Document_and_Entity_Informatio
Document and Entity Information | 6 Months Ended | |
Oct. 25, 2014 | Nov. 26, 2014 | |
Document And Entity Information [Abstract] | ' | ' |
Document Type | '10-Q | ' |
Amendment Flag | 'false | ' |
Document Period End Date | 25-Oct-14 | ' |
Document Fiscal Year Focus | '2015 | ' |
Document Fiscal Period Focus | 'Q2 | ' |
Trading Symbol | 'PDCO | ' |
Entity Registrant Name | 'PATTERSON COMPANIES, INC. | ' |
Entity Central Index Key | '0000891024 | ' |
Current Fiscal Year End Date | '--04-26 | ' |
Entity Filer Category | 'Large Accelerated Filer | ' |
Entity Common Stock, Shares Outstanding | ' | 103,116,548 |
CONDENSED_CONSOLIDATED_BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS (USD $) | Oct. 25, 2014 | Apr. 26, 2014 |
In Thousands, unless otherwise specified | ||
Current assets: | ' | ' |
Cash and cash equivalents | $284,872 | $264,908 |
Short-term investments | 57,850 | 40,775 |
Receivables, net | 587,835 | 607,580 |
Inventory | 499,893 | 436,463 |
Prepaid expenses and other current assets | 59,276 | 65,991 |
Total current assets | 1,489,726 | 1,415,717 |
Property and equipment, net | 219,541 | 204,939 |
Long-term receivables, net | 72,793 | 90,535 |
Goodwill | 839,636 | 844,433 |
Identifiable intangibles, net | 209,527 | 223,150 |
Other | 26,226 | 85,903 |
Total assets | 2,857,449 | 2,864,677 |
Current liabilities: | ' | ' |
Accounts payable | 337,761 | 342,056 |
Accrued payroll expense | 61,748 | 66,567 |
Other accrued expense | 147,577 | 134,840 |
Total current liabilities | 547,086 | 543,463 |
Long-term debt | 725,000 | 725,000 |
Other | 121,662 | 124,550 |
Total liabilities | 1,393,748 | 1,393,013 |
Stockholders' equity: | ' | ' |
Common stock | 1,029 | 1,040 |
Additional paid-in capital | 2,615 | ' |
Accumulated other comprehensive income (loss) | -7,312 | 25,370 |
Retained earnings | 1,553,313 | 1,531,198 |
Unearned ESOP shares | -85,944 | -85,944 |
Total stockholders' equity | 1,463,701 | 1,471,664 |
Total liabilities and stockholders' equity | $2,857,449 | $2,864,677 |
CONDENSED_CONSOLIDATED_STATEME
CONDENSED CONSOLIDATED STATEMENTS OF INCOME AND COMPREHENSIVE INCOME (Unaudited) (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Oct. 25, 2014 | Oct. 26, 2013 | Oct. 25, 2014 | Oct. 26, 2013 |
Income Statement [Abstract] | ' | ' | ' | ' |
Net sales | $1,103,325 | $998,834 | $2,162,854 | $1,878,959 |
Cost of sales | 797,503 | 709,403 | 1,560,807 | 1,308,010 |
Gross profit | 305,822 | 289,431 | 602,047 | 570,949 |
Operating expenses | 214,601 | 214,208 | 426,072 | 414,445 |
Operating income | 91,221 | 75,223 | 175,975 | 156,504 |
Other income and expense: | ' | ' | ' | ' |
Other income, net | 760 | 1,245 | 2,262 | 688 |
Interest expense | -8,544 | -8,777 | -17,312 | -17,344 |
Income before taxes | 83,437 | 67,691 | 160,925 | 139,848 |
Income taxes | 29,659 | 25,663 | 56,858 | 51,928 |
Net income | 53,778 | 42,028 | 104,067 | 87,920 |
Earnings per share: | ' | ' | ' | ' |
Basic | $0.54 | $0.42 | $1.05 | $0.87 |
Diluted | $0.54 | $0.41 | $1.04 | $0.86 |
Weighted average common shares: | ' | ' | ' | ' |
Basic | 98,802 | 101,069 | 99,066 | 101,048 |
Diluted | 99,376 | 101,968 | 99,779 | 101,944 |
Dividends declared per common share | $0.20 | $0.16 | $0.40 | $0.32 |
Comprehensive income | ' | ' | ' | ' |
Net income | 53,778 | 42,028 | 104,067 | 87,920 |
Foreign currency translation (loss) gain | -36,816 | 14,699 | -26,506 | 6,394 |
Cash flow hedge loss | -3,867 | -48 | -6,176 | -97 |
Comprehensive income | $13,095 | $56,679 | $71,385 | $94,217 |
CONDENSED_CONSOLIDATED_STATEME1
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) (USD $) | 6 Months Ended | |
In Thousands, unless otherwise specified | Oct. 25, 2014 | Oct. 26, 2013 |
Operating activities: | ' | ' |
Net income | $104,067 | $87,920 |
Adjustments to reconcile net income to net cash provided by operating activities: | ' | ' |
Depreciation | 13,274 | 13,341 |
Amortization | 11,410 | 9,700 |
Bad debt expense | 1,153 | 1,362 |
Non-cash employee compensation | 13,694 | 13,568 |
Excess tax benefits from stock-based compensation | -175 | -832 |
Non-cash charges related to medical divestitures | ' | 5,114 |
Other changes from operating activities, net | -45,028 | -37,019 |
Net cash provided by operating activities | 98,395 | 93,154 |
Investing activities: | ' | ' |
Additions to property and equipment, net of acquisitions | -30,186 | -17,444 |
Acquisitions and equity investments, net of cash | ' | -140,963 |
Proceeds from sale of assets | 46,369 | 6,546 |
Other investing activities | -543 | -4,436 |
Net cash provided by (used in) investing activities | 15,640 | -156,297 |
Financing activities: | ' | ' |
Dividends paid | -40,174 | -48,388 |
Repurchases of common stock | -47,539 | -22,199 |
ESOP activity | -1,151 | -965 |
Common stock issued, net | 1,820 | 8,647 |
Payment on revolver | -130,000 | ' |
Draw on revolver | 130,000 | 135,000 |
Excess tax benefits from stock-based compensation | 175 | 832 |
Net cash (used in) provided by financing activities | -86,869 | 72,927 |
Effect of exchange rate changes on cash | -7,202 | 1,046 |
Net increase in cash and cash equivalents | 19,964 | 10,830 |
Cash and cash equivalents at beginning of period | 264,908 | 505,228 |
Cash and cash equivalents at end of period | $284,872 | $516,058 |
GENERAL
GENERAL | 6 Months Ended | ||||||||||||||||
Oct. 25, 2014 | |||||||||||||||||
Accounting Policies [Abstract] | ' | ||||||||||||||||
GENERAL | ' | ||||||||||||||||
NOTE 1 GENERAL | |||||||||||||||||
Basis of Presentation | |||||||||||||||||
In the opinion of management, the accompanying unaudited condensed consolidated financial statements contain all adjustments necessary to present fairly the financial position of our Company as of October 25, 2014, and our results of operations and cash flows for the periods ended October 25, 2014 and October 26, 2013. Such adjustments are of a normal recurring nature. The results of operations for the periods ended October 25, 2014 and October 26, 2013, are not necessarily indicative of the results to be expected for the full year. These financial statements should be read in conjunction with the financial statements included in the 2014 Annual Report on Form 10-K filed on June 25, 2014. | |||||||||||||||||
The condensed consolidated financial statements of Patterson Companies, Inc. (“Patterson” or “Company”) include the assets and liabilities of PDC Funding Company, LLC (“PDC Funding”) and PDC Funding Company II, LLC (“PDC Funding II”), wholly owned subsidiaries and separate legal entities under Minnesota law. PDC Funding and PDC Funding II are fully consolidated special purpose entities of our Company established to sell customer installment sale contracts to outside financial institutions in the normal course of business. The assets of PDC Funding and PDC Funding II would be available first and foremost to satisfy the claims of its creditors. There are no known creditors of PDC Funding or PDC Funding II. | |||||||||||||||||
Fiscal Year End | |||||||||||||||||
The fiscal year end of our Company is the last Saturday in April. The second quarter of fiscal years 2015 and 2014 represents the 13 weeks ended October 25, 2014 and October 26, 2013, respectively. Fiscal years 2015 and 2014 each include 52 weeks of operations. | |||||||||||||||||
Comprehensive Income | |||||||||||||||||
Comprehensive income is computed as net income plus certain other items that are recorded directly to stockholders’ equity. Significant items included in comprehensive income are foreign currency translation adjustments and the effective portion of cash flow hedges. Foreign currency translation adjustments do not include a provision for income tax because earnings from foreign operations are considered to be indefinitely reinvested outside the U.S. The income tax benefit related to cash flow hedge losses was $2,321 for the second quarter and $7,134 for the six months ended October 25, 2014. | |||||||||||||||||
Earnings Per Share | |||||||||||||||||
The following table sets forth the computation of the weighted average shares outstanding used to calculate basic and diluted earnings per share (shares in thousands): | |||||||||||||||||
Three Months Ended | Six Months Ended | ||||||||||||||||
October 25, | October 26, | October 25, | October 26, | ||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Denominator: | |||||||||||||||||
Denominator for basic earnings per share—weighted average shares | 98,802 | 101,069 | 99,066 | 101,048 | |||||||||||||
Effect of dilutive securities—stock options, restricted stock and stock purchase plans | 574 | 899 | 713 | 896 | |||||||||||||
Denominator for diluted earnings per share—adjusted weighted average shares | 99,376 | 101,968 | 99,779 | 101,944 | |||||||||||||
Options to purchase 124,000 shares of common stock during the three and six months ended October 25, 2014, and 75,000 shares during the three and six months ended October 26, 2013, respectively, were excluded from the calculation of diluted earnings per share because the effect would have been anti-dilutive. There were no unvested restricted stock awards excluded from the calculation of diluted earnings per share during the three and six months ended October 25, 2014, or the three and six months ended October 26, 2013, respectively, because the effect would have been anti-dilutive. | |||||||||||||||||
Recently Issued Accounting Pronouncements | |||||||||||||||||
In May 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2014-09, Revenue from Contracts with Customers. ASU No. 2014-09 supersedes the revenue recognition requirements in “Revenue Recognition (Topic 605),” and requires entities to recognize revenue in a way that depicts the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled to in exchange for those goods or services. ASU 2014-09 is effective for annual reporting periods beginning after December 15, 2016, including interim periods within that reporting period and is to be applied retrospectively, with early application not permitted. We are evaluating the new standard, but do not, at this time, anticipate a material impact to the financial statements once implemented. |
ACQUISITIONS
ACQUISITIONS | 6 Months Ended |
Oct. 25, 2014 | |
Business Combinations [Abstract] | ' |
ACQUISITIONS | ' |
NOTE 2 ACQUISITIONS | |
On August 16, 2013, Patterson Companies, Inc. completed the acquisition of all the outstanding stock of National Veterinary Services Limited (“NVS”) from Dechra Pharmaceuticals, PLC. NVS is the largest veterinary products distributor in the United Kingdom. | |
Operating results for this acquisition have been included in our Condensed Consolidated Statements of Income and Comprehensive Income from the date of acquisition and are reflected in the Veterinary reporting segment. The acquisition contributed $173,946 of net sales to the segment for the second quarter and $347,522 for the six months ended October 25, 2014. For the three and six months ended October 26, 2013, the acquisition contributed $117,748 of net sales. Pro forma results are not presented, as the acquisition is not considered material to our Company. |
GOODWILL_AND_OTHER_INTANGIBLE_
GOODWILL AND OTHER INTANGIBLE ASSETS | 6 Months Ended | ||||||||||||||||
Oct. 25, 2014 | |||||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | ' | ||||||||||||||||
GOODWILL AND OTHER INTANGIBLE ASSETS | ' | ||||||||||||||||
NOTE 3 GOODWILL AND OTHER INTANGIBLE ASSETS | |||||||||||||||||
The goodwill balances and related activity by business segment as of April 26, 2014 and October 25, 2014 are as follows: | |||||||||||||||||
Balance at | Acquisition | Translation | Balance at | ||||||||||||||
April 26, 2014 | Activity & | And Other | October 25, 2014 | ||||||||||||||
Divestitures | Activity | ||||||||||||||||
Dental Supply | $ | 137,463 | $ | — | $ | (210 | ) | $ | 137,253 | ||||||||
Rehabilitation Supply | 545,007 | — | (3,521 | ) | 541,486 | ||||||||||||
Veterinary Supply | 161,963 | — | (1,066 | ) | 160,897 | ||||||||||||
Total | $ | 844,433 | $ | — | $ | (4,797 | ) | $ | 839,636 | ||||||||
Balances of other intangible assets excluding goodwill are as follows: | |||||||||||||||||
October 25, | April 26, | ||||||||||||||||
2014 | 2014 | ||||||||||||||||
Unamortized—indefinite lived: | |||||||||||||||||
Copyrights, trade names and trademarks | $ | 76,464 | $ | 76,464 | |||||||||||||
Amortized: | |||||||||||||||||
Distribution agreement, customer lists and other | 283,177 | 286,365 | |||||||||||||||
Less: Accumulated amortization | (150,114 | ) | (139,679 | ) | |||||||||||||
Net amortized other intangible assets | 133,063 | 146,686 | |||||||||||||||
Total identifiable intangible assets, net | $ | 209,527 | $ | 223,150 | |||||||||||||
DERIVATIVE_FINANCIAL_INSTRUMEN
DERIVATIVE FINANCIAL INSTRUMENTS | 6 Months Ended | ||||||||||||||||||
Oct. 25, 2014 | |||||||||||||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ' | ||||||||||||||||||
DERIVATIVE FINANCIAL INSTRUMENTS | ' | ||||||||||||||||||
NOTE 4 DERIVATIVE FINANCIAL INSTRUMENTS | |||||||||||||||||||
Patterson is a party to certain offsetting and identical interest rate cap agreements. These cap agreements are not designated for hedge accounting treatment and were entered into to fulfill certain covenants of a sale agreement between a commercial paper conduit managed by The Bank of Tokyo-Mitsubishi UFJ, Ltd. and PDC Funding. On November 25, 2014, this agreement was amended on terms consistent with the expiring agreement. The cap agreements provide a credit enhancement feature for the financing contracts sold by PDC Funding to the commercial paper conduit. | |||||||||||||||||||
The cap agreements are cancelled and new agreements entered into periodically to maintain consistency with the dollar maximum of the sale agreements and the maturity of the underlying financing contracts. As of October 25, 2014, PDC Funding had purchased an interest rate cap from a bank with a notional amount of $500,000 and a maturity date of February 2022. Patterson Companies, Inc. sold an identical interest rate cap to the same bank. | |||||||||||||||||||
Similar to the above agreements, PDC Funding II, and Patterson Companies, Inc. entered into offsetting and identical interest rate cap agreements with a notional amount of $100,000 in fiscal 2014. In August 2014, these agreements were terminated and replaced with offsetting and identical interest rate cap agreements. The notional amount remained at $100,000 and the new maturity date is October 2022. | |||||||||||||||||||
In addition to the purchased and sold identical interest rate cap agreements described above, in May 2012 we entered into an interest rate swap agreement with a bank to economically hedge the interest rate risk associated with a portion of the finance contracts we had sold through the special purpose entities. | |||||||||||||||||||
These interest rate contracts do not qualify for hedge accounting treatment and, accordingly, we record the fair value of the agreements as an asset or liability and the change as income or expense during the period in which the change occurs. | |||||||||||||||||||
In January 2014 we entered into a forward interest rate swap agreement with a notional amount of $250,000 and accounted for as cash flow hedge, to hedge interest rate fluctuations in anticipation of refinancing the 5.17% senior notes due March 25, 2015 with a long-term loan for $250,000 and a term of ten years. | |||||||||||||||||||
The following presents the fair value of interest rate contracts included in the consolidated balance sheets: | |||||||||||||||||||
October 25, | April 26, | October 26, | |||||||||||||||||
Derivative type | Classification | 2014 | 2014 | 2013 | |||||||||||||||
Assets: | |||||||||||||||||||
Interest rate contracts | Other noncurrent assets | $ | 963 | $ | 1,716 | $ | 810 | ||||||||||||
Liabilities: | |||||||||||||||||||
Interest rate contracts | Other noncurrent liabilities | $ | 964 | $ | 1,720 | $ | 820 | ||||||||||||
Interest rate swaps | Other current liabilities | $ | 18,874 | $ | 5,660 | $ | 0 | ||||||||||||
The following table presents the effect of interest rate contracts on the consolidated statements of income and comprehensive income (net of tax): | |||||||||||||||||||
Three Months Ended | Six Months Ended | ||||||||||||||||||
Location of gain (loss) | October 25, | October 26, | October 25, | October 26, | |||||||||||||||
Derivative type | recognized on derivative | 2014 | 2013 | 2014 | 2013 | ||||||||||||||
Interest rate contracts | Other income (expense), net | $ | 0 | $ | 2 | $ | 0 | $ | 2 | ||||||||||
Interest rate swaps | Other comprehensive income | ($ | 3,867 | ) | ($ | 48 | ) | ($ | 6,176 | ) | ($ | 97 | ) |
FAIR_VALUE_MEASUREMENTS
FAIR VALUE MEASUREMENTS | 6 Months Ended | ||||||||||||||||
Oct. 25, 2014 | |||||||||||||||||
Fair Value Disclosures [Abstract] | ' | ||||||||||||||||
FAIR VALUE MEASUREMENTS | ' | ||||||||||||||||
NOTE 5 FAIR VALUE MEASUREMENTS | |||||||||||||||||
Fair value is the price at which an asset could be exchanged in a current transaction between knowledgeable, willing parties. The fair value hierarchy of measurements is categorized into one of three levels based on the lowest level of significant input used: | |||||||||||||||||
Level 1 | - | Quoted prices in active markets for identical assets and liabilities at the measurement date. | |||||||||||||||
Level 2 | - | Observable inputs other than quoted prices included in Level 1, such as quoted prices for similar assets and liabilities in active markets; quoted prices for identical or similar assets and liabilities in markets that are not active; or other inputs that are observable or can be corroborated by observable market data. | |||||||||||||||
Level 3 | - | Unobservable inputs for which there is little or no market data available. These inputs reflect management’s assumptions of what market participants would use in pricing the asset or liability. | |||||||||||||||
Our hierarchy for assets and liabilities measured at fair value on a recurring basis as of October 25, 2014 is as follows: | |||||||||||||||||
Total | Quoted Prices in Active | Significant Other | Significant Unobservable | ||||||||||||||
Markets (Level 1) | Observable Inputs | Inputs (Level 3) | |||||||||||||||
(Level 2) | |||||||||||||||||
Assets: | |||||||||||||||||
Cash equivalents | $ | 44,648 | $ | 44,648 | $ | — | $ | — | |||||||||
Derivative instruments | 963 | — | 963 | — | |||||||||||||
Total assets | $ | 45,611 | $ | 44,648 | $ | 963 | $ | — | |||||||||
Liabilities: | |||||||||||||||||
Derivative instruments | $ | 19,838 | $ | — | $ | 19,838 | $ | — | |||||||||
Our hierarchy for assets and liabilities measured at fair value on a recurring basis as of April 26, 2014 is as follows: | |||||||||||||||||
Total | Quoted Prices in Active | Significant Other | Significant Unobservable | ||||||||||||||
Markets (Level 1) | Observable Inputs | Inputs (Level 3) | |||||||||||||||
(Level 2) | |||||||||||||||||
Assets: | |||||||||||||||||
Cash equivalents | $ | 51,511 | $ | 51,511 | $ | — | $ | — | |||||||||
Derivative instruments | 1,716 | — | 1,716 | — | |||||||||||||
Total assets | $ | 53,227 | $ | 51,511 | $ | 1,716 | $ | — | |||||||||
Liabilities: | |||||||||||||||||
Derivative instruments | $ | 7,380 | $ | — | $ | 7,380 | $ | — | |||||||||
Cash equivalents – We value cash equivalents at their current market rates. The carrying value of cash equivalents approximates fair value and maturities are less than three months. | |||||||||||||||||
Derivative instruments – Patterson’s derivative instruments consist of interest rate contracts. These instruments are valued using observable inputs such as interest rates and credit spreads. | |||||||||||||||||
Certain assets are measured at fair value on a non-recurring basis. These assets are not measured at fair value on an ongoing basis, but are subject to fair value adjustments under certain circumstances, such as when there is evidence of impairment. There were no fair value adjustments to such assets during the periods ended October 25, 2014 or October 26, 2013. | |||||||||||||||||
Patterson’s debt is not measured at fair value in the consolidated balance sheets. The estimated fair value of our debt as of October 25, 2014 and April 26, 2014 was $744,144 and $742,619, respectively. The fair value of debt was measured using a discounted cash flow analysis based on expected market based yields. These are considered to be Level 2 inputs under the fair value measurements and disclosure guidance. | |||||||||||||||||
The carrying amounts of receivables, net of allowances, accounts payable, and certain accrued and other current liabilities approximated fair value at October 25, 2014 and April 26, 2014. |
SECURITIES
SECURITIES | 6 Months Ended |
Oct. 25, 2014 | |
Investments, Debt and Equity Securities [Abstract] | ' |
SECURITIES | ' |
NOTE 6 SECURITIES | |
On October 25, 2013 we invested in three time deposits with total principal of $110,000 Canadian dollars. Our time deposit securities are classified as “held-to-maturity” securities as we have both the intent and ability to hold until maturity. They are carried at cost, adjusted for accrued interest and amortization. The current value is not materially different than fair value. The fair value was determined based on a discounted cash flow analysis using unobservable inputs (i.e. level 3 inputs), which include a forward yield curve, the estimated timing of payments and the credit quality of the underlying creditor. Significant changes in any of the significant unobservable inputs in isolation would not result in a materially lower fair value estimate. The interrelationship between these inputs is insignificant. | |
On October 24, 2014 time deposits with a principal value of $45,000 Canadian matured with a value of $45,436 Canadian. The proceeds were included in cash and cash equivalents at October 25, 2014. The remaining time deposits with a principal value of $65,000 Canadian were classified as current assets at October 25, 2014 with a U.S. dollar equivalent value of $57,850. |
CUSTOMER_FINANCING
CUSTOMER FINANCING | 6 Months Ended |
Oct. 25, 2014 | |
Text Block [Abstract] | ' |
CUSTOMER FINANCING | ' |
NOTE 7 CUSTOMER FINANCING | |
As a convenience to our customers, we offer several different financing alternatives including both our Company-sponsored program and a third party program. For the third party program, we act as a facilitator between the customer and the third party financing entity with no on-going involvement in the financing transaction. Under our sponsored program, equipment purchased by customers with strong credit may be financed up to a maximum of $500 for any one customer. We generally sell the customers’ financing contracts to outside financial institutions in the normal course of our business. Patterson currently has two arrangements under which we sell these contracts. | |
Patterson operates under an agreement to sell a portion of our equipment finance contracts to commercial paper conduits with The Bank of Tokyo-Mitsubishi UFJ, Ltd. serving as the agent. We utilize a special purpose entity (“SPE”), PDC Funding, a consolidated, wholly owned subsidiary to fulfill a requirement of participating in the commercial paper conduit. We receive the proceeds of the contracts upon sale. At least 9% of the proceeds are held by the conduit as security against eventual performance of the portfolio. The amount held by the conduit can be greater than 9% and is based upon certain ratios defined in the agreement. The capacity under the agreement at October 25, 2014 was $500,000. | |
Patterson also maintains an agreement with Fifth Third Bank whereby the bank purchases customers’ financing contracts. Patterson has established another SPE, PDC Funding II, as a consolidated, wholly owned subsidiary, which sells financing contracts to the bank. We receive the proceeds of the contracts upon sale. At least 10% of the proceeds are held by the conduit as security against eventual performance of the portfolio. The amount held by the conduit can be greater than 10% and is based upon certain ratios defined in the agreement. The capacity under the agreement at October 25, 2014 was $100,000. | |
The portion of the purchase price for the receivables held by the conduits is a deferred purchase price receivable, which is paid to the SPE as payments on the receivables are collected from customers. The deferred purchase price receivable represents a beneficial interest in the transferred financial assets and is recognized at fair value as part of the sale transaction. The Company values the deferred purchase price receivable based on a discounted cash flow analysis using unobservable inputs (i.e. level 3 inputs), which include a forward yield curve, the estimated timing of payments and the credit quality of the underlying creditor. Significant increases in any of the significant unobservable inputs in isolation would not result in a materially lower fair value estimate. The interrelationship between these inputs is insignificant. | |
These financing arrangements are accounted for as a sale of assets under the provisions of ASC Topic No. 860, Transfers and Servicing. During the three and six months ended October 25, 2014, we sold $47,059 and $132,148, respectively, and during the three and six months ended October 26, 2013, we sold $46,058 and $115,554, respectively, of contracts under these arrangements. Patterson retains servicing responsibilities under both agreements, for which we are paid a servicing fee. The servicing fees received by Patterson are considered adequate compensation for services rendered. Accordingly, no servicing asset or liability has been recorded. The agreements require us to maintain a minimum current ratio and maximum leverage ratio. Patterson was in compliance with those covenants at October 25, 2014. | |
Included in cash and cash equivalents in the consolidated balance sheets are $27,860 and $28,152 as of October 25, 2014 and April 26, 2014, respectively, which represents cash collected from previously sold customer financing arrangements that have not yet been settled with the third party. Included in current receivables in the consolidated balance sheets are $62,676, net of unearned income of $1,730, and $63,236, net of unearned income of $5,894, as of October 25, 2014 and April 26, 2014, respectively, of finance contracts not yet sold by Patterson. A total of $492,740 of finance contracts receivable sold under the agreements was outstanding at October 25, 2014. The deferred purchase price under the arrangements was $68,113 and $84,750 as of October 25, 2014 and April 26, 2014, respectively. Since the internal financing program began in 1994, bad debt write-offs have amounted to less than one-percent of the loans originated. |
SEGMENT_REPORTING
SEGMENT REPORTING | 6 Months Ended | ||||||||||||||||
Oct. 25, 2014 | |||||||||||||||||
Segment Reporting [Abstract] | ' | ||||||||||||||||
SEGMENT REPORTING | ' | ||||||||||||||||
NOTE 8 SEGMENT REPORTING | |||||||||||||||||
Patterson Companies, Inc. is comprised of three reportable segments: dental supply, veterinary supply, and rehabilitation supply. Our reportable business segments are strategic business units that offer similar products and services to different customer bases. The dental supply segment provides a virtually complete range of consumable dental products, clinical and laboratory equipment and value-added services to dentists, dental laboratories, institutions and other dental healthcare providers throughout North America. The veterinary supply segment is a leading distributor of veterinary supplies, primarily to companion-pet (dogs, cats and other common household pets) and equine veterinary clinics. They also provide products and services used for the diagnosis, treatment and/or prevention of diseases in companion animals and equine throughout the United States and United Kingdom. The worldwide rehabilitation supply segment provides a comprehensive range of distributed and self-manufactured rehabilitation medical supplies and assistive products to acute care hospitals, long-term care facilities, rehabilitation clinics, dealers and schools. | |||||||||||||||||
We evaluate segment performance based on operating income. The corporate office general and administrative expenses are included in the dental supply segment and consist of home office support costs in areas such as information technology, finance, human resources and facilities. If these corporate expenses were allocated to the segments, the results would not be materially different as the dental segment would absorb a significant portion of these expenses. The costs to operate the distribution centers are allocated to the operating units based on the through-put of each unit. | |||||||||||||||||
The following table presents information about Patterson’s reportable segments: | |||||||||||||||||
Three Months Ended | Six Months Ended | ||||||||||||||||
October 25, | October 26, | October 25, | October 26, | ||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Net sales | |||||||||||||||||
Dental supply | $ | 601,748 | $ | 563,052 | $ | 1,154,402 | $ | 1,117,285 | |||||||||
Veterinary supply | 376,472 | 308,120 | 762,774 | 507,803 | |||||||||||||
Rehabilitation supply | 125,105 | 127,662 | 245,678 | 253,871 | |||||||||||||
Consolidated net sales | $ | 1,103,325 | $ | 998,834 | $ | 2,162,854 | $ | 1,878,959 | |||||||||
Operating income | |||||||||||||||||
Dental supply | $ | 59,008 | $ | 53,174 | $ | 112,221 | $ | 108,664 | |||||||||
Veterinary supply | 14,336 | 12,151 | 28,323 | 21,198 | |||||||||||||
Rehabilitation supply | 17,877 | 9,898 | 35,431 | 26,642 | |||||||||||||
Consolidated operating income | $ | 91,221 | $ | 75,223 | $ | 175,975 | $ | 156,504 | |||||||||
The following table presents sales information by product for all of Patterson’s reportable segments: | |||||||||||||||||
Three Months Ended | Six Months Ended | ||||||||||||||||
October 25, | October 26, | October 25, | October 26, | ||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Consolidated | |||||||||||||||||
Consumable and printed products * | $ | 790,840 | $ | 714,643 | $ | 1,587,617 | $ | 1,324,592 | |||||||||
Equipment and software * | 228,572 | 205,569 | 408,001 | 401,712 | |||||||||||||
Other | 83,913 | 78,622 | 167,236 | 152,655 | |||||||||||||
Total | $ | 1,103,325 | $ | 998,834 | $ | 2,162,854 | $ | 1,878,959 | |||||||||
* | Certain products were reclassified from equipment to consumables, to be consistent with the industry, in current and prior periods. |
EMPLOYEE_STOCK_OWNERSHIP_PLAN_
EMPLOYEE STOCK OWNERSHIP PLAN (ESOP) | 6 Months Ended |
Oct. 25, 2014 | |
Text Block [Abstract] | ' |
EMPLOYEE STOCK OWNERSHIP PLAN (ESOP) | ' |
NOTE 9 EMPLOYEE STOCK OWNERSHIP PLAN (ESOP) | |
During 1990, our Board of Directors adopted a leveraged ESOP. In fiscal 2002 and 2006, under the provisions of the plan and related financing arrangements, Patterson loaned the ESOP $12,612 (the “2002 note”) and $105,000 (the “2006 note”), respectively. The contribution to the ESOP, and the resulting allocation to employees, is determined annually by the Board of Directors following the close of the fiscal year. Shares of stock acquired by the plan are allocated to each participant who has completed 1,000 hours of service during the plan year. These shares are accounted for under ASC 718-40, Share-based Payments – Employee Stock Ownership Plans, and are not considered outstanding for computation of earnings per share until the shares are committed for release to the participants. We recognize expense based on the current fair value of the shares released to participants. As of October 25, 2014, a total of 2,736,969 of unallocated shares were held by the ESOP. The estimated ESOP expense recognized during the three months ended October 25, 2014 was $3,000 and during the three months ended October 26, 2013 was $5,700, respectively. The estimated ESOP expense recognized during the six months ended October 25, 2014 was $6,000 and during the six months ended October 26, 2013 was $11,400, respectively. |
GENERAL_Policies
GENERAL (Policies) | 6 Months Ended | ||||||||||||||||
Oct. 25, 2014 | |||||||||||||||||
Accounting Policies [Abstract] | ' | ||||||||||||||||
Basis of Presentation | ' | ||||||||||||||||
Basis of Presentation | |||||||||||||||||
In the opinion of management, the accompanying unaudited condensed consolidated financial statements contain all adjustments necessary to present fairly the financial position of our Company as of October 25, 2014, and our results of operations and cash flows for the periods ended October 25, 2014 and October 26, 2013. Such adjustments are of a normal recurring nature. The results of operations for the periods ended October 25, 2014 and October 26, 2013, are not necessarily indicative of the results to be expected for the full year. These financial statements should be read in conjunction with the financial statements included in the 2014 Annual Report on Form 10-K filed on June 25, 2014. | |||||||||||||||||
The condensed consolidated financial statements of Patterson Companies, Inc. (“Patterson” or “Company”) include the assets and liabilities of PDC Funding Company, LLC (“PDC Funding”) and PDC Funding Company II, LLC (“PDC Funding II”), wholly owned subsidiaries and separate legal entities under Minnesota law. PDC Funding and PDC Funding II are fully consolidated special purpose entities of our Company established to sell customer installment sale contracts to outside financial institutions in the normal course of business. The assets of PDC Funding and PDC Funding II would be available first and foremost to satisfy the claims of its creditors. There are no known creditors of PDC Funding or PDC Funding II. | |||||||||||||||||
Fiscal Year End | ' | ||||||||||||||||
Fiscal Year End | |||||||||||||||||
The fiscal year end of our Company is the last Saturday in April. The second quarter of fiscal years 2015 and 2014 represents the 13 weeks ended October 25, 2014 and October 26, 2013, respectively. Fiscal years 2015 and 2014 each include 52 weeks of operations. | |||||||||||||||||
Comprehensive Income | ' | ||||||||||||||||
Comprehensive Income | |||||||||||||||||
Comprehensive income is computed as net income plus certain other items that are recorded directly to stockholders’ equity. Significant items included in comprehensive income are foreign currency translation adjustments and the effective portion of cash flow hedges. Foreign currency translation adjustments do not include a provision for income tax because earnings from foreign operations are considered to be indefinitely reinvested outside the U.S. The income tax benefit related to cash flow hedge losses was $2,321 for the second quarter and $7,134 for the six months ended October 25, 2014. | |||||||||||||||||
Earnings Per Share | ' | ||||||||||||||||
Earnings Per Share | |||||||||||||||||
The following table sets forth the computation of the weighted average shares outstanding used to calculate basic and diluted earnings per share (shares in thousands): | |||||||||||||||||
Three Months Ended | Six Months Ended | ||||||||||||||||
October 25, | October 26, | October 25, | October 26, | ||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Denominator: | |||||||||||||||||
Denominator for basic earnings per share—weighted average shares | 98,802 | 101,069 | 99,066 | 101,048 | |||||||||||||
Effect of dilutive securities—stock options, restricted stock and stock purchase plans | 574 | 899 | 713 | 896 | |||||||||||||
Denominator for diluted earnings per share—adjusted weighted average shares | 99,376 | 101,968 | 99,779 | 101,944 | |||||||||||||
Options to purchase 124,000 shares of common stock during the three and six months ended October 25, 2014, and 75,000 shares during the three and six months ended October 26, 2013, respectively, were excluded from the calculation of diluted earnings per share because the effect would have been anti-dilutive. There were no unvested restricted stock awards excluded from the calculation of diluted earnings per share during the three and six months ended October 25, 2014, or the three and six months ended October 26, 2013, respectively, because the effect would have been anti-dilutive. | |||||||||||||||||
Recently Issued Accounting Pronouncements | ' | ||||||||||||||||
Recently Issued Accounting Pronouncements | |||||||||||||||||
In May 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2014-09, Revenue from Contracts with Customers. ASU No. 2014-09 supersedes the revenue recognition requirements in “Revenue Recognition (Topic 605),” and requires entities to recognize revenue in a way that depicts the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled to in exchange for those goods or services. ASU 2014-09 is effective for annual reporting periods beginning after December 15, 2016, including interim periods within that reporting period and is to be applied retrospectively, with early application not permitted. We are evaluating the new standard, but do not, at this time, anticipate a material impact to the financial statements once implemented. |
GENERAL_Tables
GENERAL (Tables) | 6 Months Ended | ||||||||||||||||
Oct. 25, 2014 | |||||||||||||||||
Accounting Policies [Abstract] | ' | ||||||||||||||||
Computation of Basic and Diluted Earnings Per Share | ' | ||||||||||||||||
The following table sets forth the computation of the weighted average shares outstanding used to calculate basic and diluted earnings per share (shares in thousands): | |||||||||||||||||
Three Months Ended | Six Months Ended | ||||||||||||||||
October 25, | October 26, | October 25, | October 26, | ||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Denominator: | |||||||||||||||||
Denominator for basic earnings per share—weighted average shares | 98,802 | 101,069 | 99,066 | 101,048 | |||||||||||||
Effect of dilutive securities—stock options, restricted stock and stock purchase plans | 574 | 899 | 713 | 896 | |||||||||||||
Denominator for diluted earnings per share—adjusted weighted average shares | 99,376 | 101,968 | 99,779 | 101,944 | |||||||||||||
GOODWILL_AND_OTHER_INTANGIBLE_1
GOODWILL AND OTHER INTANGIBLE ASSETS (Tables) | 6 Months Ended | ||||||||||||||||
Oct. 25, 2014 | |||||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | ' | ||||||||||||||||
Goodwill Balances and Related Activity by Business Segment | ' | ||||||||||||||||
The goodwill balances and related activity by business segment as of April 26, 2014 and October 25, 2014 are as follows: | |||||||||||||||||
Balance at | Acquisition | Translation | Balance at | ||||||||||||||
April 26, 2014 | Activity & | And Other | October 25, 2014 | ||||||||||||||
Divestitures | Activity | ||||||||||||||||
Dental Supply | $ | 137,463 | $ | — | $ | (210 | ) | $ | 137,253 | ||||||||
Rehabilitation Supply | 545,007 | — | (3,521 | ) | 541,486 | ||||||||||||
Veterinary Supply | 161,963 | — | (1,066 | ) | 160,897 | ||||||||||||
Total | $ | 844,433 | $ | — | $ | (4,797 | ) | $ | 839,636 | ||||||||
Balances of Other Intangible Assets Excluding Goodwill | ' | ||||||||||||||||
Balances of other intangible assets excluding goodwill are as follows: | |||||||||||||||||
October 25, | April 26, | ||||||||||||||||
2014 | 2014 | ||||||||||||||||
Unamortized—indefinite lived: | |||||||||||||||||
Copyrights, trade names and trademarks | $ | 76,464 | $ | 76,464 | |||||||||||||
Amortized: | |||||||||||||||||
Distribution agreement, customer lists and other | 283,177 | 286,365 | |||||||||||||||
Less: Accumulated amortization | (150,114 | ) | (139,679 | ) | |||||||||||||
Net amortized other intangible assets | 133,063 | 146,686 | |||||||||||||||
Total identifiable intangible assets, net | $ | 209,527 | $ | 223,150 | |||||||||||||
DERIVATIVE_FINANCIAL_INSTRUMEN1
DERIVATIVE FINANCIAL INSTRUMENTS (Tables) | 6 Months Ended | ||||||||||||||||||
Oct. 25, 2014 | |||||||||||||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ' | ||||||||||||||||||
Fair Value of Interest Rate Contracts Included in Consolidated Balance Sheets | ' | ||||||||||||||||||
The following presents the fair value of interest rate contracts included in the consolidated balance sheets: | |||||||||||||||||||
October 25, | April 26, | October 26, | |||||||||||||||||
Derivative type | Classification | 2014 | 2014 | 2013 | |||||||||||||||
Assets: | |||||||||||||||||||
Interest rate contracts | Other noncurrent assets | $ | 963 | $ | 1,716 | $ | 810 | ||||||||||||
Liabilities: | |||||||||||||||||||
Interest rate contracts | Other noncurrent liabilities | $ | 964 | $ | 1,720 | $ | 820 | ||||||||||||
Interest rate swaps | Other current liabilities | $ | 18,874 | $ | 5,660 | $ | 0 | ||||||||||||
Effect of Interest Rate Contracts on Consolidated Statements of Income and Comprehensive Income (Net of Tax) | ' | ||||||||||||||||||
The following table presents the effect of interest rate contracts on the consolidated statements of income and comprehensive income (net of tax): | |||||||||||||||||||
Three Months Ended | Six Months Ended | ||||||||||||||||||
Location of gain (loss) | October 25, | October 26, | October 25, | October 26, | |||||||||||||||
Derivative type | recognized on derivative | 2014 | 2013 | 2014 | 2013 | ||||||||||||||
Interest rate contracts | Other income (expense), net | $ | 0 | $ | 2 | $ | 0 | $ | 2 | ||||||||||
Interest rate swaps | Other comprehensive income | ($ | 3,867 | ) | ($ | 48 | ) | ($ | 6,176 | ) | ($ | 97 | ) |
FAIR_VALUE_MEASUREMENTS_Tables
FAIR VALUE MEASUREMENTS (Tables) | 6 Months Ended | ||||||||||||||||
Oct. 25, 2014 | |||||||||||||||||
Fair Value Disclosures [Abstract] | ' | ||||||||||||||||
Assets and Liabilities Measured at Fair Value on Recurring Basis | ' | ||||||||||||||||
Our hierarchy for assets and liabilities measured at fair value on a recurring basis as of October 25, 2014 is as follows: | |||||||||||||||||
Total | Quoted Prices in Active | Significant Other | Significant Unobservable | ||||||||||||||
Markets (Level 1) | Observable Inputs | Inputs (Level 3) | |||||||||||||||
(Level 2) | |||||||||||||||||
Assets: | |||||||||||||||||
Cash equivalents | $ | 44,648 | $ | 44,648 | $ | — | $ | — | |||||||||
Derivative instruments | 963 | — | 963 | — | |||||||||||||
Total assets | $ | 45,611 | $ | 44,648 | $ | 963 | $ | — | |||||||||
Liabilities: | |||||||||||||||||
Derivative instruments | $ | 19,838 | $ | — | $ | 19,838 | $ | — | |||||||||
Our hierarchy for assets and liabilities measured at fair value on a recurring basis as of April 26, 2014 is as follows: | |||||||||||||||||
Total | Quoted Prices in Active | Significant Other | Significant Unobservable | ||||||||||||||
Markets (Level 1) | Observable Inputs | Inputs (Level 3) | |||||||||||||||
(Level 2) | |||||||||||||||||
Assets: | |||||||||||||||||
Cash equivalents | $ | 51,511 | $ | 51,511 | $ | — | $ | — | |||||||||
Derivative instruments | 1,716 | — | 1,716 | — | |||||||||||||
Total assets | $ | 53,227 | $ | 51,511 | $ | 1,716 | $ | — | |||||||||
Liabilities: | |||||||||||||||||
Derivative instruments | $ | 7,380 | $ | — | $ | 7,380 | $ | — | |||||||||
SEGMENT_REPORTING_Tables
SEGMENT REPORTING (Tables) | 6 Months Ended | ||||||||||||||||
Oct. 25, 2014 | |||||||||||||||||
Segment Reporting [Abstract] | ' | ||||||||||||||||
Information about Reportable Segments | ' | ||||||||||||||||
The following table presents information about Patterson’s reportable segments: | |||||||||||||||||
Three Months Ended | Six Months Ended | ||||||||||||||||
October 25, | October 26, | October 25, | October 26, | ||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Net sales | |||||||||||||||||
Dental supply | $ | 601,748 | $ | 563,052 | $ | 1,154,402 | $ | 1,117,285 | |||||||||
Veterinary supply | 376,472 | 308,120 | 762,774 | 507,803 | |||||||||||||
Rehabilitation supply | 125,105 | 127,662 | 245,678 | 253,871 | |||||||||||||
Consolidated net sales | $ | 1,103,325 | $ | 998,834 | $ | 2,162,854 | $ | 1,878,959 | |||||||||
Operating income | |||||||||||||||||
Dental supply | $ | 59,008 | $ | 53,174 | $ | 112,221 | $ | 108,664 | |||||||||
Veterinary supply | 14,336 | 12,151 | 28,323 | 21,198 | |||||||||||||
Rehabilitation supply | 17,877 | 9,898 | 35,431 | 26,642 | |||||||||||||
Consolidated operating income | $ | 91,221 | $ | 75,223 | $ | 175,975 | $ | 156,504 | |||||||||
Sales Information by Product | ' | ||||||||||||||||
The following table presents sales information by product for all of Patterson’s reportable segments: | |||||||||||||||||
Three Months Ended | Six Months Ended | ||||||||||||||||
October 25, | October 26, | October 25, | October 26, | ||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Consolidated | |||||||||||||||||
Consumable and printed products * | $ | 790,840 | $ | 714,643 | $ | 1,587,617 | $ | 1,324,592 | |||||||||
Equipment and software * | 228,572 | 205,569 | 408,001 | 401,712 | |||||||||||||
Other | 83,913 | 78,622 | 167,236 | 152,655 | |||||||||||||
Total | $ | 1,103,325 | $ | 998,834 | $ | 2,162,854 | $ | 1,878,959 | |||||||||
* | Certain products were reclassified from equipment to consumables, to be consistent with the industry, in current and prior periods. |
General_Additional_Information
General - Additional Information (Detail) (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, except Share data, unless otherwise specified | Oct. 25, 2014 | Oct. 26, 2013 | Oct. 25, 2014 | Oct. 26, 2013 |
Summary Of Significant Accounting Policies [Line Items] | ' | ' | ' | ' |
The income tax benefit related to cash flow hedge losses | 2,321 | ' | 7,134 | ' |
Employee Stock Option [Member] | ' | ' | ' | ' |
Summary Of Significant Accounting Policies [Line Items] | ' | ' | ' | ' |
Securities excluded from calculation of diluted earnings per share | 124,000 | 75,000 | 124,000 | 75,000 |
Unvested Restricted Stock Awards [Member] | ' | ' | ' | ' |
Summary Of Significant Accounting Policies [Line Items] | ' | ' | ' | ' |
Securities excluded from calculation of diluted earnings per share | 0 | 0 | 0 | 0 |
General_Computation_of_Basic_a
General - Computation of Basic and Diluted Earnings Per Share (Detail) | 3 Months Ended | 6 Months Ended | ||
In Thousands, unless otherwise specified | Oct. 25, 2014 | Oct. 26, 2013 | Oct. 25, 2014 | Oct. 26, 2013 |
Earnings Per Share [Abstract] | ' | ' | ' | ' |
Denominator for basic earnings per share-weighted average shares | 98,802 | 101,069 | 99,066 | 101,048 |
Effect of dilutive securities-stock options, restricted stock and stock purchase plans | 574 | 899 | 713 | 896 |
Denominator for diluted earnings per share-adjusted weighted average shares | 99,376 | 101,968 | 99,779 | 101,944 |
Acquisitions_Additional_Inform
Acquisitions - Additional Information (Detail) (National Veterinary Services Limited (NVS) [Member], USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, unless otherwise specified | Oct. 25, 2014 | Oct. 26, 2013 | Oct. 25, 2014 | Oct. 26, 2013 |
National Veterinary Services Limited (NVS) [Member] | ' | ' | ' | ' |
Business Acquisition [Line Items] | ' | ' | ' | ' |
Acquisition contributed of net sales | $173,946 | $117,748 | $347,522 | $117,748 |
Recovered_Sheet1
Goodwill and Other Intangible Assets - Goodwill Balances and Related Activity by Business Segment (Detail) (USD $) | 6 Months Ended |
In Thousands, unless otherwise specified | Oct. 25, 2014 |
Goodwill [Line Items] | ' |
Beginning Balance | $844,433 |
Acquisition Activity & Divestitures | 0 |
Translation And Other Activity | -4,797 |
Ending Balance | 839,636 |
Dental Supply [Member] | ' |
Goodwill [Line Items] | ' |
Beginning Balance | 137,463 |
Acquisition Activity & Divestitures | 0 |
Translation And Other Activity | -210 |
Ending Balance | 137,253 |
Rehabilitation Supply [Member] | ' |
Goodwill [Line Items] | ' |
Beginning Balance | 545,007 |
Acquisition Activity & Divestitures | 0 |
Translation And Other Activity | -3,521 |
Ending Balance | 541,486 |
Veterinary Supply [Member] | ' |
Goodwill [Line Items] | ' |
Beginning Balance | 161,963 |
Acquisition Activity & Divestitures | 0 |
Translation And Other Activity | -1,066 |
Ending Balance | $160,897 |
Recovered_Sheet2
Goodwill and Other Intangible Assets - Balances of Other Intangible Assets Excluding Goodwill (Detail) (USD $) | Oct. 25, 2014 | Apr. 26, 2014 |
In Thousands, unless otherwise specified | ||
Goodwill and Intangible Assets Disclosure [Abstract] | ' | ' |
Copyrights, trade names and trademarks | $76,464 | $76,464 |
Distribution agreement, customer lists and other | 283,177 | 286,365 |
Less: Accumulated amortization | -150,114 | -139,679 |
Net amortized other intangible assets | 133,063 | 146,686 |
Total identifiable intangible assets, net | $209,527 | $223,150 |
Recovered_Sheet3
Derivative Financial Instruments - Additional Information (Detail) (USD $) | 0 Months Ended | 6 Months Ended | 1 Months Ended | 0 Months Ended | |||
In Thousands, unless otherwise specified | Oct. 25, 2014 | Oct. 25, 2014 | Oct. 25, 2014 | Aug. 31, 2014 | Jan. 31, 2014 | Apr. 26, 2014 | Jan. 31, 2014 |
Scenario, Forecast [Member] | Scenario, Forecast [Member] | Interest Rate Cap [Member] | Interest Rate Cap [Member] | Interest Rate Swap Agreement [Member] | Interest Rate Swap Agreement [Member] | Interest Rate Swap Agreement [Member] | |
Long-term Debt [Member] | Long-term Debt [Member] | Derivative | Replacement Agreement [Member] | ||||
Derivative [Line Items] | ' | ' | ' | ' | ' | ' | ' |
Notional amount of derivatives | ' | ' | $500,000 | $100,000 | ' | $100,000 | $250,000 |
Maturity date | ' | ' | '2022-02 | '2022-10 | ' | ' | ' |
Number of interest rate caps purchased by PDC Funding | ' | ' | 1 | ' | ' | ' | ' |
Number of interest rate caps sold | ' | ' | 1 | ' | ' | ' | ' |
Percentage of senior notes | ' | ' | ' | ' | ' | ' | 5.17% |
Senior notes amount due | ' | ' | ' | ' | ' | ' | 250,000 |
Period of long term loan | '10 years | ' | ' | ' | ' | ' | ' |
Maturity date of long term loan | ' | ' | ' | ' | 25-Mar-15 | ' | ' |
Long term loan | ' | $250,000 | ' | ' | ' | ' | ' |
Recovered_Sheet4
Derivative Financial Instruments - Fair Value of Interest Rate Contracts Included in Consolidated Balance Sheets (Detail) (USD $) | Oct. 25, 2014 | Apr. 26, 2014 | Oct. 26, 2013 |
In Thousands, unless otherwise specified | |||
Derivatives, Fair Value [Line Items] | ' | ' | ' |
Interest rate contracts, assets, fair value | $963 | $1,716 | ' |
Interest rate, liabilities, fair value | 19,838 | 7,380 | ' |
Other Noncurrent Assets [Member] | Interest Rate Contract [Member] | ' | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' | ' |
Interest rate contracts, assets, fair value | 963 | 1,716 | 810 |
Other Noncurrent Liabilities [Member] | Interest Rate Contract [Member] | ' | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' | ' |
Interest rate, liabilities, fair value | 964 | 1,720 | 820 |
Other Current Liabilities [Member] | Interest Rate Swap [Member] | ' | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' | ' |
Interest rate, liabilities, fair value | $18,874 | $5,660 | $0 |
Derivative_Financial_Instrumen2
Derivative Financial Instruments - Effect of Interest Rate Contracts on Consolidated Statements of Income and Comprehensive Income (Net of Tax) (Detail) (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, unless otherwise specified | Oct. 25, 2014 | Oct. 26, 2013 | Oct. 25, 2014 | Oct. 26, 2013 |
Interest Rate Contract [Member] | Other income (expense), net [Member] | ' | ' | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' | ' |
Effect of interest rate contracts | $0 | $2 | $0 | $2 |
Interest Rate Swap [Member] | Other comprehensive income [Member] | ' | ' | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' | ' |
Effect of interest rate contracts | ($3,867) | ($48) | ($6,176) | ($97) |
Fair_Value_Measurements_Assets
Fair Value Measurements - Assets and Liabilities Measured at Fair Value on Recurring Basis (Detail) (USD $) | Oct. 25, 2014 | Apr. 26, 2014 |
In Thousands, unless otherwise specified | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' |
Cash equivalents | $44,648 | $51,511 |
Derivative instruments, assets | 963 | 1,716 |
Total assets | 45,611 | 53,227 |
Derivative instruments, liabilities | 19,838 | 7,380 |
Fair Value, Inputs, Level 1 [Member] | ' | ' |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' |
Cash equivalents | 44,648 | 51,511 |
Total assets | 44,648 | 51,511 |
Fair Value, Inputs, Level 2 [Member] | ' | ' |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' |
Derivative instruments, assets | 963 | 1,716 |
Total assets | 963 | 1,716 |
Derivative instruments, liabilities | $19,838 | $7,380 |
Fair_Value_Measurements_Additi
Fair Value Measurements - Additional Information (Detail) (USD $) | Oct. 25, 2014 | Apr. 26, 2014 |
In Thousands, unless otherwise specified | ||
Fair Value Disclosures [Abstract] | ' | ' |
Estimated fair value of debt | $744,144 | $742,619 |
Securities_Additional_Informat
Securities - Additional Information (Detail) | Oct. 25, 2014 | Oct. 25, 2014 | Oct. 24, 2014 | Apr. 26, 2014 | Oct. 25, 2013 |
In Thousands, unless otherwise specified | USD ($) | CAD | CAD | USD ($) | CAD |
Investments, Debt and Equity Securities [Abstract] | ' | ' | ' | ' | ' |
Total principal amount | ' | 65,000 | 45,000 | ' | 110,000 |
Short-term investments | 57,850 | ' | ' | 40,775 | ' |
Maturity value of time deposits | ' | ' | 45,436 | ' | ' |
Customer_Financing_Additional_
Customer Financing - Additional Information (Detail) (USD $) | 3 Months Ended | 6 Months Ended | ||||
In Thousands, unless otherwise specified | Oct. 25, 2014 | Oct. 26, 2013 | Oct. 25, 2014 | Oct. 26, 2013 | Apr. 26, 2014 | Apr. 27, 2013 |
Customer | ||||||
Customer Financing [Line Items] | ' | ' | ' | ' | ' | ' |
Maximum credit financed for equipment purchases for any one customer | $500 | ' | $500 | ' | ' | ' |
Number of customer financing contracts | ' | ' | 2 | ' | ' | ' |
Financing contracts sold under ASC 860 | 47,059 | 46,058 | 132,148 | 115,554 | ' | ' |
Cash and cash equivalents | 284,872 | 516,058 | 284,872 | 516,058 | 264,908 | 505,228 |
Current receivables of finance contracts not yet sold | 62,676 | ' | 62,676 | ' | 63,236 | ' |
Unearned income | 1,730 | ' | 1,730 | ' | 5,894 | ' |
Finance contracts receivable sold and outstanding | 492,740 | ' | 492,740 | ' | ' | ' |
Deferred purchase price | 68,113 | ' | 68,113 | ' | 84,750 | ' |
Bad debt write-offs, percentage, maximum | ' | ' | 1.00% | ' | ' | ' |
Unsettled Financing Arrangements [Member] | ' | ' | ' | ' | ' | ' |
Customer Financing [Line Items] | ' | ' | ' | ' | ' | ' |
Cash and cash equivalents | 27,860 | ' | 27,860 | ' | 28,152 | ' |
The Bank of Tokyo-Mitsubishi UFJ, Ltd. [Member] | ' | ' | ' | ' | ' | ' |
Customer Financing [Line Items] | ' | ' | ' | ' | ' | ' |
Capacity under agreement | 500,000 | ' | 500,000 | ' | ' | ' |
Fifth Third Bank [Member] | ' | ' | ' | ' | ' | ' |
Customer Financing [Line Items] | ' | ' | ' | ' | ' | ' |
Capacity under agreement | $100,000 | ' | $100,000 | ' | ' | ' |
Minimum [Member] | The Bank of Tokyo-Mitsubishi UFJ, Ltd. [Member] | ' | ' | ' | ' | ' | ' |
Customer Financing [Line Items] | ' | ' | ' | ' | ' | ' |
Percentage of principal amount of financing contracts held as collateral | ' | ' | 9.00% | ' | ' | ' |
Minimum [Member] | Fifth Third Bank [Member] | ' | ' | ' | ' | ' | ' |
Customer Financing [Line Items] | ' | ' | ' | ' | ' | ' |
Percentage of principal amount of financing contracts held as collateral | ' | ' | 10.00% | ' | ' | ' |
Segment_Reporting_Additional_I
Segment Reporting - Additional Information (Detail) | 6 Months Ended |
Oct. 25, 2014 | |
Segment | |
Segment Reporting [Abstract] | ' |
Number of reportable segments | 3 |
Segment_Reporting_Information_
Segment Reporting - Information about Reportable Segments (Detail) (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, unless otherwise specified | Oct. 25, 2014 | Oct. 26, 2013 | Oct. 25, 2014 | Oct. 26, 2013 |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net sales | $1,103,325 | $998,834 | $2,162,854 | $1,878,959 |
Operating income | 91,221 | 75,223 | 175,975 | 156,504 |
Dental Supply [Member] | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net sales | 601,748 | 563,052 | 1,154,402 | 1,117,285 |
Operating income | 59,008 | 53,174 | 112,221 | 108,664 |
Veterinary Supply [Member] | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net sales | 376,472 | 308,120 | 762,774 | 507,803 |
Operating income | 14,336 | 12,151 | 28,323 | 21,198 |
Rehabilitation Supply [Member] | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net sales | 125,105 | 127,662 | 245,678 | 253,871 |
Operating income | $17,877 | $9,898 | $35,431 | $26,642 |
Segment_Reporting_Sales_Inform
Segment Reporting - Sales Information by Product (Detail) (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, unless otherwise specified | Oct. 25, 2014 | Oct. 26, 2013 | Oct. 25, 2014 | Oct. 26, 2013 |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Consolidated | $1,103,325 | $998,834 | $2,162,854 | $1,878,959 |
Consumable and printed products [Member] | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Consolidated | 790,840 | 714,643 | 1,587,617 | 1,324,592 |
Equipment and software [Member] | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Consolidated | 228,572 | 205,569 | 408,001 | 401,712 |
Other Products and Services [Member] | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Consolidated | $83,913 | $78,622 | $167,236 | $152,655 |
Recovered_Sheet5
Employee Stock Ownership Plan (ESOP) - Additional Information (Detail) (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, except Share data, unless otherwise specified | Oct. 25, 2014 | Oct. 26, 2013 | Oct. 25, 2014 | Oct. 26, 2013 |
Shareholders Equity [Line Items] | ' | ' | ' | ' |
Hours of service completed in order to be allocated shares of stock acquired by plan | ' | ' | '1000 hours | ' |
Number of unallocated shares held by ESOP | 2,736,969 | ' | 2,736,969 | ' |
ESOP compensation | $3,000 | $5,700 | $6,000 | $11,400 |
2002 note [Member] | ' | ' | ' | ' |
Shareholders Equity [Line Items] | ' | ' | ' | ' |
ESOP company loan | 12,612 | ' | 12,612 | ' |
2006 note [Member] | ' | ' | ' | ' |
Shareholders Equity [Line Items] | ' | ' | ' | ' |
ESOP company loan | $105,000 | ' | $105,000 | ' |