax rates in effect for the year in which the temporary differences are expected to be realized or settled. The effect of a change in tax rates on deferred tax assets and liabilities is recognized in income in the period that includes the enactment date. We recognize deferred tax assets to the extent we believe these assets are more-likely-than-not to be realized. In making such a determination, we consider all available positive and negative evidence, including recent results of operations, future reversals of existing taxable temporary differences, projected future taxable income and tax planning strategies. A valuation allowance is recorded to reduce the carrying amount of deferred tax assets if it is more-likely-than-not that all or a portion of the asset will not be realized. The Company recognizes tax benefits from uncertain tax positions only if it is more-likely-than-not the tax position will be sustained on examination by the taxing authorities based on the technical merits of the position. The tax benefits recognized from such positions are measured based on the largest benefit having a greater than 50% likelihood of being ultimately sustained. Interest and penalties from income tax matters are recognized in income tax expense. Other Income During the fourth quarter of 2022, the Company received and recognized approximately $7.2 million in business interruption proceeds due to the suspension of normal operations at some of our Texas store locations, as well as our e-commerce platform, for several days in February of 2021 as a result of a winter storm which had a significant impact on the energy infrastructure in the state of Texas. Additionally, during the fourth quarter of 2022 the Company completed a sale in which we factored rights to pursue a legal matter pertaining to the overpayment of certain tariffs and we received and recognized net proceeds of approximately $3.7 million. The proceeds for both events are included in Other (income), net on the Consol |
Net Sales
Net Sales | 12 Months Ended |
Feb. 03, 2024 | |
Revenue from Contract with Customer [Abstract] | |
Net Sales | Net Sales The following table sets forth the approximate amount of sales (all of which are based in the U.S.) by merchandise divisions for the periods presented (amounts in thousands): Fiscal Year Ended February 3, 2024 January 28, 2023 January 29, 2022 Merchandise division sales (1) Outdoors $ 1,727,018 $ 1,819,418 $ 2,060,046 Sports and recreation 1,452,377 1,488,187 1,577,776 Apparel 1,710,838 1,758,993 1,810,345 Footwear 1,235,643 1,291,227 1,290,197 Total merchandise sales (2) 6,125,876 6,357,825 6,738,364 Other sales (3) 33,415 37,248 34,764 Net sales $ 6,159,291 $ 6,395,073 $ 6,773,128 (1) Certain products and categories were re-categorized among various categories and divisions, respectively, during 2023 to better align with our current merchandising strategy and view of the business. As a result, we have reclassified sales between divisions for 2022 and 2021 for comparability purposes. This reclassification is in divisional presentation only and did not impact the overall net sales balances previously disclosed (see Note 2). (2) E-commerce sales consisted of 10.7%, 10.7% and 9.3% of merchandise sales for 2023, 2022 and 2021, respectively. (3) Other sales consists primarily of the gift card breakage income, credit card bounties and royalties, shipping income, net hunting and fishing license income, sales return allowance and other items. We sell gift cards in stores, online and in third-party retail locations. The gift cards we sell have no expiration dates. A liability for gift cards, which is recorded in accrued expenses and other liabilities on our consolidated balance sheets, is established at the time of sale and revenues are recognized as the gift cards are redeemed in stores or on our website. Based on historical gift card redemption patterns, we believe we can reasonably estimate the amount of gift cards that have a remote likelihood of redemption. These identified amounts are recorded as net sales and recognized in proportion to historical redemption trends, which is referred to as "breakage". The following is a reconciliation of the gift card liability (amounts in thousands): Fiscal Year Ended February 3, 2024 January 28, 2023 January 29, 2022 Gift card liability, beginning balance $ 90,650 $ 86,568 $ 74,253 Issued 134,741 134,091 136,553 Redeemed (124,370) (124,463) (119,103) Recognized as breakage income (6,866) (5,546) (5,135) Gift card liability, ending balance $ 94,155 $ 90,650 $ 86,568 |
Long-Term Debt
Long-Term Debt | 12 Months Ended |
Feb. 03, 2024 | |
Debt Disclosure [Abstract] | |
Long-Term Debt | Long-Term Debt Our debt consisted of the following (amounts in thousands) as of: February 3, 2024 January 28, 2023 ABL Facility, due November 2025 (1) $ — $ — Term Loan, due November 2027 91,750 194,750 Notes, due November 2027 400,000 400,000 Total debt 491,750 594,750 Less current maturities (3,000) (3,000) Less unamortized discount on Term Loan (501) (1,340) Less deferred loan costs (2) (3,698) (5,954) Long-term debt, net $ 484,551 $ 584,456 (1) On March 8, 2024, the Company issued a press release announcing that the Company had entered into an amendment to the First Amended and Restated ABL Credit Agreement which, among other things, extended the maturity of our asset-based revolving credit facility to March 8, 2029. See Note 17 to the accompanying financial statements for further disclosures regarding the amendment. (2) Deferred loan costs are related to the Term Loan and Notes. As of February 3, 2024 and January 28, 2023, the balance in deferred loan costs related to the ABL Facility (as defined below) was approximately $2.1 million and $3.2 million, respectively, and was included in other noncurrent assets on our consolidated balance sheets. Total amortization of deferred loan costs was $2.4 million, $2.6 million and $2.7 million in 2023, 2022 and 2021, respectively. Total expenses related to accretion of original issuance discount were $0.3 million, $0.4 million and $0.5 million in 2023, 2022 and 2021, respectively. The expenses related to amortization of deferred loan costs and accretion of original issuance discount are included in interest expense, net on the consolidated statements of income. On November 6, 2020, the Company issued the Notes (as defined below), entered into the 2020 Term Loan (as defined below), and entered into the 2020 ABL Facility (the "Refinancing Transactions"). The Company used the net proceeds from the Notes and the net proceeds from the 2020 Term Loan, together with cash on hand, to repay in full outstanding borrowings under its then-existing term loan, in the amount of $1,431.4 million. On May 25, 2021, the Company refinanced its 2020 Term Loan and paid down approximately $99.0 million of the 2020 Term Loan. On December 15, 2022 and February 1, 2024, the Company utilized cash on hand to voluntarily prepay $100.0 million of outstanding borrowings of the Term Loan, respectively. Term Loan We refer to the 2020 Term Loan and then amendments thereto collectively as the "Term Loan". On November 6, 2020, as a part of the Refinancing Transactions, Academy, Ltd. entered into a seven-year $400.0 million senior secured term loan (the "2020 Term Loan") with Credit Suisse AG, Cayman Island Branch ("Credit Suisse"), as the administrative agent and collateral agent and the several other lenders and parties. The 2020 Term Loan bore interest, at Academy, Ltd.’s election, at either (1) LIBOR rate with a floor of 0.75%, plus a margin of 5.00%, or (2) a base rate equal to the highest of (a) the federal funds rate plus 0.50%, (b) Credit Suisse’s "prime rate", or (c) the one-month LIBOR rate plus 1.00%, plus a margin of 4.00%. In connection with the 2020 Term Loan, the Company capitalized related professional fees of $5.8 million as deferred loan costs. On May 25, 2021, Academy, Ltd. entered into Amendment No. 4 (the “2021 Amendment”) to the Second Amended and Restated Credit Agreement, dated as of November 6, 2020, among Academy, Ltd., as Borrower, Credit Suisse AG, Cayman Islands Branch, as the administrative agent and collateral agent, the several lenders party thereto and the several other parties named therein (as previously amended, the “Existing Credit Agreement” and as amended by the 2021 Amendment, the “Amended Credit Agreement”). Pursuant to the terms of the 2021 Amendment, Academy, Ltd. (i) reduced the applicable margin on LIBOR borrowings under the Existing Credit Agreement from 5.00% to 3.75% and (ii) utilized cash on hand to repay $99.0 million of outstanding borrowings under the Existing Credit Agreement, leaving an outstanding principal balance of $300.0 million under the Amended Credit Agreement. In connection with the principal payment in the 2021 Amendment, the Company recognized a non-cash loss on early retirement of debt of $2.2 million in 2021 from the write-off of deferred loan costs related to the original issuance discount associated with our 2020 Term Loan. On December 15, 2022, the Company utilized cash on hand to voluntarily prepay $100.0 million of outstanding borrowings under the Term Loan. In connection with this principal payment, the Company recognized a non-cash loss on early retirement of debt of $2.0 million in 2022 from the write-off of deferred loan costs related to the original issuance discount associated with the Term Loan. On May 17, 2023, Academy, Ltd. entered into a Conforming Changes Amendment (the "2023 Amendment") to the Second Amended and Restated Credit Agreement, dated as of November 6, 2020, among Academy, Ltd., as Borrower, Credit Suisse AG, Cayman Islands Branch, as the administrative agent and collateral agent and the several lenders party thereto and the several other parties named therein, which updated the Term Loan benchmark base interest rate from LIBOR to Adjusted Term SOFR (as defined in the Conforming Changes Amendment to the Second Amended and Restated Credit Agreement). The transition of our Term Loan to Adjusted Term SOFR became effective on August 1, 2023. Borrowings under the Term Loan bear interest, at our election, at either (1) Adjusted Term SOFR with a floor of 0.75% rate plus a margin of 3.75% or (2) a base rate equal to the highest of (a) the federal funds rate plus 0.50%, (b) the U.S. "prime rate" announced by the administrative agent, or (c) the one-month Adjusted Term SOFR with a floor of 0.75% rate, plus a margin of 3.75%. As of February 3, 2024, the weighted average interest rate was 9.19%, with interest payable monthly. Quarterly principal payments of $750.0 thousand are required through September 30, 2027 and borrowings mature on November 6, 2027. The terms and conditions of the Term Loan also require that the outstanding balance under the Term Loan is prepaid under certain circumstances. On February 1, 2024, the Company utilized cash on hand to voluntarily prepay $100.0 million of outstanding borrowings under the Term Loan. In connection with this principal payment, the Company recognized a non-cash loss on early retirement of debt of $1.5 million in 2023 from the write-off of deferred loan costs related to the original issuance discount associated with the Term Loan. The Amended Credit Agreement contains customary events of default such as failure to pay principal or interest, breaches of representations and warranties, violations of affirmative or negative covenants, cross-defaults to other material indebtedness, a bankruptcy or similar proceeding, rendering of certain monetary judgments, invalidity of collateral documents and changes of control. As of February 3, 2024, no prepayment was due under the terms and conditions of the Term Loan. Notes On November 6, 2020, as a part of the Refinancing Transactions, Academy, Ltd. issued $400.0 million of 6.00% senior secured notes which are due November 15, 2027 (the "Notes"), pursuant to an indenture, dated as of November 6, 2020 (the "Indenture"), with Academy, Ltd. the Guarantors (as defined below) and The Bank of New York Mellon Trust Company, N.A., as trustee and collateral agent (in such capacity, the "Notes Collateral Agent"). The Notes pay interest semi-annually in arrears in cash on May 15 and November 15 of each year at a rate of 6.00% per year, which commenced on May 15, 2021. In connection with issuance of the Notes, the Company capitalized related professional fees of $5.2 million as deferred loan costs. The Notes are fully and unconditionally guaranteed on a senior secured basis by each of NAHC, Associated Investors L.L.C. and Academy Managing Co., L.L.C., each a direct or indirect, wholly-owned subsidiary of the Company (collectively, the "Guarantors"), and each of Academy, Ltd.’s future wholly-owned domestic restricted subsidiaries, to the extent such subsidiary guarantees Academy, Ltd.’s senior secured credit facilities or certain capital markets debt. On or after November 15, 2023, Academy, Ltd. may, at its option and on one or more occasions, redeem all or a part of the Notes at the redemption prices set forth in the Indenture, plus accrued and unpaid interest, if any, to, but excluding, the applicable redemption date. At any time prior to November 15, 2023, Academy, Ltd. may, at its option and on one or more occasions, redeem all or part of the Notes at a redemption price equal to 100% of the principal amount of the Notes to be redeemed, plus accrued and unpaid interest, if any, to, but excluding, the applicable redemption date, plus a "make-whole" premium as described in the Indenture. In addition, at any time prior to November 15, 2023, Academy, Ltd. may, at its option and on one or more occasions, redeem up to 40% of the aggregate principal amount of the Notes at a redemption price equal to 106% of the aggregate principal amount thereof, with an amount equal to or less than the net cash proceeds from one or more equity offerings to the extent such net cash proceeds are received by or contributed to Academy, Ltd., plus accrued and unpaid interest, if any, to, but excluding, the applicable redemption date. Upon the occurrence of certain events constituting a Change of Control (as defined in the Indenture), Academy, Ltd. will be required to make an offer to repurchase all of the Notes at a price equal to 101% of the principal amount thereof, plus accrued and unpaid interest, if any, to, but excluding, the repurchase date. The Indenture provides for events of default which include (subject in certain cases to customary grace and cure periods), among others, nonpayment of principal or interest, breach of other agreements in respect of the Notes, acceleration of certain other indebtedness, failure to pay certain final judgments, failure of certain guarantees to be enforceable, failure to perfect certain collateral securing the Notes and certain events of bankruptcy or insolvency, which events of default, if any occur, would permit or require the principal, premium, if any, interest and any other monetary obligations on all the then-outstanding Notes to be due and payable immediately. ABL Facility We refer to the 2020 ABL Facility and the amendments thereto collectively as the "ABL Facility". On November 6, 2020, as a part of the Refinancing Transactions, Academy, Ltd., as borrower, and the Guarantors, as guarantors, amended the previously existing secured asset-based revolving credit facility by entering into an amendment to the First Amended and Restated ABL Credit Agreement, dated as of July 2, 2015, with JPMorgan Chase Bank, N.A. as the administrative agent and collateral agent, letter of credit issuer and swingline lender (the "ABL Agent") and the several lenders party thereto, which ABL amendment (the "2020 ABL Facility"), among other things, extended the maturity of Academy, Ltd.’s asset-based revolving credit facility thereunder to November 6, 2025. In connection with the 2020 ABL Facility, the Company capitalized related professional fees of $3.1 million as deferred loan costs. On March 30, 2023, Academy, Ltd., as borrower, and the guarantors, amended the 2020 ABL Facility by entering into an amendment to the First Amended and Restated ABL Credit Agreement, dated as of July 2, 2015, with JP Morgan Chase Bank, N.A. as the ABL Agent and the several lenders party thereto, which ABL amendment updated its benchmark base interest rate from LIBOR to Adjusted Term SOFR. The ABL Facility is used to provide financing for working capital and other general corporate purposes, as well as to support certain letters of credit requirements, and availability is subject to customary borrowing base and availability provisions. During the normal course of business, we periodically utilize letters of credit primarily for the purchase of import goods and in support of insurance contracts. As of February 3, 2024, we had outstanding letters of credit of approximately $11.6 million, all of which were issued under the ABL Facility, and we had no borrowings outstanding under the ABL Facility, leaving the available borrowing capacity under the ABL Facility of $881.4 million. Borrowings under the ABL Facility bear interest, at our election, at either of (1) Adjusted Term SOFR plus a margin of 1.25% to 1.75%, or (2) a base rate equal to the highest of (a) the federal funds rate plus 0.50%, (b) JPMorgan Chase Bank, N.A.'s "prime rate", or (c) the one-month Adjusted Term SOFR rate plus 1.00%, plus a margin of 0.25% to 0.75%. The ABL Facility also provides a fee applicable to the unused commitments of 0.25%. The terms and conditions of the ABL Facility also require that we prepay outstanding loans under the ABL Facility under certain circumstances. As of February 3, 2024, no future prepayments of outstanding loans have been triggered under the terms and conditions of the ABL Facility. On March 8, 2024, the Company issued a press release announcing that the Company had entered into an amendment to the First Amended and Restated ABL Credit Agreement which, among other things, extended the maturity of our asset-based revolving credit facility to March 8, 2029. See Note 17 to the accompanying financial statements for further disclosures regarding the amendment. Liens and guarantees. The ABL Facility has a first priority lien on all Academy, Ltd.'s cash, accounts receivable, inventory, deposit and securities accounts and proceeds therefrom (the "ABL Collateral"). Additionally, the ABL Facility has a second priority lien on all other collateral of the Term Loan. All obligations under the Term Loan and the guarantees of those obligations are secured by: • a second-priority security interest in the ABL Collateral; • a first-priority security interest in, and mortgages on, substantially all present and after acquired tangible and intangible assets of Academy, Ltd and the Guarantors; and • a first-priority pledge of 100% of the capital stock of Academy, Ltd. and its domestic subsidiaries and 66% of the voting capital stock of each of Academy, Ltd.'s foreign subsidiaries, if any, that are directly owned by Academy, Ltd. or a future U.S. guarantor, if any. The Term Loan is guaranteed by the Guarantors on a senior secured basis. All obligations under the Term Loan and the guarantees of those obligations will be secured by: • a second-priority security interest in the ABL Priority Collateral; • a first-priority security interest in, and mortgages on, substantially all present and after acquired tangible and intangible assets of Academy and the Guarantors; and • a first-priority pledge of 100% of the capital stock of Academy and its domestic subsidiaries and 66% of the voting capital stock of each of Academy’s foreign subsidiaries, if any, that are directly owned by Academy or a future U.S. guarantor, if any. In order to secure the Notes and the guarantees, Academy, Ltd. and the Guarantors entered into certain security documents with the Notes Collateral Agent, including a security agreement and a pledge agreement, each dated as of November 6, 2020. The Notes and the guarantees are secured by: • a first-priority lien on all of Academy, Ltd.’s and the Guarantors’ personal property that secure the Term Loan on a first-priority basis; and • a second-priority lien on Academy, Ltd.’s and the Guarantors’ personal property consisting of accounts and all other rights to payment, inventory, tax refunds, cash, deposit accounts, securities and commodities accounts, and documents and supporting obligations, securing the ABL Facility on a first-priority basis and the Term Loan on a second-priority basis (the "ABL Priority Collateral"). Covenants. The ABL Facility, Term Loan and Notes agreements contain covenants, including, among other things, covenants that may restrict Academy, Ltd.'s ability to incur certain additional indebtedness, create or permit liens on assets, engage in mergers or consolidations, pay dividends, make other restricted payments, make loans or advances, engage in transactions with affiliates or amend material documents. Additionally, at certain times, the ABL Facility is subject to a minimum adjusted fixed charge coverage ratio. These covenants are subject to certain qualifications and limitations. We were in compliance with these covenants as of February 3, 2024. As of February 3, 2024, scheduled principal payments on our debt are as follows (amounts in thousands): Fiscal Year 2024 $ 3,000 2025 3,000 2026 3,000 2027 482,750 Total $ 491,750 |
Derivative Financial Instrument
Derivative Financial Instruments | 12 Months Ended |
Feb. 03, 2024 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Financial Instruments | Derivative Financial Instruments We have historically used interest rate swap agreements to hedge market risk relating to possible adverse changes in interest rates. All interest rate swaps had been designated as cash flow hedges of variable rate interest payments on borrowings under the Term Loan. On January 19, 2021, we settled our three outstanding interest rate swaps in full, which were scheduled to expire on various dates during 2021, for $4.1 million. As of February 3, 2024, we do not have any derivative financial instruments outstanding. For derivatives previously designated as hedging instruments, amounts included in AOCI were reclassified to interest expense in the same period during which the hedged transaction affected earnings, which is as interest expense was recorded on the underlying Term Loan. The impact of gains and losses related to interest rate swaps that were deferred into AOCI and subsequently reclassified into expense is as follows (amounts in thousands): Fiscal Year Ended February 3, 2024 January 28, 2023 January 29, 2022 Accumulated Other Comprehensive Loss, beginning $ — $ — $ (3,324) Increase to interest expense (net of tax benefit of $980.0 million for the year ended January 29, 2022) — — 3,324 Accumulated Other Comprehensive Loss, ending $ — $ — $ — |
Fair Value Measurements
Fair Value Measurements | 12 Months Ended |
Feb. 03, 2024 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Fair Value Measurements Fair value is defined as an exit price that would be received from the sale of an asset or paid to transfer a liability in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. Authoritative guidance establishes a three-level hierarchy for disclosure that is based on the extent and level of judgment used to estimate the fair value of the assets and liabilities. The fair value measurements are classified as either: • Level 1 which represents valuations based on unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities; • Level 2 which represents valuations based on quoted prices for similar assets and liabilities in active markets, quoted prices for identical or similar assets and liabilities in markets that are not active, or inputs that are observable, either directly or indirectly, for substantially the full term of the asset or liability; and • Level 3 which represents valuations based on prices or valuation techniques that require inputs that are both significant to the fair value measurement and unobservable (i.e., supported by little or no market activity). In instances where the determination of the fair value measurement is based on inputs from different levels of the fair value hierarchy, the level in the fair value hierarchy in which the fair value measurement is classified in its entirety, is based on the lowest level input that is significant to the fair value measurement. Our assessment of the significance of a particular input to the fair value measurement in its entirety requires judgment and considers factors specific to the asset or liability. There were no transfers made into or out of the Level 1, 2 or 3 categories during any period presented. Other Financial Instruments Periodically we make cash investments in money market funds comprised of U.S. Government treasury bills and securities, which are classified as cash and redeemable on demand. We held investments in money market funds of $303.4 million and $95.6 million as of February 3, 2024 and January 28, 2023, respectively. The fair value of the Term Loan and Notes is estimated using a discounted cash flow analysis based on quoted market prices for the instrument in an inactive market and is therefore classified as Level 2 within the fair value hierarchy. As of February 3, 2024 and January 28, 2023, the estimated fair value of the Term Loan and Notes was $0.5 billion and $0.6 billion, respectively. As borrowings on the ABL Facility are generally repaid in less than 12 months, we believe that fair value approximates the carrying value. |
Property and Equipment
Property and Equipment | 12 Months Ended |
Feb. 03, 2024 | |
Property, Plant and Equipment [Abstract] | |
Property and Equipment | Property and Equipment Property and equipment consists of the following (amounts in thousands) as of: February 3, 2024 January 28, 2023 Leasehold improvements $ 571,785 $ 484,930 Equipment and software 688,143 641,387 Furniture and fixtures 398,415 360,099 Construction in progress 38,873 23,159 Building and land 14,919 3,698 Total property and equipment 1,712,135 1,513,273 Accumulated depreciation and amortization (1,266,926) (1,161,849) Property and equipment, net $ 445,209 $ 351,424 Depreciation expense was $110.9 million, $106.8 million and $105.3 million in 2023, 2022 and 2021, respectively. |
Accrued Expenses and Other Curr
Accrued Expenses and Other Current Liabilities | 12 Months Ended |
Feb. 03, 2024 | |
Payables and Accruals [Abstract] | |
Accrued Expenses and Other Current Liabilities | Accrued Expenses and Other Current Liabilities Accrued expenses and other current liabilities consist of the following (amounts in thousands) as of: February 3, 2024 January 28, 2023 Accrued interest $ 6,717 $ 7,015 Accrued personnel costs 30,899 57,504 Accrued professional fees 1,818 3,943 Accrued sales and use tax 14,828 9,302 Accrued self-insurance 15,269 20,941 Deferred revenue - gift cards and other 96,688 92,603 Income taxes payable 9,313 6,195 Property taxes 14,239 15,921 Sales return allowance 6,400 6,100 Other 21,761 20,645 Accrued expenses and other current liabilities $ 217,932 $ 240,169 |
Share-Based Compensation
Share-Based Compensation | 12 Months Ended |
Feb. 03, 2024 | |
Share-Based Payment Arrangement [Abstract] | |
Share-Based Compensation | Share-Based Compensation On September 29, 2020, the ASO, Inc. Board of Directors adopted the 2020 Omnibus Incentive Plan (the "2020 Omnibus Incentive Plan"), which became effective on October 1, 2020. The plan reserved a total of 5,150,000 shares of common stock for issuance. Concurrent with the adoption of the 2020 Omnibus Incentive Plan, the previously existing share-based compensation plan, the NAHC 2011 Unit Incentive Plan (the "2011 Unit Incentive Plan"), was frozen and no further issuances will be permitted as part of the 2011 Unit Incentive Plan. On June 1, 2023, our stockholders approved the First Amendment to the 2020 Omnibus Incentive Plan, which, among other changes, increased the number of shares available for issuance thereunder by 2,600,000 shares. As of February 3, 2024, there were 4,534,051 shares that were authorized and available for grant under the 2020 Omnibus Incentive Plan. On September 29, 2020, the ASO, Inc. Board of Directors adopted the 2020 Employee Stock Purchase Plan (the "ESPP"), which became effective on October 1, 2020. We have reserved a total of 2,000,000 shares and as of February 3, 2024, there were 1,593,760 shares authorized and available for future issuance under the ESPP. The following table provides total stock-based compensation recognized in the consolidated statements of income (amounts in thousands): Fiscal Year Ended February 3, 2024 January 28, 2023 January 29, 2022 Equity compensation expense (1) $ 24,377 $ 21,175 $ 39,264 (2) Total related tax benefit $ 5,245 $ 4,494 $ 9,075 (1) These costs are included within selling, general and administrative expenses in the consolidated statements of income. (2) These costs include approximately $24.9 million in non-cash expenses related to the 2021 Vesting Event, which occurred during the 2021 second quarter (see Note 1). As of February 3, 2024, unrecognized compensation cost related to non-vested share-based compensation awards of $28.6 million is expected to be recognized over a weighted average life of two years. The grant date fair value of Restricted Units and Restricted Stock Units vested was $11.7 million, $3.9 million and $24.4 million for 2023, 2022 and 2021, respectively. 2011 Unit Incentive Plan The 2011 Unit Incentive Plan provides for the grant of certain equity incentive awards (each, an "Award"), such as options to purchase ASO, Inc. common stock (each, a "Unit Option") and restricted units that may settle in ASO, Inc. common stock (each, a "Restricted Unit") to our directors, executives, and eligible employees of the Company. Unit Options granted under the 2011 Unit Incentive Plan consist of Unit Options that vest upon the satisfaction of time-based requirements (each, a "Service Unit Option") and Unit Options that vest upon the satisfaction of both time-based requirements and Company performance-based requirements (each, a "Performance Unit Option"). Restricted Units granted under the 2011 Unit Incentive Plan consist of Restricted Units that vest upon the satisfaction of time-based requirements (each, a "Service Restricted Unit") and Restricted Units that vest upon the satisfaction of a liquidity event-based requirement together with a time-based requirement and/or a performance-based requirement (each, a "Liquidity Event Restricted Unit"). In each case, vesting of the Company’s outstanding and unvested Unit Options and Restricted Units is contingent upon the holder’s continued service through the date of each applicable vesting event. Concurrent with the adoption of the 2020 Omnibus Incentive Plan on October 1, 2020, no further Awards are authorized to be granted under the 2011 Unit Incentive Plan. 2020 Omnibus Incentive Plan The 2020 Omnibus Incentive plan provides for the grant of Awards such as options to purchase ASO, Inc. common stock (each, a "Stock Option") and restricted stock units which may settle in ASO, Inc. common stock (each, a "Restricted Stock Unit") to our directors, executives, and eligible employees of the Company. Stock Options granted under the 2020 Omnibus Incentive Plan consist of Stock Options that vest upon the satisfaction of time-based requirements, each, a "Service Stock Option" (Service Unit Options and Service Stock Options together are "Service Options"). Restricted Stock Units granted under the 2020 Omnibus Incentive Plan consist of Restricted Stock Units that vest upon the satisfaction of time-based requirements (each, a "Service Restricted Stock Unit") and Restricted Stock Units that vest upon the satisfaction of a time-based requirement and performance-based and/or market-based requirements (each, a "Performance Restricted Stock Unit"). In each case, vesting of the Company’s outstanding and unvested Stock Options and Restricted Stock Units is contingent upon the holder’s continued service through the date of each applicable vesting event. ESPP Our ESPP allows eligible employees to contribute up to 15% of their eligible earnings toward the semi-annual purchase of the Company's shares of common stock at a discount of 15% of the closing stock price on the first or last day of the six-month offering period, whichever is lower. The number of shares reserved for issuance under the ESPP will be increased automatically on the first day of each fiscal year, beginning in fiscal year 2021, by a number equal to the lesser of (1) 1,000,000 shares of common stock, (2) 2.0% of the total number of all classes of the company's common stock outstanding on the last day of the immediately preceding fiscal year, or (3) a lower number of shares determined by the ASO, Inc. Board of Directors. Distribution On August 28, 2020, NAHC paid a $257.0 million distribution to its members of record as of August 25, 2020. Holders of the outstanding granted equity Awards were entitled to receive value equal to $3.546 per share on a post-IPO basis, which was made in the form of cash payments, additional Restricted Unit grants or Unit Option exercise price adjustments. Cash payments due for unvested Awards were paid upon vesting of such Awards. Cash payments for vested Unit Options and vested Restricted Units ("Share-Based Award Payments") of $32.2 million were paid in-full as of July 31, 2021. Service Option Fair Value Assumptions The fair value for Service Options granted was estimated using a Black-Scholes option-pricing model. The expected lives of the Service Options granted were based on the "SEC simplified" method. Expected price volatility was determined based on our own volatility and the implied volatilities of comparable companies over a historical period that matches the expected life of the Service Options. The risk-free interest rate was based on the expected U.S. Treasury rate over the expected life. In 2022 and 2023, the dividend yield was based on the most recent annualized quarterly dividend and the valuation date closing stock price. In 2021, the dividend yield was based on the expectation that no dividends will be paid. The assumptions used to calculate the fair value of Service Options granted are evaluated and modified, as necessary, to reflect current market conditions and experience. The following table presents the assumptions and grant date fair values for Service Options granted in 2023, 2022 and 2021: Fiscal Year Ended February 3, 2024 January 28, 2023 January 29, 2022 Expected life in years 6.0 6.2 6.2 Expected volatility 46% to 51% 43% to 45% 42% to 44% Weighted-average volatility 47.8% 43.0% 43.7% Risk-free interest rate 3.7% to 4.4% 2.4% to 4.1% 1.0% to 1.3% Dividend yield 0.6% 0.8% — Weighted-average grant date fair value - Service Options $27.60 $16.36 $11.92 Option Activity Option activity is as follows: Service Options Options Weighted Average Exercise Price Weighted Average Remaining Contractual Life Aggregate Intrinsic Value (in thousands) Outstanding as of January 30, 2021 6,282,782 $ 13.53 5.5 $ 50,055 Granted or modified 915,017 27.41 Canceled or modified (1,499) 16.84 Forfeited (39,757) 23.19 Exercised (3,258,329) 10.62 $ 81,782 Outstanding as of January 29, 2022 3,898,214 $ 19.12 7.4 $ 72,345 Granted or modified 817,618 39.22 Canceled or modified (3,378) 17.06 Forfeited (51,027) 30.32 Exercised (1,090,733) 16.83 $ 34,611 Outstanding as of January 28, 2023 3,570,694 $ 24.27 7.3 $ 112,050 Granted or modified 262,640 58.13 Canceled or modified (694) 13.00 Forfeited (228,160) 39.14 Exercised (988,682) 20.00 $ 36,277 Outstanding as of February 3, 2024 (1) 2,615,798 $ 27.99 6.7 $ 95,479 Exercisable as of February 3, 2024 1,633,434 $ 21.53 5.9 $ 70,154 (1) The Company has elected to recognize forfeitures as they occur. Therefore, the number of awards vested and expected to vest is equal to the awards outstanding. Performance Unit Options Unit Weighted Average Exercise Price Weighted Average Remaining Contractual Life (in years) Aggregate Intrinsic Value (in thousands) Outstanding as of January 30, 2021 2,948,621 $ 8.81 2.5 $ 37,422 Granted or modified — — Canceled or modified — — Forfeited (295,932) 16.72 Exercised (2,255,780) 6.42 $ 55,865 Outstanding as of January 29, 2022 396,909 $ 16.48 5.8 $ 8,406 Granted or modified — — Canceled or modified — — Forfeited — — Exercised (178,432) 16.35 $ 5,570 Outstanding as of January 28, 2023 218,477 $ 16.59 5.5 $ 8,534 Granted or modified — — Canceled or modified — — Forfeited — — Exercised (95,915) 16.63 $ 3,656 Outstanding as of February 3, 2024 (1) 122,562 $ 16.55 5.0 $ 5,874 Exercisable as of February 3, 2024 122,562 $ 16.55 5.0 $ 5,874 (1) The Company has elected to recognize forfeitures as they occur. Therefore, the number of awards vested and expected to vest is equal to the awards outstanding. The total income tax benefit recognized from the exercise of stock options was $3.9 million, $4.2 million and $18.5 million for the fiscal years ended February 3, 2024, January 28, 2023 and January 29, 2022, respectively. Restricted Unit Activity Restricted Unit activity is as follows: Service Restricted Units Liquidity Event Restricted Units Performance Restricted Units Units Weighted Average Grant Date Fair Value Units Weighted Average Grant Date Fair Value Units Weighted Average Grant Date Fair Value Non-vested as of January 30, 2021 32,049 $ 17.01 1,339,330 $ 17.74 16,328 $ 13.87 Granted 358,960 36.64 — — 196,056 27.41 Vested (33,389) 17.34 (1,339,330) 17.74 (4,079) 13.87 Forfeited (18,741) 27.62 — — (4,387) 30.07 Non-vested as of January 29, 2022 338,879 $ 37.18 — $ — 203,918 $ 26.54 Granted 198,346 39.40 — — 170,250 37.36 Vested (66,980) 32.46 — — (65,979) 26.44 Forfeited (33,137) 34.63 — — (9,260) 32.20 Non-vested as of January 28, 2023 437,108 $ 39.11 — $ — 298,929 $ 32.55 Granted 393,131 60.37 — — 250,384 57.91 Vested (173,225) 39.48 — — (149,190) 32.82 Forfeited (92,151) 51.32 — — (88,301) 47.94 Non-vested as of February 3, 2024 564,863 $ 51.80 — $ — 311,822 $ 48.85 Vesting The Company's outstanding and unvested Service Options typically vest ratably over a three The Company’s outstanding and unvested Service Restricted Units generally vest ratably over a three The Company’s outstanding and unvested Performance Restricted Units typically vest either (i) if granted during 2023, on the third anniversary of the Performance Restricted Unit holder's vesting commencement date, or (ii) if granted prior to 2023, ratably over a four-year period on each anniversary of the Performance Restricted Unit holder’s vesting commencement date, so long as the Company achieved (a) the performance metric for the performance period or (b) achieves a stated target share price. In the event of certain Company change of control transactions, the Company's then-outstanding and unvested Awards will become fully vested and exercisable subject to certain criteria (as defined in the award agreements). For certain Awards granted in 2022 and all Awards granted in 2023, for team members that meet the age and service requirement for retirement eligibility (as defined in the award agreement), such Awards do not require the continued employment of the team member for vesting eligibility. In such cases, expensing of Awards is accelerated through the retirement eligibility date. |
Earnings per Common Share
Earnings per Common Share | 12 Months Ended |
Feb. 03, 2024 | |
Earnings Per Share [Abstract] | |
Earnings per Common Share | Earnings per Common Share Basic earnings per common share is calculated based on net income divided by the basic weighted average common shares outstanding during the period, and diluted earnings per common share is calculated based on net income divided by the diluted weighted average common shares outstanding. Diluted weighted average common shares outstanding is based on the basic weighted average common shares outstanding plus any potential dilutive effect of stock-based awards outstanding during the period using the treasury stock method, which assumes the potential proceeds received from the dilutive stock options are used to purchase treasury stock. Anti-dilutive stock-based awards do not include awards which have a performance or liquidity event target which has yet to be achieved. Basic and dilutive weighted average common shares outstanding and basic and diluted earnings per common share are calculated as follows (amounts in thousands except per share amounts): Fiscal Year Ended February 3, 2024 January 28, 2023 January 29, 2022 Net income $ 519,190 $ 628,001 $ 671,381 Weighted average common shares outstanding - basic 75,389 81,590 90,956 Dilutive effect of Service Restricted Units and Service Restricted Stock Units 327 165 70 Dilutive effect of Performance Restricted Stock Units and Liquidity Event Restricted Units 165 207 313 Dilutive effect of Service Options 1,439 1,678 2,300 Dilutive effect of Performance Unit Options 112 202 637 Dilutive effect of ESPP Shares 37 53 8 Weighted average common shares outstanding - diluted 77,469 83,895 94,284 Earnings per common share - basic $ 6.89 $ 7.70 $ 7.38 Earnings per common share - diluted $ 6.70 $ 7.49 $ 7.12 Anti-dilutive stock-based awards excluded from diluted calculation 128 24 24 |
Income Taxes
Income Taxes | 12 Months Ended |
Feb. 03, 2024 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes The income tax provision consists of the following (amounts in thousands) as of: Fiscal Year Ended February 3, 2024 January 28, 2023 January 29, 2022 Current expense: Federal $ 125,325 $ 127,823 $ 93,373 State 22,869 20,645 15,270 Foreign 19 20 26 Total current expense 148,213 148,488 108,669 Deferred expense (benefit): Federal (3,395) 37,971 69,353 State (817) 3,853 10,139 Foreign (35) 7 (2) Total deferred expense (4,247) 41,831 79,490 Income tax expense $ 143,966 $ 190,319 $ 188,159 A reconciliation of the statutory U.S. federal income tax rate to our effective income tax rate is as follows: Fiscal Year Ended February 3, 2024 January 28, 2023 January 29, 2022 Federal income tax at the statutory rate 21.0 % 21.0 % 21.0 % State income tax, net of federal benefit 2.5 2.5 2.6 Nondeductible excess compensation 0.5 0.6 1.3 Excess tax benefit for share-based compensation (1.1) (0.7) (2.6) Effect of other permanent items (1.2) (0.1) (0.4) Effective income tax rate 21.7 % 23.3 % 21.9 % Components of deferred tax assets and liabilities consist of the following (amounts in thousands) as of: February 3, 2024 January 28, 2023 Deferred tax assets: Accounts receivable $ 620 $ 570 Accrued liabilities and reserves 18,810 17,905 Equity compensation 7,672 7,947 Total deferred tax assets 27,102 26,422 Deferred tax liabilities: Inventory (34,313) (49,995) Prepaid items (6,554) (5,143) Property and equipment (13,983) (15,496) Intangible assets (227,027) (214,292) Other (21) (539) Total deferred tax liabilities (281,898) (285,465) Net deferred tax liability $ (254,796) $ (259,043) Management evaluates the realizability of the deferred tax assets and the need for additional valuation allowances annually. As of February 3, 2024, based on current facts and circumstances, management believes that it is more likely than not that the Company will realize benefit for its gross deferred tax assets. As of February 3, 2024, we had no unrecognized tax benefits and we do not anticipate that unrecognized tax benefits will significantly increase or decrease over the next twelve months. The Company files a consolidated federal income tax return and files tax returns in various state and local jurisdictions. The statute of limitations is open for federal and state tax audits for the tax fiscal years ending 2021 through 2023, and 2020 through 2023, respectively. |
Leases
Leases | 12 Months Ended |
Feb. 03, 2024 | |
Leases [Abstract] | |
Leases | Leases With the exception of one retail store which we own, we lease all of our retail stores, distribution centers and corporate offices. Our leases primarily relate to building leases, which generally include options to renew at our sole discretion for five years or more. We regularly extend options for our building leases, which constitutes a lease modification and such events require a re-measurement of the lease liability at current discount rates. The life of leasehold improvement assets are limited by the expected lease term. Additionally, we have certain agreements for equipment rentals, which are typically 12 months or less in duration. As of February 3, 2024, all of our leases are classified as operating leases. In addition, in certain situations, we may sublease real estate to third parties. Our sublease portfolio consists mainly of former store locations for which we are still under lease and existing store leases in which we have excess or unused space. The components of lease expense and sublease income included in selling, general and administrative ("SG&A") expenses on our statement of income is as follows (amounts in thousands): Fiscal Year Ended February 3, 2024 January 28, 2023 January 29, 2022 Operating lease expense $ 214,672 $ 201,398 $ 197,321 Short-term lease expense — — — Variable lease expense 10,405 8,398 7,757 Sublease income (463) (442) (486) Net lease expense $ 224,614 $ 209,354 $ 204,592 Information about our operating leases is as follows (dollar amounts in thousands): Fiscal Year Ended February 3, 2024 January 28, 2023 January 29, 2022 Right-of-use assets obtained in exchange for new operating lease liabilities $ 134,181 $ 116,652 $ 26,253 Cash paid for amounts included in the measurement of operating lease liabilities $ 213,860 $ 204,159 $ 203,554 February 3, 2024 January 28, 2023 Weighted-average remaining lease term in years 9.5 9.8 Weighted-average incremental borrowing rate 8.9 % 9.0 % As most of our leases do not provide an implicit rate of interest, we use our incremental borrowing rate, which is based on the market lending rates for companies with comparable credit ratings, to determine the present value of lease payments on lease commencement or remeasurement. The remaining maturities of lease liabilities by fiscal year as of February 3, 2024 are as follows (amounts in thousands): 2024 $ 200,494 2025 214,244 2026 205,944 2027 191,893 2028 173,835 After 2028 810,337 Total lease payments (1) 1,796,747 Less: Interest (587,604) Present value of lease liabilities $ 1,209,143 (1) Minimum lease payments have not been reduced by sublease rentals of $2.3 million due in the future under non-cancelable subleases. The Company has entered into operating leases related to future store locations for which we have not yet taken possession of the location. As of February 3, 2024, the future minimum lease payments on these leases approximated $159.3 million. |
Related Party Transactions
Related Party Transactions | 12 Months Ended |
Feb. 03, 2024 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | Related Party Transactions On May 5, 2021, and September 14, 2021, in connection with the May 2021 Secondary Offering and the September 2021 Secondary Offering, respectively, the Company entered into Underwriting Agreements with affiliates of KKR (as selling stockholders), several other selling stockholders named therein, and several underwriters named therein, including KCM (as underwriter). The May 2021 Secondary Offering and September 2021 Secondary Offering were completed on May 10, 2021, and September 17, 2021, respectively. The Company did not pay KCM any fees in connection with these secondary offerings. In connection with the May 2021 Secondary Offering, we repurchased from the underwriters 3,229,974 shares of ASO, Inc. common stock at $30.96 per share for approximately $100.0 million. In connection with the September 2021 Secondary Offering, we repurchased from the underwriters 4,500,000 shares of ASO, Inc. common stock at approximately $43.52 for approximately $195.8 million. The shares repurchased in both the May 2021 Secondary Offering and the September 2021 Secondary Offering were immediately retired by the Company (see Note 1 and Note 2). |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Feb. 03, 2024 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies Technology Related Commitments and Other As of February 3, 2024, we have obligations under technology-related, construction and other contractual commitments in the amount of $68.0 million. Of such commitments, approximately $40.9 million is payable in the next 12 months. Financial Guarantees During the normal course of business, we enter into contracts that contain a variety of representations and warranties and provide general indemnifications. The maximum exposure under these arrangements is unknown as this would involve future claims that may be made against us that have not yet occurred. However, based on experience, we believe the risk of loss to be remote. Legal Proceedings We are a defendant or co-defendant in lawsuits, claims and demands brought by various parties relating to matters normally incident to our business. No individual case, or group of cases against us, presenting substantially similar issues of law or fact, is expected to have a material effect on the manner in which we conduct our business or on our consolidated results of operations, financial position or liquidity. The majority of these cases are alleging product, premises, employment and/or commercial liability. Reserves have been established that we believe to be adequate based on our current evaluations and experience in these types of claim situations; however, the ultimate outcome of these cases cannot be determined at this time. We believe, taking into consideration our indemnities, defenses, insurance and reserves, the ultimate resolution of these matters will not have a material impact on our financial position, results of operations or cash flows. In addition, government agencies and self-regulatory organizations have the ability to conduct periodic examinations of and administrative proceedings regarding our business. In May and December 2023, U.S. Customs and Border Protection ("CBP") notified us that we owed additional duties relating to certain products that we imported from China that CBP believes are subject to certain anti-dumping and/or countervailing duties. We do not believe that these products are subject to such duties and are contesting CBP’s determination vigorously. While we contest CBP’s determination, we were required to deposit with CBP an amount of duties relating to these products, which are included in prepaid expenses and other current assets on the Company’s consolidated balance sheet while this matter is pending. We anticipate that this matter will be resolved without a material adverse effect on our financial position, results of operations or cash flows. However, the ultimate outcome of this matter cannot be determined at this time, and we cannot assure you that we will be successful in contesting CBP's determination or that we will not need to accrue or pay additional amounts in the future. During 2023, the Company settled a legal matter pertaining to the overcharge of interchange feeds with certain financial institutions for prior periods dating back to 2004. In connection with this settlement, we recognized a net gain of approximately $15.9 million in Other (income), net on the Consolidated Statements of Income, when the gain became realizable. We are not currently party to any other legal proceedings that we believe would have a material adverse effect on our financial position, results of operations or cash flows. Sponsorship Agreement and Intellectual Property Commitments We periodically enter into sponsorship agreements generally with professional sports teams, associations, events, networks or individual professional players and collegiate athletic programs in exchange for marketing and advertising promotions. We also enter into intellectual property agreements whereby the Company receives the right to use third-party owned trademarks typically in exchange for royalties on sales. These agreements typically contain a one |
Employee Benefit Plans
Employee Benefit Plans | 12 Months Ended |
Feb. 03, 2024 | |
Retirement Benefits [Abstract] | |
Employee Benefit Plans | Employee Benefit Plans 401(k) Plan We sponsor a safe harbor defined contribution 401(k) profit sharing plan (the "401(k) Plan") for our eligible employees. The 401(k) Plan includes an eligible employee compensation deferral feature, Company matching contributions and a Company profit sharing component. Eligible employees are permitted to contribute up to 75% of their eligible compensation on a pretax basis to the 401(k) Plan, subject to Internal Revenue Service limitations. We match 100% of the money contributed by a plan participant to the 401(k) Plan each pay period, on a dollar-for-dollar basis, up to 6% of a plan participant’s eligible compensation during such pay period. Annual Company profit sharing contributions are made at the discretion of our Board of Directors, subject to certain limitations. The 401(k) Plan may be amended or terminated at our discretion. Employer contributions related to the 401(k) Plan totaled $15.5 million, $15.5 million and $15.6 million in 2023, 2022 and 2021, respectively. |
Selected Quarterly Financial Da
Selected Quarterly Financial Data (Unaudited) | 12 Months Ended |
Feb. 03, 2024 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Selected Quarterly Financial Data (Unaudited) | Selected Quarterly Financial Data (Unaudited) The summarized quarterly financial information for the fiscal years ended 2023 and 2022 are reflected in the table below (amounts in thousands, except earnings per share data): 1st 2nd 3rd 4th Quarter Quarter Quarter Quarter 2023: Net sales $ 1,383,609 $ 1,583,077 $ 1,397,777 $ 1,794,828 Gross margin 467,115 563,446 482,641 597,009 Operating income 126,196 210,963 136,731 203,965 Net income (1) 93,970 157,075 99,978 168,167 Earnings per common share: Basic $ 1.22 $ 2.06 $ 1.34 $ 2.27 Diluted $ 1.19 $ 2.01 $ 1.31 $ 2.21 Weighted average common shares outstanding: Basic 76,862 76,104 74,461 74,219 Diluted 79,288 78,091 76,057 76,035 2022: Net sales $ 1,467,730 $ 1,686,915 $ 1,493,925 $ 1,746,503 Gross margin 521,424 596,063 522,471 572,544 Operating income 205,493 256,734 179,522 204,800 Net income (2) $ 149,806 $ 188,801 $ 131,741 $ 157,653 Earnings per common share: Basic $ 1.73 $ 2.28 $ 1.67 $ 2.03 Diluted $ 1.69 $ 2.22 $ 1.62 $ 1.97 Weighted average common shares outstanding: Basic 86,658 82,960 79,085 77,657 Diluted 88,614 84,906 81,379 80,074 (1) Net income for the quarter ended February 3, 2024, includes a $15.9 million net gain relative to a credit card fee litigation settlement which occurred in the fourth quarter of 2023 (see Note 2). (2) Net income for the year ended January 28, 2023, included a $7.2 million gain from a business interruption insurance recovery and a $3.7 million gain from the sale of a tariff relief litigation claim, both of which occurred in the fourth quarter of 2022 (see Note 2). |
Subsequent Events
Subsequent Events | 12 Months Ended |
Feb. 03, 2024 | |
Subsequent Events [Abstract] | |
Subsequent Events | Subsequent Events Our management evaluated events or transactions that occurred after February 3, 2024 through March 21, 2024, the issuance date of the consolidated financial statements, and identified the following matter to report: On March 7, 2024, the Company's Board of Directors declared a quarterly cash dividend in the amount of $0.11 per share on the Company's common stock, payable on April 18, 2024 to stockholders of record as of the close of business on March 26, 2024. On March 8, 2024 Academy, Ltd. (“Academy”), a wholly-owned subsidiary of Academy Sports and Outdoors, Inc., as borrower, New Academy Holding Company, LLC, Associated Investors, L.L.C. and Academy Managing Co., L.L.C., each a direct or indirect, wholly-owned subsidiary of the Company, as guarantors, entered into an amendment (the “ABL Amendment”) to the First Amended and Restated ABL Credit Agreement, dated as of July 2, 2015, with JPMorgan Chase Bank, N.A. as the administrative agent and collateral agent, letter of credit issuer and swingline lender, and the several lenders party thereto, which ABL Amendment, among other things, extended the maturity of Academy’s asset-based revolving credit facility (the “ABL Credit Facility”) to March 8, 2029, unless if (i) more than $100 million of the aggregate principal amount of the 2027 Senior Notes (as defined in the ABL Amendment) or the Term Loans (as defined in the ABL Amendment), or any refinancing thereof, in each case, is outstanding on the date that is 91 days prior to the earliest maturity date of any such indebtedness or (ii) equal to or less than $100 million of the aggregate principal amount of the 2027 Senior Notes or the Term Loans, in either case, is outstanding on the date that is 91 days prior to the earliest maturity date of any such indebtedness and a Reserve (as defined in the ABL Amendment) in the ABL Credit Facility has not been taken for such amount, then the maturity date of the ABL Credit Facility will be the date that is 91 days earlier than the earlier maturity date of the 2027 Senior Notes and the Term Loans. |
Schedule II Valuation and Quali
Schedule II Valuation and Qualifying Accounts | 12 Months Ended |
Feb. 03, 2024 | |
SEC Schedule, 12-09, Valuation and Qualifying Accounts [Abstract] | |
Schedule II Valuation and Qualifying Accounts | Balance at beginning of period Charged to costs and expenses Deductions Balance at end of period February 3, 2024: Allowance for doubtful accounts $ 2,004 $ 1,107 $ (894) (1) $ 2,217 Sales return allowance 6,100 11,200 (2) (10,900) (2) 6,400 Inventory shrink adjustments 4,960 99,444 (92,582) (3) 11,822 Self-insurance reserves 30,170 70,509 (75,669) (4) 25,010 January 28, 2023: Allowance for doubtful accounts $ 732 $ 1,426 $ (154) (1) $ 2,004 Sales return allowance 6,200 11,900 (2) (12,000) (2) 6,100 Inventory shrink adjustments 11,696 79,150 (85,886) (3) 4,960 Self-insurance reserves 24,509 74,292 (68,631) (4) 30,170 January 29, 2022: Allowance for doubtful accounts $ 1,172 $ 74 $ (514) (1) $ 732 Sales return allowance 5,800 13,200 (2) (12,800) (2) 6,200 Inventory shrink adjustments 8,504 74,441 (71,249) (3) 11,696 Self-insurance reserves 22,065 72,313 (69,869) (4) 24,509 (1) Represents write-offs to the reserve. (2) Represents the monthly increase (decrease) in the required reserve based on the Company's evaluation of anticipated merchandise returns. (3) Represents the actual inventory shrinkage experienced at the time of physical inventories. (4) Represents claim payments for self-insured claims. |
Pay vs Performance Disclosure
Pay vs Performance Disclosure - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Feb. 03, 2024 | Oct. 28, 2023 | Jul. 29, 2023 | Apr. 29, 2023 | Jan. 28, 2023 | Oct. 29, 2022 | Jul. 30, 2022 | Apr. 30, 2022 | Feb. 03, 2024 | Jan. 28, 2023 | Jan. 29, 2022 | |
Pay vs Performance Disclosure | |||||||||||
Net income | $ 168,167 | $ 99,978 | $ 157,075 | $ 93,970 | $ 157,653 | $ 131,741 | $ 188,801 | $ 149,806 | $ 519,190 | $ 628,001 | $ 671,381 |
Insider Trading Arrangements
Insider Trading Arrangements | 3 Months Ended | 12 Months Ended |
Feb. 03, 2024 shares | Feb. 03, 2024 shares | |
Trading Arrangements, by Individual | ||
Rule 10b5-1 Arrangement Adopted | true | |
Non-Rule 10b5-1 Arrangement Adopted | false | |
Rule 10b5-1 Arrangement Terminated | false | |
Non-Rule 10b5-1 Arrangement Terminated | false | |
Jeff C. Tweedy [Member] | ||
Trading Arrangements, by Individual | ||
Material Terms of Trading Arrangement | During the quarter ended February 3, 2024, the following trading plan(s) intended to satisfy the affirmative defense conditions of Rule 10b5-1(c) that are required to be disclosed under Item 408 of Regulation S-K was/were adopted or terminated: Name Title Date Plan Duration of Plan Common Shares to be Purchased or Sold Comments Jeff C. Tweedy Director Adopted January 19, 2024 April 19, 2024 through December 31, 2024 Sell up to 2,400 common shares, subject to certain conditions set forth in the trading plan. Mr. Tweedy's previously disclosed trading plan was completed pursuant to the terms set forth in that trading plan. | |
Name | Jeff C. Tweedy | |
Title | Director | |
Adoption Date | January 19, 2024 | |
Arrangement Duration | 256 days | |
Aggregate Available | 2,400 | 2,400 |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Feb. 03, 2024 | |
Accounting Policies [Abstract] | |
Fiscal Year | The Company’s fiscal year represents the 52 or 53 weeks ending on the Saturday closest to January 31 each year. References herein to 2023 relate to the 53-week fiscal year ended February 3, 2024, and references herein to 2022 and 2021 relate to the 52-week fiscal years ended January 28, 2023, and January 29, 2022, respectively. |
Basis of Presentation | These consolidated financial statements include the accounts of ASO, Inc. and its subsidiaries, New Academy Holding Company, LLC ("NAHC"), Academy Managing Co., LLC, Associated Investors, LLC, Academy, Ltd., the Company's operating company, and Academy International Limited. NAHC, Academy Managing Co., LLC, and Associated Investors, LLC are intermediate holding companies. All intercompany balances and transactions have been eliminated in consolidation. ASO Co-Invest Blocker Sub, L.P. and ASO Blocker Sub, L.P. were dissolved effective January 31, 2021. |
Principles of Consolidation | These consolidated financial statements include the accounts of ASO, Inc. and its subsidiaries, New Academy Holding Company, LLC ("NAHC"), Academy Managing Co., LLC, Associated Investors, LLC, Academy, Ltd., the Company's operating company, and Academy International Limited. NAHC, Academy Managing Co., LLC, and Associated Investors, LLC are intermediate holding companies. All intercompany balances and transactions have been eliminated in consolidation. ASO Co-Invest Blocker Sub, L.P. and ASO Blocker Sub, L.P. were dissolved effective January 31, 2021. |
Use of Estimates in the Preparation of Financial Statements | The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America ("GAAP") requires our management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities as of the date of the financial statements, as well as the reported amounts of revenues and expenses during the reporting period. Our management bases its estimates on historical experience and other assumptions it believes to be reasonable under the circumstances. Actual results could differ significantly from those estimates. Our most significant estimates and assumptions that materially affect the financial statements involve difficult, subjective or complex judgments by management including the valuation of merchandise inventories, and performing goodwill, intangible and long-lived asset impairment analyses. |
Reclassifications | Within the merchandise division sales table presented in Note 3, certain products and categories were recategorized among various categories and divisions, respectively, during 2023 to better align with our current merchandising strategy and view of the business. As a result, we have reclassified sales between divisions for 2022 and 2021 for comparability purposes. This reclassification is in divisional presentation only and did not impact the overall net sales balances previously disclosed. |
Cash and Cash Equivalents | We consider credit and debit card transactions, which typically settle within three business days, demand deposits with banks, and all other highly liquid investments with original maturities of three months or less from the date of purchase to be cash equivalents. |
Financial Instruments | Financial instruments are comprised of cash and cash equivalents, accounts receivable, accounts payable, certain accrued liabilities and debt. The carrying amounts of cash and cash equivalents, accounts receivable, accounts payable and accrued liabilities approximate their fair values due to the short-term nature of those instruments. We have also historically entered into derivative interest rate swaps to reduce the risk that our earnings and cash flows will be affected by changes in interest rates on our debt. The fair value of debt is influenced by fluctuations in market conditions for interest rates (see Note 6). We did not have any derivative financial instruments outstanding as of February 3, 2024 or January 28, 2023. |
Accounts Receivable | Accounts receivable consists primarily of amounts due from vendors for vendor allowances and other accounts receivable. We provide an allowance for doubtful accounts based on both historical experience and a specific identification basis. |
Concentration of Risk | Financial instruments which subject us to potential credit risk consist of cash and cash equivalents. We have established guidelines to limit our exposure to credit risk on cash and cash equivalents by placing investments with high credit quality financial institutions. Deposits with these financial institutions may exceed the amount of insurance provided; however, these deposits typically are redeemable upon demand. We believe that the financial risks associated with these financial instruments are minimal. We purchase merchandise inventories from approximately 1,400 vendors. In each of the years 2023, 2022 and 2021, purchases from our largest vendor represented approximately 11% of our total inventory purchases. No other vendor in any of the aforementioned years exceeded 10% of our purchases. We typically do not enter into long-term inventory purchase commitments, and we did not have any such commitments as of February 3, 2024 or January 28, 2023. A significant portion of our inventory purchases are manufactured outside of the United States, primarily in Asia. While we are not dependent on any single manufacturer outside of the United States, we could be adversely affected by political, health (including pandemic), safety, security, economic, tariff, climate, war or other disruptions affecting the business or operations of third-party manufacturers located outside of the United States. The Company’s geographic concentration in the southern United States subjects us to certain regional risks, such as the state of regional economies, including downturns in the housing market, increased unemployment and gas prices. Other regional risks include legislation, politics, cultural views, severe weather conditions or man-made disasters (such as an oil spill closing large areas of hunting or fishing), fires, heat waves, freezes, hurricanes, tornadoes, large storms and floods and other natural disasters specific to the states in which the Company operates. |
Merchandise Inventories, net | Merchandise inventories are stated at the lower of weighted average cost and net realizable value. Merchandise inventories include the direct cost of merchandise and capitalized costs related to procurement, warehousing and distribution and are reflected net of shrinkage, vendor allowances and other valuation reserves. We record an inventory reserve for the estimated shrinkage between physical inventories on a by location basis. We generally perform a full physical inventory count for each store at least once a year, throughout the year, after which our shrinkage accrual rate for each store is updated based on historical results. For vendor allowances based on contractual provisions, we develop accrual rates as determined by the agreements, which are typically linked to purchase volumes. Other non-contractual vendor allowances received are applied upon receipt. We regularly review inventories and record a valuation adjustment when necessary such as for inventory that has a carrying value in excess of the net realizable value or for slow moving or obsolete inventory. Prior to 2023, we valued merchandise inventories at the lower of the weighted average cost method or LIFO method (see Change in Accounting Principle discussion below). The application of the LIFO inventory method did not result in any LIFO charges or credits affecting cost of sales in 2022 or 2021. Change in Accounting Principle Effective January 29, 2023, the Company changed the method of accounting for its inventories from the last-in-first-out (“LIFO”) method to the weighted average cost method. The Company believes that this inventory method change is preferable because we believe it improves comparability with industry peers and is a more accurate representation of merchandise inventories, net and cost of goods sold. Due to historical price deflation on the Company’s merchandise purchases, the Company was in a position where the LIFO merchandise inventories value exceeded the cost of its inventory for all periods presented in the consolidated financial statements. In considering the lower of cost or market principle, merchandise inventories valued at LIFO, including necessary valuation adjustments, approximated the cost of such inventories using the weighted average inventory method. As such, there is no impact to the prior periods from the retrospective presentation of the change. |
Supplier Finance Programs | In September 2022, the FASB issued ASU 2022-04: Liabilities - Supplier Finance Programs Disclosure of Supplier Finance Program Obligations. This pronouncement requires that a buyer in a supplier finance program disclose sufficient information about the program to allow a user of the financial statements to understand the program's nature, activity during the period, changes from period to period and potential magnitude. The Company adopted the new guidance as of January 29, 2023. |
Property and Equipment | Property and equipment are recorded at cost less accumulated depreciation and amortization. Cost includes interest capitalized on borrowings used to finance the construction of stores and other significant capital projects while under construction. Depreciation and amortization is computed using the straight-line method over the asset’s useful life, which is generally determined by asset category as follows: Leasehold improvements Lesser of asset useful life or lease term Software and computer equipment 2–5 years Other equipment 5–10 years Furniture and fixtures 7–10 years Buildings 40 years When assets are retired or sold, the cost and accumulated depreciation are removed from our accounts, and the resulting gain or loss is reflected in the consolidated statements of income. Repair and maintenance costs are charged to expense as incurred and significant improvements that substantially enhance the useful life or enhance the functionality of an asset are capitalized and amortized. |
Capitalized Computer Software Costs | We capitalize certain costs incurred in connection with developing or obtaining computer software for internal use. Capitalized computer software costs are included in property and equipment on the consolidated balance sheets and amortized on a straight-line basis when placed into service over the estimated useful lives of the software. Implementation costs for cloud-based information systems are capitalized in other non-current assets. Amortization of cloud-based software implementation costs is recognized in selling, general and administrative expenses and amortized over the longer of the contract term or expected benefit. |
Capitalized Interest | We capitalized interest primarily related to construction of new stores, store renovations, distribution centers and IT projects in the amount of $2.1 million, $0.6 million and $0.4 million in 2023, 2022 and 2021, respectively. Interest expense, net on the consolidated statement of income is shown net of capitalized interest. |
Impairment of Long-Lived Assets | We review the carrying value of long-lived assets, including store assets, for indicators of impairment whenever events and circumstances indicate that the carrying value of an asset may not be recoverable. Recoverability of long-lived assets is measured by a comparison of the carrying amount of the assets to the estimated undiscounted future cash flows expected to be generated by the use of the assets, which is generally projected based on historical results. If such assets are considered to be impaired, the impairment loss recognized is the amount by which the carrying amount of the assets exceeds its estimated fair value, which is calculated using discounted expected future cash flows. As a result of our assessment, we did not record an impairment of long-lived assets in 2023, 2022 and 2021. |
Goodwill | Goodwill represents the excess of the purchase price of an acquired business over the amounts assigned to assets acquired and liabilities assumed in a business combination. Goodwill is tested for impairment annually or more frequently if events or circumstances indicate that the carrying value of goodwill may not be recoverable. We test for goodwill at the reporting unit level, which is the operating segment level. We operate in one operating segment with one reporting unit. The annual goodwill impairment test provides for the option of first performing a qualitative assessment to evaluate the existence of events and circumstances that would lead to a determination that it is more likely than not that the fair value of a reporting unit is less than its carrying amount. If such a conclusion is reached, we would then be required to perform a quantitative impairment assessment of goodwill. However, if the qualitative assessment leads to a determination that it is more likely than not that the fair value of a reporting unit is greater than its carrying amount, then no further assessments are required. In 2023, 2022 and 2021, we performed a qualitative assessment and determined a quantitative assessment was not necessary. Our quantitative assessment for determining the fair value of our reporting unit includes using an estimated discounted cash flow model (income approach) and market value approach. The output of this assessment is an estimated fair value for our reporting unit that is compared to its carrying value to determine whether an impairment charge is necessary. The income approach uses a discounted cash flow analysis of our projected long-term future company income, and the market value approach is based on earnings multiples for a comparable set of public companies. |
Intangible Assets | Intangible assets primarily consists of the trade name "Academy Sports + Outdoors" (the "Trade Name"). The Trade Name is expected to generate cash flows indefinitely and, therefore, is accounted for as an indefinite-lived asset not subject to amortization. The Trade Name is tested for impairment annually or whenever events or circumstances indicate that the carrying amount of the Trade Name may not be recoverable. The annual Trade Name impairment test provides for the option of first performing a qualitative assessment to evaluate the existence of events and circumstances that would lead to a determination that it is more likely than not that the fair value of an intangible asset is less than its carrying amount. If such a conclusion is reached, we would then be required to perform a quantitative impairment assessment for the Trade Name. However, if the qualitative assessment leads to a determination that it is more likely than not that the fair value of an intangible asset is greater than its carrying amount, then no further assessments are required. In 2023, 2022 and 2021, we performed a qualitative assessment and determined a quantitative assessment was not necessary. Impairment is calculated as the excess of the Trade Name’s carrying value over its fair value. The fair value of the Trade Name is determined using the relief-from-royalty method, a variation of the income approach. This method assumes that, in lieu of ownership, a third party would be willing to pay a royalty in order to exploit the related benefits of these types of assets. Once a supportable royalty rate is determined, the rate is then applied to the projected long-term sales over the expected remaining life of the intangible assets to estimate the royalty savings. This approach is dependent on a number of factors, including projections of long-term sales, royalty rates, discount rates and other variables. No impairment of intangible assets existed for 2023, 2022 or 2021. |
Deferred Loan Costs | Costs incurred to issue debt are deferred and recorded in the consolidated balance sheets. Those costs related to the issuance of our term loan and senior notes are recorded in long-term debt, net of current maturities and amortized as a component of interest expense over the terms of the related debt agreement using the effective interest method. The costs related to the issuance of our revolving credit facility is recorded in other noncurrent assets on the consolidated balance sheets and amortized as a component of interest expense over the terms of the related debt agreements using the straight-line method. |
Derivative Instruments | We are exposed to interest rate risk, primarily related to changes in interest rates on our Term Loan (see Note 4) and have historically used interest rate swap agreements, which we have designated as "cash flow" hedges, to hedge against market risks relating to possible adverse changes in interest rates. We assess, both at the inception of the hedge and on an ongoing basis, whether derivatives used as hedging instruments are highly effective in offsetting the changes in the fair value or cash flow of the hedged items. If it is determined that a derivative is not highly effective as a hedge or ceases to be highly effective, we discontinue hedge accounting prospectively. |
Self-Insurance | We maintain deductibles or self-insurance retentions for workers' compensation, general liability and employee health benefits. Additionally, we use the services of an independent actuary to assist in determining losses associated with workers' compensation, general liability and employee health benefits. Liabilities associated with these losses are actuarially derived and estimated in part by considering historical claims experience, industry factors, severity factors, claim development, as well as other actuarial assumptions. If actual trends, including the severity or frequency of claims, medical cost inflation or fluctuations in premiums, differ from our estimates, it could have a material adverse impact on our results of operations. Changes in legal claims, claim development, trends and interpretations, variability in inflation rates, changes in the nature and method of claims settlement, benefit level changes due to changes in applicable laws, insolvency of insurance carriers and changes in discount rates could all adversely affect our ultimate expected losses. We believe the actuarial valuation provides the best estimate of the ultimate expected losses, and we have recorded the present value of the actuarially determined ultimate losses for the insurance related liabilities mentioned above. |
Leases | We account for our leases in accordance with Accounting Standards Codification ("ASC") 842 which requires that lessees recognize assets and liabilities arising from operating leases on the balance sheet and disclose key information about leasing arrangements. Nearly all of our store locations and all of our corporate office facilities, and warehouse and distribution centers are leased. We may receive reimbursement from a landlord for some or all of the cost of a construction project, which may be structured as a tenant improvement allowance or a construction allowance. Cash received from a landlord for tenant improvement allowances in store lease transactions are a reduction to the right-of-use assets on the balance sheet, which are amortized ratably over the remaining terms of the corresponding leases. Cash received for construction allowances is a reimbursement of certain spend incurred in the construction of the premises on behalf of the landlord, where the landlord owns the assets. We account for each lease and non-lease components for our building leases as a single lease component which allows certain costs such as common area maintenance associated with these leases to be included as rent expense. We exclude leases with contract terms of 12 months or less from ASC 842 accounting treatment, which results in straight-line recognition of the cost over the lease term with no associated balance sheet lease liability or right-of-use asset. |
Net Sales | We sell merchandise under implicit contracts whereby the transaction price is the listed sales price less any discounts or coupons applied. Our typical coupons offer a discount, which is applied immediately at the time of purchase. However, under certain circumstances we may issue a coupon, or similar incentive, which contains a material future right. In such instances, a portion of the revenue is deferred and subsequently recognized when earned. Revenue from merchandise sales is recognized, net of sales tax, when the Company’s performance obligation to the customer is met, which is when the Company transfers control of the merchandise to the customer. Store merchandise sales are recognized at the point of sale. For e-commerce sales, significant judgment is applied in determining when the transfer of control occurs, which we believe occurs upon customer receipt, and accordingly online merchandise sales are recognized upon delivery of the merchandise to the customer. The Company does not extend a material amount of credit. The sales return allowance, which is our provision for anticipated merchandise returns, is provided through a reduction of sales and cost of goods sold on a gross basis in the period that the related sales are recorded. The sales return allowance and related liability are included in merchandise inventories and in accrued expenses and other liabilities, respectively, in our consolidated balance sheets. Merchandise returns are estimated based on historical experience. |
Cost of Goods Sold, Shipping and Handling Costs and Vendor Allowances | Cost of goods sold includes the direct cost of merchandise and costs related to procurement, warehousing and distribution. These costs consist primarily of payroll and benefits, occupancy costs and freight. Shipping and handling costs billed to customers are included in net sales. Shipping and handling costs that we incur associated with shipping products to customers are included in cost of goods sold. Vendor allowances include volume purchase rebates, promotional and advertising allowances, cooperative advertising funds and support for new store openings. These allowances are generally determined for each fiscal year with the majority of allowances based on quantitative contract terms. Allowances related to the purchase of merchandise inventories are recorded as a reduction of cost of goods sold as the related merchandise is sold. Allowances for cooperative advertising and promotion programs and other expenses are recorded in selling, general and administrative expenses as a reduction of the related costs as the related expense is incurred. Any such allowance in excess of actual costs incurred that are included in selling, general and administrative expenses, or that do not require proof of performance, are recorded as a reduction of cost of sales. For volume purchase rebates, we record an estimate of vendor allowances earned based on the latest projected purchase volumes. |
Selling, General and Administrative Expenses | Selling, general and administrative expenses include store and corporate administrative payroll and payroll benefits, store and corporate headquarters occupancy costs, depreciation, advertising, credit card processing, information technology, pre-opening costs and other store and administrative expenses. |
Advertising Expenses | Advertising costs are expensed as incurred. |
Pre-Opening Expenses | Non-capital expenditures associated with opening new stores and distribution centers prior to sales generation or start of operations, which consist primarily of occupancy costs, marketing, payroll and recruiting costs, are expensed as incurred. |
Equity Compensation | We account for equity compensation in accordance with ASC 718, which requires the measurement and recognition of compensation expense for all equity awards made to employees based on estimated fair values on the grant date. Option equity award fair values are estimated on the date of grant using an option-pricing model and restricted unit fair values are based on the estimated unit price on the date of the grant. For awards with service-based vesting requirements only, the fair value of the award is recognized as expense over the requisite service period, and for awards with performance-based vesting requirements, the fair value of the award ultimately expected to meet the performance target is recognized as expense over the service period. We recognize forfeitures as they occur. |
Share Repurchases | On September 2, 2021, the Board of Directors of the Company authorized a share repurchase program (the "2021 Share Repurchase Program") under which the Company may purchase up to $500 million of its outstanding shares during the three-year period ending September 2, 2024. On June 2, 2022, the Board of Directors authorized a new share repurchase program (the "2022 Share Repurchase Program") under which the Company may purchase up to $600 million of its outstanding shares during the three-year period ending June 2, 2025. On November 29, 2023, the Board of Directors authorized a new share repurchase program (the "2023 Share Repurchase Program") under which the Company may purchase up to $600 million of its outstanding shares during the three-year period ending November 29, 2026. The 2023 Share Repurchase Program, the 2022 Share Repurchase Program and the 2021 Share Repurchase Program are collectively referred to as the "Share Repurchase Programs". Under the Share Repurchase Programs, repurchases can be made using a variety of methods, which may include open market purchases, block trades, privately negotiated transactions, accelerated share repurchase programs and/or a non-discretionary trading plan, all in compliance with the rules of the SEC and other applicable legal requirements. The timing, manner, price and amount of any common share repurchases will be determined by the Company in its discretion and will depend on a variety of factors, including legal requirements, price and economic and market conditions. The Share Repurchase Programs do not obligate the Company to acquire any particular number of common shares, and the programs may be suspended, extended, modified or discontinued at any time. The following table summarizes our share repurchases for the periods presented: Fiscal Year Ended February 3, 2024 January 28, 2023 January 29, 2022 Shares Repurchased (1) 3,651,231 11,903,636 10,566,796 Aggregate amount paid (amounts in millions) (2) $ 204.2 $ 489.5 $ 411.4 (1) Purchases for the fiscal year ended January 29, 2022, include purchases that were made prior to our Share Repurchase Programs. (2) Includes estimated excise tax fees of $1.4 million for the fiscal year ended February 3, 2024. |
Income Taxes | The Company is subject to U.S. federal, state and foreign income taxes. We account for income taxes under the asset and liability method, which requires the recognition of deferred tax assets and liabilities for the expected future tax consequences of events that have been included in the financial statements. Under this method, deferred tax assets and liabilities are measured using enacted tax rates in effect for the year in which the temporary differences are expected to be realized or settled. The effect of a change in tax rates on deferred tax assets and liabilities is recognized in income in the period that includes the enactment date. We recognize deferred tax assets to the extent we believe these assets are more-likely-than-not to be realized. In making such a determination, we consider all available positive and negative evidence, including recent results of operations, future reversals of existing taxable temporary differences, projected future taxable income and tax planning strategies. A valuation allowance is recorded to reduce the carrying amount of deferred tax assets if it is more-likely-than-not that all or a portion of the asset will not be realized. The Company recognizes tax benefits from uncertain tax positions only if it is more-likely-than-not the tax position will be sustained on examination by the taxing authorities based on the technical merits of the position. The tax benefits recognized from such positions are measured based on the largest benefit having a greater than 50% likelihood of being ultimately sustained. Interest and penalties from income tax matters are recognized in income tax expense. |
Other Income | During the fourth quarter of 2022, the Company received and recognized approximately $7.2 million in business interruption proceeds due to the suspension of normal operations at some of our Texas store locations, as well as our e-commerce platform, for several days in February of 2021 as a result of a winter storm which had a significant impact on the energy infrastructure in the state of Texas. Additionally, during the fourth quarter of 2022 the Company completed a sale in which we factored rights to pursue a legal matter pertaining to the overpayment of certain tariffs and we received and recognized net proceeds of approximately $3.7 million. The proceeds for both events are included in Other (income), net on the Consolidated Statements of Income. During the fourth quarter of 2023, the Company settled a legal matter with credit card companies pertaining to the overcharge of credit card interchange fees for prior periods dating back to 2004. In connection with this settlement, we recognized a net gain of approximately $15.9 million in Other (income), net on the Consolidated Statements of Income. |
Comprehensive Income | Comprehensive income represents the net income for the period plus the results of certain changes to stockholders' equity (other comprehensive income) that are not reflected in the consolidated statements of income. Other comprehensive income consists of adjustments, net of tax, related to the Company’s historical ownership of interest rate swaps. |
Operating Segment | Given the similar business activities, economic characteristics, products sold, customer base and methods of procurement, as well as the similar marketing and promotional activities of our stores and our academy.com website, we report our financial results as one reportable segment. Substantially all of the Company’s identifiable assets are located in the United States. |
Recent Accounting Pronouncements | Reference Rate Reform In March 2020, the FASB issued ASU 2020-04: Facilitation of the Effects of Reference Rate Reform on Financial Reporting. This pronouncement provides temporary optional expedients and exceptions to the current guidance on contract modifications and hedge accounting to ease the financial reporting burden related to the expected market transition from the London Interbank Offered Rate ("LIBOR") and other interbank offered rates to alternative reference rates. In December 2022, the FASB issued ASU 2022-06 which extended the effectiveness of this guidance to December 31, 2024. The Company elected to utilize these optional expedients in connection with the amendments to our ABL Facility and Term Loan, which transitioned from LIBOR to the Secured Overnight Financing Rate (“SOFR”) on March 30, 2023 and August 1, 2023, respectively (see Note 4). Improvements to Income Tax Disclosures In December 2023, the FASB issued ASU 2023-09: Improvements to Income Tax Disclosures. This pronouncement is intended to enhance the transparency and decision usefulness of income tax disclosures and establishes new income tax disclosure requirements, including requiring disaggregation of a reporting entity’s effective tax rate reconciliation and disaggregation of the income taxes paid based on the applicable tax jurisdiction. The new guidance is effective for fiscal years beginning after December 15, 2024 and should be applied on a prospective basis with the option to apply the standard retrospectively. The Company is currently evaluating the impact that the adoption of this accounting standard will have on its financial disclosures. Segment Reporting In November 2023, the FASB issued ASU 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures, which is intended to enhance the disclosures on reportable segments. Under this pronouncement, all public entities (including those with a single reporting segment) are required to include incremental disclosures related to a public entity’s reportable segments, including disclosure of disaggregated expense information that is regularly provided to the chief operating decision maker and included within each reported measure of segment profit or loss. The new guidance is effective for fiscal years beginning after December 15, 2023, and interim periods within fiscal years beginning after December 15, 2024, and should be adopted retrospectively. The Company is currently evaluating the impact that the adoption of this accounting standard will have on its financial disclosures. |
Accounting Policies (Tables)
Accounting Policies (Tables) | 12 Months Ended |
Feb. 03, 2024 | |
Accounting Policies [Abstract] | |
Accounting Standards Update and Change in Accounting Principle | The following tables show the pro forma effect to our consolidated financial statements as if the Company had remained on LIFO (amounts in thousands): February 3, 2024 Consolidated Balance Sheet As Reported Effect of Change Pro Forma LIFO Merchandise inventories, net $ 1,194,159 $ (2,615) $ 1,191,544 Total current assets 1,644,900 (2,615) 1,642,285 Total assets 4,676,713 (2,615) 4,674,098 Accrued expenses and other current liabilities 217,932 (27,219) 190,713 Total current liabilities 879,858 (27,219) 852,639 Deferred tax liabilities, net 254,796 26,609 281,405 Total liabilities 2,722,063 (610) 2,721,453 Retained earnings 1,711,809 (2,005) 1,709,804 Stockholders' equity 1,954,650 (2,005) 1,952,645 Total liabilities and stockholders' equity 4,676,713 (2,615) 4,674,098 Year Ended February 3, 2024 As Reported Effect of Change Pro Forma LIFO Consolidated Statements of Income: Cost of goods sold $ 4,049,080 $ 2,615 $ 4,051,695 Gross margin 2,110,211 (2,615) 2,107,596 Operating income 677,855 (2,615) 675,240 Income before income taxes 663,156 (2,615) 660,541 Income tax expense 143,966 (610) 143,356 Net income 519,190 (2,005) 517,185 Earnings per common share: Basic $ 6.89 $ (0.03) $ 6.86 Diluted $ 6.70 $ (0.03) $ 6.67 Consolidated Statements of Cash Flows: Net income $ 519,190 $ (2,005) $ 517,185 Deferred income taxes (4,247) 26,609 22,362 LIFO charge — 2,615 2,615 Income taxes payable 17,640 (27,219) (9,579) Net cash provided by operating activities 535,779 — 535,779 |
Schedule of Supplier Finance Program Activity | The following table shows our liability associated with these arrangements, which is presented within accounts payable February 3, 2024 January 28, 2023 Invoices outstanding at the beginning of the year $ 8,953 $ 4,430 Invoices added 44,673 50,791 Invoices paid (46,452) (46,268) Invoices outstanding at the end of the year $ 7,174 $ 8,953 |
Property and Equipment | Depreciation and amortization is computed using the straight-line method over the asset’s useful life, which is generally determined by asset category as follows: Leasehold improvements Lesser of asset useful life or lease term Software and computer equipment 2–5 years Other equipment 5–10 years Furniture and fixtures 7–10 years Buildings 40 years Property and equipment consists of the following (amounts in thousands) as of: February 3, 2024 January 28, 2023 Leasehold improvements $ 571,785 $ 484,930 Equipment and software 688,143 641,387 Furniture and fixtures 398,415 360,099 Construction in progress 38,873 23,159 Building and land 14,919 3,698 Total property and equipment 1,712,135 1,513,273 Accumulated depreciation and amortization (1,266,926) (1,161,849) Property and equipment, net $ 445,209 $ 351,424 |
Schedule Of Pre-Opening Activity | The following table summarizes our pre-opening expense activity for the periods presented: Fiscal Year Ended February 3, 2024 January 28, 2023 January 29, 2022 Number of new stores opened 14 9 — Pre-opening expenses (in millions) $ 8.3 $ 5.5 $ 0.2 |
Schedule Of Share Repurchases | The following table summarizes our share repurchases for the periods presented: Fiscal Year Ended February 3, 2024 January 28, 2023 January 29, 2022 Shares Repurchased (1) 3,651,231 11,903,636 10,566,796 Aggregate amount paid (amounts in millions) (2) $ 204.2 $ 489.5 $ 411.4 (1) Purchases for the fiscal year ended January 29, 2022, include purchases that were made prior to our Share Repurchase Programs. (2) Includes estimated excise tax fees of $1.4 million for the fiscal year ended February 3, 2024. |
Net Sales (Tables)
Net Sales (Tables) | 12 Months Ended |
Feb. 03, 2024 | |
Revenue from Contract with Customer [Abstract] | |
Disaggregation of Revenue | The following table sets forth the approximate amount of sales (all of which are based in the U.S.) by merchandise divisions for the periods presented (amounts in thousands): Fiscal Year Ended February 3, 2024 January 28, 2023 January 29, 2022 Merchandise division sales (1) Outdoors $ 1,727,018 $ 1,819,418 $ 2,060,046 Sports and recreation 1,452,377 1,488,187 1,577,776 Apparel 1,710,838 1,758,993 1,810,345 Footwear 1,235,643 1,291,227 1,290,197 Total merchandise sales (2) 6,125,876 6,357,825 6,738,364 Other sales (3) 33,415 37,248 34,764 Net sales $ 6,159,291 $ 6,395,073 $ 6,773,128 (1) Certain products and categories were re-categorized among various categories and divisions, respectively, during 2023 to better align with our current merchandising strategy and view of the business. As a result, we have reclassified sales between divisions for 2022 and 2021 for comparability purposes. This reclassification is in divisional presentation only and did not impact the overall net sales balances previously disclosed (see Note 2). (2) E-commerce sales consisted of 10.7%, 10.7% and 9.3% of merchandise sales for 2023, 2022 and 2021, respectively. (3) Other sales consists primarily of the gift card breakage income, credit card bounties and royalties, shipping income, net hunting and fishing license income, sales return allowance and other items. |
Reconciliation of Gift Card Liability | The following is a reconciliation of the gift card liability (amounts in thousands): Fiscal Year Ended February 3, 2024 January 28, 2023 January 29, 2022 Gift card liability, beginning balance $ 90,650 $ 86,568 $ 74,253 Issued 134,741 134,091 136,553 Redeemed (124,370) (124,463) (119,103) Recognized as breakage income (6,866) (5,546) (5,135) Gift card liability, ending balance $ 94,155 $ 90,650 $ 86,568 |
Long-Term Debt (Tables)
Long-Term Debt (Tables) | 12 Months Ended |
Feb. 03, 2024 | |
Debt Disclosure [Abstract] | |
Schedule of Long-term Debt | Our debt consisted of the following (amounts in thousands) as of: February 3, 2024 January 28, 2023 ABL Facility, due November 2025 (1) $ — $ — Term Loan, due November 2027 91,750 194,750 Notes, due November 2027 400,000 400,000 Total debt 491,750 594,750 Less current maturities (3,000) (3,000) Less unamortized discount on Term Loan (501) (1,340) Less deferred loan costs (2) (3,698) (5,954) Long-term debt, net $ 484,551 $ 584,456 (1) On March 8, 2024, the Company issued a press release announcing that the Company had entered into an amendment to the First Amended and Restated ABL Credit Agreement which, among other things, extended the maturity of our asset-based revolving credit facility to March 8, 2029. See Note 17 to the accompanying financial statements for further disclosures regarding the amendment. (2) Deferred loan costs are related to the Term Loan and Notes. |
Schedule of Debt Principal Payments | As of February 3, 2024, scheduled principal payments on our debt are as follows (amounts in thousands): Fiscal Year 2024 $ 3,000 2025 3,000 2026 3,000 2027 482,750 Total $ 491,750 |
Derivative Financial Instrume_2
Derivative Financial Instruments (Tables) | 12 Months Ended |
Feb. 03, 2024 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Impact of Gains and Losses Related to Interest Rate Swaps | The impact of gains and losses related to interest rate swaps that were deferred into AOCI and subsequently reclassified into expense is as follows (amounts in thousands): Fiscal Year Ended February 3, 2024 January 28, 2023 January 29, 2022 Accumulated Other Comprehensive Loss, beginning $ — $ — $ (3,324) Increase to interest expense (net of tax benefit of $980.0 million for the year ended January 29, 2022) — — 3,324 Accumulated Other Comprehensive Loss, ending $ — $ — $ — |
Property and Equipment (Tables)
Property and Equipment (Tables) | 12 Months Ended |
Feb. 03, 2024 | |
Property, Plant and Equipment [Abstract] | |
Property and Equipment | Depreciation and amortization is computed using the straight-line method over the asset’s useful life, which is generally determined by asset category as follows: Leasehold improvements Lesser of asset useful life or lease term Software and computer equipment 2–5 years Other equipment 5–10 years Furniture and fixtures 7–10 years Buildings 40 years Property and equipment consists of the following (amounts in thousands) as of: February 3, 2024 January 28, 2023 Leasehold improvements $ 571,785 $ 484,930 Equipment and software 688,143 641,387 Furniture and fixtures 398,415 360,099 Construction in progress 38,873 23,159 Building and land 14,919 3,698 Total property and equipment 1,712,135 1,513,273 Accumulated depreciation and amortization (1,266,926) (1,161,849) Property and equipment, net $ 445,209 $ 351,424 |
Accrued Expenses and Other Cu_2
Accrued Expenses and Other Current Liabilities (Tables) | 12 Months Ended |
Feb. 03, 2024 | |
Payables and Accruals [Abstract] | |
Schedule of Accrued Expenses | Accrued expenses and other current liabilities consist of the following (amounts in thousands) as of: February 3, 2024 January 28, 2023 Accrued interest $ 6,717 $ 7,015 Accrued personnel costs 30,899 57,504 Accrued professional fees 1,818 3,943 Accrued sales and use tax 14,828 9,302 Accrued self-insurance 15,269 20,941 Deferred revenue - gift cards and other 96,688 92,603 Income taxes payable 9,313 6,195 Property taxes 14,239 15,921 Sales return allowance 6,400 6,100 Other 21,761 20,645 Accrued expenses and other current liabilities $ 217,932 $ 240,169 |
Schedule of Other Current Liabilities | Accrued expenses and other current liabilities consist of the following (amounts in thousands) as of: February 3, 2024 January 28, 2023 Accrued interest $ 6,717 $ 7,015 Accrued personnel costs 30,899 57,504 Accrued professional fees 1,818 3,943 Accrued sales and use tax 14,828 9,302 Accrued self-insurance 15,269 20,941 Deferred revenue - gift cards and other 96,688 92,603 Income taxes payable 9,313 6,195 Property taxes 14,239 15,921 Sales return allowance 6,400 6,100 Other 21,761 20,645 Accrued expenses and other current liabilities $ 217,932 $ 240,169 |
Share-Based Compensation (Table
Share-Based Compensation (Tables) | 12 Months Ended |
Feb. 03, 2024 | |
Share-Based Payment Arrangement [Abstract] | |
Stock-Based Compensation Recognized | The following table provides total stock-based compensation recognized in the consolidated statements of income (amounts in thousands): Fiscal Year Ended February 3, 2024 January 28, 2023 January 29, 2022 Equity compensation expense (1) $ 24,377 $ 21,175 $ 39,264 (2) Total related tax benefit $ 5,245 $ 4,494 $ 9,075 (1) These costs are included within selling, general and administrative expenses in the consolidated statements of income. (2) These costs include approximately $24.9 million in non-cash expenses related to the 2021 Vesting Event, which occurred during the 2021 second quarter (see Note 1). |
Assumptions and Grant Date Fair Values for Options Granted | The following table presents the assumptions and grant date fair values for Service Options granted in 2023, 2022 and 2021: Fiscal Year Ended February 3, 2024 January 28, 2023 January 29, 2022 Expected life in years 6.0 6.2 6.2 Expected volatility 46% to 51% 43% to 45% 42% to 44% Weighted-average volatility 47.8% 43.0% 43.7% Risk-free interest rate 3.7% to 4.4% 2.4% to 4.1% 1.0% to 1.3% Dividend yield 0.6% 0.8% — Weighted-average grant date fair value - Service Options $27.60 $16.36 $11.92 |
Unit Option Activity | Option activity is as follows: Service Options Options Weighted Average Exercise Price Weighted Average Remaining Contractual Life Aggregate Intrinsic Value (in thousands) Outstanding as of January 30, 2021 6,282,782 $ 13.53 5.5 $ 50,055 Granted or modified 915,017 27.41 Canceled or modified (1,499) 16.84 Forfeited (39,757) 23.19 Exercised (3,258,329) 10.62 $ 81,782 Outstanding as of January 29, 2022 3,898,214 $ 19.12 7.4 $ 72,345 Granted or modified 817,618 39.22 Canceled or modified (3,378) 17.06 Forfeited (51,027) 30.32 Exercised (1,090,733) 16.83 $ 34,611 Outstanding as of January 28, 2023 3,570,694 $ 24.27 7.3 $ 112,050 Granted or modified 262,640 58.13 Canceled or modified (694) 13.00 Forfeited (228,160) 39.14 Exercised (988,682) 20.00 $ 36,277 Outstanding as of February 3, 2024 (1) 2,615,798 $ 27.99 6.7 $ 95,479 Exercisable as of February 3, 2024 1,633,434 $ 21.53 5.9 $ 70,154 (1) The Company has elected to recognize forfeitures as they occur. Therefore, the number of awards vested and expected to vest is equal to the awards outstanding. Performance Unit Options Unit Weighted Average Exercise Price Weighted Average Remaining Contractual Life (in years) Aggregate Intrinsic Value (in thousands) Outstanding as of January 30, 2021 2,948,621 $ 8.81 2.5 $ 37,422 Granted or modified — — Canceled or modified — — Forfeited (295,932) 16.72 Exercised (2,255,780) 6.42 $ 55,865 Outstanding as of January 29, 2022 396,909 $ 16.48 5.8 $ 8,406 Granted or modified — — Canceled or modified — — Forfeited — — Exercised (178,432) 16.35 $ 5,570 Outstanding as of January 28, 2023 218,477 $ 16.59 5.5 $ 8,534 Granted or modified — — Canceled or modified — — Forfeited — — Exercised (95,915) 16.63 $ 3,656 Outstanding as of February 3, 2024 (1) 122,562 $ 16.55 5.0 $ 5,874 Exercisable as of February 3, 2024 122,562 $ 16.55 5.0 $ 5,874 (1) The Company has elected to recognize forfeitures as they occur. Therefore, the number of awards vested and expected to vest is equal to the awards outstanding. |
Restricted Unit Activity | Restricted Unit activity is as follows: Service Restricted Units Liquidity Event Restricted Units Performance Restricted Units Units Weighted Average Grant Date Fair Value Units Weighted Average Grant Date Fair Value Units Weighted Average Grant Date Fair Value Non-vested as of January 30, 2021 32,049 $ 17.01 1,339,330 $ 17.74 16,328 $ 13.87 Granted 358,960 36.64 — — 196,056 27.41 Vested (33,389) 17.34 (1,339,330) 17.74 (4,079) 13.87 Forfeited (18,741) 27.62 — — (4,387) 30.07 Non-vested as of January 29, 2022 338,879 $ 37.18 — $ — 203,918 $ 26.54 Granted 198,346 39.40 — — 170,250 37.36 Vested (66,980) 32.46 — — (65,979) 26.44 Forfeited (33,137) 34.63 — — (9,260) 32.20 Non-vested as of January 28, 2023 437,108 $ 39.11 — $ — 298,929 $ 32.55 Granted 393,131 60.37 — — 250,384 57.91 Vested (173,225) 39.48 — — (149,190) 32.82 Forfeited (92,151) 51.32 — — (88,301) 47.94 Non-vested as of February 3, 2024 564,863 $ 51.80 — $ — 311,822 $ 48.85 |
Earnings per Common Share (Tabl
Earnings per Common Share (Tables) | 12 Months Ended |
Feb. 03, 2024 | |
Earnings Per Share [Abstract] | |
Earnings per Common Share | Basic and dilutive weighted average common shares outstanding and basic and diluted earnings per common share are calculated as follows (amounts in thousands except per share amounts): Fiscal Year Ended February 3, 2024 January 28, 2023 January 29, 2022 Net income $ 519,190 $ 628,001 $ 671,381 Weighted average common shares outstanding - basic 75,389 81,590 90,956 Dilutive effect of Service Restricted Units and Service Restricted Stock Units 327 165 70 Dilutive effect of Performance Restricted Stock Units and Liquidity Event Restricted Units 165 207 313 Dilutive effect of Service Options 1,439 1,678 2,300 Dilutive effect of Performance Unit Options 112 202 637 Dilutive effect of ESPP Shares 37 53 8 Weighted average common shares outstanding - diluted 77,469 83,895 94,284 Earnings per common share - basic $ 6.89 $ 7.70 $ 7.38 Earnings per common share - diluted $ 6.70 $ 7.49 $ 7.12 Anti-dilutive stock-based awards excluded from diluted calculation 128 24 24 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Feb. 03, 2024 | |
Income Tax Disclosure [Abstract] | |
Schedule of Provision for Income Taxes | The income tax provision consists of the following (amounts in thousands) as of: Fiscal Year Ended February 3, 2024 January 28, 2023 January 29, 2022 Current expense: Federal $ 125,325 $ 127,823 $ 93,373 State 22,869 20,645 15,270 Foreign 19 20 26 Total current expense 148,213 148,488 108,669 Deferred expense (benefit): Federal (3,395) 37,971 69,353 State (817) 3,853 10,139 Foreign (35) 7 (2) Total deferred expense (4,247) 41,831 79,490 Income tax expense $ 143,966 $ 190,319 $ 188,159 |
Schedule of Effective Income Tax Rate Reconciliation | A reconciliation of the statutory U.S. federal income tax rate to our effective income tax rate is as follows: Fiscal Year Ended February 3, 2024 January 28, 2023 January 29, 2022 Federal income tax at the statutory rate 21.0 % 21.0 % 21.0 % State income tax, net of federal benefit 2.5 2.5 2.6 Nondeductible excess compensation 0.5 0.6 1.3 Excess tax benefit for share-based compensation (1.1) (0.7) (2.6) Effect of other permanent items (1.2) (0.1) (0.4) Effective income tax rate 21.7 % 23.3 % 21.9 % |
Schedule of Deferred Tax Assets and Liabilities | Components of deferred tax assets and liabilities consist of the following (amounts in thousands) as of: February 3, 2024 January 28, 2023 Deferred tax assets: Accounts receivable $ 620 $ 570 Accrued liabilities and reserves 18,810 17,905 Equity compensation 7,672 7,947 Total deferred tax assets 27,102 26,422 Deferred tax liabilities: Inventory (34,313) (49,995) Prepaid items (6,554) (5,143) Property and equipment (13,983) (15,496) Intangible assets (227,027) (214,292) Other (21) (539) Total deferred tax liabilities (281,898) (285,465) Net deferred tax liability $ (254,796) $ (259,043) |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Feb. 03, 2024 | |
Leases [Abstract] | |
Components of Lease Expense and Sublease Income | The components of lease expense and sublease income included in selling, general and administrative ("SG&A") expenses on our statement of income is as follows (amounts in thousands): Fiscal Year Ended February 3, 2024 January 28, 2023 January 29, 2022 Operating lease expense $ 214,672 $ 201,398 $ 197,321 Short-term lease expense — — — Variable lease expense 10,405 8,398 7,757 Sublease income (463) (442) (486) Net lease expense $ 224,614 $ 209,354 $ 204,592 Information about our operating leases is as follows (dollar amounts in thousands): Fiscal Year Ended February 3, 2024 January 28, 2023 January 29, 2022 Right-of-use assets obtained in exchange for new operating lease liabilities $ 134,181 $ 116,652 $ 26,253 Cash paid for amounts included in the measurement of operating lease liabilities $ 213,860 $ 204,159 $ 203,554 February 3, 2024 January 28, 2023 Weighted-average remaining lease term in years 9.5 9.8 Weighted-average incremental borrowing rate 8.9 % 9.0 % |
Remaining Maturities of Lease Liabilities | The remaining maturities of lease liabilities by fiscal year as of February 3, 2024 are as follows (amounts in thousands): 2024 $ 200,494 2025 214,244 2026 205,944 2027 191,893 2028 173,835 After 2028 810,337 Total lease payments (1) 1,796,747 Less: Interest (587,604) Present value of lease liabilities $ 1,209,143 (1) Minimum lease payments have not been reduced by sublease rentals of $2.3 million due in the future under non-cancelable subleases. The Company has entered into operating leases related to future store locations for which we have not yet taken possession of the location. As of February 3, 2024, the future minimum lease payments on these leases approximated $159.3 million. |
Selected Quarterly Financial _2
Selected Quarterly Financial Data (Unaudited) (Tables) | 12 Months Ended |
Feb. 03, 2024 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Quarterly Financial Information | The summarized quarterly financial information for the fiscal years ended 2023 and 2022 are reflected in the table below (amounts in thousands, except earnings per share data): 1st 2nd 3rd 4th Quarter Quarter Quarter Quarter 2023: Net sales $ 1,383,609 $ 1,583,077 $ 1,397,777 $ 1,794,828 Gross margin 467,115 563,446 482,641 597,009 Operating income 126,196 210,963 136,731 203,965 Net income (1) 93,970 157,075 99,978 168,167 Earnings per common share: Basic $ 1.22 $ 2.06 $ 1.34 $ 2.27 Diluted $ 1.19 $ 2.01 $ 1.31 $ 2.21 Weighted average common shares outstanding: Basic 76,862 76,104 74,461 74,219 Diluted 79,288 78,091 76,057 76,035 2022: Net sales $ 1,467,730 $ 1,686,915 $ 1,493,925 $ 1,746,503 Gross margin 521,424 596,063 522,471 572,544 Operating income 205,493 256,734 179,522 204,800 Net income (2) $ 149,806 $ 188,801 $ 131,741 $ 157,653 Earnings per common share: Basic $ 1.73 $ 2.28 $ 1.67 $ 2.03 Diluted $ 1.69 $ 2.22 $ 1.62 $ 1.97 Weighted average common shares outstanding: Basic 86,658 82,960 79,085 77,657 Diluted 88,614 84,906 81,379 80,074 (1) Net income for the quarter ended February 3, 2024, includes a $15.9 million net gain relative to a credit card fee litigation settlement which occurred in the fourth quarter of 2023 (see Note 2). (2) Net income for the year ended January 28, 2023, included a $7.2 million gain from a business interruption insurance recovery and a $3.7 million gain from the sale of a tariff relief litigation claim, both of which occurred in the fourth quarter of 2022 (see Note 2). |
Nature of Operations (Details)
Nature of Operations (Details) | 3 Months Ended | 12 Months Ended | ||||
Sep. 17, 2021 USD ($) $ / shares shares | May 10, 2021 USD ($) $ / shares shares | Jul. 31, 2021 USD ($) | Feb. 03, 2024 USD ($) state distributionCenter location shares | Jan. 28, 2023 USD ($) shares | Jan. 29, 2022 USD ($) shares | |
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items] | ||||||
Number of retail locations | location | 282 | |||||
Number of states | state | 18 | |||||
Number of distribution centers | distributionCenter | 3 | |||||
Shares repurchased (in shares) | shares | 4,500,000 | 3,229,974 | 3,651,231 | 11,903,636 | 10,566,796 | |
Repurchase of common stock for retirement (in dollars per share) | $ / shares | $ 43.52 | $ 30.96 | ||||
Equity compensation | $ | $ 24,900,000 | $ 24,377,000 | $ 21,175,000 | $ 39,264,000 | ||
Taxes paid related to net share settlement of equity | $ | $ 15,400,000 | $ 7,971,000 | $ 1,236,000 | $ 15,418,000 | ||
Accelerated share-based award payments for equity-based compensation distributions | $ | $ 8,200,000 | |||||
Over-Allotment Option | ||||||
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items] | ||||||
Number of shares issued in transaction (in shares) | shares | 2,100,000 | |||||
Period to purchase additional shares | 30 days | |||||
May Secondary Offering | ||||||
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items] | ||||||
Number of shares issued in transaction (in shares) | shares | 14,000,000 | |||||
Price per share (in dollars per share) | $ / shares | $ 30.96 | |||||
Repurchase of common stock for retirement (in dollars per share) | $ / shares | $ 30.96 | |||||
Net proceeds from sale of stock | $ | $ 0 | |||||
September Secondary Offering | ||||||
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items] | ||||||
Number of shares issued in transaction (in shares) | shares | 18,645,602 | |||||
Price per share (in dollars per share) | $ / shares | $ 43.52 | |||||
Repurchase of common stock for retirement (in dollars per share) | $ / shares | $ 43.52 | |||||
Net proceeds from sale of stock | $ | $ 0 |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Details) | 3 Months Ended | 12 Months Ended | |||||||||
Nov. 29, 2023 USD ($) | Jun. 02, 2022 USD ($) | Sep. 17, 2021 USD ($) shares | Sep. 02, 2021 USD ($) | May 10, 2021 USD ($) shares | Jan. 19, 2021 USD ($) swap | Feb. 03, 2024 USD ($) vendor swap | Jan. 28, 2023 USD ($) | Feb. 03, 2024 USD ($) swap segment vendor shares | Jan. 28, 2023 USD ($) shares | Jan. 29, 2022 USD ($) shares | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||||||||
Number of vendors | vendor | 1,400 | 1,400 | |||||||||
Supplier finance program payment timing | 45 days | 45 days | |||||||||
Capitalized interest | $ 2,100,000 | $ 600,000 | $ 400,000 | ||||||||
Impairment of long-lived assets | $ 0 | 0 | 0 | ||||||||
Number of operating segments | segment | 1 | ||||||||||
Number of reporting units | segment | 1 | ||||||||||
Goodwill impairment | $ 0 | 0 | 0 | ||||||||
Intangible asset impairment | 0 | 0 | 0 | ||||||||
Advertising expense | 153,700,000 | 144,500,000 | 151,200,000 | ||||||||
Pre-opening expenses | $ 8,300,000 | $ 5,500,000 | $ 200,000 | ||||||||
Authorized amount of stock repurchase (in shares) | $ 600,000,000 | $ 600,000,000 | $ 500,000,000 | ||||||||
Share repurchase program, period | 3 years | 3 years | 3 years | ||||||||
Shares repurchased (in shares) | shares | 4,500,000 | 3,229,974 | 3,651,231 | 11,903,636 | 10,566,796 | ||||||
Repurchase of common stock for retirement | $ 195,800,000 | $ 100,000,000 | $ 204,154,000 | $ 489,475,000 | $ 411,409,000 | ||||||
Business interruption proceeds | $ 7,200,000 | 7,200,000 | |||||||||
Gain from settlement | $ 15,900,000 | $ 3,700,000 | 3,700,000 | ||||||||
Number of reportable segments | segment | 1 | ||||||||||
2021 Share Repurchase Program | |||||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||||||||
Share repurchase program, remaining authorized repurchase amount | $ 0 | $ 0 | |||||||||
Interest rate swaps | |||||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||||||||
Number of instruments settled | swap | 3 | 0 | 0 | ||||||||
Derivatives settled | $ 4,100,000 | ||||||||||
Software and computer equipment | |||||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||||||||
Capitalized computer software | $ 33,300,000 | 33,300,000 | 36,700,000 | ||||||||
Implementation costs | |||||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||||||||
Capitalized computer software | $ 23,500,000 | $ 12,300,000 | $ 3,700,000 | ||||||||
Inventory Purchases | Supplier Concentration Risk | One Largest Supplier | |||||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||||||||
Concentration risk percentage | 11% | 11% | 11% |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies - Cumulative Effect Of Changes (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | ||||||||||
Feb. 03, 2024 | Oct. 28, 2023 | Jul. 29, 2023 | Apr. 29, 2023 | Jan. 28, 2023 | Oct. 29, 2022 | Jul. 30, 2022 | Apr. 30, 2022 | Feb. 03, 2024 | Jan. 28, 2023 | Jan. 29, 2022 | Jan. 30, 2021 | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||||||||
Merchandise inventories, net | $ 1,194,159 | $ 1,283,517 | $ 1,194,159 | $ 1,283,517 | ||||||||
Total current assets | 1,644,900 | 1,686,675 | 1,644,900 | 1,686,675 | ||||||||
Total assets | 4,676,713 | 4,595,439 | 4,676,713 | 4,595,439 | ||||||||
Accrued expenses and other current liabilities | 217,932 | 240,169 | 217,932 | 240,169 | ||||||||
Total current liabilities | 879,858 | 1,038,716 | 879,858 | 1,038,716 | ||||||||
DEFERRED TAX LIABILITIES, NET | 254,796 | 259,043 | 254,796 | 259,043 | ||||||||
Total liabilities | 2,722,063 | 2,967,133 | 2,722,063 | 2,967,133 | ||||||||
Retained earnings | 1,711,809 | 1,411,330 | 1,711,809 | 1,411,330 | ||||||||
Stockholders' equity | 1,954,650 | 1,628,306 | 1,954,650 | 1,628,306 | $ 1,466,946 | $ 1,111,983 | ||||||
Total liabilities and stockholders' equity | 4,676,713 | 4,595,439 | 4,676,713 | 4,595,439 | ||||||||
COST OF GOODS SOLD | 4,049,080 | 4,182,571 | 4,422,033 | |||||||||
Gross margin | 597,009 | $ 482,641 | $ 563,446 | $ 467,115 | 572,544 | $ 522,471 | $ 596,063 | $ 521,424 | 2,110,211 | 2,212,502 | 2,351,095 | |
Operating income | 203,965 | 136,731 | 210,963 | 126,196 | 204,800 | 179,522 | 256,734 | 205,493 | 677,855 | 846,549 | 907,947 | |
Income before income taxes | 663,156 | 818,320 | 859,540 | |||||||||
INCOME TAX EXPENSE | 143,966 | 190,319 | 188,159 | |||||||||
Net income | $ 168,167 | $ 99,978 | $ 157,075 | $ 93,970 | $ 157,653 | $ 131,741 | $ 188,801 | $ 149,806 | $ 519,190 | $ 628,001 | $ 671,381 | |
Earnings per common share - basic (in dollars per share) | $ 2.27 | $ 1.34 | $ 2.06 | $ 1.22 | $ 2.03 | $ 1.67 | $ 2.28 | $ 1.73 | $ 6.89 | $ 7.70 | $ 7.38 | |
Earnings per common share - diluted (in dollars per share) | $ 2.21 | $ 1.31 | $ 2.01 | $ 1.19 | $ 1.97 | $ 1.62 | $ 2.22 | $ 1.69 | $ 6.70 | $ 7.49 | $ 7.12 | |
Deferred income taxes | $ (4,247) | $ 41,831 | $ 79,490 | |||||||||
LIFO charge | 0 | |||||||||||
Income taxes payable | 17,640 | (3,407) | (14,129) | |||||||||
Net cash provided by operating activities | 535,779 | $ 552,005 | $ 673,265 | |||||||||
Effect of Change | ||||||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||||||||
Merchandise inventories, net | $ (2,615) | (2,615) | ||||||||||
Total current assets | (2,615) | (2,615) | ||||||||||
Total assets | (2,615) | (2,615) | ||||||||||
Accrued expenses and other current liabilities | (27,219) | (27,219) | ||||||||||
Total current liabilities | (27,219) | (27,219) | ||||||||||
DEFERRED TAX LIABILITIES, NET | 26,609 | 26,609 | ||||||||||
Total liabilities | (610) | (610) | ||||||||||
Retained earnings | (2,005) | (2,005) | ||||||||||
Stockholders' equity | (2,005) | (2,005) | ||||||||||
Total liabilities and stockholders' equity | (2,615) | (2,615) | ||||||||||
COST OF GOODS SOLD | 2,615 | |||||||||||
Gross margin | (2,615) | |||||||||||
Operating income | (2,615) | |||||||||||
Income before income taxes | (2,615) | |||||||||||
INCOME TAX EXPENSE | (610) | |||||||||||
Net income | $ (2,005) | |||||||||||
Earnings per common share - basic (in dollars per share) | $ (0.03) | |||||||||||
Earnings per common share - diluted (in dollars per share) | $ (0.03) | |||||||||||
Deferred income taxes | $ 26,609 | |||||||||||
LIFO charge | 2,615 | |||||||||||
Income taxes payable | (27,219) | |||||||||||
Net cash provided by operating activities | 0 | |||||||||||
Pro Forma | ||||||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||||||||
Merchandise inventories, net | 1,191,544 | 1,191,544 | ||||||||||
Total current assets | 1,642,285 | 1,642,285 | ||||||||||
Total assets | 4,674,098 | 4,674,098 | ||||||||||
Accrued expenses and other current liabilities | 190,713 | 190,713 | ||||||||||
Total current liabilities | 852,639 | 852,639 | ||||||||||
DEFERRED TAX LIABILITIES, NET | 281,405 | 281,405 | ||||||||||
Total liabilities | 2,721,453 | 2,721,453 | ||||||||||
Retained earnings | 1,709,804 | 1,709,804 | ||||||||||
Stockholders' equity | 1,952,645 | 1,952,645 | ||||||||||
Total liabilities and stockholders' equity | $ 4,674,098 | 4,674,098 | ||||||||||
COST OF GOODS SOLD | 4,051,695 | |||||||||||
Gross margin | 2,107,596 | |||||||||||
Operating income | 675,240 | |||||||||||
Income before income taxes | 660,541 | |||||||||||
INCOME TAX EXPENSE | 143,356 | |||||||||||
Net income | $ 517,185 | |||||||||||
Earnings per common share - basic (in dollars per share) | $ 6.86 | |||||||||||
Earnings per common share - diluted (in dollars per share) | $ 6.67 | |||||||||||
Deferred income taxes | $ 22,362 | |||||||||||
LIFO charge | 2,615 | |||||||||||
Income taxes payable | (9,579) | |||||||||||
Net cash provided by operating activities | $ 535,779 |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies - Supplier Finance Program Activity (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Feb. 03, 2024 | Jan. 28, 2023 | |
Supplier Finance Program, Obligation [Roll Forward] | ||
Supplier Finance Program, Obligation, Statement of Financial Position [Extensible Enumeration] | Accounts payable | Accounts payable |
Invoices outstanding at the beginning of the year | $ 8,953 | $ 4,430 |
Invoices added | 44,673 | 50,791 |
Invoices paid | (46,452) | (46,268) |
Invoices outstanding at the end of the year | $ 7,174 | $ 8,953 |
Summary of Significant Accoun_6
Summary of Significant Accounting Policies - Schedule of Useful Lives (Details) | Feb. 03, 2024 |
Buildings | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |
Property and equipment, useful life | 40 years |
Minimum | Software and computer equipment | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |
Property and equipment, useful life | 2 years |
Minimum | Other equipment | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |
Property and equipment, useful life | 5 years |
Minimum | Furniture and fixtures | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |
Property and equipment, useful life | 7 years |
Maximum | Software and computer equipment | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |
Property and equipment, useful life | 5 years |
Maximum | Other equipment | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |
Property and equipment, useful life | 10 years |
Maximum | Furniture and fixtures | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |
Property and equipment, useful life | 10 years |
Summary of Significant Accoun_7
Summary of Significant Accounting Policies - Schedule Of Pre-Opening Activity (Details) $ in Millions | 12 Months Ended | ||
Feb. 03, 2024 USD ($) store | Jan. 28, 2023 USD ($) store | Jan. 29, 2022 USD ($) store | |
Accounting Policies [Abstract] | |||
Number of new stores opened | store | 14 | 9 | 0 |
Pre-opening expenses | $ | $ 8.3 | $ 5.5 | $ 0.2 |
Summary of Significant Accoun_8
Summary of Significant Accounting Policies -Schedule of Share Repurchases (Details) - USD ($) $ in Thousands | 12 Months Ended | ||||
Sep. 17, 2021 | May 10, 2021 | Feb. 03, 2024 | Jan. 28, 2023 | Jan. 29, 2022 | |
Accounting Policies [Abstract] | |||||
Shares repurchased (in shares) | 4,500,000 | 3,229,974 | 3,651,231 | 11,903,636 | 10,566,796 |
Repurchase of common stock for retirement | $ 195,800 | $ 100,000 | $ 204,154 | $ 489,475 | $ 411,409 |
Excise tax | $ 1,400 |
Net Sales - Disaggregation of R
Net Sales - Disaggregation of Revenue (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Feb. 03, 2024 | Oct. 28, 2023 | Jul. 29, 2023 | Apr. 29, 2023 | Jan. 28, 2023 | Oct. 29, 2022 | Jul. 30, 2022 | Apr. 30, 2022 | Feb. 03, 2024 | Jan. 28, 2023 | Jan. 29, 2022 | |
Disaggregation of Revenue [Line Items] | |||||||||||
Net sales | $ 1,794,828 | $ 1,397,777 | $ 1,583,077 | $ 1,383,609 | $ 1,746,503 | $ 1,493,925 | $ 1,686,915 | $ 1,467,730 | $ 6,159,291 | $ 6,395,073 | $ 6,773,128 |
Customer Concentration Risk | Revenue from Contract with Customer Benchmark | E-Commerce | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Percentage of sales | 10.70% | 10.70% | 9.30% | ||||||||
Outdoors | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Net sales | $ 1,727,018 | $ 1,819,418 | $ 2,060,046 | ||||||||
Sports and recreation | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Net sales | 1,452,377 | 1,488,187 | 1,577,776 | ||||||||
Apparel | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Net sales | 1,710,838 | 1,758,993 | 1,810,345 | ||||||||
Footwear | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Net sales | 1,235,643 | 1,291,227 | 1,290,197 | ||||||||
Total Merchandise | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Net sales | 6,125,876 | 6,357,825 | 6,738,364 | ||||||||
Other sales | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Net sales | $ 33,415 | $ 37,248 | $ 34,764 |
Net Sales - Gift Card Liability
Net Sales - Gift Card Liability (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Feb. 03, 2024 | Jan. 28, 2023 | Jan. 29, 2022 | |
Change in Contract with Customer, Liability [Roll Forward] | |||
Gift card liability, beginning balance | $ 90,650 | $ 86,568 | $ 74,253 |
Issued | 134,741 | 134,091 | 136,553 |
Gift card liability, ending balance | 94,155 | 90,650 | 86,568 |
Redeemed | |||
Change in Contract with Customer, Liability [Roll Forward] | |||
Redeemed and recognized as breakage income | (124,370) | (124,463) | (119,103) |
Recognized as breakage income | |||
Change in Contract with Customer, Liability [Roll Forward] | |||
Redeemed and recognized as breakage income | $ (6,866) | $ (5,546) | $ (5,135) |
Long-Term Debt - Schedule of Lo
Long-Term Debt - Schedule of Long-Term Debt (Details) - USD ($) $ in Thousands | Feb. 03, 2024 | Jan. 28, 2023 |
Debt Instrument [Line Items] | ||
Total debt | $ 491,750 | $ 594,750 |
Less current maturities | (3,000) | (3,000) |
Less unamortized discount on Term Loan | (501) | (1,340) |
Less deferred loan costs | (3,698) | (5,954) |
Long-term debt, net | 484,551 | 584,456 |
Secured Debt | Term Loan, due November 2027 | ||
Debt Instrument [Line Items] | ||
Total debt | 91,750 | 194,750 |
Senior Notes | Senior Secured Notes 2020 | ||
Debt Instrument [Line Items] | ||
Total debt | 400,000 | 400,000 |
Revolving Credit Facility | ABL Facility, due November 2025 (1) | ||
Debt Instrument [Line Items] | ||
Total debt | $ 0 | $ 0 |
Long-Term Debt - Additional Inf
Long-Term Debt - Additional Information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||||||
Feb. 01, 2024 | Dec. 15, 2022 | May 25, 2021 | Nov. 06, 2020 | Feb. 03, 2024 | Jan. 28, 2023 | Jan. 29, 2022 | |
Debt Instrument [Line Items] | |||||||
Deferred loan costs | $ 3,698 | $ 5,954 | |||||
Amortization of deferred loan, terminated interest rate swaps and other costs | 2,739 | 3,054 | $ 5,524 | ||||
Repayments of term loan | $ 1,431,400 | 103,000 | 103,000 | 102,250 | |||
2020 Term Loan Facility | Secured Debt | |||||||
Debt Instrument [Line Items] | |||||||
Deferred loan costs | 5,800 | ||||||
Repayments of term loan | $ 100,000 | $ 100,000 | $ 99,000 | ||||
Repayments of debt | $ 99,000 | ||||||
Revolving Credit Facility | ABL Facility, due November 2025 (1) | Line of Credit | |||||||
Debt Instrument [Line Items] | |||||||
Deferred loan costs | $ 3,100 | ||||||
Amortization of deferred loan, terminated interest rate swaps and other costs | 2,400 | 2,600 | 2,700 | ||||
Accretion of original discount | 300 | 400 | $ 500 | ||||
Other noncurrent assets | Revolving Credit Facility | ABL Facility, due November 2025 (1) | Line of Credit | |||||||
Debt Instrument [Line Items] | |||||||
Deferred loan costs | $ 2,100 | $ 3,200 |
Long-Term Debt - Term Loan (Det
Long-Term Debt - Term Loan (Details) - USD ($) | 12 Months Ended | |||||||||
Feb. 01, 2024 | Aug. 01, 2023 | Dec. 15, 2022 | May 25, 2021 | May 24, 2021 | Nov. 06, 2020 | Jul. 02, 2015 | Feb. 03, 2024 | Jan. 28, 2023 | Jan. 29, 2022 | |
Debt Instrument [Line Items] | ||||||||||
Repayments of term loan | $ 1,431,400,000 | $ 103,000,000 | $ 103,000,000 | $ 102,250,000 | ||||||
Deferred loan costs | $ 3,698,000 | 5,954,000 | ||||||||
Secured Debt | 2020 Term Loan Facility | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Debt term | 7 years | |||||||||
Repayments of term loan | $ 100,000,000 | $ 100,000,000 | $ 99,000,000 | |||||||
Deferred loan costs | $ 5,800,000 | |||||||||
Borrowings outstanding | $ 300,000,000 | |||||||||
Write off of deferred loan costs | $ 1,500,000 | $ 2,000,000 | $ 2,200,000 | |||||||
Secured Debt | 2020 Term Loan Facility | Federal funds rate | Variable Rate Component, Two | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Basis spread on variable rate | 0.50% | |||||||||
Secured Debt | 2020 Term Loan Facility | Base Rate | Variable Rate Component, Two | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Basis spread on variable rate | 4% | |||||||||
Secured Debt | 2020 Term Loan Facility | London Interbank Offered Rate (LIBOR) | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Basis spread on variable rate | 3.75% | 5% | ||||||||
Secured Debt | 2020 Term Loan Facility | London Interbank Offered Rate (LIBOR) | Variable Rate Component, One | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Interest rate floor | 0.75% | |||||||||
Basis spread on variable rate | 5% | |||||||||
Secured Debt | 2020 Term Loan Facility | London Interbank Offered Rate (LIBOR) | Variable Rate Component, Two | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Basis spread on variable rate | 1% | |||||||||
Secured Debt | Term Loan Facility 2020 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Debt face amount | $ 400,000,000 | |||||||||
Weighted average interest rate | 9.19% | |||||||||
Quarterly principal payments | 750,000 | |||||||||
Secured Debt | Term Loan Facility 2020 | Federal funds rate | Variable Rate Component, Two | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Basis spread on variable rate | 0.50% | |||||||||
Secured Debt | Term Loan Facility 2020 | Secured Overnight Financing Rate (SOFR) | Variable Rate Component, One | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Interest rate floor | 0.75% | |||||||||
Basis spread on variable rate | 3.75% | |||||||||
Secured Debt | Term Loan Facility 2020 | Secured Overnight Financing Rate (SOFR) | Variable Rate Component, Two | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Interest rate floor | 0.75% | |||||||||
Basis spread on variable rate | 3.75% | |||||||||
Line of Credit | ABL Facility, due November 2025 (1) | Revolving Credit Facility | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Deferred loan costs | $ 3,100,000 | |||||||||
Borrowings outstanding | $ 0 | |||||||||
Line of Credit | ABL Facility, due November 2025 (1) | Revolving Credit Facility | Federal funds rate | Variable Rate Component, Two | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Basis spread on variable rate | 0.50% | |||||||||
Line of Credit | ABL Facility, due November 2025 (1) | Revolving Credit Facility | Secured Overnight Financing Rate (SOFR) | Variable Rate Component, Two | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Basis spread on variable rate | 1% |
Long-Term Debt - Notes (Details
Long-Term Debt - Notes (Details) - USD ($) | Nov. 06, 2020 | Feb. 03, 2024 | Jan. 28, 2023 |
Debt Instrument [Line Items] | |||
Deferred loan costs | $ 3,698,000 | $ 5,954,000 | |
2020 Senior Secured Notes | Senior Notes | |||
Debt Instrument [Line Items] | |||
Debt face amount | $ 400,000,000 | ||
Interest rate, stated percentage | 6% | ||
Deferred loan costs | $ 5,200,000 | ||
2020 Senior Secured Notes | Senior Notes | Debt Instrument, Redemption Option One | |||
Debt Instrument [Line Items] | |||
Redemption price, percentage | 100% | ||
2020 Senior Secured Notes | Senior Notes | Debt Instrument, Redemption Option Two | |||
Debt Instrument [Line Items] | |||
Redemption price, percentage | 106% | ||
Redemption price, percentage of principal amount redeemed | 40% | ||
2020 Senior Secured Notes | Senior Notes | Debt Instrument, Redemption Option Three | |||
Debt Instrument [Line Items] | |||
Redemption price, percentage | 101% |
Long-Term Debt - ABL Facility,
Long-Term Debt - ABL Facility, Liens and guarantees (Details) - USD ($) | Nov. 06, 2020 | Jul. 02, 2015 | Feb. 03, 2024 | Jan. 28, 2023 | May 25, 2021 |
Debt Instrument [Line Items] | |||||
Deferred loan costs | $ 3,698,000 | $ 5,954,000 | |||
Outstanding letters of credit | $ 11,600,000 | ||||
Secured Debt | 2020 Term Loan Facility | |||||
Debt Instrument [Line Items] | |||||
Deferred loan costs | $ 5,800,000 | ||||
Borrowings outstanding | $ 300,000,000 | ||||
Percent of capital stock pledged | 100% | ||||
Percent of voting capital stock pledged | 66% | ||||
Secured Debt | Federal funds rate | 2020 Term Loan Facility | Variable Rate Component, Two | |||||
Debt Instrument [Line Items] | |||||
Basis spread on variable rate | 0.50% | ||||
Secured Debt | Base Rate | 2020 Term Loan Facility | Variable Rate Component, Two | |||||
Debt Instrument [Line Items] | |||||
Basis spread on variable rate | 4% | ||||
Revolving Credit Facility | Line of Credit | ABL Facility, due November 2025 (1) | |||||
Debt Instrument [Line Items] | |||||
Deferred loan costs | $ 3,100,000 | ||||
Borrowings outstanding | $ 0 | ||||
Remaining borrowing capacity | $ 881,400,000 | ||||
Unused commitment fee, percentage | 0.25% | ||||
Revolving Credit Facility | Line of Credit | Secured Overnight Financing Rate (SOFR) | ABL Facility, due November 2025 (1) | Variable Rate Component, Two | |||||
Debt Instrument [Line Items] | |||||
Basis spread on variable rate | 1% | ||||
Revolving Credit Facility | Line of Credit | Secured Overnight Financing Rate (SOFR) | Minimum | ABL Facility, due November 2025 (1) | Variable Rate Component, One | |||||
Debt Instrument [Line Items] | |||||
Basis spread on variable rate | 1.25% | ||||
Revolving Credit Facility | Line of Credit | Secured Overnight Financing Rate (SOFR) | Maximum | ABL Facility, due November 2025 (1) | Variable Rate Component, One | |||||
Debt Instrument [Line Items] | |||||
Basis spread on variable rate | 1.75% | ||||
Revolving Credit Facility | Line of Credit | Federal funds rate | ABL Facility, due November 2025 (1) | Variable Rate Component, Two | |||||
Debt Instrument [Line Items] | |||||
Basis spread on variable rate | 0.50% | ||||
Revolving Credit Facility | Line of Credit | Base Rate | Minimum | ABL Facility, due November 2025 (1) | Variable Rate Component, Two | |||||
Debt Instrument [Line Items] | |||||
Basis spread on variable rate | 0.25% | ||||
Revolving Credit Facility | Line of Credit | Base Rate | Maximum | ABL Facility, due November 2025 (1) | Variable Rate Component, Two | |||||
Debt Instrument [Line Items] | |||||
Basis spread on variable rate | 0.75% |
Long-Term Debt - Schedule of Pr
Long-Term Debt - Schedule of Principal Payments (Details) - USD ($) $ in Thousands | Feb. 03, 2024 | Jan. 28, 2023 |
Debt Disclosure [Abstract] | ||
2024 | $ 3,000 | |
2025 | 3,000 | |
2026 | 3,000 | |
2027 | 482,750 | |
Total | $ 491,750 | $ 594,750 |
Derivative Financial Instrume_3
Derivative Financial Instruments - Narrative (Details) - Interest rate swaps $ in Millions | Jan. 19, 2021 USD ($) swap | Feb. 03, 2024 swap |
Derivative [Line Items] | ||
Number of instruments settled | swap | 3 | 0 |
Derivatives settled | $ | $ 4.1 |
Derivative Financial Instrume_4
Derivative Financial Instruments - Impact of Gains and Losses Related to Interest Rate Swaps (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Feb. 03, 2024 | Jan. 28, 2023 | Jan. 29, 2022 | |
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Stockholders' equity attributable to parent, beginning balance | $ 1,628,306 | $ 1,466,946 | $ 1,111,983 |
Recognized interest expense on interest rate swaps (net of tax expense) | 3,324 | ||
Stockholders' equity attributable to parent, ending balance | 1,954,650 | 1,628,306 | 1,466,946 |
Increase (decrease) to interest expense, tax | 980 | 980,000 | |
Accumulated Other Comprehensive Income (Loss) | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Stockholders' equity attributable to parent, beginning balance | 0 | 0 | (3,324) |
Recognized interest expense on interest rate swaps (net of tax expense) | 3,324 | ||
Stockholders' equity attributable to parent, ending balance | 0 | 0 | 0 |
Accumulated Gain (Loss), Net, Cash Flow Hedge, Parent | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Recognized interest expense on interest rate swaps (net of tax expense) | $ 0 | $ 0 | $ 3,324 |
Fair Value Measurements - Addit
Fair Value Measurements - Additional Information (Details) - USD ($) $ in Millions | Feb. 03, 2024 | Jan. 28, 2023 |
Term Loan, due November 2027 | Secured Debt | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Borrowings, fair value | $ 500 | $ 600 |
Money Market Funds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Money market funds | $ 303.4 | $ 95.6 |
Property and Equipment (Details
Property and Equipment (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Feb. 03, 2024 | Jan. 28, 2023 | Jan. 29, 2022 | |
Property, Plant and Equipment [Line Items] | |||
Total property and equipment | $ 1,712,135 | $ 1,513,273 | |
Accumulated depreciation and amortization | (1,266,926) | (1,161,849) | |
Property and equipment, net | 445,209 | 351,424 | |
Depreciation expense | 110,900 | 106,800 | $ 105,300 |
Leasehold improvements | |||
Property, Plant and Equipment [Line Items] | |||
Total property and equipment | 571,785 | 484,930 | |
Equipment and software | |||
Property, Plant and Equipment [Line Items] | |||
Total property and equipment | 688,143 | 641,387 | |
Furniture and fixtures | |||
Property, Plant and Equipment [Line Items] | |||
Total property and equipment | 398,415 | 360,099 | |
Construction in progress | |||
Property, Plant and Equipment [Line Items] | |||
Total property and equipment | 38,873 | 23,159 | |
Building and land | |||
Property, Plant and Equipment [Line Items] | |||
Total property and equipment | $ 14,919 | $ 3,698 |
Accrued Expenses and Other Cu_3
Accrued Expenses and Other Current Liabilities (Details) - USD ($) $ in Thousands | Feb. 03, 2024 | Jan. 28, 2023 |
Payables and Accruals [Abstract] | ||
Accrued interest | $ 6,717 | $ 7,015 |
Accrued personnel costs | 30,899 | 57,504 |
Accrued professional fees | 1,818 | 3,943 |
Accrued sales and use tax | 14,828 | 9,302 |
Accrued self-insurance | 15,269 | 20,941 |
Deferred revenue - gift cards and other | 96,688 | 92,603 |
Income taxes payable | 9,313 | 6,195 |
Property taxes | 14,239 | 15,921 |
Sales return allowance | 6,400 | 6,100 |
Other | 21,761 | 20,645 |
Accrued expenses and other current liabilities | $ 217,932 | $ 240,169 |
Share-Based Compensation - Addi
Share-Based Compensation - Additional Information (Details) - USD ($) | 3 Months Ended | 12 Months Ended | |||||
Aug. 28, 2020 | Jan. 28, 2023 | Feb. 03, 2024 | Jan. 28, 2023 | Jan. 29, 2022 | Jun. 01, 2023 | Oct. 01, 2020 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Derivative asset | $ 0 | $ 0 | $ 0 | ||||
Distribution | $ 257,000,000 | ||||||
Distributions to unitholders after conversion (in dollars per share) | $ 3.546 | ||||||
Equity compensation expense | 24,377,000 | 21,175,000 | $ 39,264,000 | ||||
Business interruption proceeds | $ 7,200,000 | 7,200,000 | |||||
2022 Share Repurchase Program | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Share repurchase program, remaining authorized repurchase amount | $ 696,700,000 | ||||||
Employee Stock | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Common stock reserved for future issuance (in shares) | 2,000,000 | ||||||
Authorized for grant (in shares) | 1,593,760 | ||||||
Maximum percent of eligible earnings | 15% | ||||||
Percent discount from closing stock price | 15% | ||||||
Stock purchase plan offering period | 6 months | ||||||
Number of additional shares allowable (in shares) | 1,000,000 | ||||||
Maximum percentage of outstanding stock | 2% | ||||||
Restricted Stock Units | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Fair value of units vested | $ 11,700,000 | $ 3,900,000 | 24,400,000 | ||||
Unit Options And Restricted Units | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Unrecognized compensation cost | $ 28,600,000 | ||||||
Weighted average life remaining in years | 2 years | ||||||
Equity compensation expense | $ 32,200,000 | ||||||
Service Options | Minimum | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Award vesting period | 3 years | ||||||
Service Options | Maximum | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Award vesting period | 4 years | ||||||
Service Restricted Units | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Award vesting percentage | 100% | ||||||
Service Restricted Units | Minimum | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Award vesting period | 3 years | ||||||
Service Restricted Units | Maximum | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Award vesting period | 4 years | ||||||
Performance Restricted Units | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Award vesting period | 4 years | ||||||
2020 Share Incentive Plan | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Common stock reserved for future issuance (in shares) | 2,600,000 | 5,150,000 | |||||
Authorized for grant (in shares) | 4,534,051 | ||||||
Available for grant (in shares) | 4,534,051 |
Share-Based Compensation - Stoc
Share-Based Compensation - Stock-Based Compensation Recognized (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
May 10, 2021 | Feb. 03, 2024 | Jan. 28, 2023 | Jan. 29, 2022 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Equity compensation expense | $ 24,377 | $ 21,175 | $ 39,264 | |
Total related tax benefit | 5,245 | 4,494 | 9,075 | |
Equity compensation | $ 24,900 | $ 24,377 | $ 21,175 | $ 39,264 |
Share-Based Compensation - Assu
Share-Based Compensation - Assumptions and Grant Date Fair Values for Options Granted (Details) - Service Options - $ / shares | 12 Months Ended | ||
Feb. 03, 2024 | Jan. 28, 2023 | Jan. 29, 2022 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Expected life in years | 6 years | 6 years 2 months 12 days | 6 years 2 months 12 days |
Expected volatility, minimum | 46% | 43% | 42% |
Expected volatility, maximum | 51% | 45% | 44% |
Weighted-average volatility | 47.80% | 43% | 43.70% |
Risk-free interest rate, minimum | 3.70% | 2.40% | 1% |
Risk-free interest rate, maximum | 4.40% | 4.10% | 1.30% |
Dividend yield | 0.60% | 0.80% | 0% |
Weighted average grant date fair value - options (in dollars per share) | $ 27.60 | $ 16.36 | $ 11.92 |
Share-Based Compensation - Opti
Share-Based Compensation - Option Activity (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | |||
Feb. 03, 2024 | Jan. 28, 2023 | Jan. 29, 2022 | Jan. 30, 2021 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price [Abstract] | ||||
Total related tax benefit | $ 5,245 | $ 4,494 | $ 9,075 | |
Service Options | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward] | ||||
Outstanding beginning balance (in shares) | 3,570,694 | 3,898,214 | 6,282,782 | |
Granted or modified (in shares) | 262,640 | 817,618 | 915,017 | |
Cancelled or modified (in shares) | (694) | (3,378) | (1,499) | |
Forfeited (in shares) | (228,160) | (51,027) | (39,757) | |
Exercised (in shares) | (988,682) | (1,090,733) | (3,258,329) | |
Outstanding ending balance (in shares) | 2,615,798 | 3,570,694 | 3,898,214 | 6,282,782 |
Exercisable (in shares) | 1,633,434 | |||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price [Abstract] | ||||
Outstanding beginning balance, weighted average exercise price (in dollars per share) | $ 24.27 | $ 19.12 | $ 13.53 | |
Granted or modified, weighted average exercise price (in dollars per share) | 58.13 | 39.22 | 27.41 | |
Cancelled or modified, weighted average exercise price (in dollars per share) | 13 | 17.06 | 16.84 | |
Forfeited, weighted average exercise price (in dollars per share) | 39.14 | 30.32 | 23.19 | |
Exercised, weighted average exercise price (in dollars per share) | 20 | 16.83 | 10.62 | |
Outstanding ending balance, weighted average exercise price (in dollars per share) | 27.99 | $ 24.27 | $ 19.12 | $ 13.53 |
Exercisable, weighted average exercise price (in dollars per share) | $ 21.53 | |||
Weighted Average Remaining Contractual Life (in years) | 6 years 8 months 12 days | 7 years 3 months 18 days | 7 years 4 months 24 days | 5 years 6 months |
Weighted average remaining contractual life, exercisable (in years) | 5 years 10 months 24 days | |||
Aggregate intrinsic value | $ 95,479 | $ 112,050 | $ 72,345 | $ 50,055 |
Aggregate intrinsic value, exercised | 36,277 | $ 34,611 | $ 81,782 | |
Aggregate intrinsic value, exercisable | $ 70,154 | |||
Performance options | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward] | ||||
Outstanding beginning balance (in shares) | 218,477 | 396,909 | 2,948,621 | |
Granted or modified (in shares) | 0 | 0 | 0 | |
Cancelled or modified (in shares) | 0 | 0 | 0 | |
Forfeited (in shares) | 0 | 0 | (295,932) | |
Exercised (in shares) | (95,915) | (178,432) | (2,255,780) | |
Outstanding ending balance (in shares) | 122,562 | 218,477 | 396,909 | 2,948,621 |
Exercisable (in shares) | 122,562 | |||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price [Abstract] | ||||
Outstanding beginning balance, weighted average exercise price (in dollars per share) | $ 16.59 | $ 16.48 | $ 8.81 | |
Granted or modified, weighted average exercise price (in dollars per share) | 0 | 0 | 0 | |
Cancelled or modified, weighted average exercise price (in dollars per share) | 0 | 0 | 0 | |
Forfeited, weighted average exercise price (in dollars per share) | 0 | 0 | 16.72 | |
Exercised, weighted average exercise price (in dollars per share) | 16.63 | 16.35 | 6.42 | |
Outstanding ending balance, weighted average exercise price (in dollars per share) | 16.55 | $ 16.59 | $ 16.48 | $ 8.81 |
Exercisable, weighted average exercise price (in dollars per share) | $ 16.55 | |||
Weighted Average Remaining Contractual Life (in years) | 5 years | 5 years 6 months | 5 years 9 months 18 days | 2 years 6 months |
Weighted average remaining contractual life, exercisable (in years) | 5 years | |||
Aggregate intrinsic value | $ 5,874 | $ 8,534 | $ 8,406 | $ 37,422 |
Aggregate intrinsic value, exercised | 3,656 | 5,570 | 55,865 | |
Aggregate intrinsic value, exercisable | 5,874 | |||
Options | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price [Abstract] | ||||
Total related tax benefit | $ 3,900 | $ 4,200 | $ 18,500 |
Share-Based Compensation - Rest
Share-Based Compensation - Restricted Unit Activity (Details) - $ / shares | 12 Months Ended | ||
Feb. 03, 2024 | Jan. 28, 2023 | Jan. 29, 2022 | |
Service Restricted Units | |||
Share-based Compensation Arrangement by Share-based Payment Award, Non-Option Equity Instruments, Outstanding [Roll Forward] | |||
Non-vested beginning balance (in shares) | 437,108 | 338,879 | 32,049 |
Granted (in shares) | 393,131 | 198,346 | 358,960 |
Vested (in shares) | (173,225) | (66,980) | (33,389) |
Forfeited (in shares) | (92,151) | (33,137) | (18,741) |
Non-vested ending balance (in shares) | 564,863 | 437,108 | 338,879 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Abstract] | |||
Non-vested beginning balance, weighted average grant date fair value (in dollars per share) | $ 39.11 | $ 37.18 | $ 17.01 |
Granted, weighted average grant date fair value (in dollars per share) | 60.37 | 39.40 | 36.64 |
Vested, weighted average grant date fair value (in dollars per share) | 39.48 | 32.46 | 17.34 |
Forfeited, weighted average grant date fair value (in dollars per share) | 51.32 | 34.63 | 27.62 |
Non-vested ending balance, weighted average grant date fair value (in dollars per share) | $ 51.80 | $ 39.11 | $ 37.18 |
Liquidity Event Restricted Units | |||
Share-based Compensation Arrangement by Share-based Payment Award, Non-Option Equity Instruments, Outstanding [Roll Forward] | |||
Non-vested beginning balance (in shares) | 0 | 0 | 1,339,330 |
Granted (in shares) | 0 | 0 | 0 |
Vested (in shares) | 0 | 0 | (1,339,330) |
Forfeited (in shares) | 0 | 0 | 0 |
Non-vested ending balance (in shares) | 0 | 0 | 0 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Abstract] | |||
Non-vested beginning balance, weighted average grant date fair value (in dollars per share) | $ 0 | $ 0 | $ 17.74 |
Granted, weighted average grant date fair value (in dollars per share) | 0 | 0 | 0 |
Vested, weighted average grant date fair value (in dollars per share) | 0 | 0 | 17.74 |
Forfeited, weighted average grant date fair value (in dollars per share) | 0 | 0 | 0 |
Non-vested ending balance, weighted average grant date fair value (in dollars per share) | $ 0 | $ 0 | $ 0 |
Performance Restricted Units | |||
Share-based Compensation Arrangement by Share-based Payment Award, Non-Option Equity Instruments, Outstanding [Roll Forward] | |||
Non-vested beginning balance (in shares) | 298,929 | 203,918 | 16,328 |
Granted (in shares) | 250,384 | 170,250 | 196,056 |
Vested (in shares) | (149,190) | (65,979) | (4,079) |
Forfeited (in shares) | (88,301) | (9,260) | (4,387) |
Non-vested ending balance (in shares) | 311,822 | 298,929 | 203,918 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Abstract] | |||
Non-vested beginning balance, weighted average grant date fair value (in dollars per share) | $ 32.55 | $ 26.54 | $ 13.87 |
Granted, weighted average grant date fair value (in dollars per share) | 57.91 | 37.36 | 27.41 |
Vested, weighted average grant date fair value (in dollars per share) | 32.82 | 26.44 | 13.87 |
Forfeited, weighted average grant date fair value (in dollars per share) | 47.94 | 32.20 | 30.07 |
Non-vested ending balance, weighted average grant date fair value (in dollars per share) | $ 48.85 | $ 32.55 | $ 26.54 |
Earnings per Common Share (Deta
Earnings per Common Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Feb. 03, 2024 | Oct. 28, 2023 | Jul. 29, 2023 | Apr. 29, 2023 | Jan. 28, 2023 | Oct. 29, 2022 | Jul. 30, 2022 | Apr. 30, 2022 | Feb. 03, 2024 | Jan. 28, 2023 | Jan. 29, 2022 | |
Earnings Per Share, Diluted, by Common Class, Including Two Class Method [Line Items] | |||||||||||
Net income | $ 168,167 | $ 99,978 | $ 157,075 | $ 93,970 | $ 157,653 | $ 131,741 | $ 188,801 | $ 149,806 | $ 519,190 | $ 628,001 | $ 671,381 |
Weighted average common shares outstanding - basic (in shares) | 74,219 | 74,461 | 76,104 | 76,862 | 77,657 | 79,085 | 82,960 | 86,658 | 75,389 | 81,590 | 90,956 |
Weighted average common shares outstanding - diluted (in shares) | 76,035 | 76,057 | 78,091 | 79,288 | 80,074 | 81,379 | 84,906 | 88,614 | 77,469 | 83,895 | 94,284 |
Earnings per common share - basic (in dollars per share) | $ 2.27 | $ 1.34 | $ 2.06 | $ 1.22 | $ 2.03 | $ 1.67 | $ 2.28 | $ 1.73 | $ 6.89 | $ 7.70 | $ 7.38 |
Earnings per common share - diluted (in dollars per share) | $ 2.21 | $ 1.31 | $ 2.01 | $ 1.19 | $ 1.97 | $ 1.62 | $ 2.22 | $ 1.69 | $ 6.70 | $ 7.49 | $ 7.12 |
Anti-dilutive stock-based awards excluded from diluted calculation (in shares) | 128 | 24 | 24 | ||||||||
Service Restricted Units | |||||||||||
Earnings Per Share, Diluted, by Common Class, Including Two Class Method [Line Items] | |||||||||||
Dilutive effect of stock-based awards (in shares) | 327 | 165 | 70 | ||||||||
Liquidation Event Restricted Units And Performance Restricted Units | |||||||||||
Earnings Per Share, Diluted, by Common Class, Including Two Class Method [Line Items] | |||||||||||
Dilutive effect of stock-based awards (in shares) | 165 | 207 | 313 | ||||||||
Service Options | |||||||||||
Earnings Per Share, Diluted, by Common Class, Including Two Class Method [Line Items] | |||||||||||
Dilutive effect of stock-based awards (in shares) | 1,439 | 1,678 | 2,300 | ||||||||
Performance Options | |||||||||||
Earnings Per Share, Diluted, by Common Class, Including Two Class Method [Line Items] | |||||||||||
Dilutive effect of stock-based awards (in shares) | 112 | 202 | 637 | ||||||||
Employee Stock | |||||||||||
Earnings Per Share, Diluted, by Common Class, Including Two Class Method [Line Items] | |||||||||||
Dilutive effect of stock-based awards (in shares) | 37 | 53 | 8 |
Income Taxes - Provision for In
Income Taxes - Provision for Income Taxes (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Feb. 03, 2024 | Jan. 28, 2023 | Jan. 29, 2022 | |
Current expense: | |||
Federal | $ 125,325 | $ 127,823 | $ 93,373 |
State | 22,869 | 20,645 | 15,270 |
Foreign | 19 | 20 | 26 |
Total current expense | 148,213 | 148,488 | 108,669 |
Deferred expense (benefit): | |||
Federal | (3,395) | 37,971 | 69,353 |
State | (817) | 3,853 | 10,139 |
Foreign | (35) | 7 | (2) |
Total deferred expense | (4,247) | 41,831 | 79,490 |
Income tax expense | $ 143,966 | $ 190,319 | $ 188,159 |
Income Taxes - Effective Income
Income Taxes - Effective Income Tax Rate Reconciliation (Details) | 12 Months Ended | ||
Feb. 03, 2024 | Jan. 28, 2023 | Jan. 29, 2022 | |
Income Tax Disclosure [Abstract] | |||
Federal income tax at the statutory rate | 21% | 21% | 21% |
State income tax, net of federal benefit | 2.50% | 2.50% | 2.60% |
Nondeductible excess compensation | 0.50% | 0.60% | 1.30% |
Excess tax benefit for share-based compensation | (1.10%) | (0.70%) | (2.60%) |
Effect of other permanent items | (1.20%) | (0.10%) | (0.40%) |
Effective income tax rate | 21.70% | 23.30% | 21.90% |
Income Taxes - Deferred Tax Ass
Income Taxes - Deferred Tax Assets and Liabilities (Details) - USD ($) $ in Thousands | Feb. 03, 2024 | Jan. 28, 2023 |
Deferred tax assets: | ||
Accounts receivable | $ 620 | $ 570 |
Accrued liabilities and reserves | 18,810 | 17,905 |
Equity compensation | 7,672 | 7,947 |
Total deferred tax assets | 27,102 | 26,422 |
Deferred tax liabilities: | ||
Inventory | (34,313) | (49,995) |
Prepaid items | (6,554) | (5,143) |
Property and equipment | (13,983) | (15,496) |
Intangible assets | (227,027) | (214,292) |
Other | (21) | (539) |
Total deferred tax liabilities | (281,898) | (285,465) |
Net deferred tax liability | $ (254,796) | $ (259,043) |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Details) | Feb. 03, 2024 USD ($) |
Income Tax Disclosure [Abstract] | |
Unrecognized tax benefits | $ 0 |
Leases - Additional Information
Leases - Additional Information (Details) | Feb. 03, 2024 |
Leases [Abstract] | |
Renewal term | 5 years |
Leases - Components of Lease Ex
Leases - Components of Lease Expense and Sublease Income (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Feb. 03, 2024 | Jan. 28, 2023 | Jan. 29, 2022 | |
Leases [Abstract] | |||
Operating lease expense | $ 214,672 | $ 201,398 | $ 197,321 |
Short-term lease expense | 0 | 0 | 0 |
Variable lease expense | 10,405 | 8,398 | 7,757 |
Sublease income | (463) | (442) | (486) |
Net lease expense | $ 224,614 | $ 209,354 | $ 204,592 |
Leases - Information About Oper
Leases - Information About Operating Leases (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Feb. 03, 2024 | Jan. 28, 2023 | Jan. 29, 2022 | |
Leases [Abstract] | |||
Right-of-use assets obtained in exchange for new operating lease liabilities | $ 134,181 | $ 116,652 | $ 26,253 |
Cash paid for amounts included in the measurement of operating lease liabilities | $ 213,860 | $ 204,159 | $ 203,554 |
Weighted-average remaining lease term in years | 9 years 6 months | 9 years 9 months 18 days | |
Weighted-average incremental borrowing rate | 8.90% | 9% |
Leases - Remaining Maturities o
Leases - Remaining Maturities of Lease Liabilities (Details) $ in Thousands | 12 Months Ended |
Feb. 03, 2024 USD ($) | |
Leases [Abstract] | |
2024 | $ 200,494 |
2025 | 214,244 |
2026 | 205,944 |
2027 | 191,893 |
2028 | 173,835 |
After 2028 | 810,337 |
Total lease payments | 1,796,747 |
Less: Interest | (587,604) |
Present value of lease liabilities | 1,209,143 |
Sublease rentals | 2,300 |
Future minimum payments | $ 159,300 |
Related Party Transactions (Det
Related Party Transactions (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||||
Sep. 17, 2021 | May 10, 2021 | Feb. 03, 2024 | Jan. 28, 2023 | Jan. 29, 2022 | |
Related Party Transactions [Abstract] | |||||
Shares repurchased (in shares) | 4,500,000 | 3,229,974 | 3,651,231 | 11,903,636 | 10,566,796 |
Repurchase of common stock for retirement (in dollars per share) | $ 43.52 | $ 30.96 | |||
Repurchase of common stock for retirement | $ 195,800 | $ 100,000 | $ 204,154 | $ 489,475 | $ 411,409 |
Commitments and Contingencies (
Commitments and Contingencies (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | ||
Feb. 03, 2024 | Jan. 28, 2023 | Feb. 03, 2024 | Jan. 29, 2022 | |
Long-term Purchase Commitment [Line Items] | ||||
Gain from settlement | $ 15.9 | $ 3.7 | $ 3.7 | |
Settled Litigation | ||||
Long-term Purchase Commitment [Line Items] | ||||
Gain from settlement | $ 15.9 | |||
Freight, Technology Related Commitments And Other | ||||
Long-term Purchase Commitment [Line Items] | ||||
Contractual commitment obligations | 68 | 68 | ||
Contractual commitment obligations, payable in next 12 months | 40.9 | 40.9 | ||
Sponsorship Agreement And Intellectual Property Commitments | ||||
Long-term Purchase Commitment [Line Items] | ||||
Contractual commitment obligations | 13.7 | 13.7 | ||
Contractual commitment obligations, payable in next 12 months | $ 5.6 | $ 5.6 | ||
Minimum | Sponsorship Agreement And Intellectual Property Commitments | ||||
Long-term Purchase Commitment [Line Items] | ||||
Agreement term | 1 year | |||
Maximum | Sponsorship Agreement And Intellectual Property Commitments | ||||
Long-term Purchase Commitment [Line Items] | ||||
Agreement term | 3 years |
Employee Benefit Plans (Details
Employee Benefit Plans (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Feb. 03, 2024 | Jan. 28, 2023 | Jan. 29, 2022 | |
Retirement Benefits [Abstract] | |||
Eligible compensation contribution, percent | 75% | ||
Employer matching contribution, percent of match | 100% | ||
Employer matching contribution, percent of employees' gross pay | 6% | ||
Contributions | $ 15.5 | $ 15.5 | $ 15.6 |
Selected Quarterly Financial _3
Selected Quarterly Financial Data (Unaudited) (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Feb. 03, 2024 | Oct. 28, 2023 | Jul. 29, 2023 | Apr. 29, 2023 | Jan. 28, 2023 | Oct. 29, 2022 | Jul. 30, 2022 | Apr. 30, 2022 | Feb. 03, 2024 | Jan. 28, 2023 | Jan. 29, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |||||||||||
Net sales | $ 1,794,828 | $ 1,397,777 | $ 1,583,077 | $ 1,383,609 | $ 1,746,503 | $ 1,493,925 | $ 1,686,915 | $ 1,467,730 | $ 6,159,291 | $ 6,395,073 | $ 6,773,128 |
Gross margin | 597,009 | 482,641 | 563,446 | 467,115 | 572,544 | 522,471 | 596,063 | 521,424 | 2,110,211 | 2,212,502 | 2,351,095 |
Operating income | 203,965 | 136,731 | 210,963 | 126,196 | 204,800 | 179,522 | 256,734 | 205,493 | 677,855 | 846,549 | 907,947 |
Net income | $ 168,167 | $ 99,978 | $ 157,075 | $ 93,970 | $ 157,653 | $ 131,741 | $ 188,801 | $ 149,806 | $ 519,190 | $ 628,001 | $ 671,381 |
Earnings per common share: | |||||||||||
BASIC (in dollars per share) | $ 2.27 | $ 1.34 | $ 2.06 | $ 1.22 | $ 2.03 | $ 1.67 | $ 2.28 | $ 1.73 | $ 6.89 | $ 7.70 | $ 7.38 |
DILUTED (in dollars per share) | $ 2.21 | $ 1.31 | $ 2.01 | $ 1.19 | $ 1.97 | $ 1.62 | $ 2.22 | $ 1.69 | $ 6.70 | $ 7.49 | $ 7.12 |
Weighted average common shares outstanding: | |||||||||||
BASIC (in shares) | 74,219 | 74,461 | 76,104 | 76,862 | 77,657 | 79,085 | 82,960 | 86,658 | 75,389 | 81,590 | 90,956 |
DILUTED (in shares) | 76,035 | 76,057 | 78,091 | 79,288 | 80,074 | 81,379 | 84,906 | 88,614 | 77,469 | 83,895 | 94,284 |
Gain from settlement | $ 15,900 | $ 3,700 | $ 3,700 | ||||||||
Business interruption proceeds | $ 7,200 | $ 7,200 |
Subsequent Events (Details)
Subsequent Events (Details) - USD ($) $ / shares in Units, $ in Millions | 12 Months Ended | |||
Mar. 08, 2024 | Mar. 07, 2024 | Feb. 03, 2024 | Jan. 28, 2023 | |
Subsequent Event [Line Items] | ||||
Cash dividend declared (in dollars per share) | $ 0.09 | $ 0.075 | ||
Subsequent Event | ||||
Subsequent Event [Line Items] | ||||
Cash dividend declared (in dollars per share) | $ 0.11 | |||
Subsequent Event | Secured Debt | 2020 Term Loan Facility | ||||
Subsequent Event [Line Items] | ||||
Aggregate principal amount | $ 100 | |||
Days prior to maturity threshold | 91 days |
Schedule II Valuation and Qua_2
Schedule II Valuation and Qualifying Accounts (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Feb. 03, 2024 | Jan. 28, 2023 | Jan. 29, 2022 | |
Allowance for doubtful accounts | |||
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward] | |||
Balance at beginning of period | $ 2,004 | $ 732 | $ 1,172 |
Charged to costs and expenses | 1,107 | 1,426 | 74 |
Deductions | (894) | (154) | (514) |
Balance at end of period | 2,217 | 2,004 | 732 |
Sales return allowance | |||
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward] | |||
Balance at beginning of period | 6,100 | 6,200 | 5,800 |
Charged to costs and expenses | 11,200 | 11,900 | 13,200 |
Deductions | (10,900) | (12,000) | (12,800) |
Balance at end of period | 6,400 | 6,100 | 6,200 |
Inventory shrink adjustments | |||
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward] | |||
Balance at beginning of period | 4,960 | 11,696 | 8,504 |
Charged to costs and expenses | 99,444 | 79,150 | 74,441 |
Deductions | (92,582) | (85,886) | (71,249) |
Balance at end of period | 11,822 | 4,960 | 11,696 |
Self-insurance reserves | |||
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward] | |||
Balance at beginning of period | 30,170 | 24,509 | 22,065 |
Charged to costs and expenses | 70,509 | 74,292 | 72,313 |
Deductions | (75,669) | (68,631) | (69,869) |
Balance at end of period | $ 25,010 | $ 30,170 | $ 24,509 |