Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Nov. 01, 2020 | Dec. 10, 2020 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Nov. 1, 2020 | |
Document Fiscal Year Focus | 2021 | |
Document Fiscal Period Focus | Q2 | |
Entity Registrant Name | CULP INC | |
Entity Central Index Key | 0000723603 | |
Current Fiscal Year End Date | --05-02 | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Trading Symbol | CULP | |
Entity Common Stock, Shares Outstanding | 12,303,795 | |
Entity File Number | 1-12597 | |
Entity Tax Identification Number | 56-1001967 | |
Entity Address, Address Line One | 1823 Eastchester Drive | |
Entity Address, City or Town | High Point | |
Entity Address, State or Province | NC | |
Entity Address, Postal Zip Code | 27265-1402 | |
City Area Code | 336 | |
Local Phone Number | 889-5161 | |
Entity Incorporation, State or Country Code | NC | |
Title of 12(b) Security | Common Stock, par value $.05/ Share | |
Security Exchange Name | NYSE | |
Document Quarterly Report | true | |
Document Transition Report | false |
CONSOLIDATED STATEMENTS OF NET
CONSOLIDATED STATEMENTS OF NET INCOME (LOSS) - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Nov. 01, 2020 | Nov. 03, 2019 | Nov. 01, 2020 | Nov. 03, 2019 | |
Income Statement [Abstract] | ||||
Net sales | $ 76,851 | $ 69,550 | $ 141,315 | $ 140,269 |
Cost of sales | (62,590) | (56,024) | (117,153) | (114,331) |
Gross profit from continuing operations | 14,261 | 13,526 | 24,162 | 25,938 |
Selling, general and administrative expenses | (9,743) | (9,117) | (17,761) | (18,266) |
Restructuring credit | 35 | |||
Income from continuing operations | 4,518 | 4,409 | 6,401 | 7,707 |
Interest expense | (21) | (51) | (21) | |
Interest income | 59 | 258 | 117 | 518 |
Other expense | (680) | (99) | (1,046) | (194) |
Income before income taxes from continuing operations | 3,897 | 4,547 | 5,421 | 8,010 |
Income tax expense | (1,613) | (2,279) | (5,937) | (3,971) |
Income (loss) from investment in unconsolidated joint venture | 100 | (16) | 167 | (3) |
Net (loss) income from continuing operations | 2,384 | 2,252 | (349) | 4,036 |
Loss before income taxes from discontinued operation | (441) | (1,062) | ||
Income tax benefit | 381 | 392 | ||
Net loss from discontinued operation | (60) | (670) | ||
Net (loss) income | $ 2,384 | $ 2,192 | $ (349) | $ 3,366 |
Net (loss) income from continuing operations per share - basic | $ 0.19 | $ 0.18 | $ (0.03) | $ 0.33 |
Net (loss) income from continuing operations per share - diluted | 0.19 | 0.18 | (0.03) | 0.33 |
Net loss from discontinued operation per share - basic | 0 | (0.05) | ||
Net loss from discontinued operation per share - diluted | 0 | (0.05) | ||
Net (loss) income per share - basic | 0.19 | 0.18 | (0.03) | 0.27 |
Net (loss) income per share - diluted | $ 0.19 | $ 0.18 | $ (0.03) | $ 0.27 |
Average shares outstanding, basic | 12,298 | 12,408 | 12,293 | 12,403 |
Average shares outstanding, diluted | 12,324 | 12,408 | 12,293 | 12,413 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Nov. 01, 2020 | Nov. 03, 2019 | Nov. 01, 2020 | Nov. 03, 2019 | |
Consolidated Statements of Comprehensive Income (Loss) | ||||
Net (loss) income | $ 2,384 | $ 2,192 | $ (349) | $ 3,366 |
Unrealized holding (losses) gains on investments, net of tax | (39) | 9 | 30 | 15 |
Reclassification adjustment for realized loss on investments | 6 | 6 | ||
Comprehensive (loss) income | 2,351 | 2,201 | (313) | 3,381 |
Plus: Comprehensive loss attributable to noncontrolling interest associated with discontinued operation | 108 | 272 | ||
Comprehensive (loss) income attributable to Culp, Inc. common shareholders | $ 2,351 | $ 2,309 | $ (313) | $ 3,653 |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) | Nov. 01, 2020 | May 03, 2020 | Nov. 03, 2019 | ||
Current assets: | |||||
Cash and cash equivalents | $ 45,288,000 | $ 69,790,000 | [1] | $ 46,955,000 | |
Short-term investments - held-to-maturity | 5,005,000 | 4,271,000 | [1] | ||
Short-term investments - available for sale | 5,462,000 | 923,000 | [1] | ||
Accounts receivable, net | 32,960,000 | 25,093,000 | [1] | 23,890,000 | |
Inventories | 47,726,000 | 47,907,000 | [1] | 51,443,000 | |
Current income taxes receivable | 1,585,000 | [1] | 776,000 | ||
Current assets - discontinued operation | 4,760,000 | ||||
Other current assets | 3,509,000 | 2,116,000 | [1] | 2,745,000 | |
Total current assets | 139,950,000 | 151,685,000 | [1] | 130,569,000 | |
Property, plant and equipment, net | 41,599,000 | 43,147,000 | [1] | 45,221,000 | |
Goodwill | 13,569,000 | ||||
Intangible assets | 3,192,000 | 3,380,000 | [1] | 3,711,000 | |
Long-term investments - rabbi trust | 8,060,000 | 7,834,000 | [1] | 7,575,000 | |
Long-term investments - held-to-maturity | 759,000 | 2,076,000 | [1] | ||
Right of use assets | 6,165,000 | 3,903,000 | [1] | 4,883,000 | |
Noncurrent income taxes receivable | 733,000 | ||||
Deferred income taxes | 645,000 | 793,000 | [1] | 511,000 | |
Investment in unconsolidated joint venture | 1,859,000 | 1,602,000 | [1] | 1,504,000 | |
Long-term note receivable affiliated with discontinued operation | 1,800,000 | ||||
Noncurrent assets - discontinued operation | 22,950,000 | ||||
Other assets | 547,000 | 664,000 | [1] | 496,000 | |
Total assets | 202,776,000 | 215,084,000 | [1] | 233,522,000 | |
Current liabilities: | |||||
Line of credit - China operations | [1] | 1,015,000 | |||
Paycheck Protection Program Loan | [1] | 7,606,000 | |||
Accounts payable - trade | 38,247,000 | 23,002,000 | [1] | 26,336,000 | |
Accounts payable - capital expenditures | 68,000 | 107,000 | [1] | 398,000 | |
Operating lease liability - current | 2,316,000 | 1,805,000 | [1] | 2,090,000 | |
Deferred revenue | 375,000 | 502,000 | [1] | 375,000 | |
Accrued expenses | 11,684,000 | 5,687,000 | [1] | 8,263,000 | |
Accrued restructuring costs | 35,000 | ||||
Current liabilities - Discontinued operation | 1,907,000 | ||||
Income taxes payable - current | 1,413,000 | 395,000 | [1] | 1,539,000 | |
Total current liabilities | 54,103,000 | 40,119,000 | [1] | 40,943,000 | |
Line of credit - U.S. operations | [1] | 29,750,000 | |||
Accrued expenses - long-term | 167,000 | [1] | 333,000 | ||
Operating lease liability - noncurrent | 4,008,000 | 2,016,000 | [1] | 2,614,000 | |
Income taxes payable - long-term | 3,325,000 | 3,796,000 | [1] | 3,442,000 | |
Deferred income taxes | 6,089,000 | 1,818,000 | [1] | 3,283,000 | |
Deferred compensation | 8,000,000 | 7,720,000 | [1] | 7,429,000 | |
Contingent consideration affiliated with discontinued operation | 6,006,000 | ||||
Noncurrent liabilities - discontinued operation | 3,550,000 | ||||
Total liabilities | 75,525,000 | 85,386,000 | [1] | 67,600,000 | |
Commitments and Contingencies (Notes 10, 17 and 18) | [1] | ||||
Shareholders' equity | |||||
Preferred stock, $0.05 par value, authorized 10,000,000 | [1] | ||||
Common stock, $0.05 par value, authorized 40,000,000 shares, issued and outstanding 12,303,023 at November 1, 2020; 12,411,957 at November 3, 2019; and 12,284,946 at May 3, 2020 | 615,000 | 615,000 | [1] | 621,000 | |
Capital contributed in excess of par value | 43,031,000 | 42,582,000 | [1] | 44,109,000 | |
Accumulated earnings | 83,579,000 | 86,511,000 | [1] | 116,735,000 | |
Accumulated other comprehensive income (loss) | 26,000 | (10,000) | [1] | 55,000 | |
Total shareholders' equity attributable to Culp, Inc. | 127,251,000 | 129,698,000 | [1] | 161,520,000 | |
Noncontrolling interest - discontinued operation | 4,402,000 | ||||
Total equity | 127,251,000 | 129,698,000 | [1] | 165,922,000 | |
Total liabilities and shareholders' equity | $ 202,776,000 | $ 215,084,000 | [1] | $ 233,522,000 | |
[1] | Derived from audited financial statements. |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares | Nov. 01, 2020 | May 03, 2020 | Nov. 03, 2019 |
Statement Of Financial Position [Abstract] | |||
Preferred stock, par value | $ 0.05 | $ 0.05 | $ 0.05 |
Preferred stock, authorized shares | 10,000,000 | 10,000,000 | 10,000,000 |
Common stock, par value | $ 0.05 | $ 0.05 | $ 0.05 |
Common stock, authorized shares | 40,000,000 | 40,000,000 | 40,000,000 |
Common stock, issued | 12,303,023 | 12,284,946 | 12,411,957 |
Common stock, outstanding | 12,303,023 | 12,284,946 | 12,411,957 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 6 Months Ended | ||
Nov. 01, 2020 | Nov. 03, 2019 | ||
Cash flows from operating activities: | |||
Net (loss) income | $ (349) | $ 3,366 | |
Adjustments to reconcile net (loss) income to net cash provided by operating activities: | |||
Depreciation | 3,538 | 3,893 | |
Amortization | 235 | 353 | |
Stock-based compensation | 474 | 467 | |
Deferred income taxes | 4,419 | 53 | |
Gain on disposal of equipment | (93) | ||
Realized loss on short-term investments available for sale | 6 | ||
(Income) loss from investment in unconsolidated joint venture | (167) | 3 | |
Foreign currency exchange loss (gain) | 723 | (106) | |
Changes in assets and liabilities: | |||
Accounts receivable | (7,663) | (835) | |
Inventories | 602 | (4,797) | |
Other current assets | (1,175) | (31) | |
Other assets | (40) | 133 | |
Accounts payable – trade | 14,156 | 3,564 | |
Deferred revenue | (127) | (24) | |
Accrued expenses and deferred compensation | 6,019 | 1,620 | |
Accrued restructuring costs | (89) | ||
Income taxes | 2,052 | 770 | |
Net cash provided by operating activities | 22,703 | 8,247 | |
Cash flows from investing activities: | |||
Capital expenditures | (2,041) | (2,410) | |
Proceeds from the sale of equipment | 12 | 363 | |
Investment in unconsolidated joint venture | (90) | ||
Proceeds from the maturity of short-term investments (Held to Maturity) | 1,800 | 5,000 | |
Purchase of short-term and long-term investments (Held to Maturity) | (1,245) | ||
Purchase of short-term investments (Available for Sale) | (5,010) | ||
Proceeds from the sale of short-term investments (Available for Sale) | 455 | ||
Proceeds from the sale of long-term investments (rabbi trust) | 77 | ||
Purchase of long-term investments (rabbi trust) | (257) | (479) | |
Net cash (used in) provided by investing activities | (6,299) | 2,474 | |
Cash flows from financing activities: | |||
Payments associated with lines of credit | (30,772) | ||
Payments associated with Paycheck Protection Program Loan | (7,606) | ||
Dividends paid | (2,583) | (2,482) | |
Cash paid for acquisition of business | (1,532) | ||
Proceeds from subordinated loan payable associated with the noncontrolling interest of discontinued operation | 250 | ||
Capital contribution from noncontrolling interest associated with discontinued operation | 360 | ||
Common stock surrendered for withholding taxes payable | (25) | (51) | |
Payments of debt issuance costs | (15) | ||
Net cash used in financing activities | (41,001) | (3,455) | |
Effect of exchange rate changes on cash and cash equivalents | 95 | (91) | |
(Decrease) increase in cash and cash equivalents | (24,502) | 7,175 | |
Cash and cash equivalents at beginning of period | 69,790 | 40,008 | |
Cash and cash equivalents at end of period | [1] | $ 45,288 | $ 47,183 |
[1] | As of November 3, 2019, cash and cash equivalents totaled $47.2 million, of which $47.0 million and $228,000 were classified as (i) cash and cash equivalents and (ii) within current assets – discontinued operation, respectively, in the accompanying Consolidated Balance Sheets. |
CONSOLIDATED STATEMENTS OF CA_2
CONSOLIDATED STATEMENTS OF CASH FLOWS (Parenthetical) $ in Thousands | Nov. 03, 2019USD ($) |
Cash and cash equivalents | $ 47,200 |
Cash and Cash Equivalents [Member] | |
Cash and cash equivalents | 47,000 |
Current Assets Discontinued Operation [Member] | |
Cash and cash equivalents | $ 228,000 |
CONSOLIDATED STATEMENTS OF SHAR
CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY - USD ($) $ in Thousands | Total | Common Stock | Capital Contributed in Excess of Par Value | Accumulated Earnings | Accumulated Other Comprehensive (Loss) Income | Shareholders' equity attributable to Culp Inc. | Noncontrolling Interest Discontinued Operation | |
Balance at Apr. 28, 2019 | [1] | $ 164,247 | $ 620 | $ 43,694 | $ 115,579 | $ 40 | $ 159,933 | $ 4,314 |
Balance (in shares) at Apr. 28, 2019 | [1] | 12,391,160 | ||||||
Net income (loss) | 1,174 | 1,338 | 1,338 | (164) | ||||
Stock-based compensation | 154 | 154 | 154 | |||||
Unrealized gain (loss) on investments | 6 | 6 | 6 | |||||
Common stock issued in connection with vesting of performance based restricted stock units | $ 1 | (1) | ||||||
Common stock issued in connection with vesting of performance based restricted stock units (in shares) | 12,776 | |||||||
Fully vested common stock award, (in shares) | 3,659 | |||||||
Common stock surrendered for withholding taxes payable | (44) | (44) | (44) | |||||
Common stock surrendered for withholding taxes payable (in shares) | (2,581) | |||||||
Dividends paid | (1,241) | (1,241) | (1,241) | |||||
Capital contribution from non-controlling interest associated with discontinued operation | 40 | 40 | ||||||
Balance at Aug. 04, 2019 | 164,336 | $ 621 | 43,803 | 115,676 | 46 | 160,146 | 4,190 | |
Balance (in shares) at Aug. 04, 2019 | 12,405,014 | |||||||
Balance at Apr. 28, 2019 | [1] | 164,247 | $ 620 | 43,694 | 115,579 | 40 | 159,933 | 4,314 |
Balance (in shares) at Apr. 28, 2019 | [1] | 12,391,160 | ||||||
Net income (loss) | 3,366 | |||||||
Balance at Nov. 03, 2019 | 165,922 | $ 621 | 44,109 | 116,735 | 55 | 161,520 | 4,402 | |
Balance (in shares) at Nov. 03, 2019 | 12,411,957 | |||||||
Balance at Aug. 04, 2019 | 164,336 | $ 621 | 43,803 | 115,676 | 46 | 160,146 | 4,190 | |
Balance (in shares) at Aug. 04, 2019 | 12,405,014 | |||||||
Net income (loss) | 2,192 | 2,300 | 2,300 | (108) | ||||
Stock-based compensation | 313 | 313 | 313 | |||||
Unrealized gain (loss) on investments | 9 | 9 | 9 | |||||
Common stock issued in connection with vesting of performance based restricted stock units (in shares) | 2,862 | |||||||
Fully vested common stock award, (in shares) | 4,520 | |||||||
Common stock surrendered for withholding taxes payable | (7) | (7) | (7) | |||||
Common stock surrendered for withholding taxes payable (in shares) | (439) | |||||||
Dividends paid | (1,241) | (1,241) | (1,241) | |||||
Capital contribution from non-controlling interest associated with discontinued operation | 320 | 320 | ||||||
Balance at Nov. 03, 2019 | 165,922 | $ 621 | 44,109 | 116,735 | 55 | $ 161,520 | $ 4,402 | |
Balance (in shares) at Nov. 03, 2019 | 12,411,957 | |||||||
Balance at May. 03, 2020 | [1] | 129,698 | $ 615 | 42,582 | 86,511 | (10) | ||
Balance (in shares) at May. 03, 2020 | [1] | 12,284,946 | ||||||
Net income (loss) | (2,733) | (2,733) | ||||||
Stock-based compensation | 126 | 126 | ||||||
Unrealized gain (loss) on investments | 69 | 69 | ||||||
Fully vested common stock award, (in shares) | 7,000 | |||||||
Dividends paid | (1,291) | (1,291) | ||||||
Balance at Aug. 02, 2020 | 125,869 | $ 615 | 42,708 | 82,487 | 59 | |||
Balance (in shares) at Aug. 02, 2020 | 12,291,946 | |||||||
Balance at May. 03, 2020 | [1] | 129,698 | $ 615 | 42,582 | 86,511 | (10) | ||
Balance (in shares) at May. 03, 2020 | [1] | 12,284,946 | ||||||
Net income (loss) | (349) | |||||||
Balance at Nov. 01, 2020 | 127,251 | $ 615 | 43,031 | 83,579 | 26 | |||
Balance (in shares) at Nov. 01, 2020 | 12,303,023 | |||||||
Balance at Aug. 02, 2020 | 125,869 | $ 615 | 42,708 | 82,487 | 59 | |||
Balance (in shares) at Aug. 02, 2020 | 12,291,946 | |||||||
Net income (loss) | 2,384 | 2,384 | ||||||
Stock-based compensation | 348 | 348 | ||||||
Unrealized gain (loss) on investments | (33) | (33) | ||||||
Common stock issued in connection with vesting of performance based restricted stock units (in shares) | 8,019 | |||||||
Fully vested common stock award, (in shares) | 5,193 | |||||||
Common stock surrendered for withholding taxes payable | (25) | (25) | ||||||
Common stock surrendered for withholding taxes payable (in shares) | (2,135) | |||||||
Dividends paid | (1,292) | (1,292) | ||||||
Balance at Nov. 01, 2020 | $ 127,251 | $ 615 | $ 43,031 | $ 83,579 | $ 26 | |||
Balance (in shares) at Nov. 01, 2020 | 12,303,023 | |||||||
[1] | Derived from audited financial statements. |
Basis of Presentation
Basis of Presentation | 6 Months Ended |
Nov. 01, 2020 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
Basis of Presentation | 1. Basis of Presentation The accompanying unaudited condensed consolidated financial statements of Culp, Inc. and its majority-owned 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 condensed 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 17, 2020, for the fiscal year ended May 3, 2020. The company’s six-months ended November 1, 2020, and November 3, 2019, represent 26-week and 27-week periods, respectively. |
Significant Accounting Policies
Significant Accounting Policies | 6 Months Ended |
Nov. 01, 2020 | |
Accounting Policies [Abstract] | |
Significant Accounting Policies | 2. Significant Accounting Policies As of November 1, 2020, 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 May 3, 2020. Recently Adopted Accounting Pronouncements Current Expected Credit Losses (“CECL”) In June 2016, the FASB issued ASU No. 2016-13, “ Financial Instruments – Credit Losses Measurement of Credit Losses on Financial Instruments Recently Issued Accounting Pronouncements Income Taxes In December 2019, the FASB issued ASU No. 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes There are no other new recent accounting pronouncements that are expected to have a material impact on our consolidated financial statements. |
Home Accessories Segment _ Disc
Home Accessories Segment – Discontinued Operation | 6 Months Ended |
Nov. 01, 2020 | |
Discontinued Operations And Disposal Groups [Abstract] | |
Home Accessories Segment – Discontinued Operation | 3. HOME ACCESSORIES SEGMENT – DISCONTINUED OPERATION Overview On March 31, 2020, we sold our entire ownership interest in eLuxury, LLC (“eLuxury”) to eLuxury’s noncontrolling interest holder in consideration of an accelerated settlement of certain financial obligations due and payable by eLuxury to us and the entry into supply and royalty arrangements designed to preserve an additional sales channel for our core products. Also, this sale, which was part of our comprehensive response to the challenging business conditions arising from the COVID-19 global pandemic, has allowed us to focus on our core businesses of upholstery and mattress fabrics and has been a factor in the increase of our liquidity through the first half of fiscal 2021. In connection with the sale of our entire ownership interest in eLuxury, (i) we received $509,500 at closing as an accelerated repayment of principal amounts previously loaned to eLuxury, together with outstanding interest, under a loan agreement between us and eLuxury; (ii) we forgave $300,000 of borrowings payable by eLuxury to us under this loan agreement; (iii) we entered into an amended and restated credit and security agreement with eLuxury and the buyer ( the former noncontrolling interest holder) (together, the “Borrowers”), pursuant to which the Borrowers agreed to repay an additional $ 1 million previously loaned to eLuxury within thirty days of the closing of the sale transaction (and which amount was secured by the assets of both Borrowers); and (iv) eLuxury agreed to pay $ 613,000 within sixty days of th e sale transaction in satisfaction of certain trade accounts payable due from eLuxury to us. The remaining $1 million we previously loaned to eLuxury and the outstanding trade accounts payable balance of $613,000 due from eLuxury to us has been paid in full in accordance with the terms of the sale agreement outlined above. Discontinued Operation Financial Statement Presentation and Disclosures Financial Statement Presentation Due to the sale of our entire ownership interest in eLuxury, our home accessories segment was eliminated. Consequently, we determined that the results from operations and assets and liabilities associated with our home accessories segment were to be excluded from our continuing operations and presented as a discontinued operation in our consolidated financial statements in accordance with ASC Topic 205-20-45. As a result, we classified the results from operations of our home accessories segment separately in captions titled “Discontinued Operation” on our Consolidated Statement of Net Income for the three-month and six-month periods ending November 3, 2019. Additionally, assets and liabilities associated with our home accessories segment as of November 3, 2019, were reclassified from certain amounts reported in the prior period to present separately in captions titled “current assets – discontinued operation”, “noncurrent assets – discontinued operation”, “current liabilities - discontinued operation”, and “noncurrent liabilities – discontinued operation” to conform to current year financial statement presentation. Consolidated Balance Sheet The following is a summary of the assets and liabilities of the disposal group that are presented separately as a discontinued operation on the Consolidated Balance Sheet as of November 3, 2019. November 3 (dollars in thousands) 2019 ASSETS current assets: cash and cash equivalents $ 228 accounts receivable 632 inventories 3,785 other current assets 115 total current assets - discontinued operation 4,760 property, plant, and equipment 1,752 goodwill 13,653 intangible asset 6,549 right of use asset 996 total noncurrent assets - discontinued operation 22,950 total assets $ 27,710 LIABILITIES AND NET ASSETS current liabilities: accounts payable $ 1,063 operating lease liability - current 192 accrued expenses 652 total current liabilities - discontinued operation 1,907 loan payable - Culp Inc. 1,800 subordinated loan payable - noncontrolling interest 925 operating lease liability - long-term 825 total noncurrent liabilities - discontinued operation 3,550 total liabilities 5,457 total net assets of discontinued operation $ 22,253 Net Loss from Discontinued Operation The following is a summary of the major classes of financial statement line items constituting loss before income taxes from discontinued operation that are presented in the Consolidated Statements of Net Income for the three-month and six-month periods ending November 3, 2019: Three Months Ended November 3, (dollars in thousands) 2019 net sales $ 3,276 cost of sales (2,699 ) gross profit 577 selling, general and administrative expenses (1,003 ) interest expense (1) (27 ) other income 12 loss before income taxes from discontinued operation (441 ) income tax benefit 381 net loss from discontinued operation $ (60 ) Six Months Ended November 3, (dollars in thousands) 2019 net sales $ 7,578 cost of sales (6,048 ) gross profit 1,530 selling, general and administrative expenses (2,565 ) interest expense (1) (47 ) other income 20 loss before income taxes from discontinued operation (1,062 ) income tax benefit 392 net loss from discontinued operation $ (670 ) (1) Interest expense is directly attributable to our discontinued operation as it pertains to the loans payable assumed by the buyer (the former noncontrolling interest holder) or required to be paid to Culp, Inc. based on the terms of the sale agreement. The following is a summary of net income (loss) from continuing operations, net loss from discontinued operation, and net income (loss) attributable to Culp, Inc. common shareholders and the noncontrolling interest associated with our discontinued operation for the three-month and six-month periods ending November 1, 2020, and November 3, 2019: Three Months Ended November 1, November 3, (dollars in thousands) 2020 2019 net income from continuing operations $ 2,384 $ 2,252 net loss from continuing operations attributable to noncontrolling interest — — net income from continuing operations attributable to Culp, Inc. common shareholders $ 2,384 $ 2,252 net loss from discontinued operation $ — $ (60 ) net loss from discontinued operation attributable to noncontrolling interest — 108 net income from discontinued operation attributable to Culp, Inc. common shareholders $ — $ 48 net income $ 2,384 $ 2,192 net loss from noncontrolling interest associated with a discontinued operation — 108 net income attributable to Culp, Inc. common shareholders $ 2,384 $ 2,300 Six Months Ended November 1, November 3, (dollars in thousands) 2020 2019 net (loss) income from continuing operations $ (349 ) $ 4,036 net loss from continuing operations attributable to noncontrolling interest — — net (loss) income from continuing operations attributable to Culp, Inc. common shareholders $ (349 ) $ 4,036 net loss from discontinued operation $ — $ (670 ) net loss from discontinued operation attributable to noncontrolling interest — 272 net loss from discontinued operation attributable to Culp, Inc. common shareholders $ — $ (398 ) net (loss) income $ (349 ) $ 3,366 net loss from noncontrolling interest associated with a discontinued operation — 272 net (loss) income attributable to Culp, Inc. common shareholders $ (349 ) $ 3,638 Cash Flow Disclosures Our discontinued operation had net cash used in operating activities totaling $2.2 million during the six-months ending November 3, 2019. Our discontinued operation had net cash used in investing activities totaling $32,000 during the six-months ending November 3, 2019. Our discontinued operation had net cash provided by financing activities, all of which were loan proceeds and capital contributions from Culp, Inc. and the former noncontrolling interest holder of eLuxury, totaling $2.4 million during the six-months ending November 3, 2019. We believe our liquidity has improved during the first half of fiscal 2021 in the absence of our former home accessories segment due to the significant losses that were incurred by that segment and the funding of its working capital requirements primarily by us through loans and capital contributions that are no longer required. Continuing Obligations, Financial Commitments, and Continuing Relationships with the Discontinued Operation Supply and Royalty Agreements In connection with the sale of our entire ownership interest in eLuxury, we entered into supply and royalty agreements with eLuxury to preserve an additional sales channel for our core products – upholstery and mattress fabrics. The supply agreement requires eLuxury to purchase all its requirements at fair market prices for mattress and upholstery fabric products of the type we were supplying to eLuxury at the time of the sale transaction, as well as certain home accessories and soft good products, subject to our ability to provide competitive pricing and delivery terms for such products. The royalty agreement requires eLuxury to pay us a royalty fee based on a percentage of sales, as defined in the royalty agreement, for sales of eLuxury’s products to certain business-to-business customers, including customers which we referred to eLuxury prior to the sale transaction and new customer relationships we develop for eLuxury going forward, as well as sales of eLuxury products generated by sales representatives that we develop or introduce to eLuxury. There are no guarantees or provisions under either the supply or royalty agreements that require eLuxury to purchase a minimum amount of our products or sell a certain amount of eLuxury products to customers or through sales representatives developed or introduced by us. As a result, the success of these agreements and the period of time in which our involvement with eLuxury is expected to continue are based on eLuxury’s ability to sell products that require mattress and upholstery fabrics and our ability to provide an additional sales channel for eLuxury to grow its business-to-business sales platform. As a result of our continuing involvement with eLuxury, we reported net sales and the related cost of sales associated with our inventory shipments to eLuxury in accordance with Topic 205-20-50-4B, which requires us to report these transactions in continuing operations in our Consolidated Statement of Net Income for the three-month and six-month periods ending November 3, 2019. Therefore, we reported both net sales and cost of sales from continuing operations totaling $207,000 and $381,000 during the three-month and six-month periods ending November 3, 2019, respectively, that were previously eliminated in consolidation. During the three-month and six-month periods ending November 1, 2020, shipments to eLuxury under the supply agreement totaled $41,000 and $285,000, respectively. During the three-month and six-month periods ending November 1, 2020, we received payments pursuant to the royalty agreement totaling $28,000 and $80,000, respectively. Financial Guarantee Currently, we have an agreement that guarantees 70% of any unpaid lease payments associated with eLuxury’s facility located in Evansville, Indiana. The lease agreement expires in September 2024 and requires monthly payments of $18,865. Under the terms of the sale of our controlling interest in eLuxury, the buyer (the former noncontrolling interest holder) must use commercially reasonable efforts to cause the lessor to release us from this financial guarantee of eLuxury’s lease agreement. Following the sale transaction, eLuxury and its sole owner have indemnified us from any liabilities and obligations that we would be required to pay regarding this lease agreement. |
Allowance for Doubtful Accounts
Allowance for Doubtful Accounts | 6 Months Ended |
Nov. 01, 2020 | |
Receivables [Abstract] | |
Allowance for Doubtful Accounts | 4. Allowance for Doubtful Accounts A summary of the activity in the allowance for doubtful accounts follows: Six Months Ended (dollars in thousands) November 1, 2020 November 3, 2019 Beginning balance $ 472 $ 393 Provision for bad debts 123 (27 ) Net write-offs, net of recoveries — — Ending balance $ 595 $ 366 During the six-month period ended November 1, 2020, we assessed the credit risk of our customers within our accounts receivable portfolio. Our risk assessment includes the respective customer’s (i) financial position; (ii) past payment history; (iii) management’s general ability; (iv) historical loss experience; and (v) the ongoing economic uncertainty associated with the COVID-19 global pandemic. After our risk assessment was completed, we assigned credit grades to our customers, which in turn, were used to determine our allowance for doubtful accounts totaling $595,000 as of November 1, 2020. |
Revenue from Contracts with Cus
Revenue from Contracts with Customers | 6 Months Ended |
Nov. 01, 2020 | |
Revenue From Contract With Customer [Abstract] | |
Revenue from Contracts with Customers | 5. Revenue from Contracts with Customers Nature of Performance Obligations Continuing Operations Our continuing operations are classified into two business segments: mattress fabrics and upholstery fabrics. The mattress fabrics segment manufactures, sources, and sells fabrics and mattress covers primarily to bedding manufacturers. The upholstery fabrics segment develops, manufactures, sources, and sells fabrics primarily to residential and commercial furniture manufacturers. Additionally, Read Window Products LLC (“Read”), a wholly-owned subsidiary, is a turn-key provider of window treatments and sourcing of upholstery fabrics and other products, as well as measuring and installation services of Read’s products for the hospitality and commercial industries. Read also supplies soft goods such as decorative top sheets, coverlets, duvet covers, bed skirts, bolsters, and pillows. Read is included in the upholstery fabrics segment. Our primary performance obligations include the sale of mattress fabrics and upholstery fabrics, as well as the performance of customized fabrication and installation services of Read’s own products associated with window treatments. Discontinued Operation – Home Accessories Segment As disclosed in Note 3 of the consolidated financial statements, we sold our entire ownership interest in eLuxury on March 31, 2020, and consequently our home accessories segment was eliminated at such time. Thus, the results of operations associated with our home accessories segment were excluded from our continuing operations and are presented as a discontinued operation in our consolidated financial statements. The home accessories segment was our finished products business that manufactured, sourced, and sold bedding accessories and home goods directly to consumers and businesses through global e-commerce, business-to-business, and other sales channels. Prior to its disposal, our former home accessories segment reported net sales totaling $3.3 million and $7.6 million for the three-month and six-month periods ended November 3, 2019, respectively. Revenue associated with the sales of home accessories products was recognized at the point-in-time when control was transferred to the customer. Contract Assets & Liabilities Certain contracts, primarily those for customized fabrication and installation services associated with Read, require upfront customer deposits that result in a contract liability which is recorded on the Consolidated Balance Sheets as deferred revenue. If upfront deposits or prepayments are not required, customers may be granted credit terms which generally range from 15 – 60 days. For a limited time, extended terms were granted to certain customers in response to the challenging business conditions resulting from the COVID-19 global pandemic. Our customary terms, as well as the limited extended terms, are common within the industries in which we operate and are not considered financing arrangements. There were no contract assets recognized as of November 1, 2020, November 3, 2019, and May 3, 2020. A summary of the activity associated with deferred revenue for the six-month periods ended November 1, 2020, and November 3, 2019, follows: Six months ended (dollars in thousands) November 1, 2020 November 3, 2019 Beginning balance $ 502 $ 399 Revenue recognized on contract liabilities (1,197 ) (1,536 ) Payments received for services not yet rendered 1,070 1,512 Ending balance $ 375 $ 375 Disaggregation of Revenue The following table presents our disaggregated revenue by segment, timing of revenue recognition, and product sales versus services rendered for the three-month period ending November 1, 2020: Mattress Upholstery (dollars in thousands) Fabrics Fabrics Total Products transferred at a point in time $ 40,030 $ 34,666 $ 74,696 Services transferred over time — 2,155 2,155 Total Net Sales $ 40,030 $ 36,821 $ 76,851 The following table presents our disaggregated revenue by segment, timing of revenue recognition, and product sales versus services rendered for the six-month period ending November 1, 2020: Mattress Upholstery (dollars in thousands) Fabrics Fabrics Total Products transferred at a point in time $ 76,133 $ 60,727 $ 136,860 Services transferred over time — 4,455 4,455 Total Net Sales $ 76,133 $ 65,182 $ 141,315 The following table presents our disaggregated revenue by segment, timing of revenue recognition, and product sales versus services rendered for the three-month period ending November 3, 2019: Mattress Upholstery (dollars in thousands) Fabrics Fabrics Total Products transferred at a point in time $ 35,666 $ 30,964 $ 66,630 Services transferred over time — 2,920 2,920 Total Net Sales $ 35,666 $ 33,884 $ 69,550 The following table presents our disaggregated revenue by segment, timing of revenue recognition, and product sales versus services rendered for the six-month period ending November 3, 2019: Mattress Upholstery (dollars in thousands) Fabrics Fabrics Total Products transferred at a point in time $ 74,525 $ 60,792 $ 135,317 Services transferred over time — 4,952 4,952 Total Net Sales $ 74,525 $ 65,744 $ 140,269 |
Inventories
Inventories | 6 Months Ended |
Nov. 01, 2020 | |
Inventory Disclosure [Abstract] | |
Inventories | 6. Inventories Inventories are carried at the lower of cost or net realizable value. Cost is determined using the FIFO (first-in, first-out) method. A summary of inventories follows: (dollars in thousands) November 1, 2020 November 3, 2019 May 3, 2020 Raw materials $ 8,594 $ 6,872 $ 7,823 Work-in-process 3,056 2,973 1,958 Finished goods 36,076 45,383 38,126 $ 47,726 $ 55,228 (1) $ 47,907 (1) As of . |
Intangible Assets
Intangible Assets | 6 Months Ended |
Nov. 01, 2020 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Intangible Assets | 7. Intangible Assets A summary of intangible assets follows: (dollars in thousands) November 1, 2020 November 3, 2019 May 3, 2020 Tradenames $ 540 $ 7,232 $ 540 Customer relationships, net 2,087 2,388 2,238 Non-compete agreement, net 565 640 602 $ 3,192 $ 10,260 (1) $ 3,380 (1) As of November 3, 2019, intangible assets totaled $10.3 million, of which $3.7 million and $6.6 million were classified as (i) Tradenames Our tradename totaling $540,000 as of November 1, 2020, pertained to Read, a separate reporting unit within the upholstery fabrics segment. This tradename was determined to have an indefinite useful life at the time of its acquisition, and therefore, is not being amortized. However, we are required to assess this tradename annually or between annual tests if we believe indicators of impairment exist. Based on our assessment as of November 1, 2020, no indicators of impairment existed. However, during our annual assessment as of May 3, 2020, we performed a qualitative assessment in which we concluded that it was more-likely-than-not that the fair value of Read’s tradename was less than its carrying amount. This conclusion was based on impairment indicators that existed, such as our unfavorable financial performance during the fourth quarter of fiscal 2020 and the significant decline in the price per share of our common stock and market capitalization stemming from the COVID-19 global pandemic. Since we determined it was more-likely-than-not that the fair market value of Read’s tradename was less than its carrying amount, we performed a quantitative impairment test. Our quantitative impairment test involved determining the fair value of Read’s tradename and comparing the respective fair value of Read’s tradename with its carrying amount. Consequently, based on our quantitative impairment test, we recorded an asset impairment charge totaling $143,000 during the fourth quarter of fiscal 2020. As a result of our quantitative impairment test, we determined the fair value of our tradename was $540,000 using the relief from royalty method. This method used significant unobservable inputs and therefore, the fair value of our tradename was classified as level 3 within the fair value hierarchy. Refer to Note 11 of the consolidated financial statements for further information about our determination to classify this tradename as level 3 within the fair value hierarchy in accordance with Topic 820. Customer Relationships A summary of the change in the carrying amount of our customer relationships follows: Six months ended (dollars in thousands) November 1, 2020 November 3, 2019 Beginning balance $ 2,238 $ 2,538 Amortization expense (151 ) (150 ) Ending balance $ 2,087 $ 2,388 Our customer relationships are amortized on a straight-line basis over useful lives ranging from nine to seventeen years. The gross carrying amount of our customer relationships was $3.1 million as of November 1, 2020, November 3, 2019, and May 3, 2020, respectively. Accumulated amortization for these customer relationships was $1.0 million, $727,000, and $877,000 as of November 1, 2020, November 3, 2019, and May 3, 2020, respectively. The remaining amortization expense for the next five fiscal years and thereafter follows: FY 2021 - $151,000; FY 2022 - $301,000; FY 2023 - $301,000; FY 2024 - $301,000; FY 2025 - $301,000; and thereafter - $732,000. The weighted average amortization period for our customer relationships is 7.1 years as of November 1, 2020. Non-Compete Agreement A summary of the change in the carrying amount of our non-compete agreement follows: Six months ended (dollars in thousands) November 1, 2020 November 3, 2019 Beginning balance $ 602 $ 678 Amortization expense (37 ) (38 ) Ending balance $ 565 $ 640 Our non-compete agreement is amortized on a straight-line basis over the fifteen-year The gross carrying amount of our non-compete agreement was $2.0 million as of November 1, 2020, November 3, 2019, and May 3, 2020, respectively. Accumulated amortization for our non-compete agreement was $1.5 million as of November 1, 2020, $1.4 million as of November 3, 2019, and $1.4 million as of May 3, 2020. The remaining amortization expense for the next five years and thereafter follows: FY 2021 - $37,000; FY 2022 - $76,000; FY 2023 - $76,000; FY 2024 - $76,000; FY 2025 - $76,000, and thereafter - $224,000. The weighted average amortization period for the non-compete agreement is 7.5 years as of November 1, 2020. |
Investment in Unconsolidated Jo
Investment in Unconsolidated Joint Venture | 6 Months Ended |
Nov. 01, 2020 | |
Equity Method Investments And Joint Ventures [Abstract] | |
Investment in Unconsolidated Joint Venture | 8. Investment in Unconsolidated Joint Venture Culp International Holdings, Ltd. (“Culp International”), a wholly-owned subsidiary of the company, entered into a joint venture agreement pursuant to which Culp International owns fifty percent of Class International Holdings, Ltd. (“CLIH”). CLIH produces cut and sewn mattress covers in an 80,000 square foot facility located in a modern industrial park on the northeastern border of Haiti, which borders the Dominican Republic. CLIH complements our mattress fabric operations with a reactive platform that enhances our ability to meet customer demand while adding a lower cost operation to our platform. On December 20, 2019, CLIH entered into an agreement to construct an additional plant facility totaling 40,000 square feet, which was completed during September 2020. This new plant facility is near our existing operations and provides additional capacity that enhances our ability to produce sewn covers. This agreement requires payments totaling $1.2 million, of which $600,000 was paid in February 2020, $180,000 was paid in May 2020, and $420,000 CLIH reported net income totaling $334,000 for the six-month period ending November 1, 2020, and a net loss of $6,000 for the six-month period ending November 3, 2019. Our equity interest in CLIH’s net income was $167,000 for the six-month period ending November 1, 2020. Our equity interest in CLIH’s net loss was $3,000 for the six-month period ending November 3, 2019. The following table summarizes information on assets, liabilities, and members’ equity of our equity method investment in CLIH: (dollars in thousands) November 1, 2020 November 3, 2019 May 3, 2020 Total assets $ 3,951 $ 3,190 $ 3,338 Total liabilities $ 232 $ 182 $ 133 Total members’ equity $ 3,719 $ 3,008 $ 3,205 As of November 1, 2020, November 3, 2019, and May 3, 2020, our investment in CLIH totaled $1.9 million, $1.5 million, and $1.6 million, respectively, which represents the company’s fifty percent ownership interest in CLIH. |
Accrued Expenses
Accrued Expenses | 6 Months Ended |
Nov. 01, 2020 | |
Text Block [Abstract] | |
Accrued Expenses | 9. Accrued Expenses A summary of accrued expenses follows: (dollars in thousands) November 1, 2020 November 3, 2019 May 3, 2020 Compensation, commissions and related benefits $ 7,144 $ 4,489 $ 3,038 Interest — 3 9 Other accrued expenses 4,540 4,756 2,807 $ 11,684 $ 9,248 $ 5,854 As of November 1, 2020, our entire accrued expenses totaling $11.7 million were classified as current accrued expenses in the accompanying Consolidated Balance Sheets. As of November 3, 2019, we had accrued expenses totaling $9.2 million, of which $8.3 million, $333,000, and $652,000 were classified as (i) current accrued expenses, (ii) long-term accrued expenses, and (iii) within current liabilities – discontinued operation, respectively, in the accompanying Consolidated Balance Sheets. As of May 3, 2020, we had accrued expenses totaling $5.9 million, of which $5.7 million and $167,000 were classified as (i) current accrued expenses and (ii) long-term accrued expenses, respectively, in the accompanying Consolidated Balance Sheets. |
Lines of Credit and Paycheck Pr
Lines of Credit and Paycheck Protection Program Loan | 6 Months Ended |
Nov. 01, 2020 | |
Debt Disclosure [Abstract] | |
Lines of Credit and Paycheck Protection Program Loan | 10. Lines of Credit and Paycheck Protection Program Loan Revolving Credit Agreement – United States Our Credit Agreement (“Credit Agreement”) with Wells Fargo Bank, N.A. (“Wells Fargo”) provides a revolving loan commitment of $30 million, is set to expire on August 15, 2022, and allows us to issue letters of credit not to exceed $1 million. Interest is charged at a rate (applicable interest rate of 1.74%, 3.22%, and 1.75% as of November 1, 2020, November 3, 2019, and May 3, 2020, respectively) as a variable spread over LIBOR based on our ratio of debt to EBITDA. Outstanding borrowings are secured by a pledge of 65% of the common stock of Culp International Holdings Ltd. (our subsidiary located in the Cayman Islands). As a result of the COVID-19 global pandemic and the uncertainty relating to the unknown duration and overall effect on the company, we proactively took a precautionary measure and borrowed the maximum amount available from this line of credit during the fourth quarter of fiscal 2020. Consequently, we had outstanding borrowings of $29.8 million under the Credit Agreement as of May 3, 2020. During June 2020, we repaid the entire $29.8 million outstanding balance and there were no additional borrowings made during the first half of fiscal 2021. As a result, there were no borrowings outstanding under the Credit Agreement as of November 1, 2020. Additionally, there were no borrowings outstanding under the Credit Agreement as of November 3, 2019. As of November 1, 2020, November 3, 2019, and May 3, 2020, there were $250,000 in outstanding letters of credit (all of which related to workers compensation) provided by the Credit Agreement. As of November 1, 2020, we had $750,000 remaining for the issuance of additional letters of credit. Seventh Amendment to the Credit Agreement Effective June 30, 2020, we entered into a Seventh Amendment to our Credit Agreement (the “Seventh Amendment”) which includes provisions that (i) modify the method for calculating the company’s debt to EBITDA covenant under the Credit Agreement solely during the temporary period beginning on the date of the Seventh Amendment and ending on the Rate Determination Date (as defined in the Credit Agreement), following the end of the company’s fiscal 2021 fourth quarter (such temporary period, the “Modification Period,”), and (ii) amend the pricing matrix used to determine the interest rate payable on loans made under the Credit Agreement solely during the Modification Period. Specifically, the Seventh Amendment provides that during Modification Period, the company’s ratio of debt to EBITDA shall be determined by excluding the fourth quarter of fiscal 2020 from the calculation thereof, such that the ratio shall be determined using the four most recent quarterly periods other than (i.e. excluding) the fourth quarter of fiscal 2020, rather than calculating on a rolling four-quarter basis. It further provides that during the Modification Period, the Applicable Margin (as defined in the Credit Agreement) set forth the pricing matrix is increased to 1.6% for price level I, 2.05% for price level II, 2.5% for price level III, and 3.0% for price level IV. Additionally, the Seventh Amendment (i) changes the capital expenditure covenant by reducing permitted annual capital expenditures to $10 million during fiscal year 2021, (ii) changes the liens and other indebtedness covenant to reduce the permitted amount of allowable liens and other indebtedness to 5% of consolidated net worth, and (iii) adds a new covenant that prohibits the company, solely during the Modification Period, from paying dividends or repurchasing stock in excess of $10 million in the aggregate during the Modification Period. Revolving Credit Agreement s – China Operations Denominated in Chinese Yuan Renminbi (“RMB”) We have an unsecured credit agreement denominated in Chinese Renminbi with a bank located in China that provides for a line of credit up to 40 million RMB’s ($6.0 million USD as of November 1, 2020). This agreement has an interest rate determined by the Chinese government at the time of borrowing and was set to expire on December 4, 2020. As of May 3, 2020, there were outstanding borrowings under this agreement totaling $1.0 million at an applicable interest rate of 2.41%. During June 2020, we repaid the entire $1.0 million and there were no additional borrowings made during the first half of fiscal 2021. As a result, there were no borrowing outstanding under this agreement as of November 1, 2020. Additionally, there were no borrowing outstanding under this agreement as of November 3, 2019. On December 1, 2020, we renewed this agreement to extend the expiration date to December 1, 2021, and maintain our borrowing capacity of 40 million RMB’s. Denominated in United States Dollar (“USD”) We have an unsecured credit agreement denominated in USD with another bank located in China that provides for a line of credit up to $2 million USD. This agreement has an interest rate determined by the Chinese government at the time of borrowing and is set to expire on July 7, 2021. As of November 1, 2020, there are no borrowings outstanding under this agreement. Small Business Administration - Paycheck Protection Program On April 15, 2020, we received a loan of $7.6 million (the “Loan”) pursuant to the U.S. Small Business Administration (the “SBA”) Paycheck Protection Program (the “PPP”) of the Coronavirus Aid, Relief and Economic Security Act of 2020 (the “CARES Act”). We planned to use the proceeds from the Loan for covered payroll costs, rent, and utilities in accordance with the applicable terms and conditions of the CARES Act. We believed the Loan would enable us to retain more of our employees, maintain payroll and benefits, and make lease and utility payments while producing and supplying critical products for essential businesses during the COVID-19 global pandemic. Following our application and receipt of the Loan, the SBA and U.S. Treasury Department issued new guidance regarding eligibility requirements under the PPP, raising questions regarding the eligibility of publicly traded companies to receive loans under the program. As a result, out of an abundance of caution, we voluntarily repaid the Loan in full on May 13, 2020. Overall Our loan agreements require, among other things, that we maintain compliance with certain financial covenants. As of November 1, 2020, we were in compliance with these financial covenants. |
Fair Value
Fair Value | 6 Months Ended |
Nov. 01, 2020 | |
Fair Value Disclosures [Abstract] | |
Fair Value | 11. Fair Value 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. Level 3 – Unobservable inputs developed using the company’s estimates and assumptions, which reflect those that market participants would use. 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. Recurring Basis The following table presents information about assets measured at fair value on a recurring basis: Fair value measurements as of November 1, 2020 using: Quoted prices Significant in active other Significant markets for observable unobservable identical assets inputs inputs (amounts in thousands) Level 1 Level 2 Level 3 Total Assets: Premier Money Market Fund $ 7,665 N/A N/A $ 7,665 Short Term Bond Funds 5,462 N/A N/A 5,462 Growth Allocation Fund 255 N/A N/A 255 Moderate Allocation Fund 73 N/A N/A 73 Other 67 N/A N/A 67 Fair value measurements as of November 3, 2019 using: Quoted prices Significant in active other Significant markets for observable unobservable identical assets inputs inputs (amounts in thousands) Level 1 Level 2 Level 3 Total Assets: Premier Money Market Fund $ 7,133 N/A N/A $ 7,133 Growth Allocation Fund 222 N/A N/A 222 Moderate Allocation Fund 132 N/A N/A 132 Other 88 N/A N/A 88 Fair value measurements as of May 3, 2020 using: Quoted prices Significant in active other Significant markets for observable unobservable identical assets inputs inputs (amounts in thousands) Level 1 Level 2 Level 3 Total Assets: Premier Money Market Fund $ 7,496 N/A N/A $ 7,496 Short Term Bond Funds 923 N/A N/A 923 Growth Allocation Fund 219 N/A N/A 219 Moderate Allocation Fund 63 N/A N/A 63 Other 56 N/A N/A 56 Short-Term Investments – Available for Sale Our short-term investments classified as available for sale consisted of short-term bond mutual funds and had an accumulated unrealized loss totaling $29,000 as of November 1, 2020, and $9,000 as of May 3, 2020. Our short-term investments classified as available for sale were recorded at their fair values of $5.5 million and $923,000 as of November 1, 2020, and May 3, 2020, respectively. As of November 1, 2020, and May 3, 2020, the fair value of our short-term investments approximated their cost basis. There were no short-term investments classified as available for sale as of November 3, 2019. Short-Term and Long-Term Investments - Held-To-Maturity Our investments classified as held-to-maturity consisted of investment grade U.S. corporate bonds, foreign bonds, and government bonds with original maturities that range from 2 to 10 years, all of which have remaining maturities of less than 2 years as of November 1, 2020. These investments were classified as held-to-maturity as we have the positive intent and ability to hold these investments until maturity. Our held-to-maturity investments were recorded as either current or noncurrent on our Consolidated Balance Sheets, based on the maturity date in relation to the respective reporting period, and were recorded at amortized cost. As of November 1, 2020, and May 3, 2020, our held-to-maturity investments recorded at amortized cost totaled $5.8 million and $6.3 million, respectively. The fair value of our held-to-maturity investments as of November 1, 2020, and May 3, 2020, totaled $5.8 million and $6.4 million, respectively. There were no investments classified as held-to-maturity on November 3, 2019. Our bond investments were classified as level 2 as they were traded over the counter within a broker network and not on an active market. The fair value of our bond investments w as determined based on a published source that provided an average bid price. The average bid price was based on various broker prices that were determined based on market conditions, interest rates, and the rating of the respective bond investment . Current Expected Credit Loses (“CECL”)- Available for Sale and Held-To-Maturity Investments As of May 4, 2020, we did not have an allowance for credit losses related to our short-term available for sale and held-to-maturity investments, which are comprised mostly of fixed income securities that are predominantly high-grade U.S. and foreign corporate bonds, U.S. Treasury bonds, and short-term mutual bond funds. As a result of our adoption of Topic 326 effective May 4, 2020, we determined that our credit loss exposure was immaterial due to the short-term nature of our mutual bond funds, and we have experienced historically low unrealized losses and gains during past reporting periods. In addition, it is not our intention to sell, and it is not likely that we will be required to sell, our held-to-maturity investments before the recovery of their amortized cost basis. As of November 1, 2020, we reported an accumulated unrealized loss of $29,000 associated with our short-term investments classified as available for sale. As mentioned above, it is not our intention to sell nor is it likely that we will be required to sell, our held-to-maturity investments before the recovery of their amortized cost basis. Accordingly, we did not record any credit loss expense during the six-month period ending November 1, 2020. Long-Term Investments - Rabbi Trust We have a rabbi trust to set aside funds for participants of our deferred compensation plan (the “Plan”), which enables its participants to credit their contributions to various investment options of the Plan. The investments associated with the rabbi trust consist of a money market fund and various mutual funds that are classified as available for sale. The long-term investments associated with our rabbi trust were recorded at their fair values of $8.1 million, $7.6 million, and $7.8 million as of November 1, 2020, November 3, 2019, and May 3, 2020, respectively. The long-term investments associated with our rabbi trust had an accumulated unrealized gain of $55,000, $55,000, and $19,000 as of November 1, 2020, and November 3, 2019, and May 3, 2020, respectively. The fair value of our long-term investments associated with our rabbi trust approximates their cost basis. Other The carrying amount of our cash and cash equivalents, accounts receivable, other current assets, accounts payable, and accrued expenses approximates fair value because of the short maturity of these financial instruments. Nonrecurring Basis – Fourth Quarter Fiscal 2020 Continuing Operations In accordance with ASC Topic 350 Intangibles – Goodwill and Other, that the goodwill associated with our mattress fabrics segment and the goodwill and tradename affiliated with Read were impaired, and therefore, we conducted quantitative asset impairment tests. Consequently, based on the results of our quantitative asset impairment tests as of May 3, 2020, we recorded Our fair values associated with our goodwill and tradename were determined using a discounted cash flow and the relief from royalty methods, respectively. These methods used significant unobservable inputs, and therefore, the fair values of our goodwill and tradename were classified within level 3 of the fair value hierarchy. Discontinued Operation – Home Accessories Segment During the fourth quarter of fiscal 2020, we recorded asset impairment charges totaling $6.6 million, of which $4.2 million and $2.4 million were for the entire remaining carrying value associated with our former home accessories segment’s tradename and goodwill. These impairment charges were based on the expected selling price of our entire ownership interest in eLuxury in comparison to its carrying amount. As disclosed in Note 3 of the consolidated financial statements, effective March 31, 2020, we sold our entire ownership interest in eLuxury to its noncontrolling interest holder resulting in the elimination of the home accessories segment at such time. Based on the terms of the sale agreement, we did not receive any consideration for eLuxury’s net assets associated with the sale of our entire ownership in eLuxury. We believe the expected selling price represents a significant observable input and therefore, the fair values of our former home accessories segment’s tradename and goodwill were classified within level 2 of the fair value hierarchy. |
Cash Flow Information
Cash Flow Information | 6 Months Ended |
Nov. 01, 2020 | |
Supplemental Cash Flow Elements [Abstract] | |
Cash Flow Information | 12. Cash Flow Information Interest and income taxes paid (refunded) are as follows: Six months ended (dollars in thousands) November 1, 2020 November 3, 2019 Interest $ 60 $ 40 Income taxes (1) (2) (556 ) 2,782 (1) ( 2 ) |
Net Income (Loss) from Continui
Net Income (Loss) from Continuing Operations Per Share | 6 Months Ended |
Nov. 01, 2020 | |
Earnings Per Share [Abstract] | |
Net Income (Loss) from Continuing Operations Per Share | 13. Net Income (Loss) from Continuing Operations Per Share Basic net income (loss) from continuing operations per share is computed using the weighted-average number of shares outstanding during the period. Diluted net income (loss) from continuing operations 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 (loss) from continuing operations per share are as follows: Three months ended (amounts in thousands) November 1, 2020 November 3, 2019 Weighted average common shares outstanding, basic 12,298 12,408 Dilutive effect of stock-based compensation 26 — Weighted average common shares outstanding, diluted 12,324 12,408 During the second quarter of fiscal 2021, 1,101 shares of unvested common stock were not included in the computation of diluted net income from continuing operations per share, as their effect would be antidilutive resulting from the decrease in the price per share of our common stock during the reporting period in relation to the price per share of our common stock as of the respective grant dates of our outstanding stock-based compensation awards. During the second quarter of fiscal 2020, 6,938 shares of unvested common stock were not included in the computation of diluted net income from continuing operations per share, as their effect would be antidilutive as result of the decrease in the price per share of our common stock during the reporting period in relation to the price per share of our common stock as of the respective grant dates of our outstanding stock-based compensation awards. Six months ended (amounts in thousands) November 1, 2020 November 3, 2019 Weighted average common shares outstanding, basic 12,293 12,403 Dilutive effect of stock-based compensation — 10 Weighted average common shares outstanding, diluted 12,293 12,413 During the first half of fiscal 2021, we did not include a total of 38,313 shares of unvested common stock in the computation of diluted net loss from continuing operations per share. Of the total 38,313 shares of unvested common stock, (i) 26,099 shares were antidilutive resulting from the decrease in the price per share of our common stock during the reporting period in relation to the price per share of our common stock as of the respective grant dates of our outstanding stock-based compensation awards and (ii) 12,214 shares were antidilutive as we incurred a net loss during the reporting period. During the first half of fiscal 2020, 1,407 shares of unvested common stock were not included in the computation of diluted net income from continuing operations per share, as their effect would be antidilutive, as result of the decrease in the price per share of our common stock during the reporting period in relation to the price per share of our common stock as of the respective grant dates of our outstanding stock-based compensation awards. |
Segment Information
Segment Information | 6 Months Ended |
Nov. 01, 2020 | |
Segment Reporting [Abstract] | |
Segment Information | 14. Segment Information Overall Continuing Operations Our continuing operations are classified into two business segments: mattress fabrics and upholstery fabrics. Mattress Fabrics The mattress fabrics segment manufactures, sources, and sells fabrics and mattress covers primarily to bedding manufacturers. Upholstery Fabrics The upholstery fabrics segment develops, manufactures, sources, and sells fabrics primarily to residential and commercial furniture manufacturers. Additionally, the segment includes Read, a wholly-owned subsidiary, which is a turn-key provider of window treatments and sourcing of upholstery fabrics and other products, as well as measuring and installation services of Read’s products for the hospitality and commercial industries. Read also supplies soft goods such as decorative top sheets, coverlets, duvet covers, bed skirts, bolsters, and pillows. Discontinued Operation – Home Accessories Segment As disclosed in Note 3 of the consolidated financial statements, we sold our entire ownership interest in eLuxury on March 31, 2020, and consequently our home accessories segment was eliminated at such time. Thus, the results of operations associated with our home accessories segment were excluded from our continuing operations and presented as a discontinued operation in our consolidated financial statements. Our former home accessories segment was our finished products business that manufactured, sourced, and sold bedding accessories and home goods directly to consumers and businesses through global e-commerce, business-to-business, and other sales channels. See Note 3 of the consolidated financial statements for detailed financial information of our former home accessories segment. As disclosed in Note 3, a reconciliation is provided that has detailed balance sheet information as of November 3, 2019, that is reconciled to captions titled “current assets – discontinued operation”, “noncurrent assets – discontinued operation”, current liabilities – discontinued operation”, and “noncurrent liabilities – discontinued operation” presented in the Consolidated Balance Sheet as of November 3, 2019. Also, a reconciliation is provided that pertains to detailed income statement information disclosed in Note 3 and is reconciled to net loss from discontinued operation presented in the Consolidated Statements of Net Income for the three-month and six-month periods ending November 3, 2019. Financial Information We evaluate the operating performance of our current business segments based upon income (loss) from continuing operations before certain unallocated corporate expenses, asset impairments, restructuring credit (expense) and restructuring related charges, and other non-recurring items. Cost of sales for each segment includes costs to develop, 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 their staff, all costs associated with being a public company, and other miscellaneous expenses. Segment assets include assets used in the operations of each segment and primarily consist of accounts receivable, inventories, property, plant, and equipment, and right of use assets. The mattress fabrics segment also includes in segment assets its investment in an unconsolidated joint venture. Goodwill and intangible assets are not included in segment assets as these assets are not used by the Chief Operating Decision Maker to evaluate the respective segment’s operating performance, allocate resources to individual segments, or determine executive compensation. Statements of operations for our current operating segments are as follows: Three months ended November 1, 2020 November 3, 2019 net sales by segment: mattress fabrics $ 40,030 $ 35,666 upholstery fabrics 36,821 33,884 net sales $ 76,851 $ 69,550 gross profit from continuing operations by segment: mattress fabrics $ 7,584 $ 6,247 upholstery fabrics 6,677 7,279 gross profit from continuing operations $ 14,261 $ 13,526 selling, general, and administrative expenses by segment: mattress fabrics $ 3,202 $ 2,953 upholstery fabrics 3,390 3,806 unallocated corporate expenses 3,151 2,358 selling, general, and administrative expenses $ 9,743 $ 9,117 income (loss) from continuing operations by segment: mattress fabrics $ 4,382 $ 3,294 upholstery fabrics 3,287 3,473 unallocated corporate expenses (3,151 ) (2,358 ) total income from continuing operations 4,518 4,409 interest expense — (21 ) interest income 59 258 other expense (680 ) (99 ) income before income taxes from continuing operations $ 3,897 $ 4,547 Six months ended November 1, 2020 November 3, 2019 net sales by segment: mattress fabrics $ 76,133 $ 74,525 upholstery fabrics 65,182 65,744 net sales $ 141,315 $ 140,269 gross profit from continuing operations by segment: mattress fabrics $ 12,191 $ 11,938 upholstery fabrics 11,971 14,000 gross profit from continuing operations $ 24,162 $ 25,938 selling, general, and administrative expenses by segment: mattress fabrics $ 5,964 $ 6,025 upholstery fabrics 6,570 7,652 unallocated corporate expenses 5,227 4,589 selling, general, and administrative expenses $ 17,761 $ 18,266 income (loss) from continuing operations by segment: mattress fabrics $ 6,227 $ 5,913 upholstery fabrics 5,401 6,348 unallocated corporate expenses (5,227 ) (4,589 ) subtotal 6,401 7,672 restructuring credit — 35 total income from continuing operations 6,401 7,707 interest expense (51 ) (21 ) interest income 117 518 other expense (1,046 ) (194 ) income before income taxes from continuing operations $ 5,421 $ 8,010 Balance sheet information for our current operating segments follows: (dollars in thousands) November 1, 2020 November 3, 2019 May 3, 2020 Segment assets: Mattress Fabrics Accounts receivable $ 15,914 $ 11,224 $ 12,212 Inventory 24,200 27,751 26,620 Property, plant and equipment (1) 38,818 42,899 40,682 Right of use assets (2) 1,186 170 362 Investment in unconsolidated joint venture 1,859 1,504 1,602 Total mattress fabrics assets 81,977 83,548 81,478 Upholstery Fabrics Accounts receivable 17,046 12,666 12,881 Inventory 23,526 23,692 21,287 Property, plant and equipment (3) 2,014 1,774 1,633 Right of use assets (4) 3,269 2,610 1,633 Total upholstery fabrics assets 45,855 40,742 37,434 Total segment assets 127,832 124,290 118,912 Non-segment assets: Cash and cash equivalents 45,288 46,955 69,790 Short-term investments - available for sale 5,462 — 923 Short-term investments - held-to-maturity 5,005 — 4,271 Current income taxes receivable — 776 1,585 Current assets - discontinued operation — 4,760 — Other current assets 3,509 2,745 2,116 Deferred income taxes 645 511 793 Property, plant and equipment (5) 767 548 832 Right of use assets (6) 1,710 2,103 1,908 Goodwill — 13,569 — Intangible assets 3,192 3,711 3,380 Long-term investments - rabbi trust 8,060 7,575 7,834 Long-term investments - held-to-maturity 759 — 2,076 Noncurrent income taxes receivable — 733 — Other assets 547 496 664 Long-term note receivable affiliated with discontinued operation — 1,800 — Noncurrent assets - discontinued operation — 22,950 — Total assets $ 202,776 $ 233,522 $ 215,084 Six months ended (dollars in thousands) November 1, 2020 November 3, 2019 Capital expenditures (7): Mattress Fabrics $ 1,710 $ 2,212 Upholstery Fabrics 181 229 Unallocated Corporate 111 266 Discontinued Operation — 33 Total capital expenditures $ 2,002 $ 2,740 Depreciation expense: Mattress Fabrics $ 3,132 $ 3,321 Upholstery Fabrics 406 382 Discontinued Operation — 190 Total depreciation expense $ 3,538 $ 3,893 (1) The $38.8 million as of November 1, 2020, represents property, plant, and equipment of $26.5 million and $12.3 million located in the U.S. and Canada, respectively. The $42.9 million as of November 3, 2019, represents property, plant, and equipment of $30.5 million and $12.4 million located in the U.S. and Canada, respectively. The $40.7 million as of May 3, 2020, represents property, plant, and equipment of $27.7 million and $13.0 million located in the U.S. and Canada, respectively. (2) The $1.2 million as of November 1, 2020, represents right of use assets of $696,000 and $490,000 located in the U.S. and Canada, respectively. The $170,000 as of November 3, 2019, and the $362,000 as of May 3, 2020, represents right of use assets located in the U.S. (3) The $2.0 million as of November 1, 2020, represents property, plant, and equipment of $1.1 million and $904,000 located in the U.S. and China, respectively. The $1.8 million as of November 3, 2019, represents property, plant, and equipment of $1.3 million and $500,000 located in the U.S. and China, respectively. The $1.6 million as of May 3, 2020, represents property, plant, and equipment of $1.2 million and $471,000 located in the U.S. and China, respectively. (4) The $3.3 million as of November 1, 2020, represents right of use assets of $2.7 million and $561,000 located in China and the U.S., respectively. The $2.6 million as of November 3, 2019, represents right of use assets of $1.5 million and $1.1 million located in China and the U.S., respectively. The $1.6 million as of May 3, 2020, represents right of use assets of $857,000 and $776,000 located in the U.S. and China, respectively. (5) The $767,000, $548,000, and $832,000 as of November 1, 2020, November 3, 2019, and May 3, 2020, respectively, represent property, plant, and equipment associated with unallocated corporate departments and corporate departments shared by our mattress fabrics and upholstery fabrics segments. Property, plant, and equipment associated with our corporate departments reside in the U.S. (6) The $1.7 million, $2.1 million, and $1.9 million as of November 1, 2020, November 3, 2019, and May 3, 2020, respectively, represents right of use assets located in the U.S. (7) 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 | 6 Months Ended |
Nov. 01, 2020 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | 15. Income Taxes Income Tax Expense Total income tax expense (benefit) for the six-month periods ending November 1, 2020, and November 3, 2019, were allocated as follows: November 1, November 3, (dollars in thousands) 2020 2019 Income from continuing operations $ 5,937 $ 3,971 Loss from discontinued operations — (392 ) Total income tax expense $ 5,937 $ 3,579 Effective Income Tax Rate We recorded income tax expense of $5.9 million, or 109.5% of income before income taxes from continuing operations, for the six-month period ended November 1, 2020, compared with income tax expense of $4.0 million, or 49.6% of income before income taxes from continuing operations, for the six-month period ended November 3, 2019. Our effective income tax rates associated with our continuing operations for the six-month periods ended November 1, 2020, and November 3, 2019, 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. When calculating the annual estimated effective income tax rate for the six-months ended November 1, 2020, we were subject to a loss limitation rule in accordance with ASC Topic 740-270-30-36(a). This loss limitation rule required the taxable loss associated with our U.S. operations to be excluded from the annual estimated effective income tax rate calculation as it was determined that no tax benefit could be recognized resulting from the full valuation allowance against our U.S. income tax loss carryforward that is expected to originate during the current fiscal year. 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 subsidiaries located in China and Canada versus annual projections, as well as changes in foreign currency exchange rates in relation to the U.S. dollar. The following schedule summarizes the principal differences between income tax expense from continuing operations at the U.S. federal income tax rate and the effective income tax rate from continuing operations reflected in the consolidated financial statements for the six-month periods ending November 1, 2020 and November 3, 2019: November 1, November 3, 2020 2019 U.S. federal income tax rate 21.0 % 21.0 % U.S. valuation allowance 141.6 — U.S. income tax law change (65.1 ) — Global Intangible Low Taxed Income Tax ("GILTI") — 12.7 Withholding taxes associated with foreign jurisdictions 8.4 6.1 Foreign income tax rate differential 6.6 3.5 Tax effects of foreign exchange rate (losses) gains (4.0 ) 2.3 Other 1.0 4.0 109.5 % 49.6 % U.S. Tax Law Change Effective July 20, 2020, the U.S Treasury Department finalized and enacted previously proposed regulations regarding the GILTI tax provisions of the TCJA. Prior to this enactment, GILTI represented a significant U.S. income tax on our foreign earnings during fiscal 2019 ($2.1 million) and fiscal 2020 ($1.9 million). With the enactment of these final regulations, we are now eligible for an exclusion from GILTI since we meet the provisions for the GILTI High-Tax exception included in the final regulations. In addition, the enactment of the new regulations and our eligibility for the GILTI High-Tax exception are retroactive to the original enactment of the GILTI tax provision, which includes our 2019 and 2020 fiscal years. As a result of the newly enacted regulations, we recorded a non-cash income tax benefit of $3.5 million resulting from the re-establishment of certain U.S. federal net operating loss carryforwards. This $3.5 million income tax benefit was recorded as a discrete event in which its full income tax effects were recorded in the first quarter and the six-month year-to-date period of fiscal 2021. 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, considering the effects of local tax law. As a result of the U.S. tax law change relating to the GILTI tax provisions of the TCJA, we assessed the need for an additional valuation allowance against our U.S. net deferred income taxes, as GILTI represented a significant source of our U.S. taxable income during fiscal 2019 and 2020 that offset our U.S. pre-tax losses during such years, and which offset is now reversed as a result of the retroactivity of the new regulations. Consequently, due to the retroactivity of the new regulations, we experienced a recent history of cumulative U.S. taxable losses during our last two fiscal years and we currently expect our history of U.S. pre-tax losses to continue into fiscal 2021, as a result of the continuing economic uncertainty associated with the COVID-19 global pandemic. As a result of the significant weight of this negative evidence, we believe it is more-likely-than-not that our U.S. net deferred income tax assets will not be fully realizable. Accordingly, we recorded a non-cash income tax charge of $ 7.0 million to provide for a full valuation allowance against our U.S. net deferred income tax assets. This $ 7.0 million income tax charge was recorded as a discrete event in which its full income tax effects were recorded during the first quarter and the six-month year-to-date period of fiscal 2021. Additionally, we recorded a $713,000 income tax charge to provide for a full valuation allowance against a U.S. income tax loss carryforward that originated during the first half of fiscal 2021. Based on our assessments as of November 1, 2020, November 1, 2019, and May 3, 2020, valuation allowances against our net deferred income taxes pertain to the following: (dollars in thousands) November 1, 2020 November 3, 2019 May 3, 2020 U.S. federal and state net deferred income tax assets $ 8,543 711 867 U.S. capital loss carryforward 2,281 — 2,281 $ 10,824 711 3,148 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. As of November 1, 2020, we assessed the liquidity requirements of our U.S. parent company and determined that our undistributed earnings from our foreign subsidiaries would not be reinvested indefinitely and would be eventually distributed to our U.S. parent company. The conclusion reached from our assessment has been consistent with prior years. ASC Topic 740 requires that a deferred income tax liability should be recorded for undistributed earnings from foreign subsidiaries that will not be reinvested indefinitely, and as a result we recorded a deferred income tax liability associated with 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. As a result of the TCJA, a U.S. corporation is allowed a 100% dividend received deduction for earnings and profits received from a 10% owned foreign corporation. Therefore, a deferred income tax liability will be required only for withholding taxes that are incurred by our foreign subsidiaries. As a result, as of November 1, 2020, November 3, 2019, and May 3, 2020, we recorded a deferred income tax liability of $3.9 million, $3.2 million, and $3.4 million, respectively, for withholding taxes on undistributed earnings and profits from our foreign subsidiaries. Uncertain Income Tax Positions In accordance with ASC Topic 740, an unrecognized income tax benefit for an uncertain income tax position can be recognized in the first interim period during which the more-likely-than-not recognition threshold is met by the reporting period, or is effectively settled through examination, negotiation, or litigation, or the statute of limitations for the relevant taxing authority to examine and challenge the tax position has expired. If it is determined that any of the above conditions occur regarding our uncertain income tax positions, an adjustment to our unrecognized income tax benefits will be recorded at that time. As of November 1, 2020, we had a $1.4 million total gross unrecognized income tax benefit, of which $1.1 million and $380,000 were recorded to income taxes payable-long-term and noncurrent deferred income taxes, respectively, in the accompanying Consolidated Balance Sheets. As of November 3, 2019, we had a $914,000 total gross unrecognized income tax benefit of which the entire amount was recorded to income taxes payable-long-term in the accompanying Consolidated Balance Sheets. As of May 3, 2020, we had a $1.3 million total gross income tax benefit of which the entire amount was recorded to income taxes payable-long term in the accompanying Consolidated Balance Sheets. As of November 1, 2020, we had a $1.4 million total gross unrecognized income tax benefit, of which $1.1 million would favorably affect the income tax rate in future periods. As of November 3, 2019, the entire $914,000 total gross unrecognized income tax benefit would have favorably affected the income tax rate in future periods. As of May 3, 2020, the entire $1.3 million total gross unrecognized income would have favorably affected the income tax rate in future periods. Our gross unrecognized income tax benefit of $1.4 million relates to income tax positions for which significant change is currently not expected within the next year. This amount primarily relates to double taxation under applicable income tax treaties with foreign tax jurisdictions. |
Stock-Based Compensation
Stock-Based Compensation | 6 Months Ended |
Nov. 01, 2020 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Stock-Based Compensation | 16. Stock-Based Compensation Equity Incentive Plan Description On September 16, 2015, our shareholders approved an equity incentive plan titled the Culp, Inc. 2015 Equity Incentive Plan (the “2015 Plan”). The 2015 Plan authorizes the grant of stock options intended to qualify as incentive stock options, nonqualified stock options, stock appreciation rights, restricted stock, restricted stock units, performance units, and other equity and cash related awards as determined by our Compensation Committee. An aggregate of 1,200,000 shares of common stock were authorized for issuance under the 2015 Plan, with certain sub-limits that would apply with respect to specific types of awards that may be issued as defined in the 2015 Plan. As of November 1, 2020, there were 548,729 shares available for future equity-based grants under our 2015 plan. Performance-Based Restricted Stock Units Senior Executives We grant performance-based restricted stock units to certain senior executives which could earn up to a certain number of shares of common stock if certain performance targets are met over a three-fiscal year performance period as defined in the related restricted stock unit agreements. The number of shares of common stock that are earned based on the performance targets that have been achieved may be adjusted based on a market-based total shareholder return component as defined in the related restricted stock unit agreements. Compensation cost for share-based awards is measured based on their fair market value on the date of grant. The fair market value per share was determined using the Monte Carlo simulation model for the market-based total shareholder return component and the closing price of our common stock for the performance-based component. There were no performance-based restricted stock units granted to certain senior executives during the six-months ended November 1, 2020. The following table provides assumptions used to determine the fair market value of the market-based total shareholder return component using the Monte Carlo simulation model on our outstanding performance-based restricted units granted to certain senior executives on July 18, 2019 and August 2, 2018: July 18, August 2, 2019 2018 Closing price of our common stock $ 18.49 $ 24.35 Expected volatility of our common stock 30.0 % 33.5 % Expected volatility of peer companies (1) (2) 29.9% - 82.3% 16.0 % Risk-free interest rate 1.73 % 2.74 % Dividend yield 2.10 % 1.35 % Correlation coefficient of peer companies (1) (2) 0.00 - 0.43 0.47 (1) The expected volatility and correlation coefficient of our peer companies for the July 18, 2019 grant date were based on peer companies that were approved by the Compensation Committee of our board of directors as an aggregate benchmark for determining the market-based total shareholder return component. Therefore, we disclosed ranges of the expected volatility and correlation coefficient for the companies that represented this peer group. (2) The expected volatility and correlation coefficient of our peer companies for the August 2, 2018 grant date were based on the Russell 2000 Index, which was approved by the Compensation Committee of our board of directors as the benchmark for determining the market-based total shareholder return component. Since the Russell 2000 Index was the only benchmark for determining the market-based total shareholder return component, no ranges were disclosed for these assumptions. Key Employees and a Non-Employee We grant performance-based restricted stock units which could earn up to a certain number of shares of common stock if certain performance targets are met over a three-fiscal year performance period as defined in the related restricted stock unit agreements. Our performance-based restricted stock units granted to key employees were measured based on the fair market value (the closing price of our common stock) on the date of grant. No market-based total shareholder return component was included in these awards. Our performance-based restricted stock units granted to a non-employee, which vested during the first quarter of fiscal 2020, were There were no performance-based restricted stock units granted to our key employees or any non-employees during the six-months ended November 1, 2020. Overall The following table summarizes information related to our grants of performance-based restricted stock units associated with certain senior executives and key employees that are currently unvested as of November 1, 2020: (3) (4) Performance-Based Restricted Stock Restricted Stock Units Expected Date of Grant Units Awarded to Vest Price Per Share Vesting Period July 18, 2019 (1) 93,653 1,725 $ 19.04 (5) 3 years July 18, 2019 (2) 29,227 1,489 $ 18.49 (7) 3 years August 2, 2018 (1) 86,599 3,509 $ 18.51 (6) 3 years August 2, 2018 (2) 47,800 2,101 $ 24.35 (7) 3 years (1) Performance-based restricted stock units awarded to certain senior executives. (2) Performance-based restricted stock units awarded to key employees. (3) Amounts represent the maximum number of common stock shares that could be earned if certain performance targets are met as defined in the related restricted stock unit agreements. (4) Compensation cost is based on an assessment each reporting period to determine the probability of whether or not certain performance goals will be met as of the end of the vesting period, and in turn the number of shares that are expected to be awarded at the end vesting period. These amounts represent the number of shares that were expected to vest as of November 1, 2020. (5) Price per share represents the fair market value per share ($1.03 per $1, or an increase of $0.55 to the closing price of our common stock on the date of grant) determined using the Monte Carlo simulation model for the market-based total shareholder return component and the closing price of our common stock ($18.49) for the performance-based component of the performance-based restricted stock units granted to certain senior executives on July 18, 2019. (6) Price per share represents the fair market value per share ($0.76 per $1, or a reduction of $5.84 to the closing price of the common stock on the date of grant) determined using the Monte Carlo simulation model for the market-based total shareholder return component and the closing price of our common stock ($24.35) for the performance-based component of the performance-based restricted stock units granted to certain senior executives on August 2, 2018. (7) Price per share represents the closing price of our common stock on the date of grant. The following table summarizes information related to our performance-based restricted stock units that vested during the six-month periods ending November 1, 2020 and November 3, 2019: Performance-Based (4) Restricted Stock (3) Price Fiscal Year Units Vested Fair Value Per Share Fiscal 2021 (1) 3,277 $ 33 $ 9.96 Fiscal 2021 (1) 3,710 $ 37 $ 9.96 Fiscal 2020 (1) 11,351 $ 197 $ 17.36 Fiscal 2020 (2) 4,961 $ 86 $ 17.36 (1) Certain senior executives and key employees. (2) Non-employee (3) Dollar amounts are in thousands. (4) Price per share is derived from the closing price of our common stock on the date the respective performance-based restricted stock units vested. We recorded compensation expense of $89,000 and $275,000 within selling, general, and administrative expenses for the six-month periods ending November 1, 2020, and November 3, 2019, respectively. Compensation cost is recorded based on an assessment each reporting period to determine the probability of whether or not certain performance targets will be met as of the end of the vesting period. If certain performance goals are not expected to be achieved , compensation cost w ould not be recorded , and any previously recognized compensation cost would be reversed. As of November 1, 2020, the remaining unrecognized compensation cost related to our performance-based restricted stock units was $73,698, which is expected to be recognized over a weighted average vesting period of 1.5 years. As of November 1, 2020, the performance-based restricted stock units that were expected to vest had a fair value totaling $110,000. Time-Based Restricted Stock Units The following table summarizes information related to our grants of time-based restricted stock unit awards associated with certain senior executives and key members of management that are unvested as of November 1, 2020: Time-Based Restricted Stock (1) Date of Grant Units Awarded Price Per Share Vesting Period August 6, 2020 129,896 $ 11.01 3 years July 18, 2019 34,399 $ 18.49 3 years August 2, 2018 10,000 $ 24.35 5 years (1) Price per share represents closing price of common stock on the date the respective award was granted. Overall We recorded compensation expense of $245,000 and $52,000 within selling, general, and administrative expenses associated with our time-based restricted stock unit awards for the six-month periods ending November 1, 2020, and November 3, 2019, respectively. As of November 1, 2020, the remaining unrecognized compensation cost related to our time-based restricted stock units was $1.8 million, which is expected to be recognized over a weighted average vesting period of 2.5 years. As of November 1, 2020, the time-based restricted stock units that are expected to vest had a fair value totaling $2.2 million. Common Stock Award We granted a total of 5,193 and 7,000 shares of common stock to our outside directors on October 1, 2020 and July 1, 2020, respectively. These shares of common stock vested immediately and were measured at their fair value on the date of grant. The fair value of these awards was $13.48 and $10.00 per share on October 1, 2020 and July 1, 2020, respectively, which represents the closing price of our common stock on the date of grant. We granted a total of 4,519 and 3,659 shares of common stock to our outside directors on October 1, 2019 and July 1, 2019, respectively. These shares of common stock vested immediately and were measured at their fair value on the date of grant. The fair value of these awards was $15.49 and $19.21 per share on October 1, 2019 and July 1, 2019, respectively, which represents the closing price of our common stock on the date of grant. We recorded $140,000 of compensation expense within selling, general, and administrative expenses for common stock awards to our outside directors for each of the six-month periods ending November 1, 2020, and November 3, 2019. |
Leases
Leases | 6 Months Ended |
Nov. 01, 2020 | |
Assets And Liabilities Lessee [Abstract] | |
Leases | 17. Leases Overview We lease manufacturing facilities, office space, distribution centers, and equipment under operating lease arrangements. We determine if an arrangement is a lease at its inception if it conveys the right to control the use of identified property, plant, or equipment for a period of time in exchange for consideration. Operating leases with an initial term of twelve months or less are not recognized in our Consolidated Balance Sheets. For leases of more than twelve months, we recognize a right of use asset and lease liability on the commencement date of a lease arrangement based on the present value of lease payments over the lease term. Our operating leases have remaining lease terms of one to six years, with renewal options for additional periods ranging up to ten years. A lease term may include renewal options if it is reasonably certain that the option to renew a lease period will be exercised. A renewal option is considered reasonably certain to be exercised if there is a significant economic incentive, as defined in ASC Topic 842, to exercise the renewal option on the date a lease arrangement is commenced. Currently, renewal options are not included in the lease terms for any of our leases, as there is not a significant economic incentive for us to exercise any of our renewal options . Most of our leases do not provide an implicit interest rate, and as a result, we use our incremental borrowing rate, which approximates a collateralized rate, based on information available on the commencement date of a lease arrangement in determining the present value of lease our payments. Balance Sheet The right of use assets and lease liabilities associated with our operating leases as of November 1, 2020, November 3, 2019, and May 3, 2020, are as follows: (1) (dollars in thousands) November 1, 2020 November 3, 2019 May 3, 2020 Right of use assets $ 6,165 $ 5,879 $ 3,903 Operating lease liability - current 2,316 2,282 1,805 Operating lease liability – noncurrent 4,008 3,439 2,016 (1) As of November 3, 2019, right of use assets totaled $5.9 million, of which $4.9 million and $1.0 million were classified as (i) right of use asset and (ii) within noncurrent assets – discontinued operation, respectively, in the accompanying Consolidated Balance Sheets. At November 3, 2019, operating lease liabilities totaled $5.7 million, of which $2.1 million, $192,000, $2.6 million, and $825,000 were classified as (i) operating lease liability – current, (ii) within current liabilities – discontinued operation, (iii) operating lease liability – long-term, and (iv) within noncurrent liabilities – discontinued operation, respectively, in the accompanying Consolidated Balance Sheets. Supplemental Cash Flow Information Six Months Ended Six Months Ended (dollars in thousands) November 1, 2020 November 3, 2019 Operating lease liability payments $ 1,232 $ 1,408 Right of use assets exchanged for lease liabilities 3,618 22 Operating lease expense for the three-months ended November 1, 2020, and November 3, 2019, was $696,000 and $706,000, respectively. Operating lease expense for each of the six-month periods ended November 1, 2020, and November 3, 2019, was $1.4 million. Short-term lease and variable lease expenses were immaterial for the three-months and six-months ended November 1, 2020, and November 3, 2019. Other Information Maturity of our operating lease liabilities for the remainder of fiscal 2021, the subsequent next four fiscal years, and thereafter follows: (dollars in thousands) 2021 $ 1,244 2022 1,955 2023 1,536 2024 1,172 2025 679 Thereafter — $ 6,586 Less: interest (262 ) Present value of lease liabilities $ 6,324 As of November 1, 2020, the weighted average remaining lease term and discount rate for our operating leases follows: November 1, 2020 Weighted average lease term 3.3 years Weighted average discount rate 2.51 % As of November 3, 2019, the weighted average remaining lease term and discount rate for our operating leases follows: November 3, 2019 Weighted average lease term 3.4 years Weighted average discount rate 3.82 % |
Commitments and Contingencies
Commitments and Contingencies | 6 Months Ended |
Nov. 01, 2020 | |
Commitments And Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | 18. Commitments and Contingencies 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. Accounts Payable – Capital Expenditures As of November 1, 2020, November 3, 2019, and May 3, 2020, we had total amounts due regarding capital expenditures totaling $68,000, $402,000, and $107,000, respectively, which pertained to outstanding vendor invoices, none of which were financed. As of November 3, 2019, the total amount due of $402,000 consisted of $398,000 and $4,000 that were classified as (i) accounts payable – capital expenditures and (ii) within current liabilities – discontinued operation, respectively. These total outstanding amounts were required to be paid based on normal credit terms. Purchase Commitments – Capital Expenditures As of November 1, 2020, we had open purchase commitments to acquire equipment for our mattress fabrics segment totaling $5.0 million. |
Statutory Reserves
Statutory Reserves | 6 Months Ended |
Nov. 01, 2020 | |
Text Block [Abstract] | |
Statutory Reserves | 19. Statutory Reserves Our subsidiary located in China was required to transfer 10% of its 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. As of November 1, 2020, the statutory surplus reserve fund represents the 50% registered capital limit, and therefore, our subsidiary in China is not required to transfer 10% of its net income in accordance with PRC accounting rules and regulations. The transfer to this reserve must be made before distributions of any dividend to shareholders. As of November 1, 2020, the company’s statutory surplus reserve was $4.3 million. The surplus reserve fund is non-distributable other than during liquidation and can be used to fund previous years’ losses, if any. The surplus reserve fund 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 except for the statutory surplus reserve of $4.3 million to assist with debt repayment, capital expenditures, and other expenses of the company’s business. |
Common Stock Repurchase Program
Common Stock Repurchase Program | 6 Months Ended |
Nov. 01, 2020 | |
Text Block [Abstract] | |
Common Stock Repurchase Program | 20. Common Stock Repurchase Program In March 2020, 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 number 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. As part of our comprehensive response to the COVID-19 pandemic, we announced on April 3, 2020, that our board of directors temporarily suspended the share repurchase program given the ongoing economic disruption and uncertainty. Accordingly, we did not purchase any shares of our common stock during the six-month period ending November 1, 2020. Additionally, we did not purchase any shares of our common stock during the six-month period ending November 3, 2019. As of November 1, 2020, we had $5.0 million available for repurchases of our common stock. |
Dividend Program
Dividend Program | 6 Months Ended |
Nov. 01, 2020 | |
Text Block [Abstract] | |
Dividend Program | 21. Dividend Program On December 3, 2020, we announced that our board of directors approved a quarterly cash dividend of $0.11 per share. This payment will be made on January 18, 2021, to shareholders of record as of January 8, 2021. During the six-months ended November 1, 2020, dividend payments totaled $2.6 million, which represented quarterly dividend payments of $0.105 per share. During the six-months ended November 3, 2019, dividend payments totaled $2.5 million, which represented quarterly dividend payments of $0.10 per share. Our board of directors has sole authority to determine if and when we will declare future dividends and on what terms. Future dividend payments are subject to final determination by our board of directors and will depend on our earnings, capital requirements, financial condition, excess availability under our lines of credit, market and economic conditions, and other factors we consider relevant. |
Significant Accounting Polici_2
Significant Accounting Policies (Policies) | 6 Months Ended |
Nov. 01, 2020 | |
Accounting Policies [Abstract] | |
Recently Adopted and Issued Accounting Pronouncements | Recently Adopted Accounting Pronouncements Current Expected Credit Losses (“CECL”) In June 2016, the FASB issued ASU No. 2016-13, “ Financial Instruments – Credit Losses Measurement of Credit Losses on Financial Instruments Recently Issued Accounting Pronouncements Income Taxes In December 2019, the FASB issued ASU No. 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes There are no other new recent accounting pronouncements that are expected to have a material impact on our consolidated financial statements. |
Home Accessories Segment _ Di_2
Home Accessories Segment – Discontinued Operation (Tables) | 6 Months Ended |
Nov. 01, 2020 | |
Discontinued Operations And Disposal Groups [Abstract] | |
Summary of Disposal of Discontinued Operation on Consolidated Balance Sheet | The following is a summary of the assets and liabilities of the disposal group that are presented separately as a discontinued operation on the Consolidated Balance Sheet as of November 3, 2019. November 3 (dollars in thousands) 2019 ASSETS current assets: cash and cash equivalents $ 228 accounts receivable 632 inventories 3,785 other current assets 115 total current assets - discontinued operation 4,760 property, plant, and equipment 1,752 goodwill 13,653 intangible asset 6,549 right of use asset 996 total noncurrent assets - discontinued operation 22,950 total assets $ 27,710 LIABILITIES AND NET ASSETS current liabilities: accounts payable $ 1,063 operating lease liability - current 192 accrued expenses 652 total current liabilities - discontinued operation 1,907 loan payable - Culp Inc. 1,800 subordinated loan payable - noncontrolling interest 925 operating lease liability - long-term 825 total noncurrent liabilities - discontinued operation 3,550 total liabilities 5,457 total net assets of discontinued operation $ 22,253 |
Summary of Net Loss from Discontinued Operation on Consolidated Consolidated Statements of Net Income | The following is a summary of the major classes of financial statement line items constituting loss before income taxes from discontinued operation that are presented in the Consolidated Statements of Net Income for the three-month and six-month periods ending November 3, 2019: Three Months Ended November 3, (dollars in thousands) 2019 net sales $ 3,276 cost of sales (2,699 ) gross profit 577 selling, general and administrative expenses (1,003 ) interest expense (1) (27 ) other income 12 loss before income taxes from discontinued operation (441 ) income tax benefit 381 net loss from discontinued operation $ (60 ) Six Months Ended November 3, (dollars in thousands) 2019 net sales $ 7,578 cost of sales (6,048 ) gross profit 1,530 selling, general and administrative expenses (2,565 ) interest expense (1) (47 ) other income 20 loss before income taxes from discontinued operation (1,062 ) income tax benefit 392 net loss from discontinued operation $ (670 ) (1) Interest expense is directly attributable to our discontinued operation as it pertains to the loans payable assumed by the buyer (the former noncontrolling interest holder) or required to be paid to Culp, Inc. based on the terms of the sale agreement. |
Summary of Net Income (Loss) from Continuing Operations, Net Loss from Discontinued Operation, and Net Income (Loss) Attributable to Common Shareholders and Noncontrolling Interest | The following is a summary of net income (loss) from continuing operations, net loss from discontinued operation, and net income (loss) attributable to Culp, Inc. common shareholders and the noncontrolling interest associated with our discontinued operation for the three-month and six-month periods ending November 1, 2020, and November 3, 2019: Three Months Ended November 1, November 3, (dollars in thousands) 2020 2019 net income from continuing operations $ 2,384 $ 2,252 net loss from continuing operations attributable to noncontrolling interest — — net income from continuing operations attributable to Culp, Inc. common shareholders $ 2,384 $ 2,252 net loss from discontinued operation $ — $ (60 ) net loss from discontinued operation attributable to noncontrolling interest — 108 net income from discontinued operation attributable to Culp, Inc. common shareholders $ — $ 48 net income $ 2,384 $ 2,192 net loss from noncontrolling interest associated with a discontinued operation — 108 net income attributable to Culp, Inc. common shareholders $ 2,384 $ 2,300 Six Months Ended November 1, November 3, (dollars in thousands) 2020 2019 net (loss) income from continuing operations $ (349 ) $ 4,036 net loss from continuing operations attributable to noncontrolling interest — — net (loss) income from continuing operations attributable to Culp, Inc. common shareholders $ (349 ) $ 4,036 net loss from discontinued operation $ — $ (670 ) net loss from discontinued operation attributable to noncontrolling interest — 272 net loss from discontinued operation attributable to Culp, Inc. common shareholders $ — $ (398 ) net (loss) income $ (349 ) $ 3,366 net loss from noncontrolling interest associated with a discontinued operation — 272 net (loss) income attributable to Culp, Inc. common shareholders $ (349 ) $ 3,638 |
Allowance for Doubtful Accoun_2
Allowance for Doubtful Accounts (Tables) | 6 Months Ended |
Nov. 01, 2020 | |
Receivables [Abstract] | |
Summary of the Activity in the Allowance for Doubtful Accounts | A summary of the activity in the allowance for doubtful accounts follows: Six Months Ended (dollars in thousands) November 1, 2020 November 3, 2019 Beginning balance $ 472 $ 393 Provision for bad debts 123 (27 ) Net write-offs, net of recoveries — — Ending balance $ 595 $ 366 |
Revenue from Contracts with C_2
Revenue from Contracts with Customers (Tables) | 6 Months Ended |
Nov. 01, 2020 | |
Revenue From Contract With Customer [Abstract] | |
Summary of Activity Associated with Deferred Revenue | A summary of the activity associated with deferred revenue for the six-month periods ended November 1, 2020, and November 3, 2019, follows: Six months ended (dollars in thousands) November 1, 2020 November 3, 2019 Beginning balance $ 502 $ 399 Revenue recognized on contract liabilities (1,197 ) (1,536 ) Payments received for services not yet rendered 1,070 1,512 Ending balance $ 375 $ 375 |
Summary of Disaggregation of Revenue | The following table presents our disaggregated revenue by segment, timing of revenue recognition, and product sales versus services rendered for the three-month period ending November 1, 2020: Mattress Upholstery (dollars in thousands) Fabrics Fabrics Total Products transferred at a point in time $ 40,030 $ 34,666 $ 74,696 Services transferred over time — 2,155 2,155 Total Net Sales $ 40,030 $ 36,821 $ 76,851 The following table presents our disaggregated revenue by segment, timing of revenue recognition, and product sales versus services rendered for the six-month period ending November 1, 2020: Mattress Upholstery (dollars in thousands) Fabrics Fabrics Total Products transferred at a point in time $ 76,133 $ 60,727 $ 136,860 Services transferred over time — 4,455 4,455 Total Net Sales $ 76,133 $ 65,182 $ 141,315 The following table presents our disaggregated revenue by segment, timing of revenue recognition, and product sales versus services rendered for the three-month period ending November 3, 2019: Mattress Upholstery (dollars in thousands) Fabrics Fabrics Total Products transferred at a point in time $ 35,666 $ 30,964 $ 66,630 Services transferred over time — 2,920 2,920 Total Net Sales $ 35,666 $ 33,884 $ 69,550 The following table presents our disaggregated revenue by segment, timing of revenue recognition, and product sales versus services rendered for the six-month period ending November 3, 2019: Mattress Upholstery (dollars in thousands) Fabrics Fabrics Total Products transferred at a point in time $ 74,525 $ 60,792 $ 135,317 Services transferred over time — 4,952 4,952 Total Net Sales $ 74,525 $ 65,744 $ 140,269 |
Inventories (Tables)
Inventories (Tables) | 6 Months Ended |
Nov. 01, 2020 | |
Inventory Disclosure [Abstract] | |
Summary of Inventories | A summary of inventories follows: (dollars in thousands) November 1, 2020 November 3, 2019 May 3, 2020 Raw materials $ 8,594 $ 6,872 $ 7,823 Work-in-process 3,056 2,973 1,958 Finished goods 36,076 45,383 38,126 $ 47,726 $ 55,228 (1) $ 47,907 (1) As of . |
Intangible Assets (Tables)
Intangible Assets (Tables) | 6 Months Ended |
Nov. 01, 2020 | |
Summary of Intangible Assets | A summary of intangible assets follows: (dollars in thousands) November 1, 2020 November 3, 2019 May 3, 2020 Tradenames $ 540 $ 7,232 $ 540 Customer relationships, net 2,087 2,388 2,238 Non-compete agreement, net 565 640 602 $ 3,192 $ 10,260 (1) $ 3,380 (1) As of November 3, 2019, intangible assets totaled $10.3 million, of which $3.7 million and $6.6 million were classified as (i) |
Customer Relationships [Member] | |
Summary of Change in Carrying Amount of Finite-Lived Intangible Assets | A summary of the change in the carrying amount of our customer relationships follows: Six months ended (dollars in thousands) November 1, 2020 November 3, 2019 Beginning balance $ 2,238 $ 2,538 Amortization expense (151 ) (150 ) Ending balance $ 2,087 $ 2,388 |
Non-Compete Agreement [Member] | |
Summary of Change in Carrying Amount of Finite-Lived Intangible Assets | A summary of the change in the carrying amount of our non-compete agreement follows: Six months ended (dollars in thousands) November 1, 2020 November 3, 2019 Beginning balance $ 602 $ 678 Amortization expense (37 ) (38 ) Ending balance $ 565 $ 640 |
Investment in Unconsolidated _2
Investment in Unconsolidated Joint Venture (Tables) | 6 Months Ended |
Nov. 01, 2020 | |
Equity Method Investments And Joint Ventures [Abstract] | |
Summary of Equity Method Investment | The following table summarizes information on assets, liabilities, and members’ equity of our equity method investment in CLIH: (dollars in thousands) November 1, 2020 November 3, 2019 May 3, 2020 Total assets $ 3,951 $ 3,190 $ 3,338 Total liabilities $ 232 $ 182 $ 133 Total members’ equity $ 3,719 $ 3,008 $ 3,205 |
Accrued Expenses (Tables)
Accrued Expenses (Tables) | 6 Months Ended |
Nov. 01, 2020 | |
Text Block [Abstract] | |
Summary of Accrued Expenses | A summary of accrued expenses follows: (dollars in thousands) November 1, 2020 November 3, 2019 May 3, 2020 Compensation, commissions and related benefits $ 7,144 $ 4,489 $ 3,038 Interest — 3 9 Other accrued expenses 4,540 4,756 2,807 $ 11,684 $ 9,248 $ 5,854 |
Fair Value (Tables)
Fair Value (Tables) | 6 Months Ended |
Nov. 01, 2020 | |
Fair Value Disclosures [Abstract] | |
Schedule of Assets Measured at Fair Value on a Recurring Basis | The following table presents information about assets measured at fair value on a recurring basis: Fair value measurements as of November 1, 2020 using: Quoted prices Significant in active other Significant markets for observable unobservable identical assets inputs inputs (amounts in thousands) Level 1 Level 2 Level 3 Total Assets: Premier Money Market Fund $ 7,665 N/A N/A $ 7,665 Short Term Bond Funds 5,462 N/A N/A 5,462 Growth Allocation Fund 255 N/A N/A 255 Moderate Allocation Fund 73 N/A N/A 73 Other 67 N/A N/A 67 Fair value measurements as of November 3, 2019 using: Quoted prices Significant in active other Significant markets for observable unobservable identical assets inputs inputs (amounts in thousands) Level 1 Level 2 Level 3 Total Assets: Premier Money Market Fund $ 7,133 N/A N/A $ 7,133 Growth Allocation Fund 222 N/A N/A 222 Moderate Allocation Fund 132 N/A N/A 132 Other 88 N/A N/A 88 Fair value measurements as of May 3, 2020 using: Quoted prices Significant in active other Significant markets for observable unobservable identical assets inputs inputs (amounts in thousands) Level 1 Level 2 Level 3 Total Assets: Premier Money Market Fund $ 7,496 N/A N/A $ 7,496 Short Term Bond Funds 923 N/A N/A 923 Growth Allocation Fund 219 N/A N/A 219 Moderate Allocation Fund 63 N/A N/A 63 Other 56 N/A N/A 56 |
Cash Flow Information (Tables)
Cash Flow Information (Tables) | 6 Months Ended |
Nov. 01, 2020 | |
Supplemental Cash Flow Elements [Abstract] | |
Schedule of Interest and Income Taxes Paid (Refunded) | Interest and income taxes paid (refunded) are as follows: Six months ended (dollars in thousands) November 1, 2020 November 3, 2019 Interest $ 60 $ 40 Income taxes (1) (2) (556 ) 2,782 (1) ( 2 ) |
Net Income (Loss) from Contin_2
Net Income (Loss) from Continuing Operations Per Share (Tables) | 6 Months Ended |
Nov. 01, 2020 | |
Earnings Per Share [Abstract] | |
Schedule of Weighted Average Shares Used in the Computation of Basic and Diluted Net Income (Loss) from Continuing Operations Per Share | Weighted average shares used in the computation of basic and diluted net income (loss) from continuing operations per share are as follows: Three months ended (amounts in thousands) November 1, 2020 November 3, 2019 Weighted average common shares outstanding, basic 12,298 12,408 Dilutive effect of stock-based compensation 26 — Weighted average common shares outstanding, diluted 12,324 12,408 Six months ended (amounts in thousands) November 1, 2020 November 3, 2019 Weighted average common shares outstanding, basic 12,293 12,403 Dilutive effect of stock-based compensation — 10 Weighted average common shares outstanding, diluted 12,293 12,413 |
Segment Information (Tables)
Segment Information (Tables) | 6 Months Ended |
Nov. 01, 2020 | |
Segment Reporting [Abstract] | |
Schedule of Operating Segments Information | Statements of operations for our current operating segments are as follows: Three months ended November 1, 2020 November 3, 2019 net sales by segment: mattress fabrics $ 40,030 $ 35,666 upholstery fabrics 36,821 33,884 net sales $ 76,851 $ 69,550 gross profit from continuing operations by segment: mattress fabrics $ 7,584 $ 6,247 upholstery fabrics 6,677 7,279 gross profit from continuing operations $ 14,261 $ 13,526 selling, general, and administrative expenses by segment: mattress fabrics $ 3,202 $ 2,953 upholstery fabrics 3,390 3,806 unallocated corporate expenses 3,151 2,358 selling, general, and administrative expenses $ 9,743 $ 9,117 income (loss) from continuing operations by segment: mattress fabrics $ 4,382 $ 3,294 upholstery fabrics 3,287 3,473 unallocated corporate expenses (3,151 ) (2,358 ) total income from continuing operations 4,518 4,409 interest expense — (21 ) interest income 59 258 other expense (680 ) (99 ) income before income taxes from continuing operations $ 3,897 $ 4,547 Six months ended November 1, 2020 November 3, 2019 net sales by segment: mattress fabrics $ 76,133 $ 74,525 upholstery fabrics 65,182 65,744 net sales $ 141,315 $ 140,269 gross profit from continuing operations by segment: mattress fabrics $ 12,191 $ 11,938 upholstery fabrics 11,971 14,000 gross profit from continuing operations $ 24,162 $ 25,938 selling, general, and administrative expenses by segment: mattress fabrics $ 5,964 $ 6,025 upholstery fabrics 6,570 7,652 unallocated corporate expenses 5,227 4,589 selling, general, and administrative expenses $ 17,761 $ 18,266 income (loss) from continuing operations by segment: mattress fabrics $ 6,227 $ 5,913 upholstery fabrics 5,401 6,348 unallocated corporate expenses (5,227 ) (4,589 ) subtotal 6,401 7,672 restructuring credit — 35 total income from continuing operations 6,401 7,707 interest expense (51 ) (21 ) interest income 117 518 other expense (1,046 ) (194 ) income before income taxes from continuing operations $ 5,421 $ 8,010 Balance sheet information for our current operating segments follows: (dollars in thousands) November 1, 2020 November 3, 2019 May 3, 2020 Segment assets: Mattress Fabrics Accounts receivable $ 15,914 $ 11,224 $ 12,212 Inventory 24,200 27,751 26,620 Property, plant and equipment (1) 38,818 42,899 40,682 Right of use assets (2) 1,186 170 362 Investment in unconsolidated joint venture 1,859 1,504 1,602 Total mattress fabrics assets 81,977 83,548 81,478 Upholstery Fabrics Accounts receivable 17,046 12,666 12,881 Inventory 23,526 23,692 21,287 Property, plant and equipment (3) 2,014 1,774 1,633 Right of use assets (4) 3,269 2,610 1,633 Total upholstery fabrics assets 45,855 40,742 37,434 Total segment assets 127,832 124,290 118,912 Non-segment assets: Cash and cash equivalents 45,288 46,955 69,790 Short-term investments - available for sale 5,462 — 923 Short-term investments - held-to-maturity 5,005 — 4,271 Current income taxes receivable — 776 1,585 Current assets - discontinued operation — 4,760 — Other current assets 3,509 2,745 2,116 Deferred income taxes 645 511 793 Property, plant and equipment (5) 767 548 832 Right of use assets (6) 1,710 2,103 1,908 Goodwill — 13,569 — Intangible assets 3,192 3,711 3,380 Long-term investments - rabbi trust 8,060 7,575 7,834 Long-term investments - held-to-maturity 759 — 2,076 Noncurrent income taxes receivable — 733 — Other assets 547 496 664 Long-term note receivable affiliated with discontinued operation — 1,800 — Noncurrent assets - discontinued operation — 22,950 — Total assets $ 202,776 $ 233,522 $ 215,084 Six months ended (dollars in thousands) November 1, 2020 November 3, 2019 Capital expenditures (7): Mattress Fabrics $ 1,710 $ 2,212 Upholstery Fabrics 181 229 Unallocated Corporate 111 266 Discontinued Operation — 33 Total capital expenditures $ 2,002 $ 2,740 Depreciation expense: Mattress Fabrics $ 3,132 $ 3,321 Upholstery Fabrics 406 382 Discontinued Operation — 190 Total depreciation expense $ 3,538 $ 3,893 (1) The $38.8 million as of November 1, 2020, represents property, plant, and equipment of $26.5 million and $12.3 million located in the U.S. and Canada, respectively. The $42.9 million as of November 3, 2019, represents property, plant, and equipment of $30.5 million and $12.4 million located in the U.S. and Canada, respectively. The $40.7 million as of May 3, 2020, represents property, plant, and equipment of $27.7 million and $13.0 million located in the U.S. and Canada, respectively. (2) The $1.2 million as of November 1, 2020, represents right of use assets of $696,000 and $490,000 located in the U.S. and Canada, respectively. The $170,000 as of November 3, 2019, and the $362,000 as of May 3, 2020, represents right of use assets located in the U.S. (3) The $2.0 million as of November 1, 2020, represents property, plant, and equipment of $1.1 million and $904,000 located in the U.S. and China, respectively. The $1.8 million as of November 3, 2019, represents property, plant, and equipment of $1.3 million and $500,000 located in the U.S. and China, respectively. The $1.6 million as of May 3, 2020, represents property, plant, and equipment of $1.2 million and $471,000 located in the U.S. and China, respectively. (4) The $3.3 million as of November 1, 2020, represents right of use assets of $2.7 million and $561,000 located in China and the U.S., respectively. The $2.6 million as of November 3, 2019, represents right of use assets of $1.5 million and $1.1 million located in China and the U.S., respectively. The $1.6 million as of May 3, 2020, represents right of use assets of $857,000 and $776,000 located in the U.S. and China, respectively. (5) The $767,000, $548,000, and $832,000 as of November 1, 2020, November 3, 2019, and May 3, 2020, respectively, represent property, plant, and equipment associated with unallocated corporate departments and corporate departments shared by our mattress fabrics and upholstery fabrics segments. Property, plant, and equipment associated with our corporate departments reside in the U.S. (6) The $1.7 million, $2.1 million, and $1.9 million as of November 1, 2020, November 3, 2019, and May 3, 2020, respectively, represents right of use assets located in the U.S. (7) 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 (Tables)
Income Taxes (Tables) | 6 Months Ended |
Nov. 01, 2020 | |
Income Tax Disclosure [Abstract] | |
Schedule of Allocation of Income Tax Expense | Total income tax expense (benefit) for the six-month periods ending November 1, 2020, and November 3, 2019, were allocated as follows: November 1, November 3, (dollars in thousands) 2020 2019 Income from continuing operations $ 5,937 $ 3,971 Loss from discontinued operations — (392 ) Total income tax expense $ 5,937 $ 3,579 |
Summary of Differences in Income Tax Expense at Federal Income Tax Rate and Effective Income Tax Rate | The following schedule summarizes the principal differences between income tax expense from continuing operations at the U.S. federal income tax rate and the effective income tax rate from continuing operations reflected in the consolidated financial statements for the six-month periods ending November 1, 2020 and November 3, 2019: November 1, November 3, 2020 2019 U.S. federal income tax rate 21.0 % 21.0 % U.S. valuation allowance 141.6 — U.S. income tax law change (65.1 ) — Global Intangible Low Taxed Income Tax ("GILTI") — 12.7 Withholding taxes associated with foreign jurisdictions 8.4 6.1 Foreign income tax rate differential 6.6 3.5 Tax effects of foreign exchange rate (losses) gains (4.0 ) 2.3 Other 1.0 4.0 109.5 % 49.6 % |
Summary of Valuation Allowances Against Net Deferred Income Taxes | Based on our assessments as of November 1, 2020, November 1, 2019, and May 3, 2020, valuation allowances against our net deferred income taxes pertain to the following: (dollars in thousands) November 1, 2020 November 3, 2019 May 3, 2020 U.S. federal and state net deferred income tax assets $ 8,543 711 867 U.S. capital loss carryforward 2,281 — 2,281 $ 10,824 711 3,148 |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 6 Months Ended |
Nov. 01, 2020 | |
Summary of Assumptions Used to Determine Fair Value of Performance Based Restricted Stock Units | The following table provides assumptions used to determine the fair market value of the market-based total shareholder return component using the Monte Carlo simulation model on our outstanding performance-based restricted units granted to certain senior executives on July 18, 2019 and August 2, 2018: July 18, August 2, 2019 2018 Closing price of our common stock $ 18.49 $ 24.35 Expected volatility of our common stock 30.0 % 33.5 % Expected volatility of peer companies (1) (2) 29.9% - 82.3% 16.0 % Risk-free interest rate 1.73 % 2.74 % Dividend yield 2.10 % 1.35 % Correlation coefficient of peer companies (1) (2) 0.00 - 0.43 0.47 (1) The expected volatility and correlation coefficient of our peer companies for the July 18, 2019 grant date were based on peer companies that were approved by the Compensation Committee of our board of directors as an aggregate benchmark for determining the market-based total shareholder return component. Therefore, we disclosed ranges of the expected volatility and correlation coefficient for the companies that represented this peer group. (2) The expected volatility and correlation coefficient of our peer companies for the August 2, 2018 grant date were based on the Russell 2000 Index, which was approved by the Compensation Committee of our board of directors as the benchmark for determining the market-based total shareholder return component. Since the Russell 2000 Index was the only benchmark for determining the market-based total shareholder return component, no ranges were disclosed for these assumptions. |
Performance-Based Restricted Stock Units [Member] | |
Summary of Vested Restricted Stock Units | The following table summarizes information related to our performance-based restricted stock units that vested during the six-month periods ending November 1, 2020 and November 3, 2019: Performance-Based (4) Restricted Stock (3) Price Fiscal Year Units Vested Fair Value Per Share Fiscal 2021 (1) 3,277 $ 33 $ 9.96 Fiscal 2021 (1) 3,710 $ 37 $ 9.96 Fiscal 2020 (1) 11,351 $ 197 $ 17.36 Fiscal 2020 (2) 4,961 $ 86 $ 17.36 (1) Certain senior executives and key employees. (2) Non-employee (3) Dollar amounts are in thousands. (4) Price per share is derived from the closing price of our common stock on the date the respective performance-based restricted stock units vested. |
Executive officers and key employees [Member] | |
Summary of Grants of Performance-Based Restricted Stock Units | The following table summarizes information related to our grants of performance-based restricted stock units associated with certain senior executives and key employees that are currently unvested as of November 1, 2020: (3) (4) Performance-Based Restricted Stock Restricted Stock Units Expected Date of Grant Units Awarded to Vest Price Per Share Vesting Period July 18, 2019 (1) 93,653 1,725 $ 19.04 (5) 3 years July 18, 2019 (2) 29,227 1,489 $ 18.49 (7) 3 years August 2, 2018 (1) 86,599 3,509 $ 18.51 (6) 3 years August 2, 2018 (2) 47,800 2,101 $ 24.35 (7) 3 years (1) Performance-based restricted stock units awarded to certain senior executives. (2) Performance-based restricted stock units awarded to key employees. (3) Amounts represent the maximum number of common stock shares that could be earned if certain performance targets are met as defined in the related restricted stock unit agreements. (4) Compensation cost is based on an assessment each reporting period to determine the probability of whether or not certain performance goals will be met as of the end of the vesting period, and in turn the number of shares that are expected to be awarded at the end vesting period. These amounts represent the number of shares that were expected to vest as of November 1, 2020. (5) Price per share represents the fair market value per share ($1.03 per $1, or an increase of $0.55 to the closing price of our common stock on the date of grant) determined using the Monte Carlo simulation model for the market-based total shareholder return component and the closing price of our common stock ($18.49) for the performance-based component of the performance-based restricted stock units granted to certain senior executives on July 18, 2019. (6) Price per share represents the fair market value per share ($0.76 per $1, or a reduction of $5.84 to the closing price of the common stock on the date of grant) determined using the Monte Carlo simulation model for the market-based total shareholder return component and the closing price of our common stock ($24.35) for the performance-based component of the performance-based restricted stock units granted to certain senior executives on August 2, 2018. (7) Price per share represents the closing price of our common stock on the date of grant. |
Senior Executives and Management [Member] | Time-Based Restricted Stock Units [Member] | |
Summary of Grants of Time-Based Restricted Stock Unit Awards | The following table summarizes information related to our grants of time-based restricted stock unit awards associated with certain senior executives and key members of management that are unvested as of November 1, 2020: Time-Based Restricted Stock (1) Date of Grant Units Awarded Price Per Share Vesting Period August 6, 2020 129,896 $ 11.01 3 years July 18, 2019 34,399 $ 18.49 3 years August 2, 2018 10,000 $ 24.35 5 years (1) Price per share represents closing price of common stock on the date the respective award was granted. |
Leases (Tables)
Leases (Tables) | 6 Months Ended |
Nov. 01, 2020 | |
Assets And Liabilities Lessee [Abstract] | |
Summary of right of use assets and lease liabilities | The right of use assets and lease liabilities associated with our operating leases as of November 1, 2020, November 3, 2019, and May 3, 2020, are as follows: (1) (dollars in thousands) November 1, 2020 November 3, 2019 May 3, 2020 Right of use assets $ 6,165 $ 5,879 $ 3,903 Operating lease liability - current 2,316 2,282 1,805 Operating lease liability – noncurrent 4,008 3,439 2,016 (1) As of November 3, 2019, right of use assets totaled $5.9 million, of which $4.9 million and $1.0 million were classified as (i) right of use asset and (ii) within noncurrent assets – discontinued operation, respectively, in the accompanying Consolidated Balance Sheets. At November 3, 2019, operating lease liabilities totaled $5.7 million, of which $2.1 million, $192,000, $2.6 million, and $825,000 were classified as (i) operating lease liability – current, (ii) within current liabilities – discontinued operation, (iii) operating lease liability – long-term, and (iv) within noncurrent liabilities – discontinued operation, respectively, in the accompanying Consolidated Balance Sheets. |
Supplemental Cash Flow Information | Supplemental Cash Flow Information Six Months Ended Six Months Ended (dollars in thousands) November 1, 2020 November 3, 2019 Operating lease liability payments $ 1,232 $ 1,408 Right of use assets exchanged for lease liabilities 3,618 22 |
Leases-Other Information | Other Information Maturity of our operating lease liabilities for the remainder of fiscal 2021, the subsequent next four fiscal years, and thereafter follows: (dollars in thousands) 2021 $ 1,244 2022 1,955 2023 1,536 2024 1,172 2025 679 Thereafter — $ 6,586 Less: interest (262 ) Present value of lease liabilities $ 6,324 |
Summary of weighted average remaining lease term and discount rate | As of November 1, 2020, the weighted average remaining lease term and discount rate for our operating leases follows: November 1, 2020 Weighted average lease term 3.3 years Weighted average discount rate 2.51 % As of November 3, 2019, the weighted average remaining lease term and discount rate for our operating leases follows: November 3, 2019 Weighted average lease term 3.4 years Weighted average discount rate 3.82 % |
Home Accessories Segment - Disc
Home Accessories Segment - Discontinued Operation - Narrative (Detail) - USD ($) | Mar. 31, 2020 | Nov. 01, 2020 | Nov. 03, 2019 | Nov. 01, 2020 | Nov. 03, 2019 |
Discontinued Operations [Line Items] | |||||
Payment received from royalty agreement | $ 28,000 | $ 80,000 | |||
Leases, monthly payments | $ 1,232,000 | $ 1,408,000 | |||
eLuxury [Member] | |||||
Discontinued Operations [Line Items] | |||||
Net sales and cost of sales from continuing operations related to inventory shipments | $ 207,000 | 381,000 | |||
Unpaid lease payments guarantees percentage | 70.00% | ||||
Lease agreement expiry date | 2024-09 | ||||
Leases, monthly payments | $ 18,865 | ||||
eLuxury [Member] | |||||
Discontinued Operations [Line Items] | |||||
Amount of consideration received in sale of ownership at closing | $ 509,500 | ||||
Amount of settlement of borrowings payable by eLuxury under the agreement | 300,000 | ||||
Amount of loan, borrowers agreed to repay after closing of sale transaction | $ 1,000,000 | ||||
Disposal group loan amount closing period after sale transaction | 30 days | ||||
Outstanding trade accounts payable due from disposal group | $ 613,000 | ||||
Trade accounts payable, repayment period | 60 days | ||||
Net sales related to inventory shipments in supply agreement | $ 41,000 | $ 285,000 | |||
eLuxury [Member] | Discontinued Operations [Member] | |||||
Discontinued Operations [Line Items] | |||||
Net cash (used in) provided by operating activities discontinued operations | (2,200,000) | ||||
Net cash used in investing activities discontinued operation | (32,000) | ||||
Net cash (used in) provided by financing activities discontinued operations | $ 2,400,000 |
Home Accessories Segment - Di_2
Home Accessories Segment - Discontinued Operation - Summary of Disposal of Discontinued Operation on Consolidated Balance Sheet (Detail) $ in Thousands | Nov. 03, 2019USD ($) |
ASSETS | |
total current assets - discontinued operation | $ 4,760 |
total noncurrent assets - discontinued operation | 22,950 |
LIABILITIES AND NET ASSETS | |
total current liabilities - discontinued operation | 1,907 |
total noncurrent liabilities - discontinued operation | 3,550 |
eLuxury [Member] | |
ASSETS | |
cash and cash equivalents | 228 |
accounts receivable | 632 |
inventories | 3,785 |
other current assets | 115 |
total current assets - discontinued operation | 4,760 |
property, plant, and equipment | 1,752 |
goodwill | 13,653 |
intangible asset | 6,549 |
right of use asset | 996 |
total noncurrent assets - discontinued operation | 22,950 |
total assets | 27,710 |
LIABILITIES AND NET ASSETS | |
accounts payable | 1,063 |
operating lease liability - current | 192 |
accrued expenses | 652 |
total current liabilities - discontinued operation | 1,907 |
loan payable - Culp Inc. | 1,800 |
subordinated loan payable - noncontrolling interest | 925 |
operating lease liability - long-term | 825 |
total noncurrent liabilities - discontinued operation | 3,550 |
total liabilities | 5,457 |
total net assets of discontinued operation | $ 22,253 |
Home Accessories Segment - Di_3
Home Accessories Segment - Discontinued Operation - Summary of Net Loss from Discontinued Operation on Consolidated Consolidated Statements of Net Income (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |
Nov. 03, 2019 | Nov. 03, 2019 | ||
Income Statement Balance Sheet And Additional Disclosures By Disposal Groups Including Discontinued Operations [Line Items] | |||
loss before income taxes from discontinued operation | $ (441) | $ (1,062) | |
income tax benefit | 381 | 392 | |
Net loss from discontinued operation | (60) | (670) | |
Discontinued Operations [Member] | eLuxury [Member] | |||
Income Statement Balance Sheet And Additional Disclosures By Disposal Groups Including Discontinued Operations [Line Items] | |||
net sales | 3,276 | 7,578 | |
cost of sales | (2,699) | (6,048) | |
gross profit | 577 | 1,530 | |
selling, general and administrative expenses | (1,003) | (2,565) | |
interest expense | [1] | (27) | (47) |
other income | 12 | 20 | |
loss before income taxes from discontinued operation | (441) | (1,062) | |
income tax benefit | 381 | 392 | |
Net loss from discontinued operation | $ (60) | $ (670) | |
[1] | Interest expense is directly attributable to our discontinued operation as it pertains to the loans payable assumed by the buyer (the former noncontrolling interest holder) or required to be paid to Culp, Inc. based on the terms of the sale agreement. |
Home Accessories Segment - Di_4
Home Accessories Segment - Discontinued Operation - Summary of Net Income (Loss) from Continuing Operations, Net Loss from Discontinued Operation, and Net Income (Loss) Attributable to Common Shareholders and Noncontrolling Interest (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||||
Nov. 01, 2020 | Aug. 02, 2020 | Nov. 03, 2019 | Aug. 04, 2019 | Nov. 01, 2020 | Nov. 01, 2020 | Nov. 03, 2019 | |
Income Statement Balance Sheet And Additional Disclosures By Disposal Groups Including Discontinued Operations [Line Items] | |||||||
net (loss) income from continuing operations | $ 2,384 | $ 2,252 | $ (349) | $ 4,036 | |||
net loss from discontinued operation | (60) | (670) | |||||
Net (loss) income | 2,384 | $ (2,733) | 2,192 | $ 1,174 | $ (349) | 3,366 | |
Discontinued Operations [Member] | eLuxury [Member] | |||||||
Income Statement Balance Sheet And Additional Disclosures By Disposal Groups Including Discontinued Operations [Line Items] | |||||||
net (loss) income from continuing operations | 2,384 | 2,252 | $ (349) | 4,036 | |||
net (loss) income from continuing operations attributable to Culp, Inc. common shareholders | 2,384 | 2,252 | (349) | 4,036 | |||
net loss from discontinued operation | (60) | (670) | |||||
net loss from discontinued operation attributable to noncontrolling interest | 108 | 272 | |||||
net (loss) income from continuing operations attributable to Culp, Inc. common shareholders | 48 | (398) | |||||
Net (loss) income | 2,384 | 2,192 | (349) | 3,366 | |||
net loss from noncontrolling interest associated with a discontinued operation | 108 | 272 | |||||
net (loss) income attributable to Culp, Inc. common shareholders | $ 2,384 | $ 2,300 | $ (349) | $ 3,638 |
Allowance for Doubtful Accoun_3
Allowance for Doubtful Accounts - Summary of the Activity in the Allowance for Doubtful Accounts (Detail) - Allowance for doubtful accounts [Member] - USD ($) $ in Thousands | 6 Months Ended | |
Nov. 01, 2020 | Nov. 03, 2019 | |
Valuation and Qualifying Accounts Disclosure [Line Items] | ||
Beginning balance | $ 472 | $ 393 |
Provision for bad debts | 123 | (27) |
Ending balance | $ 595 | $ 366 |
Allowance for Doubtful Accoun_4
Allowance for Doubtful Accounts - Narrative (Detail) - USD ($) $ in Thousands | Nov. 01, 2020 | May 03, 2020 | Nov. 03, 2019 | Apr. 28, 2019 |
Allowance for doubtful accounts [Member] | ||||
Valuation and Qualifying Accounts Disclosure [Line Items] | ||||
Allowance for doubtful accounts | $ 595 | $ 472 | $ 366 | $ 393 |
Revenue from Contracts with C_3
Revenue from Contracts with Customers - Narrative (Detail) | 3 Months Ended | 6 Months Ended | |||
Nov. 01, 2020USD ($) | Nov. 03, 2019USD ($) | Nov. 01, 2020USD ($)Segment | Nov. 03, 2019USD ($) | May 03, 2020USD ($) | |
Contract Assets and Liabilities [Line Items] | |||||
Number of operating segments | Segment | 2 | ||||
Net sales | $ 76,851,000 | $ 69,550,000 | $ 141,315,000 | $ 140,269,000 | |
Contract assets recognized | $ 0 | 0 | $ 0 | 0 | $ 0 |
Minimum [Member] | |||||
Contract Assets and Liabilities [Line Items] | |||||
Contract with customers credit period | 15 days | ||||
Maximum [Member] | |||||
Contract Assets and Liabilities [Line Items] | |||||
Contract with customers credit period | 60 days | ||||
Home Accessories [Member] | Discontinued Operations [Member] | |||||
Contract Assets and Liabilities [Line Items] | |||||
Net sales | $ 3,300,000 | $ 7,600,000 |
Revenue from Contracts with C_4
Revenue from Contracts with Customers - Summary of the activity associated with deferred revenue (Detail) - USD ($) $ in Thousands | 6 Months Ended | ||
Nov. 01, 2020 | Nov. 03, 2019 | ||
Revenue From Contract With Customer [Abstract] | |||
Beginning balance | $ 502 | [1] | $ 399 |
Revenue recognized on contract liabilities | (1,197) | (1,536) | |
Payments received for services not yet rendered | 1,070 | 1,512 | |
Ending balance | $ 375 | $ 375 | |
[1] | Derived from audited financial statements. |
Revenue from Contracts with C_5
Revenue from Contracts with Customers - Disaggregation of Revenue (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Nov. 01, 2020 | Nov. 03, 2019 | Nov. 01, 2020 | Nov. 03, 2019 | |
Disaggregation of Revenue [Line Items] | ||||
Total Net Sales | $ 76,851 | $ 69,550 | $ 141,315 | $ 140,269 |
Transferred at Point in Time [Member] | Product [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total Net Sales | 74,696 | 66,630 | 136,860 | 135,317 |
Transferred over Time [Member] | Services [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total Net Sales | 2,155 | 2,920 | 4,455 | 4,952 |
Mattress Fabrics [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total Net Sales | 40,030 | 35,666 | 76,133 | 74,525 |
Mattress Fabrics [Member] | Transferred at Point in Time [Member] | Product [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total Net Sales | 40,030 | 35,666 | 76,133 | 74,525 |
Upholstery Fabrics [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total Net Sales | 36,821 | 33,884 | 65,182 | 65,744 |
Upholstery Fabrics [Member] | Transferred at Point in Time [Member] | Product [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total Net Sales | 34,666 | 30,964 | 60,727 | 60,792 |
Upholstery Fabrics [Member] | Transferred over Time [Member] | Services [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total Net Sales | $ 2,155 | $ 2,920 | $ 4,455 | $ 4,952 |
Inventories - Summary of Invent
Inventories - Summary of Inventories (Detail) - USD ($) $ in Thousands | Nov. 01, 2020 | May 03, 2020 | Nov. 03, 2019 | |
Inventory Disclosure [Abstract] | ||||
Raw materials | $ 8,594 | $ 7,823 | $ 6,872 | |
Work-in-process | 3,056 | 1,958 | 2,973 | |
Finished goods | 36,076 | 38,126 | 45,383 | |
Inventories | $ 47,726 | $ 47,907 | $ 55,228 | [1] |
[1] | As of . |
Inventories - Summary of Inve_2
Inventories - Summary of Inventories (Parenthetical) (Detail) - USD ($) $ in Thousands | Nov. 01, 2020 | May 03, 2020 | Nov. 03, 2019 | ||
Inventory [Line Items] | |||||
Inventories | $ 47,726 | $ 47,907 | $ 55,228 | [1] | |
Inventories | $ 47,726 | $ 47,907 | [2] | 51,443 | |
Inventories [Member] | |||||
Inventory [Line Items] | |||||
Inventories | 51,400 | ||||
Current Assets - Discontinued Operation [Member] | |||||
Inventory [Line Items] | |||||
Inventories | $ 3,800 | ||||
[1] | As of . | ||||
[2] | Derived from audited financial statements. |
Intangible Assets - Summary of
Intangible Assets - Summary of Intangible Assets (Detail) - USD ($) | Nov. 01, 2020 | May 03, 2020 | Nov. 03, 2019 | Apr. 28, 2019 |
Intangible Assets [Line Items] | ||||
Tradenames | $ 540,000 | $ 540,000 | $ 7,232,000 | |
Intangible assets | 3,192,000 | 3,380,000 | 10,260,000 | |
Customer Relationships [Member] | ||||
Intangible Assets [Line Items] | ||||
Finite-lived intangible assets, net | 2,087,000 | 2,238,000 | 2,388,000 | $ 2,538,000 |
Non-Compete Agreement [Member] | ||||
Intangible Assets [Line Items] | ||||
Finite-lived intangible assets, net | $ 565,000 | $ 602,000 | $ 640,000 | $ 678,000 |
Intangible Assets - Summary o_2
Intangible Assets - Summary of Intangible Assets (Parenthetical) (Detail) - USD ($) $ in Thousands | Nov. 01, 2020 | May 03, 2020 | Nov. 03, 2019 |
Intangible Assets [Line Items] | |||
Intangible assets | $ 3,192 | $ 3,380 | $ 10,260 |
Continuing Operation [Member] | |||
Intangible Assets [Line Items] | |||
Intangible assets | 3,700 | ||
Discontinued Operation [Member] | |||
Intangible Assets [Line Items] | |||
Intangible assets | $ 6,600 |
Intangible Assets - Narrative (
Intangible Assets - Narrative (Detail) - USD ($) | 3 Months Ended | 6 Months Ended | |
May 03, 2020 | Nov. 01, 2020 | Nov. 03, 2019 | |
Intangible Assets [Line Items] | |||
Tradenames | $ 540,000 | $ 540,000 | $ 7,232,000 |
Gross carrying amount of customer relationships | 3,100,000 | 3,100,000 | 3,100,000 |
Gross carrying amount of non-compete agreement | 2,000,000 | 2,000,000 | 2,000,000 |
Customer Relationships [Member] | |||
Intangible Assets [Line Items] | |||
Accumulated amortization | 877,000 | 1,000,000 | 727,000 |
Remaining amortization expense for the fiscal year | 151,000 | ||
Remaining amortization expense for the first fiscal year | 301,000 | ||
Remaining amortization expense for the second fiscal year | 301,000 | ||
Remaining amortization expense for the third fiscal year | 301,000 | ||
Remaining amortization expense for the fourth fiscal year | 301,000 | ||
Remaining amortization expense for the fiscal year thereafter | $ 732,000 | ||
Weighted average remaining amortization period | 7 years 1 month 6 days | ||
Customer Relationships [Member] | Minimum [Member] | |||
Intangible Assets [Line Items] | |||
Useful life | 9 years | ||
Customer Relationships [Member] | Maximum [Member] | |||
Intangible Assets [Line Items] | |||
Useful life | 17 years | ||
Non-Compete Agreement [Member] | |||
Intangible Assets [Line Items] | |||
Useful life | 15 years | ||
Accumulated amortization | 1,400,000 | $ 1,500,000 | $ 1,400,000 |
Remaining amortization expense for the fiscal year | 37,000 | ||
Remaining amortization expense for the first fiscal year | 76,000 | ||
Remaining amortization expense for the second fiscal year | 76,000 | ||
Remaining amortization expense for the third fiscal year | 76,000 | ||
Remaining amortization expense for the fourth fiscal year | 76,000 | ||
Remaining amortization expense for the fiscal year thereafter | $ 224,000 | ||
Weighted average remaining amortization period | 7 years 6 months | ||
Read Window Products, LLC [Member] | |||
Intangible Assets [Line Items] | |||
Impairment charge | $ 143,000 |
Intangible Assets - Summary o_3
Intangible Assets - Summary of Change in Carrying Amount of Finite-Lived Intangible Assets (Detail) - USD ($) $ in Thousands | 6 Months Ended | |
Nov. 01, 2020 | Nov. 03, 2019 | |
Customer Relationships [Member] | ||
Finite Lived Intangible Assets [Line Items] | ||
Beginning balance | $ 2,238 | $ 2,538 |
Amortization expense | (151) | (150) |
Ending balance | 2,087 | 2,388 |
Non-Compete Agreement [Member] | ||
Finite Lived Intangible Assets [Line Items] | ||
Beginning balance | 602 | 678 |
Amortization expense | (37) | (38) |
Ending balance | $ 565 | $ 640 |
Investment in Unconsolidated _3
Investment in Unconsolidated Joint Venture - Narrative (Detail) | 1 Months Ended | 3 Months Ended | 6 Months Ended | ||||||||
May 31, 2020USD ($) | Feb. 29, 2020USD ($) | Nov. 01, 2020USD ($)ft² | Aug. 02, 2020USD ($) | Nov. 03, 2019USD ($) | Aug. 04, 2019USD ($) | Nov. 01, 2020USD ($)ft² | Nov. 03, 2019USD ($) | May 03, 2020USD ($) | Dec. 20, 2019USD ($)ft² | ||
Schedule of Equity Method Investments [Line Items] | |||||||||||
Net income (loss) | $ 2,384,000 | $ (2,733,000) | $ 2,192,000 | $ 1,174,000 | $ (349,000) | $ 3,366,000 | |||||
Income (loss) from investment in unconsolidated joint venture | 100,000 | (16,000) | 167,000 | (3,000) | |||||||
Investment in unconsolidated joint venture | $ 1,859,000 | 1,504,000 | $ 1,859,000 | 1,504,000 | $ 1,602,000 | [1] | |||||
CLIH [Member] | |||||||||||
Schedule of Equity Method Investments [Line Items] | |||||||||||
Equity method investment, ownership percentage | 50.00% | 50.00% | |||||||||
Area of additional plant facility | ft² | 80,000 | 80,000 | 40,000 | ||||||||
Contractual obligation | $ 1,200,000 | ||||||||||
Payments to acquire additional plant facility | $ 180,000 | $ 600,000 | $ 420,000 | $ 420,000 | |||||||
Income (loss) from investment in unconsolidated joint venture | 167,000 | (3,000) | |||||||||
Investment in unconsolidated joint venture | $ 1,900,000 | $ 1,500,000 | 1,900,000 | 1,500,000 | $ 1,600,000 | ||||||
CLIH [Member] | Equity Method Investment Nonconsolidated Investee Or Group of Investees [Member] | |||||||||||
Schedule of Equity Method Investments [Line Items] | |||||||||||
Net income (loss) | $ 334,000 | $ (6,000) | |||||||||
[1] | Derived from audited financial statements. |
Investment in Unconsolidated _4
Investment in Unconsolidated Joint Venture - Summary of Equity Method Investment (Detail) - USD ($) $ in Thousands | Nov. 01, 2020 | Aug. 02, 2020 | May 03, 2020 | Nov. 03, 2019 | Aug. 04, 2019 | Apr. 28, 2019 | [1] | |
Schedule of Equity Method Investments [Line Items] | ||||||||
Total assets | $ 202,776 | $ 215,084 | [1] | $ 233,522 | ||||
Total liabilities | 75,525 | 85,386 | [1] | 67,600 | ||||
Total members’ equity | 127,251 | $ 125,869 | 129,698 | [1] | 165,922 | $ 164,336 | $ 164,247 | |
CLIH [Member] | Equity Method Investment Nonconsolidated Investee Or Group of Investees [Member] | ||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||
Total assets | 3,951 | 3,338 | 3,190 | |||||
Total liabilities | 232 | 133 | 182 | |||||
Total members’ equity | $ 3,719 | $ 3,205 | $ 3,008 | |||||
[1] | Derived from audited financial statements. |
Accrued Expenses - Summary of A
Accrued Expenses - Summary of Accrued Expenses (Detail) - USD ($) $ in Thousands | Nov. 01, 2020 | May 03, 2020 | Nov. 03, 2019 |
Payables And Accruals [Abstract] | |||
Compensation, commissions and related benefits | $ 7,144 | $ 3,038 | $ 4,489 |
Interest | 9 | 3 | |
Other accrued expenses | 4,540 | 2,807 | 4,756 |
Accrued expenses | $ 11,684 | $ 5,854 | $ 9,248 |
Accrued Expenses - Narrative (D
Accrued Expenses - Narrative (Detail) - USD ($) | Nov. 01, 2020 | May 03, 2020 | Nov. 03, 2019 | |
Payables and Accruals [Line Items] | ||||
Accrued expenses | $ 11,684,000 | $ 5,854,000 | $ 9,248,000 | |
Current accrued expenses | $ 11,684,000 | 5,687,000 | [1] | 8,263,000 |
Long-term accrued expenses | $ 167,000 | [1] | 333,000 | |
Current Liabilities - Discontinued Operation [Member] | ||||
Payables and Accruals [Line Items] | ||||
Accrued expenses | $ 652,000 | |||
[1] | Derived from audited financial statements. |
Lines of Credit and Paycheck _2
Lines of Credit and Paycheck Protection Program Loan - Narrative (Detail) | Jun. 30, 2020 | Jun. 30, 2020USD ($) | Nov. 01, 2020USD ($) | May 02, 2021USD ($) | Nov. 01, 2020CNY (¥) | May 03, 2020USD ($) | Apr. 15, 2020USD ($) | Nov. 03, 2019USD ($) | |
Line Of Credit Facility [Line Items] | |||||||||
Outstanding amount | [1] | $ 29,750,000 | |||||||
Repayments of debt | $ 30,772,000 | ||||||||
Paycheck Protection Program (PPP) loan amount | [1] | $ 7,606,000 | |||||||
Paycheck Protection Program, CARES Act [Member] | |||||||||
Line Of Credit Facility [Line Items] | |||||||||
Paycheck Protection Program (PPP) loan amount | $ 7,600,000 | ||||||||
Revolving Credit Facility [Member] | United States [Member] | |||||||||
Line Of Credit Facility [Line Items] | |||||||||
Maximum borrowing capacity | $ 30,000,000 | ||||||||
Expiration date | Aug. 15, 2022 | ||||||||
Maximum amount of letters of credit | $ 1,000,000 | ||||||||
Applicable interest rate at end of period | 1.74% | 1.74% | 1.75% | 3.22% | |||||
Interest rate description | Interest is charged at a rate as a variable spread over LIBOR based on our ratio of debt to EBITDA. | ||||||||
Reference rate on which the interest rate is based | LIBOR | ||||||||
Percentage of common stock in subsidiary pledge as collateral | 65.00% | ||||||||
Outstanding amount | $ 0 | $ 29,800,000 | $ 0 | ||||||
Additional borrowings amount | 0 | ||||||||
Repayments of debt | $ 29,800,000 | ||||||||
Letters of credit, outstanding amount | 250,000 | $ 250,000 | 250,000 | ||||||
Revolving Credit Facility [Member] | United States [Member] | Seventh Amendment to Credit Agreement [Member] | |||||||||
Line Of Credit Facility [Line Items] | |||||||||
Reduced percentage of allowable liens and other indebtedness | 5.00% | ||||||||
Revolving Credit Facility [Member] | United States [Member] | Seventh Amendment to Credit Agreement [Member] | Maximum [Member] | |||||||||
Line Of Credit Facility [Line Items] | |||||||||
Maximum allowable payment of dividends or stock repurchase | $ 10,000,000 | ||||||||
Revolving Credit Facility [Member] | United States [Member] | Seventh Amendment to Credit Agreement [Member] | Scenario Forecast [Member] | |||||||||
Line Of Credit Facility [Line Items] | |||||||||
Annual capital expenditures | $ 10,000,000 | ||||||||
Revolving Credit Facility [Member] | United States [Member] | Seventh Amendment to Credit Agreement [Member] | Price Level I [Member] | |||||||||
Line Of Credit Facility [Line Items] | |||||||||
Percentage of pricing matrix increased | 1.60% | ||||||||
Revolving Credit Facility [Member] | United States [Member] | Seventh Amendment to Credit Agreement [Member] | Price Level II [Member] | |||||||||
Line Of Credit Facility [Line Items] | |||||||||
Percentage of pricing matrix increased | 2.05% | ||||||||
Revolving Credit Facility [Member] | United States [Member] | Seventh Amendment to Credit Agreement [Member] | Price Level III [Member] | |||||||||
Line Of Credit Facility [Line Items] | |||||||||
Percentage of pricing matrix increased | 2.50% | ||||||||
Revolving Credit Facility [Member] | United States [Member] | Seventh Amendment to Credit Agreement [Member] | Price Level IV [Member] | |||||||||
Line Of Credit Facility [Line Items] | |||||||||
Percentage of pricing matrix increased | 3.00% | ||||||||
Revolving Credit Facility [Member] | United States [Member] | Letters of Credit [Member] | |||||||||
Line Of Credit Facility [Line Items] | |||||||||
Remaining letters of credit | 750,000 | ||||||||
Revolving credit agreements [Member] | China [Member] | Chinese Yuan Renminbi [Member] | |||||||||
Line Of Credit Facility [Line Items] | |||||||||
Maximum borrowing capacity | $ 6,000,000 | ¥ 40,000,000 | |||||||
Expiration date | Dec. 4, 2020 | ||||||||
Applicable interest rate at end of period | 2.41% | ||||||||
Interest rate description | This agreement has an interest rate determined by the Chinese government at the time of borrowing and was set to expire on December 4, 2020. As of May 3, 2020, there were outstanding borrowings under this agreement totaling $1.0 million at an applicable interest rate of 2.41%. | ||||||||
Outstanding amount | $ 0 | $ 1,000,000 | $ 0 | ||||||
Additional borrowings amount | 0 | ||||||||
Repayments of debt | $ 1,000,000 | ||||||||
Revolving credit agreements [Member] | China [Member] | United States Dollar [Member] | |||||||||
Line Of Credit Facility [Line Items] | |||||||||
Maximum borrowing capacity | $ 2,000,000 | ||||||||
Expiration date | Jul. 7, 2021 | ||||||||
Interest rate description | This agreement has an interest rate determined by the Chinese government at the time of borrowing and is set to expire on July 7, 2021. As of November 1, 2020, there are no borrowings outstanding under this agreement. | ||||||||
Outstanding amount | $ 0 | ||||||||
[1] | Derived from audited financial statements. |
Fair Value - Recurring Basis (D
Fair Value - Recurring Basis (Detail) - Fair Value, Measurements, Recurring [Member] - USD ($) $ in Thousands | Nov. 01, 2020 | May 03, 2020 | Nov. 03, 2019 |
Premier Money Market Fund [Member] | |||
Assets: | |||
Investments at fair value | $ 7,665 | $ 7,496 | $ 7,133 |
Other [Member] | |||
Assets: | |||
Investments at fair value | 67 | 56 | 88 |
Short Term Bond Funds [Member] | |||
Assets: | |||
Investments at fair value | 5,462 | 923 | |
Growth Allocation Fund [Member] | |||
Assets: | |||
Investments at fair value | 255 | 219 | 222 |
Moderate Allocation Fund [Member] | |||
Assets: | |||
Investments at fair value | 73 | 63 | 132 |
Quoted prices in active markets for identical assets - Level 1 [Member] | Premier Money Market Fund [Member] | |||
Assets: | |||
Investments at fair value | 7,665 | 7,496 | 7,133 |
Quoted prices in active markets for identical assets - Level 1 [Member] | Other [Member] | |||
Assets: | |||
Investments at fair value | 67 | 56 | 88 |
Quoted prices in active markets for identical assets - Level 1 [Member] | Short Term Bond Funds [Member] | |||
Assets: | |||
Investments at fair value | 5,462 | 923 | |
Quoted prices in active markets for identical assets - Level 1 [Member] | Growth Allocation Fund [Member] | |||
Assets: | |||
Investments at fair value | 255 | 219 | 222 |
Quoted prices in active markets for identical assets - Level 1 [Member] | Moderate Allocation Fund [Member] | |||
Assets: | |||
Investments at fair value | $ 73 | $ 63 | $ 132 |
Fair Value - Narrative (Detail)
Fair Value - Narrative (Detail) - USD ($) | 3 Months Ended | 6 Months Ended | ||
May 03, 2020 | Nov. 01, 2020 | Nov. 03, 2019 | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||||
Short-term investments - available for sale | $ 923,000 | $ 5,500,000 | $ 0 | |
Amortized cost of held-to-maturity investments | 6,300,000 | 5,800,000 | ||
Fair value of held-to-maturity investments | 6,400,000 | 5,800,000 | 0 | |
Long-term investments (Rabbi Trust) | 7,834,000 | [1] | 8,060,000 | 7,575,000 |
Tradenames | 540,000 | $ 540,000 | 7,232,000 | |
Read Window Products, LLC [Member] | ||||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||||
Impairment charge | 143,000 | |||
Continuing Operation [Member] | ||||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||||
Asset impairments - continuing operations | 13,600,000 | |||
Continuing Operation [Member] | Read Window Products, LLC [Member] | ||||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||||
Impairment charge | 143,000 | |||
Tradenames | 540,000 | |||
Discontinued Operations [Member] | eLuxury [Member] | Home Accessories [Member] | ||||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||||
Impairment charge | 6,600,000 | |||
Discontinued Operations [Member] | eLuxury [Member] | Home Accessories [Member] | Trade Names [Member] | ||||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||||
Impairment charge | 4,200,000 | |||
Discontinued Operations [Member] | eLuxury [Member] | Home Accessories [Member] | Goodwill [Member] | ||||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||||
Impairment charge | 2,400,000 | |||
Minimum [Member] | Investments (Held-To-Maturity) [Member] | ||||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||||
Investment maturity period | 2 years | |||
Maximum [Member] | ||||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||||
Investment remaining maturity period | 2 years | |||
Maximum [Member] | Investments (Held-To-Maturity) [Member] | ||||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||||
Investment maturity period | 10 years | |||
Short-term Investments [Member] | ||||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||||
Accumulated unrealized gain (loss) on investments | (9,000) | $ (29,000) | ||
Current Expected Credit Loses [Member] | ||||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||||
Accumulated unrealized gain (loss) on investments | (29,000) | |||
Long-term Investments (Rabbi Trust) [Member] | ||||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||||
Accumulated unrealized gain (loss) on investments | $ 19,000 | $ 55,000 | $ 55,000 | |
[1] | Derived from audited financial statements. |
Cash Flow Information - Interes
Cash Flow Information - Interest and Income Taxes Paid (Refunded) (Detail) - USD ($) $ in Thousands | 6 Months Ended | ||
Nov. 01, 2020 | Nov. 03, 2019 | ||
Supplemental Cash Flow Elements [Abstract] | |||
Interest | $ 60 | $ 40 | |
Income taxes | [1],[2] | $ (556) | $ 2,782 |
[1] | |||
[2] | The net income tax refund totaling $556,000 during the first six months of fiscal 2021 represented AMT refunds totaling $1.5 million as referenced in note (1) above that were partially offset by a U.S. federal transition tax payment of $227,000 as required by the TCJA, and income tax payments associated with our foreign jurisdictions totaling $726,000. The income tax payments totaling $2.8 million during the first half of fiscal 2020 represented income tax payments associated with our foreign jurisdictions totaling $1.9 million and a withholding tax payment of $838,000 paid to the Chinese government for earnings and profits repatriated to the U.S. parent company. |
Cash Flow Information - Inter_2
Cash Flow Information - Interest and Income Taxes Paid (Refunded) (Parenthetical) (Detail) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Nov. 01, 2020 | Nov. 01, 2020 | Nov. 03, 2019 | ||
Supplemental Cash Flow Elements [Line Items] | ||||
AMT credit refunds | $ 1,500,000 | |||
Percentage of expected alternative minimum tax amount refundable in fiscal year 2021 | 50.00% | 50.00% | ||
Percentage of expected alternative minimum tax amount refundable in fiscal year 2021 | 50.00% | 50.00% | ||
AMT credit carryforward refundable balance amount received | $ 746,000 | |||
Percentage of AMT credits refundable under CARES Act | 100.00% | 100.00% | ||
AMT credit carryforward remaining refundable balance amount received | $ 764,000 | |||
Net income tax refund | $ 556,000 | |||
Income taxes | [1],[2] | (556,000) | $ 2,782,000 | |
Income tax payment with foreign jurisdictions | 726,000 | 1,900,000 | ||
Withholding tax payment | $ 838,000 | |||
U.S. Federal Transition Tax Payment [Member] | ||||
Supplemental Cash Flow Elements [Line Items] | ||||
Income taxes | $ 227,000 | |||
[1] | ||||
[2] | The net income tax refund totaling $556,000 during the first six months of fiscal 2021 represented AMT refunds totaling $1.5 million as referenced in note (1) above that were partially offset by a U.S. federal transition tax payment of $227,000 as required by the TCJA, and income tax payments associated with our foreign jurisdictions totaling $726,000. The income tax payments totaling $2.8 million during the first half of fiscal 2020 represented income tax payments associated with our foreign jurisdictions totaling $1.9 million and a withholding tax payment of $838,000 paid to the Chinese government for earnings and profits repatriated to the U.S. parent company. |
Net Income (Loss) from Contin_3
Net Income (Loss) from Continuing Operations Per Share - Schedule of Weighted Average Shares Used in the Computation of Basic and Diluted Net Income (Loss) from Continuing Operations Per Share (Detail) - shares shares in Thousands | 3 Months Ended | 6 Months Ended | ||
Nov. 01, 2020 | Nov. 03, 2019 | Nov. 01, 2020 | Nov. 03, 2019 | |
Earnings Per Share [Abstract] | ||||
Weighted average common shares outstanding, basic | 12,298 | 12,408 | 12,293 | 12,403 |
Dilutive effect of stock-based compensation | 26 | 10 | ||
Weighted average common shares outstanding, diluted | 12,324 | 12,408 | 12,293 | 12,413 |
Net Income (Loss) from Contin_4
Net Income (Loss) from Continuing Operations Per Share - Narrative (Detail) - Common Stock Awards [Member] - shares | 3 Months Ended | 6 Months Ended | ||
Nov. 01, 2020 | Nov. 03, 2019 | Nov. 01, 2020 | Nov. 03, 2019 | |
Antidilutive securities due to decrease in stock price excluded from computation of earnings from continuing operations per share | 1,101 | 6,938 | 26,099 | 1,407 |
Unvested common stock excluded from the computation of dilutive net loss | 38,313 | |||
Shares excluded from computation of diluted net loss from continuing operations per share | 12,214 |
Segment Information - Narrative
Segment Information - Narrative (Detail) | 6 Months Ended |
Nov. 01, 2020Segment | |
Segment Reporting [Abstract] | |
Number of operating segments | 2 |
Description of changes in reporting goodwill and intangible assets in segment assets | Goodwill and intangible assets are not included in segment assets as these assets are not used by the Chief Operating Decision Maker to evaluate the respective segment’s operating performance, allocate resources to individual segments, or determine executive compensation. |
Segment Information - Statement
Segment Information - Statement of Operations for Operating Segments (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Nov. 01, 2020 | Nov. 03, 2019 | Nov. 01, 2020 | Nov. 03, 2019 | |
Segment Reporting Information [Line Items] | ||||
net sales | $ 76,851 | $ 69,550 | $ 141,315 | $ 140,269 |
gross profit from continuing operations | 14,261 | 13,526 | 24,162 | 25,938 |
selling, general, and administrative expenses | 9,743 | 9,117 | 17,761 | 18,266 |
total income from continuing operations | 4,518 | 4,409 | 6,401 | 7,707 |
restructuring credit | 35 | |||
interest expense | (21) | (51) | (21) | |
interest income | 59 | 258 | 117 | 518 |
other expense | (680) | (99) | (1,046) | (194) |
income before income taxes from continuing operations | 3,897 | 4,547 | 5,421 | 8,010 |
Mattress Fabrics [Member] | ||||
Segment Reporting Information [Line Items] | ||||
net sales | 40,030 | 35,666 | 76,133 | 74,525 |
Upholstery Fabrics [Member] | ||||
Segment Reporting Information [Line Items] | ||||
net sales | 36,821 | 33,884 | 65,182 | 65,744 |
Operating Segments [Member] | ||||
Segment Reporting Information [Line Items] | ||||
net sales | 76,851 | 69,550 | 141,315 | 140,269 |
gross profit from continuing operations | 14,261 | 13,526 | 24,162 | 25,938 |
selling, general, and administrative expenses | 9,743 | 9,117 | 17,761 | 18,266 |
total income from continuing operations | 6,401 | 7,672 | ||
Operating Segments [Member] | Mattress Fabrics [Member] | ||||
Segment Reporting Information [Line Items] | ||||
net sales | 40,030 | 35,666 | 76,133 | 74,525 |
gross profit from continuing operations | 7,584 | 6,247 | 12,191 | 11,938 |
selling, general, and administrative expenses | 3,202 | 2,953 | 5,964 | 6,025 |
total income from continuing operations | 4,382 | 3,294 | 6,227 | 5,913 |
Operating Segments [Member] | Upholstery Fabrics [Member] | ||||
Segment Reporting Information [Line Items] | ||||
net sales | 36,821 | 33,884 | 65,182 | 65,744 |
gross profit from continuing operations | 6,677 | 7,279 | 11,971 | 14,000 |
selling, general, and administrative expenses | 3,390 | 3,806 | 6,570 | 7,652 |
total income from continuing operations | 3,287 | 3,473 | 5,401 | 6,348 |
Unallocated Corporate [Member] | ||||
Segment Reporting Information [Line Items] | ||||
selling, general, and administrative expenses | 3,151 | 2,358 | 5,227 | 4,589 |
total income from continuing operations | $ (3,151) | $ (2,358) | $ (5,227) | $ (4,589) |
Segment Information - Balance S
Segment Information - Balance Sheet Information by Operating Segments (Detail) - USD ($) $ in Thousands | 6 Months Ended | ||||
Nov. 01, 2020 | Nov. 03, 2019 | May 03, 2020 | |||
Segment Reporting Information [Line Items] | |||||
Inventory | $ 47,726 | $ 51,443 | $ 47,907 | [1] | |
Cash and cash equivalents | 45,288 | 46,955 | 69,790 | [1] | |
Short-term investments - available for sale | 5,462 | 923 | [1] | ||
Short-term investments - held-to-maturity | 5,005 | 4,271 | [1] | ||
Current income taxes receivable | 776 | 1,585 | [1] | ||
Current assets - discontinued operation | 4,760 | ||||
Other current assets | 3,509 | 2,745 | 2,116 | [1] | |
Deferred income taxes | 645 | 511 | 793 | [1] | |
Property, plant and equipment | 41,599 | 45,221 | 43,147 | [1] | |
Right of use assets | 6,165 | 4,883 | 3,903 | [1] | |
Goodwill | 13,569 | ||||
Intangible assets | 3,192 | 3,711 | 3,380 | [1] | |
Long-term investments - rabbi trust | 8,060 | 7,575 | 7,834 | [1] | |
Long-term investments - held-to-maturity | 759 | 2,076 | [1] | ||
Noncurrent income taxes receivable | 733 | ||||
Other assets | 547 | 496 | 664 | [1] | |
Noncurrent assets - discontinued operation | 22,950 | ||||
Investment in unconsolidated joint venture | 1,859 | 1,504 | 1,602 | [1] | |
Total assets | 202,776 | 233,522 | 215,084 | [1] | |
Capital expenditures | [2] | 2,002 | 2,740 | ||
Depreciation expense | 3,538 | 3,893 | |||
Operating Segments [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Total assets | 127,832 | 124,290 | 118,912 | ||
Depreciation expense | 3,538 | 3,893 | |||
Operating Segments [Member] | Mattress Fabrics [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Accounts receivable | 15,914 | 11,224 | 12,212 | ||
Inventory | 24,200 | 27,751 | 26,620 | ||
Property, plant and equipment | [3] | 38,818 | 42,899 | 40,682 | |
Right of use assets | [4] | 1,186 | 170 | 362 | |
Investment in unconsolidated joint venture | 1,859 | 1,504 | 1,602 | ||
Total assets | 81,977 | 83,548 | 81,478 | ||
Capital expenditures | [2] | 1,710 | 2,212 | ||
Depreciation expense | 3,132 | 3,321 | |||
Operating Segments [Member] | Upholstery Fabrics [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Accounts receivable | 17,046 | 12,666 | 12,881 | ||
Inventory | 23,526 | 23,692 | 21,287 | ||
Property, plant and equipment | [5] | 2,014 | 1,774 | 1,633 | |
Right of use assets | [6] | 3,269 | 2,610 | 1,633 | |
Total assets | 45,855 | 40,742 | 37,434 | ||
Capital expenditures | [2] | 181 | 229 | ||
Depreciation expense | 406 | 382 | |||
Operating Segments [Member] | Discontinued Operation [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Capital expenditures | [2] | 33 | |||
Depreciation expense | 190 | ||||
Unallocated Corporate [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Cash and cash equivalents | 45,288 | 46,955 | 69,790 | ||
Short-term investments - available for sale | 5,462 | 923 | |||
Short-term investments - held-to-maturity | 5,005 | 4,271 | |||
Current income taxes receivable | 776 | 1,585 | |||
Current assets - discontinued operation | 4,760 | ||||
Other current assets | 3,509 | 2,745 | 2,116 | ||
Deferred income taxes | 645 | 511 | 793 | ||
Property, plant and equipment | [7] | 767 | 548 | 832 | |
Right of use assets | [8] | 1,710 | 2,103 | 1,908 | |
Goodwill | 13,569 | ||||
Intangible assets | 3,192 | 3,711 | 3,380 | ||
Long-term investments - rabbi trust | 8,060 | 7,575 | 7,834 | ||
Long-term investments - held-to-maturity | 759 | 2,076 | |||
Noncurrent income taxes receivable | 733 | ||||
Other assets | 547 | 496 | 664 | ||
Long-term note receivable affiliated with discontinued operation | 1,800 | ||||
Noncurrent assets - discontinued operation | 22,950 | ||||
Total assets | 202,776 | 233,522 | $ 215,084 | ||
Capital expenditures | [2] | $ 111 | $ 266 | ||
[1] | Derived from audited financial statements. | ||||
[2] | Capital expenditure amounts are stated on the accrual basis. See Consolidated Statements of Cash Flows for capital expenditure amounts on a cash basis. | ||||
[3] | The $38.8 million as of November 1, 2020, represents property, plant, and equipment of $26.5 million and $12.3 million located in the U.S. and Canada, respectively. The $42.9 million as of November 3, 2019, represents property, plant, and equipment of $30.5 million and $12.4 million located in the U.S. and Canada, respectively. The $40.7 million as of May 3, 2020, represents property, plant, and equipment of $27.7 million and $13.0 million located in the U.S. and Canada, respectively. | ||||
[4] | The $1.2 million as of November 1, 2020, represents right of use assets of $696,000 and $490,000 located in the U.S. and Canada, respectively. The $170,000 as of November 3, 2019, and the $362,000 as of May 3, 2020, represents right of use assets located in the U.S. | ||||
[5] | The $2.0 million as of November 1, 2020, represents property, plant, and equipment of $1.1 million and $904,000 located in the U.S. and China, respectively. The $1.8 million as of November 3, 2019, represents property, plant, and equipment of $1.3 million and $500,000 located in the U.S. and China, respectively. The $1.6 million as of May 3, 2020, represents property, plant, and equipment of $1.2 million and $471,000 located in the U.S. and China, respectively. | ||||
[6] | The $3.3 million as of November 1, 2020, represents right of use assets of $2.7 million and $561,000 located in China and the U.S., respectively. The $2.6 million as of November 3, 2019, represents right of use assets of $1.5 million and $1.1 million located in China and the U.S., respectively. The $1.6 million as of May 3, 2020, represents right of use assets of $857,000 and $776,000 located in the U.S. and China, respectively. | ||||
[7] | The $767,000, $548,000, and $832,000 as of November 1, 2020, November 3, 2019, and May 3, 2020, respectively, represent property, plant, and equipment associated with unallocated corporate departments and corporate departments shared by our mattress fabrics and upholstery fabrics segments. Property, plant, and equipment associated with our corporate departments reside in the U.S. | ||||
[8] | The $1.7 million, $2.1 million, and $1.9 million as of November 1, 2020, November 3, 2019, and May 3, 2020, respectively, represents right of use assets located in the U.S. |
Segment Information - Balance_2
Segment Information - Balance Sheet Information by Operating Segments (Parenthetical) (Detail) - USD ($) | Nov. 01, 2020 | May 03, 2020 | Nov. 03, 2019 | ||
Segment Reporting Information [Line Items] | |||||
property, plant, and equipment | $ 41,599,000 | $ 43,147,000 | [1] | $ 45,221,000 | |
Right of use assets | 6,165,000 | 3,903,000 | [1] | 4,883,000 | |
Operating Segments [Member] | Mattress Fabrics [Member] | |||||
Segment Reporting Information [Line Items] | |||||
property, plant, and equipment | [2] | 38,818,000 | 40,682,000 | 42,899,000 | |
Right of use assets | [3] | 1,186,000 | 362,000 | 170,000 | |
Operating Segments [Member] | Upholstery Fabrics [Member] | |||||
Segment Reporting Information [Line Items] | |||||
property, plant, and equipment | [4] | 2,014,000 | 1,633,000 | 1,774,000 | |
Right of use assets | [5] | 3,269,000 | 1,633,000 | 2,610,000 | |
Operating Segments [Member] | United States [Member] | Mattress Fabrics [Member] | |||||
Segment Reporting Information [Line Items] | |||||
property, plant, and equipment | 26,500,000 | 27,700,000 | 30,500,000 | ||
Right of use assets | 696,000 | 362,000 | 170,000 | ||
Operating Segments [Member] | United States [Member] | Upholstery Fabrics [Member] | |||||
Segment Reporting Information [Line Items] | |||||
property, plant, and equipment | 1,100,000 | 1,200,000 | 1,300,000 | ||
Right of use assets | 561,000 | 857,000 | 1,100,000 | ||
Operating Segments [Member] | Canada [Member] | Mattress Fabrics [Member] | |||||
Segment Reporting Information [Line Items] | |||||
property, plant, and equipment | 12,300,000 | 13,000,000 | 12,400,000 | ||
Right of use assets | 490,000 | ||||
Operating Segments [Member] | China [Member] | Upholstery Fabrics [Member] | |||||
Segment Reporting Information [Line Items] | |||||
property, plant, and equipment | 904,000 | 471,000 | 500,000 | ||
Right of use assets | 2,700,000 | 776,000 | 1,500,000 | ||
Unallocated Corporate [Member] | |||||
Segment Reporting Information [Line Items] | |||||
property, plant, and equipment | [6] | 767,000 | 832,000 | 548,000 | |
Right of use assets | [7] | 1,710,000 | 1,908,000 | 2,103,000 | |
Unallocated Corporate [Member] | United States [Member] | |||||
Segment Reporting Information [Line Items] | |||||
property, plant, and equipment | 767,000 | 832,000 | 548,000 | ||
Right of use assets | $ 1,700,000 | $ 1,900,000 | $ 2,100,000 | ||
[1] | Derived from audited financial statements. | ||||
[2] | The $38.8 million as of November 1, 2020, represents property, plant, and equipment of $26.5 million and $12.3 million located in the U.S. and Canada, respectively. The $42.9 million as of November 3, 2019, represents property, plant, and equipment of $30.5 million and $12.4 million located in the U.S. and Canada, respectively. The $40.7 million as of May 3, 2020, represents property, plant, and equipment of $27.7 million and $13.0 million located in the U.S. and Canada, respectively. | ||||
[3] | The $1.2 million as of November 1, 2020, represents right of use assets of $696,000 and $490,000 located in the U.S. and Canada, respectively. The $170,000 as of November 3, 2019, and the $362,000 as of May 3, 2020, represents right of use assets located in the U.S. | ||||
[4] | The $2.0 million as of November 1, 2020, represents property, plant, and equipment of $1.1 million and $904,000 located in the U.S. and China, respectively. The $1.8 million as of November 3, 2019, represents property, plant, and equipment of $1.3 million and $500,000 located in the U.S. and China, respectively. The $1.6 million as of May 3, 2020, represents property, plant, and equipment of $1.2 million and $471,000 located in the U.S. and China, respectively. | ||||
[5] | The $3.3 million as of November 1, 2020, represents right of use assets of $2.7 million and $561,000 located in China and the U.S., respectively. The $2.6 million as of November 3, 2019, represents right of use assets of $1.5 million and $1.1 million located in China and the U.S., respectively. The $1.6 million as of May 3, 2020, represents right of use assets of $857,000 and $776,000 located in the U.S. and China, respectively. | ||||
[6] | The $767,000, $548,000, and $832,000 as of November 1, 2020, November 3, 2019, and May 3, 2020, respectively, represent property, plant, and equipment associated with unallocated corporate departments and corporate departments shared by our mattress fabrics and upholstery fabrics segments. Property, plant, and equipment associated with our corporate departments reside in the U.S. | ||||
[7] | The $1.7 million, $2.1 million, and $1.9 million as of November 1, 2020, November 3, 2019, and May 3, 2020, respectively, represents right of use assets located in the U.S. |
Income Taxes - Allocation of In
Income Taxes - Allocation of Income Tax Expense (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Nov. 01, 2020 | Nov. 03, 2019 | Nov. 01, 2020 | Nov. 03, 2019 | |
Income Tax Disclosure [Abstract] | ||||
Income from continuing operations | $ 1,613 | $ 2,279 | $ 5,937 | $ 3,971 |
Loss from discontinued operations | $ (381) | (392) | ||
Total income tax expense | $ 5,937 | $ 3,579 |
Income Taxes - Effective Income
Income Taxes - Effective Income Tax Rate - Narrative (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Nov. 01, 2020 | Nov. 03, 2019 | Nov. 01, 2020 | Nov. 03, 2019 | |
Income Tax Disclosure [Abstract] | ||||
Income taxes | $ 1,613 | $ 2,279 | $ 5,937 | $ 3,971 |
Effective income tax rate | 109.50% | 49.60% |
Income Taxes - Differences Betw
Income Taxes - Differences Between Income Tax Expense from Continuing Operations at Federal Income Tax Rate and Effective Income Tax Rate (Detail) | 6 Months Ended | |
Nov. 01, 2020 | Nov. 03, 2019 | |
Income Tax Disclosure [Abstract] | ||
U.S. federal income tax rate | 21.00% | 21.00% |
U.S. valuation allowance | 141.60% | |
U.S. income tax law change | (65.10%) | |
Global Intangible Low Taxed Income Tax ("GILTI") | 12.70% | |
Withholding taxes associated with foreign jurisdictions | 8.40% | 6.10% |
Foreign income tax rate differential | 6.60% | 3.50% |
Tax effects of foreign exchange rate (losses) gains | (4.00%) | 2.30% |
Other | 1.00% | 4.00% |
Effective income tax rate | 109.50% | 49.60% |
Income Taxes - U.S. Tax Law Cha
Income Taxes - U.S. Tax Law Change - Narrative (Detail) - GILTI [Member] - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | 12 Months Ended | |
Aug. 02, 2020 | Nov. 01, 2020 | May 03, 2020 | Apr. 28, 2019 | |
Income Taxes [Line Items] | ||||
Income tax charge of during period | $ 1.9 | $ 2.1 | ||
Non-cash income tax benefit | $ 3.5 | $ 3.5 |
Income Taxes - Valuation Allowa
Income Taxes - Valuation Allowance - Narrative (Detail) - USD ($) | 3 Months Ended | 6 Months Ended | |||
Nov. 01, 2020 | Aug. 02, 2020 | Nov. 03, 2019 | Nov. 01, 2020 | Nov. 03, 2019 | |
Income Taxes [Line Items] | |||||
Income tax charge | $ 1,613,000 | $ 2,279,000 | $ 5,937,000 | $ 3,971,000 | |
Valuation Allowance, Tax Credit Carryforward [Member] | |||||
Income Taxes [Line Items] | |||||
Income tax charge | 713,000 | ||||
COVID-19 [Member] | GILTI [Member] | |||||
Income Taxes [Line Items] | |||||
Non-cash income tax charges | $ 7,000,000 | $ 7,000,000 |
Income Taxes - Summary of Valua
Income Taxes - Summary of Valuation Allowances Against Net Deferred Income Taxes (Detail) - USD ($) $ in Thousands | Nov. 01, 2020 | May 03, 2020 | Nov. 03, 2019 |
Valuation Allowance [Line Items] | |||
Valuation allowance | $ 10,824 | $ 3,148 | $ 711 |
Capital Loss Carry Forwards and Credits [Member] | |||
Valuation Allowance [Line Items] | |||
Valuation allowance | 2,281 | 2,281 | |
Federal and State [Member] | Deferred Income Tax Assets [Member] | |||
Valuation Allowance [Line Items] | |||
Valuation allowance | $ 8,543 | $ 867 | $ 711 |
Income Taxes - Undistributed Ea
Income Taxes - Undistributed Earnings - Narrative (Detail) - USD ($) $ in Millions | 6 Months Ended | 12 Months Ended | |
Nov. 01, 2020 | Nov. 03, 2019 | May 03, 2020 | |
Income Tax Disclosure [Abstract] | |||
Dividends received deduction percentage for earnings and profits received from foreign corporation | 100.00% | 100.00% | 100.00% |
Dividends received deduction, foreign corporation ownership percentage | 10.00% | 10.00% | 10.00% |
Deferred tax liability, undistributed earnings from foreign subsidiaries | $ 3.9 | $ 3.2 | $ 3.4 |
Income Taxes - Uncertain Income
Income Taxes - Uncertain Income Tax Positions - Narrative (Detail) - USD ($) | Nov. 01, 2020 | May 03, 2020 | Nov. 03, 2019 |
Income Taxes [Line Items] | |||
Unrecognized tax benefits | $ 1,400,000 | ||
Unrecognized tax benefits that would favorably impact effective income tax rate if recognized | 1,100,000 | $ 1,300,000 | $ 914,000 |
Non-current Deferred Income Taxes [Member] | |||
Income Taxes [Line Items] | |||
Unrecognized tax benefits | 380,000 | ||
Income Taxes Payable - Long-Term [Member] | |||
Income Taxes [Line Items] | |||
Unrecognized tax benefits | $ 1,100,000 | $ 1,300,000 | $ 914,000 |
Stock-Based Compensation - Narr
Stock-Based Compensation - Narrative (Detail) - USD ($) | Oct. 01, 2020 | Jul. 01, 2020 | Oct. 01, 2019 | Jul. 18, 2019 | Jul. 01, 2019 | Aug. 02, 2018 | Nov. 01, 2020 | Nov. 03, 2019 | Sep. 16, 2015 | |||
Performance-Based Restricted Stock Units [Member] | ||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Fair value of units expected to vest | $ 110,000 | |||||||||||
Remaining unrecognized compensation cost | $ 73,698 | |||||||||||
Weighted average period over which unrecognized compensation cost is expected to be recognized | 1 year 6 months | |||||||||||
Performance-Based Restricted Stock Units [Member] | Selling, General and Administrative Expenses [Member] | ||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Share-based compensation expense | $ 89,000 | $ 275,000 | ||||||||||
Performance-Based Restricted Stock Units [Member] | Senior Executives [Member] | ||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Number of shares/units granted | 93,653 | [1],[2] | 86,599 | [1],[2] | 0 | |||||||
Price Per Share | [2] | $ 19.04 | [3] | $ 18.51 | [4] | |||||||
Performance-Based Restricted Stock Units [Member] | Key Employees [Member] | ||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Number of shares/units granted | 29,227 | [1],[5] | 47,800 | [1],[5] | 0 | |||||||
Price Per Share | [5],[6] | $ 18.49 | $ 24.35 | |||||||||
Performance-Based Restricted Stock Units [Member] | Non-employee [Member] | ||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Number of shares/units granted | 0 | |||||||||||
Time-Based Restricted Stock Units [Member] | ||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Fair value of units expected to vest | $ 2,200,000 | |||||||||||
Remaining unrecognized compensation cost | $ 1,800,000 | |||||||||||
Weighted average period over which unrecognized compensation cost is expected to be recognized | 2 years 6 months | |||||||||||
Time-Based Restricted Stock Units [Member] | Selling, General and Administrative Expenses [Member] | ||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Share-based compensation expense | $ 245,000 | 52,000 | ||||||||||
Common Stock Awards [Member] | Selling, General and Administrative Expenses [Member] | ||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Share-based compensation expense | $ 140,000 | $ 140,000 | ||||||||||
Common Stock Awards [Member] | Outside Directors [Member] | Immediate Vesting [Member] | ||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Number of shares/units granted | 5,193 | 7,000 | 4,519 | 3,659 | ||||||||
Price Per Share | $ 13.48 | $ 10 | $ 15.49 | $ 19.21 | ||||||||
2015 Equity Incentive Plan [Member] | ||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Number of common stock authorized for issuance | 1,200,000 | |||||||||||
Number of shares available for future equity based grants | 548,729 | |||||||||||
[1] | Amounts represent the maximum number of common stock shares that could be earned if certain performance targets are met as defined in the related restricted stock unit agreements. | |||||||||||
[2] | Performance-based restricted stock units awarded to certain senior executives. | |||||||||||
[3] | Price per share represents the fair market value per share ($1.03 per $1, or an increase of $0.55 to the closing price of our common stock on the date of grant) determined using the Monte Carlo simulation model for the market-based total shareholder return component and the closing price of our common stock ($18.49) for the performance-based component of the performance-based restricted stock units granted to certain senior executives on July 18, 2019. | |||||||||||
[4] | Price per share represents the fair market value per share ($0.76 per $1, or a reduction of $5.84 to the closing price of the common stock on the date of grant) determined using the Monte Carlo simulation model for the market-based total shareholder return component and the closing price of our common stock ($24.35) for the performance-based component of the performance-based restricted stock units granted to certain senior executives on August 2, 2018. | |||||||||||
[5] | Performance-based restricted stock units awarded to key employees. | |||||||||||
[6] | Price per share represents the closing price of our common stock on the date of grant. |
Stock-Based Compensation - Summ
Stock-Based Compensation - Summary of Assumptions Used to Determine Fair Value of Performance Based Restricted Stock Units (Detail) - Performance-Based Restricted Stock Units [Member] - Senior Executives [Member] - $ / shares | Jul. 18, 2019 | Aug. 02, 2018 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Closing price of our common stock | $ 18.49 | $ 24.35 | |
Expected volatility of our common stock | 30.00% | 33.50% | |
Expected volatility of peer companies | [1],[2] | 16.00% | |
Risk-free interest rate | 1.73% | 2.74% | |
Dividend yield | 2.10% | 1.35% | |
Correlation coefficient of peer companies | [1],[2] | 0.47% | |
Minimum [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Expected volatility of peer companies | [1],[2] | 29.90% | |
Correlation coefficient of peer companies | [1],[2] | 0.00% | |
Maximum [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Expected volatility of peer companies | [1],[2] | 82.30% | |
Correlation coefficient of peer companies | [1],[2] | 0.43% | |
[1] | The expected volatility and correlation coefficient of our peer companies for the August 2, 2018 grant date were based on the Russell 2000 Index, which was approved by the Compensation Committee of our board of directors as the benchmark for determining the market-based total shareholder return component. Since the Russell 2000 Index was the only benchmark for determining the market-based total shareholder return component, no ranges were disclosed for these assumptions. | ||
[2] | The expected volatility and correlation coefficient of our peer companies for the July 18, 2019 grant date were based on peer companies that were approved by the Compensation Committee of our board of directors as an aggregate benchmark for determining the market-based total shareholder return component. Therefore, we disclosed ranges of the expected volatility and correlation coefficient for the companies that represented this peer group. |
Stock-Based Compensation - Su_2
Stock-Based Compensation - Summary of Grants of Performance-Based Restricted Stock Units Associated with Senior Executives and Key Employees (Detail) - Performance-Based Restricted Stock Units [Member] - $ / shares | Jul. 18, 2019 | Aug. 02, 2018 | Nov. 01, 2020 | |||
Senior Executives [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Performance-Based Restricted Stock Units Awarded | 93,653 | [1],[2] | 86,599 | [1],[2] | 0 | |
Restricted Stock Units Expected to Vest | [2],[3] | 1,725 | 3,509 | |||
Price Per Share | [2] | $ 19.04 | [4] | $ 18.51 | [5] | |
Vesting Period | [2] | 3 years | 3 years | |||
Key Employees [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Performance-Based Restricted Stock Units Awarded | 29,227 | [1],[6] | 47,800 | [1],[6] | 0 | |
Restricted Stock Units Expected to Vest | [3],[6] | 1,489 | 2,101 | |||
Price Per Share | [6],[7] | $ 18.49 | $ 24.35 | |||
Vesting Period | [6] | 3 years | 3 years | |||
[1] | Amounts represent the maximum number of common stock shares that could be earned if certain performance targets are met as defined in the related restricted stock unit agreements. | |||||
[2] | Performance-based restricted stock units awarded to certain senior executives. | |||||
[3] | Compensation cost is based on an assessment each reporting period to determine the probability of whether or not certain performance goals will be met as of the end of the vesting period, and in turn the number of shares that are expected to be awarded at the end vesting period. These amounts represent the number of shares that were expected to vest as of November 1, 2020. | |||||
[4] | Price per share represents the fair market value per share ($1.03 per $1, or an increase of $0.55 to the closing price of our common stock on the date of grant) determined using the Monte Carlo simulation model for the market-based total shareholder return component and the closing price of our common stock ($18.49) for the performance-based component of the performance-based restricted stock units granted to certain senior executives on July 18, 2019. | |||||
[5] | Price per share represents the fair market value per share ($0.76 per $1, or a reduction of $5.84 to the closing price of the common stock on the date of grant) determined using the Monte Carlo simulation model for the market-based total shareholder return component and the closing price of our common stock ($24.35) for the performance-based component of the performance-based restricted stock units granted to certain senior executives on August 2, 2018. | |||||
[6] | Performance-based restricted stock units awarded to key employees. | |||||
[7] | Price per share represents the closing price of our common stock on the date of grant. |
Stock-Based Compensation - Su_3
Stock-Based Compensation - Summary of Grants of Performance-Based Restricted Stock Units Associated with Senior Executives and Key Employees (Parenthetical) (Detail) - Performance-Based Restricted Stock Units [Member] - Senior Executives [Member] - $ / shares | Jul. 18, 2019 | Aug. 02, 2018 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Fair value adjustment to closing price of common stock, percentage | 1.03% | 0.76% |
Fair value adjustment to closing price of common stock, per share | $ 0.55 | $ (5.84) |
Closing price of common stock | $ 18.49 | $ 24.35 |
Stock-Based Compensation - Su_4
Stock-Based Compensation - Summary of Performance-Based Restricted Stock Units Vested (Detail) - Performance-Based Restricted Stock Units [Member] - USD ($) $ / shares in Units, $ in Thousands | 6 Months Ended | ||
Nov. 01, 2020 | Nov. 03, 2019 | ||
Senior Executives and Key Employees [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Performance-Based Restricted Stock Units Vested | [1] | 3,277 | |
Fair Value | [1],[2] | $ 33 | |
Price Per Share | [1],[3] | $ 9.96 | |
Senior Executives and Key Employees [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Performance-Based Restricted Stock Units Vested | [1] | 3,710 | |
Fair Value | [1],[2] | $ 37 | |
Price Per Share | [1],[3] | $ 9.96 | |
Key Employees and Senior Executives [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Performance-Based Restricted Stock Units Vested | [1] | 11,351 | |
Fair Value | [1],[2] | $ 197 | |
Price Per Share | [1],[3] | $ 17.36 | |
Non-employee [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Performance-Based Restricted Stock Units Vested | [4] | 4,961 | |
Fair Value | [2],[4] | $ 86 | |
Price Per Share | [3],[4] | $ 17.36 | |
[1] | Certain senior executives and key employees. | ||
[2] | Dollar amounts are in thousands. | ||
[3] | Price per share is derived from the closing price of our common stock on the date the respective performance-based restricted stock units vested. | ||
[4] | Non-employee |
Stock-Based Compensation - Su_5
Stock-Based Compensation - Summary of Grants of Time-Based Restricted Stock Unit Awards Associated with Key Member of Management (Detail) - Time-Based Restricted Stock Units [Member] - Senior Executives and Management [Member] - $ / shares | Aug. 06, 2020 | Jul. 18, 2019 | Aug. 02, 2018 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Time-Based Restricted Stock Units Awarded | 129,896 | 34,399 | 10,000 | |
Price Per Share | [1] | $ 11.01 | $ 18.49 | $ 24.35 |
Vesting Period | 3 years | 3 years | 5 years | |
[1] | Price per share represents closing price of common stock on the date the respective award was granted. |
Leases - Narrative (Detail)
Leases - Narrative (Detail) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Nov. 01, 2020 | Nov. 03, 2019 | Nov. 01, 2020 | Nov. 03, 2019 | |
Lessee, Operating Lease, Option to Extend | renewal options for additional periods ranging up to ten years | |||
Operating Lease Expenses | $ 696,000 | $ 706,000 | $ 1,400,000 | $ 1,400,000 |
Minimum [Member] | ||||
Operating Lease Remaining Lease Terms | 1 year | |||
Maximum [Member] | ||||
Operating Lease Remaining Lease Terms | 6 years |
Leases - Lessee Operating Lease
Leases - Lessee Operating Lease Right of Use Assets and Liabilities (Detail) - USD ($) $ in Thousands | Nov. 01, 2020 | May 03, 2020 | Nov. 03, 2019 | [1] |
Assets And Liabilities Lessee [Abstract] | ||||
Right of use assets | $ 6,165 | $ 3,903 | $ 5,879 | |
Operating lease liability - current | 2,316 | 1,805 | 2,282 | |
Operating lease liability – noncurrent | $ 4,008 | $ 2,016 | $ 3,439 | |
[1] | As of November 3, 2019, right of use assets totaled $5.9 million, of which $4.9 million and $1.0 million were classified as (i) right of use asset and (ii) within noncurrent assets – discontinued operation, respectively, in the accompanying Consolidated Balance Sheets. At November 3, 2019, operating lease liabilities totaled $5.7 million, of which $2.1 million, $192,000, $2.6 million, and $825,000 were classified as (i) operating lease liability – current, (ii) within current liabilities – discontinued operation, (iii) operating lease liability – long-term, and (iv) within noncurrent liabilities – discontinued operation, respectively, in the accompanying Consolidated Balance Sheets. |
Leases - Lessee Operating Lea_2
Leases - Lessee Operating Lease Right of Use Assets and Liabilities (Parenthetical) (Detail) - USD ($) | Nov. 01, 2020 | May 03, 2020 | Nov. 03, 2019 | ||
Lessee Lease Description [Line Items] | |||||
Right of use assets | $ 6,165,000 | $ 3,903,000 | $ 5,879,000 | [1] | |
Right of use asset | 6,165,000 | 3,903,000 | [2] | 4,883,000 | |
Noncurrent assets - discontinued operation | 22,950,000 | ||||
Operating lease liabilities | 6,324,000 | 5,700,000 | |||
Operating lease liability - current | 2,316,000 | 1,805,000 | [2] | 2,090,000 | |
Current liabilities - Discontinued operation | 1,907,000 | ||||
Operating lease liability - noncurrent | $ 4,008,000 | $ 2,016,000 | [2] | 2,614,000 | |
Noncurrent liabilities - discontinued operation | 3,550,000 | ||||
Right of Use Assets [Member] | |||||
Lessee Lease Description [Line Items] | |||||
Right of use asset | 4,900,000 | ||||
Noncurrent Assets Discontinued Operation [Member] | |||||
Lessee Lease Description [Line Items] | |||||
Noncurrent assets - discontinued operation | 1,000,000 | ||||
Operating Lease Liability Current [Member] | |||||
Lessee Lease Description [Line Items] | |||||
Operating lease liability - current | 2,100,000 | ||||
Current Liabilities - Discontinued Operation [Member] | |||||
Lessee Lease Description [Line Items] | |||||
Current liabilities - Discontinued operation | 192,000 | ||||
Operating Lease Liability Noncurrent [Member] | |||||
Lessee Lease Description [Line Items] | |||||
Operating lease liability - noncurrent | 2,600,000 | ||||
Noncurrent Liabilities Discontinued Operation [Member] | |||||
Lessee Lease Description [Line Items] | |||||
Noncurrent liabilities - discontinued operation | $ 825,000 | ||||
[1] | As of November 3, 2019, right of use assets totaled $5.9 million, of which $4.9 million and $1.0 million were classified as (i) right of use asset and (ii) within noncurrent assets – discontinued operation, respectively, in the accompanying Consolidated Balance Sheets. At November 3, 2019, operating lease liabilities totaled $5.7 million, of which $2.1 million, $192,000, $2.6 million, and $825,000 were classified as (i) operating lease liability – current, (ii) within current liabilities – discontinued operation, (iii) operating lease liability – long-term, and (iv) within noncurrent liabilities – discontinued operation, respectively, in the accompanying Consolidated Balance Sheets. | ||||
[2] | Derived from audited financial statements. |
Leases - Operating Leases of Le
Leases - Operating Leases of Lessee Disclosure (Details) - USD ($) $ in Thousands | 6 Months Ended | |
Nov. 01, 2020 | Nov. 03, 2019 | |
Lessee Disclosure [Abstract] | ||
Operating lease liability payments | $ 1,232 | $ 1,408 |
Right of use assets exchanged for lease liabilities | $ 3,618 | $ 22 |
Leases - Lessee Operating Lea_3
Leases - Lessee Operating Lease Liability Maturity (Details) - USD ($) $ in Thousands | Nov. 01, 2020 | Nov. 03, 2019 |
Lessee Disclosure [Abstract] | ||
2021 | $ 1,244 | |
2022 | 1,955 | |
2023 | 1,536 | |
2024 | 1,172 | |
2025 | 679 | |
Total | 6,586 | |
Less: interest | (262) | |
Present value of lease liabilities | $ 6,324 | $ 5,700 |
Leases - Weighted Average Lease
Leases - Weighted Average Lease Term and Discount Rate (Detail) | Nov. 01, 2020 | Nov. 03, 2019 |
Lessee Disclosure [Abstract] | ||
Weighted average lease term | 3 years 3 months 18 days | 3 years 4 months 24 days |
Weighted average discount rate | 2.51% | 3.82% |
Commitments and Contingencies -
Commitments and Contingencies - Narrative (Detail) - USD ($) | Nov. 01, 2020 | May 03, 2020 | Nov. 03, 2019 | |
Commitments and Contingencies Disclosure [Line Items] | ||||
Accounts payable for capital expenditures, net | $ 68,000 | $ 107,000 | $ 402,000 | |
Accounts payable for capital expenditures | 68,000 | $ 107,000 | [1] | 398,000 |
Mattress Fabrics [Member] | Capital Addition Purchase Commitments [Member] | ||||
Commitments and Contingencies Disclosure [Line Items] | ||||
Open purchase commitments for equipment | $ 5,000,000 | |||
Accounts Payable – Capital Expenditures [Member] | ||||
Commitments and Contingencies Disclosure [Line Items] | ||||
Accounts payable for capital expenditures | 398,000 | |||
Current Liabilities - Discontinued Operation [Member] | ||||
Commitments and Contingencies Disclosure [Line Items] | ||||
Accounts payable for capital expenditures | $ 4,000 | |||
[1] | Derived from audited financial statements. |
Statutory Reserves - Narrative
Statutory Reserves - Narrative (Detail) - Subsidiaries [Member] - China [Member] $ in Millions | 6 Months Ended |
Nov. 01, 2020USD ($) | |
Statutory Reserves [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% |
Percentage of statutory surplus reserve fund to registered capital | 50.00% |
Statutory surplus reserve fund balance | $ 4.3 |
Minimum threshold percentage for statutory surplus reserve fund as percentage of registered capital, below which certain capital transactions are prohibited | 25.00% |
Common Stock Repurchase Progr_2
Common Stock Repurchase Program (Detail) - Common Stock [Member] - USD ($) | 6 Months Ended | ||
Nov. 01, 2020 | Nov. 03, 2019 | Mar. 31, 2020 | |
Stockholders Equity Note [Line Items] | |||
Common stock repurchased | 0 | 0 | |
Remaining authorized repurchase amount | $ 5,000,000 | ||
Stock Repurchase Program March 2020 [Member] | |||
Stockholders Equity Note [Line Items] | |||
Authorization amount for repurchase of common stock | $ 5,000,000 |
Dividend Program - Narrative (D
Dividend Program - Narrative (Detail) - USD ($) $ / shares in Units, $ in Thousands | Dec. 03, 2020 | Nov. 01, 2020 | Nov. 03, 2019 |
Dividends [Line Items] | |||
Cash dividends paid | $ 2,583 | $ 2,482 | |
Quarterly Dividend [Member] | |||
Dividends [Line Items] | |||
Cash dividends paid | $ 2,600 | $ 2,500 | |
Cash dividend payment, per share | $ 0.105 | $ 0.10 | |
Subsequent Event [Member] | Quarterly Dividend [Member] | |||
Dividends [Line Items] | |||
Cash dividend declared, per share | $ 0.11 | ||
Date of payment to shareholders entitled to dividends | Jan. 18, 2021 | ||
Date of record of shareholders entitled to dividends | Jan. 8, 2021 |