(State or Other Jurisdiction of Incorporation or Organization) | (I.R.S. Employer Identification No.) | |||||||
(Address of Principal Executive Offices) | (Zip Code) |
Title of each class | Trading Symbol(s) | Name of each exchange on which registered | ||||||
☒ | Accelerated filer | ☐ | ||||||||||||||||||
Non-accelerated filer | ☐ | Smaller reporting company | ||||||||||||||||||
Emerging growth company |
INDEX | ||||||||
Page | ||||||||
Item 1. | ||||||||
Item 2. | ||||||||
Item 3. | ||||||||
Item 4. | ||||||||
Item 1. | ||||||||
Item 1A. | ||||||||
Item 2. | ||||||||
Item 3. | ||||||||
Item 4. | ||||||||
Item 5. | ||||||||
Item 6. |
October 30, 2021 | January 30, 2021 | October 31, 2020 | |||||||||||||||
Assets | |||||||||||||||||
Current assets: | |||||||||||||||||
Cash and cash equivalents | $ | $ | $ | ||||||||||||||
Short-term investment securities | |||||||||||||||||
Inventories | |||||||||||||||||
Prepaid income taxes and tax receivable | |||||||||||||||||
Prepaid expenses and other current assets | |||||||||||||||||
Total current assets | |||||||||||||||||
Property and equipment, net of accumulated depreciation and amortization of $ | |||||||||||||||||
Operating lease assets | |||||||||||||||||
Other assets | |||||||||||||||||
$ | $ | $ | |||||||||||||||
Liabilities and Shareholders’ Equity | |||||||||||||||||
Current liabilities: | |||||||||||||||||
Line of credit | $ | $ | $ | ||||||||||||||
Accounts payable | |||||||||||||||||
Income taxes payable | |||||||||||||||||
Accrued salaries and wages | |||||||||||||||||
Other accrued expenses | |||||||||||||||||
Operating lease liabilities | |||||||||||||||||
Total current liabilities | |||||||||||||||||
Other long-term liabilities | |||||||||||||||||
Long-term operating lease liabilities | |||||||||||||||||
Deferred income taxes | |||||||||||||||||
Total liabilities | |||||||||||||||||
Commitments and contingencies (note 6) | |||||||||||||||||
Shareholders’ equity: | |||||||||||||||||
Common stock, $ | |||||||||||||||||
Additional paid-in capital | |||||||||||||||||
Retained earnings | |||||||||||||||||
Total shareholders’ equity | |||||||||||||||||
$ | $ | $ |
Thirteen Weeks Ended | Thirty-Nine Weeks Ended | ||||||||||||||||||||||
October 30, 2021 | October 31, 2020 | October 30, 2021 | October 31, 2020 | ||||||||||||||||||||
Net sales | $ | $ | $ | $ | |||||||||||||||||||
Cost of goods sold | |||||||||||||||||||||||
Gross profit | |||||||||||||||||||||||
Selling, general and administrative expenses | |||||||||||||||||||||||
Operating income (loss) | ( | ||||||||||||||||||||||
Interest (expense) income and other (expense) income, net | ( | ( | ( | ( | |||||||||||||||||||
Income (loss) before income taxes | ( | ||||||||||||||||||||||
Income tax expense (benefit) | ( | ||||||||||||||||||||||
Net income (loss) | $ | $ | $ | $ | ( | ||||||||||||||||||
Basic income (loss) per common share | $ | $ | $ | $ | ( | ||||||||||||||||||
Diluted income (loss) per common share | $ | $ | $ | $ | ( | ||||||||||||||||||
Weighted average shares outstanding: | |||||||||||||||||||||||
Basic shares | |||||||||||||||||||||||
Diluted shares |
Common stock | Additional paid-in capital | Retained earnings | Total shareholders’ equity | |||||||||||||||||||||||||||||
Shares | Amount | |||||||||||||||||||||||||||||||
Balance, January 30, 2021 | $ | $ | $ | $ | ||||||||||||||||||||||||||||
Share-based compensation expense | — | — | — | |||||||||||||||||||||||||||||
Issuance of unrestricted stock awards | — | — | ||||||||||||||||||||||||||||||
Exercise of options to purchase common stock | — | — | ||||||||||||||||||||||||||||||
Vesting of restricted stock units and performance-based restricted stock units | — | — | ||||||||||||||||||||||||||||||
Common shares withheld for taxes | ( | — | ( | — | ( | |||||||||||||||||||||||||||
Net income | — | — | — | |||||||||||||||||||||||||||||
Balance, May 1, 2021 | $ | $ | $ | $ | ||||||||||||||||||||||||||||
Share-based compensation expense | — | — | — | |||||||||||||||||||||||||||||
Issuance of unrestricted stock awards | — | — | ||||||||||||||||||||||||||||||
Exercise of options to purchase common stock | — | — | ||||||||||||||||||||||||||||||
Vesting of restricted stock units and performance-based restricted stock units | — | — | — | — | ||||||||||||||||||||||||||||
Common shares withheld for taxes | ( | — | ( | — | ( | |||||||||||||||||||||||||||
Issuance of common stock to employees under employee stock purchase plan | — | — | ||||||||||||||||||||||||||||||
Net income | — | — | — | |||||||||||||||||||||||||||||
Balance, July 31, 2021 | $ | $ | $ | $ | ||||||||||||||||||||||||||||
Share-based compensation expense | — | — | — | |||||||||||||||||||||||||||||
Issuance of unrestricted stock awards | — | — | ||||||||||||||||||||||||||||||
Exercise of options to purchase common stock | — | — | ||||||||||||||||||||||||||||||
Vesting of restricted stock units and performance-based restricted stock units | — | — | — | — | ||||||||||||||||||||||||||||
Common shares withheld for taxes | ( | — | ( | — | ( | |||||||||||||||||||||||||||
Net income | — | — | — | |||||||||||||||||||||||||||||
Balance, October 30, 2021 | $ | $ | $ | $ |
Common stock | Additional paid-in capital | Retained earnings | Total shareholders’ equity | |||||||||||||||||||||||||||||
Shares | Amount | |||||||||||||||||||||||||||||||
Balance, February 1, 2020 | $ | $ | $ | $ | ||||||||||||||||||||||||||||
Share-based compensation benefit | — | — | ( | — | ( | |||||||||||||||||||||||||||
Exercise of options to purchase common stock | — | — | ||||||||||||||||||||||||||||||
Vesting of restricted stock units and performance-based restricted stock units | — | — | ||||||||||||||||||||||||||||||
Common shares withheld for taxes | ( | — | ( | — | ( | |||||||||||||||||||||||||||
Repurchase and retirement of common stock | ( | ( | ( | — | ( | |||||||||||||||||||||||||||
Net loss | — | — | — | ( | ( | |||||||||||||||||||||||||||
Balance, May 2, 2020 | $ | $ | $ | $ | ||||||||||||||||||||||||||||
Share-based compensation expense | — | — | — | |||||||||||||||||||||||||||||
Issuance of unrestricted stock awards | — | — | ||||||||||||||||||||||||||||||
Exercise of options to purchase common stock | — | |||||||||||||||||||||||||||||||
Vesting of restricted stock units and performance-based restricted stock units | — | — | — | — | ||||||||||||||||||||||||||||
Common shares withheld for taxes | ( | — | ( | — | ( | |||||||||||||||||||||||||||
Issuance of common stock to employees under employee stock purchase plan | — | — | ||||||||||||||||||||||||||||||
Net income | — | — | — | |||||||||||||||||||||||||||||
Balance, August 1, 2020 | $ | $ | $ | $ | ||||||||||||||||||||||||||||
Share-based compensation expense | — | — | — | |||||||||||||||||||||||||||||
Issuance of unrestricted stock awards | — | — | ||||||||||||||||||||||||||||||
Exercise of options to purchase common stock | — | — | ||||||||||||||||||||||||||||||
Vesting of restricted stock units and performance-based restricted stock units | — | — | — | — | ||||||||||||||||||||||||||||
Common shares withheld for taxes | ( | — | ( | — | ( | |||||||||||||||||||||||||||
Net income | — | — | — | |||||||||||||||||||||||||||||
Balance, October 31, 2020 | $ | $ | $ | $ | ||||||||||||||||||||||||||||
Thirty-Nine Weeks Ended | |||||||||||
October 30, 2021 | October 31, 2020 | ||||||||||
Operating activities: | |||||||||||
Net income (loss) | $ | $ | ( | ||||||||
Adjustments to reconcile net income (loss) to net cash provided by operating activities: | |||||||||||
Depreciation and amortization | |||||||||||
Share-based compensation expense | |||||||||||
Deferred income tax expense (benefit) | ( | ||||||||||
Other non-cash expenses | |||||||||||
Changes in operating assets and liabilities: | |||||||||||
Inventories | ( | ( | |||||||||
Prepaid income taxes and tax receivable | ( | ( | |||||||||
Prepaid expenses and other assets | ( | ||||||||||
Accounts payable | |||||||||||
Income taxes payable | ( | ( | |||||||||
Accrued salaries and wages | ( | ||||||||||
Operating leases | |||||||||||
Other accrued expenses | |||||||||||
Net cash provided by operating activities | |||||||||||
Investing activities: | |||||||||||
Purchases of investment securities and other investments | ( | ( | |||||||||
Sales, maturities, and redemptions of investment securities | |||||||||||
Capital expenditures | ( | ( | |||||||||
Net cash used in investing activities | ( | ( | |||||||||
Financing activities: | |||||||||||
Borrowing on note payable under Revolving Credit Facility | |||||||||||
Repayment of note payable under Revolving Credit Facility | ( | ||||||||||
Cash paid for Revolving Credit Facility financing costs | ( | ||||||||||
Net proceeds from issuance of common stock | |||||||||||
Repurchase and retirement of common stock | ( | ||||||||||
Proceeds from exercise of options to purchase common stock and vesting of restricted and performance-based restricted stock units | |||||||||||
Common shares withheld for taxes | ( | ( | |||||||||
Net cash used in financing activities | ( | ( | |||||||||
Net decrease in cash and cash equivalents | ( | ( | |||||||||
Cash and cash equivalents at beginning of period | |||||||||||
Cash and cash equivalents at end of period | $ | $ | |||||||||
Supplemental disclosures of cash flow information: | |||||||||||
Non-cash investing activities | |||||||||||
Increase (decrease) in accrued purchases of property and equipment | $ | $ | ( |
As of October 30, 2021 | ||||||||||||||||||||||||||
Amortized Cost | Gross Unrealized Gains | Gross Unrealized Losses | Fair Market Value | |||||||||||||||||||||||
Short-term: | ||||||||||||||||||||||||||
Corporate bonds | $ | $ | $ | $ | ||||||||||||||||||||||
Municipal bonds | ||||||||||||||||||||||||||
Total | $ | $ | $ | $ | ||||||||||||||||||||||
As of January 30, 2021 | ||||||||||||||||||||||||||
Amortized Cost | Gross Unrealized Gains | Gross Unrealized Losses | Fair Market Value | |||||||||||||||||||||||
Short-term: | ||||||||||||||||||||||||||
Corporate bonds | $ | $ | $ | $ | ||||||||||||||||||||||
Municipal bonds | ||||||||||||||||||||||||||
Total | $ | $ | $ | $ | ||||||||||||||||||||||
As of October 31, 2020 | ||||||||||||||||||||||||||
Amortized Cost | Gross Unrealized Gains | Gross Unrealized Losses | Fair Market Value | |||||||||||||||||||||||
Short-term: | ||||||||||||||||||||||||||
Corporate bonds | $ | $ | $ | $ | ||||||||||||||||||||||
Municipal bonds | ||||||||||||||||||||||||||
Total | $ | $ | $ | $ | ||||||||||||||||||||||
Thirteen Weeks Ended | Thirteen Weeks Ended | ||||||||||||||||||||||
October 30, 2021 | October 31, 2020 | ||||||||||||||||||||||
Amount | Percentage of Net Sales | Amount | Percentage of Net Sales | ||||||||||||||||||||
Leisure | $ | % | $ | % | |||||||||||||||||||
Fashion and home | % | % | |||||||||||||||||||||
Party and snack | % | % | |||||||||||||||||||||
Total | $ | % | $ | % | |||||||||||||||||||
Thirty-Nine Weeks Ended | Thirty-Nine Weeks Ended | ||||||||||||||||||||||
October 30, 2021 | October 31, 2020 | ||||||||||||||||||||||
Amount | Percentage of Net Sales | Amount | Percentage of Net Sales | ||||||||||||||||||||
Leisure | $ | % | $ | % | |||||||||||||||||||
Fashion and home | % | % | |||||||||||||||||||||
Party and snack | % | % | |||||||||||||||||||||
Total | $ | % | $ | % |
Thirteen Weeks Ended | Thirty-Nine Weeks Ended | ||||||||||||||||||||||
Lease Cost | October 30, 2021 | October 31, 2020 | October 30, 2021 | October 31, 2020 | |||||||||||||||||||
Operating lease cost | $ | $ | $ | $ | |||||||||||||||||||
Variable lease cost | |||||||||||||||||||||||
Net lease cost* | $ | $ | $ | $ |
Maturity of Lease Liabilities | Operating Leases | |||||||
2021 | $ | |||||||
2022 | ||||||||
2023 | ||||||||
2024 | ||||||||
2025 | ||||||||
After 2025 | ||||||||
Total lease payments | ||||||||
Less: imputed interest | ||||||||
Present value of lease liabilities | $ |
Thirty-Nine Weeks Ended | ||||||||||||||
October 30, 2021 | October 31, 2020 | |||||||||||||
Cash paid for amounts included in the measurement of lease liabilities: | ||||||||||||||
Cash payments arising from operating lease liabilities (1) | $ | $ | ||||||||||||
Supplemental non-cash information: | ||||||||||||||
Operating lease liabilities arising from obtaining right-of-use assets | $ | $ |
Thirteen Weeks Ended | Thirty-Nine Weeks Ended | ||||||||||||||||||||||
October 30, 2021 | October 31, 2020 | October 30, 2021 | October 31, 2020 | ||||||||||||||||||||
Numerator: | |||||||||||||||||||||||
Net income (loss) | $ | $ | $ | $ | ( | ||||||||||||||||||
Denominator: | |||||||||||||||||||||||
Weighted average common shares outstanding - basic | |||||||||||||||||||||||
Dilutive impact of options, restricted stock units and employee stock purchase plan | |||||||||||||||||||||||
Weighted average common shares outstanding - diluted | |||||||||||||||||||||||
Per common share: | |||||||||||||||||||||||
Basic income (loss) per common share | $ | $ | $ | $ | ( | ||||||||||||||||||
Diluted income (loss) per common share | $ | $ | $ | $ | ( |
Options Outstanding | Weighted Average Exercise Price | Weighted Average Remaining Contractual Term (in years) | |||||||||||||||
Balance as of January 30, 2021 | $ | ||||||||||||||||
Forfeited | ( | ||||||||||||||||
Exercised | ( | ||||||||||||||||
Balance as of October 30, 2021 | |||||||||||||||||
Exercisable as of October 30, 2021 | $ |
Restricted Stock Units | Performance-Based Restricted Stock Units | ||||||||||||||||||||||
Number | Weighted-Average Grant Date Fair Value | Number | Weighted-Average Grant Date Fair Value | ||||||||||||||||||||
Non-vested balance as of January 30, 2021 | $ | $ | |||||||||||||||||||||
Granted | |||||||||||||||||||||||
Vested | ( | ||||||||||||||||||||||
Forfeited | ( | ||||||||||||||||||||||
Non-vested balance as of October 30, 2021 | $ | $ |
Thirteen Weeks Ended | Thirty-Nine Weeks Ended | ||||||||||||||||||||||
October 30, 2021 | October 31, 2020 | October 30, 2021 | October 31, 2020 | ||||||||||||||||||||
Income (loss) before income taxes | $ | $ | $ | $ | ( | ||||||||||||||||||
Income tax expense (benefit) | $ | $ | $ | $ | ( | ||||||||||||||||||
Effective tax rate | % | % | % | % |
Thirteen Weeks Ended | Thirty-Nine Weeks Ended | ||||||||||||||||||||||
October 30, 2021 | October 31, 2020 | October 30, 2021 | October 31, 2020 | ||||||||||||||||||||
(in millions, except percentages and total stores) | |||||||||||||||||||||||
Consolidated Statements of Operations Data (1): | |||||||||||||||||||||||
Net sales | $ | 607.6 | $ | 476.6 | $ | 1,852.0 | $ | 1,103.6 | |||||||||||||||
Cost of goods sold | 405.3 | 325.5 | 1,218.5 | 792.2 | |||||||||||||||||||
Gross profit | 202.4 | 151.1 | 633.6 | 311.4 | |||||||||||||||||||
Selling, general and administrative expenses | 159.9 | 126.9 | 441.2 | 326.2 | |||||||||||||||||||
Operating income (loss) | 42.4 | 24.2 | 192.3 | (14.8) | |||||||||||||||||||
Interest (expense) income and other (expense) income, net | (10.6) | (0.7) | (12.7) | (1.0) | |||||||||||||||||||
Income (loss) before income taxes | 31.8 | 23.6 | 179.6 | (15.8) | |||||||||||||||||||
Income tax expense (benefit) | 7.6 | 3.2 | 41.0 | (15.2) | |||||||||||||||||||
Net income (loss) | $ | 24.2 | $ | 20.4 | $ | 138.6 | $ | (0.6) | |||||||||||||||
Percentage of Net Sales (1): | |||||||||||||||||||||||
Net sales | 100.0 | % | 100.0 | % | 100.0 | % | 100.0 | % | |||||||||||||||
Cost of goods sold | 66.7 | 68.3 | 65.8 | 71.8 | |||||||||||||||||||
Gross profit | 33.3 | 31.7 | 34.2 | 28.2 | |||||||||||||||||||
Selling, general and administrative expenses | 26.3 | 26.6 | 23.8 | 29.6 | |||||||||||||||||||
Operating income (loss) | 7.0 | 5.1 | 10.4 | (1.3) | |||||||||||||||||||
Interest (expense) income and other (expense) income, net | (1.7) | (0.1) | (0.7) | (0.1) | |||||||||||||||||||
Income (loss) before income taxes | 5.2 | 4.9 | 9.7 | (1.4) | |||||||||||||||||||
Income tax expense (benefit) | 1.3 | 0.7 | 2.2 | (1.4) | |||||||||||||||||||
Net income (loss) | 4.0 | % | 4.3 | % | 7.5 | % | (0.1) | % | |||||||||||||||
Operational Data: | |||||||||||||||||||||||
Total stores at end of period | 1,173 | 1,018 | 1,173 | 1,018 | |||||||||||||||||||
Comparable sales increase (decrease) | 14.8 | % | 12.8 | % | 52.0 | % | (16.9) | % | |||||||||||||||
Average net sales per store (2) | $ | 0.5 | $ | 0.5 | $ | 1.7 | $ | 1.1 |
Thirty-Nine Weeks Ended | |||||||||||
October 30, 2021 | October 31, 2020 | ||||||||||
Net cash provided by operating activities | $ | 124.7 | $ | 121.3 | |||||||
Net cash used in investing activities | (300.3) | (191.8) | |||||||||
Net cash used in financing activities | (6.3) | (15.0) | |||||||||
Net decrease during period in cash and cash equivalents (1) | $ | (182.0) | $ | (85.4) |
No. | Description | |||||||
10.34† | Compensation Policy for Non-Employee Directors | |||||||
31.1 | Certification of Chief Executive Officer required by Rule 13a-14(a) or Rule 15d-14(a) of the Securities Exchange Act of 1934, as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 | |||||||
31.2 | Certification of Chief Financial Officer required by Rule 13a-14(a) or Rule 15d-14(a) of the Securities Exchange Act of 1934, as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 | |||||||
32.1 | Certification of Chief Executive Officer pursuant to 18 U.S.C. 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 | |||||||
32.2 | Certification of Chief Financial Officer pursuant to 18 U.S.C. 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 | |||||||
101* | The following financial information from this Quarterly Report on Form 10-Q for the fiscal quarter ended October 30, 2021, formatted in XBRL (Extensible Business Reporting Language) and furnished electronically herewith: (i) the Unaudited Consolidated Balance Sheets as of October 30, 2021, January 30, 2021 and October 31, 2020; (ii) the Unaudited Consolidated Statements of Operations for the Thirteen and Thirty-Nine Weeks Ended October 30, 2021 and October 31, 2020; (iii) the Unaudited Consolidated Statements of Shareholders’ Equity for the Thirteen and Thirty-Nine Weeks Ended October 30, 2021 and October 31, 2020; (iv) the Unaudited Consolidated Statements of Cash Flows for the Thirty-Nine Weeks Ended October 30, 2021 and October 31, 2020 and (v) the Notes to Unaudited Consolidated Financial Statements, tagged in detail. | |||||||
104* | Coverage Page Interactive Data File (formatted as Inline XBRL and contained in Exhibit 101). |
† | Management contract or compensatory plan or arrangement. | ||||
* | Pursuant to applicable securities laws and regulations, this interactive data file is deemed not filed or part of a registration statement or prospectus for purposes of sections 11 or 12 of the Securities Act of 1933, as amended, is deemed not filed for purposes of section 18 of the Exchange Act of 1934, as amended, and otherwise is not subject to liability under those sections. |
FIVE BELOW, INC. | ||||||||
Date: December 2, 2021 | /s/ Joel D. Anderson | |||||||
Joel D. Anderson | ||||||||
President and Chief Executive Officer (Principal Executive Officer) | ||||||||
Date: December 2, 2021 | /s/ Kenneth R. Bull | |||||||
Kenneth R. Bull | ||||||||
Chief Financial Officer and Treasurer (Principal Financial Officer and Principal Accounting Officer) |
CERTIFICATION | Exhibit 31.1 |
By: | /s/ Joel D. Anderson | |||||||||||||
Name: | Joel D. Anderson | |||||||||||||
Title: | President and Chief Executive Officer |
CERTIFICATION | Exhibit 31.2 |
By: | /s/ Kenneth R. Bull | |||||||||||||
Name: | Kenneth R. Bull | |||||||||||||
Title: | Chief Financial Officer and Treasurer |
/s/ Joel D. Anderson | |||||
Joel D. Anderson | |||||
President and Chief Executive Officer |
/s/ Kenneth R. Bull | |||||
Kenneth R. Bull | |||||
Chief Financial Officer and Treasurer |
Consolidated Balance Sheets - USD ($) |
Oct. 30, 2021 |
Jan. 30, 2021 |
Oct. 31, 2020 |
---|---|---|---|
Current assets: | |||
Cash and cash equivalents | $ 86,753,000 | $ 268,783,000 | $ 117,045,000 |
Short-term investment securities | 224,563,000 | 140,928,000 | 96,749,000 |
Inventories | 521,107,000 | 281,267,000 | 430,200,000 |
Prepaid income taxes and tax receivable | 24,013,000 | 6,350,000 | 18,090,000 |
Prepaid expenses and other current assets | 77,480,000 | 58,085,000 | 50,194,000 |
Total current assets | 933,916,000 | 755,413,000 | 712,278,000 |
Property and equipment, net of accumulated depreciation and amortization of $340,637, $278,019, and $260,888, respectively. | 728,319,000 | 565,351,000 | 522,214,000 |
Operating lease assets | 1,151,632,000 | 975,862,000 | 928,739,000 |
Other assets | 9,585,000 | 18,144,000 | 12,265,000 |
Total assets | 2,823,452,000 | 2,314,770,000 | 2,175,496,000 |
Current liabilities: | |||
Line of credit | 0 | 0 | 0 |
Accounts payable | 253,817,000 | 138,622,000 | 237,647,000 |
Income taxes payable | 811,000 | 2,025,000 | 1,031,000 |
Accrued salaries and wages | 28,697,000 | 43,445,000 | 22,164,000 |
Other accrued expenses | 167,468,000 | 108,504,000 | 99,489,000 |
Operating lease liabilities | 162,809,000 | 143,074,000 | 136,513,000 |
Total current liabilities | 613,602,000 | 435,670,000 | 496,844,000 |
Other long-term liabilities | 1,536,000 | 1,048,000 | 1,918,000 |
Long-term operating lease liabilities | 1,137,658,000 | 967,255,000 | 922,784,000 |
Deferred income taxes | 37,407,000 | 28,911,000 | 4,408,000 |
Total liabilities | 1,790,203,000 | 1,432,884,000 | 1,425,954,000 |
Commitments and contingencies (note 6) | |||
Shareholders’ equity: | |||
Common stock, $0.01 par value. Authorized 120,000,000 shares; issued and outstanding 56,025,753, 55,935,237, and 55,866,590 shares, respectively. | 560,000 | 559,000 | 559,000 |
Additional paid-in capital | 333,823,000 | 321,075,000 | 312,668,000 |
Retained earnings | 698,866,000 | 560,252,000 | 436,315,000 |
Total shareholders’ equity | 1,033,249,000 | 881,886,000 | 749,542,000 |
Total liabilities and shareholders' equity (deficit) | $ 2,823,452,000 | $ 2,314,770,000 | $ 2,175,496,000 |
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands |
Oct. 30, 2021 |
Jan. 30, 2021 |
Oct. 31, 2020 |
---|---|---|---|
Statement of Financial Position [Abstract] | |||
Accumulated Depreciation, Depletion and Amortization, Property, Plant, and Equipment | $ 340,637 | $ 278,019 | $ 260,888 |
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in shares) | 120,000,000 | 120,000,000 | 120,000,000 |
Common stock, shares issued (in shares) | 56,025,753 | 55,935,237 | 55,866,590 |
Common stock, shares outstanding (in shares) | 56,025,753 | 55,935,237 | 55,866,590 |
Consolidated Statements of Operations - USD ($) $ in Thousands |
3 Months Ended | 9 Months Ended | ||
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Oct. 30, 2021 |
Oct. 31, 2020 |
Oct. 30, 2021 |
Oct. 31, 2020 |
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Income Statement [Abstract] | ||||
Net sales | $ 607,645 | $ 476,614 | $ 1,852,022 | $ 1,103,623 |
Cost of goods sold | 405,283 | 325,514 | 1,218,472 | 792,223 |
Gross profit | 202,362 | 151,100 | 633,550 | 311,400 |
Selling, general and administrative expenses | 159,913 | 126,851 | 441,246 | 326,205 |
Operating income (loss) | 42,449 | 24,249 | 192,304 | (14,805) |
Interest (expense) income and other (expense) income, net | (10,624) | (660) | (12,672) | (1,017) |
Income (loss) before income taxes | 31,825 | 23,589 | 179,632 | (15,822) |
Income tax expense (benefit) | 7,648 | 3,164 | 41,018 | (15,246) |
Net income (loss) | $ 24,177 | $ 20,425 | $ 138,614 | $ (576) |
Basic (loss) income per common share (dollars per share) | $ 0.43 | $ 0.37 | $ 2.48 | $ (0.01) |
Diluted (loss) income per common share (dollars per share) | $ 0.43 | $ 0.36 | $ 2.46 | $ (0.01) |
Weighted average shares outstanding: | ||||
Basic shares | 56,023,961 | 55,851,780 | 56,001,437 | 56,004,072 |
Diluted shares | 56,340,635 | 56,099,328 | 56,305,456 | 56,004,072 |
Summary of Significant Accounting Policies |
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Accounting Policies [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Summary of Significant Accounting Policies | Summary of Significant Accounting PoliciesDescription of Business Five Below, Inc. (collectively referred to herein with its wholly owned subsidiary as the "Company") is a specialty value retailer offering merchandise targeted at the tween and teen demographic. The Company offers an edited assortment of products, with most priced at $5 and below. The Company’s edited assortment of products includes select brands and licensed merchandise. The Company believes its merchandise is readily available, and that there are a number of potential vendors that could be utilized, if necessary, under approximately the same terms the Company is currently receiving; thus, it is not dependent on a single vendor or a group of vendors. The Company is incorporated in the Commonwealth of Pennsylvania and, as of October 30, 2021, operated in 40 states that include Pennsylvania, New Jersey, Delaware, Maryland, Virginia, Massachusetts, New Hampshire, West Virginia, North Carolina, New York, Connecticut, Rhode Island, Ohio, Illinois, Indiana, Michigan, Missouri, Georgia, Texas, Tennessee, Maine, Alabama, Kentucky, Kansas, Florida, South Carolina, Mississippi, Louisiana, Wisconsin, Oklahoma, Minnesota, California, Arkansas, Iowa, Nebraska, Arizona, Nevada, Colorado, Utah and New Mexico. As of October 30, 2021 and October 31, 2020, the Company operated 1,173 stores and 1,018 stores, respectively, each operating under the name “Five Below,” and sells merchandise on the internet, through the Company's fivebelow.com e-commerce website. As a result of the COVID-19 pandemic, the Company's business operations and results of operations, including its net sales, earnings and cash flows, were materially impacted in fiscal 2020 as a result of the temporary closures of its stores in the first half of 2020, and decreased customer traffic in stores, as the result of limitations on the number of persons permitted in stores at one time by certain local and state regulations. The Company's ability to operate improved beginning in the second half of fiscal 2020 and extending into fiscal 2021. However, the ultimate health, economic and regulatory impact of the COVID-19 pandemic remains uncertain, especially in light of the latest surge due to the Delta variant. If the pandemic were to worsen once again, the Company's business operations, including net sales, earnings and cash flows, may be materially impacted. Further, the Company may determine to reinstate any of the mitigation measures implemented in fiscal 2020 that have since been modified or terminated, or take any additional steps that we consider necessary or as required by local, state or federal authorities. The Company operates on a 52/53-week fiscal year ending on the Saturday closest to January 31. References to "fiscal year 2021" or "fiscal 2021" refer to the period from January 31, 2021 to January 29, 2022, which is a 52-week fiscal year. References to "fiscal year 2020" or "fiscal 2020" refer to the period from February 2, 2020 to January 30, 2021, which is a 52-week fiscal year. The fiscal quarters ended October 30, 2021 and October 31, 2020 refer to the thirteen weeks ended as of those dates. The year-to-date periods ended October 30, 2021 and October 31, 2020 refer to the thirty-nine weeks ended as of those dates. The consolidated balance sheets as of October 30, 2021 and October 31, 2020, the consolidated statements of operations for the thirteen and thirty-nine weeks ended October 30, 2021 and October 31, 2020, the consolidated statements of shareholders’ equity for the thirteen and thirty-nine weeks ended October 30, 2021 and October 31, 2020 and the consolidated statements of cash flows for the thirty-nine weeks ended October 30, 2021 and October 31, 2020 have been prepared by the Company in conformity with U.S. generally accepted accounting principles (“U.S. GAAP”) for interim reporting and are unaudited. In the opinion of management, the aforementioned financial statements include all known adjustments (which consist primarily of normal, recurring accruals, estimates and assumptions that impact the financial statements) necessary to present fairly the financial position at the balance sheet dates and the results of operations and cash flows for the periods ended October 30, 2021 and October 31, 2020. The balance sheet as of January 30, 2021, presented herein, has been derived from the audited balance sheet included in the Company's Annual Report on Form 10-K for fiscal 2020 as filed with the Securities and Exchange Commission on March 18, 2021 and referred to herein as the “Annual Report,” but does not include all annual disclosures required by U.S. GAAP. These consolidated financial statements should be read in conjunction with the consolidated financial statements for the fiscal year ended January 30, 2021 and footnotes thereto included in the Annual Report. The consolidated results of operations for the thirteen and thirty-nine weeks ended October 30, 2021 and October 31, 2020 are not necessarily indicative of the consolidated operating results for the year ending January 29, 2022 or any other period. The Company's business is seasonal and as a result, the Company's net sales fluctuate from quarter to quarter. Net sales are usually highest in the fourth fiscal quarter due to the year-end holiday season.In March 2020, the FASB issued ASU 2020-04, "Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting" ("ASU 2020-04"). The pronouncement provides temporary optional expedients and exceptions to the current guidance on contract modifications and hedge accounting to ease the financial reporting burdens related to the expected market transition from the London Interbank Offered Rate ("LIBOR") and other interbank offered rates to alternative reference rates. The guidance was effective upon issuance and may be applied prospectively to contract modifications made and hedging relationships entered into or evaluated on or before December 31, 2022. The impact of the adoption of ASU 2020-04 is not expected to be significant to the Company's consolidated financial statements.The preparation of the consolidated financial statements requires management of the Company to make estimates and assumptions that affect the reported amount of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the period. Actual results could differ from those estimates. Significant items subject to such estimates and assumptions include the carrying amount of property and equipment, net realizable value for inventories, income taxes, share-based compensation expense, the incremental borrowing rate utilized in operating lease liabilities, Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Assets and liabilities measured at fair value are classified using the following hierarchy, which is based upon the transparency of inputs to the valuation at the measurement date: Level 1: Quoted market prices in active markets for identical assets or liabilities. Level 2: Inputs, other than Level 1, that are either directly or indirectly observable. Level 3: Unobservable inputs developed using the Company’s estimates and assumptions which reflect those that market participants would use. The classification of fair value measurements within the hierarchy are based upon the lowest level of input that is significant to the measurement. The Company’s financial instruments consist primarily of cash equivalents, investment securities, accounts payable, borrowings, if any, under a line of credit, equity method investments and notes receivable. The Company believes that: (1) the carrying value of cash equivalents and accounts payable are representative of their respective fair value due to the short-term nature of these instruments; and (2) the carrying value of the borrowings, if any, under the line of credit approximates fair value because the line of credit’s interest rates vary with market interest rates. Under the fair value hierarchy, the fair market values of the investments in corporate bonds are Level 1 while the investments in municipal bonds are Level 2. The fair market values of Level 2 instruments are determined by management with the assistance of a third-party pricing service. Since quoted prices in active markets for identical assets are not available, these prices are determined by the third-party pricing service using observable market information such as quotes from less active markets and quoted prices of similar securities. As of October 30, 2021, January 30, 2021, and October 31, 2020, the Company had cash equivalents of $60.8 million, $250.7 million and $104.7 million, respectively. The Company’s cash equivalents consist of credit and debit card receivables, money market funds, and corporate bonds with original maturities of 90 days or less. Fair value for cash equivalents was determined based on Level 1 inputs. As of October 30, 2021, January 30, 2021, and October 31, 2020, the Company's investment securities are classified as held-to-maturity since the Company has the intent and ability to hold the investments to maturity. Such securities are carried at amortized cost plus accrued interest and consist of the following (in thousands):
Short-term investment securities as of October 30, 2021, January 30, 2021, and October 31, 2020 all mature in one year or less. Prepaid expenses as of October 30, 2021, January 30, 2021, and October 31, 2020 were $26.5 million, $19.0 million, and $17.7 million, respectively. Other current assets as of October 30, 2021, January 30, 2021, and October 31, 2020 were $51.0 million, $39.1 million, and $32.5 million, respectively.Other accrued expenses include accrued capital expenditures of $42.0 million, $29.2 million, and $18.6 million as of October 30, 2021, January 30, 2021, and October 31, 2020, respectively.The Company approved and adopted the Five Below, Inc. Nonqualified Deferred Compensation Plan (the "Plan") and a related, irrevocable grantor trust (the "Trust") during the thirteen weeks ended July 31, 2021. The Plan provides eligible key employees with the opportunity to elect to defer up to 80% of their eligible compensation. The Company may make discretionary contributions, at the discretion of the Board. Payments under the Plan will be made from the general assets of the Company or from the assets of the Trust, funded by the Company. The related liability is recorded as deferred compensation and included in other long-term liabilities in the consolidated balance sheets.
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Revenue from Contracts With Customers |
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Revenue from Contract with Customer [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Revenue from Contract with Customer | Revenue from Contracts with Customers Revenue Transactions Revenue from store operations is recognized at the point of sale when control of the product is transferred to the customer at such time. Internet sales, through the Company's fivebelow.com e-commerce website, are recognized when the customer receives the product as control transfers upon delivery. Returns subsequent to the period end are immaterial; accordingly, no significant reserve has been recorded. Gift card sales to customers are initially recorded as liabilities and recognized as sales upon redemption for merchandise or as breakage revenue in proportion to the pattern of redemption of the gift cards by the customer in net sales. The transaction price for the Company’s sales is based on the item’s stated price. To the extent that the Company charges customers for shipping and handling on e-commerce sales, the Company records such amounts in net sales. Shipping and handling costs, which include fulfillment and shipping costs related to the Company's e-commerce operations, are included in costs of goods sold. As permitted by applicable accounting guidance, the Company has elected to exclude all sales taxes from net sales in the accompanying consolidated statements of operations. Disaggregation of Revenue The following table provides information about disaggregated revenue by groups of products: leisure, fashion and home, and party and snack (in thousands):
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Leases |
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Leases [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Leases | Leases The Company determines if an arrangement contains a lease at the inception of a contract. Operating lease assets represent the Company’s right to use an underlying asset for the lease term and operating lease liabilities represent the Company’s obligation to make lease payments arising from the lease. In response to the COVID-19 pandemic, certain of the Company's landlords agreed to temporary rent concessions. These rent concessions generally related to deferrals and abatements of certain rent payments due between April 2020 through October 2020 into future periods. In accordance with the Financial Accounting Standards Board's staff guidance regarding rent concessions related to the effects of the COVID-19 pandemic, the Company has elected to account for the concessions agreed to by landlords that do not result in a substantial increase in the obligations of the lessee as if the enforceable rights and obligations for those concessions existed in the original lease agreements and the Company has elected to not remeasure the related lease liabilities and right-of-use assets. For qualifying rent abatement concessions, the Company has recorded negative variable lease expense for the amount of the concession during the period of relief, and for qualifying deferrals of rental payments, the Company has recognized a non-interest bearing payable in lieu of recognizing a decrease in cash for the lease payment that would have been made based on the original terms of the lease agreement, which will be reduced when the deferred payment is made in the future. During the thirteen weeks ended October 30, 2021, the Company committed to 30 new store leases with average terms of approximately 10 years that have future minimum lease payments of approximately $89.6 million. All of the Company's leases are classified as operating leases and the associated assets and liabilities are presented as separate captions in the consolidated balance sheets. As of October 30, 2021 and October 31, 2020, the weighted average remaining lease term for the Company's operating leases was 7.9 years and 8.0 years, respectively, and the weighted average discount rate was 5.6% and 6.6%, respectively. The following table is a summary of the Company's components for net lease costs (in thousands):
* Excludes short-term lease cost, which is immaterial. The following table summarizes the maturity of lease liabilities under operating leases as of October 30, 2021 (in thousands):
The following table summarizes the supplemental cash flow disclosures related to leases (in thousands):
(1) Included within operating activities in the Company's Consolidated Statements of Cash Flows.
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Income Per Common Share |
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Income Per Common Share | Income (Loss) Per Common ShareBasic income (loss) per common share amounts are calculated using the weighted average number of common shares outstanding for the period. Diluted income (loss) per common share amounts are calculated using the weighted average number of common shares outstanding for the period and include the dilutive impact of exercised stock options as well as assumed vesting of restricted stock awards and shares currently available for purchase under the Company's Employee Stock Purchase Plan, using the treasury stock method. Performance-based restricted stock units are considered contingently issuable shares for diluted income per common share purposes and the dilutive impact, if any, is not included in the weighted average shares until the performance conditions are met. The dilutive impact, if any, for performance-based restricted stock units, which are subject to market conditions based on the Company's total shareholder return relative to a pre-defined peer group, are included in the weighted average shares. The following table reconciles net income (loss) and the weighted average common shares outstanding used in the computations of basic and diluted income (loss) per common share (in thousands, except for share and per share data):
The effects of the assumed vesting of restricted stock units for 69 shares of common stock for the thirteen weeks ended October 30, 2021 were excluded from the calculation of diluted net income per share, as their impact would have been anti-dilutive. The effects of the assumed vesting of restricted stock units for 7,775 shares of common stock for the thirty-nine weeks ended October 30, 2021 were excluded from the calculation of diluted net income per share, as their impact would have been anti-dilutive. The effects of the assumed vesting of restricted stock units for 4,361 shares of common stock for the thirteen weeks ended October 31, 2020 were excluded from the calculation of diluted net income per share, as their impact would have been anti-dilutive. For the thirty-nine weeks ended October 31, 2020, all common stock equivalents related to outstanding stock options and unvested restricted units were excluded from the calculation of diluted net loss per share, as their impact would have been anti-dilutive due to the Company's net loss for the period. The aforementioned excluded shares do not reflect the impact of any incremental repurchases under the treasury stock method.
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Line of Credit |
9 Months Ended |
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Oct. 30, 2021 | |
Debt Disclosure [Abstract] | |
Line of Credit | Line of Credit On January 27, 2021, the Company entered into a First Amendment to Credit Agreement (the "First Amendment") which amended the Fifth Amended and Restated Credit Agreement (as amended by the First Amendment, the “Credit Agreement”) dated April 24, 2020 among the Company, 1616 Holdings, Inc., a wholly-owned subsidiary of the Company ("1616 Holdings" and together with the Company, the "Loan Parties"), Wells Fargo Bank, National Association as administrative agent (the “Agent”), and other lenders party thereto (the "Lenders"). The Credit Agreement provides for a secured asset-based revolving line of credit in the amount of up to $225.0 million (the "Revolving Credit Facility"). Advances under the Revolving Credit Facility are tied to a borrowing base consisting of eligible credit card receivables and inventory, as reduced by certain reserves in effect from time to time. Pursuant to the Credit Agreement, inventory appraisals and certain other diligence items are deferred, with reduced advance rates during the period that such appraisals have not been delivered. The Revolving Credit Facility expires on the earliest to occur of (i) April 24, 2023 or (ii) an event of default. The Revolving Credit Facility may be increased by up to $150.0 million, subject to certain conditions, including obtaining commitments from one or more Lenders (the "Accordion"). Pursuant to the First Amendment, the Company obtained commitments from the Lenders that would allow the Company at its election (subject only to satisfaction of certain customary conditions such as the absence of any Event of Default), to increase the amount of the Revolving Credit Facility by an aggregate principal amount up to $50.0 million within the Accordion (the "Committed Increase"). The entire amount of the Revolving Credit Facility is available for the issuance of letters of credit and allows for swingline loans. The Credit Agreement provides that the interest rate payable on borrowings shall be, at the Company’s option, a per annum rate equal to (a) a base rate plus an applicable margin ranging from 0.25% to 0.75% or (b) a LIBOR rate plus a margin ranging from 1.25% to 1.75%. Letter of credit fees range from 1.25% to 1.75%. The interest rate and letter of credit fees under the Credit Agreement are subject to an increase of 2.00% per annum upon an event of default. The Credit Agreement contains customary covenants that limit, absent lender approval, the ability of Company and certain of its affiliates to, among other things, pay cash dividends, incur debt, create liens and encumbrances, redeem or repurchase stock, enter into certain acquisition transactions or transactions with affiliates, merge, dissolve, repay certain indebtedness, change the nature of Company’s business, enter sale or leaseback transactions, make investments or dispose of assets. In some cases, these restrictions are subject to certain negotiated exceptions or permit Company to undertake otherwise restricted activities if it satisfies certain required conditions. In addition, the Company will be required to maintain availability of not less than (i) 12.5% of the lesser of (x) aggregate commitments under the Revolving Credit Facility and (y) the borrowing base (the "loan cap") during the period that inventory appraisals have not been delivered as described above and (ii) at all other times 10% of the loan cap. If there exists an event of default or availability under the Revolving Credit Facility is less than 15% of the loan cap, amounts in any of the Loan Parties’ or subsidiary guarantors' designated deposit accounts will be transferred daily into a blocked account held by the Agent and applied to reduce outstanding amounts under the Revolving Credit Facility (the “Cash Dominion Event”), so long as (i) such event of default has not been waived and/or (ii) until availability has exceeded 15% of the loan cap for sixty (60) consecutive calendar days (provided that such ability to discontinue the Cash Dominion Event shall be limited to two times during the term of the Credit Agreement). The Credit Agreement contains customary events of default including, among other things, failure to pay obligations when due, initiation of bankruptcy or insolvency proceedings, defaults on certain other indebtedness, change of control, incurrence of certain material judgments that are not stayed, satisfied, bonded or discharged within 30 days, certain ERISA events, invalidity of the credit documents, and violation of affirmative and negative covenants or breach of representations and warranties set forth in the Credit Agreement. Amounts under the Revolving Credit Facility's may become due upon events of default (subject to any applicable grace or cure periods). All obligations under the Revolving Credit Facility are guaranteed by 1616 Holdings and are secured by substantially all of the assets of the Company and 1616 Holdings. As of October 30, 2021, the Company had no borrowings under the Revolving Credit Facility and had approximately $225 million available under the Revolving Credit Facility. As of October 30, 2021 and October 31, 2020, the Company was in compliance with the covenants applicable to it under the Credit Agreement.
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Commitments and Contingencies |
9 Months Ended |
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Oct. 30, 2021 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies Commitments Other Contractual Commitments As of October 30, 2021, the Company has other purchase commitments of approximately $12.5 million consisting of purchase agreements for materials that will be used in the construction of new stores. During the thirteen weeks ended August 1, 2020, the Company acquired land in Buckeye, Arizona, to build an approximately 860,000 square foot distribution center to support the Company's anticipated growth. The total amount paid for the land and building was approximately $65 million. The Company began operating the distribution center in August 2021. During the thirteen weeks ended May 1, 2021, the Company acquired land in Indianapolis, Indiana, to build an approximately 1,030,000 square foot distribution center to support the Company's anticipated growth. The total cost of the land and building is expected to be approximately $61 million, of which approximately $26 million has been paid through October 30, 2021. The Company expects to occupy the distribution center in 2022. Contingencies Legal Matters The Company is subject to various proceedings, lawsuits, disputes, and claims arising in the ordinary course of the Company's business. Many of these actions raise complex factual and legal issues and are subject to uncertainties. Actions filed against the Company from time to time include commercial, intellectual property, customer, and employment actions, including class action lawsuits. The plaintiffs in some actions seek unspecified damages or injunctive relief, or both. Actions are in various procedural stages, and some are covered in part by insurance. The Company cannot predict with assurance the outcome of actions brought against the Company. Accordingly, adverse developments, settlements, or resolutions may occur and negatively impact income in the quarter of such development, settlement or resolution. If a potential loss arising from these lawsuits, claims and pending actions is probable and reasonably estimable, the Company records the estimated liability based on circumstances and assumptions existing at the time. Although the outcome of these and other claims cannot be predicted with certainty, management does not believe that the ultimate resolution of these matters will have a material adverse effect on the Company's financial condition or results of operations.
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Share-Based Compensation |
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Share-based Payment Arrangement [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Share-Based Compensation | Share-Based Compensation Equity Incentive Plan Pursuant to the Company's 2002 Equity Incentive Plan (the “Plan”), the Company’s Board of Directors may grant stock options, restricted shares, and restricted stock units to officers, directors, key employees and professional service providers. The Plan, as amended, allows for the issuance of up to a total of 7.6 million shares under the Plan. As of October 30, 2021, approximately 2.6 million stock options, restricted shares, or restricted stock units were available for grant. Common Stock Options All stock options have a term not greater than ten years. Stock options vest and become exercisable in whole or in part, in accordance with vesting conditions set by the Company’s Board of Directors. Options granted to date generally vest over four years from the date of grant. Stock option activity during the thirty-nine weeks ended October 30, 2021 was as follows:
Restricted Stock Units and Performance-Based Restricted Stock Units All restricted stock units ("RSU") and performance-based restricted stock units ("PSU") vest in accordance with vesting conditions set by the compensation committee of the Company’s Board of Directors. RSUs granted to date have vesting periods ranging from less than one year to five years from the date of grant and the fair value of RSUs is the market price of the underlying common stock on the date of grant. PSUs granted to date have vesting periods ranging from less than one year to five years from the date of grant. PSUs that have a performance condition are subject to satisfaction of the applicable performance goals established for the respective grant. The Company periodically assesses the probability of achievement of the performance criteria and adjusts the amount of compensation expense accordingly. The fair value of these PSUs is the market price of the underlying common stock on the date of grant. Compensation is recognized over the vesting period and adjusted for the probability of achievement of the performance criteria. PSUs that have a market condition based on our total shareholder return relative to a pre-defined peer group are subject to multi-year performance objectives with vesting periods of approximately three years from the date of grant (if the applicable performance objectives are achieved). The fair value of these PSUs are determined using a Monte Carlo valuation model. RSU and PSU activity during the thirty-nine weeks ended October 30, 2021 was as follows:
In connection with the vesting of RSUs and PSUs during the thirty-nine weeks ended October 30, 2021, the Company withheld 37,491 shares with an aggregate value of $7.2 million in satisfaction of minimum tax withholding obligations due upon vesting. In connection with the vesting of RSUs and PSUs during the thirty-nine weeks ended October 31, 2020, the Company withheld 50,921 shares with an aggregate value of $3.8 million in satisfaction of minimum tax withholding obligations due upon vesting. As of October 30, 2021, there was $38.1 million of total unrecognized compensation costs related to non-vested share-based compensation arrangements (including stock options, RSUs and PSUs) granted under the Plan. The cost is expected to be recognized over a weighted average vesting period of 2.2 years. Share Repurchase ProgramOn March 20, 2018, the Company's Board of Directors approved a share repurchase program authorizing the repurchase of up to $100 million of the Company's common stock through March 31, 2021, on the open market, in privately negotiated transactions, or otherwise. On March 9, 2021, the Company's Board of Directors approved a new share repurchase program for up to $100 million of the Company's common stock through March 21, 2024. In fiscal 2020, the Company purchased 137,023 shares under the share repurchase program at an aggregate cost of approximately $12.7 million, or average price of $92.42 per share. During the thirteen and thirty-nine weeks ended October 30, 2021, the Company did not execute any share repurchases. Since approval of the share repurchase program in March 2018, the Company has purchased approximately 500,000 shares for an aggregate cost of approximately $50 million. There can be no assurances that any additional repurchases will be completed, or as to the timing or amount of any repurchases. The share repurchase program may be modified or discontinued at any time.
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Income Taxes |
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Income Tax Disclosure [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Income Taxes | Income TaxesOn March 27, 2020, the Coronavirus Aid, Relief, and Economic Security Act ("CARES Act") was enacted and signed into law. The CARES Act includes a number of income tax changes, including, but not limited to, (i) permitting taxpayers a five-year carryback period for net operating losses ("NOLs") arising in tax years beginning after December 31, 2017 and before January 1, 2021, (ii) temporarily suspending the 80% of taxable income limitation on the use of NOLs for tax years beginning before January 1, 2021, thereby permitting corporate taxpayers to use NOLs to fully offset taxable income in these years regardless of the year in which the NOL arose, (iii) accelerating Alternative Minimum Tax ("AMT") credit carryover refunds, (iv) temporarily increasing the allowable business interest deduction from 30% to 50% of adjusted taxable income, and (v) providing a technical correction for depreciation as relates to the definition of qualified improvement property. The following table summarizes the Company’s income tax expense (benefit) and effective tax rates for the thirteen weeks ended and thirty-nine weeks ended October 30, 2021 and October 31, 2020 (dollars in thousands):
The effective tax rates for the thirteen weeks ended and thirty-nine weeks ended October 30, 2021 and October 31, 2020 were based on the Company’s forecasted annualized effective tax rates and were adjusted for discrete items that occurred within the periods presented. The effective tax rate for the thirteen weeks ended October 30, 2021 was higher than the thirteen weeks ended October 31, 2020 primarily due to discrete items, which includes the impact of the CARES Act in the thirteen weeks ended October 31, 2020 and the impact of ASU 2016-09, "Improvements to Employee Share-Based Payment Accounting" with respect to the requirement to recognize excess income tax benefits or deficiencies as income tax benefit or expense in the Company's consolidated statements of operations. The effective tax rate for the thirty-nine weeks ended October 30, 2021 was lower than the thirty-nine weeks ended October 31, 2020 primarily due to discrete items, which includes the impact of the CARES Act in the thirty-nine weeks ended October 31, 2020 and the impact of ASU 2016-09, "Improvements to Employee Share-Based Payment Accounting." The Company had no material accrual for uncertain tax positions or interest and/or penalties related to income taxes on the Company’s balance sheets as of October 30, 2021, January 30, 2021, or October 31, 2020 and has not recognized any material uncertain tax positions or interest and/or penalties related to income taxes in the consolidated statements of operations for the thirteen weeks ended and thirty-nine weeks ended October 30, 2021 or October 31, 2020. The Company files a federal income tax return as well as state tax returns. The Company’s U.S. federal income tax returns for the fiscal years ended February 3, 2018 and thereafter remain subject to examination by the U.S. Internal Revenue Service. State returns are filed in various state jurisdictions, as appropriate, with varying statutes of limitation and remain subject to examination for varying periods up to three years to four years depending on the state.
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Summary of Significant Accounting Policies (Policies) |
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Accounting Policies [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Nature of Business | Description of Business Five Below, Inc. (collectively referred to herein with its wholly owned subsidiary as the "Company") is a specialty value retailer offering merchandise targeted at the tween and teen demographic. The Company offers an edited assortment of products, with most priced at $5 and below. The Company’s edited assortment of products includes select brands and licensed merchandise. The Company believes its merchandise is readily available, and that there are a number of potential vendors that could be utilized, if necessary, under approximately the same terms the Company is currently receiving; thus, it is not dependent on a single vendor or a group of vendors. The Company is incorporated in the Commonwealth of Pennsylvania and, as of October 30, 2021, operated in 40 states that include Pennsylvania, New Jersey, Delaware, Maryland, Virginia, Massachusetts, New Hampshire, West Virginia, North Carolina, New York, Connecticut, Rhode Island, Ohio, Illinois, Indiana, Michigan, Missouri, Georgia, Texas, Tennessee, Maine, Alabama, Kentucky, Kansas, Florida, South Carolina, Mississippi, Louisiana, Wisconsin, Oklahoma, Minnesota, California, Arkansas, Iowa, Nebraska, Arizona, Nevada, Colorado, Utah and New Mexico. As of October 30, 2021 and October 31, 2020, the Company operated 1,173 stores and 1,018 stores, respectively, each operating under the name “Five Below,” and sells merchandise on the internet, through the Company's fivebelow.com e-commerce website.
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Fiscal Year | The Company operates on a 52/53-week fiscal year ending on the Saturday closest to January 31. References to "fiscal year 2021" or "fiscal 2021" refer to the period from January 31, 2021 to January 29, 2022, which is a 52-week fiscal year. References to "fiscal year 2020" or "fiscal 2020" refer to the period from February 2, 2020 to January 30, 2021, which is a 52-week fiscal year. The fiscal quarters ended October 30, 2021 and October 31, 2020 refer to the thirteen weeks ended as of those dates. The year-to-date periods ended October 30, 2021 and October 31, 2020 refer to the thirty-nine weeks ended as of those dates. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Basis of Presentation | The consolidated balance sheets as of October 30, 2021 and October 31, 2020, the consolidated statements of operations for the thirteen and thirty-nine weeks ended October 30, 2021 and October 31, 2020, the consolidated statements of shareholders’ equity for the thirteen and thirty-nine weeks ended October 30, 2021 and October 31, 2020 and the consolidated statements of cash flows for the thirty-nine weeks ended October 30, 2021 and October 31, 2020 have been prepared by the Company in conformity with U.S. generally accepted accounting principles (“U.S. GAAP”) for interim reporting and are unaudited. In the opinion of management, the aforementioned financial statements include all known adjustments (which consist primarily of normal, recurring accruals, estimates and assumptions that impact the financial statements) necessary to present fairly the financial position at the balance sheet dates and the results of operations and cash flows for the periods ended October 30, 2021 and October 31, 2020. The balance sheet as of January 30, 2021, presented herein, has been derived from the audited balance sheet included in the Company's Annual Report on Form 10-K for fiscal 2020 as filed with the Securities and Exchange Commission on March 18, 2021 and referred to herein as the “Annual Report,” but does not include all annual disclosures required by U.S. GAAP. These consolidated financial statements should be read in conjunction with the consolidated financial statements for the fiscal year ended January 30, 2021 and footnotes thereto included in the Annual Report. The consolidated results of operations for the thirteen and thirty-nine weeks ended October 30, 2021 and October 31, 2020 are not necessarily indicative of the consolidated operating results for the year ending January 29, 2022 or any other period. The Company's business is seasonal and as a result, the Company's net sales fluctuate from quarter to quarter. Net sales are usually highest in the fourth fiscal quarter due to the year-end holiday season. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Recently Issued Accounting Pronouncements | In March 2020, the FASB issued ASU 2020-04, "Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting" ("ASU 2020-04"). The pronouncement provides temporary optional expedients and exceptions to the current guidance on contract modifications and hedge accounting to ease the financial reporting burdens related to the expected market transition from the London Interbank Offered Rate ("LIBOR") and other interbank offered rates to alternative reference rates. The guidance was effective upon issuance and may be applied prospectively to contract modifications made and hedging relationships entered into or evaluated on or before December 31, 2022. The impact of the adoption of ASU 2020-04 is not expected to be significant to the Company's consolidated financial statements. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Use of Estimates | The preparation of the consolidated financial statements requires management of the Company to make estimates and assumptions that affect the reported amount of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the period. Actual results could differ from those estimates. Significant items subject to such estimates and assumptions include the carrying amount of property and equipment, net realizable value for inventories, income taxes, share-based compensation expense, the incremental borrowing rate utilized in operating lease liabilities, | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Fair Value of Financial Instruments | Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Assets and liabilities measured at fair value are classified using the following hierarchy, which is based upon the transparency of inputs to the valuation at the measurement date: Level 1: Quoted market prices in active markets for identical assets or liabilities. Level 2: Inputs, other than Level 1, that are either directly or indirectly observable. Level 3: Unobservable inputs developed using the Company’s estimates and assumptions which reflect those that market participants would use. The classification of fair value measurements within the hierarchy are based upon the lowest level of input that is significant to the measurement. The Company’s financial instruments consist primarily of cash equivalents, investment securities, accounts payable, borrowings, if any, under a line of credit, equity method investments and notes receivable. The Company believes that: (1) the carrying value of cash equivalents and accounts payable are representative of their respective fair value due to the short-term nature of these instruments; and (2) the carrying value of the borrowings, if any, under the line of credit approximates fair value because the line of credit’s interest rates vary with market interest rates. Under the fair value hierarchy, the fair market values of the investments in corporate bonds are Level 1 while the investments in municipal bonds are Level 2. The fair market values of Level 2 instruments are determined by management with the assistance of a third-party pricing service. Since quoted prices in active markets for identical assets are not available, these prices are determined by the third-party pricing service using observable market information such as quotes from less active markets and quoted prices of similar securities. As of October 30, 2021, January 30, 2021, and October 31, 2020, the Company had cash equivalents of $60.8 million, $250.7 million and $104.7 million, respectively. The Company’s cash equivalents consist of credit and debit card receivables, money market funds, and corporate bonds with original maturities of 90 days or less. Fair value for cash equivalents was determined based on Level 1 inputs. As of October 30, 2021, January 30, 2021, and October 31, 2020, the Company's investment securities are classified as held-to-maturity since the Company has the intent and ability to hold the investments to maturity. Such securities are carried at amortized cost plus accrued interest and consist of the following (in thousands):
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Revenue Transactions | Revenue from Contracts with Customers Revenue Transactions Revenue from store operations is recognized at the point of sale when control of the product is transferred to the customer at such time. Internet sales, through the Company's fivebelow.com e-commerce website, are recognized when the customer receives the product as control transfers upon delivery. Returns subsequent to the period end are immaterial; accordingly, no significant reserve has been recorded. Gift card sales to customers are initially recorded as liabilities and recognized as sales upon redemption for merchandise or as breakage revenue in proportion to the pattern of redemption of the gift cards by the customer in net sales. The transaction price for the Company’s sales is based on the item’s stated price. To the extent that the Company charges customers for shipping and handling on e-commerce sales, the Company records such amounts in net sales. Shipping and handling costs, which include fulfillment and shipping costs related to the Company's e-commerce operations, are included in costs of goods sold. As permitted by applicable accounting guidance, the Company has elected to exclude all sales taxes from net sales in the accompanying consolidated statements of operations. Disaggregation of Revenue The following table provides information about disaggregated revenue by groups of products: leisure, fashion and home, and party and snack (in thousands):
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Deferred Compensation | The Company approved and adopted the Five Below, Inc. Nonqualified Deferred Compensation Plan (the "Plan") and a related, irrevocable grantor trust (the "Trust") during the thirteen weeks ended July 31, 2021. The Plan provides eligible key employees with the opportunity to elect to defer up to 80% of their eligible compensation. The Company may make discretionary contributions, at the discretion of the Board. Payments under the Plan will be made from the general assets of the Company or from the assets of the Trust, funded by the Company. The related liability is recorded as deferred compensation and included in other long-term liabilities in the consolidated balance sheets. |
SEC Schedule, Article 12-04, Condensed Financial Information of Registrant (Tables) |
9 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Condensed Financial Information Disclosure [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Debt Securities, Held-to-maturity | Such securities are carried at amortized cost plus accrued interest and consist of the following (in thousands):
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Revenue from Contracts With Customers (Tables) |
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Revenue from Contract with Customer [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Disaggregation of Revenue | Disaggregation of Revenue The following table provides information about disaggregated revenue by groups of products: leisure, fashion and home, and party and snack (in thousands):
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Leases (Tables) |
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Leases [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Components of net lease cost | The following table is a summary of the Company's components for net lease costs (in thousands):
The following table summarizes the supplemental cash flow disclosures related to leases (in thousands):
(1) Included within operating activities in the Company's Consolidated Statements of Cash Flows.
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Maturity of lease liabilities under operating leases | The following table summarizes the maturity of lease liabilities under operating leases as of October 30, 2021 (in thousands):
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Income Per Common Share (Tables) |
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Earnings Per Share [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Computations Of Basic And Diluted Income (Loss) Per Share | The following table reconciles net income (loss) and the weighted average common shares outstanding used in the computations of basic and diluted income (loss) per common share (in thousands, except for share and per share data):
The effects of the assumed vesting of restricted stock units for 69 shares of common stock for the thirteen weeks ended October 30, 2021 were excluded from the calculation of diluted net income per share, as their impact would have been anti-dilutive. The effects of the assumed vesting of restricted stock units for 7,775 shares of common stock for the thirty-nine weeks ended October 30, 2021 were excluded from the calculation of diluted net income per share, as their impact would have been anti-dilutive. The effects of the assumed vesting of restricted stock units for 4,361 shares of common stock for the thirteen weeks ended October 31, 2020 were excluded from the calculation of diluted net income per share, as their impact would have been anti-dilutive. For the thirty-nine weeks ended October 31, 2020, all common stock equivalents related to outstanding stock options and unvested restricted units were excluded from the calculation of diluted net loss per share, as their impact would have been anti-dilutive due to the Company's net loss for the period. The aforementioned excluded shares do not reflect the impact of any incremental repurchases under the treasury stock method.
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Share-Based Compensation (Tables) |
9 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Oct. 30, 2021 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Share-based Payment Arrangement [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Share-based Compensation, Stock Options, Activity | Stock option activity during the thirty-nine weeks ended October 30, 2021 was as follows:
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Schedule of Share-based Compensation, Restricted Stock Units Award Activity | RSU and PSU activity during the thirty-nine weeks ended October 30, 2021 was as follows:
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Income Taxes (Tables) |
9 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Oct. 30, 2021 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Income Tax Disclosure [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Effective Income Tax Rate Reconciliation | The following table summarizes the Company’s income tax expense (benefit) and effective tax rates for the thirteen weeks ended and thirty-nine weeks ended October 30, 2021 and October 31, 2020 (dollars in thousands):
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Summary of Significant Accounting Policies (Nature of Business) (Details) |
3 Months Ended | |
---|---|---|
Oct. 30, 2021
USD ($)
state
Stores
|
Oct. 31, 2020
Stores
|
|
Accounting Policies [Abstract] | ||
Products offering price, maximum price | $ 5 | |
Number of states in which entity operates (state) | state | 40 | |
Number of stores (store) | Stores | 1,173 | 1,018 |
Deferred Compensation Arrangement With individual, Percent Of Gross Pay | 80.00% | |
Equity Method Investment, Other than Temporary Impairment | $ 9,700,000 |
Summary of Significant Accounting Policies (Fair Value of Financial Instruments) (Details) - USD ($) $ in Thousands |
Oct. 30, 2021 |
Jan. 30, 2021 |
Oct. 31, 2020 |
---|---|---|---|
Significant Accounting Policies [Line Items] | |||
Amortized Cost | $ 224,563 | $ 140,928 | $ 96,749 |
Gross Unrealized Gains | 6 | 0 | 0 |
Gross Unrealized Losses | 93 | 60 | 50 |
Fair Market Value | 224,476 | 140,868 | 96,699 |
Fair Value, Inputs, Level 1 | |||
Significant Accounting Policies [Line Items] | |||
Cash equivalents | 60,800 | 250,700 | 104,700 |
Corporate bonds | Fair Value, Inputs, Level 2 | |||
Significant Accounting Policies [Line Items] | |||
Amortized Cost | 190,700 | 95,530 | 78,516 |
Gross Unrealized Gains | 6 | 0 | 0 |
Gross Unrealized Losses | 82 | 53 | 43 |
Fair Market Value | 190,624 | 95,477 | 78,473 |
Municipal bonds | Fair Value, Inputs, Level 2 | |||
Significant Accounting Policies [Line Items] | |||
Amortized Cost | 33,863 | 45,398 | 18,233 |
Gross Unrealized Gains | 0 | 0 | 0 |
Gross Unrealized Losses | 11 | 7 | 7 |
Fair Market Value | $ 33,852 | $ 45,391 | $ 18,226 |
Summary of Significant Accounting Policies Prepaid expenses and OCA (Details) - USD ($) $ in Millions |
Oct. 30, 2021 |
Jan. 30, 2021 |
Oct. 31, 2020 |
---|---|---|---|
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | |||
Prepaid expense | $ 26.5 | $ 19.0 | $ 17.7 |
Other current assets | $ 51.0 | $ 39.1 | $ 32.5 |
Summary of Significant Accounting Policies Other Accrued Expenses (Details) - USD ($) $ in Millions |
Oct. 30, 2021 |
Jan. 30, 2021 |
Oct. 31, 2020 |
---|---|---|---|
Payables and Accruals [Abstract] | |||
Other accrued expenses | $ 42.0 | $ 29.2 | $ 18.6 |
Revenue from Contracts With Customers (Details) - USD ($) $ in Thousands |
3 Months Ended | 9 Months Ended | ||
---|---|---|---|---|
Oct. 30, 2021 |
Oct. 31, 2020 |
Oct. 30, 2021 |
Oct. 31, 2020 |
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Net sales | $ 607,645 | $ 476,614 | $ 1,852,022 | $ 1,103,623 |
Net sales as a percentage of net sales | 100.00% | 100.00% | 100.00% | 100.00% |
Leisure | ||||
Net sales | $ 305,600 | $ 221,970 | $ 930,890 | $ 524,719 |
Net sales as a percentage of net sales | 50.30% | 46.60% | 50.30% | 47.50% |
Fashion and home | ||||
Net sales | $ 192,472 | $ 176,867 | $ 563,401 | $ 400,679 |
Net sales as a percentage of net sales | 31.70% | 37.10% | 30.40% | 36.30% |
Total | ||||
Net sales | $ 109,573 | $ 77,777 | $ 357,731 | $ 178,225 |
Net sales as a percentage of net sales | 18.00% | 16.30% | 19.30% | 16.20% |
Leases - Narrative (Details) $ in Millions |
3 Months Ended | 9 Months Ended | |
---|---|---|---|
Oct. 30, 2021
USD ($)
|
Oct. 30, 2021
lease
|
Oct. 31, 2020 |
|
Lessee, Lease, Description [Line Items] | |||
Number of leases (lease) | lease | 30 | ||
Long-term purchase commitment, amount | $ | $ 89.6 | ||
Operating lease, weighted average remaining lease term (years) | 7 years 10 months 24 days | 7 years 10 months 24 days | 8 years |
Operating lease, weighted average discount rate, percent | 5.60% | 5.60% | 6.60% |
Minimum | |||
Lessee, Lease, Description [Line Items] | |||
Lessee, operating lease, term of contracts (years) | 10 years | 10 years |
Leases - Components of Net Lease Cost (Details) - USD ($) $ in Thousands |
3 Months Ended | 9 Months Ended | ||
---|---|---|---|---|
Oct. 30, 2021 |
Oct. 31, 2020 |
Oct. 30, 2021 |
Oct. 31, 2020 |
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Leases [Abstract] | ||||
Operating lease cost | $ 51,477 | $ 43,584 | $ 148,272 | $ 126,205 |
Variable lease cost | 14,951 | 11,977 | 42,602 | 33,939 |
Net lease cost* | $ 66,428 | $ 55,561 | $ 190,874 | $ 160,144 |
Leases - Maturity of Lease Liabilities Under Operating Leases (Details) $ in Thousands |
Oct. 30, 2021
USD ($)
|
---|---|
Leases [Abstract] | |
2021 | $ 58,337 |
2022 | 221,131 |
2023 | 215,265 |
2024 | 205,455 |
2025 | 190,448 |
After 2025 | 692,582 |
Total lease payments | 1,583,218 |
Less: imputed interest | 282,751 |
Present value of lease liabilities | $ 1,300,467 |
Leases - Supplemental Cash Flow Information (Details) - USD ($) $ in Thousands |
9 Months Ended | |
---|---|---|
Oct. 30, 2021 |
Oct. 31, 2020 |
|
Cash paid for amounts included in the measurement of lease liabilities: | ||
Cash payments arising from operating lease liabilities | $ 144,030 | $ 91,013 |
Supplemental non-cash information: | ||
Operating lease liabilities arising from obtaining right-of-use assets | $ 266,717 | $ 159,707 |
Income Per Common Share (Computations Of Basic And Diluted Income (Loss) Per Share) (Details) - USD ($) $ / shares in Units, $ in Thousands |
3 Months Ended | 9 Months Ended | ||||||
---|---|---|---|---|---|---|---|---|
Oct. 30, 2021 |
Jul. 31, 2021 |
May 01, 2021 |
Oct. 31, 2020 |
Aug. 01, 2020 |
May 02, 2020 |
Oct. 30, 2021 |
Oct. 31, 2020 |
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Numerator: | ||||||||
Net income (loss) | $ 24,177 | $ 64,841 | $ 49,596 | $ 20,425 | $ 29,581 | $ (50,582) | $ 138,614 | $ (576) |
Denominator: | ||||||||
Weighted-average common shares outstanding - basic (shares) | 56,023,961 | 55,851,780 | 56,001,437 | 56,004,072 | ||||
Dilutive impact of options and warrants (shares) | 316,674 | 247,548 | 304,019 | 0 | ||||
Weighted average common share outstanding - diluted (shares) | 56,340,635 | 56,099,328 | 56,305,456 | 56,004,072 | ||||
Per common share: | ||||||||
Basic income (loss) per common share (dollars per share) | $ 0.43 | $ 0.37 | $ 2.48 | $ (0.01) | ||||
Diluted income (loss) per common share (dollars per share) | $ 0.43 | $ 0.36 | $ 2.46 | $ (0.01) |
Income Per Common Share (Narrative) (Details) - shares |
3 Months Ended | 9 Months Ended | |
---|---|---|---|
Oct. 30, 2021 |
Oct. 31, 2020 |
Oct. 30, 2021 |
|
Restricted Stock Units | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Common stock not included in the computations of diluted earnings per share | 69 | 4,361 | 7,775 |
Commitments and Contingencies (Narrative) (Details) ft² in Thousands, $ in Millions |
9 Months Ended |
---|---|
Oct. 30, 2021
USD ($)
ft²
| |
Purchase commitment, remaining minimum amount committed | $ 12.5 |
Distribution center in Buckeye, Arizona | |
Area of real estate property (in sqft) | ft² | 860 |
Expected payments to purchase land and construct building | $ 65.0 |
Distribution Center In Indianapolis, Indiana | |
Area of real estate property (in sqft) | ft² | 1,030 |
Payments to acquire buildings | $ 26.0 |
Expected payments to purchase land and construct building | $ 61.0 |
Share-Based Compensation (2002 Equity Incentive Plan) (Details) - 2002 Equity Incentive Plan - shares |
Oct. 30, 2021 |
Jul. 24, 2012 |
---|---|---|
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Shares available for issuance (shares) | 7,600,000 | |
Stock options and restricted shares available for grant (shares) | 2,600,000 |
Share-Based Compensation (Share-Based Compensation Valuation of Stock Options) (Details) |
9 Months Ended |
---|---|
Oct. 30, 2021
shares
| |
Share-based Payment Arrangement, Noncash Expense [Abstract] | |
Stock options granted | 0 |
Share-Based Compensation (Share Repurchase Program) (Details) - USD ($) |
3 Months Ended | 12 Months Ended | 44 Months Ended | |||
---|---|---|---|---|---|---|
Oct. 30, 2021 |
May 02, 2020 |
Jan. 30, 2021 |
Oct. 30, 2021 |
Mar. 09, 2021 |
Mar. 20, 2018 |
|
Share-based Payment Arrangement [Abstract] | ||||||
Authorized amount | $ 100,000,000 | $ 100,000,000 | ||||
Repurchase and retirement of common stock (in shares) | 0 | 137,023 | 500,000 | |||
Repurchase and retirement of common stock | $ 12,663,000 | $ 12,700,000 | $ 50,000,000 | |||
Average price (dollars per share) | $ 92.42 |
Income Taxes (Narrative) (Details) - USD ($) |
3 Months Ended | 9 Months Ended | |||
---|---|---|---|---|---|
Oct. 30, 2021 |
Oct. 31, 2020 |
Oct. 30, 2021 |
Oct. 31, 2020 |
Nov. 02, 2019 |
|
Income Tax [Line Items] | |||||
Income tax expense (benefit) | $ 7,648,000 | $ 3,164,000 | $ 41,018,000 | $ (15,246,000) | |
Effective tax rate | 24.00% | 13.40% | 22.80% | 96.40% | |
Accrual for uncertain tax, interest or penalties | $ 0 | $ 0 | $ 0 | $ 0 | $ 0 |
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest | $ 31,825,000 | $ 23,589,000 | $ 179,632,000 | $ (15,822,000) | |
Minimum | |||||
Income Tax [Line Items] | |||||
State income taxes, statute of limitations period (years) | 3 years | ||||
Maximum | |||||
Income Tax [Line Items] | |||||
State income taxes, statute of limitations period (years) | 4 years |
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