Business Segment Information

12 Months Ended

Jan. 29, 2022

Segment Reporting [Abstract]

Business Segment Information

Note 17

Business Segment Information

The accounting policies of the segments are the same as those described in the summary of significant accounting policies.

Our reportable segments are based on management's organization of the segments in order to make operating decisions and assess performance along types of products sold. Journeys Group and Schuh Group sell primarily branded products from other companies while Johnston & Murphy Group and Licensed Brands sell primarily our owned and licensed brands.

Corporate assets include cash, domestic prepaid rent expense, prepaid income taxes, deferred income taxes, deferred note expense on revolver debt, corporate fixed assets, corporate operating lease right of use assets and miscellaneous investments. We do not allocate certain costs to each segment in order to make decisions and assess performance. These costs include corporate overhead, bank fees, interest expense, interest income, goodwill impairment, asset impairment charges and other, including a gain on the sale of a distribution warehouse, a pension settlement charge, major litigation and major lease terminations.

Fiscal 2022
(In thousands)	Journeys Group		Schuh Group		Johnston & Murphy Group		Licensed Brands			Corporate & Other			Consolidated
Sales	$	1,576,475	$	423,560	$	252,855	$	170,619		$	—		$	2,423,509
Intercompany sales		—		—		—		(1,425	)		—			(1,425	)
Net sales to external customers	$	1,576,475	$	423,560	$	252,855	$	169,194		$	—		$	2,422,084
Segment operating income (loss)	$	165,336	$	19,257	$	7,029	$	6,583		$	(50,694	)	$	147,511
Asset impairments and other(1)		—		—		—		—			8,056			8,056
Operating income		165,336		19,257		7,029		6,583			(42,638	)		155,567
Other components of net periodic benefit cost		—		—		—		—			(128	)		(128	)
Interest expense,net		—		—		—		—			(2,448	)		(2,448	)
Earnings from continuing operations before income taxes	$	165,336	$	19,257	$	7,029	$	6,583		$	(45,214	)	$	152,991
Total assets at fiscal year end(2)	$	678,680	$	207,495	$	128,187	$	67,658		$	480,079		$	1,562,099
Depreciation and amortization		28,903		6,942		4,612		1,081			1,431			42,969
Capital expenditures		22,438		3,062		4,647		1,071			22,687			53,905

(1)Asset impairments and other includes an $18.1 million gain on the sale of a distribution warehouse and a $0.6 million insurance gain, partially offset by $8.6 million for professional fees related to the actions of a shareholder activist and a $2.0 million charge for retail store asset impairments, of which $1.0 million is in the Journeys Group, $0.8 million is in the Schuh Group and $0.2 million is in the Johnston & Murphy Group.

(2)Of our $760.1 million of long-lived assets, $113.9 million and $26.0 million relate to long-lived assets in the U.K. and Canada, respectively.

Note 17

Business Segment Information, Continued

Fiscal 2021
(In thousands)	Journeys Group		Schuh Group			Johnston & Murphy Group			Licensed Brands			Corporate & Other			Consolidated
Sales	$	1,227,954	$	305,941		$	152,941		$	101,287		$	—		$	1,788,123
Intercompany sales		—		—			—			(1,593	)		—			(1,593	)
Net sales to external customers	$	1,227,954	$	305,941		$	152,941		$	99,694		$	—		$	1,786,530
Segment operating income (loss)	$	76,896	$	(11,602	)	$	(47,624	)	$	(5,430	)	$	(21,548	)	$	(9,308	)
Goodwill impairment (1)		—		—			—			—			(79,259	)		(79,259	)
Asset impairments and other(2)		—		—			—			—			(18,682	)		(18,682	)
Operating income (loss)		76,896		(11,602	)		(47,624	)		(5,430	)		(119,489	)		(107,249	)
Other components of net periodic benefit income		—		—			—			—			670			670
Interest expense, net		—		—			—			—			(5,090	)		(5,090	)
Earnings (loss) from continuing operations before income taxes	$	76,896	$	(11,602	)	$	(47,624	)	$	(5,430	)	$	(123,909	)	$	(111,669	)
Total assets at fiscal year end(3)	$	767,535	$	232,681		$	159,027		$	58,320		$	369,805		$	1,587,368
Depreciation and amortization		29,326		8,885			5,487			1,317			1,484			46,499
Capital expenditures		16,188		2,794			4,064			356			728			24,130

(1)Goodwill impairment of $79.3 million is related to Schuh Group.

(2)Asset impairments and other includes a $13.8 million charge for retail store asset impairments, of which $7.0 million is in the Johnston & Murphy Group, $4.1 million is in the Journeys Group and $2.7 million is in the Schuh Group, and a $5.3 million charge for trademark impairment, partially offset by a $0.4 million gain for the release of an earnout related to the Togast acquisition.

(3)Of our $829.6 million of long-lived assets, $140.9 million and $35.1 million relate to long-lived assets in the U.K. and Canada, respectively.

Note 17

Business Segment Information, Continued

Fiscal 2020
(In thousands)	Journeys Group		Schuh Group		Johnston & Murphy Group		Licensed Brands			Corporate & Other			Consolidated
Sales	$	1,460,253	$	373,930	$	300,850	$	61,859		$	174		$	2,197,066
Intercompany sales		—		—		—		—			—			—
Net sales to external customers	$	1,460,253	$	373,930	$	300,850	$	61,859		$	174		$	2,197,066
Segment operating income (loss)	$	114,945	$	4,659	$	17,702	$	(698	)	$	(39,916	)	$	96,692
Asset impairments and other(1)		—		—		—		—			(13,374	)		(13,374	)
Operating income		114,945		4,659		17,702		(698	)		(53,290	)		83,318
Other components of net periodic benefit income		—		—		—		—			395			395
Interest expense, net		—		—		—		—			(1,278	)		(1,278	)
Earnings from continuing operations before income taxes	$	114,945	$	4,659	$	17,702	$	(698	)	$	(54,173	)	$	82,435
Total assets at fiscal year end(2)	$	908,312	$	363,205	$	197,670	$	63,385		$	147,906		$	1,680,478
Depreciation and amortization		29,122		11,466		6,091		660			2,235			49,574
Capital expenditures		17,920		4,890		5,540		428			989			29,767

(1)Asset impairments and other includes an $11.5 million pension settlement expense and a $3.1 million charge for retail store asset impairments, of which $1.2 million is in the Johnston & Murphy Group, $1.2 million is in the Schuh Group and $0.7 million is in the Journeys Group, partially offset by a $0.6 million gain on the sale of the Lids Sport Group headquarters building, a $0.4 million gain for lease terminations and a $0.2 million gain related to Hurricane Maria.

(2)Of our $973.4 million of long-lived assets, $174.4 million and $46.2 million relate to long-lived assets in the U.K. and Canada, respectively.