Document_and_Entity_Informatio
Document and Entity Information | 3 Months Ended |
Aug. 03, 2014 | |
Document And Entity Information [Abstract] | ' |
Document Type | '10-Q |
Amendment Flag | 'false |
Document Period End Date | 3-Aug-14 |
Document Fiscal Year Focus | '2015 |
Document Fiscal Period Focus | 'Q1 |
Trading Symbol | 'CFI |
Entity Registrant Name | 'CULP INC |
Entity Central Index Key | '0000723603 |
Current Fiscal Year End Date | '--05-03 |
Entity Filer Category | 'Accelerated Filer |
Entity Common Stock, Shares Outstanding | 12,216,766 |
CONSOLIDATED_STATEMENTS_OF_NET
CONSOLIDATED STATEMENTS OF NET INCOME (UNAUDITED) (USD $) | 3 Months Ended | |
In Thousands, except Per Share data, unless otherwise specified | Aug. 03, 2014 | Jul. 28, 2013 |
Income Statement [Abstract] | ' | ' |
Net sales | $76,060 | $70,141 |
Cost of sales | 63,345 | 57,067 |
Gross profit | 12,715 | 13,074 |
Selling, general and administrative expenses | 7,419 | 7,100 |
Income from operations | 5,296 | 5,974 |
Interest expense | 68 | 140 |
Interest income | -142 | -92 |
Other (income) expense | -89 | 391 |
Income before income taxes | 5,459 | 5,535 |
Income taxes | 2,115 | 2,305 |
Net income | $3,344 | $3,230 |
Net income per share, basic | $0.27 | $0.27 |
Net income per share, diluted | $0.27 | $0.26 |
Average shares outstanding, basic | 12,212 | 12,148 |
Average shares outstanding, diluted | 12,404 | 12,366 |
CONSOLIDATED_STATEMENTS_OF_COM
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (UNAUDITED) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Aug. 03, 2014 | Jul. 28, 2013 |
Statement Of Income And Comprehensive Income [Abstract] | ' | ' |
Net income | $3,344 | $3,230 |
Other comprehensive loss | ' | ' |
Unrealized loss on investments | -10 | -135 |
Total other comprehensive loss | -10 | -135 |
Comprehensive income | $3,334 | $3,095 |
CONSOLIDATED_BALANCE_SHEETS_UN
CONSOLIDATED BALANCE SHEETS (UNAUDITED) (USD $) | Aug. 03, 2014 | Apr. 27, 2014 | Jul. 28, 2013 | |
In Thousands, unless otherwise specified | ||||
Current assets: | ' | ' | ' | |
Cash and cash equivalents | $24,665 | $29,303 | [1] | $21,423 |
Short-term investments | 6,311 | 6,294 | [1] | 6,174 |
Accounts receivable, net | 24,239 | 27,409 | [1] | 24,493 |
Inventories | 41,688 | 40,674 | [1] | 41,770 |
Deferred income taxes | 6,203 | 6,230 | [1] | 7,747 |
Income taxes receivable | 136 | 121 | [1] | 292 |
Other current assets | 2,308 | 2,344 | [1] | 3,408 |
Total current assets | 105,550 | 112,375 | [1] | 105,307 |
Property, plant and equipment, net | 31,891 | 31,376 | [1] | 30,808 |
Goodwill | 11,462 | 11,462 | [1] | 11,462 |
Deferred income taxes | 973 | 2,040 | [1] | 651 |
Long-term investments | 1,749 | 765 | [1] | ' |
Other assets | 2,587 | 2,917 | [1] | 2,873 |
Total assets | 154,212 | 160,935 | [1] | 151,101 |
Current liabilities: | ' | ' | ' | |
Current maturities of long-term debt | 2,200 | 2,200 | [1] | 2,200 |
Accounts payable-trade | 24,458 | 26,686 | [1] | 27,821 |
Accounts payable - capital expenditures | 204 | 277 | [1] | ' |
Accrued expenses | 6,365 | 9,181 | [1] | 8,704 |
Income taxes payable - current | 387 | 442 | [1] | 320 |
Total current liabilities | 33,614 | 38,786 | [1] | 39,045 |
Income taxes payable - long-term | 4,037 | 3,962 | [1] | 4,176 |
Deferred income taxes | 1,013 | 1,013 | [1] | 4,335 |
Line of credit | 569 | 586 | [1] | 560 |
Deferred compensation | 3,632 | 2,644 | [1] | ' |
Long-term debt, less current maturities | 2,200 | 2,200 | [1] | 4,400 |
Total liabilities | 45,065 | 49,191 | [1] | 52,516 |
Commitments and Contingencies (Note 16) | ' | ' | [1] | ' |
Shareholders' equity | ' | ' | ' | |
Preferred stock, $0.05 par value, authorized 10,000,000 | 0 | 0 | [1] | 0 |
Common stock, $0.05 par value, authorized 40,000,000 shares, issued and outstanding 12,216,766 at August 3, 2014; 12,241,405 at July 28, 2013; and 12,250,030 at April 27, 2014 | 610 | 612 | [1] | 612 |
Capital contributed in excess of par value | 42,505 | 42,932 | [1] | 42,296 |
Accumulated earnings | 66,102 | 68,260 | [1] | 55,758 |
Accumulated other comprehensive loss | -70 | -60 | [1] | -81 |
Total shareholders' equity | 109,147 | 111,744 | [1] | 98,585 |
Total liabilities and shareholders' equity | $154,212 | $160,935 | [1] | $151,101 |
[1] | Derived from audited financial statements. |
CONSOLIDATED_BALANCE_SHEETS_UN1
CONSOLIDATED BALANCE SHEETS (UNAUDITED) (Parenthetical) (USD $) | Aug. 03, 2014 | Apr. 27, 2014 | Jul. 28, 2013 | |
Statement Of Financial Position [Abstract] | ' | ' | ' | |
Preferred stock, par value | $0.05 | $0.05 | [1] | $0.05 |
Preferred stock, authorized shares | 10,000,000 | 10,000,000 | [1] | 10,000,000 |
Common stock, par value | $0.05 | $0.05 | [1] | $0.05 |
Common stock, authorized shares | 40,000,000 | 40,000,000 | [1] | 40,000,000 |
Common stock, issued | 12,216,766 | 12,250,030 | [1] | 12,241,405 |
Common stock, outstanding | 12,216,766 | 12,250,030 | [1] | 12,241,405 |
[1] | Derived from audited financial statements. |
CONSOLIDATED_STATEMENTS_OF_CAS
CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) (USD $) | 3 Months Ended | ||
In Thousands, unless otherwise specified | Aug. 03, 2014 | Jul. 28, 2013 | |
Cash flows from operating activities: | ' | ' | |
Net income | $3,344 | $3,230 | |
Adjustments to reconcile net income to net cash provided by operating activities: | ' | ' | |
Depreciation | 1,399 | 1,305 | |
Amortization of other assets | 47 | 39 | |
Stock-based compensation | 46 | 152 | |
Excess tax benefit related to stock-based compensation | -99 | -114 | |
Deferred income taxes | 1,193 | 1,438 | |
Gain on sale of equipment | -45 | -74 | |
Foreign currency exchange (gains) losses | -201 | 96 | |
Changes in assets and liabilities, net of effects of acquisition of assets: | ' | ' | |
Accounts receivable | 3,168 | -1,049 | |
Inventories | -1,021 | -3,271 | |
Other current assets | 40 | -1,300 | |
Other assets | 283 | -11 | |
Accounts payable - trade | -2,224 | 5,284 | |
Accrued expenses and deferred compensation | -1,855 | -3,131 | |
Income taxes | -24 | 81 | |
Net cash provided by operating activities | 4,051 | 2,675 | |
Cash flows from investing activities: | ' | ' | |
Capital expenditures | -2,333 | -884 | |
Proceeds from the sale of equipment | 391 | 104 | |
Cash paid for business acquisition | ' | -2,640 | |
Purchase of short-term investments | -27 | -1,023 | |
Purchase of long-term investments | -984 | ' | |
Net cash used in investing activities | -2,953 | -4,443 | |
Cash flows from financing activities: | ' | ' | |
Excess tax benefit related to stock-based compensation | 99 | 114 | |
Common stock repurchased | -556 | ' | |
Dividends paid | -5,502 | -489 | |
Proceeds from common stock issued | ' | 145 | |
Net cash used in financing activities | -5,959 | -230 | |
Effect of exchange rate changes on cash and cash equivalents | 223 | -109 | |
Decrease in cash and cash equivalents | -4,638 | -2,107 | |
Cash and cash equivalents at beginning of period | 29,303 | [1] | 23,530 |
Cash and cash equivalents at end of period | $24,665 | $21,423 | |
[1] | Derived from audited financial statements. |
CONSOLIDATED_STATEMENTS_OF_SHA
CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY (UNAUDITED) (USD $) | Total | Common Stock | Capital Contributed in Excess of Par Value | Accumulated Earnings | Accumulated Other Comprehensive Income (Loss) | |
In Thousands, except Share data | ||||||
Balance at Apr. 28, 2013 | $95,583 | $611 | $41,901 | $53,017 | $54 | |
Balance (in shares) at Apr. 28, 2013 | ' | 12,224,894 | ' | ' | ' | |
Net income | 17,447 | ' | ' | 17,447 | ' | |
Stock-based compensation | 710 | ' | 710 | ' | ' | |
Unrealized loss on investments | -114 | ' | ' | ' | -114 | |
Excess tax benefit related to stock based compensation | 143 | ' | 143 | ' | ' | |
Fully vested common stock award | ' | 3,000 | ' | ' | ' | |
Common stock issued in connection with exercise of stock options (in shares) | ' | 23,125 | ' | ' | ' | |
Common stock issued in connection with exercise of stock options | 194 | 1 | 193 | ' | ' | |
Common stock surrendered for withholding taxes payable (in shares) | ' | -989 | ' | ' | ' | |
Common stock surrendered for withholding taxes payable | -15 | ' | -15 | ' | ' | |
Dividends paid | -2,204 | ' | ' | -2,204 | ' | |
Balance at Apr. 27, 2014 | [1] | 111,744 | 612 | 42,932 | 68,260 | -60 |
Balance (in shares) at Apr. 27, 2014 | ' | 12,250,030 | ' | ' | ' | |
Net income | 3,344 | ' | ' | 3,344 | ' | |
Stock-based compensation | 46 | ' | 46 | ' | ' | |
Unrealized loss on investments | -10 | ' | ' | ' | -10 | |
Excess tax benefit related to stock based compensation | 99 | ' | 99 | ' | ' | |
Common stock repurchased (in shares) | ' | -32,269 | ' | ' | ' | |
Common stock repurchased | -556 | -2 | -554 | ' | ' | |
Common stock surrendered for withholding taxes payable (in shares) | ' | -995 | ' | ' | ' | |
Common stock surrendered for withholding taxes payable | -18 | ' | -18 | ' | ' | |
Dividends paid | -5,502 | ' | ' | -5,502 | ' | |
Balance at Aug. 03, 2014 | $109,147 | $610 | $42,505 | $66,102 | ($70) | |
Balance (in shares) at Aug. 03, 2014 | ' | 12,216,766 | ' | ' | ' | |
[1] | Derived from audited financial statements. |
Basis_of_Presentation
Basis of Presentation | 3 Months Ended |
Aug. 03, 2014 | |
Accounting Policies [Abstract] | ' |
Basis of Presentation | ' |
1. Basis of Presentation | |
The accompanying unaudited consolidated financial statements of Culp, Inc. and subsidiaries (the “company”) include all adjustments, which are, in the opinion of management, necessary for fair presentation of the results of operations and financial position. All of these adjustments are of a normal recurring nature. Results of operations for interim periods may not be indicative of future results. The unaudited consolidated financial statements should be read in conjunction with the audited consolidated financial statements, which are included in the company’s annual report on Form 10-K filed with the Securities and Exchange Commission on July 11, 2014 for the fiscal year ended April 27, 2014. | |
The company’s three months ended August 3, 2014 and July 28, 2013, represent 14 and 13 week periods, respectively. |
Significant_Accounting_Policie
Significant Accounting Policies | 3 Months Ended |
Aug. 03, 2014 | |
Accounting Policies [Abstract] | ' |
Significant Accounting Policies | ' |
2. Significant Accounting Policies | |
As of August 3, 2014, there were no changes in the nature of our significant accounting policies or the application of those policies from those reported in our annual report on Form 10-K for the year then ended April 27, 2014. | |
Recently Adopted Accounting Pronouncements | |
None | |
Recently Issued Accounting Pronouncements | |
In June 2014, the Financial Accounting Standards Board (“FASB”) amended its authoritative guidance on accounting for certain share-based payment awards. The amended guidance requires that share-based compensation awards with terms of a performance target that affects vesting, and that could be achieved after the requisite service period, be treated as a performance condition. As such, the performance target should not be reflected in estimating the grant-date fair value of the award and compensation cost should be recognized in the period in which it becomes probable that the performance target will be achieved. The guidance will be effective in our fiscal 2017 first quarter. The guidance will permit an entity to apply the amendments in the update either (a) prospectively to all awards granted or modified after the effective date or (b) retrospectively to all awards with performance targets that are outstanding as of the beginning of the earliest annual period presented in the consolidated financial statements and to all new or modified awards thereafter. Currently, we do not have any share-based payment awards with terms of a performance target that affects vesting and could be achieved after the requisite service period. We will apply this new guidance when it becomes effective, and we will evaluate the impact of adoption on our consolidated financial statements. | |
In May 2014, the FASB issued accounting guidance on revenue recognition. The amended guidance will enhance the comparability of revenue recognition practices and will be applied to all contracts with customers. Improved disclosures related to the nature, amount, timing, and uncertainty of revenue that is recognized are requirements under the amended guidance. This guidance will be effective in our fiscal 2018 first quarter and will be required to be applied retrospectively. We are currently assessing the impact that this guidance will have on our consolidated financial statements at this time. |
Business_Combinations_Mattress
Business Combinations - Mattress Fabric Segment | 3 Months Ended | ||||
Aug. 03, 2014 | |||||
Business Combinations [Abstract] | ' | ||||
Business Combinations - Mattress Fabric Segment | ' | ||||
3. Business Combinations – Mattress Fabric Segment | |||||
On May 8, 2013, we entered into an asset purchase and consulting agreement with Bodet & Horst GMBH & Co. KG and certain affiliates (“Bodet & Horst”) that provided for, among other things, the purchase of equipment and certain other assets from Bodet & Horst and the restructuring of prior consulting and non-compete agreements pursuant to an earlier asset purchase and consulting agreement with Bodet & Horst dated August 11, 2008. This agreement was accounted for as a business combination in accordance with ASC Topic 805, Business Combinations. We agreed with Bodet & Horst to replace the prior non-compete agreement that prevented us from selling certain mattress fabrics and products to a leading manufacturer, which now allows us to make such sales. In addition, the prior consulting and non-compete agreement, under which Bodet & Horst agreed not to sell most mattress fabrics in North America, was replaced, expanded, and extended pursuant to the new asset purchase and consulting agreement. | |||||
The purchase price for the equipment and the other certain assets noted below was $2.6 million in cash. | |||||
Direct acquisition costs related to this business combination totaled $83,000. | |||||
The following table presents the allocation of the acquisition cost to the assets acquired based on their fair values: | |||||
(dollars in thousands) | Fair Value | ||||
Equipment (Note 10) | $ | 890 | |||
Non-compete agreement (Notes 7 and 10) | 882 | ||||
Customer relationships (Notes 7 and 10) | 868 | ||||
$ | 2,640 | ||||
The company recorded its non-compete at its fair value based on a discounted cash flow valuation model. The company recorded its customer relationships at its fair value based on a multi-period excess earnings valuation model. This non-compete agreement will be amortized on a straight line basis over the fifteen year life of the agreement. The customer relationships will be amortized on a straight line basis over their useful life of seventeen years. The equipment will be amortized on a straight line basis over its useful life of seven years. |
StockBased_Compensation
Stock-Based Compensation | 3 Months Ended |
Aug. 03, 2014 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | ' |
Stock-Based Compensation | ' |
4. Stock-Based Compensation | |
Incentive Stock Option Awards | |
We did not grant any incentive stock option awards during the first quarter of fiscal 2015. | |
At August 3, 2014, options to purchase 153,950 shares of common stock were outstanding and exercisable, had a weighted average exercise price of $6.70 per share, and a weighted average contractual term of 3.4 years. At August 3, 2014, the aggregate intrinsic value for options outstanding and exerciseable was $1.7 million. | |
No options were exercised during the three months ending August 3, 2014. The aggregate intrinsic value for options exercised for the three months ending July 28, 2013 was $171,000. | |
At August 3, 2014, there were no unvested incentive stock option awards. Therefore, there was no unrecognized compensation cost related to incentive stock option awards at August 3, 2014. | |
No compensation expense was recorded on incentive stock options for the three months ended August 3, 2014. We recorded $6,000 of compensation expense on incentive stock option grants within selling, general, and administrative expense for the three months ended July 28, 2013. | |
Common Stock Awards | |
We did not grant any common stock awards during the first quarter of fiscal 2015. | |
Time Vested Restricted Stock Awards | |
We did not grant any time vested restricted stock awards during the first quarter of fiscal 2015. | |
We recorded $4,000 and $27,000 of compensation expense within selling, general, and administrative expense for time vested restricted stock awards for the three month periods ending August 3, 2014, and July 28, 2013, respectively. | |
At August 3, 2014, there were no outstanding and unvested shares of time vested restricted stock. Therefore, there was no unrecognized compensation cost related to time vested restricted stock awards at August 3, 2014. | |
During the three month period ended August 3, 2014, 61,667 shares of time vested restricted stock vested and had a weighted average fair value of $257,000 or $4.17 per share. During the three month period ended July 28, 2013, 61,667 shares of time vested restricted stock vested and had a weighted average fair value of $249,000 or $4.04 per share. | |
Performance Based Restricted Stock Units | |
Fiscal 2015 Grant | |
On June 24, 2014, certain key members of management were granted performance based restricted common stock units which could earn up to 102,845 shares of common stock if certain performance targets are met as defined in the related restricted stock unit agreements. These awards were valued based on the fair market value on the date of grant. The fair value of these awards was $17.70 per share, which represents the closing price of our common stock on the date of grant. The vesting of these awards is over the requisite service period of three years. | |
Fiscal 2014 Grant | |
On June 25, 2013, certain key members of management were granted performance based restricted common stock units which could earn up to 72,380 shares of common stock if certain performance targets are met as defined in the related restricted stock unit agreements. These awards were valued based on the fair market value on the date of grant. The fair value of these awards was $17.12 per share, which represents the closing price of our common stock on the date of grant. The vesting of these awards is over the requisite service period of three years. | |
Fiscal 2013 Grant | |
On July 11, 2012, certain key members of management were granted performance based restricted common stock units which could earn up to 120,000 shares of common stock if certain performance targets are met as defined in the related restricted stock unit agreements. These awards were valued based on the fair market value on the date of grant. The fair value of these awards was $10.21 per share, which represents the closing price of our common stock on the date of grant. The vesting of these awards is over the requisite service period of three years. | |
Overall | |
The company recorded compensation expense of $42,000 and $119,000 within selling, general, and administrative expense for performance based restricted stock units for the three month periods ending August 3, 2014 and July 28, 2013, respectively. Compensation cost is recorded based on an assessment each reporting period of the probability if certain performance goals will be met during the vesting period. If performance goals are not probable of occurrence, no compensation cost will be recognized and any recognized compensation cost would be reversed. | |
As of August 3, 2014, the remaining unrecognized compensation cost related to the performance based restricted stock units was $1.3 million, which is expected to be recognized over a weighted average vesting period of 2.2 years. |
Accounts_Receivable
Accounts Receivable | 3 Months Ended | ||||||||||||
Aug. 03, 2014 | |||||||||||||
Receivables [Abstract] | ' | ||||||||||||
Accounts Receivable | ' | ||||||||||||
5. Accounts Receivable | |||||||||||||
A summary of accounts receivable follows: | |||||||||||||
(dollars in thousands) | 3-Aug-14 | 28-Jul-13 | 27-Apr-14 | ||||||||||
Customers | $ | 25,212 | $ | 25,829 | $ | 28,461 | |||||||
Allowance for doubtful accounts | (438 | ) | (743 | ) | (573 | ) | |||||||
Reserve for returns and allowances and discounts | (535 | ) | (593 | ) | (479 | ) | |||||||
$ | 24,239 | $ | 24,493 | $ | 27,409 | ||||||||
A summary of the activity in the allowance for doubtful accounts follows: | |||||||||||||
Three months ended | |||||||||||||
(dollars in thousands) | 3-Aug-14 | 28-Jul-13 | |||||||||||
Beginning balance | $ | (573 | ) | $ | (780 | ) | |||||||
Provision for bad debts | 69 | 7 | |||||||||||
Net write-offs, net of recoveries | 66 | 30 | |||||||||||
Ending balance | $ | (438 | ) | $ | (743 | ) | |||||||
A summary of the activity in the allowance for returns and allowances and discounts accounts follows: | |||||||||||||
Three months ended | |||||||||||||
(dollars in thousands) | 3-Aug-14 | 28-Jul-13 | |||||||||||
Beginning balance | $ | (479 | ) | $ | (543 | ) | |||||||
Provision for returns, allowances | |||||||||||||
and discounts | (658 | ) | (653 | ) | |||||||||
Credits issued | 602 | 603 | |||||||||||
Ending balance | $ | (535 | ) | $ | (593 | ) |
Inventories
Inventories | 3 Months Ended | ||||||||||||
Aug. 03, 2014 | |||||||||||||
Inventory Disclosure [Abstract] | ' | ||||||||||||
Inventories | ' | ||||||||||||
6. Inventories | |||||||||||||
Inventories are carried at the lower of cost or market. Cost is determined using the FIFO (first-in, first-out) method. | |||||||||||||
A summary of inventories follows: | |||||||||||||
(dollars in thousands) | 3-Aug-14 | 28-Jul-13 | 27-Apr-14 | ||||||||||
Raw materials | $ | 6,145 | $ | 5,960 | $ | 6,707 | |||||||
Work-in-process | 2,174 | 2,228 | 2,263 | ||||||||||
Finished goods | 33,369 | 33,582 | 31,704 | ||||||||||
$ | 41,688 | $ | 41,770 | $ | 40,674 | ||||||||
Other_Assets
Other Assets | 3 Months Ended | ||||||||||||
Aug. 03, 2014 | |||||||||||||
Text Block [Abstract] | ' | ||||||||||||
Other Assets | ' | ||||||||||||
7. Other Assets | |||||||||||||
A summary of other assets follows: | |||||||||||||
(dollars in thousands) | 3-Aug-14 | 28-Jul-13 | 27-Apr-14 | ||||||||||
Cash surrender value – life insurance | $ | 320 | $ | 622 | $ | 644 | |||||||
Non-compete agreement | 1,035 | 1,061 | 1,041 | ||||||||||
Customer relationships | 804 | 855 | 817 | ||||||||||
Other | 428 | 335 | 415 | ||||||||||
$ | 2,587 | $ | 2,873 | $ | 2,917 | ||||||||
Non-Compete Agreement | |||||||||||||
In connection with the asset purchase and consulting agreement with Bodet & Horst on May 8, 2013 (see Note 3), we restructured our prior non-compete agreement pursuant to our asset purchase and consulting agreement dated August 11, 2008. We have agreed with Bodet & Horst to replace the prior non-compete agreement that prevented us from selling certain mattress fabrics and products to a leading manufacturer, that will now allow us to make such sales. In addition, the prior consulting and non-compete agreement, under which Bodet & Horst agreed not to sell mattress fabrics in North America, was replaced, expanded, and extended pursuant to the new asset purchase consulting agreement. We recorded this non-compete agreement at its fair value based on a discounted cash flow valuation model. This non-compete agreement is amortized on a straight-line basis over the fifteen year life of the agreement. | |||||||||||||
The gross carrying amount of this non-compete agreement was $2.0 million at August 3, 2014, July 28, 2013 and April 27, 2014, respectively. At August 3, 2014 and April 27, 2014, accumulated amortization for the non-compete agreement was $1.0 million. At July 28, 2013, accumulated amortization for this non-compete agreement was $958,000. | |||||||||||||
Of the $1.0 million non-compete agreement carrying amount at August 3, 2014, $227,000 pertains to the non-compete agreement that was in place as part of the asset purchase agreement dated August 11, 2008, and $808,000 pertains to the non-compete agreement pursuant to the asset purchase agreement dated May 8, 2013 that was restructured to expand the non-compete agreement in place effective August 11, 2008. | |||||||||||||
Amortization expense for the non-compete agreement was $19,000 for the three month periods ended August 3, 2014 and July 28, 2013. The remaining amortization expense for the next five fiscal years and thereafter follows: FY 2015 - $56,000; FY 2016 - $75,000; FY 2017 - $75,000; FY 2018- $75,000; FY 2019 - $75,000; and Thereafter - $679,000. | |||||||||||||
The weighted average amortization period for the non-compete agreement is 13.8 years as of August 3, 2014. | |||||||||||||
Customer Relationships | |||||||||||||
In connection with the asset purchase and consulting agreement with Bodet & Horst noted above, we purchased certain customer relationships. We recorded the customer relationships at its fair value based on a multi-period excess earnings valuation model. The gross carrying amount of these customer relationships was $868,000 at August 3, 2014, July 28, 2013, and April 27, 2014, respectively. Accumulated amortization for these customer relationships was $64,000, $13,000, and $51,000 at August 3, 2014, July 28, 2013, and April 27, 2014, respectively. | |||||||||||||
The customer relationships are amortized on a straight-line basis over its seventeen year useful life. Amortization expense for the customer relationships was $13,000 for the three months ending August 3, 2014 and July 28, 2013. The remaining amortization expense for the next five fiscal years and thereafter follows: FY 2015 - $38,000; FY 2016 - $51,000; FY 2017 - $51,000; FY 2018 - $51,000; FY 2019 - $51,000; and Thereafter - $562,000. | |||||||||||||
The weighted average amortization period for the non-compete agreement is 15.8 years as of August 3, 2014. | |||||||||||||
Cash Surrender Value – Life Insurance | |||||||||||||
On May 16, 2014, we entered into an agreement with a former employee and his irrevocable trust (the “Trust”) dated September 7, 1995. As a result of this agreement, a previous split dollar life insurance agreement in which we purchased a policy on the life of this former employee and his spouse, in which we retained ownership of the policy, paid premiums to support the policy, had the right to receive cash surrender value of the policy upon the second to die of the former employee and his spouse, with the Trust receiving the remainder of the policy’s death benefit ($2.5 million), was terminated. In connection with the termination of the previous split dollar life insurance agreement, we transferred the life insurance policy to the Trust. Also, we received cash proceeds in the amount of the cash surrender value policy totaling $320,000 during the second quarter of fiscal 2015. This amount was recorded in other current assets on our Consolidated Balance Sheet dated August 3, 2014. | |||||||||||||
After the settlement of the above life insurance agreement, we currently have one life insurance contract with a death benefit of $1.4 million and a cash surrender value balance of $320,000. This amount was recorded in other non-current assets on our Consolidated Balance Sheet dated August 3, 2014. | |||||||||||||
At August 3, 2014, July 28, 2013, and April 27, 2014, we had two life insurance contracts with death benefits to the respective insured totaling $3.9 million. Our cash surrender value – life insurance balances totaling $640,000, $622,000 and $644,000 at August 3, 2014, July 28, 2013 and April 27, 2014, respectively, are collectible upon death of the respective insured. |
Accrued_Expenses
Accrued Expenses | 3 Months Ended | ||||||||||||
Aug. 03, 2014 | |||||||||||||
Text Block [Abstract] | ' | ||||||||||||
Accrued Expenses | ' | ||||||||||||
8. Accrued Expenses | |||||||||||||
A summary of accrued expenses follows: | |||||||||||||
(dollars in thousands) | 3-Aug-14 | 28-Jul-13 | 27-Apr-14 | ||||||||||
Compensation, commissions and related benefits | $ | 4,053 | $ | 5,987 | $ | 7,388 | |||||||
Interest | 168 | 244 | 71 | ||||||||||
Other accrued expenses | 2,144 | 2,473 | 1,722 | ||||||||||
$ | 6,365 | $ | 8,704 | $ | 9,181 |
LongTerm_Debt_and_Lines_of_Cre
Long-Term Debt and Lines of Credit | 3 Months Ended | ||||||||||||
Aug. 03, 2014 | |||||||||||||
Debt Disclosure [Abstract] | ' | ||||||||||||
Long-Term Debt and Lines of Credit | ' | ||||||||||||
9. Long-Term Debt and Lines of Credit | |||||||||||||
A summary of long-term debt follows: | |||||||||||||
(dollars in thousands) | 3-Aug-14 | 28-Jul-13 | 27-Apr-14 | ||||||||||
Unsecured senior term notes | $ | 4,400 | $ | 6,600 | $ | 4,400 | |||||||
Current maturities of long-term debt | (2,200 | ) | (2,200 | ) | (2,200 | ) | |||||||
Long-term debt, less current maturities of long-term debt | $ | 2,200 | $ | 4,400 | $ | 2,200 | |||||||
Unsecured Term Notes | |||||||||||||
We entered into a note agreement dated August 11, 2008 that provided for the issuance of $11.0 million of unsecured term notes with a fixed interest rate of 8.01% and a term of seven years. Principal payments of $2.2 million per year are due on the notes beginning August 11, 2011. The remaining principal payments are payable over an average term of one year through August 11, 2015. Any principal pre-payments would be assessed a penalty as defined in the agreement. The agreement contains customary financial and other covenants as defined in the agreement. | |||||||||||||
Revolving Credit Agreement – United States | |||||||||||||
We have an unsecured credit agreement with Wells Fargo Bank, N.A. (“Wells Fargo”) that provides for an unsecured revolving loan commitment of $10.0 million to be used to finance working capital and general corporate purposes. The amount of borrowings that are outstanding under the credit agreement with Culp Europe noted below decrease the $10.0 million available. Interest is charged at a rate (applicable interest rate of 1.76%, 1.79%, and 1.75% at August 3, 2014, July 28, 2013, and April 27, 2014, respectively) equal to the one-month LIBOR rate plus a spread based on our ratio of debt to EBITDA as defined in the agreement. The credit agreement contains customary financial and other covenants as defined in the agreement and expires on August 31, 2015. | |||||||||||||
At August 3, 2014, July 28, 2013, and April 27, 2014, there was a $195,000 outstanding letter of credit (all of which related to workers compensation). At August 3, 2014, July 28, 2013, and April 27, 2014, there were no borrowings outstanding under the agreement. | |||||||||||||
Revolving Credit Agreement – China | |||||||||||||
We have an unsecured credit agreement associated with our operations in China that provides for a line of credit of up to 40 million RMB (approximately $6.5 million USD at August 3, 2014), expiring on May 9, 2015. This agreement has an interest rate determined by the Chinese government. There were no borrowings outstanding under the agreement as of August 3, 2014, July 28, 2013 and April 27, 2014. | |||||||||||||
Revolving Credit Agreement – Europe | |||||||||||||
As of April 27, 2014 and July 28, 2013, we had an unsecured credit agreement with Wells Fargo that bears interest at WIBOR (Warsaw Interbank Offered Rate) plus 2% (applicable interest rate of 4.38% and 4.625% at April 27, 2014 and July 28, 2013, respectively). There were $586,000 and $560,000 (1.8 million Polish Zloty) in borrowings outstanding under the agreement at April 27, 2014 and July 28, 2013, respectively. | |||||||||||||
Effective May 2, 2014, we converted our 1.8 million Polish Zloty denominated borrowings under the credit agreement to EURO denominated borrowings totaling €424,000 ($569,000 USD). In addition, our applicable interest rate was reduced to 2.31%. | |||||||||||||
In connection with the Wells Fargo credit agreement noted above, the outstanding borrowings totaling $569,000 at August 3, 2014, decrease the $10.0 million available under the credit agreement. | |||||||||||||
Overall | |||||||||||||
Our loan agreements require, among other things, that we maintain compliance with certain financial covenants. At August 3, 2014, the company was in compliance with these financial covenants. | |||||||||||||
At August 3, 2014, the principal payment requirements of long-term debt during the next two fiscal years are: 2015 – $2.2 million; and 2016 - $2.2 million. | |||||||||||||
The fair value of the company’s long-term debt is estimated by discounting the future cash flows at rates currently offered to the company for similar debt instruments of comparable maturities. At August 3, 2014, the carrying value of our long-term debt was $4.4 million and the fair value was $4.6 million. At July 28, 2013, the carrying value of the company’s long-term debt was $6.6 million and the fair value was $7.0 million. At April 27, 2014, the carrying value of the company’s long-term debt was $4.4 million and the fair value was $4.6 million. | |||||||||||||
Fair_Value_of_Financial_Instru
Fair Value of Financial Instruments | 3 Months Ended | ||||||||||||||||
Aug. 03, 2014 | |||||||||||||||||
Fair Value Disclosures [Abstract] | ' | ||||||||||||||||
Fair Value of Financial Instruments | ' | ||||||||||||||||
10. Fair Value of Financial Instruments | |||||||||||||||||
ASC Topic 820 establishes a fair value hierarchy that distinguishes between assumptions based on market data (observable inputs) and the company’s assumptions (unobservable inputs). Determining where an asset or liability falls within that hierarchy depends on the lowest level input that is significant to the fair value measurement as a whole. An adjustment to the pricing method used within either level 1 or level 2 inputs could generate a fair value measurement that effectively falls in a lower level in the hierarchy. The hierarchy consists of three broad levels as follows: | |||||||||||||||||
Level 1 – Quoted market prices in active markets for identical assets or liabilities; | |||||||||||||||||
Level 2 – Inputs other than level 1 inputs that are either directly or indirectly observable, and | |||||||||||||||||
Level 3 – Unobservable inputs developed using the company’s estimates and assumptions, which reflect those that market participants would use. | |||||||||||||||||
Recurring Basis | |||||||||||||||||
The following table presents information about assets and liabilities measured at fair value on a recurring basis: | |||||||||||||||||
Fair value measurements at August 3, 2014 using: | |||||||||||||||||
Quoted prices in | Significant other | Significant | |||||||||||||||
active markets | observable inputs | unobservable | |||||||||||||||
for identical | inputs | ||||||||||||||||
assets | |||||||||||||||||
(amounts in thousands) | Level 1 | Level 2 | Level 3 | Total | |||||||||||||
Assets: | |||||||||||||||||
Limited Term Bond Fund | $ | 2,578 | N/A | N/A | $ | 2,578 | |||||||||||
Low Duration Bond Fund | 2,078 | N/A | N/A | 2,078 | |||||||||||||
Premier Money Market Fund | 1,712 | N/A | N/A | 1,712 | |||||||||||||
Intermediate Term Bond Fund | 1,655 | N/A | N/A | 1,655 | |||||||||||||
Other | 37 | N/A | N/A | 37 | |||||||||||||
Fair value measurements at July 28, 2013 using: | |||||||||||||||||
Quoted prices in | Significant other | Significant | |||||||||||||||
active markets | observable inputs | unobservable | |||||||||||||||
for identical | inputs | ||||||||||||||||
assets | |||||||||||||||||
(amounts in thousands) | Level 1 | Level 2 | Level 3 | Total | |||||||||||||
Assets: | |||||||||||||||||
Limited Term Bond Fund | $ | 2,545 | N/A | N/A | $ | 2,545 | |||||||||||
Low Duration Bond Fund | 2,050 | N/A | N/A | 2,050 | |||||||||||||
Intermediate Term Bond Fund | 1,579 | N/A | N/A | 1,579 | |||||||||||||
Fair value measurements at April 27, 2014 using: | |||||||||||||||||
Quoted prices in | Significant other | Significant | |||||||||||||||
active markets | observable inputs | unobservable | |||||||||||||||
for identical | inputs | ||||||||||||||||
assets | |||||||||||||||||
(amounts in thousands) | Level 1 | Level 2 | Level 3 | Total | |||||||||||||
Assets: | |||||||||||||||||
Limited Term Bond Fund | $ | 2,576 | N/A | N/A | $ | 2,576 | |||||||||||
Low Duration Bond Fund | 2,077 | N/A | N/A | 2,077 | |||||||||||||
Intermediate Term Bond Fund | 1,641 | N/A | N/A | 1,641 | |||||||||||||
Premier Money Market Fund | 755 | N/A | N/A | 755 | |||||||||||||
Other | 10 | N/A | N/A | 10 | |||||||||||||
The determination of where an asset or liability falls in the hierarchy requires significant judgment. We evaluate our hierarchy disclosures each quarter based on various factors and it is possible that an asset or liability may be classified differently from quarter to quarter. However, we expect that changes in classifications between different levels will be rare. | |||||||||||||||||
Our short-term investments include short-term bond funds, are classified as available-for-sale, and their unrealized gains or losses are included in other comprehensive income (loss). Our short-term bond funds were recorded at their fair value of $6.3 million, $6.2 million and $6.3 million at August 3, 2014, July 28, 2013, and April 27, 2014, respectively. Our short-term bond funds had an accumulated unrealized loss totaling $70,000, $81,000, and $60,000 at August 3, 2014, July 28, 2013, and April 27, 2014, respectively. At August 3, 2014, July 28, 2013, and April 27, 2014, the fair value of our short-term bond funds approximated its cost basis. | |||||||||||||||||
Effective, January 1, 2014, we established a Rabbi Trust to set aside funds for participants of our deferred compensation plan (the “Plan”) and enable the participants to credit their contributions to various investment options of the Plan. The investments associated with the Rabbi Trust consist of investments in a money market fund and various mutual funds that are classified as available for sale. Our long-term investments are recorded at its fair value of $1.7 million and $765,000 at August 3, 2014 and April 27, 2014, respectively. The fair value of our long-term investments approximates its cost basis. | |||||||||||||||||
The carrying amount of cash and cash equivalents, accounts receivable, other current assets, accounts payable, accrued expenses, and line of credit approximates fair value because of the short maturity of these financial instruments. | |||||||||||||||||
Nonrecurring Basis | |||||||||||||||||
During the three months ended August 3, 2014, we did not have any financial assets that were required to be measured at fair value on a nonrecurring basis. | |||||||||||||||||
During fiscal 2014, we did not have any financial assets that were required to be measured at fair value on a nonrecurring basis other than the assets acquired from Bodet & Horst (see note 3) that were acquired at fair value. | |||||||||||||||||
Fair value measurements at April 27, 2014 and July, 28, 2013 using: | |||||||||||||||||
Quoted prices in | Significant other | Significant | |||||||||||||||
active markets | observable inputs | unobservable | |||||||||||||||
for identical | inputs | ||||||||||||||||
assets | |||||||||||||||||
(amounts in thousands) | Level 1 | Level 2 | Level 3 | Total | |||||||||||||
Assets: | |||||||||||||||||
Equipment | $ | - | $ | 890 | $ | - | $ | 890 | |||||||||
Non-compete Agreement | - | - | 882 | 882 | |||||||||||||
Customer Relationships | - | - | 868 | 868 | |||||||||||||
The equipment was classified as level 2 as the fair value was determined using quoted market prices from a third party. The non-compete was recorded at its fair value using a discounted cash flow valuation model that used significant unobservable inputs and was classified as level 3. The customer relationships were recorded at a fair value using a multi-period excess earnings valuation model that used significant unobservable inputs and was classified as level 3. |
Cash_Flow_Information
Cash Flow Information | 3 Months Ended | ||||||||
Aug. 03, 2014 | |||||||||
Supplemental Cash Flow Elements [Abstract] | ' | ||||||||
Cash Flow Information | ' | ||||||||
11. Cash Flow Information | |||||||||
Payments for interest and income taxes follows: | |||||||||
Three months ended | |||||||||
(dollars in thousands) | 3-Aug-14 | 28-Jul-13 | |||||||
Interest | $ | - | $ | 7 | |||||
Net income tax payments | 959 | 792 | |||||||
Interest costs of $30,000 for the construction of qualifying fixed assets were capitalized and are being amortized over the related assets’ useful lives for the three months ended August 3, 2014. No interest costs were capitalized for the three months ended July 28, 2013. | |||||||||
During the three months ended August 3, 2014, 995 shares of common stock were surrendered to satisfy withholding tax liabilities totaling $18,000 in connection with the vesting of 3,334 shares of time vested restricted common stock. During the three months ended July 28, 2013, 989 shares of common stock were surrendered to satisfy withholding tax liabilities totaling $15,000 in connection with the vesting of 3,333 shares of time vested restricted common stock. |
Net_Income_Per_Share
Net Income Per Share | 3 Months Ended | ||||||||
Aug. 03, 2014 | |||||||||
Earnings Per Share [Abstract] | ' | ||||||||
Net Income Per Share | ' | ||||||||
12. Net Income Per Share | |||||||||
Basic net income per share is computed using the weighted-average number of shares outstanding during the period. Diluted net income per share uses the weighted-average number of shares outstanding during the period plus the dilutive effect of stock-based compensation calculated using the treasury stock method. Weighted average shares used in the computation of basic and diluted net income per share follows: | |||||||||
Three months ended | |||||||||
(amounts in thousands) | 3-Aug-14 | 28-Jul-13 | |||||||
Weighted average common shares outstanding, basic | 12,212 | 12,148 | |||||||
Dilutive effect of stock-based compensation | 192 | 218 | |||||||
Weighted average common shares outstanding, diluted | 12,404 | 12,366 | |||||||
All options to purchase shares of common stock were included in the computation of diluted net income for the three months ended August 3, 2014 and July 28, 2013, as the exercise price of the options was less than the average market price of the common shares. | |||||||||
The computation of basic net income per share did not include 61,667 shares of time vested restricted common stock as these shares were unvested for the three months ending July 28, 2013. At August 3, 2014, there were no outstanding and unvested shares of time vested restricted common stock and therefore, the computation of basic net income per share was not affected. |
Segment_Information
Segment Information | 3 Months Ended | |||||||||||||
Aug. 03, 2014 | ||||||||||||||
Segment Reporting [Abstract] | ' | |||||||||||||
Segment Information | ' | |||||||||||||
13. Segment Information | ||||||||||||||
Our operations are classified into two business segments: mattress fabrics and upholstery fabrics. The mattress fabrics segment manufactures, sources, and sells fabrics and mattress covers to bedding manufacturers. The upholstery fabrics segment manufactures, sources, and sells fabrics primarily to residential furniture manufacturers. | ||||||||||||||
We evaluate the operating performance of our segments based upon income from operations before certain unallocated corporate expenses and other non-recurring items. Cost of sales in both segments include costs to manufacture or source our products, including costs such as raw material and finished goods purchases, direct and indirect labor, overhead and incoming freight charges. Unallocated corporate expenses primarily represent compensation and benefits for certain executive officers and all costs related to being a public company. Segment assets include assets used in the operations of each segment and primarily consist of accounts receivable, inventories, and property, plant and equipment. The mattress fabrics segment also includes in segment assets, goodwill, a non-compete agreement, and customer relationships associated with an acquisition. | ||||||||||||||
Financial information for the company’s operating segments follows: | ||||||||||||||
Three months ended | ||||||||||||||
(dollars in thousands) | 3-Aug-14 | 28-Jul-13 | ||||||||||||
Net sales: | ||||||||||||||
Mattress Fabrics | $ | 42,822 | $ | 38,164 | ||||||||||
Upholstery Fabrics | 33,238 | 31,977 | ||||||||||||
$ | 76,060 | $ | 70,141 | |||||||||||
Gross profit: | ||||||||||||||
Mattress Fabrics | $ | 7,202 | $ | 7,392 | ||||||||||
Upholstery Fabrics | 5,513 | 5,682 | ||||||||||||
$ | 12,715 | $ | 13,074 | |||||||||||
Selling, general, and administrative expenses: | ||||||||||||||
Mattress Fabrics | $ | 2,574 | $ | 2,374 | ||||||||||
Upholstery Fabrics | 3,452 | 3,266 | ||||||||||||
Total segment selling, general, and | ||||||||||||||
administrative expenses | 6,026 | 5,640 | ||||||||||||
Unallocated corporate expenses | 1,393 | 1,460 | ||||||||||||
$ | 7,419 | $ | 7,100 | |||||||||||
Income from operations: | ||||||||||||||
Mattress Fabrics | $ | 4,629 | $ | 5,018 | ||||||||||
Upholstery Fabrics | 2,060 | 2,416 | ||||||||||||
Total segment income from operations | 6,689 | 7,434 | ||||||||||||
Unallocated corporate expenses | (1,393 | ) | (1,460 | ) | ||||||||||
Total income from operations | 5,296 | 5,974 | ||||||||||||
Interest expense | (68 | ) | (140 | ) | ||||||||||
Interest income | 142 | 92 | ||||||||||||
Other income (expense) | 89 | (391 | ) | |||||||||||
Income before income taxes | $ | 5,459 | $ | 5,535 | ||||||||||
Balance sheet information for the company’s operating segments follow: | ||||||||||||||
(dollars in thousands) | 3-Aug-14 | 28-Jul-13 | 27-Apr-14 | |||||||||||
Segment assets: | ||||||||||||||
Mattress Fabrics | ||||||||||||||
Current assets (1) | $ | 37,970 | $ | 35,718 | $ | 36,229 | ||||||||
Non-compete agreement | 1,035 | 1,061 | 1,041 | |||||||||||
Customer relationships | 804 | 855 | 817 | |||||||||||
Goodwill | 11,462 | 11,462 | 11,462 | |||||||||||
Property, plant and equipment (2) | 29,604 | 28,552 | 29,040 | |||||||||||
Total mattress fabrics assets | 80,875 | 77,648 | 78,589 | |||||||||||
Upholstery Fabrics | ||||||||||||||
Current assets (1) | 27,957 | 30,545 | 31,854 | |||||||||||
Property, plant and equipment (3) | 1,580 | 1,549 | 1,573 | |||||||||||
Total upholstery fabrics assets | 29,537 | 32,094 | 33,427 | |||||||||||
Total segment assets | 110,412 | 109,742 | 112,016 | |||||||||||
Non-segment assets: | ||||||||||||||
Cash and cash equivalents | 24,665 | 21,423 | 29,303 | |||||||||||
Short-term investments | 6,311 | 6,174 | 6,294 | |||||||||||
Deferred income taxes | 7,176 | 8,398 | 8,270 | |||||||||||
Income taxes receivable | 136 | 292 | 121 | |||||||||||
Other current assets | 2,308 | 3,408 | 2,344 | |||||||||||
Property, plant and equipment (4) | 707 | 707 | 763 | |||||||||||
Long-term investments | 1,749 | - | 765 | |||||||||||
Other assets | 748 | 957 | 1,059 | |||||||||||
Total assets | $ | 154,212 | $ | 151,101 | $ | 160,935 | ||||||||
Three months ended | ||||||||||||||
(dollars in thousands) | 3-Aug-14 | 28-Jul-13 | ||||||||||||
Capital expenditures (5): | ||||||||||||||
Mattress Fabrics | $ | 2,129 | $ | 263 | ||||||||||
Upholstery Fabrics | 112 | 390 | ||||||||||||
Unallocated Corporate | 19 | 5 | ||||||||||||
Total capital expenditures | $ | 2,260 | $ | 658 | ||||||||||
Depreciation expense: | ||||||||||||||
Mattress Fabrics | $ | 1,219 | $ | 1,149 | ||||||||||
Upholstery Fabrics | 180 | 156 | ||||||||||||
Total depreciation expense | $ | 1,399 | $ | 1,305 | ||||||||||
-1 | Current assets represent accounts receivable and inventory for the respective segment. | |||||||||||||
-2 | The $29.6 million at August 3, 2014, represents property, plant, and equipment of $21.2 million and $8.4 million located in the U.S. and Canada, respectively. The $28.6 million at July 28, 2013, represents property, plant, and equipment of $20.7 million and $7.9 million located in the U.S. and Canada, respectively. The $29.0 million at April 27, 2014, represents property, plant, and equipment of $20.6 million and $8.4 million located in the U.S. and Canada, respectively. | |||||||||||||
-3 | The $1.6 million at August 3, 2014, represents property, plant, and equipment located in the U.S. of $911, located in China of $627, and located in Poland of $42. The $1.5 million at July 28, 2013, represents property, plant, and equipment located in the U.S. of $1.1 million, located in China of $371, and located in Poland of $53. The $1.6 million at April 27, 2014, represents property, plant, and equipment located in the U.S. of $957, located in China of $572, and located in Poland of $44. | |||||||||||||
-4 | The $707, $707, and $763 at August 3, 2014, July 28, 2013 and April 27, 2014, respectively, represent property, plant, and equipment associated with unallocated corporate departments and corporate departments shared by both the mattress and upholstery fabric segments. Property, plant, and equipment associated with corporate are located in the U.S. | |||||||||||||
-5 | Capital expenditure amounts are stated on the accrual basis. See Consolidated Statements of Cash Flows for capital expenditure amounts on a cash basis. |
Income_Taxes
Income Taxes | 3 Months Ended | |
Aug. 03, 2014 | ||
Income Tax Disclosure [Abstract] | ' | |
Income Taxes | ' | |
14. Income Taxes | ||
Effective Income Tax Rate | ||
We recorded income tax expense of $2.1 million, or 38.7% of income before income tax expense, for the three month period ended August 3, 2014, compared to income tax expense of $2.3 million, or 41.6% of income before income tax expense, for the three month period ended July 28, 2013. Our effective income tax rates for the three month periods ended August 3, 2014 and July 28, 2013 were based upon the estimated effective income tax rate applicable for the full year after giving effect to any significant items related specifically to interim periods. The effective income tax rate can be affected over the fiscal year by the mix and timing of actual earnings from our U.S. operations and foreign sources versus annual projections and changes in foreign currencies in relation to the U.S. dollar. | ||
The income tax expense for the three month period ended August 3, 2014 is different from the amount obtained by applying our statutory rate of 34% to income before income taxes for the following reasons: | ||
● | The income tax rate decreased by 6% for taxable income subject to lower statutory income tax rates in foreign jurisdictions (Canada and China) compared with the statutory income tax rate of 34% for the United States. | |
● | The income tax rate increased by 5% for an increase in unrecognized tax benefits. | |
● | The income tax rate increased by 5.7% for stock-based compensation and other miscellaneous items. | |
The income tax expense for the three month period ended July 28, 2013 is different from the amount obtained by applying our statutory rate of 34% to income before income taxes for the following reasons: | ||
● | The income tax rate increased 5% for adjustments primarily made to our state of North Carolina loss carryforwards for the decrease in future North Carolina corporate income tax rates commencing in fiscal 2015 and beyond. These adjustments totaled $273,000 and represented a discrete event in which the full tax effects were recorded in the first quarter of fiscal 2014. | |
● | The income tax rate decreased by 6% for taxable income subject to lower statutory income tax rates in foreign jurisdictions (Canada and China) compared with the statutory income tax rate of 34% for the United States. | |
● | The income tax rate increased 4% for an increase in unrecognized tax benefits. | |
● | The income tax rate was increased by 4.6% for stock-based compensation and other miscellaneous items. | |
Deferred Income Taxes | ||
Valuation Allowance | ||
In accordance with ASC Topic 740, we evaluate our deferred income taxes to determine if a valuation allowance is required. ASC Topic 740 requires that companies assess whether a valuation allowance should be established based on the consideration of all available evidence using a “more likely than not” standard, with significant weight being given to evidence that can be objectively verified. Since the company operates in multiple jurisdictions, we assess the need for a valuation allowance on a jurisdiction-by-jurisdiction basis, taking into account the effects of local tax law. Based on our assessment at August 3, 2014, we recorded a partial valuation allowance of $1.1 million, of which $666,000 pertained to certain U.S. state net operating loss carryforwards and credits and $419,000 pertained to loss carryfowards associated with our Culp Europe operation located in Poland. Based on our assessment at July 28, 2013, we recorded a partial valuation allowance of $1.1 million, of which $722,000 pertained to certain U.S. state net operating loss carryforwards and credits and $328,000 pertained to loss carryfowards associated with our Culp Europe operation located in Poland. Based on our assessment at April 27, 2014, we recorded a partial valuation allowance of $977,000, of which $666,000 pertained to certain U.S. state net operating loss carryforwards and credits and $311,000 pertained to loss carryfowards associated with our Culp Europe operation located in Poland. | ||
No valuation allowance was recorded against our net deferred tax assets associated with our operations located in China and Canada at August 3, 2014, July 28, 2013, and April 27, 2014, respectively. | ||
The recorded valuation allowance of $1.1 million at August 3, 2014, has no effect on our operations, loan covenant compliance, or the possible realization of certain U.S. state net operating loss carryforwards and credits and our loss carryforwards associated with our Culp Europe operation located in Poland. If it is determined that it is more-likely-than-not that we will realize any of these deferred tax assets, an income tax benefit will be recognized at that time. | ||
Undistributed Earnings | ||
In accordance with ASC Topic 740, we assess whether the undistributed earnings from our foreign subsidiaries will be reinvested indefinitely or eventually distributed to our U.S. parent company. ASC Topic 740 requires that a deferred tax liability should be recorded for undistributed earnings from foreign subsidiaries that will not be reinvested indefinitely. Based on our assessment as of August 3, 2014, it is our intention not to permanently invest our undistributed earnings from our foreign subsidiaries. Also, we assess the recognition of U.S. foreign income tax credits associated with foreign withholding and income tax payments and whether it is more-likely-than-not that our foreign income tax credits will not be realized. If it is determined that any foreign income tax credits need to be recognized or it is more-likely-than-not our foreign income tax credits will not be realized, an adjustment to our provision for income taxes will be recognized at that time. | ||
At August 3, 2014, the deferred tax liability associated with our undistributed earnings from our foreign subsidiaries totaled $2.1 million, which included U.S. income and foreign withholding taxes totaling $29.4 million, offset by U.S. foreign income tax credits of $27.3 million. At July 28, 2013, the deferred tax liability associated with our undistributed earnings from our foreign subsidiaries totaled $7.1 million, which included U.S. income and foreign withholding taxes totaling $22.3 million, offset by U.S. foreign income tax credits of $15.2 million. At April 27, 2014, the deferred tax liability associated with our undistributed earnings from our foreign subsidiaries totaled $2.0 million, which included U.S. income and foreign withholding taxes totaling $28.1 million, offset by U.S. foreign income tax credits of $26.1 million. | ||
We had accumulated earnings from our foreign subsidiaries totaling $75.8 million, $57.5 million, and $72.8 million at August 3, 2014, July 28, 2013, and April 27, 2014, respectively. | ||
Overall | ||
At August 3, 2014, the current deferred tax asset of $6.2 million represents $5.8 million and $405,000 from our operations located in the U.S. and China, respectively. At August 3, 2014, the non-current deferred tax asset of $973,000 represents $440,000 and $533,000 from our operations located in the U.S. and China, respectively. At August 3, 2014, the non-current deferred tax liability of $1.0 million pertains to our operations located in Canada. | ||
At July 28, 2013, the current deferred tax asset of $7.7 million represents $7.4 million and $302,000 from our operations located in the U.S. and China, respectively. At July 28, 2013, the non-current deferred tax asset of $651,000 pertains to our operations located in China. At July 28, 2013, the non-current deferred tax liability of $4.3 million represents $3.2 million and $1.1 million from operations located in the U.S. and Canada, respectively. | ||
At April 27, 2014, the current deferred tax asset of $6.2 million represents $5.8 million and $372,000 from our operations located in the U.S. and China, respectively. At April 27, 2014, the non-current deferred tax asset of $2.0 million represents $1.4 million and $572,000 from our operations located in the U.S. and China, respectively. At April 27, 2014, the non-current deferred tax liability of $1.0 million pertained to our operations located in Canada. | ||
Uncertainty In Income Taxes | ||
At August 3, 2014, we had a $14.0 million total gross unrecognized tax benefit, of which $4.0 million represents the amount of gross unrecognized tax benefits that, if recognized, would favorably affect the income tax rate in future periods. At July 28, 2013, we had a $13.3 million total gross unrecognized tax benefit, of which $4.2 million represents the amount of gross unrecognized tax benefits that, if recognized, would favorably affect the income tax rate in future periods. At April 27, 2014, we had a $13.7 million total gross unrecognized tax benefit, of which $4.0 million represents the amount of gross unrecognized tax benefits that, if recognized, would favorably affect the income tax rate in future periods. | ||
At August 3, 2014, we had a $14.0 million total gross unrecognized tax benefit, of which $10.0 million and $4.0 million were classified as net non-current deferred income taxes and income taxes payable – long-term, respectively, in the accompanying consolidated balance sheets. At July 28, 2013, we had a $13.3 million total gross unrecognized tax benefit, of which $9.1 million and $4.2 million were classified as net non-current deferred income taxes and income taxes payable – long-term, respectively, in the accompanying consolidated balance sheets. At April 27, 2014, we had $13.7 million of total gross unrecognized tax benefit, of which $9.7 million and $4.0 million were classified as net non-current deferred income taxes and income taxes payable – long-term, respectively, in the accompanying consolidated balance sheets. | ||
We estimate that the amount of gross unrecognized tax benefits will increase by approximately $802,000 for fiscal 2015. This increase primarily relates to double taxation under applicable tax treaties with foreign tax jurisdictions. |
Statutory_Reserves
Statutory Reserves | 3 Months Ended |
Aug. 03, 2014 | |
Text Block [Abstract] | ' |
Statutory Reserves | ' |
15. Statutory Reserves | |
Our subsidiaries located in China are required to transfer 10% of their net income, as determined in accordance with the People’s Republic of China (PRC) accounting rules and regulations, to a statutory surplus reserve fund until such reserve balance reaches 50% of the company’s registered capital. | |
The transfer to this reserve must be made before distributions of any dividend to shareholders. As of August 3, 2014, the company’s statutory surplus reserve was $4.9 million, representing 10% of accumulated earnings and profits determined in accordance with PRC accounting rules and regulations. The surplus reserve fund is non-distributable other than during liquidation and can be used to fund previous years’ losses, if any, and may be utilized for business expansion or converted into share capital by issuing new shares to existing shareholders in proportion to their shareholding or by increasing the par value of the shares currently held by them provided that the remaining reserve balance after such issue is not less than 25% of the registered capital. | |
Our subsidiaries located in China can transfer funds to the parent company with the exception of the statutory surplus reserve of $4.9 million to assist with debt repayment, capital expenditures, and other expenses of the company’s business. |
Commitments_and_Contingencies
Commitments and Contingencies | 3 Months Ended | |
Aug. 03, 2014 | ||
Commitments And Contingencies Disclosure [Abstract] | ' | |
Commitments and Contingencies | ' | |
16 | Commitments and Contingencies | |
Chromatex Environmental Claim | ||
A lawsuit was filed against us and other defendants (Chromatex, Inc., Rossville Industries, Inc., Rossville Companies, Inc. and Rossville Investments, Inc.) on February 5, 2008 in the United States District Court for the Middle District of Pennsylvania. The plaintiffs are Alan Shulman, Stanley Siegel, Ruth Cherenson as Personal Representative of Estate of Alan Cherenson, and Adrienne Rolla and M.F. Rolla as Executors of the Estate of Joseph Byrnes. The plaintiffs were partners in a general partnership that formerly owned a manufacturing plant in West Hazleton, Pennsylvania (the “Site”). Approximately two years after this general partnership sold the Site to defendants Chromatex, Inc. and Rossville Industries, Inc., we leased and operated the Site as part of our Rossville/Chromatex division. The lawsuit involves court judgments that have been entered against the plaintiffs and against defendant Chromatex, Inc. requiring them to pay costs incurred by the United States Environmental Protection Agency (“USEPA”) responding to environmental contamination at the Site, in amounts approximating $14 million, plus unspecified future environmental costs. Neither USEPA nor any other governmental authority has asserted any claim against us on account of these matters. The plaintiffs seek contribution from us and other defendants and a declaration that the company and the other defendants are responsible for environmental response costs under environmental laws and certain agreements. The plaintiffs also asserted that we tortiously interfered with contracts between them and other defendants in the case and diverted assets to prevent the plaintiffs from being paid monies owed to them. We have defended ourselves vigorously with regards to the matters described in this litigation. In addition, we have an indemnification agreement with certain other defendants in the litigation pursuant to which the other defendants agreed to indemnify us for any damages we incur as a result of the environmental matters that are the subject of this litigation, although it is unclear whether the indemnitors have significant assets at this time. | ||
In the first quarter of fiscal 2014, the parties to this lawsuit reached a tentative settlement of all matters, which would require us to contribute cash to a global settlement fund. Consequently, we recorded a charge of $206,000 to other expense in the fiscal 2014 Consolidated Statement of Net Income. In the fourth quarter of fiscal 2014, we paid the $206,000 tentative settlement amount. Subsequently, the settlement was reviewed by the government and during the first quarter of fiscal 2015 the court approved the final agreement by the parties involved. The lawsuit was dismissed on June 5, 2014. | ||
Other Litigation | ||
The company is involved in legal proceedings and claims which have arisen in the ordinary course of business. Management has determined that it is not reasonably possible that these actions, when ultimately concluded and settled, will have a material adverse effect upon the financial position, results of operations, or cash flows of the company. | ||
Purchase Commitments | ||
At August 3, 2014, July 28, 2013, and April 27, 2014, we had open purchase commitments to acquire equipment for our mattress fabrics segment totaling $3.5 million, $403,000 and $3.4 million, respectively. |
Common_Stock_Repurchase_Progra
Common Stock Repurchase Program | 3 Months Ended |
Aug. 03, 2014 | |
Text Block [Abstract] | ' |
Common Stock Repurchase Program | ' |
17. Common Stock Repurchase Program | |
On February 25, 2014, we announced that our board of directors approved an authorization for us to acquire up to $5.0 million of our common stock. Under the common stock repurchase program, shares may be purchased from time to time in open market transactions, block trades, through plans established under the Securities Exchange Act Rule 10b5-1, or otherwise. The amount of shares purchased and the timing of such purchases will be based on working capital requirements, market and general business conditions, and other factors including alternative investment opportunities. | |
During the first quarter of fiscal 2015, we repurchased 32,269 shares of our common stock at a cost of $556,000. During the first quarter of fiscal 2014, we did not repurchase any shares of common stock. |
Dividend_Program
Dividend Program | 3 Months Ended |
Aug. 03, 2014 | |
Text Block [Abstract] | ' |
Dividend Program | ' |
18. Dividend Program | |
On June 12, 2014, we announced that our board of directors approved the payments of a special cash dividend of $0.40 per share and a quarterly cash dividend of $0.05 per share. These dividend payments were paid on July 15, 2014, to shareholders of record on July 1, 2014. During the first quarter of fiscal 2015, dividend payments totaled $5.5 million, of which $4.9 million represented the special cash dividend payment of $0.40 per share, and $611,000 represented the quarterly dividend payment of $0.05 per share. | |
During the first quarter of fiscal 2014, we paid a quarterly dividend of $0.04 per share or $489,000. | |
On September 4, 2014, we announced that our board of directors approved the payment of a quarterly cash dividend of $0.05 per share. This payment will be made on October 15, 2014, to shareholders of record as of October 1, 2014. | |
Future dividend payments are subject to board approval and may be adjusted at the board’s discretion as business needs or market conditions change. |
Significant_Accounting_Policie1
Significant Accounting Policies (Policies) | 3 Months Ended |
Aug. 03, 2014 | |
Accounting Policies [Abstract] | ' |
Recently Adopted and Issued Accounting Pronouncements | ' |
Recently Adopted Accounting Pronouncements | |
None | |
Recently Issued Accounting Pronouncements | |
In June 2014, the Financial Accounting Standards Board (“FASB”) amended its authoritative guidance on accounting for certain share-based payment awards. The amended guidance requires that share-based compensation awards with terms of a performance target that affects vesting, and that could be achieved after the requisite service period, be treated as a performance condition. As such, the performance target should not be reflected in estimating the grant-date fair value of the award and compensation cost should be recognized in the period in which it becomes probable that the performance target will be achieved. The guidance will be effective in our fiscal 2017 first quarter. The guidance will permit an entity to apply the amendments in the update either (a) prospectively to all awards granted or modified after the effective date or (b) retrospectively to all awards with performance targets that are outstanding as of the beginning of the earliest annual period presented in the consolidated financial statements and to all new or modified awards thereafter. Currently, we do not have any share-based payment awards with terms of a performance target that affects vesting and could be achieved after the requisite service period. We will apply this new guidance when it becomes effective, and we will evaluate the impact of adoption on our consolidated financial statements. | |
In May 2014, the FASB issued accounting guidance on revenue recognition. The amended guidance will enhance the comparability of revenue recognition practices and will be applied to all contracts with customers. Improved disclosures related to the nature, amount, timing, and uncertainty of revenue that is recognized are requirements under the amended guidance. This guidance will be effective in our fiscal 2018 first quarter and will be required to be applied retrospectively. We are currently assessing the impact that this guidance will have on our consolidated financial statements at this time. |
Business_Combinations_Mattress1
Business Combinations - Mattress Fabric Segment (Tables) | 3 Months Ended | ||||
Aug. 03, 2014 | |||||
Business Combinations [Abstract] | ' | ||||
Schedule of Allocation of Acquisition Cost to Assets Acquired Based on Fair Values | ' | ||||
The following table presents the allocation of the acquisition cost to the assets acquired based on their fair values: | |||||
(dollars in thousands) | Fair Value | ||||
Equipment (Note 10) | $ | 890 | |||
Non-compete agreement (Notes 7 and 10) | 882 | ||||
Customer relationships (Notes 7 and 10) | 868 | ||||
$ | 2,640 |
Accounts_Receivable_Tables
Accounts Receivable (Tables) | 3 Months Ended | ||||||||||||
Aug. 03, 2014 | |||||||||||||
Receivables [Abstract] | ' | ||||||||||||
Summary of Accounts Receivable | ' | ||||||||||||
A summary of accounts receivable follows: | |||||||||||||
(dollars in thousands) | 3-Aug-14 | 28-Jul-13 | 27-Apr-14 | ||||||||||
Customers | $ | 25,212 | $ | 25,829 | $ | 28,461 | |||||||
Allowance for doubtful accounts | (438 | ) | (743 | ) | (573 | ) | |||||||
Reserve for returns and allowances and discounts | (535 | ) | (593 | ) | (479 | ) | |||||||
$ | 24,239 | $ | 24,493 | $ | 27,409 | ||||||||
Summary of the Activity in the Allowance for Doubtful Accounts | ' | ||||||||||||
A summary of the activity in the allowance for doubtful accounts follows: | |||||||||||||
Three months ended | |||||||||||||
(dollars in thousands) | 3-Aug-14 | 28-Jul-13 | |||||||||||
Beginning balance | $ | (573 | ) | $ | (780 | ) | |||||||
Provision for bad debts | 69 | 7 | |||||||||||
Net write-offs, net of recoveries | 66 | 30 | |||||||||||
Ending balance | $ | (438 | ) | $ | (743 | ) | |||||||
Summary of the Activity in the Allowance for Returns and Allowances and Discounts Accounts | ' | ||||||||||||
A summary of the activity in the allowance for returns and allowances and discounts accounts follows: | |||||||||||||
Three months ended | |||||||||||||
(dollars in thousands) | 3-Aug-14 | 28-Jul-13 | |||||||||||
Beginning balance | $ | (479 | ) | $ | (543 | ) | |||||||
Provision for returns, allowances | |||||||||||||
and discounts | (658 | ) | (653 | ) | |||||||||
Credits issued | 602 | 603 | |||||||||||
Ending balance | $ | (535 | ) | $ | (593 | ) |
Inventories_Tables
Inventories (Tables) | 3 Months Ended | ||||||||||||
Aug. 03, 2014 | |||||||||||||
Inventory Disclosure [Abstract] | ' | ||||||||||||
Summary of Inventories | ' | ||||||||||||
A summary of inventories follows: | |||||||||||||
(dollars in thousands) | 3-Aug-14 | 28-Jul-13 | 27-Apr-14 | ||||||||||
Raw materials | $ | 6,145 | $ | 5,960 | $ | 6,707 | |||||||
Work-in-process | 2,174 | 2,228 | 2,263 | ||||||||||
Finished goods | 33,369 | 33,582 | 31,704 | ||||||||||
$ | 41,688 | $ | 41,770 | $ | 40,674 | ||||||||
Other_Assets_Tables
Other Assets (Tables) | 3 Months Ended | ||||||||||||
Aug. 03, 2014 | |||||||||||||
Text Block [Abstract] | ' | ||||||||||||
Summary of Other Assets | ' | ||||||||||||
A summary of other assets follows: | |||||||||||||
(dollars in thousands) | 3-Aug-14 | 28-Jul-13 | 27-Apr-14 | ||||||||||
Cash surrender value – life insurance | $ | 320 | $ | 622 | $ | 644 | |||||||
Non-compete agreement | 1,035 | 1,061 | 1,041 | ||||||||||
Customer relationships | 804 | 855 | 817 | ||||||||||
Other | 428 | 335 | 415 | ||||||||||
$ | 2,587 | $ | 2,873 | $ | 2,917 |
Accrued_Expenses_Tables
Accrued Expenses (Tables) | 3 Months Ended | ||||||||||||
Aug. 03, 2014 | |||||||||||||
Text Block [Abstract] | ' | ||||||||||||
Summary of Accrued Expenses | ' | ||||||||||||
A summary of accrued expenses follows: | |||||||||||||
(dollars in thousands) | 3-Aug-14 | 28-Jul-13 | 27-Apr-14 | ||||||||||
Compensation, commissions and related benefits | $ | 4,053 | $ | 5,987 | $ | 7,388 | |||||||
Interest | 168 | 244 | 71 | ||||||||||
Other accrued expenses | 2,144 | 2,473 | 1,722 | ||||||||||
$ | 6,365 | $ | 8,704 | $ | 9,181 |
LongTerm_Debt_and_Lines_of_Cre1
Long-Term Debt and Lines of Credit (Tables) | 3 Months Ended | ||||||||||||
Aug. 03, 2014 | |||||||||||||
Debt Disclosure [Abstract] | ' | ||||||||||||
Summary of Long-Term Debt | ' | ||||||||||||
A summary of long-term debt follows: | |||||||||||||
(dollars in thousands) | 3-Aug-14 | 28-Jul-13 | 27-Apr-14 | ||||||||||
Unsecured senior term notes | $ | 4,400 | $ | 6,600 | $ | 4,400 | |||||||
Current maturities of long-term debt | (2,200 | ) | (2,200 | ) | (2,200 | ) | |||||||
Long-term debt, less current maturities of long-term debt | $ | 2,200 | $ | 4,400 | $ | 2,200 |
Fair_Value_of_Financial_Instru1
Fair Value of Financial Instruments (Tables) | 3 Months Ended | ||||||||||||||||
Aug. 03, 2014 | |||||||||||||||||
Fair Value Disclosures [Abstract] | ' | ||||||||||||||||
Schedule of Assets and Liabilities Measured at Fair Value on a Recurring Basis | ' | ||||||||||||||||
The following table presents information about assets and liabilities measured at fair value on a recurring basis: | |||||||||||||||||
Fair value measurements at August 3, 2014 using: | |||||||||||||||||
Quoted prices in | Significant other | Significant | |||||||||||||||
active markets | observable inputs | unobservable | |||||||||||||||
for identical | inputs | ||||||||||||||||
assets | |||||||||||||||||
(amounts in thousands) | Level 1 | Level 2 | Level 3 | Total | |||||||||||||
Assets: | |||||||||||||||||
Limited Term Bond Fund | $ | 2,578 | N/A | N/A | $ | 2,578 | |||||||||||
Low Duration Bond Fund | 2,078 | N/A | N/A | 2,078 | |||||||||||||
Premier Money Market Fund | 1,712 | N/A | N/A | 1,712 | |||||||||||||
Intermediate Term Bond Fund | 1,655 | N/A | N/A | 1,655 | |||||||||||||
Other | 37 | N/A | N/A | 37 | |||||||||||||
Fair value measurements at July 28, 2013 using: | |||||||||||||||||
Quoted prices in | Significant other | Significant | |||||||||||||||
active markets | observable inputs | unobservable | |||||||||||||||
for identical | inputs | ||||||||||||||||
assets | |||||||||||||||||
(amounts in thousands) | Level 1 | Level 2 | Level 3 | Total | |||||||||||||
Assets: | |||||||||||||||||
Limited Term Bond Fund | $ | 2,545 | N/A | N/A | $ | 2,545 | |||||||||||
Low Duration Bond Fund | 2,050 | N/A | N/A | 2,050 | |||||||||||||
Intermediate Term Bond Fund | 1,579 | N/A | N/A | 1,579 | |||||||||||||
Fair value measurements at April 27, 2014 using: | |||||||||||||||||
Quoted prices in | Significant other | Significant | |||||||||||||||
active markets | observable inputs | unobservable | |||||||||||||||
for identical | inputs | ||||||||||||||||
assets | |||||||||||||||||
(amounts in thousands) | Level 1 | Level 2 | Level 3 | Total | |||||||||||||
Assets: | |||||||||||||||||
Limited Term Bond Fund | $ | 2,576 | N/A | N/A | $ | 2,576 | |||||||||||
Low Duration Bond Fund | 2,077 | N/A | N/A | 2,077 | |||||||||||||
Intermediate Term Bond Fund | 1,641 | N/A | N/A | 1,641 | |||||||||||||
Premier Money Market Fund | 755 | N/A | N/A | 755 | |||||||||||||
Other | 10 | N/A | N/A | 10 | |||||||||||||
Schedule of Assets and Liabilities Measured at Fair Value on a Nonrecurring Basis | ' | ||||||||||||||||
Fair value measurements at April 27, 2014 and July, 28, 2013 using: | |||||||||||||||||
Quoted prices in | Significant other | Significant | |||||||||||||||
active markets | observable inputs | unobservable | |||||||||||||||
for identical | inputs | ||||||||||||||||
assets | |||||||||||||||||
(amounts in thousands) | Level 1 | Level 2 | Level 3 | Total | |||||||||||||
Assets: | |||||||||||||||||
Equipment | $ | - | $ | 890 | $ | - | $ | 890 | |||||||||
Non-compete Agreement | - | - | 882 | 882 | |||||||||||||
Customer Relationships | - | - | 868 | 868 |
Cash_Flow_Information_Tables
Cash Flow Information (Tables) | 3 Months Ended | ||||||||
Aug. 03, 2014 | |||||||||
Supplemental Cash Flow Elements [Abstract] | ' | ||||||||
Schedule of Payments for Interest and Income Taxes | ' | ||||||||
Payments for interest and income taxes follows: | |||||||||
Three months ended | |||||||||
(dollars in thousands) | 3-Aug-14 | 28-Jul-13 | |||||||
Interest | $ | - | $ | 7 | |||||
Net income tax payments | 959 | 792 |
Net_Income_Per_Share_Tables
Net Income Per Share (Tables) | 3 Months Ended | ||||||||
Aug. 03, 2014 | |||||||||
Earnings Per Share [Abstract] | ' | ||||||||
Schedule of Weighted Average Shares Used in the Computation of Basic and Diluted Net Income Per Share | ' | ||||||||
Weighted average shares used in the computation of basic and diluted net income per share follows: | |||||||||
Three months ended | |||||||||
(amounts in thousands) | 3-Aug-14 | 28-Jul-13 | |||||||
Weighted average common shares outstanding, basic | 12,212 | 12,148 | |||||||
Dilutive effect of stock-based compensation | 192 | 218 | |||||||
Weighted average common shares outstanding, diluted | 12,404 | 12,366 |
Segment_Information_Tables
Segment Information (Tables) | 3 Months Ended | |||||||||||||
Aug. 03, 2014 | ||||||||||||||
Segment Reporting [Abstract] | ' | |||||||||||||
Schedule of Operating Segments Information | ' | |||||||||||||
Financial information for the company’s operating segments follows: | ||||||||||||||
Three months ended | ||||||||||||||
(dollars in thousands) | 3-Aug-14 | 28-Jul-13 | ||||||||||||
Net sales: | ||||||||||||||
Mattress Fabrics | $ | 42,822 | $ | 38,164 | ||||||||||
Upholstery Fabrics | 33,238 | 31,977 | ||||||||||||
$ | 76,060 | $ | 70,141 | |||||||||||
Gross profit: | ||||||||||||||
Mattress Fabrics | $ | 7,202 | $ | 7,392 | ||||||||||
Upholstery Fabrics | 5,513 | 5,682 | ||||||||||||
$ | 12,715 | $ | 13,074 | |||||||||||
Selling, general, and administrative expenses: | ||||||||||||||
Mattress Fabrics | $ | 2,574 | $ | 2,374 | ||||||||||
Upholstery Fabrics | 3,452 | 3,266 | ||||||||||||
Total segment selling, general, and | ||||||||||||||
administrative expenses | 6,026 | 5,640 | ||||||||||||
Unallocated corporate expenses | 1,393 | 1,460 | ||||||||||||
$ | 7,419 | $ | 7,100 | |||||||||||
Income from operations: | ||||||||||||||
Mattress Fabrics | $ | 4,629 | $ | 5,018 | ||||||||||
Upholstery Fabrics | 2,060 | 2,416 | ||||||||||||
Total segment income from operations | 6,689 | 7,434 | ||||||||||||
Unallocated corporate expenses | (1,393 | ) | (1,460 | ) | ||||||||||
Total income from operations | 5,296 | 5,974 | ||||||||||||
Interest expense | (68 | ) | (140 | ) | ||||||||||
Interest income | 142 | 92 | ||||||||||||
Other income (expense) | 89 | (391 | ) | |||||||||||
Income before income taxes | $ | 5,459 | $ | 5,535 | ||||||||||
Balance sheet information for the company’s operating segments follow: | ||||||||||||||
(dollars in thousands) | 3-Aug-14 | 28-Jul-13 | 27-Apr-14 | |||||||||||
Segment assets: | ||||||||||||||
Mattress Fabrics | ||||||||||||||
Current assets (1) | $ | 37,970 | $ | 35,718 | $ | 36,229 | ||||||||
Non-compete agreement | 1,035 | 1,061 | 1,041 | |||||||||||
Customer relationships | 804 | 855 | 817 | |||||||||||
Goodwill | 11,462 | 11,462 | 11,462 | |||||||||||
Property, plant and equipment (2) | 29,604 | 28,552 | 29,040 | |||||||||||
Total mattress fabrics assets | 80,875 | 77,648 | 78,589 | |||||||||||
Upholstery Fabrics | ||||||||||||||
Current assets (1) | 27,957 | 30,545 | 31,854 | |||||||||||
Property, plant and equipment (3) | 1,580 | 1,549 | 1,573 | |||||||||||
Total upholstery fabrics assets | 29,537 | 32,094 | 33,427 | |||||||||||
Total segment assets | 110,412 | 109,742 | 112,016 | |||||||||||
Non-segment assets: | ||||||||||||||
Cash and cash equivalents | 24,665 | 21,423 | 29,303 | |||||||||||
Short-term investments | 6,311 | 6,174 | 6,294 | |||||||||||
Deferred income taxes | 7,176 | 8,398 | 8,270 | |||||||||||
Income taxes receivable | 136 | 292 | 121 | |||||||||||
Other current assets | 2,308 | 3,408 | 2,344 | |||||||||||
Property, plant and equipment (4) | 707 | 707 | 763 | |||||||||||
Long-term investments | 1,749 | - | 765 | |||||||||||
Other assets | 748 | 957 | 1,059 | |||||||||||
Total assets | $ | 154,212 | $ | 151,101 | $ | 160,935 | ||||||||
Three months ended | ||||||||||||||
(dollars in thousands) | 3-Aug-14 | 28-Jul-13 | ||||||||||||
Capital expenditures (5): | ||||||||||||||
Mattress Fabrics | $ | 2,129 | $ | 263 | ||||||||||
Upholstery Fabrics | 112 | 390 | ||||||||||||
Unallocated Corporate | 19 | 5 | ||||||||||||
Total capital expenditures | $ | 2,260 | $ | 658 | ||||||||||
Depreciation expense: | ||||||||||||||
Mattress Fabrics | $ | 1,219 | $ | 1,149 | ||||||||||
Upholstery Fabrics | 180 | 156 | ||||||||||||
Total depreciation expense | $ | 1,399 | $ | 1,305 | ||||||||||
-1 | Current assets represent accounts receivable and inventory for the respective segment. | |||||||||||||
-2 | The $29.6 million at August 3, 2014, represents property, plant, and equipment of $21.2 million and $8.4 million located in the U.S. and Canada, respectively. The $28.6 million at July 28, 2013, represents property, plant, and equipment of $20.7 million and $7.9 million located in the U.S. and Canada, respectively. The $29.0 million at April 27, 2014, represents property, plant, and equipment of $20.6 million and $8.4 million located in the U.S. and Canada, respectively. | |||||||||||||
-3 | The $1.6 million at August 3, 2014, represents property, plant, and equipment located in the U.S. of $911, located in China of $627, and located in Poland of $42. The $1.5 million at July 28, 2013, represents property, plant, and equipment located in the U.S. of $1.1 million, located in China of $371, and located in Poland of $53. The $1.6 million at April 27, 2014, represents property, plant, and equipment located in the U.S. of $957, located in China of $572, and located in Poland of $44. | |||||||||||||
-4 | The $707, $707, and $763 at August 3, 2014, July 28, 2013 and April 27, 2014, respectively, represent property, plant, and equipment associated with unallocated corporate departments and corporate departments shared by both the mattress and upholstery fabric segments. Property, plant, and equipment associated with corporate are located in the U.S. | |||||||||||||
-5 | Capital expenditure amounts are stated on the accrual basis. See Consolidated Statements of Cash Flows for capital expenditure amounts on a cash basis. |
Business_Combinations_Mattress2
Business Combinations - Mattress Fabric Segment - Narrative (Detail) (Bodet And Horst [Member], USD $) | 3 Months Ended |
Aug. 03, 2014 | |
Business Acquisition [Line Items] | ' |
Direct acquisition costs related to business combination | $83,000 |
Equipment [Member] | ' |
Business Acquisition [Line Items] | ' |
Tangible asset, useful life | '7 years |
Non-compete Agreement [Member] | ' |
Business Acquisition [Line Items] | ' |
Intangible asset, useful life | '15 years |
Customer Relationships [Member] | ' |
Business Acquisition [Line Items] | ' |
Intangible asset, useful life | '17 years |
Business_Combinations_Mattress3
Business Combinations - Mattress Fabric Segment - Allocation of Acquisition Cost to Assets Acquired Based on Fair Values (Detail) (Bodet And Horst [Member], USD $) | 8-May-13 |
In Thousands, unless otherwise specified | |
Business Acquisition [Line Items] | ' |
Equipment | $890 |
Purchase price for equipment and other certain assets | 2,640 |
Non-compete Agreement [Member] | ' |
Business Acquisition [Line Items] | ' |
Intangible assets | 882 |
Customer Relationships [Member] | ' |
Business Acquisition [Line Items] | ' |
Intangible assets | $868 |
StockBased_Compensation_Detail
Stock-Based Compensation (Detail) (USD $) | 3 Months Ended | 0 Months Ended | 3 Months Ended | 0 Months Ended | 3 Months Ended | |||||||||||||
Aug. 03, 2014 | Jul. 28, 2013 | Aug. 03, 2014 | Jul. 28, 2013 | Aug. 03, 2014 | Jul. 28, 2013 | Aug. 03, 2014 | Jul. 28, 2013 | Jun. 24, 2014 | Jun. 25, 2013 | Jul. 11, 2012 | Aug. 03, 2014 | Jun. 24, 2014 | Jun. 25, 2013 | Jul. 11, 2012 | Aug. 03, 2014 | Jul. 28, 2013 | Aug. 03, 2014 | |
Stock Options [Member] | Stock Options [Member] | Stock Options [Member] | Stock Options [Member] | Time Vested Restricted Stock Awards [Member] | Time Vested Restricted Stock Awards [Member] | Time Vested Restricted Stock Awards [Member] | Time Vested Restricted Stock Awards [Member] | Performance Based Restricted Stock Units [Member] | Performance Based Restricted Stock Units [Member] | Performance Based Restricted Stock Units [Member] | Performance Based Restricted Stock Units [Member] | Performance Based Restricted Stock Units [Member] | Performance Based Restricted Stock Units [Member] | Performance Based Restricted Stock Units [Member] | Performance Based Restricted Stock Units [Member] | Performance Based Restricted Stock Units [Member] | Common Stock Awards [Member] | |
Selling, general and administrative expense [Member] | Selling, general and administrative expense [Member] | Selling, general and administrative expense [Member] | Selling, general and administrative expense [Member] | Maximum [Member] | Maximum [Member] | Maximum [Member] | Selling, general and administrative expense [Member] | Selling, general and administrative expense [Member] | ||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of options granted | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of options to purchase common stock outstanding | 153,950 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Weighted average exercise price for options outstanding | $6.70 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Weighted average contractual term for options outstanding | '3 years 4 months 24 days | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Aggregate intrinsic value for options outstanding | $1,700,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of options exercisable | 153,950 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Weighted average exercise price for options exercisable | $6.70 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Weighted average contractual term for options exercisable | '3 years 4 months 24 days | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Aggregate intrinsic value for options exercisable | 1,700,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of options exercised | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Aggregate intrinsic value for options exercised | ' | 171,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of unvested stock option | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Unrecognized stock based compensation cost | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Share-based compensation expense | ' | ' | 0 | 6,000 | ' | ' | 4,000 | 27,000 | ' | ' | ' | ' | ' | ' | ' | 42,000 | 119,000 | ' |
Number of shares granted | ' | ' | ' | ' | 0 | ' | ' | ' | ' | ' | ' | ' | 102,845 | 72,380 | 120,000 | ' | ' | 0 |
Number of shares outstanding and unvested | ' | ' | ' | ' | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Remaining unrecognized compensation cost | ' | ' | ' | ' | 0 | ' | ' | ' | ' | ' | ' | 1,300,000 | ' | ' | ' | ' | ' | ' |
Number of shares vested | ' | ' | ' | ' | 61,667 | 61,667 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Weighted average fair value of vested shares | ' | ' | ' | ' | $257,000 | $249,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Weighted average fair value of vested shares, per share | ' | ' | ' | ' | $4.17 | $4.04 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Closing price of common stock on the date of grant | ' | ' | ' | ' | ' | ' | ' | ' | $17.70 | $17.12 | $10.21 | ' | ' | ' | ' | ' | ' | ' |
Vesting period | ' | ' | ' | ' | ' | ' | ' | ' | '3 years | '3 years | '3 years | ' | ' | ' | ' | ' | ' | ' |
Weighted average period over which unrecognized compensation cost is expected to be recognized | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '2 years 2 months 12 days | ' | ' | ' | ' | ' | ' |
Accounts_Receivable_Detail
Accounts Receivable (Detail) (USD $) | Aug. 03, 2014 | Apr. 27, 2014 | Jul. 28, 2013 | Apr. 28, 2013 | |
In Thousands, unless otherwise specified | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' | ' | ' | |
Customers | $25,212 | $28,461 | $25,829 | ' | |
Accounts receivable, net | 24,239 | 27,409 | [1] | 24,493 | ' |
Allowance for doubtful accounts [Member] | ' | ' | ' | ' | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' | ' | ' | |
Valuation allowance, balance | -438 | -573 | -743 | -780 | |
Reserve for returns and allowances and discounts [Member] | ' | ' | ' | ' | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' | ' | ' | |
Valuation allowance, balance | ($535) | ($479) | ($593) | ($543) | |
[1] | Derived from audited financial statements. |
Accounts_Receivable_Allowance_
Accounts Receivable - Allowance for Doubtful Accounts (Detail) (Allowance for doubtful accounts [Member], USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Aug. 03, 2014 | Jul. 28, 2013 |
Allowance for doubtful accounts [Member] | ' | ' |
Valuation and Qualifying Accounts Disclosure [Line Items] | ' | ' |
Beginning balance | ($573) | ($780) |
Provision for bad debts | 69 | 7 |
Net write-offs, net of recoveries | 66 | 30 |
Ending balance | ($438) | ($743) |
Accounts_Receivable_Allowance_1
Accounts Receivable - Allowance for Returns and Allowances and Discounts (Detail) (Reserve for returns and allowances and discounts [Member], USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Aug. 03, 2014 | Jul. 28, 2013 |
Reserve for returns and allowances and discounts [Member] | ' | ' |
Valuation and Qualifying Accounts Disclosure [Line Items] | ' | ' |
Beginning balance | ($479) | ($543) |
Provision for returns, allowances and discounts | -658 | -653 |
Credits issued | 602 | 603 |
Ending balance | ($535) | ($593) |
Inventories_Detail
Inventories (Detail) (USD $) | Aug. 03, 2014 | Apr. 27, 2014 | Jul. 28, 2013 | |
In Thousands, unless otherwise specified | ||||
Inventory Disclosure [Abstract] | ' | ' | ' | |
Raw materials | $6,145 | $6,707 | $5,960 | |
Work-in-process | 2,174 | 2,263 | 2,228 | |
Finished goods | 33,369 | 31,704 | 33,582 | |
Inventories | $41,688 | $40,674 | [1] | $41,770 |
[1] | Derived from audited financial statements. |
Other_Assets_Detail
Other Assets (Detail) (USD $) | Aug. 03, 2014 | Apr. 27, 2014 | Jul. 28, 2013 | |
In Thousands, unless otherwise specified | ||||
Other Assets Noncurrent [Line Items] | ' | ' | ' | |
Cash surrender value - life insurance | $640 | $644 | $622 | |
Other assets | 2,587 | 2,917 | [1] | 2,873 |
Other Noncurrent Assets [Member] | ' | ' | ' | |
Other Assets Noncurrent [Line Items] | ' | ' | ' | |
Cash surrender value - life insurance | 320 | 644 | 622 | |
Non-compete agreement | 1,035 | 1,041 | 1,061 | |
Customer relationships | 804 | 817 | 855 | |
Other | 428 | 415 | 335 | |
Other assets | $2,587 | $2,917 | $2,873 | |
[1] | Derived from audited financial statements. |
Other_Assets_Narrative_Detail
Other Assets - Narrative (Detail) (USD $) | Aug. 03, 2014 | 16-May-14 | Apr. 27, 2014 | Jul. 28, 2013 | Aug. 03, 2014 | Aug. 03, 2014 | Apr. 27, 2014 | Jul. 28, 2013 | Aug. 03, 2014 | Jul. 28, 2013 | Apr. 27, 2014 | Aug. 03, 2014 | Aug. 03, 2014 | Aug. 03, 2014 | Jul. 28, 2013 | Apr. 27, 2014 | Sep. 12, 2014 | Aug. 03, 2014 | Apr. 27, 2014 | Jul. 28, 2013 | Aug. 03, 2014 |
Contract | Contract | Contract | After Settlement of Life Insurance Agreement [Member] | Other assets [Member] | Other assets [Member] | Other assets [Member] | Other assets [Member] | Other assets [Member] | Other assets [Member] | Other assets [Member] | Other assets [Member] | Other assets [Member] | Other assets [Member] | Other assets [Member] | Other Current Assets [Member] | Other Noncurrent Assets [Member] | Other Noncurrent Assets [Member] | Other Noncurrent Assets [Member] | Other Noncurrent Assets [Member] | ||
Contract | Non-compete Agreement [Member] | Non-compete Agreement [Member] | Non-compete Agreement [Member] | Asset Purchase Agreement Dated August 11, 2008 [Member] | Asset Purchase Agreement Dated May 8, 2013 [Member] | Customer Relationships [Member] | Customer Relationships [Member] | Customer Relationships [Member] | Subsequent Event [Member] | After Settlement of Life Insurance Agreement [Member] | |||||||||||
Other Assets [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Useful life | ' | ' | ' | ' | ' | ' | ' | ' | '15 years | ' | ' | ' | ' | '17 years | ' | ' | ' | ' | ' | ' | ' |
Gross carrying amount of non-compete agreement | ' | ' | ' | ' | ' | $2,000,000 | $2,000,000 | $2,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Accumulated amortization | ' | ' | ' | ' | ' | ' | ' | ' | 1,000,000 | 958,000 | 1,000,000 | ' | ' | 64,000 | 13,000 | 51,000 | ' | ' | ' | ' | ' |
Non-compete agreement carrying amount | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 227,000 | 808,000 | ' | ' | ' | ' | 1,035,000 | 1,041,000 | 1,061,000 | ' |
Amortization expense | ' | ' | ' | ' | ' | ' | ' | ' | 19,000 | 19,000 | ' | ' | ' | 13,000 | 13,000 | ' | ' | ' | ' | ' | ' |
Remaining amortization expense for the next fiscal year | ' | ' | ' | ' | ' | ' | ' | ' | 56,000 | ' | ' | ' | ' | 38,000 | ' | ' | ' | ' | ' | ' | ' |
Remaining amortization expense for the second fiscal year | ' | ' | ' | ' | ' | ' | ' | ' | 75,000 | ' | ' | ' | ' | 51,000 | ' | ' | ' | ' | ' | ' | ' |
Remaining amortization expense for the third fiscal year | ' | ' | ' | ' | ' | ' | ' | ' | 75,000 | ' | ' | ' | ' | 51,000 | ' | ' | ' | ' | ' | ' | ' |
Remaining amortization expense for the fourth fiscal year | ' | ' | ' | ' | ' | ' | ' | ' | 75,000 | ' | ' | ' | ' | 51,000 | ' | ' | ' | ' | ' | ' | ' |
Remaining amortization expense for the fifth fiscal year | ' | ' | ' | ' | ' | ' | ' | ' | 75,000 | ' | ' | ' | ' | 51,000 | ' | ' | ' | ' | ' | ' | ' |
Remaining amortization expense for the fiscal year thereafter | ' | ' | ' | ' | ' | ' | ' | ' | 679,000 | ' | ' | ' | ' | 562,000 | ' | ' | ' | ' | ' | ' | ' |
Weighted average remaining amortization period | ' | ' | ' | ' | ' | ' | ' | ' | '13 years 9 months 18 days | ' | ' | ' | ' | '15 years 9 months 18 days | ' | ' | ' | ' | ' | ' | ' |
Gross carrying amount of customer relationships | ' | ' | ' | ' | ' | 868,000 | 868,000 | 868,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Death benefits to beneficiary of insured on terminated life insurance agreement | ' | 2,500,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Collection of cash surrender value from termination of split dollar life insurance agreement | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 320,000 | ' | ' | ' | ' |
Number of life insurance contracts owned | 2 | ' | 2 | 2 | 1 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Life insurance contracts, death benefits to insured | 3,900,000 | ' | 3,900,000 | 3,900,000 | 1,400,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Life insurance contracts, cash surrender value | $640,000 | ' | $644,000 | $622,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $320,000 | $644,000 | $622,000 | $320,000 |
Accrued_Expenses_Detail
Accrued Expenses (Detail) (USD $) | Aug. 03, 2014 | Apr. 27, 2014 | Jul. 28, 2013 | |
In Thousands, unless otherwise specified | ||||
Payables And Accruals [Abstract] | ' | ' | ' | |
Compensation, commissions and related benefits | $4,053 | $7,388 | $5,987 | |
Interest | 168 | 71 | 244 | |
Other accrued expenses | 2,144 | 1,722 | 2,473 | |
Accrued expenses | $6,365 | $9,181 | [1] | $8,704 |
[1] | Derived from audited financial statements. |
LongTerm_Debt_and_Lines_of_Cre2
Long-Term Debt and Lines of Credit (Detail) (USD $) | Aug. 03, 2014 | Apr. 27, 2014 | Jul. 28, 2013 | |
In Thousands, unless otherwise specified | ||||
Debt Disclosure [Abstract] | ' | ' | ' | |
Unsecured senior term notes | $4,400 | $4,400 | $6,600 | |
Current maturities of long-term debt | -2,200 | -2,200 | [1] | -2,200 |
Long-term debt, less current maturities of long-term debt | $2,200 | $2,200 | [1] | $4,400 |
[1] | Derived from audited financial statements. |
LongTerm_Debt_and_Lines_of_Cre3
Long-Term Debt and Lines of Credit - Long-Term Debt - Narrative (Detail) (USD $) | Aug. 03, 2014 | Apr. 27, 2014 | Jul. 28, 2013 | Aug. 03, 2014 | Aug. 11, 2008 |
Unsecured senior term notes [Member] | Unsecured senior term notes [Member] | ||||
Debt Instrument [Line Items] | ' | ' | ' | ' | ' |
Issuance of unsecured term notes | ' | ' | ' | ' | $11,000,000 |
Fixed interest rate | ' | ' | ' | ' | 8.01% |
Term of the note agreement | ' | ' | ' | '7 years | ' |
Required amount of principal payment installments | ' | ' | ' | 2,200,000 | ' |
Date of first required principal payment | ' | ' | ' | 11-Aug-11 | ' |
Required debt payment frequency | ' | ' | ' | 'Annual | ' |
Average term period for remaining principal payments, in years | ' | ' | ' | '1 year | ' |
Maturity date | ' | ' | ' | 11-Aug-15 | ' |
Principal payment requirements of long-term debt for the first year | 2,200,000 | ' | ' | ' | ' |
Principal payment requirements of long-term debt for the second year | 2,200,000 | ' | ' | ' | ' |
Long-term debt | 4,400,000 | 4,400,000 | 6,600,000 | ' | ' |
Long-term debt, fair value | $4,600,000 | $4,600,000 | $7,000,000 | ' | ' |
LongTerm_Debt_and_Lines_of_Cre4
Long-Term Debt and Lines of Credit - Lines of Credit - Narrative (Detail) | 3 Months Ended | 3 Months Ended | 3 Months Ended | 12 Months Ended | ||||||||||
Aug. 03, 2014 | Apr. 27, 2014 | Jul. 28, 2013 | Aug. 03, 2014 | Aug. 03, 2014 | Apr. 27, 2014 | Jul. 28, 2013 | Aug. 03, 2014 | Jul. 28, 2013 | Jul. 28, 2013 | Apr. 27, 2014 | Apr. 27, 2014 | 2-May-14 | 2-May-14 | |
United States [Member] | United States [Member] | United States [Member] | China [Member] | China [Member] | China [Member] | China [Member] | Poland [Member] | Poland [Member] | Poland [Member] | Poland [Member] | Poland [Member] | Poland [Member] | Poland [Member] | |
Revolving Credit Facility [Member] | Revolving Credit Facility [Member] | Revolving Credit Facility [Member] | Revolving credit agreement [Member] | Revolving credit agreement [Member] | Revolving credit agreement [Member] | Revolving credit agreement [Member] | Revolving credit agreement [Member] | Revolving credit agreement [Member] | Revolving credit agreement [Member] | Revolving credit agreement [Member] | Revolving credit agreement [Member] | Revolving credit agreement [Member] | Revolving credit agreement [Member] | |
USD ($) | USD ($) | USD ($) | USD ($) | CNY | USD ($) | USD ($) | USD ($) | USD ($) | PLN | USD ($) | PLN | USD ($) | EUR (€) | |
Line of Credit Facility [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Maximum borrowing capacity | $10,000,000 | ' | ' | $6,500,000 | 40,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Interest rate description | 'Interest is charged at a rate equal to the one-month LIBOR rate plus a spread based on our ratio of debt to EBITDA as defined in the agreement. | ' | ' | 'This agreement has an interest rate determined by the Chinese government | 'This agreement has an interest rate determined by the Chinese government | ' | ' | 'Agreement with Wells Fargo that bears interest at WIBOR (Warsaw Interbank Offered Rate) plus 2% | ' | ' | ' | ' | ' | ' |
Expiration date | 31-Aug-15 | ' | ' | 9-May-15 | 9-May-15 | ' | ' | 31-Aug-15 | ' | ' | ' | ' | ' | ' |
Reference rate on which the interest rate is based | 'One-month LIBOR rate | ' | ' | ' | ' | ' | ' | 'Warsaw Interbank Offered Rate | ' | ' | ' | ' | ' | ' |
Applicable interest rate at end of period | 1.76% | 1.75% | 1.79% | ' | ' | ' | ' | 2.31% | 4.63% | 4.63% | 4.38% | 4.38% | 2.31% | 2.31% |
Letter of credit, outstanding amount | 195,000 | 195,000 | 195,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Outstanding amount | $0 | $0 | $0 | $0 | 0 | $0 | $0 | $569,000 | $560,000 | 1,800,000 | $586,000 | 1,800,000 | $569,000 | € 424,000 |
Percent added to reference rate in effect from time to time to set the interest rate | ' | ' | ' | ' | ' | ' | ' | ' | 2.00% | 2.00% | 2.00% | 2.00% | ' | ' |
Fair_Value_of_Financial_Instru2
Fair Value of Financial Instruments - Recurring Basis (Detail) (USD $) | Aug. 03, 2014 | Apr. 27, 2014 | Jul. 28, 2013 |
In Thousands, unless otherwise specified | |||
Limited Term Bond Fund [Member] | ' | ' | ' |
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ' | ' | ' |
Assets measured at fair value on a recurring basis | $2,578 | $2,576 | $2,545 |
Low Duration Bond Fund [Member] | ' | ' | ' |
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ' | ' | ' |
Assets measured at fair value on a recurring basis | 2,078 | 2,077 | 2,050 |
Intermediate Term Bond Fund [Member] | ' | ' | ' |
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ' | ' | ' |
Assets measured at fair value on a recurring basis | 1,655 | 1,641 | 1,579 |
Premier Money Market Fund [Member] | ' | ' | ' |
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ' | ' | ' |
Assets measured at fair value on a recurring basis | 1,712 | 755 | ' |
Other [Member] | ' | ' | ' |
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ' | ' | ' |
Assets measured at fair value on a recurring basis | 37 | 10 | ' |
Quoted prices in active markets for identical assets - Level 1 [Member] | Limited Term Bond Fund [Member] | ' | ' | ' |
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ' | ' | ' |
Assets measured at fair value on a recurring basis | 2,578 | 2,576 | 2,545 |
Quoted prices in active markets for identical assets - Level 1 [Member] | Low Duration Bond Fund [Member] | ' | ' | ' |
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ' | ' | ' |
Assets measured at fair value on a recurring basis | 2,078 | 2,077 | 2,050 |
Quoted prices in active markets for identical assets - Level 1 [Member] | Intermediate Term Bond Fund [Member] | ' | ' | ' |
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ' | ' | ' |
Assets measured at fair value on a recurring basis | 1,655 | 1,641 | 1,579 |
Quoted prices in active markets for identical assets - Level 1 [Member] | Premier Money Market Fund [Member] | ' | ' | ' |
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ' | ' | ' |
Assets measured at fair value on a recurring basis | 1,712 | 755 | ' |
Quoted prices in active markets for identical assets - Level 1 [Member] | Other [Member] | ' | ' | ' |
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ' | ' | ' |
Assets measured at fair value on a recurring basis | $37 | $10 | ' |
Fair_Value_of_Financial_Instru3
Fair Value of Financial Instruments - Narrative (Detail) (USD $) | Aug. 03, 2014 | Apr. 27, 2014 | Jul. 28, 2013 | |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ' | |
Long-term investments | $1,749,000 | $765,000 | [1] | ' |
Short-term Investments [Member] | ' | ' | ' | |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ' | |
Short-term bond funds | 6,300,000 | 6,300,000 | 6,200,000 | |
Unrealized gain (loss) on short-term bond funds | ($70,000) | ($60,000) | ($81,000) | |
[1] | Derived from audited financial statements. |
Fair_Value_of_Financial_Instru4
Fair Value of Financial Instruments - Nonrecurring Basis (Detail) (USD $) | Apr. 27, 2014 | Jul. 28, 2013 |
In Thousands, unless otherwise specified | ||
Equipment [Member] | ' | ' |
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ' | ' |
Assets measured at fair value on a nonrecurring basis | $890 | $890 |
Non-compete Agreement [Member] | ' | ' |
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ' | ' |
Assets measured at fair value on a nonrecurring basis | 882 | 882 |
Customer Relationships [Member] | ' | ' |
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ' | ' |
Assets measured at fair value on a nonrecurring basis | 868 | 868 |
Significant other observable inputs - Level 2 [Member] | Equipment [Member] | ' | ' |
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ' | ' |
Assets measured at fair value on a nonrecurring basis | 890 | 890 |
Significant unobservable inputs - Level 3 [Member] | Non-compete Agreement [Member] | ' | ' |
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ' | ' |
Assets measured at fair value on a nonrecurring basis | 882 | 882 |
Significant unobservable inputs - Level 3 [Member] | Customer Relationships [Member] | ' | ' |
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ' | ' |
Assets measured at fair value on a nonrecurring basis | $868 | $868 |
Cash_Flow_Information_Detail
Cash Flow Information (Detail) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Aug. 03, 2014 | Jul. 28, 2013 |
Supplemental Cash Flow Elements [Abstract] | ' | ' |
Interest | ' | $7 |
Net income tax payments | $959 | $792 |
Cash_Flow_Information_Narrativ
Cash Flow Information - Narrative (Detail) (USD $) | 3 Months Ended | 12 Months Ended | |
Aug. 03, 2014 | Jul. 28, 2013 | Apr. 27, 2014 | |
Cash Flow Supplemental Disclosures [Line Items] | ' | ' | ' |
Interest cost capitalized | $30,000 | $0 | ' |
Common stock surrendered for withholding taxes liabilities | 18,000 | ' | 15,000 |
Time Vested Restricted Stock Awards [Member] | ' | ' | ' |
Cash Flow Supplemental Disclosures [Line Items] | ' | ' | ' |
Common stock surrendered for withholding taxes liabilities, shares | 995 | 989 | ' |
Common stock surrendered for withholding taxes liabilities | $18,000 | $15,000 | ' |
Number of shares vesting | 3,334 | 3,333 | ' |
Net_Income_Per_Share_Weighted_
Net Income Per Share - Weighted Average Shares (Detail) | 3 Months Ended | |
In Thousands, unless otherwise specified | Aug. 03, 2014 | Jul. 28, 2013 |
Earnings Per Share [Abstract] | ' | ' |
Weighted average common shares outstanding, basic | 12,212 | 12,148 |
Dilutive effect of stock-based compensation | 192 | 218 |
Weighted average common shares outstanding, diluted | 12,404 | 12,366 |
Net_Income_Per_Share_Narrative
Net Income Per Share - Narrative (Detail) | 3 Months Ended | |
Jul. 28, 2013 | Aug. 03, 2014 | |
Time Vested Restricted Stock Awards [Member] | ||
Earnings Per Share Disclosure [Line Items] | ' | ' |
Number of shares of common stock excluded from the computation of basic net income | 61,667 | ' |
Number of shares outstanding and unvested of common stock not affecting computation of basic net income per share | ' | 0 |
Segment_Information_Narrative_
Segment Information - Narrative (Detail) | 3 Months Ended |
Aug. 03, 2014 | |
Segment | |
Segment Reporting [Abstract] | ' |
Number of business segments | 2 |
Segment_Information_Financial_
Segment Information - Financial Information for Operating Segments (Detail) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Aug. 03, 2014 | Jul. 28, 2013 |
Segment Reporting Information [Line Items] | ' | ' |
Net sales | $76,060 | $70,141 |
Gross profit | 12,715 | 13,074 |
Selling, general, and administrative expenses | 7,419 | 7,100 |
Income from operations | 5,296 | 5,974 |
Interest expense | -68 | -140 |
Interest income | 142 | 92 |
Other income (expense) | 89 | -391 |
Income before income taxes | 5,459 | 5,535 |
Operating Segments [Member] | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Selling, general, and administrative expenses | 6,026 | 5,640 |
Income from operations | 6,689 | 7,434 |
Operating Segments [Member] | Upholstery Fabrics [Member] | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Net sales | 33,238 | 31,977 |
Gross profit | 5,513 | 5,682 |
Selling, general, and administrative expenses | 3,452 | 3,266 |
Income from operations | 2,060 | 2,416 |
Operating Segments [Member] | Mattress Fabrics [Member] | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Net sales | 42,822 | 38,164 |
Gross profit | 7,202 | 7,392 |
Selling, general, and administrative expenses | 2,574 | 2,374 |
Income from operations | 4,629 | 5,018 |
Unallocated corporate [Member] | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Selling, general, and administrative expenses | 1,393 | 1,460 |
Income from operations | ($1,393) | ($1,460) |
Segment_Information_Balance_Sh
Segment Information - Balance Sheet Information by Operating Segments (Detail) (USD $) | Aug. 03, 2014 | Apr. 27, 2014 | Jul. 28, 2013 | Apr. 28, 2013 | |||
In Thousands, unless otherwise specified | |||||||
Segment Reporting Information [Line Items] | ' | ' | ' | ' | |||
Goodwill | $11,462 | $11,462 | [1] | $11,462 | ' | ||
Property, plant and equipment | 31,891 | 31,376 | [1] | 30,808 | ' | ||
Total assets | 154,212 | 160,935 | [1] | 151,101 | ' | ||
Cash and cash equivalents | 24,665 | 29,303 | [1] | 21,423 | 23,530 | ||
Short-term investments | 6,311 | 6,294 | [1] | 6,174 | ' | ||
Income taxes receivable | 136 | 121 | [1] | 292 | ' | ||
Other current assets | 2,308 | 2,344 | [1] | 3,408 | ' | ||
Long-term investments | 1,749 | 765 | [1] | ' | ' | ||
Other assets | 2,587 | 2,917 | [1] | 2,873 | ' | ||
Operating Segments [Member] | ' | ' | ' | ' | |||
Segment Reporting Information [Line Items] | ' | ' | ' | ' | |||
Total assets | 110,412 | 112,016 | 109,742 | ' | |||
Operating Segments [Member] | Mattress Fabrics [Member] | ' | ' | ' | ' | |||
Segment Reporting Information [Line Items] | ' | ' | ' | ' | |||
Current assets | 37,970 | [2] | 36,229 | [2] | 35,718 | [2] | ' |
Non-compete agreement | 1,035 | 1,041 | 1,061 | ' | |||
Customer relationships | 804 | 817 | 855 | ' | |||
Goodwill | 11,462 | 11,462 | 11,462 | ' | |||
Property, plant and equipment | 29,604 | [3] | 29,040 | [3] | 28,552 | [3] | ' |
Total assets | 80,875 | 78,589 | 77,648 | ' | |||
Operating Segments [Member] | Upholstery Fabrics [Member] | ' | ' | ' | ' | |||
Segment Reporting Information [Line Items] | ' | ' | ' | ' | |||
Current assets | 27,957 | [2] | 31,854 | [2] | 30,545 | [2] | ' |
Property, plant and equipment | 1,580 | [4] | 1,573 | [4] | 1,549 | [4] | ' |
Total assets | 29,537 | 33,427 | 32,094 | ' | |||
Unallocated corporate [Member] | ' | ' | ' | ' | |||
Segment Reporting Information [Line Items] | ' | ' | ' | ' | |||
Property, plant and equipment | 707 | [5] | 763 | [5] | 707 | [5] | ' |
Cash and cash equivalents | 24,665 | 29,303 | 21,423 | ' | |||
Short-term investments | 6,311 | 6,294 | 6,174 | ' | |||
Deferred income taxes | 7,176 | 8,270 | 8,398 | ' | |||
Income taxes receivable | 136 | 121 | 292 | ' | |||
Other current assets | 2,308 | 2,344 | 3,408 | ' | |||
Long-term investments | 1,749 | 765 | ' | ' | |||
Other assets | $748 | $1,059 | $957 | ' | |||
[1] | Derived from audited financial statements. | ||||||
[2] | Current assets represent accounts receivable and inventory for the respective segment. | ||||||
[3] | The $29.6 million at August 3, 2014, represents property, plant, and equipment of $21.2 million and $8.4 million located in the U.S. and Canada, respectively. The $28.6 million at July 28, 2013, represents property, plant, and equipment of $20.7 million and $7.9 million located in the U.S. and Canada, respectively. The $29.0 million at April 27, 2014, represents property, plant, and equipment of $20.6 million and $8.4 million located in the U.S. and Canada, respectively. | ||||||
[4] | The $1.6 million at August 3, 2014, represents property, plant, and equipment located in the U.S. of $911, located in China of $627, and located in Poland of $42. The $1.5 million at July 28, 2013, represents property, plant, and equipment located in the U.S. of $1.1 million, located in China of $371, and located in Poland of $53. The $1.6 million at April 27, 2014, represents property, plant, and equipment located in the U.S. of $957, located in China of $572, and located in Poland of $44. | ||||||
[5] | The $707, $707, and $763 at August 3, 2014, July 28, 2013 and April 27, 2014, respectively, represent property, plant, and equipment associated with unallocated corporate departments and corporate departments shared by both the mattress and upholstery fabric segments. Property, plant, and equipment associated with corporate are located in the U.S. |
Segment_Information_Capital_Ex
Segment Information - Capital Expenditures and Depreciation Expense By Operating Segments (Detail) (USD $) | 3 Months Ended | |||
In Thousands, unless otherwise specified | Aug. 03, 2014 | Jul. 28, 2013 | ||
Segment Reporting Information [Line Items] | ' | ' | ||
Capital expenditures | $2,260 | [1] | $658 | [1] |
Depreciation expense | 1,399 | 1,305 | ||
Operating Segments [Member] | Mattress Fabrics [Member] | ' | ' | ||
Segment Reporting Information [Line Items] | ' | ' | ||
Capital expenditures | 2,129 | 263 | ||
Depreciation expense | 1,219 | 1,149 | ||
Operating Segments [Member] | Upholstery Fabrics [Member] | ' | ' | ||
Segment Reporting Information [Line Items] | ' | ' | ||
Capital expenditures | 112 | 390 | ||
Depreciation expense | 180 | 156 | ||
Unallocated corporate [Member] | ' | ' | ||
Segment Reporting Information [Line Items] | ' | ' | ||
Capital expenditures | $19 | $5 | ||
[1] | Capital expenditure amounts are stated on the accrual basis. See Consolidated Statements of Cash Flows for capital expenditure amounts on a cash basis. |
Segment_Information_Balance_Sh1
Segment Information - Balance Sheet Information by Operating Segments (Parenthetical) (Detail) (USD $) | Aug. 03, 2014 | Apr. 27, 2014 | Jul. 28, 2013 | |||
In Thousands, unless otherwise specified | ||||||
Segment Reporting Information [Line Items] | ' | ' | ' | |||
Property, plant and equipment | $31,891 | $31,376 | [1] | $30,808 | ||
United States [Member] | Mattress Fabrics [Member] | ' | ' | ' | |||
Segment Reporting Information [Line Items] | ' | ' | ' | |||
Property, plant and equipment | 21,200 | 20,600 | 20,700 | |||
United States [Member] | Upholstery Fabrics [Member] | ' | ' | ' | |||
Segment Reporting Information [Line Items] | ' | ' | ' | |||
Property, plant and equipment | 911 | 957 | 1,100 | |||
Canada [Member] | Mattress Fabrics [Member] | ' | ' | ' | |||
Segment Reporting Information [Line Items] | ' | ' | ' | |||
Property, plant and equipment | 8,400 | 8,400 | 7,900 | |||
China [Member] | Upholstery Fabrics [Member] | ' | ' | ' | |||
Segment Reporting Information [Line Items] | ' | ' | ' | |||
Property, plant and equipment | 627 | 572 | 371 | |||
Poland [Member] | Upholstery Fabrics [Member] | ' | ' | ' | |||
Segment Reporting Information [Line Items] | ' | ' | ' | |||
Property, plant and equipment | 42 | 44 | 53 | |||
Unallocated corporate [Member] | ' | ' | ' | |||
Segment Reporting Information [Line Items] | ' | ' | ' | |||
Property, plant and equipment | 707 | [2] | 763 | [2] | 707 | [2] |
Unallocated corporate [Member] | United States [Member] | ' | ' | ' | |||
Segment Reporting Information [Line Items] | ' | ' | ' | |||
Property, plant and equipment | $707 | $763 | $707 | |||
[1] | Derived from audited financial statements. | |||||
[2] | The $707, $707, and $763 at August 3, 2014, July 28, 2013 and April 27, 2014, respectively, represent property, plant, and equipment associated with unallocated corporate departments and corporate departments shared by both the mattress and upholstery fabric segments. Property, plant, and equipment associated with corporate are located in the U.S. |
Income_Taxes_Effective_Income_
Income Taxes - Effective Income Tax Rate - Narrative (Detail) (USD $) | 3 Months Ended | |
Aug. 03, 2014 | Jul. 28, 2013 | |
Income Taxes [Line Items] | ' | ' |
Income taxes | $2,115,000 | $2,305,000 |
Income tax rate | 38.70% | 41.60% |
Statutory rate | 34.00% | 34.00% |
Decrease in income tax rate from the lower statutory income tax rates in foreign jurisdictions compared with the U.S statutory income tax rate | -6.00% | -6.00% |
Increase in income tax rate from an increase in unrecognized tax benefits | 5.00% | 4.00% |
Increase in income tax rate for stock-based compensation and other miscellaneous items | 5.70% | 4.60% |
Increase in income tax rate from adjustments to the state of North Carolina loss carryforwards for the decrease in future North Carolina corporate income tax rates | ' | 5.00% |
Income tax expense related to the adjustments of the state of North Carolina loss carryforwards from the decrease in future North Carolina corporate income tax rates | ' | 273,000 |
Canada and China [Member] | ' | ' |
Income Taxes [Line Items] | ' | ' |
Decrease in income tax rate from the lower statutory income tax rates in foreign jurisdictions compared with the U.S statutory income tax rate | -6.00% | -6.00% |
NORTH CAROLINA | ' | ' |
Income Taxes [Line Items] | ' | ' |
Increase in income tax rate from adjustments to the state of North Carolina loss carryforwards for the decrease in future North Carolina corporate income tax rates | ' | 5.00% |
Income tax expense related to the adjustments of the state of North Carolina loss carryforwards from the decrease in future North Carolina corporate income tax rates | ' | $273,000 |
Income_Taxes_Deferred_Income_T
Income Taxes - Deferred Income Taxes - Valuation Allowance - Narrative (Detail) (USD $) | Aug. 03, 2014 | Apr. 27, 2014 | Jul. 28, 2013 |
U.S. Tax Authorities and Poland Tax Authorities [Member] | Deferred Tax Asset Loss Carryforwards [Member] | ' | ' | ' |
Income Taxes [Line Items] | ' | ' | ' |
Valuation allowance | $1,100,000 | $977,000 | $1,100,000 |
U.S. State Tax [Member] | Deferred Tax Asset Loss Carryforwards [Member] | ' | ' | ' |
Income Taxes [Line Items] | ' | ' | ' |
Valuation allowance | 666,000 | 666,000 | 722,000 |
Poland [Member] | Deferred Tax Asset Loss Carryforwards [Member] | Culp Europe [Member] | ' | ' | ' |
Income Taxes [Line Items] | ' | ' | ' |
Valuation allowance | 419,000 | 311,000 | 328,000 |
Canada and China [Member] | ' | ' | ' |
Income Taxes [Line Items] | ' | ' | ' |
Valuation allowance | $0 | $0 | $0 |
Income_Taxes_Deferred_Income_T1
Income Taxes - Deferred Income Taxes - Undistributed Earnings - Narrative (Detail) (USD $) | 3 Months Ended | 12 Months Ended | |
In Millions, unless otherwise specified | Aug. 03, 2014 | Jul. 28, 2013 | Apr. 27, 2014 |
Income Tax Disclosure [Abstract] | ' | ' | ' |
Deferred tax liability, undistributed earnings from foreign subsidiaries | $2.10 | $7.10 | $2 |
U.S. income and foreign withholding taxes | 29.4 | 22.3 | 28.1 |
U.S. foreign income tax credits | 27.3 | 15.2 | 26.1 |
Undistributed earnings from our foreign subsidiaries that will not be reinvested indefinitely | $75.80 | $57.50 | $72.80 |
Income_Taxes_Deferred_Income_T2
Income Taxes - Deferred Income Taxes - Narrative (Detail) (USD $) | Aug. 03, 2014 | Apr. 27, 2014 | Jul. 28, 2013 | |
Income Taxes [Line Items] | ' | ' | ' | |
Current deferred tax asset | $6,203,000 | $6,230,000 | [1] | $7,747,000 |
Non-current deferred tax asset | 973,000 | 2,040,000 | [1] | 651,000 |
Non-current deferred tax liability | 1,013,000 | 1,013,000 | [1] | 4,335,000 |
U.S. Tax Authorities [Member] | ' | ' | ' | |
Income Taxes [Line Items] | ' | ' | ' | |
Current deferred tax asset | 5,800,000 | 5,800,000 | 7,400,000 | |
Non-current deferred tax asset | 440,000 | 1,400,000 | ' | |
Non-current deferred tax liability | ' | ' | 3,200,000 | |
China [Member] | ' | ' | ' | |
Income Taxes [Line Items] | ' | ' | ' | |
Current deferred tax asset | 405,000 | 372,000 | 302,000 | |
Non-current deferred tax asset | 533,000 | 572,000 | 651,000 | |
Canada [Member] | ' | ' | ' | |
Income Taxes [Line Items] | ' | ' | ' | |
Non-current deferred tax liability | $1,000,000 | $1,000,000 | $1,100,000 | |
[1] | Derived from audited financial statements. |
Income_Taxes_Uncertainty_in_In
Income Taxes - Uncertainty in Income Taxes - Narrative (Detail) (USD $) | Aug. 03, 2014 | Apr. 27, 2014 | Jul. 28, 2013 |
Income Taxes [Line Items] | ' | ' | ' |
Unrecognized tax benefits | $14,000,000 | $13,700,000 | $13,300,000 |
Unrecognized tax benefits that would favorably impact effective income tax rate if recognized | 4,000,000 | 4,000,000 | 4,200,000 |
Expected increase in unrecognized tax benefits related to double taxation under applicable tax treaties with foreign tax jurisdictions | 802,000 | ' | ' |
Net Non-current Deferred Income Taxes [Member] | ' | ' | ' |
Income Taxes [Line Items] | ' | ' | ' |
Unrecognized tax benefits | 10,000,000 | 9,700,000 | 9,100,000 |
Income Taxes Payable - Long-Term [Member] | ' | ' | ' |
Income Taxes [Line Items] | ' | ' | ' |
Unrecognized tax benefits | $4,000,000 | $4,000,000 | $4,200,000 |
Statutory_Reserves_Detail
Statutory Reserves (Detail) (Subsidiaries [Member], China [Member], USD $) | 3 Months Ended |
In Millions, unless otherwise specified | Aug. 03, 2014 |
Subsidiaries [Member] | China [Member] | ' |
Statutory Reserve [Line Items] | ' |
Percentage of net income required to be transferred to a statutory surplus reserve fund | 10.00% |
Maximum required percentage of statutory surplus reserve fund to registered capital | 50.00% |
Statutory surplus reserve fund balance | $4.90 |
Percentage of accumulated earnings and profits determined in accordance with PRC accounting rules and regulations | 10.00% |
Minimum threshold percentage for statutory surplus reserve fund as percentage of registered capital, below which certain capital transactions are prohibited | 25.00% |
Commitments_and_Contingencies_
Commitments and Contingencies (Detail) (USD $) | Aug. 03, 2014 | Apr. 27, 2014 | Jul. 28, 2013 | Aug. 03, 2014 | Apr. 27, 2014 | Jul. 28, 2013 | Aug. 03, 2014 |
Mattress Fabrics [Member] | Mattress Fabrics [Member] | Mattress Fabrics [Member] | Settled Litigation [Member] | Settled Litigation [Member] | Settled Litigation [Member] | Settled Litigation [Member] | |
Capital Addition Purchase Commitments [Member] | Capital Addition Purchase Commitments [Member] | Capital Addition Purchase Commitments [Member] | Environmental Issue [Member] | Environmental Issue [Member] | Environmental Issue [Member] | Environmental Issue [Member] | |
Other Expense [Member] | Site of former manufacturing plant in West Hazleton, Pennsylvania [Member] | ||||||
Commitments and Contingencies Disclosure [Line Items] | ' | ' | ' | ' | ' | ' | ' |
Lawsuit filing date | ' | ' | ' | 'February 5, 2008 | ' | ' | ' |
Actions taken by court which impacted the lawsuit | ' | ' | ' | ' | ' | ' | 'The lawsuit involves court judgments that have been entered against the plaintiffs and against defendant Chromatex, Inc. requiring them to pay costs incurred by the United States Environmental Protection Agency ("USEPA") responding to environmental contamination at the Site, in amounts approximating $14 million, plus unspecified future environmental costs. |
Amount of judgment against plaintiffs for which recovery is being sought from defendants | ' | ' | ' | ' | ' | ' | $14,000,000 |
Damages sought by plaintiffs | ' | ' | ' | ' | ' | ' | 'Costs incurred by the United States Environmental Protection Agency ("USEPA") responding to environmental contamination at the Site, in amounts approximating $14 million, plus unspecified future environmental costs |
Charge resulted from tentative settlement of lawsuit | ' | ' | ' | ' | ' | 206,000 | ' |
Payments made for tentative settlement of lawsuit | ' | ' | ' | ' | 206,000 | ' | ' |
Lawsuit dismissed date | ' | ' | ' | 5-Jun-14 | ' | ' | ' |
Open purchase commitments | $3,500,000 | $3,400,000 | $403,000 | ' | ' | ' | ' |
Common_Stock_Repurchase_Progra1
Common Stock Repurchase Program (Detail) (USD $) | 3 Months Ended | |
Aug. 03, 2014 | Jul. 28, 2013 | |
Stockholders Equity Note [Line Items] | ' | ' |
Cost of common stock repurchased | $556,000 | ' |
Common Stock | ' | ' |
Stockholders Equity Note [Line Items] | ' | ' |
Common stock repurchased | 32,269 | ' |
Cost of common stock repurchased | 2,000 | ' |
Common Stock Repurchase Program February 25, 2014 [Member] | Common Stock | ' | ' |
Stockholders Equity Note [Line Items] | ' | ' |
Authorization amount for repurchase of common stock | 5,000,000 | ' |
Common stock repurchased | 32,269 | 0 |
Cost of common stock repurchased | $556,000 | ' |
Dividend_Program_Detail
Dividend Program (Detail) (USD $) | 0 Months Ended | 3 Months Ended | 0 Months Ended | 3 Months Ended | 3 Months Ended | |||||
In Thousands, except Per Share data, unless otherwise specified | Jun. 12, 2014 | Aug. 03, 2014 | Jul. 28, 2013 | Sep. 04, 2014 | Aug. 03, 2014 | Jun. 12, 2014 | Aug. 03, 2014 | Jul. 28, 2013 | Jun. 12, 2014 | Sep. 04, 2014 |
Subsequent Event [Member] | Special Dividend [Member] | Special Dividend [Member] | Quarterly Dividend [Member] | Quarterly Dividend [Member] | Quarterly Dividend [Member] | Quarterly Dividend [Member] | ||||
Subsequent Event [Member] | ||||||||||
Dividends [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Cash dividend declared, per share | ' | ' | ' | ' | ' | $0.40 | ' | ' | $0.05 | $0.05 |
Cash dividend payment, per share | ' | ' | ' | ' | $0.40 | ' | $0.05 | $0.04 | ' | ' |
Cash dividends paid | ' | $5,502 | $489 | ' | $4,900 | ' | $611 | $489 | ' | ' |
Date of payment to shareholders entitled to dividends | 15-Jul-14 | ' | ' | 15-Oct-14 | ' | ' | ' | ' | ' | ' |
Date of record of shareholders entitled to dividends | 1-Jul-14 | ' | ' | 1-Oct-14 | ' | ' | ' | ' | ' | ' |