JOANN (JOAN) 10-Q 31 Aug 23 2024 Q2 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	6 Months Ended
	Jul. 29, 2023	Aug. 28, 2023
Cover [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Jul. 29, 2023
Document Fiscal Year Focus	2024
Document Fiscal Period Focus	Q2
Current Fiscal Year End Date	--02-03
Trading Symbol	JOAN
Entity Registrant Name	JOANN Inc.
Entity Central Index Key	0001834585
Document Quarterly Report	true
Document Transition Report	false
Entity File Number	001-40204
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	46-1095540
Entity Address, Address Line One	5555 Darrow Road
Entity Address, City or Town	Hudson
Entity Address, State or Province	OH
Entity Address, Postal Zip Code	44236
City Area Code	330
Local Phone Number	656-2600
Title of 12(b) Security	Common stock, par value $0.01 per share
Security Exchange Name	NASDAQ
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		41,905,770

Consolidated Balance Sheets

Consolidated Balance Sheets - USD ($) $ in Millions	Jul. 29, 2023	Jan. 28, 2023	Jul. 30, 2022
Current assets:
Cash and cash equivalents	$ 19.1	$ 20.2	$ 21.5
Inventories	642	584.1	749.9
Prepaid expenses and other current assets	62.6	38.6	78.5
Total current assets	723.7	642.9	849.9
Property, equipment and leasehold improvements, net	282.1	287.8	285.5
Operating lease assets	780.2	778.4	835
Goodwill, net	162	162	162
Intangible assets, net	267.8	272.1	371.5
Other assets	44.4	37.6	27.5
Total assets	2,260.2	2,180.8	2,531.4
Current liabilities:
Accounts payable	261.7	197.5	272.3
Accrued expenses	122.8	119.2	140.4
Current portion of operating lease liabilities	172	177.5	159
Current portion of long-term debt	6.8	6.8	6.8
Total current liabilities	563.3	501	578.5
Long-term debt, net	1,094.7	976	1,012.1
Long-term operating lease liabilities	714.8	707.3	771.3
Long-term deferred income taxes	20.4	16.9	86.8
Other long-term liabilities	29.2	28.7	31.5
Shareholders' equity (deficit):
Common stock, stated value $0.01 per share; 200.0 million authorized; issued 44.1 million shares at july 29, 2023, july 30, 2022 and January 28, 2023	0.4	0.4	0.4
Additional paid-in capital	207.6	208	204.5
Retained (deficit)	(366.7)	(239.2)	(126)
Accumulated other comprehensive income	15.5	8.3	1.1
Treasury stock at cost; 2.2 million shares at july 29, 2023, 3.3 million shares at july 30, 2022 and 3.0 million shares at January 28, 2023	(19)	(26.6)	(28.8)
Total shareholders' equity (deficit)	(162.2)	(49.1)	51.2
Total liabilities and shareholders' equity (deficit)	$ 2,260.2	$ 2,180.8	$ 2,531.4

Consolidated Balance Sheets (Pa

Consolidated Balance Sheets (Parenthetical) - $ / shares	Jul. 29, 2023	Jan. 28, 2023	Jul. 30, 2022
Statement of Financial Position [Abstract]
Common stock, stated value	$ 0.01	$ 0.01	$ 0.01
Common stock, shares authorized	200,000,000	200,000,000	200,000,000
Common stock, shares issued	44,100,000	44,100,000	44,100,000
Treasury stock shares	2,200,000	3,000,000	3,300,000

Consolidated Statements of Comp

Consolidated Statements of Comprehensive Income (Loss) - USD ($) shares in Millions, $ in Millions	3 Months Ended		6 Months Ended
	Jul. 29, 2023	Jul. 30, 2022	Jul. 29, 2023	Jul. 30, 2022
Income Statement [Abstract]
Net sales	$ 453.8	$ 463.3	$ 931.9	$ 961.3
Cost of sales	221.8	248.4	450.9	505.7
Selling, general and administrative expenses	269.9	258.5	532.8	517.6
Depreciation and amortization	18.9	19.9	39.2	40
Operating (loss)	(56.8)	(63.5)	(91)	(102)
Interest expense, net	26.8	13.2	52.1	24.4
Investment remeasurement	0	0	0	1
(Loss) before income taxes	(83.6)	(76.7)	(143.1)	(127.4)
Income tax (benefit)	(11.5)	(19.8)	(19.3)	(35.4)
Loss from equity method investments	1.2	0	3.7	0
Net (loss)	(73.3)	(56.9)	(127.5)	(92)
Other comprehensive income (loss):
Cash flow hedges	8.6	(5.6)	9.7	(0.9)
Income tax benefit (provision) on cash flow hedges	(2.2)	1.4	(2.5)	0.2
Other comprehensive income (loss)	6.4	(4.2)	7.2	(0.7)
Comprehensive (loss)	$ (66.9)	$ (61.1)	$ (120.3)	$ (92.7)
(Loss) per common share:
Basic	$ (1.76)	$ (1.4)	$ (3.07)	$ (2.26)
Diluted	$ (1.76)	$ (1.4)	$ (3.07)	$ (2.26)
Weighted-average common shares outstanding:
Basic	41.7	40.7	41.5	40.7
Diluted	41.7	40.7	41.5	40.7

Consolidated Statements of Cash

Consolidated Statements of Cash Flows - USD ($) $ in Millions	6 Months Ended
	Jul. 29, 2023	Jul. 30, 2022
Net cash provided by (used for) operating activities:
Net (loss)	$ (127.5)	$ (92)
Adjustments to reconcile net (loss) to net cash (used for) operating activities:
Non-cash operating lease expense	87	84.7
Depreciation and amortization	39.2	40
Deferred income taxes	1.1	(0.6)
Stock-based compensation expense	6.8	2.2
Amortization of deferred financing costs and original issue discount	1.6	1
Investment remeasurement	0	1
Loss on disposal and impairment of fixed assets	1.2	0.2
Loss on equity method investment	3.7	0
Changes in operating assets and liabilities:
(Increase) in inventories	(57.9)	(91.3)
(Increase) in prepaid expenses and other current assets	(16.8)	(39.2)
Increase in accounts payable	64.2	18.5
Increase (decrease) in accrued expenses	7.3	(6.4)
(Decrease) in operating lease liabilities	(86.8)	(78.2)
Increase (decrease) in other long-term liabilities	0.3	(9.9)
Other, net	(5.7)	3.9
Net cash (used for) operating activities	(82.3)	(166.1)
Net cash (used for) investing activities:
Capital expenditures	(29.4)	(50.7)
Other investing activities	(1.6)	(4.3)
Net cash (used for) investing activities	(31)	(55)
Net cash provided by (used for) financing activities:
Term loan payments	(3.4)	(5.1)
FILO proceeds	97	0
Borrowings on revolving credit facility	311.2	360.2
Payments on revolving credit facility	(283.2)	(122.2)
Principal payments on finance lease obligations	(4.6)	(4.9)
Proceeds from employee stock purchase plan and exercise of stock options	0.5	1.1
Payments of taxes related to the net issuance of team member stock awards	(0.1)	(0.1)
Dividends paid	0	(8.9)
Financing fees paid	(5.2)	0
Net cash provided by financing activities	112.2	220.1
Net (decrease) in cash and cash equivalents	(1.1)	(1)
Cash and cash equivalents at beginning of period	20.2	22.5
Cash and cash equivalents at end of period	19.1	21.5
Cash paid (received) during the period for:
Interest	48.7	22.7
Income taxes, net of (refunds)	$ (2.3)	$ 0.3

Consolidated Statements of Shar

Consolidated Statements of Shareholders' Equity - USD ($) $ in Millions	Total	Common Stock	Additional Paid-In Capital	Treasury Stock	Retained (Deficit)	Accumulated Other Comprehensive Income (Loss)
Balance at Jan. 29, 2022	$ 149.8	$ 0.4	$ 203.3	$ (30.8)	$ (24.9)	$ 1.8
Balance,Shares at Jan. 29, 2022		40,600,000		3,500,000
Net (loss)	(35.1)				(35.1)
Other comprehensive income (loss)	3.5					3.5
Dividends	(4.5)				(4.5)
Stock-based compensation	1		1
Exercise of stock options	0.4		0.1	$ 0.3
Vesting of restricted stock units	(0.1)		(0.7)	$ 0.6
Vesting of restricted stock units, Shares		100,000		100,000
Balance at Apr. 30, 2022	115	$ 0.4	203.7	$ (29.9)	(64.5)	5.3
Balance,Shares at Apr. 30, 2022		40,700,000		3,400,000
Balance at Jan. 29, 2022	149.8	$ 0.4	203.3	$ (30.8)	(24.9)	1.8
Balance,Shares at Jan. 29, 2022		40,600,000		3,500,000
Net (loss)	(92)
Balance at Jul. 30, 2022	51.2	$ 0.4	204.5	$ (28.8)	(126)	1.1
Balance,Shares at Jul. 30, 2022		40.8		3.3
Balance at Apr. 30, 2022	115	$ 0.4	203.7	$ (29.9)	(64.5)	5.3
Balance,Shares at Apr. 30, 2022		40,700,000		3,400,000
Net (loss)	(56.9)				(56.9)
Other comprehensive income (loss)	4.2					4.2
Dividends	(4.6)				4.6
Stock-based compensation	1.2		1.2
Vesting of restricted stock units			(0.2)	$ 0.2
Employee stock purchase plan purchases	0.7		(0.2)	$ 0.9
Employee stock purchase plan purchases, Shares		0.1		(0.1)
Balance at Jul. 30, 2022	51.2	$ 0.4	204.5	$ (28.8)	(126)	1.1
Balance,Shares at Jul. 30, 2022		40.8		3.3
Balance at Jan. 28, 2023	(49.1)	$ 0.4	208	$ (26.6)	(239.2)	8.3
Balance,Shares at Jan. 28, 2023		41,100,000		3,000,000
Net (loss)	(54.2)				(54.2)
Other comprehensive income (loss)	0.8					0.8
Stock-based compensation	5.3		5.3
Exercise of stock options			(0.4)	$ 0.4
Vesting of restricted stock units	(0.1)		0.9	$ 0.8
Vesting of restricted stock units, Shares		0.1		0.1
Balance at Apr. 29, 2023	(97.3)	$ 0.4	212	$ (25.4)	(293.4)	9.1
Balance,Shares at Apr. 29, 2023		41,200,000		2,900,000
Balance at Jan. 28, 2023	(49.1)	$ 0.4	208	$ (26.6)	(239.2)	8.3
Balance,Shares at Jan. 28, 2023		41,100,000		3,000,000
Net (loss)	(127.5)
Balance at Jul. 29, 2023	(162.2)	$ 0.4	207.6	$ (19)	(366.7)	15.5
Balance,Shares at Jul. 29, 2023		41.9		2.2
Balance at Apr. 29, 2023	(97.3)	$ 0.4	212	$ (25.4)	(293.4)	9.1
Balance,Shares at Apr. 29, 2023		41,200,000		2,900,000
Net (loss)	(73.3)				(73.3)
Other comprehensive income (loss)	(6.4)					(6.4)
Stock-based compensation	1.5		1.5
Vesting of restricted stock units			(0.9)	$ 0.9
Vesting of restricted stock units, Shares		0.1		(0.1)
Employee stock purchase plan purchases	0.5		(5)	$ 5.5
Employee stock purchase plan purchases, Shares		0.6		(0.6)
Balance at Jul. 29, 2023	$ (162.2)	$ 0.4	$ 207.6	$ (19)	$ (366.7)	$ 15.5
Balance,Shares at Jul. 29, 2023		41.9		2.2

Consolidated Statements of Sh_2

Consolidated Statements of Shareholders' Equity (Parenthetical) - $ / shares	3 Months Ended
	Jul. 30, 2022	Apr. 30, 2022
Statement of Stockholders' Equity [Abstract]
Dividends per share	$ 0.1	$ 0.11

Significant Accounting Policies

Significant Accounting Policies	6 Months Ended
	Jul. 29, 2023
Accounting Policies [Abstract]
Significant Accounting Policies	Note 1—Significant Accounting Policies Nature of Operations JOANN (as defined below) is the nation’s category leader in sewing and fabrics (collectively, “Sewing”), with one of the largest assortments of arts and crafts products. As a well-established and trusted brand for 80 years, the Company believes it has a deep understanding of its customers, what inspires their creativity and what fuels their incredibly diverse projects. In order to best serve its customers, JOANN has transformed itself into a fully-integrated, digitally-connected omni-channel retailer that provides Creative Products to its customers whenever and however they want. As of July 29, 2023, the Company operated 829 store locations in 49 states. Basis of Presentation The accompanying Consolidated Financial Statements and these notes are unaudited and have been prepared in accordance with the rules and regulations of the Securities and Exchange Commission (“SEC”) for interim financial information. The Consolidated Financial Statements reflect all normal, recurring adjustments which management believes are necessary to present fairly the Company’s financial condition, results of operations and cash flows for all periods presented. The Consolidated Financial Statements, however, do not include all information necessary for a complete presentation of financial condition, results of operations and cash flows in conformity with accounting principles generally accepted in the United States of America (“GAAP”). The accompanying Consolidated Financial Statements and these notes should be read in conjunction with the Company’s Annual Report on Form 10-K for the fiscal year ended January 28, 2023. Consolidation The Consolidated Financial Statements include the accounts of JOANN Inc. (the “Holding Company”), Needle Holdings LLC (“Needle Holdings”) and Jo-Ann Stores, LLC and its wholly-owned subsidiaries (collectively, “JOANN”). All of the entities referenced in the prior sentence hereinafter will be referred to collectively as the “Company” and are all controlled by affiliates of LGP. All intercompany accounts and transactions have been eliminated upon consolidation. The Holding Company has no operating activities and is limited to the issuance of shares of common stock and stock-based awards, the repurchase of common shares, the issuance and repurchase of debt, the receipt and payment of dividends or distributions and the payment of interest expense. The authorized, issued and outstanding common shares and treasury shares shown on the Consolidated Balance Sheets are of the Holding Company. Likewise, Needle Holdings has no operating activities and is limited to the issuance of initial shares of common stock and stock-based awards and the payment of dividends or distributions. Fiscal Periods The Company’s fiscal year ends on the Saturday closest to January 31 and refers to the year in which the period ends (e.g., fiscal 2023 refers to the fiscal year ending January 28, 2023). Fiscal years consist of 52 weeks, unless noted otherwise. Fiscal 2024 consists of 53 weeks and ends February 3, 2024. The fiscal quarters ended July 29, 2023 and July 30, 2022 were both comprised of 13 weeks. Seasonality Typical of most retail companies, the Company’s business is seasonal, with the majority of revenues and operating profits generated in the second half of the fiscal year. Accordingly, earnings or losses for a particular interim period are not necessarily indicative of full-year results. Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Since actual results may differ from those estimates, the Company revises its estimates and assumptions as new information becomes available. Recently Adopted Accounting Guidance In December 2022, the Financial Accounting Standards Board issued Accounting Standards Update (“ASU”) 2022-06, Reference Rate Reform (Topic 848): Deferral of the Sunset Date of Topic 848. This ASU defers the sunset date of Topic 848 (ASU 2020-04) from December 31, 2022 to December 31, 2024, after which entities will no longer be permitted to apply the relief in Topic 848. Topic 848 provides optional guidance for a limited period of time to ease the potential burden in accounting for (or recognizing the effects of) reference rate reform on financial reporting and, particularly, the risk of cessation of the London Interbank Offered Rate (“LIBOR”). The amendments in this ASU are elective and apply to all entities, subject to meeting certain criteria, that have contracts, hedging relationships, and transactions that reference LIBOR or another reference rate expected to be discontinued because of reference rate reform. These amendments were effective upon issuance and may be applied prospectively to contract modifications made and hedging relationships entered into or evaluated on or before December 31, 2024. In May 2023, the Company entered into the Amendment No. 3 (“Amendment No. 3”) to the credit agreement, dated as of October 21, 2016, which replaced LIBOR as the benchmark rate with the Term Secured Overnight Financing Rate (“SOFR”) as administered by the Federal Reserve Bank of New York. See Note 2 for further discussion regarding our Term Loan due 2028 (as defined below). In June 2023, the Company entered into an amended and restated agreement for each of its interest rate swap agreements with U.S. Bank N.A., each of which replaced LIBOR as the benchmark rate with SOFR, as administered by CME Group Benchmark Administration, Ltd. See Note 3 for further discussion regarding the Company's interest rate swaps. In connection with these amendments, the Company adopted the above standard in the second quarter of fiscal 2024 and elected the optional expedients. The Company concluded that neither the modifications to the Term Loan due 2028 nor the interest rate swaps are substantial, and this adoption did not have a material impact on its consolidated financial statements. Recently Issued Accounting Guidance There are no recently issued accounting pronouncements that the Company has not yet adopted which would have a material impact on the Consolidated Financial Statements. Related Party Transactions During the thirteen and twenty-six weeks ended July 30, 2022, the Company paid dividends of $ 3.1 million and $ 6.1 million, respectively, to LGP as part of the Company's quarterly dividend payments. The Company did not pay any dividends during the first half of fiscal 2024.

Financing

Financing	6 Months Ended
	Jul. 29, 2023
Debt Disclosure [Abstract]
Financing	Note 2—Financing Long-term debt consisted of the following: July 29, July 30, January 28, (In millions) ABL Facility $ 352.0 $ 359.0 $ 324.0 Term Loan due 2028 663.2 668.3 666.6 FILO Loan 100.0 — — Total debt 1,115.2 1,027.3 990.6 Less unamortized discount and debt costs ( 13.7 ) ( 8.4 ) ( 7.8 ) Total debt, net 1,101.5 1,018.9 982.8 Less current portion of debt ( 6.8 ) ( 6.8 ) ( 6.8 ) Long-term debt, net $ 1,094.7 $ 1,012.1 $ 976.0 ABL Facility On October 21, 2016 , the Company entered into a senior secured asset based revolving credit facility (as amended from time to time, the "ABL Facility"), which originally provided for senior secured financing of up to $ 400.0 million, subject to a borrowing base, maturing on October 20, 2021 . On November 25, 2020, the Company entered into an agreement to amend various terms of the ABL Facility, which provided for senior secured financing of up to $ 500.0 million, subject to a borrowing base, maturing on November 25, 2025 . On December 22, 2021, the Company entered into an agreement to amend various terms of the ABL Facility, which provides for senior secured financing of up to $ 500.0 million, subject to a borrowing base, maturing on December 22, 2026 . No changes were made to the borrowing base formula. The ABL Facility is secured by a first priority security interest in JOANN’s inventory, accounts receivable and related assets with a second priority interest in all other assets, excluding real estate. It also continues to be guaranteed by existing and future wholly-owned subsidiaries of JOANN, subject to certain exceptions. As further described under FILO Loans below, on March 10, 2023, the Company entered into a third amendment to the ABL Facility (the “Third Amendment"). As amended by the Third Amendment, the ABL Facility base rate loans bear an additional margin of 1.00 % when average historical excess capacity is less than 33.33 % of the maximum credit, 0.75 % when average historical excess capacity is greater than 33.33 % but less than 66.67 % of the maximum credit, and 0.50 % when average historical excess capacity is greater than or equal to 66.67 % of the maximum credit. Prior to March 10, 2023, under the ABL Facility, the base rate loans bore an additional margin of 0.50 % when average historical excess capacity is less than 40.00 % of the maximum credit and 0.25 % when average historical excess capacity is greater than or equal to 40.00 % of the maximum credit. The Third Amendment also replaced LIBOR as the interest rate benchmark under the credit agreement with the forward-looking term rate based on SOFR. SOFR loans, previously Eurodollar rate loans, bear an additional margin of 2.00 % when average historical excess capacity is less than 33.33 % of the maximum credit, 1.75 % when average historical excess capacity is greater than 33.33 % but less than 66.67 % of the maximum credit, and 1.50 % when average historical excess capacity is greater than or equal to 66.67 % of the maximum credit. Eurodollar rate loans bore an additional margin of 1.50 % when average historical excess capacity is less than 40.00 % of the maximum credit and 1.25 % when average historical excess capacity is greater than or equal to 40.00 % of the maximum credit. Unused commitment fees on the ABL Facility are calculated based on a rate of 0.20 % per annum. During the first quarter of fiscal 2024, LIBOR ceased to be the interest rate benchmark and SOFR became the LIBOR successor rate. The Company has the option to request an increase in the size of the ABL Facility up to $ 150.0 million (for a total facility of $ 650.0 million) in increments of not less than $ 20.0 million, provided that no default exists or would arise from the increase. However, the lenders under the ABL Facility are under no obligation to provide any such additional amounts. As of July 29, 2023, there were $ 352.0 million of borrowings on the ABL Facility, and the Company’s outstanding letters of credit obligation was $ 18.4 million. As of July 29, 2023, the Company’s excess availability on the ABL Facility was $ 58.4 million. During the second quarter of fiscal 2024, the weighted average interest rate for borrowings under the ABL Facility w as 7.41 %, compared to 2.55 % for the second quarter of fiscal 2023. As of July 30, 2022, the Company had $ 359.0 million of borrowings on the ABL Facility, and the Company’s outstanding letters of credit obligation was $ 16.5 million. As of July 30, 2022 , the Company’s excess availability on the ABL Facility was $ 89.7 million. FILO Loans On March 10, 2023 (the “Closing Date”), the Company entered into the Third Amendment to the ABL Facility. The Third Amendment, among other things, adds a series of first-in last-out loans (the “FILO Loans”) in an aggregate amount of $ 100.0 million, the full amount of which was drawn on the Closing Date and a portion of which proceeds were used, among other things, to refinance a portion of the revolving loans drawn and outstanding under the ABL Facility immediately prior to the Closing Date. The FILO Loans are secured by a subordinate priority security to the ABL Facility interest in JOANN’s inventory, accounts receivable and related assets with a second priority interest in all other assets, excluding real estate. The FILO Loans are guaranteed by existing and future wholly-owned subsidiaries of JOANN, subject to certain exceptions. The FILO Loans and the revolving commitments under the credit agreement (the “Revolving Commitments”) mature on December 22, 2026. The FILO Loans will not amortize. The FILO Loans are SOFR loans (as defined in the Third Amendment), that bear monthly interest at an annual rate of 9.75% with one 100 basis point stepdown based on minimum Consolidated EBITDA (as defined in the Third Amendment) and are subject to a SOFR floor of 1.50% . The Third Amendment also amends the credit agreement to (i) include certain trade receivables in the borrowing base, (ii) provide that loans drawn pursuant to the Revolving Commitments may be made at JOANN’s election as base rate loans or SOFR loans and (iii) increases the applicable margin for SOFR loans to 2.00% with two twenty-five basis point step-downs based on excess availabilit y. Revolving loans made in SOFR are subject to a credit spread adjustment of 0.10 % and a floor of 0.00 %. Other than the changes described above, all other material provisions of the credit agreement remain unchanged and as previously disclosed. During the second quarter of fiscal 2024, the weighted average interest rate for borrowings under the FILO Loans due 2026 was 15.04 %. Term Loan Due 2028 On July 7, 2021, the Company entered into the Amendment No. 2 (“Amendment No. 2”) to the credit agreement, dated as of October 21, 2016. Amendment No. 2, among other things, provided for a new $ 675 million incremental first-lien term loan credit facility with a maturity date of July 7, 2028 (the “Term Loan due 2028”). The Term Loan due 2028 was issued at 99.5 % of face value and was used to refinance the Company’s outstanding first-lien term loan credit facility due 2023, as well as to reduce amounts borrowed under the ABL Facility and pay related fees and expenses. Amendment No. 2 reduced the applicable interest rates for Eurodollar rate loans and base rate loans from 5.00 % and 4.00 % to 4.75 % and 3.75 %, respectively, and reduced the LIBOR floor from 1.00 % to 0.75 %. In May 2023, Amendment No. 3 replaced the LIBOR reference rate with SOFR. Other than the changes described above, all other material provisions of the credit agreement remain unchanged. During the second quarter of fiscal 2024, the weighted average interest rate for borrowings under the Term Loan due 2028 was 10.17 % compared to 6.13 % during the second quarter of fiscal 2023 . Covenants The covenants contained in the credit agreements restrict JOANN’s ability to pay dividends or make other distributions; accordingly, any dividends may only be paid in accordance with such covenants. Among other restrictions, the credit agreements permit the public parent company to pay dividends on its common stock in amounts not to exceed the greater of 6 % per annum of the net proceeds received by, or contributed to Jo-Ann Stores, LLC from any such public offering of common stock of Jo-Ann Stores, LLC or its direct or indirect parent company, or 7 % of Market Capitalization (as defined in the credit agreements). So long as there is no event of default, the credit agreements also allow dividends in amounts up to $ 100 million, which amount can increase if certain other conditions are satisfied, including if JOANN’s leverage does not exceed certain thresholds. Additionally, the ABL Facility allows for unlimited dividends, so long as there is no event of default and the Company’s excess availability after giving pro forma effect for the thirty-day period immediately preceding such payment shall be greater than (a) the greater of 12.5 % of the maximum credit and $ 40 million and the consolidated fixed charge coverage ratio shall be greater than or equal to 1.0 to 1.0 or (b) 17.5 % of the maximum credit calculated. At July 29, 2023, the Company was in compliance with all covenants under its credit agreements. For further details on the Company’s debt, see Note 2 to the Consolidated Financial Statements in the Company’s Annual Report on Form 10-K for the year ended January 28, 2023 .

Derivative Instruments

Derivative Instruments	6 Months Ended
	Jul. 29, 2023
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Derivative Instruments	Note 3—Derivative Instruments The Company is exposed to certain market risks during the normal course of its business arising from adverse changes in interest rates. The Company’s exposure to interest rate risk results primarily from its variable-rate borrowings. The Company may selectively use derivative financial instruments to manage the risks from fluctuations in interest rates. The Company does not purchase or hold derivatives for trading or speculative purposes. Fluctuations in interest rates can be volatile, and the Company’s risk management activities do not totally eliminate these risks. Consequently, these fluctuations could have a significant effect on the Company’s financial results. Interest Rate Swaps In August 2021, the Company entered into an interest rate swap agreement with U.S. Bank N.A., which has a $ 200 million notional value with an effective date of October 26, 2023 and a maturity date of October 26, 2025 . Beginning in January 2024, the Company receives 1-month, 3-month or 6-month LIBOR, at the Company's election, subject to a 0.75 % floor, and pays a fixed rate of interest of 1.44 % per annum on a quarterly basis. In connection with the execution of the interest rate swap agreement, no cash was exchanged between the Company and the counterparty. In June 2023, an amendment replaced LIBOR as the floating rate option under the swap agreement with the forward-looking term rate based on SOFR. The fair value of the interest rate swap as of July 29, 2023 was $ 12.6 million. In May 2022, the Company entered into a second interest rate swap agreement with U.S. Bank N.A., which has a $ 250 million notional value with an effective date of July 26, 2023 and a maturity date of January 26, 2026 . Beginning in October 2023, the Company receives 1-month, 3-month or 6-month LIBOR, at the Company's election, subject to a 0.75 % floor, and pays a fixed rate of interest of 3.37 % per annum on a quarterly basis. In connection with the execution of the interest rate swap agreement, no cash was exchanged between the Company and the counterparty. In June 2023, an amendment replaced LIBOR as the floating rate option under the swap agreement with the forward-looking term rate based on SOFR. The fair value of the interest rate swap as of July 29, 2023 was $ 8.2 million. All of the Company's derivative financial instruments are eligible for netting arrangements that allow the Company and its counterparties to net settle amounts owed to each other. Derivative assets and liabilities that can be net settled under these arrangements have been presented in the Company's Consolidated Balance Sheet on a net basis. As of July 29, 2023, none of the netting arrangements involved collateral. The net fair value of the interest rate swaps as of July 29, 2023 was $ 20.8 million. The Company designated its interest rate swaps as cash flow hedges and structured them to be highly effective. Unrealized gains and losses related to the fair value of the interest rate swaps are recorded to accumulated other comprehensive income (loss), net of tax. In the event of early termination of the interest rate swaps, the Company will receive from or pay to the counterparty the fair value of the interest rate swap agreements, and the unrealized gain or loss outstanding will be recognized in earnings. The impacts of the Company’s derivative instruments on the accompanying Consolidated Statements of Comprehensive Income (Loss) for the thirteen and twenty-six weeks ended July 29, 2023 and July 30, 2022 are presented in the table below: Thirteen Weeks Ended Twenty-Six Weeks Ended July 29, July 30, July 29, July 30, (In millions) Interest rate swap - $200M notional amount $ 3.7 $ ( 2.4 ) $ 4.1 $ 2.3 Interest rate swap - $250M notional amount 4.9 ( 3.2 ) 5.6 ( 3.2 ) Gain (loss) recognized in other comprehensive income (loss), gross of income taxes $ 8.6 $ ( 5.6 ) $ 9.7 $ ( 0.9 )

Fair Value Measurements

Fair Value Measurements	6 Months Ended
	Jul. 29, 2023
Fair Value Disclosures [Abstract]
Fair Value Measurements	Note 4—Fair Value Measurements Fair value is defined as an exit price, representing the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants. As such, fair value is a market-based measurement that should be determined based on assumptions that market participants would use in pricing an asset or liability. As a basis for considering such assumptions, a fair value hierarchy has been established that prioritizes the inputs used to measure fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurement) and the lowest priority to unobservable inputs (Level 3 measurement). The three levels of the fair value hierarchy are as follows: Level 1 – Quoted prices in active markets for identical assets or liabilities; Level 2 – Quoted prices for similar instruments in active markets; quoted prices for identical or similar instruments in markets that are not active; and model-derived valuations whose significant inputs are observable; and Level 3 – Unobservable inputs in which there is little or no market data which require the reporting entity to develop its own assumptions. The valuations of the Company's interest rate derivatives are measured as the present value of all expected future cash flows based on SOFR-based yield curves. The present value calculation uses discount rates that have been adjusted to reflect the credit quality of the Company and its counterparty which is a Level 2 fair value measurement. The carrying and fair value of the Company’s interest rate derivatives were as follows: Instrument Balance Sheet Location July 29, July 30, (In millions) Interest rate swaps - current Prepaid expenses and other current assets $ 11.0 $ — Interest rate swaps - long-term Other assets $ 9.8 $ 1.5 The fair values of cash and cash equivalents, accounts payable and borrowings on the Company’s ABL Facility approximated their carrying values because of the short-term nature of these instruments. If these instruments were measured at fair value in the financial statements, they would be classified as Level 1 in the fair value hierarchy. Long-term debt is presented at carrying value in the Company’s Consolidated Balance Sheets. The fair value of the Company’s Term Loan due 2028 was determined based on quoted market prices or recent trades of this debt instrument in less active markets. If the Company’s long-term debt was recorded at fair value, it would be classified as Level 2 in the fair value hierarchy. The following provides the carrying and fair value of the Company’s Term Loan due 2028 as of July 29, 2023 and July 30, 2022: July 29, 2023 July 30, 2022 Carrying Fair Carrying Fair (In millions) Term Loan due 2028 (a) $ 655.9 $ 323.9 $ 659.9 $ 437.9 (a) Net of deferred financing costs and original issue discount. Certain assets and liabilities are measured at fair value on a nonrecurring basis; that is, the assets and liabilities are not measured at fair value on an ongoing basis but are subject to fair value adjustments in certain circumstances (e.g., when there is evidence of impairment). The fair values are determined based on either a market approach, an income approach, in which the Company utilizes internal cash flow projections over the life of the underlying assets discounted using a discount rate that is considered to be commensurate with the risk inherent in the Company’s current business model, or a combination of both. These measures of fair value and related inputs are considered a Level 3 approach under the fair value hierarchy. The Company uses the end of the period when determining the timing of transfers between levels. There were no transfers between levels during the periods presented.

Goodwill and Other Intangible A

Goodwill and Other Intangible Assets	6 Months Ended
	Jul. 29, 2023
Goodwill and Intangible Assets Disclosure [Abstract]
Goodwill and Other Intangible Assets	Note 5—Goodwill and Other Intangible Assets The carrying amount of goodwill at July 29, 2023 and July 30, 2022 was as follows: July 29, July 30, (In millions) Goodwill, gross $ 643.8 $ 643.8 Accumulated impairment ( 481.8 ) ( 481.8 ) Goodwill, net $ 162.0 $ 162.0 The carrying amount and accumulated amortization of identifiable intangible assets at July 29, 2023 and July 30, 2022 was as follows: July 29, 2023 July 30, 2022 Estimated Gross Accumulated Gross Accumulated (In millions) Indefinite-lived intangible assets: JOANN trade name — $ 230.0 $ 325.0 $ — Joann.com domain name — 10.0 10.0 — Intangible assets subject to amortization: Creativebug trade name 10 0.1 ( 0.1 ) 0.1 ( 0.1 ) Technology 3 5.3 ( 2.5 ) 5.3 ( 0.7 ) Customer relationships 16 110.0 ( 85.0 ) 110.0 ( 78.1 ) Total intangible assets $ 355.4 $ ( 87.6 ) $ 450.4 $ ( 78.9 ) The Company recognized intangible asset amortization of $ 2.2 million and $ 4.3 million for the thirteen and twenty-six weeks ended July 29, 2023, respectively. The Company recognized intangible asset amortization of $ 2.2 million and $ 4.2 million for the thirteen and twenty-six weeks ended July 30, 2022, respectively. The weighted average amortization period of amortizable intangible assets as of July 29, 2023 approximated 3.4 years.

Income Taxes

Income Taxes	6 Months Ended
	Jul. 29, 2023
Income Tax Disclosure [Abstract]
Income Taxes	Note 6—Income Taxes Effective Tax Rate The effective income tax rate for the second quarter of fiscal 2024 was 13.8 %, an income tax benefit on a pre-tax book loss, compared to the rate for the second quarter of fiscal 2023, which was 25.8 %, also an income tax benefit on a pre-tax book loss. The effective income tax rate for the first half of fiscal 2024 was 13.5 %, an income tax benefit on a pre-tax book loss, compared to 27.8 %, also an income tax benefit on a pre-tax book loss, for the first half of fiscal 2023. The effective tax rate decreased from the second quarter of fiscal 2023 to the second quarter of fiscal 2024 and from the first half of fiscal 2023 to the first half of fiscal 2024 primarily because the Company continues to anticipate, beginning with the first quarter of fiscal 2024, the need to record a valuation allowance for the full year against a significant portion of the Company’s current year deferred tax asset relating to the future carryover of disallowed interest expense deductions for federal and state income tax purposes under Section 163(j) of the Internal Revenue Code of 1986, as amended (the "Code"), along with related state law. As the anticipated additional valuation allowance is included in the Company’s annual estimated effective tax rate, a portion of the unfavorable valuation allowance impact is included in the net income tax benefit recorded during both the second quarter and first half of fiscal 2024. The effective tax rate is subject to change based on the mix of income from different state jurisdictions, which have different tax rates, as well as the change in status or outcome of uncertain tax positions. The Company evaluates its effective tax rate on a quarterly basis and updates its estimate of the full-year effective rate as necessary. Reserves for Uncertain Tax Positions At the end of the second quarter of fiscal 2024, unrecognized tax benefits were $ 1.0 million, of which $ 0.8 million would affect the effective tax rate, if recognized. The Company records interest and penalties on uncertain tax positions as a component of the income tax provision. The total amount of interest and penalties accrued at the end of the second quarter of both fiscal 2024 and fiscal 2023 was $ 0.1 million. Within the next 12 months, it is reasonably possible that uncertain tax positions could be reduced by approximately $ 0.1 million resulting from resolution or closure of tax examinations. Any increase in the amount of uncertain tax positions within the next 12 months is expected to be insignificant.

Earnings Per Share

Earnings Per Share	6 Months Ended
	Jul. 29, 2023
Earnings Per Share [Abstract]
Earnings (Loss) Per Share	Note 7—Loss Per Share Basic earnings (loss) per share is computed by dividing net income (loss) by the weighted-average number of common shares outstanding. Diluted earnings (loss) per share is computed based upon the weighted-average number of common shares outstanding plus the dilutive effect of common share equivalents calculated using the treasury stock method. Treasury stock is excluded from the denominator in calculating both basic and diluted earnings (loss) per share. In periods in which a net loss has occurred, as is the case for fiscal 2024, the dilutive effect of equity-based awards is not recognized and thus not utilized in the calculation of diluted loss per share, because the effect of their inclusion would have been anti-dilutive. The following table sets forth the reconciliation of the numerator and the denominator of basic and diluted loss per share and the stock-based awards excluded from the calculation of diluted loss per share because their effect would have been antidilutive for the thirteen and twenty-six weeks ended July 29, 2023 and July 30, 2022: Thirteen Weeks Ended Twenty-Six Weeks Ended July 29, July 30, July 29, July 30, (In millions except per share data) Net (loss) $ ( 73.3 ) $ ( 56.9 ) $ ( 127.5 ) $ ( 92.0 ) Weighted-average common shares outstanding – basic 41.7 40.7 41.5 40.7 Effect of dilutive stock-based awards — — — — Weighted-average common shares outstanding – diluted 41.7 40.7 41.5 40.7 Basic (loss) per common share $ ( 1.76 ) $ ( 1.40 ) $ ( 3.07 ) $ ( 2.26 ) Diluted (loss) per common share $ ( 1.76 ) $ ( 1.40 ) $ ( 3.07 ) $ ( 2.26 ) Antidilutive stock-based awards excluded from diluted calculation 9.3 4.5 8.6 4.4

Segments and Disaggregated Reve

Segments and Disaggregated Revenue	6 Months Ended
	Jul. 29, 2023
Segment Reporting [Abstract]
Segments and Disaggregated Revenue	Note 8—Segments and Disaggregated Revenue The Company conducts its business activities and reports financial results as one operating segment and one reportable segment, which includes the Company’s store locations and integrated omni-channel operations. Due to its integrated omni-channel strategy, the Company views omni-channel sales as an extension of its physical store locations. The presentation of financial results as one reportable segment is consistent with the way the Company operates its business and is consistent with the manner in which the Chief Operating Decision Maker (“CODM”) makes decisions about allocating resources and assessing performance. Furthermore, the Company notes that monitoring financial results as one reportable segment helps the CODM manage costs on a consolidated basis, consistent with the integrated nature of its operations. The following table shows revenue by product category: Thirteen Weeks Ended Twenty-Six Weeks Ended July 29, July 30, July 29, July 30, (In millions) Sewing $ 215.6 $ 221.6 $ 445.4 $ 458.6 Arts and Crafts and Home Décor 231.4 234.3 470.4 486.4 Other 6.8 7.4 16.1 16.3 Total $ 453.8 $ 463.3 $ 931.9 $ 961.3

Commitments and Contingencies

Commitments and Contingencies	6 Months Ended
	Jul. 29, 2023
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	Note 9—Commitments and Contingencies The Company is involved in various litigation matters in the ordinary course of its business. The Company is not currently involved in any litigation that it expects, either individually or in the aggregate, will have a material adverse effect on its financial condition or results of operations.

Significant Accounting Polici_2

Significant Accounting Policies (Policies)	6 Months Ended
	Jul. 29, 2023
Accounting Policies [Abstract]
Nature of Operations	Nature of Operations JOANN (as defined below) is the nation’s category leader in sewing and fabrics (collectively, “Sewing”), with one of the largest assortments of arts and crafts products. As a well-established and trusted brand for 80 years, the Company believes it has a deep understanding of its customers, what inspires their creativity and what fuels their incredibly diverse projects. In order to best serve its customers, JOANN has transformed itself into a fully-integrated, digitally-connected omni-channel retailer that provides Creative Products to its customers whenever and however they want. As of July 29, 2023, the Company operated 829 store locations in 49 states.
Basis of Presentation	Basis of Presentation The accompanying Consolidated Financial Statements and these notes are unaudited and have been prepared in accordance with the rules and regulations of the Securities and Exchange Commission (“SEC”) for interim financial information. The Consolidated Financial Statements reflect all normal, recurring adjustments which management believes are necessary to present fairly the Company’s financial condition, results of operations and cash flows for all periods presented. The Consolidated Financial Statements, however, do not include all information necessary for a complete presentation of financial condition, results of operations and cash flows in conformity with accounting principles generally accepted in the United States of America (“GAAP”). The accompanying Consolidated Financial Statements and these notes should be read in conjunction with the Company’s Annual Report on Form 10-K for the fiscal year ended January 28, 2023. Consolidation The Consolidated Financial Statements include the accounts of JOANN Inc. (the “Holding Company”), Needle Holdings LLC (“Needle Holdings”) and Jo-Ann Stores, LLC and its wholly-owned subsidiaries (collectively, “JOANN”). All of the entities referenced in the prior sentence hereinafter will be referred to collectively as the “Company” and are all controlled by affiliates of LGP. All intercompany accounts and transactions have been eliminated upon consolidation. The Holding Company has no operating activities and is limited to the issuance of shares of common stock and stock-based awards, the repurchase of common shares, the issuance and repurchase of debt, the receipt and payment of dividends or distributions and the payment of interest expense. The authorized, issued and outstanding common shares and treasury shares shown on the Consolidated Balance Sheets are of the Holding Company. Likewise, Needle Holdings has no operating activities and is limited to the issuance of initial shares of common stock and stock-based awards and the payment of dividends or distributions. Fiscal Periods The Company’s fiscal year ends on the Saturday closest to January 31 and refers to the year in which the period ends (e.g., fiscal 2023 refers to the fiscal year ending January 28, 2023). Fiscal years consist of 52 weeks, unless noted otherwise. Fiscal 2024 consists of 53 weeks and ends February 3, 2024. The fiscal quarters ended July 29, 2023 and July 30, 2022 were both comprised of 13 weeks. Seasonality Typical of most retail companies, the Company’s business is seasonal, with the majority of revenues and operating profits generated in the second half of the fiscal year. Accordingly, earnings or losses for a particular interim period are not necessarily indicative of full-year results.
Use of Estimates	Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Since actual results may differ from those estimates, the Company revises its estimates and assumptions as new information becomes available.
Recently Adopted Accounting Guidance	Recently Adopted Accounting Guidance In December 2022, the Financial Accounting Standards Board issued Accounting Standards Update (“ASU”) 2022-06, Reference Rate Reform (Topic 848): Deferral of the Sunset Date of Topic 848. This ASU defers the sunset date of Topic 848 (ASU 2020-04) from December 31, 2022 to December 31, 2024, after which entities will no longer be permitted to apply the relief in Topic 848. Topic 848 provides optional guidance for a limited period of time to ease the potential burden in accounting for (or recognizing the effects of) reference rate reform on financial reporting and, particularly, the risk of cessation of the London Interbank Offered Rate (“LIBOR”). The amendments in this ASU are elective and apply to all entities, subject to meeting certain criteria, that have contracts, hedging relationships, and transactions that reference LIBOR or another reference rate expected to be discontinued because of reference rate reform. These amendments were effective upon issuance and may be applied prospectively to contract modifications made and hedging relationships entered into or evaluated on or before December 31, 2024. In May 2023, the Company entered into the Amendment No. 3 (“Amendment No. 3”) to the credit agreement, dated as of October 21, 2016, which replaced LIBOR as the benchmark rate with the Term Secured Overnight Financing Rate (“SOFR”) as administered by the Federal Reserve Bank of New York. See Note 2 for further discussion regarding our Term Loan due 2028 (as defined below). In June 2023, the Company entered into an amended and restated agreement for each of its interest rate swap agreements with U.S. Bank N.A., each of which replaced LIBOR as the benchmark rate with SOFR, as administered by CME Group Benchmark Administration, Ltd. See Note 3 for further discussion regarding the Company's interest rate swaps. In connection with these amendments, the Company adopted the above standard in the second quarter of fiscal 2024 and elected the optional expedients. The Company concluded that neither the modifications to the Term Loan due 2028 nor the interest rate swaps are substantial, and this adoption did not have a material impact on its consolidated financial statements. Recently Issued Accounting Guidance There are no recently issued accounting pronouncements that the Company has not yet adopted which would have a material impact on the Consolidated Financial Statements.
Related Party Transactions	Related Party Transactions During the thirteen and twenty-six weeks ended July 30, 2022, the Company paid dividends of $ 3.1 million and $ 6.1 million, respectively, to LGP as part of the Company's quarterly dividend payments. The Company did not pay any dividends during the first half of fiscal 2024.

Financing (Tables)

Financing (Tables)	6 Months Ended
	Jul. 29, 2023
Debt Disclosure [Abstract]
Summary of Long-term Debt	Long-term debt consisted of the following: July 29, July 30, January 28, (In millions) ABL Facility $ 352.0 $ 359.0 $ 324.0 Term Loan due 2028 663.2 668.3 666.6 FILO Loan 100.0 — — Total debt 1,115.2 1,027.3 990.6 Less unamortized discount and debt costs ( 13.7 ) ( 8.4 ) ( 7.8 ) Total debt, net 1,101.5 1,018.9 982.8 Less current portion of debt ( 6.8 ) ( 6.8 ) ( 6.8 ) Long-term debt, net $ 1,094.7 $ 1,012.1 $ 976.0

Derivative Instruments (Tables)

Derivative Instruments (Tables)	6 Months Ended
	Jul. 29, 2023
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Summary of Impacts of Derivative Instruments on Accompanying Consolidated Statements of Comprehensive Income (Loss)	The impacts of the Company’s derivative instruments on the accompanying Consolidated Statements of Comprehensive Income (Loss) for the thirteen and twenty-six weeks ended July 29, 2023 and July 30, 2022 are presented in the table below: Thirteen Weeks Ended Twenty-Six Weeks Ended July 29, July 30, July 29, July 30, (In millions) Interest rate swap - $200M notional amount $ 3.7 $ ( 2.4 ) $ 4.1 $ 2.3 Interest rate swap - $250M notional amount 4.9 ( 3.2 ) 5.6 ( 3.2 ) Gain (loss) recognized in other comprehensive income (loss), gross of income taxes $ 8.6 $ ( 5.6 ) $ 9.7 $ ( 0.9 )

Fair Value Measurements (Tables

Fair Value Measurements (Tables)	6 Months Ended
	Jul. 29, 2023
Fair Value Disclosures [Abstract]
Summary Of Carrying And Fair Value Of Interest Rate Derivatives	The carrying and fair value of the Company’s interest rate derivatives were as follows: Instrument Balance Sheet Location July 29, July 30, (In millions) Interest rate swaps - current Prepaid expenses and other current assets $ 11.0 $ — Interest rate swaps - long-term Other assets $ 9.8 $ 1.5
Summary of Carrying and Fair Values of Term Loans	The following provides the carrying and fair value of the Company’s Term Loan due 2028 as of July 29, 2023 and July 30, 2022: July 29, 2023 July 30, 2022 Carrying Fair Carrying Fair (In millions) Term Loan due 2028 (a) $ 655.9 $ 323.9 $ 659.9 $ 437.9 (a) Net of deferred financing costs and original issue discount.

Goodwill and Other Intangible_2

Goodwill and Other Intangible Assets (Tables)	6 Months Ended
	Jul. 29, 2023
Goodwill and Intangible Assets Disclosure [Abstract]
Summary of Carrying Amount of Goodwill	The carrying amount of goodwill at July 29, 2023 and July 30, 2022 was as follows: July 29, July 30, (In millions) Goodwill, gross $ 643.8 $ 643.8 Accumulated impairment ( 481.8 ) ( 481.8 ) Goodwill, net $ 162.0 $ 162.0
Schedule of Carrying Amount and Accumulated Amortization of Identifiable Intangible Assets	The carrying amount and accumulated amortization of identifiable intangible assets at July 29, 2023 and July 30, 2022 was as follows: July 29, 2023 July 30, 2022 Estimated Gross Accumulated Gross Accumulated (In millions) Indefinite-lived intangible assets: JOANN trade name — $ 230.0 $ 325.0 $ — Joann.com domain name — 10.0 10.0 — Intangible assets subject to amortization: Creativebug trade name 10 0.1 ( 0.1 ) 0.1 ( 0.1 ) Technology 3 5.3 ( 2.5 ) 5.3 ( 0.7 ) Customer relationships 16 110.0 ( 85.0 ) 110.0 ( 78.1 ) Total intangible assets $ 355.4 $ ( 87.6 ) $ 450.4 $ ( 78.9 )

Earnings Per Share (Tables)

Earnings Per Share (Tables)	6 Months Ended
	Jul. 29, 2023
Earnings Per Share [Abstract]
Summary of Reconciliation of Numerator and Denominator of Basic and Diluted Earnings Per Share and Stock-based Awards Excluded from Calculation of Diluted Earnings Per Share	The following table sets forth the reconciliation of the numerator and the denominator of basic and diluted loss per share and the stock-based awards excluded from the calculation of diluted loss per share because their effect would have been antidilutive for the thirteen and twenty-six weeks ended July 29, 2023 and July 30, 2022: Thirteen Weeks Ended Twenty-Six Weeks Ended July 29, July 30, July 29, July 30, (In millions except per share data) Net (loss) $ ( 73.3 ) $ ( 56.9 ) $ ( 127.5 ) $ ( 92.0 ) Weighted-average common shares outstanding – basic 41.7 40.7 41.5 40.7 Effect of dilutive stock-based awards — — — — Weighted-average common shares outstanding – diluted 41.7 40.7 41.5 40.7 Basic (loss) per common share $ ( 1.76 ) $ ( 1.40 ) $ ( 3.07 ) $ ( 2.26 ) Diluted (loss) per common share $ ( 1.76 ) $ ( 1.40 ) $ ( 3.07 ) $ ( 2.26 ) Antidilutive stock-based awards excluded from diluted calculation 9.3 4.5 8.6 4.4

Segments and Disaggregated Re_2

Segments and Disaggregated Revenue (Tables)	6 Months Ended
	Jul. 29, 2023
Segment Reporting [Abstract]
Summary of Revenue by Product Category	The following table shows revenue by product category: Thirteen Weeks Ended Twenty-Six Weeks Ended July 29, July 30, July 29, July 30, (In millions) Sewing $ 215.6 $ 221.6 $ 445.4 $ 458.6 Arts and Crafts and Home Décor 231.4 234.3 470.4 486.4 Other 6.8 7.4 16.1 16.3 Total $ 453.8 $ 463.3 $ 931.9 $ 961.3

Significant Accounting Polici_3

Significant Accounting Policies - Additional Information (Details) $ in Millions	3 Months Ended	6 Months Ended
	Jul. 30, 2022 USD ($)	Jul. 29, 2023 USD ($) OperatedRetailStores States	Jul. 30, 2022 USD ($)
Summary Of Significant Accounting Principles And Policies [Line Items]
Number of retail stores | OperatedRetailStores		829
Number of states in which stores operates | States		49
Dividends paid		$ 0	$ 8.9
LGP
Summary Of Significant Accounting Principles And Policies [Line Items]
Dividends paid	$ 3.1		$ 6.1

Financing - Summary of Long-ter

Financing - Summary of Long-term Debt (Details) - USD ($) $ in Millions	Jul. 29, 2023	Jan. 28, 2023	Jul. 30, 2022
Debt Instrument [Line Items]
Total debt	$ 1,115.2	$ 990.6	$ 1,027.3
Less unamortized discount and debt costs	(13.7)	(7.8)	(8.4)
Total debt, net	1,101.5	982.8	1,018.9
Less current portion of debt	(6.8)	(6.8)	(6.8)
Long-term debt, net	1,094.7	976	1,012.1
ABL Facility [Member]
Debt Instrument [Line Items]
Total debt	352	324	359
FILO Loan [Member]
Debt Instrument [Line Items]
Total debt	100	0	0
Term Loan due 2028
Debt Instrument [Line Items]
Total debt	$ 663.2	$ 666.6	$ 668.3

Financing - Additional Informat

Financing - Additional Information (Details) - USD ($) $ in Millions							6 Months Ended
	Jul. 29, 2023	Mar. 10, 2023	Dec. 22, 2021	Jul. 07, 2021	Jul. 06, 2021	Oct. 21, 2016	Jul. 29, 2023	Jul. 30, 2022	Jan. 28, 2023	Nov. 25, 2020
Debt Instrument [Line Items]
Percentage Of Maximum Credit excess capacity							12.50%
Total facility	$ 650
Total debt	1,115.2						$ 1,115.2	$ 1,027.3	$ 990.6
Term loan payments							$ (3.4)	(5.1)
Debt covenant description							The covenants contained in the credit agreements restrict JOANN’s ability to pay dividends or make other distributions; accordingly, any dividends may only be paid in accordance with such covenants. Among other restrictions, the credit agreements permit the public parent company to pay dividends on its common stock in amounts not to exceed the greater of 6% per annum of the net proceeds received by, or contributed to Jo-Ann Stores, LLC from any such public offering of common stock of Jo-Ann Stores, LLC or its direct or indirect parent company, or 7% of Market Capitalization (as defined in the credit agreements). So long as there is no event of default, the credit agreements also allow dividends in amounts up to $100 million, which amount can increase if certain other conditions are satisfied, including if JOANN’s leverage does not exceed certain thresholds. Additionally, the ABL Facility allows for unlimited dividends, so long as there is no event of default and the Company’s excess availability after giving pro forma effect for the thirty-day period immediately preceding such payment shall be greater than (a) the greater of 12.5% of the maximum credit and $40 million and the consolidated fixed charge coverage ratio shall be greater than or equal to 1.0 to 1.0 or (b) 17.5% of the maximum credit calculated.
Credit agreement market capitalization percentage							7%
Maximum credit fixed charge							$ 40
Percentage of maximum credit							17.50%
Maximum
Debt Instrument [Line Items]
Common stock dividend rate percentage							6%
Fixed charge coverage ratio							1%
Minimum
Debt Instrument [Line Items]
Amount available for dividend	$ 100						$ 100
Fixed charge coverage ratio							1%
FILO Loan [Member]
Debt Instrument [Line Items]
Debt, weighted average interest rate	15.04%						15.04%
SOFR Credit Spread Adjustment Rate	0.10%						0.10%
Floor Credit Spread Adjustment Rate	0%						0%
Series of FILO Loans Amount							$ 100
Interest rate on FILO Loan Description							The FILO Loans are SOFR loans (as defined in the Third Amendment), that bear monthly interest at an annual rate of 9.75% with one 100 basis point stepdown based on minimum Consolidated EBITDA (as defined in the Third Amendment) and are subject to a SOFR floor of 1.50%
Increase in SOFR loan interest rate margin Description							increases the applicable margin for SOFR loans to 2.00% with two twenty-five basis point step-downs based on excess availabilit
Amended Credit Agreement
Debt Instrument [Line Items]
Debt instrument, maturity date							Nov. 25, 2025
Second Amendment
Debt Instrument [Line Items]
Issuance of senior secured financing			$ 500
Debt instrument, maturity date			Dec. 22, 2026
Line of Credit Facility, Unused Capacity, Commitment Fee Percentage							0.20%
Amount of outstanding letters of credit obligation	$ 150						$ 150
Second Amendment | Minimum
Debt Instrument [Line Items]
Line of Credit Increments	20						$ 20
Second Amendment | Term Loan due 2028
Debt Instrument [Line Items]
Debt instrument, maturity date							Jul. 07, 2028
Total debt				$ 675
Percentage of face value				99.50%
Second Amendment | Term Loan due 2028 | LIBOR
Debt Instrument [Line Items]
Debt instrument, basis spread on variable rate				0.75%	1%
Senior Notes | Amended Credit Agreement
Debt Instrument [Line Items]
Secured debt										$ 500
Eurodollar Rate Loans | Second Amendment | Term Loan due 2028
Debt Instrument [Line Items]
Applicable interest rates				4.75%	5%
Eurodollar Rate Loans | Third Amendment [Member]
Debt Instrument [Line Items]
Percentage Of Maximum Credit excess capacity						0.25%
Eurodollar Rate Loan Additional Margin Percentage		0.50%				0.50%
Percentage of maximum credit		66.67%				40%
Eurodollar Rate Loans | Third Amendment [Member] | SOFR
Debt Instrument [Line Items]
Percentage Of Maximum Credit excess capacity		1.25%
Eurodollar Rate Loan Additional Margin Percentage		1.50%
Percentage of maximum credit		40%
Base Rate Loans | Second Amendment | Term Loan due 2028
Debt Instrument [Line Items]
Applicable interest rates				3.75%	4%
Base Rate Loans | Third Amendment [Member]
Debt Instrument [Line Items]
Base Rate Loans Additional Margin		1%
Percentage Of Maximum Credit excess capacity		0.75%
Percentage of maximum credit		33.33%
Base Rate Loans | Third Amendment [Member] | SOFR
Debt Instrument [Line Items]
Base Rate Loans Additional Margin		2%
Percentage Of Maximum Credit excess capacity		1.75%
Percentage of maximum credit		33.33%
Base Rate Loans | Third Amendment [Member] | SOFR | Minimum
Debt Instrument [Line Items]
Percentage Of Maximum Credit excess capacity		1.50%
Excess Capacity [Member] | Eurodollar Rate Loans | SOFR
Debt Instrument [Line Items]
Percentage Of Maximum Credit excess capacity		40%
Excess Capacity [Member] | Eurodollar Rate Loans | Third Amendment [Member]
Debt Instrument [Line Items]
Percentage Of Maximum Credit excess capacity						40%
Excess Capacity [Member] | Eurodollar Rate Loans | Third Amendment [Member] | SOFR
Debt Instrument [Line Items]
Percentage Of Maximum Credit excess capacity		66.67%
Excess Capacity [Member] | Base Rate Loans | Third Amendment [Member]
Debt Instrument [Line Items]
Percentage Of Maximum Credit excess capacity		33.33%
Percentage of maximum credit		66.67%
Excess Capacity [Member] | Base Rate Loans | Third Amendment [Member] | SOFR
Debt Instrument [Line Items]
Percentage Of Maximum Credit excess capacity		33.33%
Percentage of maximum credit		66.67%
Revolving Credit Facility
Debt Instrument [Line Items]
Line of credit facility, initiation date							Oct. 21, 2016
Issuance of senior secured financing						$ 400
Debt instrument, maturity date							Oct. 20, 2021
Line of credit facility, maximum borrowing capacity	352						$ 352	359
Amount of outstanding letters of credit obligation	18.4						18.4	16.5
Excess availability amount	$ 58.4						$ 58.4	$ 89.7
Revolving Credit Facility | Maximum
Debt Instrument [Line Items]
Debt, weighted average interest rate	7.41%						7.41%
Revolving Credit Facility | Minimum
Debt Instrument [Line Items]
Debt, weighted average interest rate	2.55%						2.55%
Revolving Credit Facility | Term Loan due 2028
Debt Instrument [Line Items]
Debt, weighted average interest rate	6.13%			10.17%			6.13%

Derivative Instruments - Additi

Derivative Instruments - Additional Information (Details) - USD ($) $ in Millions	6 Months Ended
	Jul. 29, 2023	Jul. 29, 2023	May 31, 2022	Aug. 31, 2021
Interest Rate Swap
Derivative Instruments Gain Loss [Line Items]
Fair value of outstanding derivative	$ 12.6	$ 12.6
Second Interest Rate Swap
Derivative Instruments Gain Loss [Line Items]
Fair value of outstanding derivative	8.2	8.2
Third Interest Rate Swap
Derivative Instruments Gain Loss [Line Items]
Fair value of outstanding derivative	$ 20.8	$ 20.8
US Bank | Interest Rate Swap
Derivative Instruments Gain Loss [Line Items]
Amortized notional amount				$ 200
Derivative start date		Oct. 26, 2023
Derivative maturity date		Oct. 26, 2025
US Bank | Second Interest Rate Swap
Derivative Instruments Gain Loss [Line Items]
Amortized notional amount			$ 250
Derivative start date	Jul. 26, 2023
Derivative maturity date	Jan. 26, 2026
US Bank | LIBOR | Interest Rate Swap
Derivative Instruments Gain Loss [Line Items]
Derivative floor rate of interest				0.75%
Derivative fixed rate of interest				1.44%
US Bank | LIBOR | Second Interest Rate Swap
Derivative Instruments Gain Loss [Line Items]
Derivative floor rate of interest			0.75%
Derivative fixed rate of interest			3.37%

Derivative Instruments - Summar

Derivative Instruments - Summary of Impacts of Derivative Instruments on Accompanying Consolidated Statements of Comprehensive Income (Loss) (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jul. 29, 2023	Jul. 30, 2022	Jul. 29, 2023	Jul. 30, 2022
Offsetting Assets [Line Items]
Gain recognized in other comprehensive income (loss), gross of income taxes	$ 8.6	$ (5.6)	$ 9.7	$ (0.9)
Interest rate swap - $200M
Offsetting Assets [Line Items]
Gain recognized in other comprehensive income (loss), gross of income taxes	3.7	(2.4)	4.1	2.3
Interest rate swap - $250M
Offsetting Assets [Line Items]
Gain recognized in other comprehensive income (loss), gross of income taxes	$ 4.9	$ (3.2)	$ 5.6	$ (3.2)

Fair value Measurement - Summar

Fair value Measurement - Summary of Carrying and fair Value Of Interest Rate Derivatives (Details) - Interest Rate Swap - USD ($) $ in Millions	Jul. 29, 2023	Jul. 30, 2022
Prepaid Expenses and Other Current Assets
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Interest rate swaps - Current	$ 11	$ 0
Other Assets
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Interest rate swaps - Long-term	$ 9.8	$ 1.5

Fair Value Measurements - Summa

Fair Value Measurements - Summary of Carrying and Fair Values of Term Loans (Details) - Term Loan due 2028 - USD ($) $ in Millions		Jul. 29, 2023	Jul. 30, 2022
Carrying Value
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Carrying and fair values of term loans	[1]	$ 655.9	$ 659.9
Fair Value
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Carrying and fair values of term loans	[1]	$ 323.9	$ 437.9
[1] Net of deferred financing costs and original issue discount.

Goodwill and Other Intangible_3

Goodwill and Other Intangible Assets - Summary of Carrying Amount of Goodwill (Details) - USD ($) $ in Millions	Jul. 29, 2023	Jan. 28, 2023	Jul. 30, 2022
Goodwill, Impaired, Accumulated Impairment Loss [Abstract]
Goodwill, gross	$ 643.8		$ 643.8
Accumulated impairment	(481.8)		(481.8)
Goodwill, net	$ 162	$ 162	$ 162

Goodwill and Other Intangible_4

Goodwill and Other Intangible Assets - Schedule of Carrying Amount and Accumulated Amortization of Identifiable Intangible Assets (Details) - USD ($) $ in Millions	Jul. 29, 2023	Jan. 28, 2023	Jul. 30, 2022
Finite Lived Intangible Assets [Line Items]
Indefinite-lived intangible assets, Gross Carrying Amount	$ 355.4		$ 450.4
Accumulated Amortization	(87.6)		(78.9)
Total intangible assets	267.8	$ 272.1	371.5
JOANN Trade Name
Finite Lived Intangible Assets [Line Items]
Indefinite-lived intangible assets, Gross Carrying Amount	$ 230		325
Estimated Life in Years
Accumulated Amortization			0
Joann.com Domain Name
Finite Lived Intangible Assets [Line Items]
Indefinite-lived intangible assets, Gross Carrying Amount	$ 10		10
Estimated Life in Years
Accumulated Amortization			0
Creativebug Trade Name
Finite Lived Intangible Assets [Line Items]
Indefinite-lived intangible assets, Gross Carrying Amount	$ 0.1
Estimated Life in Years	10 years
Gross Carrying Amount			0.1
Accumulated Amortization	$ (0.1)		(0.1)
Technology
Finite Lived Intangible Assets [Line Items]
Indefinite-lived intangible assets, Gross Carrying Amount	$ 5.3
Estimated Life in Years	3 years
Gross Carrying Amount			5.3
Accumulated Amortization	$ (2.5)		(0.7)
Customer Relationships
Finite Lived Intangible Assets [Line Items]
Indefinite-lived intangible assets, Gross Carrying Amount	$ 110
Estimated Life in Years	16 years
Gross Carrying Amount			110
Accumulated Amortization	$ (85)		$ (78.1)

Goodwill and Other Intangible_5

Goodwill and Other Intangible Assets - Additional Information (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jul. 29, 2023	Jul. 30, 2022	Jul. 29, 2023	Jul. 30, 2022
Goodwill and Intangible Assets Disclosure [Abstract]
Intangible asset amortization	$ 2.2	$ 2.2	$ 4.3	$ 4.2
Weighted average amortization period of amortizable intangible assets			3 years 4 months 24 days

Income Taxes - Additional Infor

Income Taxes - Additional Information (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jul. 29, 2023	Jul. 30, 2022	Jul. 29, 2023	Jul. 30, 2022
Income Tax Disclosure [Abstract]
Effective income tax rate	13.80%	25.80%	13.50%	27.80%
Unrecognized tax benefits	$ 1		$ 1
Unrecognized tax benefits which would affect effective tax rate if recognized	0.8		0.8
Interest and penalties accrued	$ 0.1		0.1
Reduction in uncertain tax position resulting from resolution or closure of tax examinations within next fiscal			$ 0.1

Earnings Per Share - Summary of

Earnings Per Share - Summary of Reconciliation of Numerator and Denominator of Basic and Diluted Earnings Per Share and Stock-based Awards Excluded from Calculation of Diluted Earnings Per Share (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions	3 Months Ended				6 Months Ended
	Jul. 29, 2023	Apr. 29, 2023	Jul. 30, 2022	Apr. 30, 2022	Jul. 29, 2023	Jul. 30, 2022
Earnings Per Share [Abstract]
Net (loss)	$ (73.3)	$ (54.2)	$ (56.9)	$ (35.1)	$ (127.5)	$ (92)
Weighted-average common shares outstanding - Basic	41.7		40.7		41.5	40.7
Effect of dilutive stock-based awards	0		0		0	0
Weighted-average common shares outstanding - Diluted	41.7		40.7		41.5	40.7
Basic (loss) per common share	$ (1.76)		$ (1.4)		$ (3.07)	$ (2.26)
Diluted (loss) per common share	$ (1.76)		$ (1.4)		$ (3.07)	$ (2.26)
Antidilutive stock-based awards excluded from diluted calculation	9.3		4.5		8.6	4.4

Segments and Disaggregated Re_3

Segments and Disaggregated Revenue - Additional Information (Details)	6 Months Ended
	Jul. 29, 2023 Segment
Segment Reporting [Abstract]
Number of operating segment	1
Number of reportable segment	1

Segments and Disaggregated Re_4

Segments and Disaggregated Revenue - Summary of Revenue by Product Category (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jul. 29, 2023	Jul. 30, 2022	Jul. 29, 2023	Jul. 30, 2022
Entity Wide Information Revenue From External Customer [Line Items]
Net sales	$ 453.8	$ 463.3	$ 931.9	$ 961.3
Sewing
Entity Wide Information Revenue From External Customer [Line Items]
Net sales	215.6	221.6	445.4	458.6
Arts and Crafts and Home Décor
Entity Wide Information Revenue From External Customer [Line Items]
Net sales	231.4	234.3	470.4	486.4
Other
Entity Wide Information Revenue From External Customer [Line Items]
Net sales	$ 6.8	$ 7.4	$ 16.1	$ 16.3

Gain on Sale Leaseback of Distr

Gain on Sale Leaseback of Distribution Center - Additional Information (Details) - USD ($) $ in Millions	Jul. 29, 2023	Jan. 28, 2023	Jul. 30, 2022
Sale Leaseback Transaction [Line Items]
Operating lease assets	$ 780.2	$ 778.4	$ 835