Exhibit 99.1
JoS. A. Bank Clothiers' First Quarter Earnings More Than Double; Earnings
Guidance Increases
HAMPSTEAD, Md.--(BUSINESS WIRE)--May 25, 2004--JoS. A. Bank Clothiers, Inc.
(Nasdaq National Market: "JOSB") announced earnings per share of $0.47 for the
first quarter of FY2004 compared with earnings per share of $0.20 in the first
quarter of FY2003 - representing an increase of 135% and another record quarter
for the Company when compared with the same quarter of the prior year.
The Company also increased its earnings guidance for the fiscal year ending
January 29, 2005 (FY2004) to an estimated annual net income of at least $23.3
million compared with net income of $16.6 million in FY2003. The current
management team was brought together in late 1999 and FY2004 represents the
fifth year executing their strategic plan. The FY2004 results would mark a five
year average annual compounded net income growth rate of approximately 75%, with
each year increasing no less than 30%.
"We are pleased to start the new year with such outstanding results,"
stated Robert N. Wildrick, Chief Executive Officer of JoS. A. Bank Clothiers,
Inc. "Our new product innovations, including the wrinkle-and-stain-resistant
shirts and pants and our luxurious Signature and Signature Gold products, have
performed well. I am also looking forward to the kick-off of our new
brand-building campaign in the second half of this year. We believe this is
another key step to position JoS. A. Bank Clothiers as the premiere upscale
menswear brand in the United States."
The Company noted that its new store openings were on plan for the first
quarter and that management is pleased with the aggregate performance of these
stores. The Company plans to open 55 to 65 stores in FY2004, with ten new stores
opened to date, ten additional stores scheduled to open in the second quarter
and 35 to 45 new stores coming on line in the last half of the year.
As previously reported, total sales for the first quarter ended May 1, 2004
increased 28.3% to $79.9 million, compared with $62.3 million in the first
quarter of 2003. Comparable store sales increased 13.6% while combined catalog
and internet sales increased 18.7% in the first quarter of 2004.
All earnings per share amounts discussed herein refer to diluted earnings
per share and reflect the impact of a 50% stock dividend that was distributed to
stockholders on February 18, 2004.
A conference call to discuss this earnings press release is scheduled for
today, May 25, 2004 at 11:00 a.m. Eastern Time (EDT). To participate in the call
today, please dial 888-428-4478 at least five minutes before 11:00 a.m. EDT. A
replay of the conference call will be available after 2:30 p.m. EDT on May 25,
2004 until June 2, 2004 at 11:59 p.m. EDT by dialing (USA) 800-475-6701 or
(International) 320-365-3844. The access code for the replay will be 730865.
The conference call is also available by webcast. To participate in the
webcast, please go to www.josbank.com, select Investor Relations, click on Live
Webcast, and Click Here for Webcast.
JoS. A. Bank Clothiers, Inc., established in 1905, is one of the nation's
leading retailers of men's classically-styled tailored and casual clothing,
sportswear, footwear and accessories. The Company sells its full product line
through 219 stores in 35 states and the District of Columbia, a nationwide
catalog, and an e-commerce website that can be accessed at www.josbank.com. The
Company is headquartered in Hampstead, MD, and its common stock is listed on the
Nasdaq National Market under the symbol "JOSB".
The Company's statements concerning future operations contained herein are
forward-looking statements within the meaning of the Private Securities
Litigation Reform Act of 1995. Actual results may differ materially from those
forecast due to a variety of factors outside of the Company's control that can
affect the Company's operating results, liquidity and financial condition such
as risks associated with economic, weather, public health and other factors
affecting consumer spending, the ability of the Company to finance its expansion
plans, the mix and pricing of goods sold, the market price of key raw materials
such as wool and cotton, availability of lease sites for new stores, the ability
to source product from its global supplier base and other competitive factors.
These cautionary statements qualify all of the forward-looking statements the
Company makes herein. The Company cannot assure you that the results or
developments anticipated by the Company will be realized or, even if
substantially realized, that those results or developments will result in the
expected consequences for the Company or affect the Company, its business or its
operations in the way the Company expects. The Company cautions you not to place
undue reliance on these forward-looking statements, which speak only as of their
respective dates, and assumes no obligation to update any of the forward-looking
statements. These risks should be carefully reviewed before making any
investment decision.
JoS. A. Bank Clothiers, Inc. and Subsidiaries
Consolidated Balance Sheets
(In Thousands)
May 1, 2004 Jan. 31, 2004 May 3, 2003
------------- ------------- -------------
(unaudited) (audited) (unaudited)
ASSETS
CURRENT ASSETS:
Cash and cash
equivalents $ 904 $ 875 $ 1,354
Accounts receivable, net 6,158 4,201 4,860
Inventories:
Raw materials 7,718 11,652 14,219
Finished Goods 118,182 109,136 82,339
------------- ------------- -------------
Total inventories 125,900 120,788 96,558
------------- ------------- -------------
Prepaid expenses and
other current assets 10,058 10,323 7,255
------------- ------------- -------------
Total current assets 143,020 136,187 110,027
Property, plant and
equipment, net 47,749 47,401 40,860
Other noncurrent assets,
net 2,658 2,923 857
------------- ------------- -------------
Total assets $ 193,427 $ 186,511 $ 151,744
============= ============= =============
LIABILITIES AND
STOCKHOLDERS' EQUITY
CURRENT LIABILITIES:
Accounts payable $ 27,180 $ 28,748 $ 31,212
Accrued expenses 31,041 33,985 24,119
Current portion of long-
term debt 1,006 1,245 1,215
------------- ------------- -------------
Total current
liabilities 59,227 63,978 56,546
NONCURRENT LIABILITIES:
Long-term debt, net of
current portion 34,856 28,618 23,421
Deferred rent and other
noncurrent liabilities 6,085 6,413 3,935
------------- ------------- -------------
Total liabilities 100,168 99,009 83,902
------------- ------------- -------------
STOCKHOLDERS' EQUITY:
Common stock 123 122 73
Additional paid-in
capital 64,628 64,207 59,025
Retained earnings 33,566 28,231 13,802
------------- ------------- -------------
98,317 92,560 72,900
Less treasury stock (5,058) (5,058) (5,058)
------------- ------------- -------------
Total stockholders'
equity 93,259 87,502 67,842
------------- ------------- -------------
Total liabilities and
stockholders' equity $ 193,427 $ 186,511 $ 151,744
============= ============= =============
JoS. A. Bank Clothiers, Inc. and Subsidiaries
Consolidated Statements of Operations
(in thousands, except earnings per share)
Three Months Ended
------------------
May 1, 2004 May 3, 2003
------------- -------------
(unaudited) (unaudited)
Net sales $79,929 100% $62,272 100%
------- ----- ------- -----
Costs and expenses:
Cost of goods sold 30,894 38.7% 26,672 42.8%
General and administrative 8,584 10.7% 7,043 11.3%
Sales and marketing 30,651 38.3% 24,114 38.7%
Store opening costs 231 0.3% 366 0.6%
------- ----- ------- -----
70,360 88.0% 58,195 93.5%
------- ----- ------- -----
Operating income 9,569 12.0% 4,077 6.5%
Interest expense, net 481 0.6% 303 0.4%
------- ----- ------- -----
Income before provision for income
taxes 9,088 11.4% 3,774 6.1%
Provision for income taxes 3,753 4.7% 1,600 2.6%
------- ----- ------- -----
Net income $ 5,335 6.7% $ 2,174 3.5%
======= ===== ======= =====
Earnings per share:
Net income:
Basic $ 0.50 $ 0.23
Diluted $ 0.47 $ 0.20
Weighted average shares outstanding:
Basic 10,597 9,299
Diluted 11,370 10,866
Note: On January 13, 2004, the Company's Board of Directors declared a
50% stock dividend payable on February 18, 2004 to stockholders of
record as of January 30, 2004. All historical weighted average share
and per share amounts noted herein have been adjusted to reflect the
stock dividend.
CONTACT: JoS. A. Bank Clothiers, Inc., Hampstead, MD
David E. Ullman, EVP/CFO, 410-239-5715
or
RJ Falkner and Company, Inc.
Investor Relations Counsel
R. Jerry Falkner, CFA
800-377-9893
info@rjfalkner.com
or
E-commerce Address for JoS. A. Bank Clothiers, Inc.:
www.josbank.com