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Quarterly Financial Data (Unaudited) (Tables)
 12 Months Ended
Dec. 31, 2019
Quarterly Financial Data [Abstract]  
Schedule of Quarterly Financial Information
The tables below provide the Company’s unaudited consolidated results of operations for each of the four quarters in 2019 and 2018:
 
Three Months Ended
 
(in millions, except per share data)(1)
 
December 31,
 
September 30,
 
June 30,
 
March 31,
 
2019
 
2019
 
2019
 
2019
Net sales — Cigarettes(2)
$
2,711.2

 
$
2,880.0

 
$
2,834.0

 
$
2,467.5

Net sales — Food/Non-food(2)
1,443.6

 
1,542.6

 
1,505.0

 
1,286.6

Net sales(2)
4,154.8

 
4,422.6

 
4,339

 
3,754.1

Cost of goods sold(3)
3,924.3

 
4,176.0

 
4,100.1

 
3,545.9

Gross profit
230.5

 
246.6

 
238.9

 
208.2

Warehousing and distribution expenses(3)
140.2

 
148.6

 
143.2

 
134.2

Selling, general and administrative expenses
63.1

 
61.8

 
64.6

 
65.9

Amortization of intangible assets
2.3

 
2.3

 
2.7

 
2.7

Total operating expenses
205.6

 
212.7

 
210.5

 
202.8

Income from operations
24.9

 
33.9

 
28.4

 
5.4

Interest expense, net
(3.6
)
 
(4.2
)
 
(3.2
)
 
(3.4
)
Foreign currency transaction (losses) gains, net
(0.5
)
 
0.9

 
(1.0
)
 
(0.2
)
Income before income taxes
20.8

 
30.6

 
24.2

 
1.8

Income tax provision
(4.6
)
 
(8.1
)
 
(6.5
)
 
(0.5
)
Net income
16.2

 
22.5

 
17.7

 
1.3

Basic net income per share
$
0.35

 
$
0.49

 
$
0.39

 
$
0.03

Diluted net income per share
$
0.35

 
$
0.49

 
$
0.38

 
$
0.03

Shares used to compute basic net income per share
45.7

 
45.8

 
45.9

 
45.9

Shares used to compute diluted net income per share
46.0

 
46.1

 
46.1

 
46.0

 
 
 
 
 
 
 
 
Excise taxes(2)
$
819.7

 
$
884.1

 
$
868.8

 
$
768.7

Cigarette inventory holding gains(4)
10.1

 
0.3

 
3.8

 
8.8

Candy inventory holding gains (5)
1.1

 
5.8

 
—

 
—

LIFO expense
5.9

 
7.3

 
7.4

 
7.0

Depreciation and amortization
15.1

 
14.9

 
15.5

 
15.4

Stock-based compensation
2.4

 
3.1

 
2.2

 
1.9

Capital expenditures
7.5

 
6.1

 
4.1

 
5.1

____________________________________________
(1)
Totals may not agree with full year amounts due to rounding.
(2)
Excise taxes are included as a component of net sales and cost of goods sold.
(3)
Warehousing and distribution expenses are not included as a component of the Company’s cost of goods sold. This presentation may differ from that of other registrants.
(4)
Cigarette inventory holding gains represent income related to cigarette inventories on hand at the time cigarette manufacturers increase their prices. Such increases are reflected in customer pricing for all subsequent sales, including sales of inventory on hand at the time of the increase.
(5)
Candy inventory holding gains represent income related to candy inventories on hand at the time candy manufacturers increase their prices. Such increases are reflected in customer pricing for all subsequent sales, including sales of inventory on hand at the time of the increase. In 2019, the $6.9 million of candy inventory holding gains were attributable to the U.S.

 
Three Months Ended
 
(in millions, except per share data)(1)
 
December 31,
 
September 30,
 
June 30,
 
March 31,
 
2018
 
2018
 
2018
 
2018
Net sales — Cigarettes(2)
$
2,719.7

 
$
2,874.6

 
$
2,842.7

 
$
2,537.5

Net sales — Food/Non-food(2)
1,370.0

 
1,398.6

 
1,383.8

 
1,268.4

Net sales(2)
4,089.7

 
4,273.2

 
4,226.5

 
3,805.9

Cost of goods sold(3)
3,872.7

 
4,039.4

 
4,009.6

 
3,606.1

Gross profit
217.0

 
233.8

 
216.9

 
199.8

Warehousing and distribution expenses(3)
136.4

 
137.6

 
134.3

 
132.3

Selling, general and administrative expenses(4)
61.2

 
58.8

 
61.7

 
63.4

Amortization of intangible assets
2.4

 
2.5

 
2.6

 
2.5

Total operating expenses
200.0

 
198.9

 
198.6

 
198.2

Income from operations
17.0

 
34.9

 
18.3

 
1.6

Interest expense, net
(3.1
)
 
(3.4
)
 
(3.4
)
 
(3.8
)
Foreign currency transaction gains (losses), net
1.3

 
(0.4
)
 
0.5

 
0.4

Income (loss) before income taxes
15.2

 
31.1

 
15.4

 
(1.8
)
Income tax (provision) benefit
(3.1
)
 
(7.4
)
 
(4.4
)
 
0.5

Net income (loss)
12.1

 
23.7

 
11.0

 
(1.3
)
Basic net income (loss) per share
$
0.26

 
$
0.52

 
$
0.24

 
$
(0.03
)
Diluted net income (loss) per share
$
0.26

 
$
0.51

 
$
0.24

 
$
(0.03
)
Shares used to compute basic net income (loss)
per share
45.7

 
45.9

 
46.0

 
46.2

Shares used to compute diluted net income (loss)
per share
46.0

 
46.2

 
46.1

 
46.2

 
 
 
 
 
 
 
 
Excise taxes(2)
$
859.0

 
$
920.7

 
$
900.4

 
$
811.3

Cigarette inventory holding gains(5)
3.1

 
5.9

 
3.5

 
7.1

Cigarette tax stamp inventory holding gain(6)
—

 
7.4

 
—

 
—

LIFO expense
5.2

 
7.2

 
6.9

 
5.9

Depreciation and amortization
15.0

 
14.9

 
14.7

 
14.9

Stock-based compensation
1.8

 
2.0

 
2.5

 
1.9

Capital expenditures
5.2

 
5.7

 
2.3

 
6.9

______________________________________________
(1)
Totals may not agree with full year amounts due to rounding.
(2)
Excise taxes are included as a component of net sales and cost of goods sold.
(3)
Warehousing and distribution expenses are not included as a component of the Company’s cost of goods sold. This presentation may differ from that of other registrants.
(4)
Selling, general & administrative expenses include business integration costs of $2.7 million consisting of $0.3 million in Q1, $0.1 million in Q2, $0.9 million in Q3, and $1.4 million in Q4.
(5)
Cigarette inventory holding gains represent income related to cigarette inventories on hand at the time cigarette manufacturers increase their prices. Such increases are reflected in customer pricing for all subsequent sales, including sales of inventory on hand at the time of the increase.
(6)
Cigarette inventory tax stamp holding gains represent income related to cigarette tax stamps on hand at the time the price of tax stamp inventory increased.