10-Q

UNITED STATES 

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM

10-Q

☑

QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF

1934

For the quarterly period ended

April 29, 2023

OR

☐

TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF

1934

For the transition period from ________________to__________________

Commission file number 

1-31340

THE CATO CORPORATION

(Exact name of registrant as specified in its charter)

Delaware

56-0484485

(State or other jurisdiction of incorporation or organization)

(I.R.S. Employer Identification No.)

8100 Denmark Road

,

Charlotte

,

North Carolina

28273-5975

(Address of principal executive offices)

(Zip Code)

(704)

554-8510

(Registrant's telephone number, including area code)

Not Applicable

(Former name, former address and former fiscal year, if changed since last report)

Securities registered pursuant to Section 12(b) of the Act:

Title of each class

Trading Symbol(s)

Name of each exchange on which registered

Class A - Common Stock, par value $.033 per share

CATO

New York Stock Exchange

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities

Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports),

and (2) has been subject to such filing requirements for the past 90 days.

Yes

X

No

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted

pursuant to Rule 405 of Regulation S-T during the preceding 12 months (or for such shorter period that the registrant was required to

submit and post such files).

Yes

X

No

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, smaller reporting

company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting

company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

Large accelerated filer

☐

Accelerated filer

☑

 Non-accelerated filer

☐

 Smaller reporting company

☐

 Emerging growth company

☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for

complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.

☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b -2 of the Exchange Act).

☐

As of April 29, 2023, there were

18,479,615

 shares of Class A common stock and

1,763,652

 shares of Class B common stock outstanding.

1

THE CATO CORPORATION

FORM 10-Q

Quarter Ended April 29, 2023

Table of Contents

Page No.

PART I – FINANCIAL INFORMATION (UNAUDITED)

Item 1.

Financial Statements (Unaudited):

Condensed Consolidated Statements of Income and Comprehensive Income

2

For the Three Months Ended April 29, 2023 and April 30, 2022

Condensed Consolidated Balance Sheets

3

At April 29, 2023 and January 28, 2023 

Condensed Consolidated Statements of Cash Flows

4

For the Three Months Ended April 29, 2023 and April 30, 2022

Condensed Consolidated Statements of Stockholders’ Equity

5

For the Three Months Ended April 29, 2023 and April 30, 2022

Notes to Condensed Consolidated Financial Statements

6 - 18

Item 2.

Management’s Discussion and Analysis of Financial Condition and Results

of Operations

19 - 25

Item 3.

Quantitative and Qualitative Disclosures About Market Risk

26

Item 4.

Controls and Procedures

26

PART II – OTHER INFORMATION

Item 1.

Legal Proceedings

27

Item 1A.

Risk Factors

27

Item 2.

Unregistered Sales of Equity Securities and Use of Proceeds

27

Item 3.

Defaults Upon Senior Securities

27

Item 4.

Mine Safety Disclosures

28

Item 5.

Other Information

28

Item 6.

Exhibits

28

Signatures

29

2

PART I FINANCIAL INFORMATION

ITEM 1. FINANCIAL STATEMENTS

THE CATO CORPORATION

CONDENSED CONSOLIDATED STATEMENTS OF INCOME AND

COMPREHENSIVE INCOME

(UNAUDITED)

Three Months Ended

April 29, 2023

April 30, 2022

(Dollars in thousands, except per share data)

REVENUES

 Retail sales

$

190,311

$

204,933

 Other revenue (principally finance charges, late fees and

 layaway charges)

1,739

1,788

 Total revenues

192,050

206,721

COSTS AND EXPENSES, NET

 Cost of goods sold (exclusive of depreciation shown below)

122,087

132,243

 Selling, general and administrative (exclusive of depreciation

 shown below)

61,934

60,441

 Depreciation

2,357

2,743

 Interest and other income

(897)

(403)

 Costs and expenses, net

185,481

195,024

Income before income taxes

6,569

11,697

Income tax expense

2,141

1,949

Net income

$

4,428

$

9,748

Basic earnings per share

$

0.22

$

0.46

Diluted earnings per share

$

0.22

$

0.46

Comprehensive income:

Net income

$

4,428

$

9,748

Unrealized gain (loss) on available-for-sale securities, net 

 of deferred income taxes of $

107

 and an income tax benefit of $

362

355

(1,206)

 for April 29, 2023 and April 30, 2022, respectively

Comprehensive income

$

4,783

$

8,542

See notes to condensed consolidated financial statements (unaudited).

3

THE CATO CORPORATION

CONDENSED CONSOLIDATED BALANCE SHEETS

(UNAUDITED)

April 29, 2023

January 28, 2023

(Dollars in thousands)

ASSETS

Current Assets:

Cash and cash equivalents 

$

39,642

$

20,005

Short-term investments 

87,750

108,652

Restricted cash

3,826

3,787

Accounts receivable, net of allowance for customer credit losses of

 $

761

 and $

761

 at April 29, 2023 and January 28, 2023, respectively

28,192

26,497

Merchandise inventories 

106,813

112,056

Prepaid expenses and other current assets

7,298

6,676

 Total Current Assets 

273,521

277,673

Property and equipment – net 

74,187

70,382

Deferred income taxes

9,938

9,213

Other assets 

21,478

21,596

Right-of-Use assets – net 

155,512

174,276

 Total Assets 

$

534,636

$

553,140

LIABILITIES AND STOCKHOLDERS' EQUITY

Current Liabilities:

Accounts payable 

$

88,508

$

91,956

Accrued expenses 

42,593

41,338

Accrued bonus and benefits 

2,154

1,690

Accrued income taxes 

2,679

613

Current lease liability

49,707

67,360

 Total Current Liabilities 

185,641

202,957

Other noncurrent liabilities

16,449

16,183

Lease liability

105,765

107,407

Stockholders' Equity:

Preferred stock, $

100

 par value per share,

100,000

 shares

 authorized, none issued 

-

-

Class A common stock, $

0.033

 par value per share,

50,000,000

 shares authorized;

18,479,615

 and

18,723,225

 shares issued

 at April 29, 2023 and January 28, 2023, respectively

624

632

Convertible Class B common stock, $

0.033

 par value per share,

15,000,000

 shares authorized;

1,763,652

 and

1,763,652

 shares issued at April 29, 2023 and January 28, 2023, respectively

59

59

Additional paid-in capital 

123,555

122,431

Retained earnings 

103,426

104,709

Accumulated other comprehensive income 

(883)

(1,238)

 Total Stockholders' Equity 

226,781

226,593

 Total Liabilities and Stockholders’ Equity 

$

534,636

$

553,140

See notes to condensed consolidated financial statements (unaudited).

4

THE CATO CORPORATION

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(UNAUDITED)

Three Months Ended

April 29, 2023

April 30, 2022

(Dollars in thousands)

Operating Activities:

Net income

$

4,428

$

9,748

Adjustments to reconcile net income to net cash provided (used) by operating activities:

Depreciation

2,357

2,743

Provision for customer credit losses

98

72

Purchase premium and premium amortization of investments

(18)

388

Share-based compensation

958

624

Deferred income taxes

(832)

-

(Gain) Loss on disposal of property and equipment

(33)

16

Changes in operating assets and liabilities which provided (used) cash:

 Accounts receivable

(1,793)

(4,382)

 Merchandise inventories

5,243

(2,669)

 Prepaid and other assets

(618)

474

 Operating lease right-of-use assets and liabilities

(532)

(590)

 Accrued income taxes

2,066

1,142

 Accounts payable, accrued expenses and other liabilities

(1,429)

(8,331)

Net cash provided (used) by operating activities

9,895

(765)

Investing Activities:

Expenditures for property and equipment 

(6,170)

(4,440)

Purchase of short-term investments

(5,914)

(1,529)

Sales of short-term investments

27,421

25,566

Net cash provided (used) by investing activities

15,337

19,597

Financing Activities:

Dividends paid

(3,455)

(3,638)

Repurchase of common stock

(2,267)

(9,162)

Proceeds from employee stock purchase plan

166

91

Net cash provided (used) by financing activities

(5,556)

(12,709)

Net increase (decrease) in cash, cash equivalents, and restricted cash

19,676

6,123

Cash, cash equivalents, and restricted cash at beginning of period

23,792

23,678

Cash, cash equivalents, and restricted cash at end of period 

$

43,468

$

29,801

Non-cash activity:

Accrued other assets and property and equipment

$

644

$

2,971

See notes to condensed consolidated financial statements (unaudited).

5

THE CATO CORPORATION

CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS’ EQUITY

(UNAUDITED)

Accumulated

Additional

Other

Total

Common

Paid-in

Retained

Comprehensive

Stockholders'

Stock

Capital

Earnings

Income

Equity

(Dollars in thousands)

Balance — January 28, 2023

$

691

$

122,431

$

104,709

$

(1,238)

$

226,593

Comprehensive income:

 Net income

-

-

4,428

-

4,428

 Unrealized net gains on available-for-sale securities, net of deferred 

 income tax expense of $

107

-

-

-

355

355

Dividends paid ($

0.17

 per share)

-

-

(3,455)

-

(3,455)

Class A common stock sold through employee stock purchase plan

-

195

-

-

195

Share-based compensation issuances and exercises

-

-

3

-

3

Share-based compensation expense

-

929

-

-

929

Repurchase and retirement of treasury shares

(8)

-

(2,259)

-

(2,267)

Balance — April 29, 2023

$

683

$

123,555

$

103,426

$

(883)

$

226,781

Accumulated

Additional

Other

Total

Common

Paid-in

Retained

Comprehensive

Stockholders'

Stock

Capital

Earnings

Income

Equity

(Dollars in thousands)

Balance — January 29, 2022

$

728

$

119,540

$

134,208

$

(280)

$

254,196

Comprehensive income:

 Net income

-

-

9,748

-

9,748

 Unrealized net losses on available-for-sale securities, net of deferred 

 income tax benefit of $

362

-

-

-

(1,206)

(1,206)

Dividends paid ($

0.17

 per share)

-

-

(3,638)

-

(3,638)

Class A common stock sold through employee stock purchase plan

-

111

-

-

111

Share-based compensation issuances and exercises

-

-

5

-

5

Share-based compensation expense

-

598

-

-

598

Repurchase and retirement of treasury shares

(20)

-

(9,142)

-

(9,162)

Balance — April 30, 2022

$

708

$

120,249

$

131,181

$

(1,486)

$

250,652

See notes to condensed consolidated financial statements (unaudited).

THE CATO CORPORATION

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

6

NOTE 1 - GENERAL

:

The condensed consolidated financial statements as of April 29, 2023 and for the thirteen-week periods

ended April 29, 2023 and April 30, 2022 have been prepared from the accounting records of The Cato

Corporation and its wholly-owned subsidiaries (the “Company”), and all amounts shown are unaudited.

In the opinion of management, all adjustments considered necessary for a fair presentation of the financial

statements have been included. All such adjustments are of a normal, recurring nature unless otherwise

noted. The results of the interim period may not be indicative of the results expected for the entire year.

The interim financial statements should be read in conjunction with the consolidated financial statements

and notes thereto, included in the Company’s Annual Report on Form 10-K for the fiscal year ended

January 28, 2023. Amounts as of January 28, 2023 have been derived from the audited balance sheet, but

do not include all disclosures required by accounting principles generally accepted in the United States of

America.

On May 18, 2023, the Board of Directors maintained the quarterly dividend at $

0.17

 per share.

THE CATO CORPORATION

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

7

NOTE 2 - EARNINGS PER SHARE:

Accounting Standard Codification (“ASC”) 260 –

Earnings Per Share

 requires dual presentation of basic and

diluted Earnings Per Share (“EPS”) on the face of all income statements for all entities with complex capital

structures. The Company has presented one basic EPS and one diluted EPS amount for all common shares in

the accompanying Condensed Consolidated Statements of Income and Comprehensive Income. While the

Company’s certificate of incorporation provides the right for the Board of Directors to declare dividends on

Class A shares without declaration of commensurate dividends on Class B shares, the Company has

historically paid the same dividends to both Class A and Class B shareholders and the Board of Directors has

resolved to continue this practice. Accordingly, the Company’s allocation of income for purposes of the EPS

computation is the same for Class A and Class B shares and the EPS amounts reported herein are applicable

to both Class A and Class B shares.

Basic EPS is computed as net income less earnings allocated to non-vested equity awards divided by the

weighted average number of common shares outstanding for the period. Diluted EPS reflects the potential

dilution that could occur from common shares issuable through stock options and the Employee Stock

Purchase Plan.

Three Months Ended

April 29, 2023

April 30, 2022

(Dollars in thousands)

Numerator

Net earnings

$

4,428

$

9,748

Earnings allocated to non-vested equity awards

(227)

(541)

Net earnings available to common stockholders

$

4,201

$

9,207

Denominator

Basic weighted average common shares outstanding

19,303,048

20,149,201

Diluted weighted average common shares outstanding

19,303,048

20,149,201

Net income per common share

Basic earnings per share

$

0.22

$

0.46

Diluted earnings per share

$

0.22

$

0.46

THE CATO CORPORATION

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

8

NOTE 3 – ACCUMULATED OTHER COMPREHENSIVE INCOME:

The following table sets forth information regarding the reclassification out of Accumulated other

comprehensive income (in thousands) for the three months ended April 29, 2023:

Changes in Accumulated Other 

Comprehensive Income (a)

Unrealized Gains

and (Losses) on

Available-for-Sale

Securities

Beginning Balance at January 28, 2023

$

(1,238)

 Other comprehensive income (loss) before 

 reclassification

355

 Amounts reclassified from accumulated

 other comprehensive income

-

Net current-period other comprehensive income (loss)

355

Ending Balance at April 29, 2023

$

(883)

(a) All amounts are net-of-tax. Amounts in parentheses indicate a debit/reduction to other comprehensive income ("OCI").

The following table sets forth information regarding the reclassification out of Accumulated other

comprehensive income (in thousands) for the three months ended April 30, 2022:

Changes in Accumulated Other 

Comprehensive Income (a)

Unrealized Gains

and (Losses) on

Available-for-Sale

Securities

Beginning Balance at January 29, 2022

$

(280)

 Other comprehensive income (loss) before 

 reclassification

(1,203)

 Amounts reclassified from accumulated

 other comprehensive income (b)

(3)

Net current-period other comprehensive income (loss)

(1,206)

Ending Balance at April 30, 2022

$

(1,486)

(a) All amounts are net-of-tax. Amounts in parentheses indicate a debit/reduction to other comprehensive income ("OCI").

(b) Includes

$4

 impact of Accumulated other comprehensive income reclassifications into Interest and other 

income for net gains on available-for-sale securities. The tax impact of this reclassification was

$1

.

THE CATO CORPORATION

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

9

NOTE 4 – FINANCING ARRANGEMENTS:

At April 29, 2023, the Company had an unsecured revolving credit agreement, which provided for

borrowings of up to $

35.0

 million less the balance of any revocable letters of credit related to purchase

commitments, and was committed through May 2027. The credit agreement contains various financial

covenants and limitations, including the maintenance of specific financial ratios with which the Company

was in compliance as of April 29, 2023. There were

no

 borrowings outstanding, nor any outstanding

letters of credit that reduced borrowing availability, as of April 29, 2023. The weighted average interest

rate under the credit facility was

zero

 at April 29, 2023 due to

no

 outstanding borrowings.

NOTE 5 – REPORTABLE SEGMENT INFORMATION:

The Company has determined that it has four operating segments, as defined under ASC 280 –

Segment

Reporting

, including Cato, It’s Fashion, Versona and Credit. As outlined in ASC 280-10, the Company has

two

 reportable segments: Retail and Credit. The Company has aggregated its

three

 retail operating segments,

including e-commerce, based on the aggregation criteria outlined in ASC 280-10, which states that two or

more operating segments may be aggregated into a single reportable segment if aggregation is consistent with

the objective and basic principles of ASC 280-10, which require the segments to have similar economic

characteristics, products, production processes, clients and methods of distribution. 

The Company’s retail operating segments have similar economic characteristics and similar operating,

financial and competitive risks. The products sold in each retail operating segment are similar in nature, as

they all offer women’s apparel, shoes and accessories. Merchandise inventory of the Company’s retail

operating segments is sourced from the same countries and some of the same vendors, using similar

production processes. Merchandise for the Company’s retail operating segments is distributed to retail stores

in a similar manner through the Company’s single distribution center and is subsequently distributed to

clients in a similar manner.

The Company operates its women’s fashion specialty retail stores in

32

 states as of April 29, 2023,

principally in the southeastern United States. The Company offers its own credit card to its customers and

all credit authorizations, payment processing and collection efforts are performed by a separate subsidiary of

the Company.

THE CATO CORPORATION

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

10

NOTE 5 – REPORTABLE SEGMENT INFORMATION (CONTINUED):

The following schedule summarizes certain segment information (in thousands):

Three Months Ended

April 29, 2023

Retail

Credit

Total

Revenues

$191,434

$616

$192,050

Depreciation

2,357

-

2,357

Interest and other income

(897)

-

(897)

Income before taxes

6,382

187

6,569

Capital expenditures

6,170

-

6,170

Three Months Ended

April 30, 2022

Retail

Credit

Total

Revenues

$206,208

$513

$206,721

Depreciation

2,743

-

2,743

Interest and other income

(403)

-

(403)

Income before taxes

11,613

84

11,697

Capital expenditures

4,440

-

4,440

Retail

Credit

Total

Total assets as of April 29, 2023

$495,730

$38,906

$534,636

Total assets as of January 28, 2023

514,609

38,531

553,140

The Company evaluates segment performance based on income before taxes. The Company does not

allocate certain corporate expenses or income taxes to the credit segment.

The following schedule summarizes the direct expenses of the credit segment which are reflected in Selling,

general and administrative expenses (in thousands):

Three Months Ended

April 29, 2023

April 30, 2022

Payroll

$

134

$

137

Postage

101

93

Other expenses

194

199

Total expenses

$

429

$

429

THE CATO CORPORATION

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

11

NOTE 6 – SHARE BASED COMPENSATION:

As of April 29, 2023, the Company had two long-term compensation plans pursuant to which stock-based

compensation was outstanding or could be granted. The 2018 Incentive Compensation Plan and 2013

Incentive Compensation Plan are for the granting of various forms of equity-based awards, including

restricted stock and stock options for grant to officers, directors and key employees. Effective May 24, 2018,

shares for grant were no longer available under the 2013 Incentive Compensation Plan.

The following table presents the number of options and shares of restricted stock initially authorized and

available for grant under each of the plans as of April 29, 2023:

2013

2018

Plan

Plan

Total

Options and/or restricted stock initially authorized

1,500,000

4,725,000

6,225,000

Options and/or restricted stock available for grant:

 April 29, 2023

-

3,473,475

3,473,475

In accordance with ASC 718 –

Compensation–Stock Compensation

, the fair value of current restricted

stock awards is estimated on the date of grant based on the market price of the Company’s stock and is

amortized to compensation expense on a straight-line basis over the related vesting periods. As of April

29, 2023 and January 28, 2023, there was $

9,329,000

 and $

10,543,000

, respectively, of total

unrecognized compensation expense related to unvested restricted stock awards, which had a remaining

weighted-average vesting period of

1.9

 years and

2.1

 years, respectively. The total compensation expense

during the three months ended April 29, 2023 was $

932,000

 compared to $

603,000

 for the three months

ended April 30, 2022. These expenses are classified as a component of Selling, general and

administrative expenses in the Condensed Consolidated Statements of Income.

The following summary shows the changes in the shares of unvested restricted stock outstanding during the

three months ended April 29, 2023:

Weighted

Average

Number of

Grant Date Fair

Shares

Value Per Share

Restricted stock awards at January 28, 2023

1,059,433

$

13.10

Granted

-

-

Vested

-

-

Forfeited or expired

(12,414)

13.45

Restricted stock awards at April 29, 2023

1,047,019

$

13.09

THE CATO CORPORATION

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

12

The Company’s Employee Stock Purchase Plan allows eligible full-time employees to purchase a limited

number of shares of the Company’s Class A Common Stock during each semi-annual offering period at a

15

% discount through payroll deductions. During the three months ended April 29, 2023 and April 30, 2022,

the Company sold

22,194

 and

9,468

 shares to employees at an average discount of $

1.32

 and $

2.21

 per share,

respectively, under the Employee Stock Purchase Plan. The compensation expense recognized for the

15

%

discount given under the Employee Stock Purchase Plan was approximately $

29,000

 and $

21,000

 for the

three months ended April 29, 2023 and April 30, 2022, respectively. These expenses are classified as a

component of Selling, general and administrative expenses in the Condensed Consolidated Statements of

Income.

NOTE 7 – FAIR VALUE MEASUREMENTS:

The following tables set forth information regarding the Company’s financial assets and liabilities that are

measured at fair value (in thousands) as of April 29, 2023 and January 28, 2023:

Quoted

Prices in

Active

Significant

Markets for

Other

Significant

Identical

Observable

Unobservable

April 29, 2023

Assets

Inputs

Inputs

Description

Level 1

Level 2

Level 3

Assets:

 State/Municipal Bonds

$

22,187

$

-

$

22,187

$

-

 Corporate Bonds

40,057

-

40,057

-

 U.S. Treasury/Agencies Notes and Bonds

16,541

-

16,541

-

 Cash Surrender Value of Life Insurance

9,281

-

-

9,281

 Asset-backed Securities (ABS)

7,925

-

7,925

-

 Corporate Equities

801

801

-

-

 Commercial Paper

1,039

-

1,039

-

Total Assets

$

97,831

$

801

$

87,749

$

9,281

Liabilities:

 Deferred Compensation

$

(8,731)

$

-

$

-

$

(8,731)

Total Liabilities

$

(8,731)

$

-

$

-

$

(8,731)

THE CATO CORPORATION

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

13

Quoted

Prices in

Active

Significant

Markets for

Other

Significant

Identical

Observable

Unobservable

January 28,

2023

Assets

Inputs

Inputs

Description

Level 1

Level 2

Level 3

Assets:

 State/Municipal Bonds

$

23,102

$

-

$

23,102

$

-

 Corporate Bonds

47,901

-

47,901

-

 U.S. Treasury/Agencies Notes and Bonds

27,250

-

27,250

-

 Cash Surrender Value of Life Insurance

9,274

-

-

9,274

 Asset-backed Securities (ABS)

9,373

-

9,373

-

 Corporate Equities

923

923

-

-

 Commercial Paper

1,026

-

1,026

-

Total Assets

$

118,849

$

923

$

108,652

$

9,274

Liabilities:

 Deferred Compensation

$

(8,903)

$

-

$

-

$

(8,903)

Total Liabilities

$

(8,903)

$

-

$

-

$

(8,903)

The Company’s investment portfolio was primarily invested in corporate bonds and tax-exempt and taxable

governmental debt securities held in managed accounts with underlying ratings of A or better at April 29,

2023 and January 28, 2023. The state, municipal and corporate bonds and asset-backed securities have

contractual maturities which range from

two days

 to

3.6

 years. The U.S. Treasury Notes and Certificates of

Deposit have contractual maturities which range from

one day

 to

2.8

 years. These securities are classified as

available-for-sale and are recorded as Short-term investments, Restricted cash and Other assets on the

accompanying Condensed Consolidated Balance Sheets. These assets are carried at fair value with unrealized

gains and losses reported net of taxes in Accumulated other comprehensive income. The asset-backed

securities are bonds comprised of auto loans and bank credit cards that carry AAA ratings. The auto loan

asset-backed securities are backed by static pools of auto loans that were originated and serviced by captive

auto finance units, banks or finance companies. The bank credit card asset-backed securities are backed by

revolving pools of credit card receivables generated by account holders of cards from American Express,

Citibank, JPMorgan Chase, Capital One, and Discover.

Additionally, at April 29, 2023, the Company had $

0.8

 million of corporate equities and deferred

compensation plan assets of $

9.3

 million. At January 28, 2023, the Company had $

0.9

 million of corporate

equities and deferred compensation plan assets of $

9.3

 million. All of these assets are recorded within Other

assets in the Condensed Consolidated Balance Sheets. 

Level 1 category securities are measured at fair value using quoted active market prices. Level 2 investment

securities include corporate and municipal bonds for which quoted prices may not be available on active

exchanges for identical instruments. Their fair value is principally based on market values determined by

management with 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 pricing service using observable market

information such as quotes from less active markets and/or quoted prices of securities with similar

characteristics, among other factors.

Deferred compensation plan assets consist of life insurance policies. These life insurance policies are valued

based on the cash surrender value of the insurance contract, which is determined based on such factors as the

fair value of the underlying assets and discounted cash flow and are therefore classified within Level 3 of the

valuation hierarchy. The Level 3 liability associated with the life insurance policies represents a deferred

THE CATO CORPORATION

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

14

compensation obligation, the value of which is tracked via underlying insurance funds’ net asset values, as

recorded in Other noncurrent liabilities in the Condensed Consolidated Balance Sheet. These funds are

designed to mirror mutual funds and money market funds that are observable and actively traded.

The following tables summarize the change in fair value of the Company’s financial assets and liabilities

measured using Level 3 inputs as of April 29, 2023 and January 28, 2023 (dollars in thousands):

Fair Value

Measurements Using

Significant Unobservable

Asset Inputs (Level 3)

Cash Surrender Value

Beginning Balance at January 28, 2023

$

9,274

Redemptions

-

Additions

-

Total gains or (losses)

 Included in interest and other income (or changes in net assets)

7

 Included in other comprehensive income

-

Ending Balance at April 29, 2023

$

9,281

Fair Value

Measurements Using

Significant Unobservable

Liability Inputs (Level 3)

Deferred Compensation

Beginning Balance at January 28, 2023

$

(8,903)

 Redemptions

292

 Additions

(82)

 Total (gains) or losses

 Included in interest and other income (or changes in net assets)

(38)

 Included in other comprehensive income

-

Ending Balance at April 29, 2023

$

(8,731)

Fair Value

Measurements Using

Significant Unobservable

Asset Inputs (Level 3)

Cash Surrender Value

Beginning Balance at January 29, 2022

$

11,472

Redemptions

(1,718)

Additions

-

 Total gains or (losses)

 Included in interest and other income (or changes in net assets)

(480)

 Included in other comprehensive income

-

Ending Balance at January 28, 2023

$

9,274

Fair Value

Measurements Using

Significant Unobservable

Liability Inputs (Level 3)

THE CATO CORPORATION

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

15

Deferred Compensation

Beginning Balance at January 29, 2022

$

(10,020)

 Redemptions

1,142

 Additions

(379)

 Total (gains) or losses

 Included in interest and other income (or changes in net assets)

354

 Included in other comprehensive income

-

Ending Balance at January 28, 2023

$

(8,903)

THE CATO CORPORATION

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

16

NOTE 8 – RECENT ACCOUNTING PRONOUNCEMENTS:

The Company has reviewed recent accounting pronouncements and believe none will have a material

impact on the Company’s financial statements.

NOTE 9 – INCOME TAXES:

The Company had an effective tax rate for the first quarter of 2023 of

32.6

% compared to an effective tax

rate of

16.7

% for the first quarter of 2022. The increase in the 2023 first quarter tax rate was primarily due

to higher Global Intangible Low-taxed Income (GILTI), partially offset by the foreign rate differential

and offshore claim, as a percentage on lower pre-tax earnings.

NOTE 10 – COMMITMENTS AND CONTINGENCIES:

The Company is, from time to time, involved in routine litigation incidental to the conduct of its business,

including litigation regarding the merchandise that it sells, litigation regarding intellectual property,

litigation instituted by persons injured upon premises under its control, litigation with respect to various

employment matters, including alleged discrimination and wage and hour litigation, and litigation with

present or former employees. 

Although such litigation is routine and incidental to the conduct of the Company’s business, as with any

business of its size with a significant number of employees and significant merchandise sales, such

litigation could result in large monetary awards. Based on information currently available, management

does not believe that any reasonably possible losses arising from current pending litigation will have a

material adverse effect on its condensed consolidated financial statements. However, given the inherent

uncertainties involved in such matters, an adverse outcome in one or more of such matters could

materially and adversely affect the Company’s financial condition, results of operations and cash flows in

any particular reporting period. The Company accrues for these matters when the liability is deemed

probable and reasonably estimable.

NOTE 11 – REVENUE RECOGNITION:

The Company recognizes sales at the point of purchase when the customer takes possession of the

merchandise and pays for the purchase, generally with cash or credit. Sales from purchases made with

Cato credit, gift cards and layaway sales from stores are also recorded when the customer takes

possession of the merchandise. E-commerce sales are recorded when the risk of loss is transferred to the

customer. Gift cards are recorded as deferred revenue until they are redeemed or forfeited. Layaway sales

are recorded as deferred revenue until the customer takes possession or forfeits the merchandise. Gift

cards do not have expiration dates. A provision is made for estimated merchandise returns based on sales

volumes and the Company’s experience; actual returns have not varied materially from historical

amounts. A provision is made for estimated write-offs associated with sales made with the Company’s

proprietary credit card. Amounts related to shipping and handling billed to customers in a sales

transaction are classified as Other revenue and the costs related to shipping product to customers (billed

and accrued) are classified as Cost of goods sold.

The Company offers its own proprietary credit card to customers. All credit activity is performed by the

Company’s wholly-owned subsidiaries.

No

ne of the credit card receivables are secured. The Company

estimated customer credit losses of $

121,000

 and $

86,000

 for the periods ended April 29, 2023 and April

THE CATO CORPORATION

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

17

30, 2022, respectively, on sales purchased by the Company’s proprietary credit card of $

5.8

 million and

$

5.7

 million for the periods ended April 29, 2023 and April 30, 2022, respectively.

The following table provides information about receivables and contract liabilities from contracts with

customers (in thousands):

Balance as of

April 29, 2023

January 28, 2023

Proprietary Credit Card Receivables, net

$

10,749

$

10,553

Gift Card Liability

$

7,296

$

8,523

NOTE 12 – LEASES:

The Company determines whether an arrangement is a lease at inception. The Company has operating

leases for stores, offices, warehouse space and equipment. Its leases have remaining lease terms of

one

year

 to

10 years

, some of which include options to extend the lease term for

up to five years

, and some of

which include options to terminate the lease

within one year

. The Company considers these options in

determining the lease term used to establish its right-of-use assets and lease liabilities. The Company’s

lease agreements do not contain any material residual value guarantees or material restrictive covenants.

As most of the Company’s leases do not provide an implicit rate, the Company uses its estimated

incremental borrowing rate based on the information available at commencement date of the lease in

determining the present value of lease payments.

The components of lease cost are shown below (in thousands):

`

Three Months Ended

April 29, 2023

April 30, 2022

Operating lease cost (a)

$

18,078

$

17,754

Variable lease cost (b)

$

594

$

768

(a) Includes right-of-use asset amortization of ($

0.3

) million and ($

0.4

) million for the three months ended

April 29, 2023 and April 30, 2022, respectively.

(b) Primarily relates to monthly percentage rent for stores not presented on the balance sheet.

Supplemental cash flow information and non-cash activity related to the Company’s operating leases are

as follows (in thousands):

THE CATO CORPORATION

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

18

Operating cash flow information:

Three Months Ended

April 29, 2023

April 30, 2022

Cash paid for amounts included in the measurement of lease liabilities

$

17,345

$

16,836

Non-cash activity:

Right-of-use assets obtained in exchange for lease obligations, net of rent violations

$

1,904

$

3,515

Weighted-average remaining lease term and discount rate for the Company’s operating leases are as

follows:

As of

April 29, 2023

April 30, 2022

Weighted-average remaining lease term

2.2

 Years

2.4

 Years

Weighted-average discount rate

3.20%

2.92%

As of April 29, 2023, the maturities of lease liabilities by fiscal year for the Company’s operating leases

are as follows (in thousands):

Fiscal Year

2023 (a)

$

52,516

2024

49,829

2025

32,563

2026

18,657

2027

8,648

Thereafter

1,603

Total lease payments

163,816

Less: Imputed interest

8,344

Present value of lease liabilities

$

155,472

(a) Excluding the 3 months ended April 29, 2023.

19

THE CATO CORPORATION

ITEM 2. MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL

CONDITION AND RESULTS OF OPERATIONS

FORWARD-LOOKING INFORMATION:

The following information should be read along with the unaudited Condensed Consolidated Financial

Statements, including the accompanying Notes appearing in this report. Any of the following are

“forward-looking” statements within the meaning of Section 27A of the Securities Act of 1933, as

amended, and Section 21E of the Securities Exchange Act of 1934, as amended: (1) statements in this

Form 10-Q that reflect projections or expectations of our future financial or economic performance;

(2) statements that are not historical information; (3) statements of our beliefs, intentions, plans and

objectives for future operations, including those contained in “Management’s Discussion and Analysis of

Financial Condition and Results of Operations”; (4) statements relating to our operations or activities for

our fiscal year ending February 3, 2024 (“fiscal 2023”) and beyond, including, but not limited to,

statements regarding expected amounts of capital expenditures and store openings, relocations, remodels

and closures and statements regarding the potential impact of the COVID-19 pandemic and related

responses and mitigation efforts, as well as the potential impact of supply chain disruptions, inflationary

pressures and other economic or market conditions on our business, results of operations and financial

condition and statements regarding new store development strategy; and (5) statements relating to our

future contingencies. When possible, we have attempted to identify forward-looking statements by using

words such as “will,” “expects,” “anticipates,” “approximates,” “believes,” “estimates,” “hopes,”

“intends,” “may,” “plans,” “could,” “would,” “should” and any variations or negative formations of such

words and similar expressions. We can give no assurance that actual results or events will not differ

materially from those expressed or implied in any such forward-looking statements. Forward-looking

statements included in this report are based on information available to us as of the filing date of this

report, but subject to known and unknown risks, uncertainties and other factors that could cause actual

results to differ materially from those contemplated by the forward-looking statements. Such factors

include, but are not limited to, the following: any actual or perceived deterioration in the conditions that

drive consumer confidence and spending, including, but not limited to, prevailing social, economic,

political and public health conditions and uncertainties, levels of unemployment, fuel, energy and food

costs, wage rates, tax rates, interest rates, home values, consumer net worth, the availability of credit and

inflation; changes in laws, regulations or government policies affecting our business, including but not

limited to tariffs; uncertainties regarding the impact of any governmental action regarding, or responses

to, the foregoing conditions; competitive factors and pricing pressures; our ability to predict and respond

to rapidly changing fashion trends and consumer demands; our ability to successfully implement our new

store development strategy to increase new store openings and our ability of any such new stores to grow

and perform as expected; adverse weather, public health threats (including the global COVID-19

pandemic) or similar conditions that may affect our sales or operations; inventory risks due to shifts in

market demand, including the ability to liquidate excess inventory at anticipated margins; adverse

developments or volatility affecting the financial services industry or broader financial markets; and other

factors discussed under “Risk Factors” in Part I, Item 1A of our annual report on Form 10-K for the fiscal

year ended January 28, 2023 (“fiscal 2022”), as amended or supplemented, and in other reports we file

with or furnish to the Securities and Exchange Commission (“SEC”) from time to time. We do not

undertake, and expressly decline, any obligation to update any such forward-looking information

contained in this report, whether as a result of new information, future events, or otherwise.

THE CATO CORPORATION

MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL

CONDITION AND RESULTS OF OPERATIONS (CONTINUED)

20

CRITICAL ACCOUNTING POLICIES AND ESTIMATES:

The Company’s critical accounting policies and estimates are more fully described in “Management’s

Discussion and Analysis of Financial Condition and Results of Operations” in the Company’s Annual Report

on Form 10-K for the fiscal year ended January 28, 2023. The preparation of the Company’s financial

statements in conformity with generally accepted accounting principles in the United States (“GAAP”)

requires management to make estimates and assumptions about future events that affect the amounts reported

in the financial statements and accompanying notes. Future events and their effects cannot be determined

with absolute certainty. Therefore, the determination of estimates requires the exercise of judgment. Actual

results inevitably will differ from those estimates, and such differences may be material to the financial

statements. The most significant accounting estimates inherent in the preparation of the Company’s financial

statements include the allowance for customer credit losses, inventory shrinkage, the calculation of potential

asset impairment, workers’ compensation, general and auto insurance liabilities, reserves relating to self-

insured health insurance, and uncertain tax positions.

The Company’s critical accounting policies and estimates are discussed with the Audit Committee.

THE CATO CORPORATION

MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL

CONDITION AND RESULTS OF OPERATIONS (CONTINUED)

21

RESULTS OF OPERATIONS:

The following table sets forth, for the periods indicated, certain items in the Company's unaudited Condensed

Consolidated Statements of Income as a percentage of total retail sales:

Three Months Ended

April 29, 2023

April 30, 2022

Total retail sales

100.0

%

100.0

%

Other revenue

0.9

0.9

Total revenues

100.9

100.9

Cost of goods sold (exclusive of depreciation)

64.2

64.5

Selling, general and administrative (exclusive of depreciation)

32.5

29.5

Depreciation

1.2

1.3

Interest and other income

(0.5)

(0.2)

Income before income taxes

3.5

5.7

Net income

2.3

4.8

THE CATO CORPORATION

MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL

CONDITION AND RESULTS OF OPERATIONS (CONTINUED)

22

RESULTS OF OPERATIONS (CONTINUED):

Management’s Discussion and Analysis of Financial Condition and Results of Operations (“MD&A”) is

intended to provide information to assist readers in better understanding and evaluating our financial

condition and results of operations. We recommend reading this MD&A in conjunction with our

Condensed Consolidated Financial Statements and the Notes to those statements included in the

“Financial Statements” section of this Quarterly Report on Form 10-Q, as well as our 2022

Form 10-K.

Recent Developments

Inflationary Cost Pressure and Rising Interest Rates

The current inflationary environment continues to negatively impact the Company’s operating costs,

including higher wages, operating supplies and services. In addition, increased costs for fuel, food, and

housing, including rent, as well as other consumable products across the economy, are negatively impacting

our customers’ disposable income, and our customers’ willingness to purchase discretionary items such as

apparel, jewelry and shoes.

In response to inflationary pressures, the Federal Reserve began raising interest rates and is committed to

continue raising interest rates until inflationary pressures subside. These rising interest rates have adversely

affected the availability and cost of credit for both businesses and our customers. In addition, the rising

interest rates are increasing the costs related to revolving credit, auto loans and mortgages, which continue to

negatively impact our customers’ discretionary income. Additionally, rising interest rates may continue to

negatively impact our customers’ willingness to purchase our products.

We believe price increases and rising interest rates impacted the first quarter of fiscal 2023 and will likely

continue to have a negative impact on consumer behavior and, by extension, our results of operations and

financial condition during the remainder of fiscal 2023.

Labor Challenges and Wage Inflation 

The tight labor market has increased competition for labor among consumer-facing companies. This

competition for labor has driven significant increases in wages in order to compete for sufficient labor

availability and/or to prevent the loss of existing workforce in our stores, distribution center and corporate

office. We expect these pressures to continue in fiscal 2023.

Comparison of First Quarter of 2023 with 2022

Total retail sales for the first quarter were $190.3 million compared to last year’s first quarter sales of $204.9

million. Sales decreased primarily due to a decrease in same-store sales and sales from stores that were

closed in the past 12 months, partially offset by sales from stores opened in the past 12 months. The decrease

in same-store sales is primarily from fewer transactions due to the aforementioned pressures on our

customers’ disposable income, partially offset by higher average sales per transaction. Same store sales

include stores that have been open more than 15 months. Stores that have been relocated or expanded are

also included in the same store sales calculation after they have been open more than 15 months. The method

of calculating same store sales varies across the retail industry. As a result, our same store sales calculation

may not be comparable to similarly titled measures reported by other companies. E-commerce sales were less

than 5.1% of sales for the first quarter of fiscal 2023 and are included in the same-store sales calculation. 

Total revenues, comprised of retail sales and other revenue (principally finance charges and late fees on

THE CATO CORPORATION

MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL

CONDITION AND RESULTS OF OPERATIONS (CONTINUED)

23

customer accounts receivable, shipping charged to customers for e-commerce purchases and layaway fees),

were $192.1 million for the first quarter ended April 29, 2023, compared to $206.7 million for the first

quarter ended April 30, 2022. The Company operated 1,264 stores at April 29, 2023 compared to 1,315 stores

at the end of last fiscal year’s first quarter. For the first three months of fiscal 2023, the Company opened

four stores and permanently closed 20 stores. The Company currently anticipates closing approximately 80

stores in fiscal 2023.

Credit revenue of $0.6 million represented 0.3% of total revenues in the first quarter of fiscal 2023, compared

to 2022 credit revenue of $0.5 million or 0.2% of total revenues. Credit revenue is comprised of interest

earned on the Company’s private label credit card portfolio and related fee income. Related expenses include

principally payroll, postage and other administrative expenses, and totaled $0.4 million in the first quarter of

2023, compared to last year’s first quarter expenses of $0.4 million. 

Other revenue, a component of total revenues, was $1.7 million for the first quarter of fiscal 2023, compared

to $1.8 million for the prior year’s comparable first quarter. The slight decrease was due to lower e-

commerce shipping revenue, partially offset by higher finance charges and layaway fees.

Cost of goods sold was $122.1 million, or 64.2% of retail sales for the first quarter of fiscal 2023, compared

to $132.2 million, or 64.5% of retail sales in the first quarter of fiscal 2022. The overall decrease in cost of

goods sold as a percent of retail sales for the first quarter of 2023 resulted primarily from both lower ocean

freight costs and outbound freight costs to our stores, partially offset by deleveraging of occupancy and

buying costs. Cost of goods sold includes merchandise costs (net of discounts and allowances), buying costs,

distribution costs, occupancy costs, freight and inventory shrinkage. Net merchandise costs and in-bound

freight are capitalized as inventory costs. Buying and distribution costs include payroll, payroll-related costs

and operating expenses for the buying departments and distribution center. Occupancy costs include rent,

real estate taxes, insurance, common area maintenance, utilities and maintenance for stores and distribution

facilities. Total gross margin dollars (retail sales less cost of goods sold exclusive of depreciation) decreased

by 6.1% to $68.2 million for the first quarter of fiscal 2023 compared to $72.7 million in the first quarter of

fiscal 2022. Gross margin as presented may not be comparable to those of other entities.

Selling, general and administrative expenses (“SG&A”) primarily include corporate and store payroll, related

payroll taxes and benefits, insurance, supplies, advertising, and bank and credit card processing fees. SG&A

expenses were 32.5% of retail sales for the first quarter of fiscal 2023, compared to 29.5% of retail sales in

the first quarter of fiscal 2022. The increase in SG&A as a percent of retail sales was due primarily to higher

operating costs, driven in part by higher wages as a result of the tight labor market and expenses related to the

closure of 20 stores in the quarter, partially offset by lower insurance expense.

Depreciation expense was $2.4 million, or 1.2% of retail sales for the first quarter of fiscal 2023, compared to

$2.7 million, or 1.3% of retail sales for the first quarter of fiscal 2022. The decrease in depreciation expense

was attributable to older stores being fully depreciated.

Interest and other income was $0.9 million, or 0.5% of retail sales for the first quarter of fiscal 2023,

compared to $0.4 million, or 0.2% of retail sales for the first quarter of fiscal 2022. The increase was

primarily attributable to an increase in interest rates earned on short-term investments, partially offset by a

decrease in short-term investments.

Income tax expense was $2.1 million or 1.1% of retail sales for the first quarter of fiscal 2023, compared

to income tax expense of $1.9 million, or 1.0% of retail sales for the first quarter of fiscal 2022. The

THE CATO CORPORATION

MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL

CONDITION AND RESULTS OF OPERATIONS (CONTINUED)

24

effective income tax rate for the first quarter of fiscal 2023 was 32.6% compared to 16.7% for the first

quarter of 2022. The increase in the 2023 first quarter tax rate was primarily due to higher Global

Intangible Low-taxed Income (GILTI), partially offset by the foreign rate differential and offshore claim.

LIQUIDITY, CAPITAL RESOURCES AND MARKET RISK: 

The Company believes that its cash, cash equivalents and short-term investments, together with cash flows

from operations and borrowings available under its revolving credit agreement, will be adequate to fund the

Company’s regular operating requirements and expected capital expenditures for fiscal 2023 and the next 12

months.

Cash provided by operating activities for the first three months of fiscal 2023 was primarily generated by

earnings adjusted for depreciation and changes in working capital. The increase in cash provided of $10.7

million for the first three months of fiscal 2023 as compared to the first three months of fiscal 2022 was

primarily due to a decrease in inventory and a smaller decrease in accounts payable, accrued expenses and

other liabilities compared to year-end, partially offset by lower net income.

At April 29, 2023, the Company had working capital of $87.9 million compared to $74.7 million at January

28, 2023. The increase is primarily attributable to an increase in accounts receivable, lower current lease

liability and accounts payable partially offset by lower merchandise inventory.

At April 29, 2023, the Company had an unsecured revolving credit agreement, which provides for

borrowings of up to $35.0 million less the balance of any revocable letters of credit related to purchase

commitments, and is committed through May 2027. The credit agreement contains various financial

covenants and limitations, including the maintenance of specific financial ratios with which the Company

was in compliance as of April 29, 2023. There were no borrowings outstanding, nor any outstanding

letters of credit that reduced borrowing availability, as of April 29, 2023. The weighted average interest

rate under the credit facility was zero at April 29, 2023 due to no outstanding borrowings.

Expenditures for property and equipment totaled $6.2 million in the first three months of fiscal 2023,

compared to $4.4 million in last year’s first three months. The increase in expenditures for property and

equipment was primarily due to costs associated with opening four new stores and capital investments in

information technology and the distribution center. For the full fiscal 2023 year, the Company expects to

invest approximately $22.1 million in capital expenditures, including distribution center automation projects.

Net cash provided by investing activities totaled $15.3 million in the first three months of fiscal 2023

compared to $19.6 million provided in the comparable period of fiscal 2022. The decrease is primarily due to

higher purchases of short-term investments and an increase in capital expenditures, partially offset by higher

sales of short-term investments.

Net cash used in financing activities totaled $5.6 million in the first three months of fiscal 2023 compared to

$12.7 million used in the comparable period of fiscal 2022, primarily due to a decrease in share repurchases

and dividends paid.

On May 18, 2023, the Board of Directors maintained the quarterly dividend at 0.17 per share.

As of April 29, 2023, the Company had 944,379 shares remaining in open authorizations under its share

repurchase program.

THE CATO CORPORATION

MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL

CONDITION AND RESULTS OF OPERATIONS (CONTINUED)

25

The Company does not use derivative financial instruments.

The Company’s investment portfolio was primarily invested in corporate bonds and tax-exempt and taxable

governmental debt securities held in managed accounts with underlying ratings of A or better at April 29,

2023 and January 28, 2023. The state, municipal and corporate bonds and asset-backed securities have

contractual maturities which range from two days to 3.6 years. The U.S. Treasury Notes and Certificates of

Deposit have contractual maturities which range from one day to 2.8 years. These securities are classified as

available-for-sale and are recorded as Short-term investments, Restricted cash and Other assets on the

accompanying Condensed Consolidated Balance Sheets. These assets are carried at fair value with unrealized

gains and losses reported net of taxes in Accumulated other comprehensive income. The asset-backed

securities are bonds comprised of auto loans and bank credit cards that carry AAA ratings. The auto loan

asset-backed securities are backed by static pools of auto loans that were originated and serviced by captive

auto finance units, banks or finance companies. The bank credit card asset-backed securities are backed by

revolving pools of credit card receivables generated by account holders of cards from American Express,

Citibank, JPMorgan Chase, Capital One, and Discover.

Additionally, at April 29, 2023, the Company had $0.8 million of corporate equities and deferred

compensation plan assets of $9.3 million. At January 28, 2023, the Company had $0.9 million of corporate

equities and deferred compensation plan assets of $9.3 million. All of these assets are recorded within Other

assets in the Condensed Consolidated Balance Sheets. See Note 7, Fair Value Measurements.

RECENT ACCOUNTING PRONOUNCEMENTS: 

See Note 8, Recent Accounting Pronouncements.

THE CATO CORPORATION

QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

26

ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK:

The Company is subject to market rate risk from exposure to changes in interest rates related to its

financing, investing and cash management activities, but the Company does not believe such exposure is

material.

ITEM 4. CONTROLS AND PROCEDURES:

We carried out an evaluation, with the participation of our Principal Executive Officer and Principal Financial

Officer, of the effectiveness of our disclosure controls and procedures as of April 29, 2023. Based on this

evaluation, our Principal Executive Officer and Principal Financial Officer concluded that, as of April 29,

2023, our disclosure controls and procedures, as defined in Rule 13a-15(e), under the Securities Exchange

Act of 1934 (the “Exchange Act”), were effective to ensure that information we are required to disclose in the

reports that we file or submit under the Exchange Act is recorded, processed, summarized and reported

within the time periods specified in the SEC’s rules and forms and that such information is accumulated and

communicated to our management, including our Principal Executive Officer and Principal Financial Officer,

as appropriate to allow timely decisions regarding required disclosure.

CHANGES IN INTERNAL CONTROL OVER FINANCIAL REPORTING:

No change in the Company’s internal control over financial reporting (as defined in Exchange Act Rule 13a-

15(f)) has occurred during the Company’s fiscal quarter ended April 29, 2023 that has materially affected, or

is reasonably likely to materially affect, the Company’s internal control over financial reporting.

THE CATO CORPORATION

PART II OTHER INFORMATION

27

ITEM 1. LEGAL PROCEEDINGS:

Not Applicable

ITEM 1A. RISK FACTORS:

In addition to the other information in this report, you should carefully consider the factors discussed in Part I,

“Item 1A. Risk Factors” in our Annual Report on Form 10-K for our fiscal year ended January 28, 2023. 

These risks could materially affect our business, financial condition or future results; however, they are not

the only risks we face. Additional risks and uncertainties not currently known to us or that we currently deem

to be immaterial may also materially adversely affect our business, financial condition or results of

operations.

ITEM 2. UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS:

The following table summarizes the Company’s purchases of its common stock for the three months

ended April 29, 2023:

ISSUER PURCHASES OF EQUITY SECURITIES

Total Number of

Maximum Number

Shares Purchased as

(or Approximate Dollar

Total Number

Average

Part of Publicly

Value) of Shares that may

of Shares

Price Paid

Announced Plans or

Yet be Purchased Under

Period

Purchased

per Share (1)

Programs (2)

The Plans or Programs (2)

February 2023

57,930

$

9.39

57,930

March 2023

195,460

8.81

195,460

April 2023

-

-

-

Total

253,390

$

8.95

253,390

944,379

(1)

Prices include trading costs.

(2)

As of January 28, 2023, the Company’s share repurchase program had 197,769 shares remaining

in open authorizations. The Board of Directors authorized an additional 1,000,000 shares for

repurchase under the program at its February 23, 2023 meeting. During the first quarter ended

April 29, 2023, the Company repurchased and retired 253,390 shares under this program for

approximately $2,266,727 or an average market price of $8.95 per share. As of April 29, 2023,

the Company had 944,379 shares remaining in open authorizations. There is no specified

expiration date for the Company’s repurchase program.

ITEM 3. DEFAULTS UPON SENIOR SECURITIES:

Not Applicable 

THE CATO CORPORATION

PART II OTHER INFORMATION

28

ITEM 4. MINE SAFETY DISCLOSURES:

Not Applicable

ITEM 5. OTHER INFORMATION:

Not Applicable 

ITEM 6. EXHIBITS: 

Exhibit No.

Item

 3.1

Registrant’s Amended and Restated Certificate of Incorporation,

incorporated by reference to Exhibit 3.1 to Form 10-Q of the Registrant

for the quarter ended May 2, 2020.

 3.2

Registrant’s Amended and Restated By-Laws, incorporated by

reference to Exhibit 3.2 to Form 10-Q of the Registrant for the quarter

ended May 2, 2020.

 31.1*

Rule 13a-14(a)/15d-14(a) Certification of Principal Executive Officer.

 31.2*

Rule 13a-14(a)/15d-14(a) Certification of Principal Financial Officer.

 32.1*

Section 1350 Certification of Principal Executive Officer.

 32.2*

Section 1350 Certification of Principal Financial Officer.

101.1*

The following materials from Registrant’s Quarterly Report on Form

10-Q for the fiscal quarter ended April 29, 2023, formatted in Inline

XBRL: (i) Condensed Consolidated Statements of Income and

Comprehensive Income for the Three Months ended April 29, 2023

and April 30, 2022; (ii) Condensed Consolidated Balance Sheets at

April 29, 2023 and January 28, 2023; (iii) Condensed Consolidated

Statements of Cash Flows for the Three Months Ended April 29, 2023

and April 30, 2022; (iv) Condensed Consolidated Statements of

Stockholders’ Equity for the Three Months Ended April 29, 2023 and

April 30, 2022; and (v) Notes to Condensed Consolidated Financial

Statements.

104.1

Cover Page Interactive Data File (Formatted in Inline XBRL and

contained in the Interactive Data Files submitted as Exhibit 101.1*)

 * Submitted electronically herewith. 

THE CATO CORPORATION

PART II OTHER INFORMATION

29

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this

report to be signed on its behalf by the undersigned thereunto duly authorized.

 THE CATO CORPORATION

May 25, 2023

/s/ John P. D. Cato

Date

John P. D. Cato

Chairman, President and

Chief Executive Officer

May 25, 2023

/s/ Charles D. Knight

Date

Charles D. Knight 

Executive Vice President

Chief Financial Officer

EX-31.1

1

EXHIBIT 31.1

PRINCIPAL EXECUTIVE OFFICER CERTIFICATION PURSUANT TO

SECURITIES EXCHANGE ACT OF 1934 RULE 13a-14(a)/15d-14(a), AS ADOPTED

PURSUANT TO SECTION 302 OF THE SARBANES-OXLEY ACT OF 2002

 I, John P. D. Cato, certify that:

1. 

I have reviewed this report on Form 10-Q of The Cato Corporation (the “registrant”);

2. 

Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to 

state a material fact necessary to make the statements made, in light of the circumstances under which 

such statements were made, not misleading with respect to the period covered by this report;

3. 

Based on my knowledge, the financial statements, and other financial information included in this report, 

fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of,

and for, the periods presented in this report;

4. 

The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and

procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as

defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant 

and have:

a) 

Designed such disclosure controls and procedures, or caused such disclosure controls and procedures 

to be designed under our supervision, to ensure that material information relating to the registrant, including its

consolidated subsidiaries, is made known to us by others within those entities,

particularly during the period in which this report is being prepared;

b) 

Designed such internal control over financial reporting, or caused such internal control over financial reporting to be

designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the

preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

c) 

Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our

conclusions about the effectiveness of the disclosure controls and procedures, as of the end 

of the period covered by this report based on such evaluation; and

d) 

Disclosed in this report any change in the registrant’s internal control over financial reporting that 

occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the 

case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s

internal control over financial reporting; and

5. 

The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over

financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons

performing the equivalent functions):

a) 

All significant deficiencies and material weaknesses in the design or operation of internal control over financial

reporting which are reasonably likely to adversely affect the registrant’s ability to record, 

process, summarize and report financial information; and

b) 

Any fraud, whether or not material, that involves management or other employees who have a 

significant role in the registrant’s internal control over financial reporting.

Date: May 25, 2023

/s/ John P. D. Cato

John P. D. Cato

Chairman, President and

Chief Executive Officer

EX-31.2

1

EXHIBIT 31.2

PRINCIPAL FINANCIAL OFFICER CERTIFICATION PURSUANT TO

SECURITIES EXCHANGE ACT OF 1934 RULE 13a-14(a)/15d-14(a), AS ADOPTED

PURSUANT TO SECTION 302 OF THE SARBANES-OXLEY ACT OF 2002

I, Charles D. Knight, certify that:

1. 

I have reviewed this report on Form 10-Q of The Cato Corporation (the “registrant”);

2. 

Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to 

state a material fact necessary to make the statements made, in light of the circumstances under which 

such statements were made, not misleading with respect to the period covered by this report;

3. 

Based on my knowledge, the financial statements, and other financial information included in this report, 

fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of,

and for, the periods presented in this report;

4. 

The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and

procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as

defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant 

and have:

a) 

Designed such disclosure controls and procedures, or caused such disclosure controls and procedures 

to be designed under our supervision, to ensure that material information relating to the registrant, including its

consolidated subsidiaries, is made known to us by others within those entities, 

particularly during the period in which this report is being prepared;

b) 

Designed such internal control over financial reporting, or caused such internal control over financial reporting to be

designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the

preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

c) 

Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our

conclusions about the effectiveness of the disclosure controls and procedures, as of the end 

of the period covered by this report based on such evaluation; and

d) 

Disclosed in this report any change in the registrant’s internal control over financial reporting that 

occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the 

case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s

internal control over financial reporting; and

5. 

The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over

financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons

performing the equivalent functions):

a) 

All significant deficiencies and material weaknesses in the design or operation of internal control over financial

reporting which are reasonably likely to adversely affect the registrant’s ability to record, 

process, summarize and report financial information; and

b) 

Any fraud, whether or not material, that involves management or other employees who have a 

significant role in the registrant’s internal control over financial reporting.

Date: May 25, 2023

/s/ Charles D. Knight

Charles D. Knight

Executive Vice President

Chief Financial Officer

EX-32.1

1

EXHIBIT 32.1

CERTIFICATION OF PERIODIC REPORT

I, John P. D. Cato, Chairman, President and Chief Executive Officer of The Cato Corporation (the

“Company”), certify, pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, 18 U.S.C. Section 1350,

that on the date of this Certification:

1.

the Form 10-Q of the Company for the quarter ended April 29, 2023 (the “Report”) fully complies with

the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

2.

the information contained in the Report fairly presents, in all material respects, the financial condition and

results of operations of the Company.

Dated: May 25, 2023

/s/ John P. D. Cato

John P. D. Cato

Chairman, President and

Chief Executive Officer

EX-32.2

1

EXHIBIT 32.2

CERTIFICATION OF PERIODIC REPORT

I, Charles D. Knight, Executive Vice President, Chief Financial Officer of The Cato Corporation (the

“Company”), certify, pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, 18 U.S.C. Section 1350,

that on the date of this Certification:

1.

the Form 10-Q of the Company for the quarter ended April 29, 2023 (the “Report”) fully complies with

the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

2. the information contained in the Report fairly presents, in all material respects, the financial condition and 

 results of operations of the Company.

Dated: May 25, 2023

/s/ Charles D. Knight

Charles D. Knight

Executive Vice President

Chief Financial Officer

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Document and Entity Information	3 Months Ended
	Apr. 29, 2023 shares
Document and Entity Information [Abstract]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Apr. 29, 2023
Document Transition Report	false
Entity File Number	1-31340
Entity Registrant Name	THE CATO CORPORATION
Entity Incorporation State Country Code	DE
Entity Tax Identification Number	56-0484485
Entity Address Address Line 1	8100 Denmark Road
Entity Address City Or Town	Charlotte
Entity Address State Or Province	NC
Entity Address Postal Zip Code	28273-5975
City Area Code	(704)
Local Phone Number	554-8510
Security 12b Title	Class A - Common Stock, par value $.033 per share
Trading Symbol	CATO
Security Exchange Name	NYSE
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Current Fiscal Year End Date	--02-03
Entity Filer Category	Accelerated Filer
Entity Shell Company	false
Entity Small Business	false
Entity Emerging Growth Company	false
Document Fiscal Year Focus	2023
Document Fiscal Period Focus	Q1
Entity Central Index Key	0000018255
Amendment Flag	false
Class A common stock [Member]
Class of Stock [Line Items]
Entity Common Stock Shares Outstanding	18,479,615
Common Class B [Member]
Class of Stock [Line Items]
Entity Common Stock Shares Outstanding	1,763,652

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Condensed Consolidated Statements Of Income and Comprehensive Income - USD ($)	3 Months Ended
	Apr. 29, 2023	Apr. 30, 2022
Revenues
Retail sales	$ 190,311,000	$ 204,933,000
Other revenue (principally finance charges, late fees and layaway charges)	1,739,000	1,788,000
Total revenues	192,050,000	206,721,000
COSTS AND EXPENSES, NET
Cost of goods sold (exclusive of depreciation shown below)	122,087,000	132,243,000
Selling, general and administrative (exclusive of depreciation shown below)	61,934,000	60,441,000
Depreciation	2,357,000	2,743,000
Interest and other income	(897,000)	(403,000)
Cost and expenses, net	185,481,000	195,024,000
Income before income taxes	6,569,000	11,697,000
Income tax expense	2,141,000	1,949,000
Net income	$ 4,428,000	$ 9,748,000
Basic earnings per share	$ 0.22	$ 0.46
Diluted earnings per share	$ 0.22	$ 0.46
Comprehensive income
Net income (loss)	$ 4,428,000	$ 9,748,000
Unrealized gain (loss) on available-for-sale securities, net of deferred income taxes of $107 and an income tax benefit of $362 for April 29, 2023 and April 30, 2022, respectively	355,000	(1,206,000)
Comprehensive income	$ 4,783,000	$ 8,542,000

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Condensed Consolidated Statements Of Income and Comprehensive Income (Parenthetical) - USD ($)	3 Months Ended
	Apr. 29, 2023	Apr. 30, 2022
Consolidated Statements of Income and Comprehensive Income
Tax Effect of Unrealized Gains (Losses) On Available-For-Sale Securities	$ 107,000	$ (362,000)

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Condensed Consolidated Balance Sheets - USD ($)	Apr. 29, 2023	Jan. 28, 2023
Current Assets:
Cash and cash equivalents	$ 39,642,000	$ 20,005,000
Short-term investments	87,750,000	108,652,000
Restricted Cash	3,826,000	3,787,000
Accounts receivable, net of allowance for customer credit losses of $761 and $761 at April 29, 2023 and January 28, 2023, respectively	28,192,000	26,497,000
Merchandise inventories	106,813,000	112,056,000
Prepaid expenses and other current assets	7,298,000	6,676,000
Total Current Assets	273,521,000	277,673,000
Property and equipment - net	74,187,000	70,382,000
Deferred income taxes	9,938,000	9,213,000
Other assets	21,478,000	21,596,000
Right-of-Use assets - net	155,512,000	174,276,000
Total Assets	534,636,000	553,140,000
Current Liabilities:
Accounts payable	88,508,000	91,956,000
Accrued expenses	42,593,000	41,338,000
Accrued bonus and benefits	2,154,000	1,690,000
Accrued income taxes	2,679,000	613,000
Current lease liability	49,707,000	67,360,000
Total Current Liabilities	185,641,000	202,957,000
Other noncurrent liabilities	16,449,000	16,183,000
Lease liability	105,765,000	107,407,000
Stockholders' Equity:
Preferred stock, $100 par value per share, 100,000 shares authorized, none issued	0	0
Class of Stock [Line Items]
Common stock	683,000	691,000
Additional paid-in capital	123,555,000	122,431,000
Retained earnings	103,426,000	104,709,000
Accumulated other comprehensive income	(883,000)	(1,238,000)
Total Stockholders' Equity	226,781,000	226,593,000
Total Liabilities and Stockholders' Equity	534,636,000	553,140,000
Class A common stock, $0.033 par value per share, 50,000,000 shares authorized; 18,479,615 and 18,723,225 shares issued at April 29, 2023 and January 28, 2023, respectively [Member]
Class of Stock [Line Items]
Common stock	624,000	632,000
Convertible Class B common stock, $0.033 par value per share, 15,000,000 shares authorized; 1,763,652 shares and 1,763,652 shares issued at April 29, 2023 and January 28, 2023, respectively [Member]
Class of Stock [Line Items]
Common stock	$ 59,000	$ 59,000

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Condensed Consolidated Balance Sheets (Parentheticals) - USD ($)	Apr. 29, 2023	Jan. 28, 2023
Class of Stock [Line Items]
Allowance For Doubtful Accounts Receivable Current	$ 761,000	$ 761,000
Preferred Stock Par Or Stated Value Per Share	$ 100	$ 100
Preferred Stock Shares Authorized	100,000	100,000
Preferred Stock Shares Issued	0	0
Class A common stock [Member]
Class of Stock [Line Items]
Common Stock Shares Authorized	50,000,000	50,000,000
Common Stock Shares Issued	18,479,615	18,723,225
Common Stock Par Or Stated Value Per Share	$ 0.033	$ 0.033
Convertible Class B common stock [Member]
Class of Stock [Line Items]
Common Stock Shares Authorized	15,000,000	15,000,000
Common Stock Shares Issued	1,763,652	1,763,652
Common Stock Par Or Stated Value Per Share	$ 0.033	$ 0.033

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Condensed Consolidated Statements of Cash Flows - USD ($)	3 Months Ended
	Apr. 29, 2023	Apr. 30, 2022
OPERATING ACTIVITIES
Net income	$ 4,428,000	$ 9,748,000
Adjustments to reconcile net income to net cash provided (used) by operating activities:
Depreciation	2,357,000	2,743,000
Provision for customer credit losses	98,000	72,000
Purchase premium and premium amortization of investments	(18,000)	388,000
Share-based compensation	958,000	624,000
Deferred income taxes	(832,000)	0
(Gain) Loss on disposal of property and equipment	(33,000)	16,000
Changes in operating assets and liabilities which provided (used) cash:
Accounts receivable	(1,793,000)	(4,382,000)
Merchandise inventories	5,243,000	(2,669,000)
Prepaid and other assets	(618,000)	474,000
Operating lease right-of-use assets and liabilities	(532,000)	(590,000)
Accrued income taxes	2,066,000	1,142,000
Accounts payable, accrued expenses and other liabilities	(1,429,000)	(8,331,000)
Net cash provided (used) by operating activities	9,895,000	(765,000)
INVESTING ACTIVITIES
Expenditures for property and equipment	(6,170,000)	(4,440,000)
Purchase of short-term investments	(5,914,000)	(1,529,000)
Sales of short-term investments	27,421,000	25,566,000
Net cash provided (used) by investing activities	15,337,000	19,597,000
FINANCING ACTIVITIES
Dividends paid	(3,455,000)	(3,638,000)
Repurchase of common stock	(2,267,000)	(9,162,000)
Proceeds from employee stock purchase plan	166,000	91,000
Net cash provided (used) by financing activities	(5,556,000)	(12,709,000)
Net increase (decrease) in cash, cash equivalents, and restricted cash	19,676,000	6,123,000
Cash, cash equivalents, and restricted cash at beginning of period	23,792,000	23,678,000
Cash, cash equivalents, and restricted cash at end of period	43,468,000	29,801,000
Non-cash activity:
Accrued other assets and property and equipment	$ 644,000	$ 2,971,000

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Condensed Consolidated Statements of Stockholders' Equity - USD ($)	Total	Common Stock [Member]	Additional Paid-in Capital [Member]	Retained Earnings [Member]	Accumulated Other Comprehensive Income [Member]
Balance at Jan. 29, 2022	$ 254,196,000	$ 728,000	$ 119,540,000	$ 134,208,000	$ (280,000)
Net income	9,748,000	0	0	9,748,000	0
Unrealized gain on available-for-sale securities, net of deferred income tax expense or benefit	(1,206,000)	0	0	0	(1,206,000)
Dividends paid	(3,638,000)	0	0	(3,638,000)	0
Class A common stock sold through employee stock purchase plan	111,000	0	111,000	0	0
Share-based compensation issuances and exercises	5,000	0	0	5,000	0
Share-based compensation expense	598,000	0	598,000	0	0
Repurchase and retirement of treasury shares	(9,162,000)	(20,000)	0	(9,142,000)	0
Balance at Apr. 30, 2022	250,652,000	708,000	120,249,000	131,181,000	(1,486,000)
Balance at Jan. 28, 2023	226,593,000	691,000	122,431,000	104,709,000	(1,238,000)
Net income	4,428,000	0	0	4,428,000	0
Unrealized gain on available-for-sale securities, net of deferred income tax expense or benefit	355,000	0	0	0	355,000
Dividends paid	(3,455,000)	0	0	(3,455,000)	0
Class A common stock sold through employee stock purchase plan	195,000	0	195,000	0	0
Share-based compensation issuances and exercises	3,000	0	0	3,000	0
Share-based compensation expense	929,000	0	929,000	0	0
Repurchase and retirement of treasury shares	(2,267,000)	(8,000)	0	(2,259,000)	0
Balance at Apr. 29, 2023	$ 226,781,000	$ 683,000	$ 123,555,000	$ 103,426,000	$ (883,000)

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Condensed Consolidated Statements of Stockholders' Equity (Parentheticals) - USD ($)	3 Months Ended
	Apr. 29, 2023	Apr. 30, 2022
Statement of Stockholders' Equity [Abstract]
Tax Effect of Unrealized Gains (Losses) On Available-For-Sale Securities	$ 107,000	$ (362,000)
Stock Transactions, Parenthetical Disclosures [Abstract]
Dividends per share	$ 0.17	$ 0.17

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General

3 Months Ended

Apr. 29, 2023

General [Abstract]

General

NOTE 1 - GENERAL

:

The condensed consolidated financial statements as of April 29, 2023 and for the thirteen-week periods

ended April 29, 2023 and April 30, 2022 have been prepared from the accounting records of The Cato

Corporation and its wholly-owned subsidiaries (the “Company”), and all amounts shown are unaudited.

In the opinion of management, all adjustments considered necessary for a fair presentation of the financial

statements have been included. All such adjustments are of a normal, recurring nature unless otherwise

noted. The results of the interim period may not be indicative of the results expected for the entire year.

The interim financial statements should be read in conjunction with the consolidated financial statements

and notes thereto, included in the Company’s Annual Report on Form 10-K for the fiscal year ended

January 28, 2023. Amounts as of January 28, 2023 have been derived from the audited balance sheet, but

do not include all disclosures required by accounting principles generally accepted in the United States of

America.

On May 18, 2023, the Board of Directors maintained the quarterly dividend at $

0.17

 per share.

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Earnings Per Share

3 Months Ended

Apr. 29, 2023

Earnings Per Share [Abstract]

Earnings Per Share

NOTE 2 - EARNINGS PER SHARE:

Accounting Standard Codification (“ASC”) 260 –

Earnings Per Share

 requires dual presentation of basic and

diluted Earnings Per Share (“EPS”) on the face of all income statements for all entities with complex capital

structures. The Company has presented one basic EPS and one diluted EPS amount for all common shares in

the accompanying Condensed Consolidated Statements of Income and Comprehensive Income. While the

Company’s certificate of incorporation provides the right for the Board of Directors to declare dividends on

Class A shares without declaration of commensurate dividends on Class B shares, the Company has

historically paid the same dividends to both Class A and Class B shareholders and the Board of Directors has

resolved to continue this practice. Accordingly, the Company’s allocation of income for purposes of the EPS

computation is the same for Class A and Class B shares and the EPS amounts reported herein are applicable

to both Class A and Class B shares.

Basic EPS is computed as net income less earnings allocated to non-vested equity awards divided by the

weighted average number of common shares outstanding for the period. Diluted EPS reflects the potential

dilution that could occur from common shares issuable through stock options and the Employee Stock

Purchase Plan.

Three Months Ended

April 29, 2023

April 30, 2022

(Dollars in thousands)

Numerator

Net earnings

$

4,428

$

9,748

Earnings allocated to non-vested equity awards

(227)

(541)

Net earnings available to common stockholders

$

4,201

$

9,207

Denominator

Basic weighted average common shares outstanding

19,303,048

20,149,201

Diluted weighted average common shares outstanding

19,303,048

20,149,201

Net income per common share

Basic earnings per share

$

0.22

$

0.46

Diluted earnings per share

$

0.22

$

0.46

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Accumulated Other Comprehensive Income

3 Months Ended

Apr. 29, 2023

Accumulated Other Comprehensive Income [Abstract]

Accumulated Other Comprehensive Income

NOTE 3 – ACCUMULATED OTHER COMPREHENSIVE INCOME:

The following table sets forth information regarding the reclassification out of Accumulated other

comprehensive income (in thousands) for the three months ended April 29, 2023:

Changes in Accumulated Other 

Comprehensive Income (a)

Unrealized Gains

and (Losses) on

Available-for-Sale

Securities

Beginning Balance at January 28, 2023

$

(1,238)

 Other comprehensive income (loss) before 

 reclassification

355

 Amounts reclassified from accumulated

 other comprehensive income

-

Net current-period other comprehensive income (loss)

355

Ending Balance at April 29, 2023

$

(883)

(a) All amounts are net-of-tax. Amounts in parentheses indicate a debit/reduction to other comprehensive income ("OCI").

The following table sets forth information regarding the reclassification out of Accumulated other

comprehensive income (in thousands) for the three months ended April 30, 2022:

Changes in Accumulated Other 

Comprehensive Income (a)

Unrealized Gains

and (Losses) on

Available-for-Sale

Securities

Beginning Balance at January 29, 2022

$

(280)

 Other comprehensive income (loss) before 

 reclassification

(1,203)

 Amounts reclassified from accumulated

 other comprehensive income (b)

(3)

Net current-period other comprehensive income (loss)

(1,206)

Ending Balance at April 30, 2022

$

(1,486)

(a) All amounts are net-of-tax. Amounts in parentheses indicate a debit/reduction to other comprehensive income ("OCI").

(b) Includes

$4

 impact of Accumulated other comprehensive income reclassifications into Interest and other 

income for net gains on available-for-sale securities. The tax impact of this reclassification was

$1

.

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Financing Arrangements

3 Months Ended

Apr. 29, 2023

Financing Arrangements [Abstract]

Financing Arrangements

NOTE 4 – FINANCING ARRANGEMENTS:

At April 29, 2023, the Company had an unsecured revolving credit agreement, which provided for

borrowings of up to $

35.0

 million less the balance of any revocable letters of credit related to purchase

commitments, and was committed through May 2027. The credit agreement contains various financial

covenants and limitations, including the maintenance of specific financial ratios with which the Company

was in compliance as of April 29, 2023. There were

no

 borrowings outstanding, nor any outstanding

letters of credit that reduced borrowing availability, as of April 29, 2023. The weighted average interest

rate under the credit facility was

zero

 at April 29, 2023 due to

no

 outstanding borrowings.

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Reportable Segment Information

3 Months Ended

Apr. 29, 2023

Reportable Segment Information [Abstract]

Reportable Segment Information

NOTE 5 – REPORTABLE SEGMENT INFORMATION:

The Company has determined that it has four operating segments, as defined under ASC 280 –

Segment

Reporting

, including Cato, It’s Fashion, Versona and Credit. As outlined in ASC 280-10, the Company has

two

 reportable segments: Retail and Credit. The Company has aggregated its

three

 retail operating segments,

including e-commerce, based on the aggregation criteria outlined in ASC 280-10, which states that two or

more operating segments may be aggregated into a single reportable segment if aggregation is consistent with

the objective and basic principles of ASC 280-10, which require the segments to have similar economic

characteristics, products, production processes, clients and methods of distribution. 

The Company’s retail operating segments have similar economic characteristics and similar operating,

financial and competitive risks. The products sold in each retail operating segment are similar in nature, as

they all offer women’s apparel, shoes and accessories. Merchandise inventory of the Company’s retail

operating segments is sourced from the same countries and some of the same vendors, using similar

production processes. Merchandise for the Company’s retail operating segments is distributed to retail stores

in a similar manner through the Company’s single distribution center and is subsequently distributed to

clients in a similar manner.

The Company operates its women’s fashion specialty retail stores in

32

 states as of April 29, 2023,

principally in the southeastern United States. The Company offers its own credit card to its customers and

all credit authorizations, payment processing and collection efforts are performed by a separate subsidiary of

the Company.

The following schedule summarizes certain segment information (in thousands):

Three Months Ended

April 29, 2023

Retail

Credit

Total

Revenues

$191,434

$616

$192,050

Depreciation

2,357

-

2,357

Interest and other income

(897)

-

(897)

Income before taxes

6,382

187

6,569

Capital expenditures

6,170

-

6,170

Three Months Ended

April 30, 2022

Retail

Credit

Total

Revenues

$206,208

$513

$206,721

Depreciation

2,743

-

2,743

Interest and other income

(403)

-

(403)

Income before taxes

11,613

84

11,697

Capital expenditures

4,440

-

4,440

Retail

Credit

Total

Total assets as of April 29, 2023

$495,730

$38,906

$534,636

Total assets as of January 28, 2023

514,609

38,531

553,140

The following schedule summarizes the direct expenses of the credit segment which are reflected in Selling,

general and administrative expenses (in thousands):

The Company evaluates segment performance based on income before taxes. The Company does not

allocate certain corporate expenses or income taxes to the credit segment.

Three Months Ended

April 29, 2023

April 30, 2022

Payroll

$

134

$

137

Postage

101

93

Other expenses

194

199

Total expenses

$

429

$

429

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Share Based Compensation

3 Months Ended

Apr. 29, 2023

Share Based Compensation [Abstract]

Share Based Compensation

NOTE 6 – SHARE BASED COMPENSATION:

As of April 29, 2023, the Company had two long-term compensation plans pursuant to which stock-based

compensation was outstanding or could be granted. The 2018 Incentive Compensation Plan and 2013

Incentive Compensation Plan are for the granting of various forms of equity-based awards, including

restricted stock and stock options for grant to officers, directors and key employees. Effective May 24, 2018,

shares for grant were no longer available under the 2013 Incentive Compensation Plan.

The following table presents the number of options and shares of restricted stock initially authorized and

available for grant under each of the plans as of April 29, 2023:

2013

2018

Plan

Plan

Total

Options and/or restricted stock initially authorized

1,500,000

4,725,000

6,225,000

Options and/or restricted stock available for grant:

 April 29, 2023

-

3,473,475

3,473,475

In accordance with ASC 718 –

Compensation–Stock Compensation

, the fair value of current restricted

stock awards is estimated on the date of grant based on the market price of the Company’s stock and is

amortized to compensation expense on a straight-line basis over the related vesting periods. As of April

29, 2023 and January 28, 2023, there was $

9,329,000

 and $

10,543,000

, respectively, of total

unrecognized compensation expense related to unvested restricted stock awards, which had a remaining

weighted-average vesting period of

1.9

 years and

2.1

 years, respectively. The total compensation expense

during the three months ended April 29, 2023 was $

932,000

 compared to $

603,000

 for the three months

ended April 30, 2022. These expenses are classified as a component of Selling, general and

administrative expenses in the Condensed Consolidated Statements of Income.

The following summary shows the changes in the shares of unvested restricted stock outstanding during the

three months ended April 29, 2023:

Weighted

Average

Number of

Grant Date Fair

Shares

Value Per Share

Restricted stock awards at January 28, 2023

1,059,433

$

13.10

Granted

-

-

Vested

-

-

Forfeited or expired

(12,414)

13.45

Restricted stock awards at April 29, 2023

1,047,019

$

13.09

The Company’s Employee Stock Purchase Plan allows eligible full-time employees to purchase a limited

number of shares of the Company’s Class A Common Stock during each semi-annual offering period at a

15

% discount through payroll deductions. During the three months ended April 29, 2023 and April 30, 2022,

the Company sold

22,194

 and

9,468

 shares to employees at an average discount of $

1.32

 and $

2.21

 per share,

respectively, under the Employee Stock Purchase Plan. The compensation expense recognized for the

15

%

discount given under the Employee Stock Purchase Plan was approximately $

29,000

 and $

21,000

 for the

three months ended April 29, 2023 and April 30, 2022, respectively. These expenses are classified as a

component of Selling, general and administrative expenses in the Condensed Consolidated Statements of

Income.

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Fair Value Measurements

3 Months Ended

Apr. 29, 2023

Fair Value Measurements [Abstract]

Fair Value Measurements

NOTE 7 – FAIR VALUE MEASUREMENTS:

The following tables set forth information regarding the Company’s financial assets and liabilities that are

measured at fair value (in thousands) as of April 29, 2023 and January 28, 2023:

Quoted

Prices in

Active

Significant

Markets for

Other

Significant

Identical

Observable

Unobservable

April 29, 2023

Assets

Inputs

Inputs

Description

Level 1

Level 2

Level 3

Assets:

 State/Municipal Bonds

$

22,187

$

-

$

22,187

$

-

 Corporate Bonds

40,057

-

40,057

-

 U.S. Treasury/Agencies Notes and Bonds

16,541

-

16,541

-

 Cash Surrender Value of Life Insurance

9,281

-

-

9,281

 Asset-backed Securities (ABS)

7,925

-

7,925

-

 Corporate Equities

801

801

-

-

 Commercial Paper

1,039

-

1,039

-

Total Assets

$

97,831

$

801

$

87,749

$

9,281

Liabilities:

 Deferred Compensation

$

(8,731)

$

-

$

-

$

(8,731)

Total Liabilities

$

(8,731)

$

-

$

-

$

(8,731)

Quoted

Prices in

Active

Significant

Markets for

Other

Significant

Identical

Observable

Unobservable

January 28,

2023

Assets

Inputs

Inputs

Description

Level 1

Level 2

Level 3

Assets:

 State/Municipal Bonds

$

23,102

$

-

$

23,102

$

-

 Corporate Bonds

47,901

-

47,901

-

 U.S. Treasury/Agencies Notes and Bonds

27,250

-

27,250

-

 Cash Surrender Value of Life Insurance

9,274

-

-

9,274

 Asset-backed Securities (ABS)

9,373

-

9,373

-

 Corporate Equities

923

923

-

-

 Commercial Paper

1,026

-

1,026

-

Total Assets

$

118,849

$

923

$

108,652

$

9,274

Liabilities:

 Deferred Compensation

$

(8,903)

$

-

$

-

$

(8,903)

Total Liabilities

$

(8,903)

$

-

$

-

$

(8,903)

The Company’s investment portfolio was primarily invested in corporate bonds and tax-exempt and taxable

governmental debt securities held in managed accounts with underlying ratings of A or better at April 29,

2023 and January 28, 2023. The state, municipal and corporate bonds and asset-backed securities have

contractual maturities which range from

two days

 to

3.6

 years. The U.S. Treasury Notes and Certificates of

Deposit have contractual maturities which range from

one day

 to

2.8

 years. These securities are classified as

available-for-sale and are recorded as Short-term investments, Restricted cash and Other assets on the

accompanying Condensed Consolidated Balance Sheets. These assets are carried at fair value with unrealized

gains and losses reported net of taxes in Accumulated other comprehensive income. The asset-backed

securities are bonds comprised of auto loans and bank credit cards that carry AAA ratings. The auto loan

asset-backed securities are backed by static pools of auto loans that were originated and serviced by captive

auto finance units, banks or finance companies. The bank credit card asset-backed securities are backed by

revolving pools of credit card receivables generated by account holders of cards from American Express,

Citibank, JPMorgan Chase, Capital One, and Discover.

Additionally, at April 29, 2023, the Company had $

0.8

 million of corporate equities and deferred

compensation plan assets of $

9.3

 million. At January 28, 2023, the Company had $

0.9

 million of corporate

equities and deferred compensation plan assets of $

9.3

 million. All of these assets are recorded within Other

assets in the Condensed Consolidated Balance Sheets. 

Level 1 category securities are measured at fair value using quoted active market prices. Level 2 investment

securities include corporate and municipal bonds for which quoted prices may not be available on active

exchanges for identical instruments. Their fair value is principally based on market values determined by

management with 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 pricing service using observable market

information such as quotes from less active markets and/or quoted prices of securities with similar

characteristics, among other factors.

Deferred compensation plan assets consist of life insurance policies. These life insurance policies are valued

based on the cash surrender value of the insurance contract, which is determined based on such factors as the

fair value of the underlying assets and discounted cash flow and are therefore classified within Level 3 of the

valuation hierarchy. The Level 3 liability associated with the life insurance policies represents a deferred

compensation obligation, the value of which is tracked via underlying insurance funds’ net asset values, as

recorded in Other noncurrent liabilities in the Condensed Consolidated Balance Sheet. These funds are

designed to mirror mutual funds and money market funds that are observable and actively traded.

The following tables summarize the change in fair value of the Company’s financial assets and liabilities

measured using Level 3 inputs as of April 29, 2023 and January 28, 2023 (dollars in thousands):

Fair Value

Measurements Using

Significant Unobservable

Asset Inputs (Level 3)

Cash Surrender Value

Beginning Balance at January 28, 2023

$

9,274

Redemptions

-

Additions

-

Total gains or (losses)

 Included in interest and other income (or changes in net assets)

7

 Included in other comprehensive income

-

Ending Balance at April 29, 2023

$

9,281

Fair Value

Measurements Using

Significant Unobservable

Liability Inputs (Level 3)

Deferred Compensation

Beginning Balance at January 28, 2023

$

(8,903)

 Redemptions

292

 Additions

(82)

 Total (gains) or losses

 Included in interest and other income (or changes in net assets)

(38)

 Included in other comprehensive income

-

Ending Balance at April 29, 2023

$

(8,731)

Fair Value

Measurements Using

Significant Unobservable

Asset Inputs (Level 3)

Cash Surrender Value

Beginning Balance at January 29, 2022

$

11,472

Redemptions

(1,718)

Additions

-

 Total gains or (losses)

 Included in interest and other income (or changes in net assets)

(480)

 Included in other comprehensive income

-

Ending Balance at January 28, 2023

$

9,274

Fair Value

Measurements Using

Significant Unobservable

Liability Inputs (Level 3)

Deferred Compensation

Beginning Balance at January 29, 2022

$

(10,020)

 Redemptions

1,142

 Additions

(379)

 Total (gains) or losses

 Included in interest and other income (or changes in net assets)

354

 Included in other comprehensive income

-

Ending Balance at January 28, 2023

$

(8,903)

XML

Recent Accounting Pronouncements

3 Months Ended

Apr. 29, 2023

Recent Accounting Pronouncements [Abstract]

Recent Accounting Pronouncements

NOTE 8 – RECENT ACCOUNTING PRONOUNCEMENTS:

The Company has reviewed recent accounting pronouncements and believe none will have a material

impact on the Company’s financial statements.

XML

Income Taxes

3 Months Ended

Apr. 29, 2023

Income Taxes [Abstract]

Income Taxes

NOTE 9 – INCOME TAXES:

The Company had an effective tax rate for the first quarter of 2023 of

32.6

% compared to an effective tax

rate of

16.7

% for the first quarter of 2022. The increase in the 2023 first quarter tax rate was primarily due

to higher Global Intangible Low-taxed Income (GILTI), partially offset by the foreign rate differential

and offshore claim, as a percentage on lower pre-tax earnings.

XML

Commitments And Contingencies

3 Months Ended

Apr. 29, 2023

Commitments And Contingencies [Abstract]

Commitments And Contingencies

NOTE 10 – COMMITMENTS AND CONTINGENCIES:

The Company is, from time to time, involved in routine litigation incidental to the conduct of its business,

including litigation regarding the merchandise that it sells, litigation regarding intellectual property,

litigation instituted by persons injured upon premises under its control, litigation with respect to various

employment matters, including alleged discrimination and wage and hour litigation, and litigation with

present or former employees. 

Although such litigation is routine and incidental to the conduct of the Company’s business, as with any

business of its size with a significant number of employees and significant merchandise sales, such

litigation could result in large monetary awards. Based on information currently available, management

does not believe that any reasonably possible losses arising from current pending litigation will have a

material adverse effect on its condensed consolidated financial statements. However, given the inherent

uncertainties involved in such matters, an adverse outcome in one or more of such matters could

materially and adversely affect the Company’s financial condition, results of operations and cash flows in

any particular reporting period. The Company accrues for these matters when the liability is deemed

probable and reasonably estimable.

XML

Revenue Recognition

3 Months Ended

Apr. 29, 2023

Revenue Recognition [Abstract]

Revenue Recognition

NOTE 11 – REVENUE RECOGNITION:

The Company recognizes sales at the point of purchase when the customer takes possession of the

merchandise and pays for the purchase, generally with cash or credit. Sales from purchases made with

Cato credit, gift cards and layaway sales from stores are also recorded when the customer takes

possession of the merchandise. E-commerce sales are recorded when the risk of loss is transferred to the

customer. Gift cards are recorded as deferred revenue until they are redeemed or forfeited. Layaway sales

are recorded as deferred revenue until the customer takes possession or forfeits the merchandise. Gift

cards do not have expiration dates. A provision is made for estimated merchandise returns based on sales

volumes and the Company’s experience; actual returns have not varied materially from historical

amounts. A provision is made for estimated write-offs associated with sales made with the Company’s

proprietary credit card. Amounts related to shipping and handling billed to customers in a sales

transaction are classified as Other revenue and the costs related to shipping product to customers (billed

and accrued) are classified as Cost of goods sold.

The Company offers its own proprietary credit card to customers. All credit activity is performed by the

Company’s wholly-owned subsidiaries.

No

ne of the credit card receivables are secured. The Company

estimated customer credit losses of $

121,000

 and $

86,000

 for the periods ended April 29, 2023 and April

30, 2022, respectively, on sales purchased by the Company’s proprietary credit card of $

5.8

 million and

$

5.7

 million for the periods ended April 29, 2023 and April 30, 2022, respectively.

The following table provides information about receivables and contract liabilities from contracts with

customers (in thousands):

Balance as of

April 29, 2023

January 28, 2023

Proprietary Credit Card Receivables, net

$

10,749

$

10,553

Gift Card Liability

$

7,296

$

8,523

XML

Leases

3 Months Ended

Apr. 29, 2023

Leases [Abstract]

Leases

NOTE 12 – LEASES:

The Company determines whether an arrangement is a lease at inception. The Company has operating

leases for stores, offices, warehouse space and equipment. Its leases have remaining lease terms of

one

year

 to

10 years

, some of which include options to extend the lease term for

up to five years

, and some of

which include options to terminate the lease

within one year

. The Company considers these options in

determining the lease term used to establish its right-of-use assets and lease liabilities. The Company’s

lease agreements do not contain any material residual value guarantees or material restrictive covenants.

As most of the Company’s leases do not provide an implicit rate, the Company uses its estimated

incremental borrowing rate based on the information available at commencement date of the lease in

determining the present value of lease payments.

The components of lease cost are shown below (in thousands):

`

Three Months Ended

April 29, 2023

April 30, 2022

Operating lease cost (a)

$

18,078

$

17,754

Variable lease cost (b)

$

594

$

768

(a) Includes right-of-use asset amortization of ($

0.3

) million and ($

0.4

) million for the three months ended

April 29, 2023 and April 30, 2022, respectively.

(b) Primarily relates to monthly percentage rent for stores not presented on the balance sheet.

Supplemental cash flow information and non-cash activity related to the Company’s operating leases are

as follows (in thousands):

Operating cash flow information:

Three Months Ended

April 29, 2023

April 30, 2022

Cash paid for amounts included in the measurement of lease liabilities

$

17,345

$

16,836

Non-cash activity:

Right-of-use assets obtained in exchange for lease obligations, net of rent violations

$

1,904

$

3,515

Weighted-average remaining lease term and discount rate for the Company’s operating leases are as

follows:

As of

April 29, 2023

April 30, 2022

Weighted-average remaining lease term

2.2

 Years

2.4

 Years

Weighted-average discount rate

3.20%

2.92%

As of April 29, 2023, the maturities of lease liabilities by fiscal year for the Company’s operating leases

are as follows (in thousands):

Fiscal Year

2023 (a)

$

52,516

2024

49,829

2025

32,563

2026

18,657

2027

8,648

Thereafter

1,603

Total lease payments

163,816

Less: Imputed interest

8,344

Present value of lease liabilities

$

155,472

(a) Excluding the 3 months ended April 29, 2023.

XML

General (Policies)

3 Months Ended

Apr. 29, 2023

General [Abstract]

Consolidation, Policy

The condensed consolidated financial statements as of April 29, 2023 and for the thirteen-week periods

ended April 29, 2023 and April 30, 2022 have been prepared from the accounting records of The Cato

Corporation and its wholly-owned subsidiaries (the “Company”), and all amounts shown are unaudited.

Basis of Accounting, Policy

In the opinion of management, all adjustments considered necessary for a fair presentation of the financial

statements have been included. All such adjustments are of a normal, recurring nature unless otherwise

noted. The results of the interim period may not be indicative of the results expected for the entire year.

The interim financial statements should be read in conjunction with the consolidated financial statements

and notes thereto, included in the Company’s Annual Report on Form 10-K for the fiscal year ended

January 28, 2023. Amounts as of January 28, 2023 have been derived from the audited balance sheet, but

do not include all disclosures required by accounting principles generally accepted in the United States of

America.

XML

Earnings Per Share (Tables)

3 Months Ended

Apr. 29, 2023

Earnings Per Share [Abstract]

Earnings Per Share

Three Months Ended

April 29, 2023

April 30, 2022

(Dollars in thousands)

Numerator

Net earnings

$

4,428

$

9,748

Earnings allocated to non-vested equity awards

(227)

(541)

Net earnings available to common stockholders

$

4,201

$

9,207

Denominator

Basic weighted average common shares outstanding

19,303,048

20,149,201

Diluted weighted average common shares outstanding

19,303,048

20,149,201

Net income per common share

Basic earnings per share

$

0.22

$

0.46

Diluted earnings per share

$

0.22

$

0.46

XML

Accumulated Other Comprehensive Income (Tables)

3 Months Ended

Apr. 29, 2023

Accumulated Other Comprehensive Income [Abstract]

Reclassification out of Accumulated Other Comprehensive Income Loss

Changes in Accumulated Other 

Comprehensive Income (a)

Unrealized Gains

and (Losses) on

Available-for-Sale

Securities

Beginning Balance at January 28, 2023

$

(1,238)

 Other comprehensive income (loss) before 

 reclassification

355

 Amounts reclassified from accumulated

 other comprehensive income

-

Net current-period other comprehensive income (loss)

355

Ending Balance at April 29, 2023

$

(883)

(a) All amounts are net-of-tax. Amounts in parentheses indicate a debit/reduction to other comprehensive income ("OCI").

Changes in Accumulated Other 

Comprehensive Income (a)

Unrealized Gains

and (Losses) on

Available-for-Sale

Securities

Beginning Balance at January 29, 2022

$

(280)

 Other comprehensive income (loss) before 

 reclassification

(1,203)

 Amounts reclassified from accumulated

 other comprehensive income (b)

(3)

Net current-period other comprehensive income (loss)

(1,206)

Ending Balance at April 30, 2022

$

(1,486)

(a) All amounts are net-of-tax. Amounts in parentheses indicate a debit/reduction to other comprehensive income ("OCI").

(b) Includes

$4

 impact of Accumulated other comprehensive income reclassifications into Interest and other 

income for net gains on available-for-sale securities. The tax impact of this reclassification was

$1

.

XML

Reportable Segment Information (Tables)

3 Months Ended

Apr. 29, 2023

Reportable Segment Information [Abstract]

Schedule Of Certain Segment Information

Three Months Ended

April 29, 2023

Retail

Credit

Total

Revenues

$191,434

$616

$192,050

Depreciation

2,357

-

2,357

Interest and other income

(897)

-

(897)

Income before taxes

6,382

187

6,569

Capital expenditures

6,170

-

6,170

Three Months Ended

April 30, 2022

Retail

Credit

Total

Revenues

$206,208

$513

$206,721

Depreciation

2,743

-

2,743

Interest and other income

(403)

-

(403)

Income before taxes

11,613

84

11,697

Capital expenditures

4,440

-

4,440

Retail

Credit

Total

Total assets as of April 29, 2023

$495,730

$38,906

$534,636

Total assets as of January 28, 2023

514,609

38,531

553,140

Direct Expenses of Credit Segment in SGA

Three Months Ended

April 29, 2023

April 30, 2022

Payroll

$

134

$

137

Postage

101

93

Other expenses

194

199

Total expenses

$

429

$

429

XML

Share Based Compensation (Tables)

3 Months Ended

Apr. 29, 2023

Share Based Compensation [Abstract]

Stock Based Compensation Plans

2013

2018

Plan

Plan

Total

Options and/or restricted stock initially authorized

1,500,000

4,725,000

6,225,000

Options and/or restricted stock available for grant:

 April 29, 2023

-

3,473,475

3,473,475

Schedule Of Changes In Restricted Stock Outstanding

Weighted

Average

Number of

Grant Date Fair

Shares

Value Per Share

Restricted stock awards at January 28, 2023

1,059,433

$

13.10

Granted

-

-

Vested

-

-

Forfeited or expired

(12,414)

13.45

Restricted stock awards at April 29, 2023

1,047,019

$

13.09

XML

Fair Value Measurements (Tables)

3 Months Ended

Apr. 29, 2023

Fair Value Measurements [Abstract]

Financial Assets And Liabilities Measured At Fair Value

Quoted

Prices in

Active

Significant

Markets for

Other

Significant

Identical

Observable

Unobservable

April 29, 2023

Assets

Inputs

Inputs

Description

Level 1

Level 2

Level 3

Assets:

 State/Municipal Bonds

$

22,187

$

-

$

22,187

$

-

 Corporate Bonds

40,057

-

40,057

-

 U.S. Treasury/Agencies Notes and Bonds

16,541

-

16,541

-

 Cash Surrender Value of Life Insurance

9,281

-

-

9,281

 Asset-backed Securities (ABS)

7,925

-

7,925

-

 Corporate Equities

801

801

-

-

 Commercial Paper

1,039

-

1,039

-

Total Assets

$

97,831

$

801

$

87,749

$

9,281

Liabilities:

 Deferred Compensation

$

(8,731)

$

-

$

-

$

(8,731)

Total Liabilities

$

(8,731)

$

-

$

-

$

(8,731)

Quoted

Prices in

Active

Significant

Markets for

Other

Significant

Identical

Observable

Unobservable

January 28,

2023

Assets

Inputs

Inputs

Description

Level 1

Level 2

Level 3

Assets:

 State/Municipal Bonds

$

23,102

$

-

$

23,102

$

-

 Corporate Bonds

47,901

-

47,901

-

 U.S. Treasury/Agencies Notes and Bonds

27,250

-

27,250

-

 Cash Surrender Value of Life Insurance

9,274

-

-

9,274

 Asset-backed Securities (ABS)

9,373

-

9,373

-

 Corporate Equities

923

923

-

-

 Commercial Paper

1,026

-

1,026

-

Total Assets

$

118,849

$

923

$

108,652

$

9,274

Liabilities:

 Deferred Compensation

$

(8,903)

$

-

$

-

$

(8,903)

Total Liabilities

$

(8,903)

$

-

$

-

$

(8,903)

Change In Fair Value Of Financial Assets And Liabilities Measured Using Level 3 Inputs

Fair Value

Measurements Using

Significant Unobservable

Asset Inputs (Level 3)

Cash Surrender Value

Beginning Balance at January 28, 2023

$

9,274

Redemptions

-

Additions

-

Total gains or (losses)

 Included in interest and other income (or changes in net assets)

7

 Included in other comprehensive income

-

Ending Balance at April 29, 2023

$

9,281

Fair Value

Measurements Using

Significant Unobservable

Liability Inputs (Level 3)

Deferred Compensation

Beginning Balance at January 28, 2023

$

(8,903)

 Redemptions

292

 Additions

(82)

 Total (gains) or losses

 Included in interest and other income (or changes in net assets)

(38)

 Included in other comprehensive income

-

Ending Balance at April 29, 2023

$

(8,731)

Fair Value

Measurements Using

Significant Unobservable

Asset Inputs (Level 3)

Cash Surrender Value

Beginning Balance at January 29, 2022

$

11,472

Redemptions

(1,718)

Additions

-

 Total gains or (losses)

 Included in interest and other income (or changes in net assets)

(480)

 Included in other comprehensive income

-

Ending Balance at January 28, 2023

$

9,274

Fair Value

Measurements Using

Significant Unobservable

Liability Inputs (Level 3)

Deferred Compensation

Beginning Balance at January 29, 2022

$

(10,020)

 Redemptions

1,142

 Additions

(379)

 Total (gains) or losses

 Included in interest and other income (or changes in net assets)

354

 Included in other comprehensive income

-

Ending Balance at January 28, 2023

$

(8,903)

XML

Revenue Recognition (Tables)

3 Months Ended

Apr. 29, 2023

Revenue Recognition [Abstract]

Receivables And Contract Liabilities From Contracts With Customers

Balance as of

April 29, 2023

January 28, 2023

Proprietary Credit Card Receivables, net

$

10,749

$

10,553

Gift Card Liability

$

7,296

$

8,523

XML

Leases (Tables)

3 Months Ended

Apr. 29, 2023

Leases [Abstract]

Components Of Lease Cost

`

Three Months Ended

April 29, 2023

April 30, 2022

Operating lease cost (a)

$

18,078

$

17,754

Variable lease cost (b)

$

594

$

768

(a) Includes right-of-use asset amortization of ($

0.3

) million and ($

0.4

) million for the three months ended

April 29, 2023 and April 30, 2022, respectively.

(b) Primarily relates to monthly percentage rent for stores not presented on the balance sheet.

Operating Cash Flow Information

Operating cash flow information:

Three Months Ended

April 29, 2023

April 30, 2022

Cash paid for amounts included in the measurement of lease liabilities

$

17,345

$

16,836

Non-cash activity:

Right-of-use assets obtained in exchange for lease obligations, net of rent violations

$

1,904

$

3,515

Weighted-Average Remaining Lease Term And Discount Rate

As of

April 29, 2023

April 30, 2022

Weighted-average remaining lease term

2.2

 Years

2.4

 Years

Weighted-average discount rate

3.20%

2.92%

Maturities Of Lease Liabilities By Fiscal Year

Fiscal Year

2023 (a)

$

52,516

2024

49,829

2025

32,563

2026

18,657

2027

8,648

Thereafter

1,603

Total lease payments

163,816

Less: Imputed interest

8,344

Present value of lease liabilities

$

155,472

(a) Excluding the 3 months ended April 29, 2023.

XML

General - Narrative (Details) - $ / shares		3 Months Ended
	May 18, 2023	Apr. 29, 2023	Apr. 30, 2022
Subsequent Event [Line Items]
Quarterly Declared Dividend		$ 0.17	$ 0.17
Subsequent Event [Member]
Subsequent Event [Line Items]
Quarterly Declared Dividend	$ 0.17

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Earnings Per Share (Details) - USD ($)	3 Months Ended
	Apr. 29, 2023	Apr. 30, 2022
Earnings Per Share [Abstract]
Net earnings	$ 4,428,000	$ 9,748,000
Earnings allocated to non-vested equity awards	(227,000)	(541,000)
Net earnings available to common stockholders	$ 4,201,000	$ 9,207,000
Basic weighted average common shares outstanding	19,303,048	20,149,201
Diluted Weighted Average Common Shares Outstanding	19,303,048	20,149,201
Basic earnings per share	$ 0.22	$ 0.46
Diluted earnings per share	$ 0.22	$ 0.46

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Accumulated Other Comprehensive Income (Reclassification out of Accumulated Other Comprehensive Income Loss) (Details) - USD ($)	3 Months Ended
	Apr. 29, 2023	Apr. 30, 2022
Accumulated Other Comprehensive Income (Loss) [Roll Forward]
Beginning Balance	$ (1,238,000)	$ (280,000)
Other comprehensive income (loss) before reclassification	355,000	(1,203,000)
Amounts reclassified from accumulated other comprehensive income	0	(3,000)
Net current-period other comprehensive income (loss)	355,000	(1,206,000)
Ending Balance	$ (883,000)	$ (1,486,000)

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Accumulated Other Comprehensive Income - Footnote (Details) - USD ($)	3 Months Ended
	Apr. 29, 2023	Apr. 30, 2022
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Tax impact of reclassification	$ 2,141,000	$ 1,949,000
Reclassified Accumulated Unrealized Gains and Losses
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Interest and Other Income		(4,000)
Tax impact of reclassification		$ (1,000)

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Financing Arrangements (Narrative) (Details) - Revolving Credit Facility [Member]	Apr. 29, 2023 USD ($)
Line of Credit Facility [Line Items]
Line of Credit Facility, Maximum Borrowing Capacity	$ 35,000,000.0
Borrowings outstanding	$ 0
Weighted average interest	0.00%

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Reportable Segment Information (Schedule Of Certain Segment Information) (Details)	3 Months Ended
	Apr. 29, 2023 USD ($) numberofstores Segments	Apr. 30, 2022 USD ($)	Jan. 28, 2023 USD ($)
Segment Reporting Information [Line Items]
Reportable segments | Segments	2
Operating Segments | Segments	3
Number of States in which Entity Operates | numberofstores	32
Total revenues	$ 192,050,000	$ 206,721,000
Depreciation	2,357,000	2,743,000
Interest and other income	(897,000)	(403,000)
Income before taxes	6,569,000	11,697,000
Capital expenditures	6,170,000	4,440,000
Total Assets	534,636,000		$ 553,140,000
Retail Segment [Member]
Segment Reporting Information [Line Items]
Total revenues	191,434,000	206,208,000
Depreciation	2,357,000	2,743,000
Interest and other income	(897,000)	(403,000)
Income before taxes	6,382,000	11,613,000
Capital expenditures	6,170,000	4,440,000
Total Assets	495,730,000		514,609,000
Credit Segment [Member]
Segment Reporting Information [Line Items]
Total revenues	616,000	513,000
Depreciation	0	0
Interest and other income	0	0
Income before taxes	187,000	84,000
Capital expenditures	0	$ 0
Total Assets	$ 38,906,000		$ 38,531,000

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Reportable Segment Information (Direct Expenses of Credit Segment in SGA) (Details) - USD ($)	3 Months Ended
	Apr. 29, 2023	Apr. 30, 2022
Segment Reporting Information [Line Items]
Direct expenses	$ 61,934,000	$ 60,441,000
Credit Segment [Member]
Segment Reporting Information [Line Items]
Payroll	134,000	137,000
Postage	101,000	93,000
Other Expenses	194,000	199,000
Direct expenses	$ 429,000	$ 429,000

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Share Based Compensation (Narrative) (Details) - Class A common stock [Member] - USD ($)	3 Months Ended		12 Months Ended
	Apr. 29, 2023	Apr. 30, 2022	Jan. 28, 2023
Restricted Stock [Member]
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Unrecognized Compensation Expense	$ 9,329,000		$ 10,543,000
Remaining Weighted-Average Vesting Period	1 year 10 months 24 days		2 years 1 month 6 days
Compensation Expense	$ 932,000	$ 603,000
Employee Stock Purchase Plan [Member]
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Shares Sold	22,194	9,468
Compensation Expense	$ 29,000	$ 21,000
Employee Stock Purchase Plan Share Purchase Discount	$ 1.32	$ 2.21
Employee Stock Purchase Plan Share Purchase Discount Rate	15.00%

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Share Based Compensation (Stock Based Compensation Plans) (Details) - Options and or restricted stock [Member]	Apr. 29, 2023 shares
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Options And/Or Restricted Stock Initially Authorized	6,225,000
Options And/Or Restricted Stock Available For Grant	3,473,475
2013 Plan [Member]
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Options And/Or Restricted Stock Initially Authorized	1,500,000
Options And/Or Restricted Stock Available For Grant	0
2018 Plan [Member]
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Options And/Or Restricted Stock Initially Authorized	4,725,000
Options And/Or Restricted Stock Available For Grant	3,473,475

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Share Based Compensation (Schedule Of Changes In Restricted Stock Outstanding) (Details) - 2004 Plan [Member] - Restricted Stock [Member] - Class A common stock [Member]	3 Months Ended
	Apr. 29, 2023 $ / shares shares
Share Based Compensation Arrangement By Share Based Payment Award Equity Instruments Other Than Options Nonvested [Roll Forward]
Restricted Stock Awards Beginning Balance | shares	1,059,433
Restricted Stock Awards Granted | shares	0
Restricted Stock Awards Vested | shares	0
Restricted Stock Awards Forfeited | shares	(12,414)
Restricted Stock Awards Ending Balance | shares	1,047,019
Share Based Compensation Arrangement By Share Based Payment Award Equity Instruments Other Than Options Nonvested Weighted Average Grant Date Fair Value [Roll Forward]
Restricted Stock Awards Weighted Average Grant Date Fair Value Per Share - Beginning Balance | $ / shares	$ 13.10
Granted Restricted Stock Awards Weighted Average Grant Date Fair Value Per Share | $ / shares	0
Vested Restricted Stock Awards Weighted Average Grant Date Fair Value Per Share | $ / shares	0
Forfeited Restricted Stock Awards Weighted Average Grant Date Fair Value Per Share | $ / shares	13.45
Restricted Stock Awards Weighted Average Grant Date Fair Value Per Share - Ending Balance | $ / shares	$ 13.09

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Fair Value Measurements (Narrative) (Details) - USD ($)	Apr. 29, 2023	Jan. 28, 2023
Cash Surrender Value of Life Insurance [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash Surrender Value of Life Insurance	$ 9,281,000	$ 9,274,000
State/Municipal Bonds [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale Securities	$ 22,187,000	23,102,000
State/Municipal Bonds [Member] | Minimum [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt Securities, Available-for-sale, Term	2 days
State/Municipal Bonds [Member] | Maximum [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt Securities, Available-for-sale, Term	3 years 7 months 6 days
Common Stock [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale Securities	$ 801,000	923,000
US Treasury Securities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale Securities	$ 16,541,000	$ 27,250,000
US Treasury Securities [Member] | Minimum [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt Securities, Available-for-sale, Term	1 day
US Treasury Securities [Member] | Maximum [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt Securities, Available-for-sale, Term	2 years 9 months 18 days

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Fair Value Measurements (Financial Assets And Liabilities Measured At Fair Value) (Details) - USD ($)	Apr. 29, 2023	Jan. 28, 2023
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total Assets	$ 97,831,000	$ 118,849,000
Total Liabilities	(8,731,000)	(8,903,000)
Deferred Compensation [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Other Liabilities, Fair Value Disclosure	(8,731,000)	(8,903,000)
Level 1 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total Assets	801,000	923,000
Total Liabilities	0	0
Level 1 [Member] | Deferred Compensation [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Other Liabilities, Fair Value Disclosure	0	0
Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total Assets	87,749,000	108,652,000
Total Liabilities	0	0
Level 2 [Member] | Deferred Compensation [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Other Liabilities, Fair Value Disclosure	0	0
Level 3 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total Assets	9,281,000	9,274,000
Total Liabilities	(8,731,000)	(8,903,000)
Level 3 [Member] | Deferred Compensation [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Other Liabilities, Fair Value Disclosure	(8,731,000)	(8,903,000)
State/Municipal Bonds [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale Securities	22,187,000	23,102,000
State/Municipal Bonds [Member] | Level 1 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale Securities	0	0
State/Municipal Bonds [Member] | Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale Securities	22,187,000	23,102,000
State/Municipal Bonds [Member] | Level 3 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale Securities	0	0
Corporate Bonds [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale Securities	40,057,000	47,901,000
Corporate Bonds [Member] | Level 1 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale Securities	0	0
Corporate Bonds [Member] | Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale Securities	40,057,000	47,901,000
Corporate Bonds [Member] | Level 3 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale Securities	0	0
U.S. Treasury/Agencies Notes and Bonds [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale Securities	16,541,000	27,250,000
U.S. Treasury/Agencies Notes and Bonds [Member] | Level 1 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale Securities	0	0
U.S. Treasury/Agencies Notes and Bonds [Member] | Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale Securities	16,541,000	27,250,000
U.S. Treasury/Agencies Notes and Bonds [Member] | Level 3 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale Securities	0	0
Cash Surrender Value of Life Insurance [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash Surrender Value of Life Insurance	9,281,000	9,274,000
Cash Surrender Value of Life Insurance [Member] | Level 1 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash Surrender Value of Life Insurance	0	0
Cash Surrender Value of Life Insurance [Member] | Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash Surrender Value of Life Insurance	0	0
Cash Surrender Value of Life Insurance [Member] | Level 3 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash Surrender Value of Life Insurance	9,281,000	9,274,000
Asset-backed Securities (ABS)) [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale Securities	7,925,000	9,373,000
Asset-backed Securities (ABS)) [Member] | Level 1 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale Securities	0	0
Asset-backed Securities (ABS)) [Member] | Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale Securities	7,925,000	9,373,000
Asset-backed Securities (ABS)) [Member] | Level 3 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale Securities	0	0
Corporate Equities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale Securities	801,000	923,000
Corporate Equities [Member] | Level 1 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale Securities	801,000	923,000
Corporate Equities [Member] | Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale Securities	0	0
Corporate Equities [Member] | Level 3 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale Securities	0	0
Commercial Paper [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale Securities	1,039,000	1,026,000
Commercial Paper [Member] | Level 1 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale Securities	0	0
Commercial Paper [Member] | Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale Securities	1,039,000	1,026,000
Commercial Paper [Member] | Level 3 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale Securities	$ 0	$ 0

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Fair Value Measurements (Change In Fair Value Of Financial Assets And Liabilities Measured Using Level 3 Inputs) (Details) - USD ($)	3 Months Ended	12 Months Ended
	Apr. 29, 2023	Jan. 28, 2023
Deferred Compensation [Member]
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]
Beginning Balance	$ (8,903,000)	$ (10,020,000)
Redemptions	292,000	1,142,000
Additions	(82,000)	(379,000)
Total (gains) or losses: Included in interest and other income (or changes in net assets)	(38,000)	354,000
Total (gains) or losses: Included in other comprehensive income	0	0
Ending Balance	(8,731,000)	(8,903,000)
Cash Surrender Value of Life Insurance [Member]
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]
Beginning Balance	9,274,000	11,472,000
Redemptions	0	(1,718,000)
Additions	0	0
Total gains or (losses): Included in interest and other income (or changes in net assets)	7,000	(480,000)
Total gains or (losses): Included in other comprehensive income	0	0
Ending Balance	$ 9,281,000	$ 9,274,000

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Income Taxes (Narrative) (Details)	3 Months Ended
	Apr. 29, 2023	Apr. 30, 2022
Income Taxes [Abstract]
Effective Income Tax Rate	32.60%	16.70%

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Revenue Recognition (Narrative) (Details) - Sales on Company's Proprietary Credit Card [Member] - USD ($)	3 Months Ended
	Apr. 29, 2023	Apr. 30, 2022
Revenue Recognition [Line Items]
Customer credit losses	$ 121,000	$ 86,000
Revenue from Contract with Customer, Excluding Assessed Tax	5,800,000	$ 5,700,000
Secured [Member]
Revenue Recognition [Line Items]
Receivable	$ 0

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Revenue Recognition (Receivables And Contract Liabilities From Contracts With Customers) (Details) - USD ($)	Apr. 29, 2023	Jan. 28, 2023
Revenue Recognition [Abstract]
Proprietary Credit Card Receivables, net	$ 10,749,000	$ 10,553,000
Gift Card Liability	$ 7,296,000	$ 8,523,000

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Leases (Narrative) (Details)	3 Months Ended
	Apr. 29, 2023
Lease, Cost [Abstract]
Options to extend the lease term	up to five years
Option to terminate the lease	within one year
Minimum [Member]
Lease, Cost [Abstract]
Remaining lease terms	1 year
Maximum [Member]
Lease, Cost [Abstract]
Remaining lease terms	10 years

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Leases (Components of lease cost) (Details) - USD ($)	3 Months Ended
	Apr. 29, 2023	Apr. 30, 2022
Lease, Cost [Abstract]
Operating lease cost	$ 18,078,000	$ 17,754,000
Variable lease cost	594,000	768,000
Right-of-Use Asset, Amortization Expense	$ 300,000	$ 400,000

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Leases (Operating Cash Flow Information) (Details)	Apr. 29, 2023	Apr. 30, 2022
Weighted-average remaining lease term and discount rate:
Operating Lease, Weighted Average Remaining Lease Term	2 years 2 months 12 days	2 years 4 months 24 days
Operating Lease, Weighted Average Discount Rate, Percent	3.20%	2.92%

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Leases (Weighted-Average Remaining Lease Term And Discount Rate) (Details) - USD ($)	3 Months Ended
	Apr. 29, 2023	Apr. 30, 2022
Operating cash flow information:
Cash paid for amounts included in the measurement of lease liabilities	$ 17,345,000	$ 16,836,000
Right-of-use assets obtained in exchange for lease obligations, net of rent violations	$ 1,904,000	$ 3,515,000

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Leases (Maturities Of Lease Liabilities By Fiscal Year) (Details)	Apr. 29, 2023 USD ($)
Leases [Abstract]
2023	$ 52,516,000
2024	49,829,000
2025	32,563,000
2026	18,657,000
2027	8,648,000
Thereafter	1,603,000
Total lease payments	163,816,000
Less: Imputed interest	8,344,000
Present value of lease liabilities	$ 155,472,000