Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
Apr. 25, 2015 | Jun. 15, 2015 | Oct. 25, 2014 | |
Document And Entity Information [Abstract] | |||
Document Type | 10-K | ||
Amendment Flag | false | ||
Document Period End Date | Apr. 25, 2015 | ||
Document Fiscal Year Focus | 2,015 | ||
Document Fiscal Period Focus | FY | ||
Trading Symbol | PDCO | ||
Entity Registrant Name | PATTERSON COMPANIES, INC. | ||
Entity Central Index Key | 891,024 | ||
Current Fiscal Year End Date | --04-25 | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Current Reporting Status | Yes | ||
Entity Voluntary Filers | No | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Common Stock, Shares Outstanding | 103,220,959 | ||
Entity Public Float | $ 4,277,000,000 |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Apr. 25, 2015 | Apr. 26, 2014 |
Current assets: | ||
Cash and cash equivalents | $ 347,260 | $ 264,908 |
Short-term investments | 53,372 | 40,775 |
Receivables, net of allowance for doubtful accounts of $8,419 and $9,873 at April 25, 2015 and April 26, 2014, respectively | 644,139 | 607,580 |
Inventory | 456,687 | 436,463 |
Prepaid expenses and other current assets | 71,767 | 65,991 |
Total current assets | 1,573,225 | 1,415,717 |
Property and equipment, net | 226,805 | 204,939 |
Long-term receivables, net | 71,686 | 90,535 |
Goodwill | 837,099 | 844,433 |
Identifiable intangibles, net | 199,829 | 223,150 |
Other | 39,062 | 85,903 |
Total assets | 2,947,706 | 2,864,677 |
Current liabilities: | ||
Accounts payable | 349,635 | 342,056 |
Accrued payroll expense | 79,964 | 66,567 |
Other accrued liabilities | 148,086 | 134,840 |
Total current liabilities | 577,685 | 543,463 |
Long-term debt | 725,000 | 725,000 |
Deferred income taxes | 88,264 | 94,004 |
Other | 42,634 | 30,546 |
Total liabilities | 1,433,583 | 1,393,013 |
Stockholders' equity: | ||
Common stock, $.01 par value: authorized shares - 600,000; issued and outstanding shares - 103,278 and 103,965 at April 25, 2015 and April 26, 2014, respectively | 1,033 | 1,040 |
Additional paid-in capital | 21,026 | |
Accumulated other comprehensive income (loss) | (60,346) | 25,370 |
Retained earnings | 1,630,148 | 1,531,198 |
Unearned ESOP shares | (77,738) | (85,944) |
Total stockholders' equity | 1,514,123 | 1,471,664 |
Total liabilities and stockholders' equity | $ 2,947,706 | $ 2,864,677 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands | Apr. 25, 2015 | Apr. 26, 2014 |
Statement of Financial Position [Abstract] | ||
Receivables, allowance for doubtful accounts | $ 8,419 | $ 9,873 |
Common stock, par value | $ 0.01 | $ 0.01 |
Common stock, authorized shares | 600,000,000 | 600,000,000 |
Common stock, issued shares | 103,278,000 | 103,965,000 |
Common stock, outstanding shares | 103,278,000 | 103,965,000 |
CONSOLIDATED STATEMENTS OF INCO
CONSOLIDATED STATEMENTS OF INCOME AND OTHER COMPREHENSIVE INCOME - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | ||
Apr. 25, 2015 | Apr. 26, 2014 | Apr. 27, 2013 | |
Income Statement [Abstract] | |||
Net sales | $ 4,375,020 | $ 4,063,715 | $ 3,637,212 |
Cost of sales | 3,136,814 | 2,865,437 | 2,446,443 |
Gross profit | 1,238,206 | 1,198,278 | 1,190,769 |
Operating expenses | 864,779 | 852,522 | 836,314 |
Operating income | 373,427 | 345,756 | 354,455 |
Other income and expense: | |||
Other income, net | 2,937 | 2,869 | 3,059 |
Interest expense | (33,693) | (35,713) | (36,397) |
Income before taxes | 342,671 | 312,912 | 321,117 |
Income taxes | 119,410 | 112,300 | 110,845 |
Net income | $ 223,261 | $ 200,612 | $ 210,272 |
Earnings per share: | |||
Basic | $ 2.26 | $ 1.99 | $ 2.04 |
Diluted | $ 2.24 | $ 1.97 | $ 2.03 |
Weighted average shares: | |||
Basic | 98,989 | 100,727 | 103,030 |
Diluted | 99,694 | 101,643 | 103,807 |
Dividends declared per common share | $ 0.82 | $ 0.68 | $ 0.58 |
Comprehensive income | |||
Net income | $ 223,261 | $ 200,612 | $ 210,272 |
Foreign currency translation (loss)/gain | (73,271) | 6,059 | (7,132) |
Cash flow hedges, net of tax | (12,445) | (5,854) | (158) |
Comprehensive income | $ 137,545 | $ 200,817 | $ 202,982 |
CONSOLIDATED STATEMENTS OF CHAN
CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY - USD ($) shares in Thousands, $ in Thousands | Total | Common Stock [Member] | Additional Paid-in Capital [Member] | Accumulated Other Comprehensive Income/(Loss) [Member] | Retained Earnings [Member] | Unearned ESOP Shares [Member] |
Balance at Apr. 28, 2012 | $ 1,375,202 | $ 1,099 | $ 32,455 | $ 1,456,233 | $ (114,585) | |
Balance, Shares at Apr. 28, 2012 | 109,924 | |||||
Foreign currency translation | (7,132) | (7,132) | ||||
Cash flow hedges | (158) | (158) | ||||
Net income | 210,272 | 210,272 | ||||
Dividends declared | (57,384) | (57,384) | ||||
Common stock issued and related tax benefits | 21,325 | $ 9 | $ 21,316 | |||
Common stock issued and related tax benefits (in shares) | 870 | |||||
Repurchase of common stock | (181,756) | $ (52) | (35,941) | (145,763) | ||
Repurchase of common stock (in shares) | (5,224) | |||||
Stock based compensation | 14,625 | 14,625 | ||||
ESOP activity | 19,461 | 19,461 | ||||
Balance at Apr. 27, 2013 | 1,394,455 | $ 1,056 | 25,165 | 1,463,358 | (95,124) | |
Balance, Share at Apr. 27, 2013 | 105,570 | |||||
Foreign currency translation | 6,059 | 6,059 | ||||
Cash flow hedges | (5,854) | (5,854) | ||||
Net income | 200,612 | 200,612 | ||||
Dividends declared | (72,413) | (72,413) | ||||
Common stock issued and related tax benefits | 27,468 | $ 7 | 27,461 | |||
Common stock issued and related tax benefits (in shares) | 749 | |||||
Repurchase of common stock | (96,486) | $ (23) | (36,104) | (60,359) | ||
Repurchase of common stock (in shares) | (2,354) | |||||
Stock based compensation | 8,643 | 8,643 | ||||
ESOP activity | 9,180 | 9,180 | ||||
Balance at Apr. 26, 2014 | $ 1,471,664 | $ 1,040 | 25,370 | 1,531,198 | (85,944) | |
Balance, Share at Apr. 26, 2014 | 103,965 | 103,965 | ||||
Foreign currency translation | $ (73,271) | (73,271) | ||||
Cash flow hedges | (12,445) | (12,445) | ||||
Net income | 223,261 | 223,261 | ||||
Dividends declared | (82,531) | (82,531) | ||||
Common stock issued and related tax benefits | 11,336 | $ 5 | 11,331 | |||
Common stock issued and related tax benefits (in shares) | 507 | |||||
Repurchase of common stock | (47,539) | $ (12) | (5,747) | (41,780) | ||
Repurchase of common stock (in shares) | (1,194) | |||||
Stock based compensation | 15,442 | 15,442 | ||||
ESOP activity | 8,206 | 8,206 | ||||
Balance at Apr. 25, 2015 | $ 1,514,123 | $ 1,033 | $ 21,026 | $ (60,346) | $ 1,630,148 | $ (77,738) |
Balance, Share at Apr. 25, 2015 | 103,278 | 103,278 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 12 Months Ended | ||
Apr. 25, 2015 | Apr. 26, 2014 | Apr. 27, 2013 | |
Operating activities: | |||
Net income | $ 223,261 | $ 200,612 | $ 210,272 |
Adjustments to reconcile net income to net cash provided by operating activities: | |||
Depreciation | 26,895 | 27,113 | 25,720 |
Amortization | 24,435 | 22,873 | 20,282 |
Bad debt expense | 3,384 | 3,220 | 1,119 |
Non-cash employee compensation | 26,485 | 20,018 | 35,202 |
Excess tax benefits from stock-based compensation | (255) | (1,290) | (2,487) |
Non-cash charges related to medical divestitures | 13,842 | ||
Deferred income taxes | 5,702 | 7,765 | 7,049 |
Change in assets and liabilities net of acquired: | |||
Receivables | (38,023) | (50,756) | 17,226 |
Inventory | (22,654) | (36,019) | (39,096) |
Accounts payable | 6,769 | 12,345 | 41,347 |
Accrued liabilities | 41,344 | 14,125 | (21,767) |
Long term receivables | 814 | (5,108) | 27 |
Other changes from operating activities, net | (35,466) | (32,904) | 4,301 |
Net cash provided by operating activities | 262,691 | 195,836 | 299,195 |
Investing activities: | |||
Additions to property and equipment | (62,945) | (40,387) | (21,983) |
Acquisitions and equity investments, net of cash assumed | (10,515) | (145,815) | (14,650) |
Proceeds from sale | 46,369 | 6,546 | |
Purchase of investment | (543) | (99,672) | |
Other investing activities | 18,035 | (4,436) | 6,595 |
Net cash used in investing activities | (9,599) | (283,764) | (30,038) |
Financing activities: | |||
Dividends paid | (81,760) | (85,657) | (43,767) |
Repurchases of common stock | (47,539) | (96,486) | (179,525) |
ESOP activity | (188) | 435 | 1,576 |
Common stock issued, net | 7,300 | 20,217 | 13,131 |
Retirement of long term debt | (250,000) | (125,000) | |
Proceeds from issuance of long-term debt | 250,000 | ||
Settlement of swap | (29,003) | ||
Payment to revolver | (130,000) | (135,000) | |
Draw on revolver | 130,000 | 135,000 | |
Excess tax benefits from stock-based compensation | 255 | 1,290 | 2,487 |
Net cash used in financing activities | (150,935) | (160,201) | (331,098) |
Effect of exchange rate changes on cash | (19,805) | 7,809 | (6,612) |
Net increase (decrease) in cash and cash equivalents | 82,352 | (240,320) | (68,553) |
Cash and cash equivalents at beginning of period | 264,908 | 505,228 | 573,781 |
Cash and cash equivalents at end of period | 347,260 | 264,908 | 505,228 |
Supplemental disclosures: | |||
Income taxes paid | 110,909 | 108,374 | 124,146 |
Interest paid | $ 34,076 | $ 34,933 | 35,965 |
Repurchases of common stock with liability due to broker | $ 2,707 |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Apr. 25, 2015 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | 1. Summary of Significant Accounting Policies Description of Business Patterson Companies, Inc. (referred to herein as “Patterson” or in the first person notations “we,” “our,” and “us”) is a value-added distributor serving the North American dental supply, U.S. and U.K. veterinarian supply and the worldwide rehabilitation and assistive products supply market. Patterson Companies has three reportable segments: dental supply, veterinary supply and rehabilitation supply. Basis of Presentation The consolidated financial statements include the accounts of our wholly owned subsidiaries. Intercompany transactions and balances have been eliminated in consolidation. The respective assets of PDC Funding Company, LLC and PDC Funding Company II, LLC would be available first and foremost to satisfy the claims of their respective creditors. There are no known creditors of PDC Funding Company, LLC or PDC Funding Company II, LLC. Fiscal Year End We operate with a 52-53 week accounting convention with our fiscal year ending on the last Saturday in April. Fiscal years 2013, 2014 and 2015 ending April 27, 2013, April 26, 2014 and April 25, 2015, respectively, included 52 weeks. Fiscal year 2016 will end on April 30, 2016 and consist of 53 weeks. Use of Estimates in the Preparation of Financial Statements The preparation of financial statements in conformity with U.S. generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Reclassifications Certain prior year amounts have been reclassified to conform to the current year presentation. Cash and Cash Equivalents Cash equivalents consist primarily of investments in money market funds and government securities. The maturity of these securities at the time of purchase is 90 days or less. All cash and cash equivalents are classified as available-for-sale and carried at fair value, which approximates cost. Inventory Inventory consists of merchandise held for sale and is stated at the lower of cost or market. Cost is determined using the last-in, first-out (LIFO) method for all inventories, except for foreign inventories and manufactured inventories, which are valued using the first-in, first-out (FIFO) method. Inventories valued at LIFO represent 76% and 75% of total inventories at April 25, 2015 and April 26, 2014, respectively. The accumulated LIFO reserve was $76,474 at April 25, 2015 and $74,607 at April 26, 2014. We believe that inventory replacement cost exceeds the inventory balance by an amount approximating the LIFO reserve. Property and Equipment Property and equipment are stated at cost. Depreciation is calculated on the straight-line method over estimated useful lives of up to 39 years for buildings or the expected remaining life of purchased buildings, the term of the lease for leasehold improvements, 3 years for laptops, 5 years for computer hardware and software, and 5 to 10 years for office furniture and equipment. Goodwill and Other Indefinite-Lived Intangible Assets Goodwill represents the excess of cost over the fair value of identifiable net assets of businesses acquired. We have three reporting units as of April 25, 2015, which are the same as our reportable segments. Other indefinite-lived intangible assets include copyrights, trade names and trademarks. We evaluate goodwill at least annually using a qualitative assessment to determine whether it is more likely than not that the fair value of any reporting unit is less than its carrying amount. If we determine that the fair value of the reporting unit may be less than its carrying amount, we evaluate goodwill using a two-step impairment test. Otherwise, we conclude that no impairment is indicated and we do not perform the two-step impairment test. In fiscal 2015, we determined it was appropriate to perform a two-step impairment test. The first step of the goodwill impairment test compares the book value of a reporting unit, including goodwill, with its fair value, as determined primarily by its discounted cash flows. If the book value of a reporting unit exceeds its fair value, the second step of the impairment test is performed to determine the amount of goodwill impairment loss to be recorded. The determination of fair value involves uncertainties because it requires management to make assumptions and to apply judgment to estimate industry and economic factors and the profitability of future business strategies. Patterson conducts impairment testing based on current business strategy in light of present industry and economic conditions, as well as future expectations. Additionally, in assessing goodwill for impairment, the reasonableness of the implied control premium is considered based on market capitalizations and recent market transactions. Other indefinite-lived intangible assets are assessed for impairment by comparing the carrying value of an asset with its fair value. If the carrying value exceeds fair value, an impairment loss is recognized in an amount equal to the excess. The determination of fair value involves assumptions, including projected revenues and gross profit levels, as well as consideration of any factors that may indicate potential impairment. In the fourth quarter of fiscal 2015, management completed its annual goodwill and other indefinite-lived intangible asset impairment tests and determined there was no impairment and that none of our reporting units are at risk of failing step 1. Although we believe estimates and assumptions used in estimating cash flows and determining fair value are reasonable, making material changes to such estimates and assumptions could materially affect such impairment analyses and financial results, including an impairment charge that could be material. Long-Lived Assets Long-lived assets, including definite-lived intangible assets, are evaluated for impairment whenever events or changes in circumstances indicate that the carrying amount of the assets may not be recoverable through the estimated undiscounted future cash flows derived from such assets. Our definite-lived intangible assets primarily consist of an exclusive distribution agreement and customer lists. When impairment exists, the related assets are written down to fair value. No impairment was recognized in the periods presented. Financial Instruments We account for derivative financial instruments under the provisions of Accounting Standards Codification (ASC) Topic 815, “Derivatives and Hedging.” Our use of derivative financial instruments is generally limited to managing well-defined interest rate risks. Patterson does not use financial instruments or derivatives for any trading purposes. Revenue Recognition Revenues are generated from the sale of consumable products, equipment, software products and services, technical service parts and labor, freight and delivery charges, and other sources. Revenues are recognized when persuasive evidence of an arrangement exists, delivery has occurred or services have been rendered, the price is fixed or determinable, and there is reasonable assurance of collection of the sale. Estimates for returns, damaged goods, rebates, loyalty programs and other revenue allowances are made at the time the revenue is recognized based on the historical experience for such items. In addition to revenues generated from the distribution of consumable products under conventional arrangements (buy/sell agreements) where the full market value of the product is recorded as revenue, the veterinary segment may earn a small amount of commission income for services provided under agency agreements with certain pharmaceutical manufacturers. The services generally consist of detailing the product and taking the customer’s order. The agency agreement contrasts to a buy/sell agreement in that the veterinary segment does not purchase and handle the product or bill and collect from the customer in an agency relationship with a vendor. Consumable product sales are recorded upon delivery, except in those circumstances where terms of the sale are FOB shipping point. Commissions under agency agreements are recorded when the services are provided. Equipment and software product revenues are recognized upon delivery and, if necessary, installation. In those circumstances where terms of the sale are FOB shipping point, revenues are recognized when products are transferred to the shipping carrier. Revenue derived from post contract customer support for software is deferred and recognized ratably over the period in which the support is provided. Patterson provides financing for select equipment and software sales. Revenue is recorded at the present value of the finance contract, with discount, if any, and interest income recognized over the life of the finance contract as “other income”. See Note 6 for more information regarding customer financing. Other revenue, including freight and delivery charges and technical service parts and labor, is recognized when the related product revenue is recognized or when the product or services are provided to the customer. The receivables that result from the recognition of revenue are reported net of the related allowances discussed above. Patterson maintains a valuation allowance based upon the expected collectability of receivables held. Estimates are used to determine the valuation allowance and are based on several factors, including historical collection data, economic trends and credit worthiness of customers. Receivables are written off when we determine the amounts to be uncollectible, typically upon customer bankruptcy or non-response to continuous collection efforts. The portions of receivable amounts that are not expected to be collected during the next twelve months are classified as long-term. Patterson has a relatively large, dispersed customer base and no single customer accounts for more than 1% of consolidated net sales. In addition, the equipment sold to customers under finance contracts generally serves as collateral for the contract and the customer provides a personal guarantee as well. Net sales does not include sales tax as we are considered a pass-through conduit for collecting and remitting sales tax. Patterson Advantage Loyalty Program The Dental segment provides a point-based awards program to qualifying customers involving the issuance of “Patterson Advantage dollars” which can be used toward equipment and technology purchases. The program was initiated on January 1, 2009 and runs on a calendar year schedule. Patterson Advantage dollars earned during a program year expire one year after the end of the program year. The cost and corresponding liability associated with the program are recognized as contra-revenue in accordance with ASC Topic 605-50, “Revenue Recognition-Customer Payments and Incentives.” As of April 25, 2015, we believe we have sufficient experience with the program to reasonably estimate the amount of Patterson Advantage dollars that will not be redeemed and thus have recorded a liability for 87% of the maximum potential amount that could be redeemed. We use the redemption recognition method and we recognize the estimated value of unused Advantage dollars as a percentage of Patterson Advantage dollars earned. Breakage recognized was immaterial to all periods presented. Freight and Delivery Charges Freight and delivery charges are included in cost of sales in the consolidated statements of income. Advertising We expense all advertising and promotional costs as incurred, except for direct marketing expenses, which are expensed over the shorter of the life of the asset or one year. Total advertising and promotional expenses were $16,798, $18,263 and $19,721 for fiscal years 2015, 2014 and 2013, respectively. Deferred direct-marketing expenses included in prepaid and other current assets on the consolidated balance sheet as of April 25, 2015 and April 26, 2014 were $1,329 and $2,031, respectively. Income Taxes The liability method is used to account for income tax expense. Under this method, deferred tax assets and liabilities are determined based on differences between financial reporting and tax bases of assets and liabilities and are measured using the enacted tax rates and laws that will be in effect when the differences are expected to reverse. Valuation allowances are established for deferred tax assets if, after assessment of available positive and negative evidence, it is more likely than not that the deferred tax asset will not be fully realized. Employee Stock Ownership Plan (ESOP) Compensation expense related to our defined contribution ESOP is computed based on the shares allocated method. Self-insurance Patterson is self-insured for certain losses related to general liability, product liability, automobile, workers’ compensation and medical claims. We estimate our liabilities based upon an analysis of historical data and actuarial estimates. While current estimates are believed reasonable based on information currently available, actual results could differ and affect financial results due to changes in the amount or frequency of claims, medical cost inflation or other factors. Historically, actual results related to these types of claims have not varied significantly from estimated amounts. Stock-based Compensation We recognize stock-based compensation expense based on the grant-date fair value of awards estimated in accordance with ASC Topic 718, “Stock Compensation”. 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, net of tax. 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 $10,843, $0 and $35 for the fiscal years ended April 25, 2015, April 26, 2014 and April 27, 2013, respectively. Earnings Per Share The amount of basic earnings per share is computed by dividing net income by the weighted average number of outstanding common shares during the period. The amount of diluted earnings per share is computed by dividing net income by the weighted average number of outstanding common shares and common share equivalents, when dilutive, during the period. The following table sets forth the denominator for the computation of basic and diluted earnings per share. There were no material adjustments to the numerator. Fiscal Year Ended April 25, April 26, April 27, Denominator Denominator for basic earnings per share – weighted average shares 98,989 100,727 103,030 Effect of dilutive securities – stock options, restricted stock and stock purchase plans 705 916 777 Denominator for diluted earnings per share – adjusted weighted average shares 99,694 101,643 103,807 Potentially dilutive securities representing 147, 39 and 362 shares for fiscal years 2015, 2014 and 2013, respectively, were excluded from the calculation of diluted earnings per share because their effects were anti-dilutive. Recent Accounting Pronouncements In April 2015, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2015-03, Simplifying the Presentation of Debt Issuance Costs In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers |
Cash and Cash Equivalents
Cash and Cash Equivalents | 12 Months Ended |
Apr. 25, 2015 | |
Cash and Cash Equivalents [Abstract] | |
Cash and Cash Equivalents | 2. Cash and Cash Equivalents At April 25, 2015 and April 26, 2014, cash and cash equivalents consisted of the following: April 25, April 26, Cash on hand $ 256,691 $ 213,397 Money market funds 90,569 51,511 Total $ 347,260 $ 264,908 Cash on hand is generally in interest earning accounts. |
Goodwill and Other Intangible A
Goodwill and Other Intangible Assets | 12 Months Ended |
Apr. 25, 2015 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Other Intangible Assets | 3. Goodwill and Other Intangible Assets The changes in the carrying value of goodwill for each of our reportable segments for the fiscal year ended April 25, 2015 are as follows: Balance at Acquisition Other Balance at Dental supply $ 137,463 $ 3,097 $ (1,111 ) $ 139,449 Rehabilitation supply 545,007 — (7,832 ) 537,175 Veterinary supply 161,963 924 (2,412 ) 160,475 Total $ 844,433 $ 4,021 $ (11,355 ) $ 837,099 The increase in the acquisition activity column primarily reflects the purchase price allocation for the Dental segment acquisition of Holt Dental. The other activity column is comprised primarily of the impact from foreign currency translation. Other intangible assets acquired in the acquisitions in fiscal 2015 had a fair value of approximately $6,245 and a weighted average useful life of 7.7 years. Balances of other intangible assets excluding goodwill are as follows: April 25, April 26, 2014 Unamortized – indefinite lived: Copyrights, trade names and trademarks $ 76,464 $ 76,464 Amortized: Distribution agreement, customer lists and other 284,393 286,365 Less: Accumulated amortization (161,028 ) (139,679 ) Net amortized intangible assets 123,365 146,686 Total identifiable intangible assets, net $ 199,829 $ 223,150 In 2006, we extended our exclusive North American distribution agreement with Sirona Dental Systems GmbH (“Sirona”) for Sirona’s CEREC dental restorative system. We paid a $100,000 distribution fee to extend the agreement for a 10-year period that began in October 2007, which is included in identifiable intangibles, net in the consolidated balance sheet. The amortization of the distribution agreement fee is recorded over the expected life, with amortization based on estimates of the pattern in which the economic benefits of the fee are expected to be realized, consisting primarily of revenues generated from the sale of CEREC dental restorative systems. Amortization expense in any year may differ significantly from other years. In fiscal 2013, we expanded our exclusive distribution relationship with Sirona to add Sirona imaging products to our exclusive offerings, as well as add mechanisms to adjust the exclusivity term depending on performance. No additional monies were exchanged as part of this expanded relationship. This is not a “take-or-pay” contract. With respect to the amortized intangible assets, future amortization expense is expected to approximate $24,186, $23,498, $22,363, $20,624 and $8,590 for fiscal years 2016, 2017, 2018, 2019 and 2020, respectively. Actual amounts of amortization expense may differ from estimated amounts due to additional intangible asset acquisitions, actual revenues generated from the sale of CEREC dental restorative systems, changes in foreign currency exchange rates, impairment of intangible assets, accelerated amortization of intangible assets and other events. |
Acquisitions and Equity Investm
Acquisitions and Equity Investments | 12 Months Ended |
Apr. 25, 2015 | |
Business Combinations [Abstract] | |
Acquisitions and Equity Investments | 4. Acquisitions and Equity Investments We completed acquisitions during fiscal years 2015, 2014 and 2013. The operating results of each of these acquisitions are included in our consolidated statements of income from the date of each acquisition. Pro forma results of operations and details of the purchase price allocations have not been presented for the fiscal year 2015 acquisitions, as the effects of these business acquisitions were not material either individually or in the aggregate. In August 2013, we 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 U.K. Total cash consideration paid for NVS was approximately $142,693. Operating results for this acquisition are included in the Veterinary reporting segment. The acquisition contributed net sales of $419,340 to the segment during fiscal year 2014. A listing of acquisitions completed during the periods covered by these financial statements is presented below. We acquired 100% of all companies listed below: Entity Segment Fiscal 2015: Holt Dental Supply Dental supply C.A.P.L. Limited and Abbey Veterinary Services Veterinary supply Fiscal 2014: Mercer Mastery Dental supply National Veterinary Supply Veterinary supply Fiscal 2013: Iowa Dental Supply Dental supply Universal Vaporizer Support Veterinary supply |
Property and Equipment
Property and Equipment | 12 Months Ended |
Apr. 25, 2015 | |
Property, Plant and Equipment [Abstract] | |
Property and Equipment | 5. Property and Equipment Property and equipment consisted of the following items: April 25, April 26, 2014 Land $ 12,988 $ 14,925 Buildings 125,384 129,360 Leasehold improvements 19,458 18,295 Furniture and equipment 147,205 152,899 Computer hardware and software 122,439 109,580 Construction-in-progress (1) 51,851 18,110 479,325 443,169 Accumulated depreciation (252,520 ) (238,230 ) Property and equipment, net $ 226,805 $ 204,939 (1) Includes $43,601 and $12,959 of capitalized software as of April 25, 2015 and April 26, 2014, respectively. |
Customer Financing
Customer Financing | 12 Months Ended |
Apr. 25, 2015 | |
Text Block [Abstract] | |
Customer Financing | 6. 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 12% of the proceeds are held by the conduit as security against eventual performance of the portfolio. The capacity under the agreement at April 25, 2015 was $500,000. Patterson also maintains an agreement with Fifth Third Bank whereby the bank purchases customers’ financing contracts. Patterson has established another special purpose entity, 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 15% of the proceeds are held by the conduit as security against eventual performance of the portfolio. The capacity under the agreement at April 25, 2015 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 Included in cash and cash equivalents in the consolidated balance sheets are $29,863 and $28,152 as of April 25, 2015 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 $88,470, net of unearned income of $4,197, and $63,236, net of unearned income of $5,894, as of April 25, 2015 and April 26, 2014, respectively, of finance contracts not yet sold by Patterson. A total of $535,595 of finance contracts receivable sold under the agreements was outstanding at April 25, 2015. The deferred purchase price under the arrangements was $66,715 and $84,750 as of April 25, 2015 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. |
Long-Term Debt
Long-Term Debt | 12 Months Ended |
Apr. 25, 2015 | |
Debt Disclosure [Abstract] | |
Long-Term Debt | 7. Long-Term Debt Expected future minimum principal payments under our debt obligations are as follows: $150,000 in fiscal 2018, $60,000 in fiscal 2019 and $515,000 in years thereafter. In March 2008, Patterson issued fixed-rate senior notes with an aggregate principal amount of $450,000, consisting of (i) $50,000 4.63% senior notes, paid in fiscal 2013; (ii) $250,000 5.17% senior notes, paid in fiscal 2015; and (iii) $150,000 5.75% senior notes, due fiscal 2018. In December 2011, we issued fixed-rate senior notes with an aggregate principal amount of $325,000, consisting of (i) $60,000 2.95% senior notes, due fiscal 2019; (ii) $165,000 3.59% senior notes, due fiscal 2022; and (iii) $100,000 3.74% senior notes, due fiscal 2024. A portion of the proceeds from the issuance of debt in December 2011 was used to repurchase shares of our common stock and to repay borrowings under our revolving line of credit. The remaining proceeds are intended to be used for general corporate purposes. Debt issuance costs associated with the issuance of debt in March 2008 of $1,800 and in December 2011 of $1,800 are being amortized to interest expense over the life of the related debt. In addition, in March 2008 we entered into two forward starting interest rate swap agreements, each with notional amounts of $100,000 and accounted for as cash flow hedges, to hedge interest rate fluctuations in anticipation of the issuance of the 5.17% senior notes due fiscal 2015 and the 5.75% senior notes due fiscal 2018, respectively. Upon issuance of the hedged debt, Patterson settled the forward starting interest rate swap agreements and recorded a $1,000 increase, net of income taxes, to other comprehensive income, which is being amortized against interest expense over the life of the related debt. The pre-tax amount reclassified into earnings during fiscal years 2015, 2014 and 2013 was $185, $200 and $200, respectively. The pre-tax amount expected to be reclassified into earnings during fiscal 2016 is $91. 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 loan for $250,000 and a term of ten years. This note was repaid on March 25, 2015 and replaced with new $250,000 3.48% senior notes due March 24, 2025. A cash payment of $29,003 was made in March 2015 to settle the interest rate swap. This amount is recorded in other comprehensive income (loss), net of tax, and will be recognized as interest expense over the ten-year life of the new notes. The pre-tax amount reclassified into earnings during fiscal year 2015 was $242. The pre-tax amount expected to be reclassified into earnings during fiscal 2016 is $2,900. Patterson has available a $300,000 revolving credit facility through December 2016. Interest on borrowings is based on LIBOR plus a spread which can range from 1.125% to 1.875%. This spread as well as a commitment fee on the unused portion of the facility are based on our leverage ratio, as defined in the agreement. There were no outstanding borrowings under the facility at April 25, 2015 or April 26, 2014. The debt agreements contain various financial covenants including certain leverage and interest coverage ratios as defined in the agreements. Patterson met the financial and nonfinancial covenants under the debt agreements as of April 25, 2015. Patterson’s debt consists of the following: April 25, April 26, 5.17% senior notes due fiscal 2015 $ — $ 250,000 5.75% senior notes due fiscal 2018 150,000 150,000 2.95% senior notes due fiscal 2019 60,000 60,000 3.59% senior notes due fiscal 2022 165,000 165,000 3.74% senior notes due fiscal 2024 100,000 100,000 3.48% senior notes due fiscal 2025 250,000 — Total debt 725,000 725,000 Less: current debt obligations — — Long-term debt $ 725,000 $ 725,000 |
Derivative Financial Instrument
Derivative Financial Instruments | 12 Months Ended |
Apr. 25, 2015 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Financial Instruments | 8. 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 April 25, 2015, PDC Funding had purchased an interest rate cap from a bank with a notional amount of $500,000 and a maturity date of November 2022. Patterson sold an identical interest rate cap to the same bank. Similar to the above agreements, PDC Funding II and Patterson 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 loan for $250,000 and a term of ten years. This note was repaid on March 25, 2015 and replaced with new $250,000 3.48% senior notes due March 24, 2025. A cash payment of $29,003 was made in March 2015 to settle the interest rate swap. This amount will be recognized as interest expense over the ten-year life of the new notes. The following presents the fair value of interest rate contracts included in the consolidated balance sheets: Derivative type Classification April 25, April 26, Assets: Interest rate contracts Other noncurrent assets $ 1,255 $ 1,716 Liabilities: Interest rate contracts Other noncurrent liabilities 1,255 1,720 Interest rate swap Other current liabilities — 5,660 The following presents the effect of interest rate contracts and interest rate swaps on the consolidated statements of income and other comprehensive income: Fiscal Year Ended Derivative type Location of gain/(loss) recognized April 25, April 26, April 27, Interest rate contracts Other income, net $ — $ 4 $ 78 Interest rate swap Other comprehensive income (12,445 ) (5,660 ) — We recorded $56 as interest expense in fiscal 2015 related to interest rate swaps. We recorded no ineffectiveness during fiscal 2015, 2014 or 2013. |
Fair Value Measurements
Fair Value Measurements | 12 Months Ended |
Apr. 25, 2015 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | 9. 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 Our hierarchy for assets and liabilities measured at fair value on a recurring basis as of April 25, 2015 is as follows: Total Quoted Significant Significant Assets: Cash equivalents $ 90,569 $ 90,569 $ — $ — Derivative instruments 1,255 — 1,255 — Total assets $ 91,824 $ 90,569 $ 1,255 $ — Liabilities: Derivative instruments $ 1,255 $ — $ 1,255 $ — Our hierarchy for assets and liabilities measured at fair value on a recurring basis as of April 26, 2014 is as follows: Total Quoted Significant Observable Significant (Level 3) 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 Derivative instruments Certain assets are measured at fair value on a nonrecurring 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 in fiscal years 2015, 2014 or 2013. Patterson’s long-term debt is not measured at fair value in the consolidated balance sheets. The estimated fair value of our debt as of April 25, 2015 and April 26, 2014 was $746,685 and $742,619, respectively, as compared to a carrying value of $725,000 at both April 25, 2015 and April 26, 2014. 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 April 25, 2015 and April 26, 2014. |
Securities
Securities | 12 Months Ended |
Apr. 25, 2015 | |
Investments, Debt and Equity Securities [Abstract] | |
Securities | 10. Securities On October 25, 2013, we invested in three time deposits with total principal of $110,000 Canadian. 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 remaining time deposits with a principal value of $65,000 Canadian were classified as current assets at April 25, 2015 with a U.S. dollar equivalent value of $53,372. |
Lease Commitments
Lease Commitments | 12 Months Ended |
Apr. 25, 2015 | |
Commitments and Contingencies Disclosure [Abstract] | |
Lease Commitments | 11. Lease Commitments Patterson leases facilities for its branch office locations, a few small distribution facilities, and certain equipment. These leases are accounted for as operating leases. Future minimum rental payments under non-cancelable operating leases are as follows at April 25, 2015: 2016 $ 21,133 2017 16,052 2018 12,784 2019 8,953 2020 6,881 Thereafter 7,670 Total $ 73,473 Rent expense was $21,112, $21,290 and $22,016 for the years ended April 25, 2015, April 26, 2014 and April 27, 2013, respectively. |
Income Taxes
Income Taxes | 12 Months Ended |
Apr. 25, 2015 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | 12. Income Taxes Significant components of the provision for income taxes are as follows: Fiscal Year Ended April 25, April 26, 2014 April 27, 2013 Current: Federal $ 91,264 $ 84,353 $ 80,290 Foreign 11,802 9,667 13,471 State 10,642 10,515 10,035 Total current 113,708 104,535 103,796 Deferred: Federal 2,148 7,501 6,667 Foreign 3,542 (240 ) (963 ) State 12 504 1,345 Total deferred 5,702 7,765 7,049 Provision for income taxes $ 119,410 $ 112,300 $ 110,845 Deferred tax assets and liabilities are included in prepaid expenses and other current assets and in other non-current liabilities on the consolidated balance sheets. Significant components of Patterson’s deferred tax assets (liabilities) as of April 25, 2015 and April 26, 2014 are as follows: April 25, April 26, Deferred current income tax asset (liability): Capital accumulation plan $ 5,812 $ 5,893 Inventory related items 5,974 5,512 Bad debt allowance 1,548 1,518 LIFO reserve (18,179 ) (16,279 ) Other 13,987 13,447 Deferred net current income tax asset 9,142 10,091 Deferred long-term income tax (liability) asset: Amortizable intangibles (25,374 ) (26,590 ) Goodwill (76,300 ) (69,613 ) Property, plant, equipment (4,696 ) (4,744 ) Stock based compensation expense 9,129 8,130 Net operating loss carryforwards 5,661 6,848 Interest rate swap 10,843 — Other (3,087 ) (4,276 ) (83,824 ) (90,245 ) Valuation allowance (4,440 ) (3,759 ) Deferred net long-term income tax liability (88,264 ) (94,004 ) Net deferred income tax liability $ (79,122 ) $ (83,913 ) At April 25, 2015, we had foreign net operating loss carryforwards (“NOLs”) of $25,825, the majority of which are attributable to companies outside the U.S. that were acquired in prior years. A valuation allowance has been recorded for a portion of the $5,661 of deferred tax asset resulting from these NOLs because we believe that it is more likely than not that the losses will not be fully utilized due to uncertainties relating to future taxable income from the acquired companies. No provision has been made for U.S. federal income taxes on certain undistributed earnings of foreign subsidiaries that we intend to permanently invest or that may be remitted substantially tax-free. The total undistributed earnings that would be subject to federal income tax if remitted under existing law are approximately $269,299 as of April 25, 2015. Determination of the unrecognized deferred tax liability related to these earnings is not practicable because of the complexities with its hypothetical calculation. If a future distribution of these earnings is made, we will be subject to U.S. taxes and withholding taxes payable to various foreign governments. A credit for foreign taxes already paid would be available to reduce the U.S. tax liability. Income tax expense varies from the amount computed using the U.S. statutory rate. The reasons for this difference and the related tax effects are shown below: Fiscal Year Ended April 25, April 26, April 27, Tax at U.S. statutory rate $ 119,935 $ 109,519 $ 112,391 State tax provision, net of federal benefit 7,758 7,768 8,322 Effect of foreign taxes (1,506 ) 461 (4,603 ) Permanent differences (5,549 ) (4,843 ) (3,439 ) Other (1,228 ) (605 ) (1,826 ) $ 119,410 $ 112,300 $ 110,845 We have accounted for the uncertainty in income taxes recognized in the financial statements in accordance with ASC Topic 740, “Income Taxes”. This standard clarifies the separate identification and reporting of estimated amounts that could be assessed upon audit. The potential assessments are considered unrecognized tax benefits, because, if it is ultimately determined they are unnecessary, the reversal of these previously recorded amounts will result in a beneficial impact to our financial statements. As of April 25, 2015 and April 26, 2014, Patterson’s gross unrecognized tax benefits were $18,987 and $19,687, respectively. If determined to be unnecessary, these amounts (net of deferred tax assets of $4,731 and $5,003, respectively, related to the tax deductibility of the gross liabilities) would decrease our effective tax rate. The gross unrecognized tax benefits are included in other long-term liabilities on the consolidated balance sheet. A summary of the changes in the gross amounts of unrecognized tax benefits for the years ended April 25, 2015 and April 26, 2014 are shown below: April 25, April 26, Balance at beginning of period $ 19,687 $ 19,155 Additions for tax positions related to the current year 2,995 2,801 Additions for tax positions of prior years 57 1,372 Reductions for tax positions of prior years (551 ) (893 ) Statute expirations (3,201 ) (2,655 ) Settlements — (93 ) Balance at end of period $ 18,987 $ 19,687 We also recognize both interest and penalties with respect to unrecognized tax benefits as a component of income tax expense. As of April 25, 2015 and April 26, 2014, we had recorded $1,925 and $2,124, respectively, for interest and penalties. These amounts are also included in other long-term liabilities on the consolidated balance sheet. These amounts, net of related deferred tax assets, if determined to be unnecessary, would decrease our effective tax rate. During the year ended April 25, 2015, we recorded as part of tax expense $448 related to an increase in our estimated liability for interest and penalties. Patterson files income tax returns, including returns for our subsidiaries, with federal, state, local and foreign jurisdictions. The Internal Revenue Service (“IRS”) is currently auditing our fiscal 2013 tax return and has either examined or waived examination for all periods up to and including our fiscal year ended April 30, 2011. Periodically, state, local and foreign income tax returns are examined by various taxing authorities. We do not believe that the outcome of these various examinations would have a material adverse impact on our financial statements. |
Segment and Geographic Data
Segment and Geographic Data | 12 Months Ended |
Apr. 25, 2015 | |
Segment Reporting [Abstract] | |
Segment and Geographic Data | 13. Segment and Geographic Data Patterson 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 U.S. and U.K. 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 cost to operate the distribution centers are allocated to the operating units based on the through-put of the unit. The following table presents information about Patterson’s reportable segments: Fiscal Year Ended April 25, April 26, April 27, Net sales Dental supply $ 2,454,295 $ 2,382,096 $ 2,379,970 Rehabilitation supply 464,155 478,574 501,997 Veterinary supply 1,456,570 1,203,045 755,245 Consolidated net sales $ 4,375,020 $ 4,063,715 $ 3,637,212 Operating income Dental supply $ 249,575 $ 249,138 $ 247,747 Rehabilitation supply 67,182 46,763 65,027 Veterinary supply 56,670 49,855 41,681 Consolidated operating income $ 373,427 $ 345,756 $ 354,455 Depreciation and amortization Dental supply $ 35,662 $ 35,209 $ 34,953 Rehabilitation supply 6,807 7,540 7,683 Veterinary supply 8,861 7,237 3,366 Consolidated depreciation and amortization $ 51,330 $ 49,986 $ 46,002 April 25, April 26, Total assets Dental supply $ 1,500,736 $ 1,342,333 Rehabilitation supply 815,526 876,211 Veterinary supply 631,444 646,133 Consolidated total assets $ 2,947,706 $ 2,864,677 The following table presents sales information by product for Patterson and its reportable segments: Fiscal Year Ended April 25, April 26, April 27, Consolidated Consumable and printed products 1 $ 3,083,113 $ 2,810,491 $ 2,377,635 Equipment and software 1 958,067 940,088 959,539 Other 333,840 313,136 300,038 Total $ 4,375,020 $ 4,063,715 $ 3,637,212 Dental supply Consumable and printed products 1 $ 1,355,982 $ 1,323,378 $ 1,307,450 Equipment and software 1 818,342 795,132 809,652 Other 279,971 263,586 262,868 Total $ 2,454,295 $ 2,382,096 $ 2,379,970 Rehabilitation supply Consumable and printed products $ 346,704 $ 352,181 $ 361,164 Equipment and software 93,054 100,936 114,818 Other 24,397 25,457 26,015 Total $ 464,155 $ 478,574 $ 501,997 Veterinary supply Consumable and printed products $ 1,380,427 $ 1,134,932 $ 709,021 Equipment and software 46,671 44,020 35,069 Other 29,472 24,093 11,155 Total $ 1,456,570 $ 1,203,045 $ 755,245 1 Certain products were reclassified from equipment to consumables in the current and prior periods. The following table presents information about Patterson by geographic area. No individual country, except for the U.S. and the U.K., generated sales greater than 10% of consolidated net sales. There were no material sales between geographic areas. Fiscal Year Ended April 25, April 26, April 27, Net sales United States $ 3,368,828 $ 3,265,939 $ 3,211,979 United Kingdom 727,741 512,040 100,150 International 278,451 285,736 325,083 Total $ 4,375,020 $ 4,063,715 $ 3,637,212 Income before tax United States $ 294,530 $ 289,037 $ 273,037 International 48,141 23,875 48,080 Total $ 342,671 $ 312,912 $ 321,117 April 25, April 26, Property and equipment, net United States $ 197,484 $ 164,960 United Kingdom 15,412 20,434 International 13,909 19,545 Total $ 226,805 $ 204,939 |
Stockholders' Equity
Stockholders' Equity | 12 Months Ended |
Apr. 25, 2015 | |
Equity [Abstract] | |
Stockholders' Equity | 14. Stockholders’ Equity Dividends The following table presents our declared and paid cash dividends per share on our common stock for the past three years. The dividend declared in the fourth quarter of fiscal 2013 was paid early in the subsequent quarter; all other dividends were declared and paid in the same period. Patterson expects to continue paying a quarterly cash dividend into the foreseeable future. Quarter Fiscal year 1 2 3 4 2015 $ 0.20 $ 0.20 $ 0.20 $ 0.22 2014 0.16 0.16 0.16 0.20 2013 0.14 0.14 0.14 0.16 Share Repurchases During fiscal 2015, we repurchased and retired 1,194 shares of our common stock for $47,539, or an average of $39.81 per share. During fiscal 2014, we repurchased and retired 2,354 shares of our common stock for $96,486, or an average of $40.99 per share. During fiscal 2013, we repurchased and retired 5,224 shares of our common stock for $181,756, or an average of $34.79 per share. In December 2007, Patterson’s Board of Directors expanded a share repurchase program to allow for the purchase of up to 25,000 shares of common stock in open market transactions. As of March 2011, approximately 20,500 shares had been repurchased under this authorization. At that time, the Board of Directors cancelled and replaced the existing share repurchase program with a new authorization to repurchase an additional 25,000 share of common stock. This program was due to expire on March 15, 2016. On March 19, 2013, Patterson’s Board of Directors approved a new share repurchase plan that replaced the existing plan. Under the current plan, up to 25,000 shares may be repurchased in open market transactions through March 19, 2018. As of April 25, 2015, 20,852 shares remain available under the current repurchase authorization. Employee Stock Ownership Plan (ESOP) During 1990, Patterson’s Board of Directors adopted a leveraged ESOP. In fiscal 1991, under the provisions of the plan and related financing arrangements, Patterson loaned the ESOP $22,000 (the “1990 note”) for the purpose of acquiring its then outstanding preferred stock, which was subsequently converted to common stock. The Board of Directors determines the contribution from the Company to the ESOP annually. The contribution is used to retire a portion of the debt, which triggers a release of shares that are then allocated to the employee participants. Shares of stock acquired by the plan are allocated to each participant who has completed 1,000 hours of service during the plan year. In fiscal 2011, the final payment on the 1990 note was made and all remaining shares were released for allocation to participants. In fiscal 2002, Patterson’s ESOP and an ESOP sponsored by the Thompson Dental Company (“Thompson”) were used to facilitate the acquisition and merger of Thompson into Patterson. The net result of this transaction was an additional loan of $12,612 being made to the ESOP and the ESOP acquiring 666 shares of common stock. These shares are accounted for under ASC 718-40 and accordingly these shares are not considered outstanding for the computation of earnings per share until the shares are committed for release to the participants. When the shares are committed for release and allocated to the participants, the expense to Patterson is determined based on current fair value. The loan bears interest at current rates but principal did not begin to amortize until fiscal 2012. Beginning in fiscal 2012 and through fiscal 2020, an annual payment of $200 plus interest is due and in fiscal 2020, a final payment of any outstanding principal and interest balance is due. Prepayments of principal can be made at any time without penalty. Of the 666 shares issued in the transaction, 98 were previously allocated to Thompson employees. The remaining 568 shares began to be allocated in fiscal 2004 as interest was paid on the loan. During fiscal 2015, 2014 and 2013, shares secured by the Thompson note with an aggregate fair value of $393, $373 and $363, respectively, were committed for release and allocated to ESOP participants. On September 11, 2006, we entered into a third loan agreement with the ESOP and loaned $105,000 (the “2006 note”) for the sole purpose of enabling the ESOP to purchase shares of our common stock. The ESOP purchased 3,160 shares with the proceeds from the 2006 note. These shares are also accounted for under ASC 718-40. Interest on the unpaid principal balance accrues at a rate equal to six-month LIBOR, with the rate resetting semi-annually. Interest payments were not required during the period from and including September 11, 2006 through April 30, 2010. On April 30, 2010, accrued and unpaid interest was added to the outstanding principal balance under the note, with interest thereafter accruing on the increased principal amount. Unpaid interest accruing after April 30, 2010 is due and payable on each successive April 30 occurring through September 10, 2026. No principal payments are due until September 10, 2026; however, prepayments can be made without penalty. During fiscal 2015, 2014 and 2013, shares secured by the 2006 note with aggregate fair values of $10,650, $10,959 and $20,214, respectively, were committed for release and allocated to ESOP participants. In fiscal 2012, Patterson contributed $23,639 to the ESOP, which then purchased 844 shares for allocation to the participants. No shares secured by the 2006 note were released prior to fiscal 2011. At April 25, 2015, a total of 12,798 shares of common stock that have been allocated to participants remained in the ESOP and had a fair market value of $616,760. Related to the shares from the Thompson transaction, committed-to-be-released shares were 9 and suspense shares were 445. Finally, with respect to the 2006 note, committed-to-be-released shares were 241 and suspense shares were 2,042. We anticipate the allocation of the remaining suspense, or unearned, shares to occur over a period of approximately 5 to 10 years. As of April 25, 2015, the fair value of all unearned shares held by the ESOP was approximately $119,848. We will recognize an income tax deduction as the unearned ESOP shares are released. Such deductions will be limited to the ESOP’s original cost to acquire the shares. Dividends on allocated shares are passed through to the ESOP participants. Dividends on unallocated shares are used by the ESOP to make debt service payments on the notes due to Patterson. |
Stock-based Compensation
Stock-based Compensation | 12 Months Ended |
Apr. 25, 2015 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Stock-based Compensation | 15. Stock-based Compensation The consolidated statements of income for fiscal years 2015, 2014 and 2013 include pre-tax (after-tax) stock-based compensation expense of $15,442 ($10,167), $8,686 ($5,896) and $14,625 ($9,452), respectively, recorded in accordance with the provisions of ASC Topic 718, “Stock Compensation”. All pre-tax expense is included in operating expenses within the consolidated statements of income. The consolidated statement of cash flows presents the pre-tax stock-based compensation expense as an adjustment to reconcile net income to net cash provided by operating activities. In addition, benefits associated with tax deductions in excess of recognized compensation expense are presented as a cash inflow from financing activities. For fiscal years 2015, 2014 and 2013, these excess benefits totaled $255, $1,290 and $2,487, respectively. As of April 25, 2015, the total compensation cost, before income taxes, related to non-vested awards yet to be recognized was $30,008, and it is expected to be recognized over a weighted average period of approximately 2.0 years. Description of General Methods and Assumptions Used to Estimate Fair Value The following describes certain methods and assumptions used to estimate the fair value of stock-based compensation awards. Further information is presented below within this Note that may be unique to a particular award or group of awards. Expected dividend yield – Patterson’s initial quarterly dividend occurred in the fourth quarter of fiscal 2010. Accordingly, the expected dividend yield used had been 0% for awards issued prior to that time. For awards issued since, Patterson has included an expected dividend yield based on estimates as of the grant date of awards. Expected stock price volatility – We have considered historical volatility trends, implied future volatility based on certain traded options and other factors. Risk-free interest rate – We base the risk-free interest rate on the U.S. Treasury yield curve in effect at the grant date with similar terms to the expected term of the award. Expected term of stock options and restricted stock – We estimate the expected term, or life, of awards based on several factors, including grantee types, vesting schedules, contractual terms and various factors surrounding exercise behavior of different groups. Director and Employee Stock Option Plan In September 2002, our shareholders voted to approve the 2002 Stock Option Plan. A total of 6,000 shares of common stock were reserved for issuance under the plan. In September 2004, our shareholders voted to approve a restatement of such plan and renamed it the “Patterson Companies, Inc. Equity Incentive Plan” (“Equity Incentive Plan”). Although this restatement did not change the number of shares reserved for issuance, it expanded the types of awards issuable thereunder. In particular, the Equity Incentive Plan authorizes various award types to be issued under the plan, including stock options, restricted stock and restricted stock units, stock bonuses, cash bonuses, stock appreciation rights, performance awards and dividend equivalents. Awards may have a term no longer than ten years and vesting terms are determined by the compensation committee of the Board of Directors. The minimum restriction period for restricted stock and restricted stock units is three years, or one year in the case of performance-based awards. In September 2007, our shareholders approved a plan amendment that caused non-employee directors to become a class of persons eligible to receive awards under the Equity Incentive Plan. In September 2009, our shareholders approved a plan amendment that removed the 2,000 shares limit on the number of shares that may be issued under the Equity Incentive Plan pursuant to awards of restricted stock, restricted stock units or stock bonuses. In September 2012, our shareholders approved a plan amendment that extended the duration of the Equity Incentive Plan to June 12, 2022. At April 25, 2015, there were 2,882 shares available for awards under the Equity Incentive Plan. Prior to fiscal 2006, only stock option awards had been granted under the Equity Incentive Plan. During fiscal years 2015, 2014 and 2013, expense recognized related to stock options was $451, $768 and $1,175, respectively. The fair value of stock options granted was estimated as of the grant date using a Black-Scholes option-pricing model with the following assumptions: Fiscal Year Ended April 25, April 26, April 27, Expected dividend yield 2.0 % 1.8 % 1.6 % Expected stock price volatility 26.3 % 30.0 % 30.6 % Risk-free interest rate 2.1 % 1.5 % 1.4 % Expected life of options (years) 7.0 7.1 7.5 The following is a summary of all stock options: Number Weighted- Intrinsic Balance as of April 28, 2012 986 $ 31.45 Granted 56 34.10 Exercised (290 ) 22.49 Canceled (31 ) 33.79 Balance as of April 27, 2013 721 35.03 Granted 57 39.33 Exercised (345 ) 35.73 Canceled (44 ) 33.11 Balance as of April 26, 2014 389 35.29 Granted 74 39.64 Exercised (49 ) 34.73 Canceled (76 ) 35.81 Balance as of April 25, 2015 338 $ 36.22 $ 4,081 Vested or expected to vest as of April 25, 2015 292 $ 36.36 $ 3,491 Exercisable as of April 25, 2015 108 $ 38.02 $ 1,131 The weighted average fair values per share of options granted during fiscal years 2015, 2014 and 2013 were $9.78, $11.02 and $10.15, respectively. The weighted average remaining contractual lives of options outstanding and options exercisable as of April 25, 2015 were 5.4 and 2.5 years, respectively. We settle stock option exercises with newly issued common shares. Related to stock options exercised, the intrinsic value, cash received and tax benefits realized were $290, $1,710 and $286, respectively, in fiscal 2015; $1,722, $12,309 and $1,273, respectively, in fiscal 2014; and $3,397, $6,518 and $641, respectively, in fiscal 2013. Restricted Stock and Performance Unit Awards In fiscal 2006, we began to issue restricted stock and performance unit awards under the Equity Incentive Plan. The grant date fair value is based on the closing stock price on the day of the grant. Restricted stock awards to employees generally vest over a five, seven or nine-year period and are subject to forfeiture provisions. Certain restricted stock awards, which are held by management, are subject to accelerated vesting provisions beginning three years after the grant date, based on certain operating goals. Restricted stock awards are also granted to non-employee directors on the date of each annual meeting of shareholders. These awards vest over three years. The performance unit awards, issued primarily to executive management, are earned at the end of a three-year period if certain operating goals are met, and are settled in an equivalent number of common shares or in cash as determined by the compensation committee of the Board of Directors. The satisfaction of operating goals is not finally determined until the end of a three-year period. Accordingly, Patterson recognizes expense related to performance unit awards over the requisite service period using the straight-line method based on the outcome that is probable. During fiscal years 2015, 2014 and 2013, expense recognized related to restricted stock and performance unit awards was $11,204, $4,793 and $10,255, respectively. The total fair value of restricted stock awards that vested in fiscal 2015, 2014 and 2013 was $8,474, $6,831 and $6,923, respectively. Patterson granted performance units in fiscal 2015 and 2014 that can be earned at the end of fiscal 2017 and 2016, respectively, subject to the achievement of certain financial objectives. The following is a summary of all non-vested restricted stock awards and performance unit awards: Restricted Stock Awards Shares Weighted- Grant Date Fair Value Outstanding at April 28, 2012 1,162 $ 30.92 Granted 314 34.10 Vested (192 ) 35.62 Forfeitures (127 ) 30.98 Outstanding at April 27, 2013 1,157 31.82 Granted 283 38.02 Vested (174 ) 38.76 Forfeitures (43 ) 31.91 Outstanding at April 26, 2014 1,223 33.02 Granted 271 39.87 Vested (207 ) 34.52 Forfeitures (119 ) 32.83 Outstanding at April 25, 2015 1,168 $ 34.39 Performance Unit Awards Shares Weighted- Outstanding at April 28, 2012 96 $ 35.41 Granted 130 34.09 Forfeitures and cancellations (21 ) 34.09 Outstanding at April 27, 2013 205 34.09 Granted 124 38.05 Forfeitures and cancellations (2 ) 34.75 Outstanding at April 26, 2014 327 35.59 Granted 133 39.72 Vested (9 ) 35.22 Forfeitures and cancellations (124 ) 35.72 Outstanding at April 25, 2015 327 $ 37.57 Employee Stock Purchase Plan In June 1992, we adopted an Employee Stock Purchase Plan (the “Stock Purchase Plan”). A total of 4,750 shares of common stock were reserved for issuance under the Stock Purchase Plan. In June 2012, our Board of Directors approved to increase the number of shares available to 6,750. The Stock Purchase Plan, which is intended to qualify under Section 423 of the Internal Revenue Code, is administered by the Board of Directors or by a committee appointed by the Board of Directors and follows a calendar plan year. Employees are eligible to participate after six months of employment, if they are employed for at least 20 hours per week and more than five months per year. The Stock Purchase Plan permits eligible employees to purchase common stock through payroll deductions, which may not exceed 10 percent of an employee’s compensation, at 85% of the lower of the fair market value of the common stock on the offering date or at the end of each three-month period following the offering date during the applicable offering period. Employees may end their participation in the offering at any time during the offering period, and participation ends automatically on termination of employment. At April 25, 2015, there were 1,500 shares available for purchase under the Stock Purchase Plan. The Stock Purchase Plan includes a look-back option, and, accordingly, there are several option elements for which the fair value is estimated on the grant date using the Black-Scholes option-pricing model. Total expense recognized related to the employee stock purchase plan was $2,048, $1,838 and $1,816 during fiscal years 2015, 2014 and 2013, respectively. The following table summarizes the weighted-average assumptions relating to the Stock Purchase Plan: Fiscal Year Ended April 25, April 26, April 27, Expected dividend yield 1.6 % 1.6 % 1.6 % Expected stock price volatility 31.0 % 31.0 % 31.0 % Risk-free interest rate 0.1 % 0.1 % 0.2 % Expected life of options (years) 0.5 0.5 0.5 Capital Accumulation Plan (CAP) In 1996, we adopted an employee CAP. A total of 6,000 shares of common stock are reserved for issuance under the CAP. Key employees of Patterson or its subsidiaries are eligible to participate by purchasing common stock through payroll deductions, which must be between 5% and 25% of an employee’ compensation, at 75% of the price of the common stock at the beginning of or the end of the calendar year, whichever is lower. The shares issued are restricted stock and are held in the custody of Patterson until the restrictions lapse. The restriction period is three years from the beginning of the plan year, but restricted shares are subject to forfeiture provisions. At April 25, 2015, 2,053 shares were available for purchase under the CAP. Based on the provisions of the CAP, there are option elements for which the fair value is estimated on the grant date using the Black-Scholes option-pricing model. Total expense recognized related to the CAP was $1,739, $1,287 and $1,379 during fiscal years 2015, 2014 and 2013, respectively. The following table summarizes the weighted-average assumptions relating to the CAP: Fiscal Year Ended April 25, April 26, April 27, Expected dividend yield 1.6 % 1.6 % 1.6 % Expected stock price volatility 31.0 % 31.0 % 31.0 % Risk-free interest rate 0.3 % 0.3 % 0.3 % Expected life of options (years) 1.0 1.0 1.0 |
Litigation
Litigation | 12 Months Ended |
Apr. 25, 2015 | |
Commitments and Contingencies Disclosure [Abstract] | |
Litigation | 16. Litigation From time to time, we may become a party to ordinary routine litigation incidental to our business, including, without limitation, product liability claims, intellectual property claims, employment claims, commercial disputes, governmental inquiries and investigations, and other matters arising out of the ordinary course of our business. We have accrued our best estimate of potential losses relating to product liability and other claims that were probable to result in a liability and for which it was possible to reasonably estimate a loss. While the results of legal proceedings cannot be predicted with certainty, based upon our historical experience, the resolution of these proceedings is not expected to have a material effect on our consolidated financial position, results of operations, or cash flows. We also disclose the nature of and range of loss for claims against us when losses are reasonably possible and material. |
Quarterly Results (unaudited)
Quarterly Results (unaudited) | 12 Months Ended |
Apr. 25, 2015 | |
Quarterly Financial Information Disclosure [Abstract] | |
Quarterly Results (unaudited) | 17. Quarterly Results (unaudited) Quarterly results are determined in accordance with the accounting policies used for annual data and include certain items based upon estimates for the entire year. All fiscal quarters include results for 13 weeks. Quarter Ended Apr. 25, 2015 (1) Jan. 24, 2015 Oct. 25, 2014 Jul. 26, 2014 Net sales $ 1,148,854 $ 1,063,312 $ 1,103,325 $ 1,059,529 Gross profit 333,600 302,559 305,822 296,225 Operating income 106,696 90,756 91,221 84,754 Net income 64,518 54,676 53,778 50,289 Earnings per share – basic 0.65 0.55 0.54 0.51 Earnings per share – diluted 0.65 0.55 0.54 0.50 Quarter Ended Apr. 26, 2014 (2) Jan. 25, 2014 (2) Oct. 26, (2) Jul. 27, Net sales $ 1,102,077 $ 1,082,679 $ 998,834 $ 880,125 Gross profit 315,868 311,461 289,431 281,518 Operating income 92,601 96,651 75,223 81,281 Net income 55,671 57,021 42,028 45,892 Earnings per share – basic 0.56 0.56 0.42 0.45 Earnings per share – diluted 0.55 0.56 0.41 0.45 (1) During the fourth quarter of fiscal 2015, we incurred $4,645 of pre-tax transaction costs, or $0.03 per diluted share, related to the June 16, 2015 acquisition of Animal Health International and the potential sale of Patterson Medical. (2) During the fourth, third and second quarters of fiscal 2014, we incurred $7,404, $1,255 and $6,779 of pre-tax restructuring costs, respectively, or $0.06, $0.01 and $0.07 per diluted share, respectively, related to our Medical segment. |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Income (Loss) | 12 Months Ended |
Apr. 25, 2015 | |
Equity [Abstract] | |
Accumulated Other Comprehensive Income (Loss) | 18. Accumulated Other Comprehensive Income (Loss) The following table summarizes accumulated other comprehensive income (loss) at April 25, 2015 and at April 24, 2014 and the activity for fiscal 2015: Cash Flow Currency Total Accumulated other comprehensive income (loss) at April 26, 2014 $ (6,223 ) $ 31,593 $ 25,370 Other comprehensive income (loss) before reclassifications (12,410 ) (73,271 ) (85,681 ) Amounts reclassified from accumulated other comprehensive income (loss) (35 ) — (35 ) Accumulated other comprehensive income (loss) at April 25, 2015 $ (18,668 ) $ (41,678 ) $ (60,346 ) The amounts reclassified from accumulated other comprehensive income (loss) during fiscal 2015 represent gains and losses on cash flow hedges, net of taxes of $91. The net impact to the consolidated statements of income was an increase to interest expense of $56. |
Subsequent Events
Subsequent Events | 12 Months Ended |
Apr. 25, 2015 | |
Subsequent Events [Abstract] | |
Subsequent Events | 19. Subsequent Events On June 16, 2015, we completed the previously announced acquisition of Animal Health International, Inc., a leading production animal health distribution company in the U.S. This acquisition will more than double the size of Patterson’s veterinary business. The combined unit will offer a range of products and services to customers in the U.S., Canada and the U.K. Under terms of the definitive agreement, Patterson has acquired all of Animal Health International’s stock for $1,100,000 in cash. Animal Health International generated sales and earnings before interest, income taxes, depreciation and amortization of $1,500,000 and $68,000, respectively, during the 12 months ended March 2015. We financed the acquisition through a combination of a $1,000,000 unsecured term loan and a $500,000 unsecured cash flow revolving line of credit. The initial interest rate under the credit agreement is LIBOR plus 200 basis points. In the event of certain significant asset dispositions, we have agreed to use the proceeds from such dispositions to effect prepayment of outstanding loan balances under the unsecured term loan and unsecured cash flow revolving line of credit. The allocation of the purchase price for assets acquired and liabilities assumed is subject to completion of a formal valuation process and review by management, which has not yet been completed. We will finalize the purchase price allocation as soon as practicable within the measurement period, but in no event later than one year following the acquisition date. The results of operations of Animal Health International will be included in Patterson’s consolidated results of operations beginning June 17, 2015. |
Schedule II Valuation And Quali
Schedule II Valuation And Qualifying Accounts | 12 Months Ended |
Apr. 25, 2015 | |
Valuation and Qualifying Accounts [Abstract] | |
Schedule II Valuation And Qualifying Accounts | SCHEDULE II VALUATION AND QUALIFYING ACCOUNTS PATTERSON COMPANIES, INC. (In thousands) Balance at Charged to Charged Deductions Balance at Year ended April 25, 2015 Deducted from asset accounts: Allowance for doubtful accounts $ 9,873 $ 3,384 $ — $ 4,838 $ 8,419 LIFO inventory adjustment $ 74,607 $ 1,867 $ — $ — $ 76,474 Inventory obsolence reserve 8,663 15,600 — 16,827 7,436 Total inventory reserve $ 83,270 $ 17,467 $ — $ 16,827 $ 83,910 Year ended April 26, 2014 Deducted from asset accounts: Allowance for doubtful accounts $ 5,808 $ 3,220 $ 3,552 $ 2,707 $ 9,873 LIFO inventory adjustment $ 70,415 $ 4,192 $ — $ — $ 74,607 Inventory obsolence reserve 6,333 14,846 391 12,907 8,663 Total inventory reserve $ 76,748 $ 19,038 $ 391 $ 12,907 $ 83,270 Year ended April 27, 2013 Deducted from asset accounts: Allowance for doubtful accounts $ 7,831 $ 1,119 $ — $ 3,142 $ 5,808 LIFO inventory adjustment $ 66,808 $ 3,607 $ — $ — $ 70,415 Inventory obsolence reserve 5,456 10,863 — 9,986 6,333 Total inventory reserve $ 72,264 $ 14,470 $ — $ 9,986 $ 76,748 |
Summary of Significant Accoun27
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Apr. 25, 2015 | |
Accounting Policies [Abstract] | |
Description of Business | Description of Business Patterson Companies, Inc. (referred to herein as “Patterson” or in the first person notations “we,” “our,” and “us”) is a value-added distributor serving the North American dental supply, U.S. and U.K. veterinarian supply and the worldwide rehabilitation and assistive products supply market. Patterson Companies has three reportable segments: dental supply, veterinary supply and rehabilitation supply. |
Basis of Presentation | Basis of Presentation The consolidated financial statements include the accounts of our wholly owned subsidiaries. Intercompany transactions and balances have been eliminated in consolidation. The respective assets of PDC Funding Company, LLC and PDC Funding Company II, LLC would be available first and foremost to satisfy the claims of their respective creditors. There are no known creditors of PDC Funding Company, LLC or PDC Funding Company II, LLC. |
Fiscal Year End | Fiscal Year End We operate with a 52-53 week accounting convention with our fiscal year ending on the last Saturday in April. Fiscal years 2013, 2014 and 2015 ending April 27, 2013, April 26, 2014 and April 25, 2015, respectively, included 52 weeks. Fiscal year 2016 will end on April 30, 2016 and consist of 53 weeks. |
Use of Estimates in the Preparation of Financial Statements | Use of Estimates in the Preparation of Financial Statements The preparation of financial statements in conformity with U.S. generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. |
Reclassifications | Reclassifications Certain prior year amounts have been reclassified to conform to the current year presentation. |
Cash and Cash Equivalents | Cash and Cash Equivalents Cash equivalents consist primarily of investments in money market funds and government securities. The maturity of these securities at the time of purchase is 90 days or less. All cash and cash equivalents are classified as available-for-sale and carried at fair value, which approximates cost. |
Inventory | Inventory Inventory consists of merchandise held for sale and is stated at the lower of cost or market. Cost is determined using the last-in, first-out (LIFO) method for all inventories, except for foreign inventories and manufactured inventories, which are valued using the first-in, first-out (FIFO) method. Inventories valued at LIFO represent 76% and 75% of total inventories at April 25, 2015 and April 26, 2014, respectively. The accumulated LIFO reserve was $76,474 at April 25, 2015 and $74,607 at April 26, 2014. We believe that inventory replacement cost exceeds the inventory balance by an amount approximating the LIFO reserve. |
Property and Equipment | Property and Equipment Property and equipment are stated at cost. Depreciation is calculated on the straight-line method over estimated useful lives of up to 39 years for buildings or the expected remaining life of purchased buildings, the term of the lease for leasehold improvements, 3 years for laptops, 5 years for computer hardware and software, and 5 to 10 years for office furniture and equipment. |
Goodwill and Other Indefinite-Lived Intangible Assets | Goodwill and Other Indefinite-Lived Intangible Assets Goodwill represents the excess of cost over the fair value of identifiable net assets of businesses acquired. We have three reporting units as of April 25, 2015, which are the same as our reportable segments. Other indefinite-lived intangible assets include copyrights, trade names and trademarks. We evaluate goodwill at least annually using a qualitative assessment to determine whether it is more likely than not that the fair value of any reporting unit is less than its carrying amount. If we determine that the fair value of the reporting unit may be less than its carrying amount, we evaluate goodwill using a two-step impairment test. Otherwise, we conclude that no impairment is indicated and we do not perform the two-step impairment test. In fiscal 2015, we determined it was appropriate to perform a two-step impairment test. The first step of the goodwill impairment test compares the book value of a reporting unit, including goodwill, with its fair value, as determined primarily by its discounted cash flows. If the book value of a reporting unit exceeds its fair value, the second step of the impairment test is performed to determine the amount of goodwill impairment loss to be recorded. The determination of fair value involves uncertainties because it requires management to make assumptions and to apply judgment to estimate industry and economic factors and the profitability of future business strategies. Patterson conducts impairment testing based on current business strategy in light of present industry and economic conditions, as well as future expectations. Additionally, in assessing goodwill for impairment, the reasonableness of the implied control premium is considered based on market capitalizations and recent market transactions. Other indefinite-lived intangible assets are assessed for impairment by comparing the carrying value of an asset with its fair value. If the carrying value exceeds fair value, an impairment loss is recognized in an amount equal to the excess. The determination of fair value involves assumptions, including projected revenues and gross profit levels, as well as consideration of any factors that may indicate potential impairment. In the fourth quarter of fiscal 2015, management completed its annual goodwill and other indefinite-lived intangible asset impairment tests and determined there was no impairment and that none of our reporting units are at risk of failing step 1. Although we believe estimates and assumptions used in estimating cash flows and determining fair value are reasonable, making material changes to such estimates and assumptions could materially affect such impairment analyses and financial results, including an impairment charge that could be material. |
Long-Lived Assets | Long-Lived Assets Long-lived assets, including definite-lived intangible assets, are evaluated for impairment whenever events or changes in circumstances indicate that the carrying amount of the assets may not be recoverable through the estimated undiscounted future cash flows derived from such assets. Our definite-lived intangible assets primarily consist of an exclusive distribution agreement and customer lists. When impairment exists, the related assets are written down to fair value. No impairment was recognized in the periods presented. |
Financial Instruments | Financial Instruments We account for derivative financial instruments under the provisions of Accounting Standards Codification (ASC) Topic 815, “Derivatives and Hedging.” Our use of derivative financial instruments is generally limited to managing well-defined interest rate risks. Patterson does not use financial instruments or derivatives for any trading purposes. |
Revenue Recognition | Revenue Recognition Revenues are generated from the sale of consumable products, equipment, software products and services, technical service parts and labor, freight and delivery charges, and other sources. Revenues are recognized when persuasive evidence of an arrangement exists, delivery has occurred or services have been rendered, the price is fixed or determinable, and there is reasonable assurance of collection of the sale. Estimates for returns, damaged goods, rebates, loyalty programs and other revenue allowances are made at the time the revenue is recognized based on the historical experience for such items. In addition to revenues generated from the distribution of consumable products under conventional arrangements (buy/sell agreements) where the full market value of the product is recorded as revenue, the veterinary segment may earn a small amount of commission income for services provided under agency agreements with certain pharmaceutical manufacturers. The services generally consist of detailing the product and taking the customer’s order. The agency agreement contrasts to a buy/sell agreement in that the veterinary segment does not purchase and handle the product or bill and collect from the customer in an agency relationship with a vendor. Consumable product sales are recorded upon delivery, except in those circumstances where terms of the sale are FOB shipping point. Commissions under agency agreements are recorded when the services are provided. Equipment and software product revenues are recognized upon delivery and, if necessary, installation. In those circumstances where terms of the sale are FOB shipping point, revenues are recognized when products are transferred to the shipping carrier. Revenue derived from post contract customer support for software is deferred and recognized ratably over the period in which the support is provided. Patterson provides financing for select equipment and software sales. Revenue is recorded at the present value of the finance contract, with discount, if any, and interest income recognized over the life of the finance contract as “other income”. See Note 6 for more information regarding customer financing. Other revenue, including freight and delivery charges and technical service parts and labor, is recognized when the related product revenue is recognized or when the product or services are provided to the customer. The receivables that result from the recognition of revenue are reported net of the related allowances discussed above. Patterson maintains a valuation allowance based upon the expected collectability of receivables held. Estimates are used to determine the valuation allowance and are based on several factors, including historical collection data, economic trends and credit worthiness of customers. Receivables are written off when we determine the amounts to be uncollectible, typically upon customer bankruptcy or non-response to continuous collection efforts. The portions of receivable amounts that are not expected to be collected during the next twelve months are classified as long-term. Patterson has a relatively large, dispersed customer base and no single customer accounts for more than 1% of consolidated net sales. In addition, the equipment sold to customers under finance contracts generally serves as collateral for the contract and the customer provides a personal guarantee as well. Net sales does not include sales tax as we are considered a pass-through conduit for collecting and remitting sales tax. |
Patterson Advantage Loyalty Program | Patterson Advantage Loyalty Program The Dental segment provides a point-based awards program to qualifying customers involving the issuance of “Patterson Advantage dollars” which can be used toward equipment and technology purchases. The program was initiated on January 1, 2009 and runs on a calendar year schedule. Patterson Advantage dollars earned during a program year expire one year after the end of the program year. The cost and corresponding liability associated with the program are recognized as contra-revenue in accordance with ASC Topic 605-50, “Revenue Recognition-Customer Payments and Incentives.” As of April 25, 2015, we believe we have sufficient experience with the program to reasonably estimate the amount of Patterson Advantage dollars that will not be redeemed and thus have recorded a liability for 87% of the maximum potential amount that could be redeemed. We use the redemption recognition method and we recognize the estimated value of unused Advantage dollars as a percentage of Patterson Advantage dollars earned. Breakage recognized was immaterial to all periods presented. |
Freight and Delivery Charges | Freight and Delivery Charges Freight and delivery charges are included in cost of sales in the consolidated statements of income. |
Advertising | Advertising We expense all advertising and promotional costs as incurred, except for direct marketing expenses, which are expensed over the shorter of the life of the asset or one year. Total advertising and promotional expenses were $16,798, $18,263 and $19,721 for fiscal years 2015, 2014 and 2013, respectively. Deferred direct-marketing expenses included in prepaid and other current assets on the consolidated balance sheet as of April 25, 2015 and April 26, 2014 were $1,329 and $2,031, respectively. |
Income Taxes | Income Taxes The liability method is used to account for income tax expense. Under this method, deferred tax assets and liabilities are determined based on differences between financial reporting and tax bases of assets and liabilities and are measured using the enacted tax rates and laws that will be in effect when the differences are expected to reverse. Valuation allowances are established for deferred tax assets if, after assessment of available positive and negative evidence, it is more likely than not that the deferred tax asset will not be fully realized. |
Employee Stock Ownership Plan (ESOP) | Employee Stock Ownership Plan (ESOP) Compensation expense related to our defined contribution ESOP is computed based on the shares allocated method. |
Self-insurance | Self-insurance Patterson is self-insured for certain losses related to general liability, product liability, automobile, workers’ compensation and medical claims. We estimate our liabilities based upon an analysis of historical data and actuarial estimates. While current estimates are believed reasonable based on information currently available, actual results could differ and affect financial results due to changes in the amount or frequency of claims, medical cost inflation or other factors. Historically, actual results related to these types of claims have not varied significantly from estimated amounts. |
Stock-based Compensation | Stock-based Compensation We recognize stock-based compensation expense based on the grant-date fair value of awards estimated in accordance with ASC Topic 718, “Stock Compensation”. |
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, net of tax. 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 $10,843, $0 and $35 for the fiscal years ended April 25, 2015, April 26, 2014 and April 27, 2013, respectively. |
Earnings Per Share | Earnings Per Share The amount of basic earnings per share is computed by dividing net income by the weighted average number of outstanding common shares during the period. The amount of diluted earnings per share is computed by dividing net income by the weighted average number of outstanding common shares and common share equivalents, when dilutive, during the period. The following table sets forth the denominator for the computation of basic and diluted earnings per share. There were no material adjustments to the numerator. Fiscal Year Ended April 25, April 26, April 27, Denominator Denominator for basic earnings per share – weighted average shares 98,989 100,727 103,030 Effect of dilutive securities – stock options, restricted stock and stock purchase plans 705 916 777 Denominator for diluted earnings per share – adjusted weighted average shares 99,694 101,643 103,807 Potentially dilutive securities representing 147, 39 and 362 shares for fiscal years 2015, 2014 and 2013, respectively, were excluded from the calculation of diluted earnings per share because their effects were anti-dilutive. |
Recent Accounting Pronouncements | Recent Accounting Pronouncements In April 2015, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2015-03, Simplifying the Presentation of Debt Issuance Costs In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers |
Summary of Significant Accoun28
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Apr. 25, 2015 | |
Accounting Policies [Abstract] | |
Computation of Basic and Diluted Earnings Per Share | The following table sets forth the denominator for the computation of basic and diluted earnings per share. There were no material adjustments to the numerator. Fiscal Year Ended April 25, April 26, April 27, Denominator Denominator for basic earnings per share – weighted average shares 98,989 100,727 103,030 Effect of dilutive securities – stock options, restricted stock and stock purchase plans 705 916 777 Denominator for diluted earnings per share – adjusted weighted average shares 99,694 101,643 103,807 |
Cash and Cash Equivalents (Tabl
Cash and Cash Equivalents (Tables) | 12 Months Ended |
Apr. 25, 2015 | |
Cash and Cash Equivalents [Abstract] | |
Cash and Cash Equivalents | At April 25, 2015 and April 26, 2014, cash and cash equivalents consisted of the following: April 25, April 26, Cash on hand $ 256,691 $ 213,397 Money market funds 90,569 51,511 Total $ 347,260 $ 264,908 |
Goodwill and Other Intangible30
Goodwill and Other Intangible Assets (Tables) | 12 Months Ended |
Apr. 25, 2015 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Changes in Carrying Value of Goodwill | The changes in the carrying value of goodwill for each of our reportable segments for the fiscal year ended April 25, 2015 are as follows: Balance at Acquisition Other Balance at Dental supply $ 137,463 $ 3,097 $ (1,111 ) $ 139,449 Rehabilitation supply 545,007 — (7,832 ) 537,175 Veterinary supply 161,963 924 (2,412 ) 160,475 Total $ 844,433 $ 4,021 $ (11,355 ) $ 837,099 |
Balances of Other Intangible Assets Excluding Goodwill | Balances of other intangible assets excluding goodwill are as follows: April 25, April 26, 2014 Unamortized – indefinite lived: Copyrights, trade names and trademarks $ 76,464 $ 76,464 Amortized: Distribution agreement, customer lists and other 284,393 286,365 Less: Accumulated amortization (161,028 ) (139,679 ) Net amortized intangible assets 123,365 146,686 Total identifiable intangible assets, net $ 199,829 $ 223,150 |
Acquisitions and Equity Inves31
Acquisitions and Equity Investments (Tables) | 12 Months Ended |
Apr. 25, 2015 | |
Business Combinations [Abstract] | |
Acquisitions Completed | We acquired 100% of all companies listed below: Entity Segment Fiscal 2015: Holt Dental Supply Dental supply C.A.P.L. Limited and Abbey Veterinary Services Veterinary supply Fiscal 2014: Mercer Mastery Dental supply National Veterinary Supply Veterinary supply Fiscal 2013: Iowa Dental Supply Dental supply Universal Vaporizer Support Veterinary supply |
Property and Equipment (Tables)
Property and Equipment (Tables) | 12 Months Ended |
Apr. 25, 2015 | |
Property, Plant and Equipment [Abstract] | |
Schedule of Property and Equipment | Property and equipment consisted of the following items: April 25, April 26, 2014 Land $ 12,988 $ 14,925 Buildings 125,384 129,360 Leasehold improvements 19,458 18,295 Furniture and equipment 147,205 152,899 Computer hardware and software 122,439 109,580 Construction-in-progress (1) 51,851 18,110 479,325 443,169 Accumulated depreciation (252,520 ) (238,230 ) Property and equipment, net $ 226,805 $ 204,939 (1) Includes $43,601 and $12,959 of capitalized software as of April 25, 2015 and April 26, 2014, respectively. |
Long-Term Debt (Tables)
Long-Term Debt (Tables) | 12 Months Ended |
Apr. 25, 2015 | |
Debt Disclosure [Abstract] | |
Debt | Patterson’s debt consists of the following: April 25, April 26, 5.17% senior notes due fiscal 2015 $ — $ 250,000 5.75% senior notes due fiscal 2018 150,000 150,000 2.95% senior notes due fiscal 2019 60,000 60,000 3.59% senior notes due fiscal 2022 165,000 165,000 3.74% senior notes due fiscal 2024 100,000 100,000 3.48% senior notes due fiscal 2025 250,000 — Total debt 725,000 725,000 Less: current debt obligations — — Long-term debt $ 725,000 $ 725,000 |
Derivative Financial Instrume34
Derivative Financial Instruments (Tables) | 12 Months Ended |
Apr. 25, 2015 | |
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: Derivative type Classification April 25, April 26, Assets: Interest rate contracts Other noncurrent assets $ 1,255 $ 1,716 Liabilities: Interest rate contracts Other noncurrent liabilities 1,255 1,720 Interest rate swap Other current liabilities — 5,660 |
Effect of Interest Rate Contracts and Interest Rate Swaps on Consolidated Statements of Income and Other Comprehensive Income | The following presents the effect of interest rate contracts and interest rate swaps on the consolidated statements of income and other comprehensive income: Fiscal Year Ended Derivative type Location of gain/(loss) recognized April 25, April 26, April 27, Interest rate contracts Other income, net $ — $ 4 $ 78 Interest rate swap Other comprehensive income (12,445 ) (5,660 ) — |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 12 Months Ended |
Apr. 25, 2015 | |
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 April 25, 2015 is as follows: Total Quoted Significant Significant Assets: Cash equivalents $ 90,569 $ 90,569 $ — $ — Derivative instruments 1,255 — 1,255 — Total assets $ 91,824 $ 90,569 $ 1,255 $ — Liabilities: Derivative instruments $ 1,255 $ — $ 1,255 $ — Our hierarchy for assets and liabilities measured at fair value on a recurring basis as of April 26, 2014 is as follows: Total Quoted Significant Observable Significant (Level 3) 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 $ — |
Lease Commitments (Tables)
Lease Commitments (Tables) | 12 Months Ended |
Apr. 25, 2015 | |
Commitments and Contingencies Disclosure [Abstract] | |
Future Minimum Rental Payments under Non-Cancelable Operating Leases | Future minimum rental payments under non-cancelable operating leases are as follows at April 25, 2015: 2016 $ 21,133 2017 16,052 2018 12,784 2019 8,953 2020 6,881 Thereafter 7,670 Total $ 73,473 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Apr. 25, 2015 | |
Income Tax Disclosure [Abstract] | |
Components of Provision for Income Taxes | Significant components of the provision for income taxes are as follows: Fiscal Year Ended April 25, April 26, 2014 April 27, 2013 Current: Federal $ 91,264 $ 84,353 $ 80,290 Foreign 11,802 9,667 13,471 State 10,642 10,515 10,035 Total current 113,708 104,535 103,796 Deferred: Federal 2,148 7,501 6,667 Foreign 3,542 (240 ) (963 ) State 12 504 1,345 Total deferred 5,702 7,765 7,049 Provision for income taxes $ 119,410 $ 112,300 $ 110,845 |
Components of Deferred Tax Assets (Liabilities) | Significant components of Patterson’s deferred tax assets (liabilities) as of April 25, 2015 and April 26, 2014 are as follows: April 25, April 26, Deferred current income tax asset (liability): Capital accumulation plan $ 5,812 $ 5,893 Inventory related items 5,974 5,512 Bad debt allowance 1,548 1,518 LIFO reserve (18,179 ) (16,279 ) Other 13,987 13,447 Deferred net current income tax asset 9,142 10,091 Deferred long-term income tax (liability) asset: Amortizable intangibles (25,374 ) (26,590 ) Goodwill (76,300 ) (69,613 ) Property, plant, equipment (4,696 ) (4,744 ) Stock based compensation expense 9,129 8,130 Net operating loss carryforwards 5,661 6,848 Interest rate swap 10,843 — Other (3,087 ) (4,276 ) (83,824 ) (90,245 ) Valuation allowance (4,440 ) (3,759 ) Deferred net long-term income tax liability (88,264 ) (94,004 ) Net deferred income tax liability $ (79,122 ) $ (83,913 ) |
Summary of Effective Income Tax Expense Reconciliation | Income tax expense varies from the amount computed using the U.S. statutory rate. The reasons for this difference and the related tax effects are shown below: Fiscal Year Ended April 25, April 26, April 27, Tax at U.S. statutory rate $ 119,935 $ 109,519 $ 112,391 State tax provision, net of federal benefit 7,758 7,768 8,322 Effect of foreign taxes (1,506 ) 461 (4,603 ) Permanent differences (5,549 ) (4,843 ) (3,439 ) Other (1,228 ) (605 ) (1,826 ) $ 119,410 $ 112,300 $ 110,845 |
Summary of Changes in Gross Amounts of Unrecognized Tax Benefits | A summary of the changes in the gross amounts of unrecognized tax benefits for the years ended April 25, 2015 and April 26, 2014 are shown below: April 25, April 26, Balance at beginning of period $ 19,687 $ 19,155 Additions for tax positions related to the current year 2,995 2,801 Additions for tax positions of prior years 57 1,372 Reductions for tax positions of prior years (551 ) (893 ) Statute expirations (3,201 ) (2,655 ) Settlements — (93 ) Balance at end of period $ 18,987 $ 19,687 |
Segment and Geographic Data (Ta
Segment and Geographic Data (Tables) | 12 Months Ended |
Apr. 25, 2015 | |
Segment Reporting [Abstract] | |
Information about Reportable Segments | The following table presents information about Patterson’s reportable segments: Fiscal Year Ended April 25, April 26, April 27, Net sales Dental supply $ 2,454,295 $ 2,382,096 $ 2,379,970 Rehabilitation supply 464,155 478,574 501,997 Veterinary supply 1,456,570 1,203,045 755,245 Consolidated net sales $ 4,375,020 $ 4,063,715 $ 3,637,212 Operating income Dental supply $ 249,575 $ 249,138 $ 247,747 Rehabilitation supply 67,182 46,763 65,027 Veterinary supply 56,670 49,855 41,681 Consolidated operating income $ 373,427 $ 345,756 $ 354,455 Depreciation and amortization Dental supply $ 35,662 $ 35,209 $ 34,953 Rehabilitation supply 6,807 7,540 7,683 Veterinary supply 8,861 7,237 3,366 Consolidated depreciation and amortization $ 51,330 $ 49,986 $ 46,002 April 25, April 26, Total assets Dental supply $ 1,500,736 $ 1,342,333 Rehabilitation supply 815,526 876,211 Veterinary supply 631,444 646,133 Consolidated total assets $ 2,947,706 $ 2,864,677 |
Sales Information by Product | The following table presents sales information by product for Patterson and its reportable segments: Fiscal Year Ended April 25, April 26, April 27, Consolidated Consumable and printed products 1 $ 3,083,113 $ 2,810,491 $ 2,377,635 Equipment and software 1 958,067 940,088 959,539 Other 333,840 313,136 300,038 Total $ 4,375,020 $ 4,063,715 $ 3,637,212 Dental supply Consumable and printed products 1 $ 1,355,982 $ 1,323,378 $ 1,307,450 Equipment and software 1 818,342 795,132 809,652 Other 279,971 263,586 262,868 Total $ 2,454,295 $ 2,382,096 $ 2,379,970 Rehabilitation supply Consumable and printed products $ 346,704 $ 352,181 $ 361,164 Equipment and software 93,054 100,936 114,818 Other 24,397 25,457 26,015 Total $ 464,155 $ 478,574 $ 501,997 Veterinary supply Consumable and printed products $ 1,380,427 $ 1,134,932 $ 709,021 Equipment and software 46,671 44,020 35,069 Other 29,472 24,093 11,155 Total $ 1,456,570 $ 1,203,045 $ 755,245 1 Certain products were reclassified from equipment to consumables in the current and prior periods. |
Information by Geographical Area | The following table presents information about Patterson by geographic area. No individual country, except for the U.S. and the U.K., generated sales greater than 10% of consolidated net sales. There were no material sales between geographic areas. Fiscal Year Ended April 25, April 26, April 27, Net sales United States $ 3,368,828 $ 3,265,939 $ 3,211,979 United Kingdom 727,741 512,040 100,150 International 278,451 285,736 325,083 Total $ 4,375,020 $ 4,063,715 $ 3,637,212 Income before tax United States $ 294,530 $ 289,037 $ 273,037 International 48,141 23,875 48,080 Total $ 342,671 $ 312,912 $ 321,117 April 25, April 26, Property and equipment, net United States $ 197,484 $ 164,960 United Kingdom 15,412 20,434 International 13,909 19,545 Total $ 226,805 $ 204,939 |
Stockholders' Equity (Tables)
Stockholders' Equity (Tables) | 12 Months Ended |
Apr. 25, 2015 | |
Equity [Abstract] | |
Cash Dividends Declared and Paid | The following table presents our declared and paid cash dividends per share on our common stock for the past three years. The dividend declared in the fourth quarter of fiscal 2013 was paid early in the subsequent quarter; all other dividends were declared and paid in the same period. Patterson expects to continue paying a quarterly cash dividend into the foreseeable future. Quarter Fiscal year 1 2 3 4 2015 $ 0.20 $ 0.20 $ 0.20 $ 0.22 2014 0.16 0.16 0.16 0.20 2013 0.14 0.14 0.14 0.16 |
Stock-based Compensation (Table
Stock-based Compensation (Tables) | 12 Months Ended |
Apr. 25, 2015 | |
Summary of Weighted-Average Assumptions | The fair value of stock options granted was estimated as of the grant date using a Black-Scholes option-pricing model with the following assumptions: Fiscal Year Ended April 25, April 26, April 27, Expected dividend yield 2.0 % 1.8 % 1.6 % Expected stock price volatility 26.3 % 30.0 % 30.6 % Risk-free interest rate 2.1 % 1.5 % 1.4 % Expected life of options (years) 7.0 7.1 7.5 |
Summary of Stock Options | The following is a summary of all stock options: Number Weighted- Intrinsic Balance as of April 28, 2012 986 $ 31.45 Granted 56 34.10 Exercised (290 ) 22.49 Canceled (31 ) 33.79 Balance as of April 27, 2013 721 35.03 Granted 57 39.33 Exercised (345 ) 35.73 Canceled (44 ) 33.11 Balance as of April 26, 2014 389 35.29 Granted 74 39.64 Exercised (49 ) 34.73 Canceled (76 ) 35.81 Balance as of April 25, 2015 338 $ 36.22 $ 4,081 Vested or expected to vest as of April 25, 2015 292 $ 36.36 $ 3,491 Exercisable as of April 25, 2015 108 $ 38.02 $ 1,131 |
Summary of Non-Vested Restricted Stock Awards and Performance Unit Awards | The following is a summary of all non-vested restricted stock awards and performance unit awards: Restricted Stock Awards Shares Weighted- Grant Date Fair Value Outstanding at April 28, 2012 1,162 $ 30.92 Granted 314 34.10 Vested (192 ) 35.62 Forfeitures (127 ) 30.98 Outstanding at April 27, 2013 1,157 31.82 Granted 283 38.02 Vested (174 ) 38.76 Forfeitures (43 ) 31.91 Outstanding at April 26, 2014 1,223 33.02 Granted 271 39.87 Vested (207 ) 34.52 Forfeitures (119 ) 32.83 Outstanding at April 25, 2015 1,168 $ 34.39 Performance Unit Awards Shares Weighted- Outstanding at April 28, 2012 96 $ 35.41 Granted 130 34.09 Forfeitures and cancellations (21 ) 34.09 Outstanding at April 27, 2013 205 34.09 Granted 124 38.05 Forfeitures and cancellations (2 ) 34.75 Outstanding at April 26, 2014 327 35.59 Granted 133 39.72 Vested (9 ) 35.22 Forfeitures and cancellations (124 ) 35.72 Outstanding at April 25, 2015 327 $ 37.57 |
Employee Stock Purchase Plan [Member] | |
Summary of Weighted-Average Assumptions | The following table summarizes the weighted-average assumptions relating to the Stock Purchase Plan: Fiscal Year Ended April 25, April 26, April 27, Expected dividend yield 1.6 % 1.6 % 1.6 % Expected stock price volatility 31.0 % 31.0 % 31.0 % Risk-free interest rate 0.1 % 0.1 % 0.2 % Expected life of options (years) 0.5 0.5 0.5 |
Capital Accumulation Plan (CAP) [Member] | |
Summary of Weighted-Average Assumptions | The following table summarizes the weighted-average assumptions relating to the CAP: Fiscal Year Ended April 25, April 26, April 27, Expected dividend yield 1.6 % 1.6 % 1.6 % Expected stock price volatility 31.0 % 31.0 % 31.0 % Risk-free interest rate 0.3 % 0.3 % 0.3 % Expected life of options (years) 1.0 1.0 1.0 |
Quarterly Results (unaudited) (
Quarterly Results (unaudited) (Tables) | 12 Months Ended |
Apr. 25, 2015 | |
Quarterly Financial Information Disclosure [Abstract] | |
Summary of Quarterly Results | Quarter Ended Apr. 25, 2015 (1) Jan. 24, 2015 Oct. 25, 2014 Jul. 26, 2014 Net sales $ 1,148,854 $ 1,063,312 $ 1,103,325 $ 1,059,529 Gross profit 333,600 302,559 305,822 296,225 Operating income 106,696 90,756 91,221 84,754 Net income 64,518 54,676 53,778 50,289 Earnings per share – basic 0.65 0.55 0.54 0.51 Earnings per share – diluted 0.65 0.55 0.54 0.50 Quarter Ended Apr. 26, 2014 (2) Jan. 25, 2014 (2) Oct. 26, (2) Jul. 27, Net sales $ 1,102,077 $ 1,082,679 $ 998,834 $ 880,125 Gross profit 315,868 311,461 289,431 281,518 Operating income 92,601 96,651 75,223 81,281 Net income 55,671 57,021 42,028 45,892 Earnings per share – basic 0.56 0.56 0.42 0.45 Earnings per share – diluted 0.55 0.56 0.41 0.45 (1) During the fourth quarter of fiscal 2015, we incurred $4,645 of pre-tax transaction costs, or $0.03 per diluted share, related to the June 16, 2015 acquisition of Animal Health International and the potential sale of Patterson Medical. (2) During the fourth, third and second quarters of fiscal 2014, we incurred $7,404, $1,255 and $6,779 of pre-tax restructuring costs, respectively, or $0.06, $0.01 and $0.07 per diluted share, respectively, related to our Medical segment. |
Accumulated Other Comprehensi42
Accumulated Other Comprehensive Income (Loss) (Tables) | 12 Months Ended |
Apr. 25, 2015 | |
Equity [Abstract] | |
Summary of Accumulated Other Comprehensive Income (Loss) | The following table summarizes accumulated other comprehensive income (loss) at April 25, 2015 and at April 24, 2014 and the activity for fiscal 2015: Cash Flow Currency Total Accumulated other comprehensive income (loss) at April 26, 2014 $ (6,223 ) $ 31,593 $ 25,370 Other comprehensive income (loss) before reclassifications (12,410 ) (73,271 ) (85,681 ) Amounts reclassified from accumulated other comprehensive income (loss) (35 ) — (35 ) Accumulated other comprehensive income (loss) at April 25, 2015 $ (18,668 ) $ (41,678 ) $ (60,346 ) |
Summary of Significant Accoun43
Summary of Significant Accounting Policies - Additional Information (Detail) shares in Thousands | 12 Months Ended | ||
Apr. 25, 2015USD ($)Segmentshares | Apr. 26, 2014USD ($)shares | Apr. 27, 2013USD ($)shares | |
Summary Of Significant Accounting Policies [Line Items] | |||
Number of reportable segments | Segment | 3 | ||
Maturity period of maximum (in days) | 90 days | ||
Inventories valued at LIFO as % of total inventories | 76.00% | 75.00% | |
Accumulated LIFO reserve | $ 76,474,000 | $ 74,607,000 | |
Asset impairment charges | $ 0 | 0 | $ 0 |
Consolidated net sales, percentage | 1.00% | ||
Percentage of liability recorded | 87.00% | ||
Total advertising and promotional expenses | $ 16,798,000 | 18,263,000 | 19,721,000 |
Deferred direct-marketing expenses included in prepaid and other current assets | 1,329,000 | 2,031,000 | |
The income tax benefit related to cash flow hedge losses | $ 10,843,000 | $ 0 | $ 35,000 |
Securities excluded from calculation of diluted earnings per share | shares | 147 | 39 | 362 |
Building [Member] | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Estimated useful lives | 39 years | ||
Computer Equipment [Member] | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Estimated useful lives | 3 years | ||
Computer Hardware and Software [Member] | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Estimated useful lives | 5 years | ||
Office Furniture And Equipment [Member] | Minimum [Member] | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Estimated useful lives | 5 years | ||
Office Furniture And Equipment [Member] | Maximum [Member] | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Estimated useful lives | 10 years |
Summary of Significant Accoun44
Summary of Significant Accounting Policies - Computation of Basic and Diluted Earnings Per Share (Detail) - shares shares in Thousands | 12 Months Ended | ||
Apr. 25, 2015 | Apr. 26, 2014 | Apr. 27, 2013 | |
Earnings Per Share [Abstract] | |||
Denominator for basic earnings per share - weighted average shares | 98,989 | 100,727 | 103,030 |
Effect of dilutive securities - stock options, restricted stock and stock purchase plans | 705 | 916 | 777 |
Denominator for diluted earnings per share - adjusted weighted average shares | 99,694 | 101,643 | 103,807 |
Cash and Cash Equivalents - Cas
Cash and Cash Equivalents - Cash and Cash Equivalents (Detail) - USD ($) $ in Thousands | Apr. 25, 2015 | Apr. 26, 2014 | Apr. 27, 2013 | Apr. 28, 2012 |
Cash and Cash Equivalents [Abstract] | ||||
Cash on hand | $ 256,691 | $ 213,397 | ||
Money market funds | 90,569 | 51,511 | ||
Total | $ 347,260 | $ 264,908 | $ 505,228 | $ 573,781 |
Goodwill and Other Intangible46
Goodwill and Other Intangible Assets - Changes in Carrying Value of Goodwill (Detail) $ in Thousands | 12 Months Ended |
Apr. 25, 2015USD ($) | |
Goodwill [Line Items] | |
Beginning Balance | $ 844,433 |
Acquisition Activity and Divestitures | 4,021 |
Other Activity | (11,355) |
Ending Balance | 837,099 |
Dental Supply [Member] | |
Goodwill [Line Items] | |
Beginning Balance | 137,463 |
Acquisition Activity and Divestitures | 3,097 |
Other Activity | (1,111) |
Ending Balance | 139,449 |
Rehabilitation Supply [Member] | |
Goodwill [Line Items] | |
Beginning Balance | 545,007 |
Other Activity | (7,832) |
Ending Balance | 537,175 |
Veterinary Supply [Member] | |
Goodwill [Line Items] | |
Beginning Balance | 161,963 |
Acquisition Activity and Divestitures | 924 |
Other Activity | (2,412) |
Ending Balance | $ 160,475 |
Goodwill and Other Intangible47
Goodwill and Other Intangible Assets - Additional Information (Detail) - Apr. 25, 2015 - USD ($) $ in Thousands | Total |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Other intangibles acquired, fair value | $ 6,245 |
Weighted average useful life | 7 years 8 months 12 days |
Distribution fee | $ 100,000 |
Distribution agreement period | 10 years |
Future amortization expense, 2016 | $ 24,186 |
Future amortization expense, 2017 | 23,498 |
Future amortization expense, 2018 | 22,363 |
Future amortization expense, 2019 | 20,624 |
Future amortization expense, 2020 | $ 8,590 |
Goodwill and Other Intangible48
Goodwill and Other Intangible Assets - Balances of Other Intangible Assets Excluding Goodwill (Detail) - USD ($) $ in Thousands | Apr. 25, 2015 | Apr. 26, 2014 |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
Copyrights, trade names and trademarks | $ 76,464 | $ 76,464 |
Distribution agreement, customer lists and other | 284,393 | 286,365 |
Less: Accumulated amortization | (161,028) | (139,679) |
Net amortized intangible assets | 123,365 | 146,686 |
Total identifiable intangible assets, net | $ 199,829 | $ 223,150 |
Acquisitions and Equity Inves49
Acquisitions and Equity Investments - Additional Information (Detail) - National Veterinary Services Limited (NVS) [Member] - USD ($) $ in Thousands | 1 Months Ended | 12 Months Ended |
Aug. 31, 2013 | Apr. 26, 2014 | |
Business Acquisition [Line Items] | ||
Acquisition contributed of net sales | $ 419,340 | |
Business acquisition cash paid | $ 142,693 |
Acquisitions and Equity Inves50
Acquisitions and Equity Investments - Acquisitions Completed (Detail) | 12 Months Ended | ||
Apr. 25, 2015 | Apr. 26, 2014 | Apr. 27, 2013 | |
Holt Dental Supply [Member] | |||
Business Acquisition [Line Items] | |||
Acquisition by segment | Dental supply | ||
C.A.P.L Limited and Abbey Veterinary Services [Member] | |||
Business Acquisition [Line Items] | |||
Acquisition by segment | Veterinary supply | ||
Mercer Mastery [Member] | |||
Business Acquisition [Line Items] | |||
Acquisition by segment | Dental supply | ||
National Veterinary Supply [Member] | |||
Business Acquisition [Line Items] | |||
Acquisition by segment | Veterinary supply | ||
Iowa Dental Supply [Member] | |||
Business Acquisition [Line Items] | |||
Acquisition by segment | Dental supply | ||
Universal Vaporizer Support [Member] | |||
Business Acquisition [Line Items] | |||
Acquisition by segment | Veterinary supply |
Property and Equipment - Schedu
Property and Equipment - Schedule of Property and Equipment (Detail) - USD ($) $ in Thousands | Apr. 25, 2015 | Apr. 26, 2014 |
Property, Plant and Equipment [Abstract] | ||
Land | $ 12,988 | $ 14,925 |
Buildings | 125,384 | 129,360 |
Leasehold improvements | 19,458 | 18,295 |
Furniture and equipment | 147,205 | 152,899 |
Computer hardware and software | 122,439 | 109,580 |
Construction-in-progress | 51,851 | 18,110 |
Property and equipment, Gross | 479,325 | 443,169 |
Accumulated depreciation | (252,520) | (238,230) |
Property and equipment, net | $ 226,805 | $ 204,939 |
Property and Equipment - Sche52
Property and Equipment - Schedule of Property and Equipment (Parenthetical) (Detail) - USD ($) $ in Thousands | Apr. 25, 2015 | Apr. 26, 2014 |
Property, Plant and Equipment [Abstract] | ||
Capitalized software | $ 43,601 | $ 12,959 |
Customer Financing - Additional
Customer Financing - Additional Information (Detail) $ in Thousands | 12 Months Ended | |||
Apr. 25, 2015USD ($)Customer | Apr. 26, 2014USD ($) | Apr. 27, 2013USD ($) | Apr. 28, 2012USD ($) | |
Customer Financing [Line Items] | ||||
Maximum credit financed for equipment purchases for any one customer | $ 500 | |||
Number of customer financing contracts | Customer | 2 | |||
Financing contracts sold under ASC 860 | $ 312,303 | $ 282,698 | $ 283,175 | |
Cash and cash equivalents | 347,260 | 264,908 | $ 505,228 | $ 573,781 |
Current receivables of finance contracts not yet sold | 88,470 | 63,236 | ||
Unearned income | 4,197 | 5,894 | ||
Finance contracts receivable sold and outstanding | 535,595 | |||
Deferred purchase price | $ 66,715 | 84,750 | ||
Bad debt write-offs, percentage, maximum | 1.00% | |||
Unsettled Financing Arrangements [Member] | ||||
Customer Financing [Line Items] | ||||
Cash and cash equivalents | $ 29,863 | $ 28,152 | ||
The Bank of Tokyo-Mitsubishi UFJ, Ltd. [Member] | ||||
Customer Financing [Line Items] | ||||
Capacity under agreement | 500,000 | |||
Fifth Third Bank [Member] | ||||
Customer Financing [Line Items] | ||||
Capacity under agreement | $ 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 | 12.00% | |||
Minimum [Member] | Fifth Third Bank [Member] | ||||
Customer Financing [Line Items] | ||||
Percentage of principal amount of financing contracts held as collateral | 15.00% |
Long-Term Debt - Additional Inf
Long-Term Debt - Additional Information (Detail) | 1 Months Ended | 12 Months Ended | |||||
Mar. 31, 2015USD ($) | Jan. 31, 2014USD ($) | Dec. 31, 2011USD ($) | Mar. 31, 2008USD ($)Agreement | Apr. 25, 2015USD ($) | Apr. 26, 2014USD ($) | Apr. 27, 2013USD ($) | |
Line of Credit Facility [Line Items] | |||||||
Expected future minimum principal payments in fiscal year 2018 | $ 150,000,000 | ||||||
Expected future minimum principal payments in fiscal year 2019 | 60,000,000 | ||||||
Expected future minimum principal payments in years thereafter | 515,000,000 | ||||||
Debt issuance costs | $ 1,800,000 | $ 1,800,000 | |||||
Number of agreements | Agreement | 2 | ||||||
Settlement of swap | 29,003,000 | ||||||
Available revolving credit facility | $ 300,000,000 | ||||||
Expiration date | Dec. 31, 2016 | ||||||
Outstanding borrowings | $ 0 | $ 0 | |||||
Long-term Debt [Member] | |||||||
Line of Credit Facility [Line Items] | |||||||
Period of long-term loan | 10 years | ||||||
Long-term loan | $ 250,000,000 | ||||||
Interest Rate Swap [Member] | |||||||
Line of Credit Facility [Line Items] | |||||||
Percentage of senior notes | 5.17% | ||||||
Notional amounts of interest rate swap agreements | $ 100,000,000 | ||||||
Increase in net of income taxes, to other comprehensive income | 1,000,000 | ||||||
Pre-tax amount expected to be reclassified into earnings | 91,000 | ||||||
Notional amount of derivatives | $ 250,000,000 | ||||||
Senior notes amount due | $ 250,000,000 | ||||||
Maturity date of long-term loan | Mar. 25, 2015 | ||||||
Settlement of swap | $ 29,003,000 | ||||||
Interest Rate Swap [Member] | Cash Flow Hedges [Member] | Reclassification Out of Accumulated Other Comprehensive Income [Member] | |||||||
Line of Credit Facility [Line Items] | |||||||
Pre-tax amount reclassified into earnings | 185,000 | 200,000 | $ 200,000 | ||||
Interest Rate Swap Agreement [Member] | |||||||
Line of Credit Facility [Line Items] | |||||||
Percentage of senior notes | 5.17% | ||||||
Pre-tax amount expected to be reclassified into earnings | 2,900,000 | ||||||
Notional amount of derivatives | $ 250,000,000 | ||||||
Senior notes amount due | $ 250,000,000 | ||||||
Maturity date of long-term loan | Mar. 25, 2015 | ||||||
Settlement of swap | 29,003,000 | ||||||
Interest Rate Swap Agreement [Member] | Cash Flow Hedges [Member] | Reclassification Out of Accumulated Other Comprehensive Income [Member] | |||||||
Line of Credit Facility [Line Items] | |||||||
Pre-tax amount reclassified into earnings | $ 242,000 | ||||||
Minimum [Member] | |||||||
Line of Credit Facility [Line Items] | |||||||
Interest floating rate based on LIBOR | 1.125% | ||||||
Maximum [Member] | |||||||
Line of Credit Facility [Line Items] | |||||||
Interest floating rate based on LIBOR | 1.875% | ||||||
Fixed-Rate Senior Notes [Member] | |||||||
Line of Credit Facility [Line Items] | |||||||
Aggregate principal amount | 325,000,000 | 450,000,000 | |||||
Senior Notes 2.95% [Member] | |||||||
Line of Credit Facility [Line Items] | |||||||
Aggregate principal amount | $ 60,000,000 | $ 60,000,000 | $ 60,000,000 | ||||
Percentage of senior notes | 2.95% | 2.95% | 2.95% | ||||
Senior notes maturity date | 2,019 | 2,019 | 2,019 | ||||
Senior Notes 3.59% [Member] | |||||||
Line of Credit Facility [Line Items] | |||||||
Aggregate principal amount | $ 165,000,000 | $ 165,000,000 | $ 165,000,000 | ||||
Percentage of senior notes | 3.59% | 3.59% | 3.59% | ||||
Senior notes maturity date | 2,022 | 2,022 | 2,022 | ||||
Senior Notes 3.74% [Member] | |||||||
Line of Credit Facility [Line Items] | |||||||
Aggregate principal amount | $ 100,000,000 | $ 100,000,000 | $ 100,000,000 | ||||
Percentage of senior notes | 3.74% | 3.74% | 3.74% | ||||
Senior notes maturity date | 2,024 | 2,024 | 2,024 | ||||
Senior Notes 4.63% [Member] | |||||||
Line of Credit Facility [Line Items] | |||||||
Aggregate principal amount | $ 50,000,000 | ||||||
Percentage of senior notes | 4.63% | ||||||
Senior notes maturity date | 2,013 | ||||||
Senior Notes 5.17% [Member] | |||||||
Line of Credit Facility [Line Items] | |||||||
Aggregate principal amount | $ 250,000,000 | $ 250,000,000 | |||||
Percentage of senior notes | 5.17% | 5.17% | 5.17% | ||||
Senior notes maturity date | 2,015 | 2,015 | 2,015 | ||||
Senior Notes 5.17% [Member] | Interest Rate Swap [Member] | |||||||
Line of Credit Facility [Line Items] | |||||||
Percentage of senior notes | 5.17% | ||||||
Senior notes maturity date | 2,015 | ||||||
Senior Notes 5.75% [Member] | |||||||
Line of Credit Facility [Line Items] | |||||||
Aggregate principal amount | $ 150,000,000 | $ 150,000,000 | $ 150,000,000 | ||||
Percentage of senior notes | 5.75% | 5.75% | 5.75% | ||||
Senior notes maturity date | 2,018 | 2,018 | 2,018 | ||||
Senior Notes 5.75% [Member] | Interest Rate Swap [Member] | |||||||
Line of Credit Facility [Line Items] | |||||||
Percentage of senior notes | 5.75% | ||||||
Senior notes maturity date | 2,018 | ||||||
Senior Notes 3.48% [Member] | |||||||
Line of Credit Facility [Line Items] | |||||||
Aggregate principal amount | $ 250,000,000 | ||||||
Percentage of senior notes | 3.48% | 3.48% | |||||
Senior notes maturity date | 2,025 | 2,025 | |||||
Senior Notes 3.48% [Member] | Interest Rate Swap Agreement [Member] | |||||||
Line of Credit Facility [Line Items] | |||||||
Aggregate principal amount | $ 250,000,000 | ||||||
Percentage of senior notes | 3.48% | ||||||
Period of long-term loan | 10 years | ||||||
Maturity date of long-term loan | Mar. 24, 2025 |
Long-Term Debt - Debt (Detail)
Long-Term Debt - Debt (Detail) - USD ($) $ in Thousands | Apr. 25, 2015 | Apr. 26, 2014 | Dec. 31, 2011 | Mar. 31, 2008 |
Debt Instrument [Line Items] | ||||
Total debt | $ 725,000 | $ 725,000 | ||
Less: current debt obligations | 0 | 0 | ||
Long-term debt | 725,000 | 725,000 | ||
Senior Notes 5.17% [Member] | ||||
Debt Instrument [Line Items] | ||||
Fixed rate senior notes due fiscal 2015 to 2025 | 250,000 | $ 250,000 | ||
Senior Notes 5.75% [Member] | ||||
Debt Instrument [Line Items] | ||||
Fixed rate senior notes due fiscal 2015 to 2025 | 150,000 | 150,000 | $ 150,000 | |
Senior Notes 2.95% [Member] | ||||
Debt Instrument [Line Items] | ||||
Fixed rate senior notes due fiscal 2015 to 2025 | 60,000 | 60,000 | $ 60,000 | |
Senior Notes 3.59% [Member] | ||||
Debt Instrument [Line Items] | ||||
Fixed rate senior notes due fiscal 2015 to 2025 | 165,000 | 165,000 | 165,000 | |
Senior Notes 3.74% [Member] | ||||
Debt Instrument [Line Items] | ||||
Fixed rate senior notes due fiscal 2015 to 2025 | 100,000 | $ 100,000 | $ 100,000 | |
Senior Notes 3.48% [Member] | ||||
Debt Instrument [Line Items] | ||||
Fixed rate senior notes due fiscal 2015 to 2025 | $ 250,000 |
Long-Term Debt - Debt (Parenthe
Long-Term Debt - Debt (Parenthetical) (Detail) | 1 Months Ended | 12 Months Ended | ||
Dec. 31, 2011 | Mar. 31, 2008 | Apr. 25, 2015 | Apr. 26, 2014 | |
Senior Notes 5.17% [Member] | ||||
Debt Instrument [Line Items] | ||||
Fixed rate | 5.17% | 5.17% | 5.17% | |
Senior notes maturity date | 2,015 | 2,015 | 2,015 | |
Senior Notes 5.75% [Member] | ||||
Debt Instrument [Line Items] | ||||
Fixed rate | 5.75% | 5.75% | 5.75% | |
Senior notes maturity date | 2,018 | 2,018 | 2,018 | |
Senior Notes 2.95% [Member] | ||||
Debt Instrument [Line Items] | ||||
Fixed rate | 2.95% | 2.95% | 2.95% | |
Senior notes maturity date | 2,019 | 2,019 | 2,019 | |
Senior Notes 3.59% [Member] | ||||
Debt Instrument [Line Items] | ||||
Fixed rate | 3.59% | 3.59% | 3.59% | |
Senior notes maturity date | 2,022 | 2,022 | 2,022 | |
Senior Notes 3.74% [Member] | ||||
Debt Instrument [Line Items] | ||||
Fixed rate | 3.74% | 3.74% | 3.74% | |
Senior notes maturity date | 2,024 | 2,024 | 2,024 | |
Senior Notes 3.48% [Member] | ||||
Debt Instrument [Line Items] | ||||
Fixed rate | 3.48% | 3.48% | ||
Senior notes maturity date | 2,025 | 2,025 |
Derivative Financial Instrume57
Derivative Financial Instruments - Additional Information (Detail) | 1 Months Ended | 12 Months Ended | ||||
Mar. 31, 2015USD ($) | Aug. 31, 2014USD ($) | Jan. 31, 2014USD ($) | Apr. 25, 2015USD ($)Derivative | Apr. 26, 2014USD ($) | Apr. 27, 2013USD ($) | |
Derivative [Line Items] | ||||||
Settlement of swap | $ 29,003,000 | |||||
Interest expense | $ 33,693,000 | $ 35,713,000 | $ 36,397,000 | |||
Long-term Debt [Member] | ||||||
Derivative [Line Items] | ||||||
Period of long-term loan | 10 years | |||||
Long-term loan | $ 250,000,000 | |||||
Senior Notes 3.48% [Member] | ||||||
Derivative [Line Items] | ||||||
Percentage of senior notes | 3.48% | 3.48% | ||||
Aggregate principal amount | $ 250,000,000 | |||||
Interest Rate Cap [Member] | ||||||
Derivative [Line Items] | ||||||
Notional amount of derivatives | $ 500,000,000 | $ 100,000,000 | ||||
Maturity date | 2022-11 | |||||
Number of interest rate caps purchased by PDC Funding | Derivative | 1 | |||||
Number of interest rate caps sold | Derivative | 1 | |||||
Interest Rate Cap [Member] | Replacement Agreement [Member] | ||||||
Derivative [Line Items] | ||||||
Notional amount of derivatives | $ 100,000,000 | |||||
Maturity date | 2022-10 | |||||
Interest Rate Swap [Member] | ||||||
Derivative [Line Items] | ||||||
Notional amount of derivatives | $ 250,000,000 | |||||
Percentage of senior notes | 5.17% | |||||
Senior notes amount due | $ 250,000,000 | |||||
Maturity date of long-term loan | Mar. 25, 2015 | |||||
Settlement of swap | $ 29,003,000 | |||||
Interest expense | $ 56,000 | |||||
Interest Rate Swap Agreement [Member] | ||||||
Derivative [Line Items] | ||||||
Notional amount of derivatives | $ 250,000,000 | |||||
Percentage of senior notes | 5.17% | |||||
Senior notes amount due | $ 250,000,000 | |||||
Maturity date of long-term loan | Mar. 25, 2015 | |||||
Settlement of swap | $ 29,003,000 | |||||
Interest Rate Swap Agreement [Member] | Senior Notes 3.48% [Member] | ||||||
Derivative [Line Items] | ||||||
Percentage of senior notes | 3.48% | |||||
Period of long-term loan | 10 years | |||||
Maturity date of long-term loan | Mar. 24, 2025 | |||||
Aggregate principal amount | $ 250,000,000 |
Derivative Financial Instrume58
Derivative Financial Instruments - Fair Value of Interest Rate Contracts Included in Consolidated Balance Sheets (Detail) - USD ($) $ in Thousands | Apr. 25, 2015 | Apr. 26, 2014 |
Derivatives, Fair Value [Line Items] | ||
Interest rate contracts, assets, fair value | $ 1,255 | $ 1,716 |
Interest rate, liabilities, fair value | 1,255 | 7,380 |
Other Noncurrent Assets [Member] | Interest Rate Contracts [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Interest rate contracts, assets, fair value | 1,255 | 1,716 |
Other Noncurrent Liabilities [Member] | Interest Rate Contracts [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Interest rate, liabilities, fair value | $ 1,255 | 1,720 |
Other Current Liabilities [Member] | Interest Rate Swap [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Interest rate, liabilities, fair value | $ 5,660 |
Derivative Financial Instrume59
Derivative Financial Instruments - Effect of Interest Rate Contracts and Interest Rate Swaps on Consolidated Statements of Income and Other Comprehensive Income (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Apr. 25, 2015 | Apr. 26, 2014 | Apr. 27, 2013 | |
Interest Rate Contracts [Member] | Other Income, Net [Member] | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Effect of interest rate contracts | $ 4 | $ 78 | |
Interest Rate Swap [Member] | Other Comprehensive Income [Member] | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Effect of interest rate contracts | $ (12,445) | $ (5,660) |
Fair Value Measurements - Asset
Fair Value Measurements - Assets and Liabilities Measured at Fair Value on Recurring Basis (Detail) - USD ($) $ in Thousands | Apr. 25, 2015 | Apr. 26, 2014 |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Cash equivalents | $ 90,569 | $ 51,511 |
Derivative instruments, assets | 1,255 | 1,716 |
Total assets | 91,824 | 53,227 |
Derivative instruments, liabilities | 1,255 | 7,380 |
Fair Value, Inputs, Level 1 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Cash equivalents | 90,569 | 51,511 |
Total assets | 90,569 | 51,511 |
Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Derivative instruments, assets | 1,255 | 1,716 |
Total assets | 1,255 | 1,716 |
Derivative instruments, liabilities | $ 1,255 | $ 7,380 |
Fair Value Measurements - Addit
Fair Value Measurements - Additional Information (Detail) - USD ($) $ in Thousands | Apr. 25, 2015 | Apr. 26, 2014 |
Fair Value Disclosures [Abstract] | ||
Estimated fair value of debt | $ 746,685 | $ 742,619 |
Carrying value of debt | $ 725,000 | $ 725,000 |
Securities - Additional Informa
Securities - Additional Information (Detail) CAD in Thousands, $ in Thousands | Apr. 25, 2015USD ($) | Apr. 25, 2015CAD | Oct. 24, 2014CAD | Apr. 26, 2014USD ($) | Oct. 25, 2013CAD |
Investments, Debt and Equity Securities [Abstract] | |||||
Total principal amount | CAD 65,000 | CAD 45,000 | CAD 110,000 | ||
Maturity value of time deposits | CAD 45,436 | ||||
Short-term investments | $ | $ 53,372 | $ 40,775 |
Lease Commitments - Future Mini
Lease Commitments - Future Minimum Rental Payments Under Non-cancelable Operating Leases (Detail) $ in Thousands | Apr. 25, 2015USD ($) |
Commitments and Contingencies Disclosure [Abstract] | |
2,016 | $ 21,133 |
2,017 | 16,052 |
2,018 | 12,784 |
2,019 | 8,953 |
2,020 | 6,881 |
Thereafter | 7,670 |
Total | $ 73,473 |
Lease Commitments - Additional
Lease Commitments - Additional Information (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Apr. 25, 2015 | Apr. 26, 2014 | Apr. 27, 2013 | |
Commitments and Contingencies Disclosure [Abstract] | |||
Rent expense | $ 21,112 | $ 21,290 | $ 22,016 |
Income Taxes - Components of Pr
Income Taxes - Components of Provision for Income Taxes (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Apr. 25, 2015 | Apr. 26, 2014 | Apr. 27, 2013 | |
Income Tax Disclosure [Abstract] | |||
Current, Federal | $ 91,264 | $ 84,353 | $ 80,290 |
Current, Foreign | 11,802 | 9,667 | 13,471 |
Current, State | 10,642 | 10,515 | 10,035 |
Total current | 113,708 | 104,535 | 103,796 |
Deferred, Federal | 2,148 | 7,501 | 6,667 |
Deferred, Foreign | 3,542 | (240) | (963) |
Deferred, State | 12 | 504 | 1,345 |
Total deferred | 5,702 | 7,765 | 7,049 |
Provision for income taxes | $ 119,410 | $ 112,300 | $ 110,845 |
Income Taxes - Components of De
Income Taxes - Components of Deferred Tax Assets (Liabilities) (Detail) - USD ($) $ in Thousands | Apr. 25, 2015 | Apr. 26, 2014 |
Income Tax Disclosure [Abstract] | ||
Capital accumulation plan | $ 5,812 | $ 5,893 |
Inventory related items | 5,974 | 5,512 |
Bad debt allowance | 1,548 | 1,518 |
LIFO reserve | (18,179) | (16,279) |
Other | 13,987 | 13,447 |
Deferred net current income tax asset | 9,142 | 10,091 |
Amortizable intangibles | (25,374) | (26,590) |
Goodwill | (76,300) | (69,613) |
Property, plant, equipment | (4,696) | (4,744) |
Stock based compensation expense | 9,129 | 8,130 |
Net operating loss carryforwards | 5,661 | 6,848 |
Interest rate swap | 10,843 | |
Other | (3,087) | (4,276) |
Deferred long-term income tax (liability) asset | (83,824) | (90,245) |
Valuation allowance | (4,440) | (3,759) |
Deferred net long-term income tax liability | (88,264) | (94,004) |
Net deferred income tax liability | $ (79,122) | $ (83,913) |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Apr. 25, 2015 | Apr. 26, 2014 | Apr. 27, 2013 | |
Income Tax Disclosure [Abstract] | |||
Foreign net operating loss carryforwards | $ 25,825 | ||
Deferred tax assets from net operating loss carryforwards | 5,661 | $ 6,848 | |
Undistributed earnings subject to federal income tax | 269,299 | ||
Gross unrecognized tax benefits | 18,987 | 19,687 | $ 19,155 |
Deferred tax assets, net | 4,731 | 5,003 | |
Interest and penalties | 1,925 | $ 2,124 | |
Increase in interest and penalties expense | $ 448 |
Income Taxes - Summary of Effec
Income Taxes - Summary of Effective Income Tax Expense Reconciliation (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Apr. 25, 2015 | Apr. 26, 2014 | Apr. 27, 2013 | |
Income Tax Disclosure [Abstract] | |||
Tax at U.S. statutory rate | $ 119,935 | $ 109,519 | $ 112,391 |
State tax provision, net of federal benefit | 7,758 | 7,768 | 8,322 |
Effect of foreign taxes | (1,506) | 461 | (4,603) |
Permanent differences | (5,549) | (4,843) | (3,439) |
Other | (1,228) | (605) | (1,826) |
Provision for income taxes | $ 119,410 | $ 112,300 | $ 110,845 |
Income Taxes - Summary of Chang
Income Taxes - Summary of Changes in Gross Amounts of Unrecognized Tax Benefits (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Apr. 25, 2015 | Apr. 26, 2014 | |
Income Tax Disclosure [Abstract] | ||
Balance at beginning of period | $ 19,687 | $ 19,155 |
Additions for tax positions related to the current year | 2,995 | 2,801 |
Additions for tax positions of prior years | 57 | 1,372 |
Reductions for tax positions of prior years | (551) | (893) |
Statute expirations | (3,201) | (2,655) |
Settlements | (93) | |
Balance at end of period | $ 18,987 | $ 19,687 |
Segment and Geographic Data - A
Segment and Geographic Data - Additional Information (Detail) - 12 months ended Apr. 25, 2015 - Segment | Total |
Segment Reporting [Abstract] | |
Number of reportable segments | 3 |
Maximum percentage of sales generated by other than United States | 10.00% |
Segment and Geographic Data - I
Segment and Geographic Data - Information about Reportable Segments (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Apr. 25, 2015 | Jan. 24, 2015 | Oct. 25, 2014 | Jul. 26, 2014 | Apr. 26, 2014 | Jan. 25, 2014 | Oct. 26, 2013 | Jul. 27, 2013 | Apr. 25, 2015 | Apr. 26, 2014 | Apr. 27, 2013 | |
Segment Reporting Information [Line Items] | |||||||||||
Net sales | $ 1,148,854 | $ 1,063,312 | $ 1,103,325 | $ 1,059,529 | $ 1,102,077 | $ 1,082,679 | $ 998,834 | $ 880,125 | $ 4,375,020 | $ 4,063,715 | $ 3,637,212 |
Operating income | 106,696 | $ 90,756 | $ 91,221 | $ 84,754 | 92,601 | $ 96,651 | $ 75,223 | $ 81,281 | 373,427 | 345,756 | 354,455 |
Depreciation and amortization | 51,330 | 49,986 | 46,002 | ||||||||
Total assets | 2,947,706 | 2,864,677 | 2,947,706 | 2,864,677 | |||||||
Dental Supply [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Net sales | 2,454,295 | 2,382,096 | 2,379,970 | ||||||||
Operating income | 249,575 | 249,138 | 247,747 | ||||||||
Depreciation and amortization | 35,662 | 35,209 | 34,953 | ||||||||
Total assets | 1,500,736 | 1,342,333 | 1,500,736 | 1,342,333 | |||||||
Rehabilitation Supply [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Net sales | 464,155 | 478,574 | 501,997 | ||||||||
Operating income | 67,182 | 46,763 | 65,027 | ||||||||
Depreciation and amortization | 6,807 | 7,540 | 7,683 | ||||||||
Total assets | 815,526 | 876,211 | 815,526 | 876,211 | |||||||
Veterinary Supply [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Net sales | 1,456,570 | 1,203,045 | 755,245 | ||||||||
Operating income | 56,670 | 49,855 | 41,681 | ||||||||
Depreciation and amortization | 8,861 | 7,237 | $ 3,366 | ||||||||
Total assets | $ 631,444 | $ 646,133 | $ 631,444 | $ 646,133 |
Segment and Geographic Data - S
Segment and Geographic Data - Sales Information by Product (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Apr. 25, 2015 | Jan. 24, 2015 | Oct. 25, 2014 | Jul. 26, 2014 | Apr. 26, 2014 | Jan. 25, 2014 | Oct. 26, 2013 | Jul. 27, 2013 | Apr. 25, 2015 | Apr. 26, 2014 | Apr. 27, 2013 | |
Segment Reporting Information [Line Items] | |||||||||||
Net sales | $ 1,148,854 | $ 1,063,312 | $ 1,103,325 | $ 1,059,529 | $ 1,102,077 | $ 1,082,679 | $ 998,834 | $ 880,125 | $ 4,375,020 | $ 4,063,715 | $ 3,637,212 |
Consumable and Printed Products [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Net sales | 3,083,113 | 2,810,491 | 2,377,635 | ||||||||
Equipment and Software [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Net sales | 958,067 | 940,088 | 959,539 | ||||||||
Other Products and Services [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Net sales | 333,840 | 313,136 | 300,038 | ||||||||
Dental Supply [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Net sales | 2,454,295 | 2,382,096 | 2,379,970 | ||||||||
Dental Supply [Member] | Consumable and Printed Products [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Net sales | 1,355,982 | 1,323,378 | 1,307,450 | ||||||||
Dental Supply [Member] | Equipment and Software [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Net sales | 818,342 | 795,132 | 809,652 | ||||||||
Dental Supply [Member] | Other Products and Services [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Net sales | 279,971 | 263,586 | 262,868 | ||||||||
Rehabilitation Supply [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Net sales | 464,155 | 478,574 | 501,997 | ||||||||
Rehabilitation Supply [Member] | Consumable and Printed Products [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Net sales | 346,704 | 352,181 | 361,164 | ||||||||
Rehabilitation Supply [Member] | Equipment and Software [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Net sales | 93,054 | 100,936 | 114,818 | ||||||||
Rehabilitation Supply [Member] | Other Products and Services [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Net sales | 24,397 | 25,457 | 26,015 | ||||||||
Veterinary Supply [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Net sales | 1,456,570 | 1,203,045 | 755,245 | ||||||||
Veterinary Supply [Member] | Consumable and Printed Products [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Net sales | 1,380,427 | 1,134,932 | 709,021 | ||||||||
Veterinary Supply [Member] | Equipment and Software [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Net sales | 46,671 | 44,020 | 35,069 | ||||||||
Veterinary Supply [Member] | Other Products and Services [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Net sales | $ 29,472 | $ 24,093 | $ 11,155 |
Segment and Geographic Data -73
Segment and Geographic Data - Information by Geographic Area (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Apr. 25, 2015 | Jan. 24, 2015 | Oct. 25, 2014 | Jul. 26, 2014 | Apr. 26, 2014 | Jan. 25, 2014 | Oct. 26, 2013 | Jul. 27, 2013 | Apr. 25, 2015 | Apr. 26, 2014 | Apr. 27, 2013 | |
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Net sales | $ 1,148,854 | $ 1,063,312 | $ 1,103,325 | $ 1,059,529 | $ 1,102,077 | $ 1,082,679 | $ 998,834 | $ 880,125 | $ 4,375,020 | $ 4,063,715 | $ 3,637,212 |
Income before tax | 342,671 | 312,912 | 321,117 | ||||||||
Property and equipment, net | 226,805 | 204,939 | 226,805 | 204,939 | |||||||
United States [Member] | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Net sales | 3,368,828 | 3,265,939 | 3,211,979 | ||||||||
Income before tax | 294,530 | 289,037 | 273,037 | ||||||||
Property and equipment, net | 197,484 | 164,960 | 197,484 | 164,960 | |||||||
United Kingdom [Member] | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Net sales | 727,741 | 512,040 | 100,150 | ||||||||
Property and equipment, net | 15,412 | 20,434 | 15,412 | 20,434 | |||||||
International [Member] | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Net sales | 278,451 | 285,736 | 325,083 | ||||||||
Income before tax | 48,141 | 23,875 | $ 48,080 | ||||||||
Property and equipment, net | $ 13,909 | $ 19,545 | $ 13,909 | $ 19,545 |
Stockholders' Equity - Cash Div
Stockholders' Equity - Cash Dividends Declared and Paid (Detail) - $ / shares | 3 Months Ended | |||||||||||
Apr. 25, 2015 | Jan. 24, 2015 | Oct. 25, 2014 | Jul. 26, 2014 | Apr. 26, 2014 | Jan. 25, 2014 | Oct. 26, 2013 | Jul. 27, 2013 | Apr. 27, 2013 | Jan. 26, 2013 | Oct. 27, 2012 | Jul. 28, 2012 | |
Equity [Abstract] | ||||||||||||
Cash dividend paid | $ 0.22 | $ 0.20 | $ 0.20 | $ 0.20 | $ 0.20 | $ 0.16 | $ 0.16 | $ 0.16 | $ 0.16 | $ 0.14 | $ 0.14 | $ 0.14 |
Stockholders' Equity - Addition
Stockholders' Equity - Additional Information (Detail) - USD ($) $ / shares in Units, $ in Thousands | Sep. 11, 2006 | Mar. 31, 2011 | Apr. 25, 2015 | Apr. 26, 2014 | Apr. 27, 2013 | Apr. 28, 2012 | Mar. 19, 2013 | Dec. 31, 2007 |
Shareholders Equity [Line Items] | ||||||||
Common stock repurchased and retired, shares | 1,194,000 | 2,354,000 | 5,224,000 | |||||
Common stock repurchased and retired, value | $ 47,539 | $ 96,486 | $ 181,756 | |||||
Average cost of common shares repurchased and retired | $ 39.81 | $ 40.99 | $ 34.79 | |||||
Shares authorized for repurchase under share repurchase program | 25,000,000 | 25,000,000 | ||||||
Remaining shares available under repurchase program | 20,852,000 | |||||||
Shares repurchase under share repurchase program | 20,500,000 | |||||||
Additional shares authorized for New repurchase under share repurchase program | 25,000,000 | |||||||
Stock repurchase program, expiration date | Mar. 15, 2016 | |||||||
Hours of service completed in order to be allocated shares of stock acquired by plan | 1000 hours | |||||||
Number of shares allocated to ESOP | 12,798,000 | |||||||
Number of shares allocated to ESOP, Fair value | $ 616,760 | |||||||
Fair value of unearned shares by ESOP | $ 77,738 | $ 85,944 | ||||||
Minimum [Member] | ||||||||
Shareholders Equity [Line Items] | ||||||||
Unearned shares held by ESOP to occur over a period | 5 years | |||||||
Maximum [Member] | ||||||||
Shareholders Equity [Line Items] | ||||||||
Unearned shares held by ESOP to occur over a period | 10 years | |||||||
Unearned ESOP Shares [Member] | ||||||||
Shareholders Equity [Line Items] | ||||||||
Fair value of unearned shares by ESOP | $ 119,848 | |||||||
Thompson Dental Company [Member] | ||||||||
Shareholders Equity [Line Items] | ||||||||
Additional loan to ESOP | $ 12,612 | |||||||
ESOP acquiring shares during acquisition | 666,000 | |||||||
Interest due from ESOP | $ 200 | |||||||
Total shares allocated to ESOP | 98,000 | |||||||
Remaining shares in ESOP | 568,000 | |||||||
Shares secured with an aggregate cost | $ 393 | 373 | $ 363 | |||||
Committed-to-be-released shares | 9,000 | |||||||
Suspense shares | 445,000 | |||||||
1990 Note [Member] | ||||||||
Shareholders Equity [Line Items] | ||||||||
ESOP company loan | $ 22,000 | |||||||
2006 Senior Notes [Member] | ||||||||
Shareholders Equity [Line Items] | ||||||||
ESOP company loan | $ 105,000 | |||||||
ESOP acquiring shares during acquisition | 3,160,000 | 844,000 | ||||||
Shares secured with an aggregate cost | $ 10,650 | $ 10,959 | $ 20,214 | |||||
Contributed to ESOP | $ 23,639 | |||||||
Committed-to-be-released shares | 241,000 | |||||||
Suspense shares | 2,042,000 |
Stock-Based Compensation - Addi
Stock-Based Compensation - Additional Information (Detail) - USD ($) $ / shares in Units, $ in Thousands | 6 Months Ended | 12 Months Ended | ||
Jun. 30, 2012 | Apr. 25, 2015 | Apr. 26, 2014 | Apr. 27, 2013 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Expense recognized | $ 15,442 | $ 8,686 | $ 14,625 | |
After-tax stock-based compensation expense | 10,167 | 5,896 | 9,452 | |
Excess benefits | 255 | $ 1,290 | $ 2,487 | |
Compensation cost before income taxes related to non-vested awards yet to be recognized | $ 30,008 | |||
Total compensation cost expected to be recognized over a weighted average period | 2 years | |||
Expected dividend yield | 0.00% | |||
Weighted average fair values of options granted | $ 9.78 | $ 11.02 | $ 10.15 | |
Weighted average remaining contractual lives of options outstanding | 5 years 4 months 24 days | |||
Weighted average remaining contractual lives of options exercisable | 2 years 6 months | |||
Stock options exercised, intrinsic value | $ 290 | $ 1,722 | $ 3,397 | |
Stock options exercised, cash received | 1,710 | 12,309 | 6,518 | |
Stock options exercised, tax benefits realized | 286 | 1,273 | 641 | |
Employee Stock Option [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Expense recognized | $ 451 | 768 | 1,175 | |
Patterson Dental Company 1992 Stock Option Plan [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Shares of common stock reserved for issuance | 6,000,000 | |||
Equity Incentive Plan [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Vesting period | 10 years | |||
Number of shares available for awards | 2,882,000 | |||
Equity Incentive Plan Amendment [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share limit removed from number of shares issued | 2,000,000 | |||
Restricted Stock And Restricted Stock Units [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Minimum restriction period for restricted stock and restricted stock units | 3 years | |||
Performance Unit Awards [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Vesting period | 3 years | |||
Minimum restriction period for performance based awards | 1 year | |||
Restricted Stock Units And Performance Stock Unit Awards [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Expense recognized | $ 11,204 | 4,793 | 10,255 | |
Vesting period | 3 years | |||
Total fair value of restricted stock awards vested in period | $ 8,474 | 6,831 | 6,923 | |
Restricted Stock Units And Performance Stock Unit Awards [Member] | Scenario 1 [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Vesting period | 5 years | |||
Restricted Stock Units And Performance Stock Unit Awards [Member] | Scenario 2 [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Vesting period | 7 years | |||
Restricted Stock Units And Performance Stock Unit Awards [Member] | Scenario 3 [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Vesting period | 9 years | |||
Restricted Stock Units And Performance Stock Unit Awards [Member] | Management [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Vesting period | 3 years | |||
Employee Stock Purchase Plan [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Expense recognized | $ 2,048 | $ 1,838 | $ 1,816 | |
Expected dividend yield | 1.60% | 1.60% | 1.60% | |
Shares of common stock reserved for issuance | 4,750,000 | |||
Number of shares available for awards | 1,500,000 | |||
Number of months required for eligibility to participate in plan | Employees are eligible to participate after six months of employment, if they are employed for at least 20 hours per week and more than five months per year. | |||
Common stock purchases represented as percentage of employee's compensation | 10.00% | |||
Percentage of fair market value of the common stock | 85.00% | |||
Shares issued under stock plan | 6,750,000 | |||
Capital Accumulation Plan (CAP) [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Expense recognized | $ 1,739 | $ 1,287 | $ 1,379 | |
Expected dividend yield | 1.60% | 1.60% | 1.60% | |
Number of shares available for awards | 2,053,000 | |||
Percentage of fair market value of the common stock | 75.00% | |||
Common stock purchases represented as percentage of employee's compensation, minimum | 5.00% | |||
Common stock purchases represented as percentage of employee's compensation, maximum | 25.00% |
Stock-Based Compensation - Summ
Stock-Based Compensation - Summary of Weighted-Average Assumptions (Detail) | 12 Months Ended | ||
Apr. 25, 2015 | Apr. 26, 2014 | Apr. 27, 2013 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Expected dividend yield | 0.00% | ||
Capital Accumulation Plan (CAP) [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Expected dividend yield | 1.60% | 1.60% | 1.60% |
Expected stock price volatility | 31.00% | 31.00% | 31.00% |
Risk-free interest rate | 0.30% | 0.30% | 0.30% |
Expected life of options (years) | 1 year | 1 year | 1 year |
Director And Employee Stock Option Plans [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Expected dividend yield | 2.00% | 1.80% | 1.60% |
Expected stock price volatility | 26.30% | 30.00% | 30.60% |
Risk-free interest rate | 2.10% | 1.50% | 1.40% |
Expected life of options (years) | 7 years | 7 years 1 month 6 days | 7 years 6 months |
Employee Stock Purchase Plan [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Expected dividend yield | 1.60% | 1.60% | 1.60% |
Expected stock price volatility | 31.00% | 31.00% | 31.00% |
Risk-free interest rate | 0.10% | 0.10% | 0.20% |
Expected life of options (years) | 6 months | 6 months | 6 months |
Stock-Based Compensation - Su78
Stock-Based Compensation - Summary of Stock Options (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 12 Months Ended | ||
Apr. 25, 2015 | Apr. 26, 2014 | Apr. 27, 2013 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |||
Number of Options, Beginning balance | 389 | 721 | 986 |
Number of Options, Granted | 74 | 57 | 56 |
Number of Options, Exercised | (49) | (345) | (290) |
Number of Options, Canceled | (76) | (44) | (31) |
Number of Options, Ending balance | 338 | 389 | 721 |
Weighted-Average Exercise Price, Beginning balance | $ 35.29 | $ 35.03 | $ 31.45 |
Number of Options, Vested or expected to vest at end of year | 292 | ||
Weighted-Average Exercise Price, Granted | $ 39.64 | 39.33 | 34.10 |
Number of Options, Exercisable at end of year | 108 | ||
Weighted-Average Exercise Price, Exercised | $ 34.73 | 35.73 | 22.49 |
Weighted-Average Exercise Price, Canceled | 35.81 | 33.11 | 33.79 |
Weighted-Average Exercise Price, Ending balance | 36.22 | $ 35.29 | $ 35.03 |
Weighted-Average Exercise Price, Vested or expected to vest at end of year | 36.36 | ||
Weighted-Average Exercise Price, Exercisable at end of year | $ 38.02 | ||
Intrinsic Value, Balance at end of year | $ 4,081 | ||
Intrinsic Value, Vested or expected to vest at end of year | 3,491 | ||
Intrinsic Value, Exercisable at end of year | $ 1,131 |
Stock-Based Compensation - Su79
Stock-Based Compensation - Summary of Non-Vested Restricted Stock Awards and Performance Unit Awards (Detail) - $ / shares shares in Thousands | 12 Months Ended | ||
Apr. 25, 2015 | Apr. 26, 2014 | Apr. 27, 2013 | |
Restricted Stock Awards [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Shares Outstanding, Beginning balance | 1,223 | 1,157 | 1,162 |
Shares, Granted | 271 | 283 | 314 |
Shares, Vested | (207) | (174) | (192) |
Shares, Forfeitures and cancellations | (119) | (43) | (127) |
Shares Outstanding, Ending balance | 1,168 | 1,223 | 1,157 |
Weighted Average Grant-Date Fair Value, Beginning balance | $ 33.02 | $ 31.82 | $ 30.92 |
Weighted Average Grant-Date Fair Value, Granted | 39.87 | 38.02 | 34.10 |
Weighted Average Grant-Date Fair Value, Vested | 34.52 | 38.76 | 35.62 |
Weighted Average Grant-Date Fair Value, Forfeitures | 32.83 | 31.91 | 30.98 |
Weighted Average Grant-Date Fair Value, Ending balance | $ 34.39 | $ 33.02 | $ 31.82 |
Performance Unit Awards [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Shares Outstanding, Beginning balance | 327 | 205 | 96 |
Shares, Granted | 133 | 124 | 130 |
Shares, Vested | (9) | ||
Shares, Forfeitures and cancellations | (124) | (2) | (21) |
Shares Outstanding, Ending balance | 327 | 327 | 205 |
Weighted Average Grant-Date Fair Value, Beginning balance | $ 35.59 | $ 34.09 | $ 35.41 |
Weighted Average Grant-Date Fair Value, Granted | 39.72 | 38.05 | 34.09 |
Weighted Average Grant-Date Fair Value, Vested | 35.22 | ||
Weighted Average Grant-Date Fair Value, Forfeitures | 35.72 | 34.75 | 34.09 |
Weighted Average Grant-Date Fair Value, Ending balance | $ 37.57 | $ 35.59 | $ 34.09 |
Quarterly Results (Unaudited) -
Quarterly Results (Unaudited) - Summary of Quarterly Results (Detail) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Apr. 25, 2015 | Jan. 24, 2015 | Oct. 25, 2014 | Jul. 26, 2014 | Apr. 26, 2014 | Jan. 25, 2014 | Oct. 26, 2013 | Jul. 27, 2013 | Apr. 25, 2015 | Apr. 26, 2014 | Apr. 27, 2013 | |
Quarterly Financial Information Disclosure [Abstract] | |||||||||||
Net sales | $ 1,148,854 | $ 1,063,312 | $ 1,103,325 | $ 1,059,529 | $ 1,102,077 | $ 1,082,679 | $ 998,834 | $ 880,125 | $ 4,375,020 | $ 4,063,715 | $ 3,637,212 |
Gross profit | 333,600 | 302,559 | 305,822 | 296,225 | 315,868 | 311,461 | 289,431 | 281,518 | 1,238,206 | 1,198,278 | 1,190,769 |
Operating income | 106,696 | 90,756 | 91,221 | 84,754 | 92,601 | 96,651 | 75,223 | 81,281 | 373,427 | 345,756 | 354,455 |
Net income | $ 64,518 | $ 54,676 | $ 53,778 | $ 50,289 | $ 55,671 | $ 57,021 | $ 42,028 | $ 45,892 | $ 223,261 | $ 200,612 | $ 210,272 |
Earnings per share - basic | $ 0.65 | $ 0.55 | $ 0.54 | $ 0.51 | $ 0.56 | $ 0.56 | $ 0.42 | $ 0.45 | $ 2.26 | $ 1.99 | $ 2.04 |
Earnings per share - diluted | $ 0.65 | $ 0.55 | $ 0.54 | $ 0.50 | $ 0.55 | $ 0.56 | $ 0.41 | $ 0.45 | $ 2.24 | $ 1.97 | $ 2.03 |
Quarterly Results (Unaudited)81
Quarterly Results (Unaudited) - Summary of Quarterly Results (Parenthetical) (Detail) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Apr. 25, 2015 | Jan. 24, 2015 | Oct. 25, 2014 | Jul. 26, 2014 | Apr. 26, 2014 | Jan. 25, 2014 | Oct. 26, 2013 | Jul. 27, 2013 | Apr. 25, 2015 | Apr. 26, 2014 | Apr. 27, 2013 | |
Quarterly Financial Information [Line Items] | |||||||||||
Diluted share | $ 0.65 | $ 0.55 | $ 0.54 | $ 0.50 | $ 0.55 | $ 0.56 | $ 0.41 | $ 0.45 | $ 2.24 | $ 1.97 | $ 2.03 |
Animal Health International [Member] | Patterson Medical [Member] | |||||||||||
Quarterly Financial Information [Line Items] | |||||||||||
Pre-tax transaction costs | $ 4,645 | $ 4,645 | |||||||||
Diluted share | $ 0.03 | ||||||||||
Medical Segment [Member] | |||||||||||
Quarterly Financial Information [Line Items] | |||||||||||
Pre-tax transaction costs | $ 7,404 | $ 1,255 | $ 6,779 | $ 7,404 | |||||||
Diluted share | $ 0.06 | $ 0.01 | $ 0.07 |
Accumulated Other Comprehensi82
Accumulated Other Comprehensive Income (Loss) - Summary of Accumulated Other Comprehensive Income (Loss) (Detail) $ in Thousands | 12 Months Ended |
Apr. 25, 2015USD ($) | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |
Accumulated other comprehensive income (loss) at April 26, 2014 | $ 25,370 |
Other comprehensive income (loss) before reclassifications | (85,681) |
Amounts reclassified from accumulated other comprehensive income (loss) | (35) |
Accumulated other comprehensive income (loss) at April 25, 2015 | (60,346) |
Cash Flow Hedges [Member] | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |
Accumulated other comprehensive income (loss) at April 26, 2014 | (6,223) |
Other comprehensive income (loss) before reclassifications | (12,410) |
Amounts reclassified from accumulated other comprehensive income (loss) | (35) |
Accumulated other comprehensive income (loss) at April 25, 2015 | (18,668) |
Currency Translation Adjustment [Member] | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |
Accumulated other comprehensive income (loss) at April 26, 2014 | 31,593 |
Other comprehensive income (loss) before reclassifications | (73,271) |
Accumulated other comprehensive income (loss) at April 25, 2015 | $ (41,678) |
Accumulated Other Comprehensi83
Accumulated Other Comprehensive Income (Loss) - Additional Information (Detail) $ in Thousands | 12 Months Ended |
Apr. 25, 2015USD ($) | |
Uncategorized [Abstract] | |
Gains and losses on cash flow hedges, tax | $ 91 |
Increase in interest expense | $ 56 |
Subsequent Events - Additional
Subsequent Events - Additional Information (Detail) - USD ($) $ in Thousands | Jun. 16, 2015 | Apr. 25, 2015 | Jan. 24, 2015 | Oct. 25, 2014 | Jul. 26, 2014 | Apr. 26, 2014 | Jan. 25, 2014 | Oct. 26, 2013 | Jul. 27, 2013 | Apr. 25, 2015 | Mar. 31, 2015 | Apr. 26, 2014 | Apr. 27, 2013 |
Subsequent Event [Line Items] | |||||||||||||
Net sales | $ 1,148,854 | $ 1,063,312 | $ 1,103,325 | $ 1,059,529 | $ 1,102,077 | $ 1,082,679 | $ 998,834 | $ 880,125 | $ 4,375,020 | $ 4,063,715 | $ 3,637,212 | ||
Initial interest rate under the credit agreement description | LIBOR plus 200 basis points | ||||||||||||
Animal Health International [Member] | |||||||||||||
Subsequent Event [Line Items] | |||||||||||||
Net sales | $ 1,500,000 | ||||||||||||
EBITDA | $ 68,000 | ||||||||||||
Subsequent Event | LIBOR [Member] | |||||||||||||
Subsequent Event [Line Items] | |||||||||||||
Interest floating rate based on LIBOR | 2.00% | ||||||||||||
Subsequent Event | Animal Health International [Member] | |||||||||||||
Subsequent Event [Line Items] | |||||||||||||
Business acquisition cash paid | $ 1,100,000 | ||||||||||||
Subsequent Event | Revolving Credit Facility [Member] | Animal Health International [Member] | |||||||||||||
Subsequent Event [Line Items] | |||||||||||||
Unsecured debt | 500,000 | ||||||||||||
Subsequent Event | Term Loan | Animal Health International [Member] | |||||||||||||
Subsequent Event [Line Items] | |||||||||||||
Unsecured debt | $ 1,000,000 |
Schedule II - Valuation and Qua
Schedule II - Valuation and Qualifying Accounts (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Apr. 25, 2015 | Apr. 26, 2014 | Apr. 27, 2013 | |
Allowance for Doubtful Accounts [Member] | |||
Valuation and Qualifying Accounts Disclosure [Line Items] | |||
Balance at Beginning of Period | $ 9,873 | $ 5,808 | $ 7,831 |
Charged to Costs and Expenses | 3,384 | 3,220 | 1,119 |
Charged to Other Accounts | 3,552 | ||
Deductions | 4,838 | 2,707 | 3,142 |
Balance at End of Period | 8,419 | 9,873 | 5,808 |
LIFO Inventory Adjustment [Member] | |||
Valuation and Qualifying Accounts Disclosure [Line Items] | |||
Balance at Beginning of Period | 74,607 | 70,415 | 66,808 |
Charged to Costs and Expenses | 1,867 | 4,192 | 3,607 |
Balance at End of Period | 76,474 | 74,607 | 70,415 |
Inventory Obsolescence Reserve [Member] | |||
Valuation and Qualifying Accounts Disclosure [Line Items] | |||
Balance at Beginning of Period | 8,663 | 6,333 | 5,456 |
Charged to Costs and Expenses | 15,600 | 14,846 | 10,863 |
Charged to Other Accounts | 391 | ||
Deductions | 16,827 | 12,907 | 9,986 |
Balance at End of Period | 7,436 | 8,663 | 6,333 |
Total Inventory Reserve [Member] | |||
Valuation and Qualifying Accounts Disclosure [Line Items] | |||
Balance at Beginning of Period | 83,270 | 76,748 | 72,264 |
Charged to Costs and Expenses | 17,467 | 19,038 | 14,470 |
Charged to Other Accounts | 391 | ||
Deductions | 16,827 | 12,907 | 9,986 |
Balance at End of Period | $ 83,910 | $ 83,270 | $ 76,748 |