Share-Based Compensation

3 Months Ended

Apr. 29, 2023

Share-Based Payment Arrangement [Abstract]

The following summarizes the share-based compensation expense recognized under all of the Company’s stock plans (in thousands):


	Three Months Ended
		Apr 29, 2023		Apr 30, 2022
Stock options		$	506	$	600
Stock awards/units		4,065		3,372
Employee Stock Purchase Plan		49		80
Total share-based compensation expense		$	4,620	$	4,052

Unrecognized compensation cost related to nonvested stock options and nonvested stock awards/units totaled approximately $0.2 million and $27.2 million, respectively, as of April 29, 2023. This cost is expected to be recognized over a weighted average period of 1.8 years.

Annual Grants

On March 22, 2023, the Company made an annual grant of 548,100 nonvested stock awards/units to its employees.

Performance-Based Awards

The Company has granted certain nonvested stock units subject to performance-based vesting conditions to select executive officers. Each award of nonvested stock units generally has an initial vesting period from the date of the grant through either (i) the end of the first fiscal year or (ii) the first anniversary of the date of grant, followed by annual vesting periods which may range from two-to-three years.

The following summarizes the activity for nonvested performance-based units during the three months ended April 29, 2023:


	Number of Units	Weighted Average Grant Date Fair Value
Nonvested at January 28, 2023	612,627	$	20.14
Granted	—	—
Vested	(278,757)	18.25
Forfeited	(184,365)	20.34
Nonvested at April 29, 2023	149,505	$	23.41

Market-Based Awards

The Company has granted certain nonvested stock units subject to market-based vesting conditions to select executive officers. These market-based awards include (i) units where the number of shares that may ultimately vest will equal 0% to 150% of the target number of shares, subject to the performance of the Company’s total stockholder return (“TSR”) relative to the TSR of a select group of peer companies over a three-year period and (ii) units scheduled to vest based on the attainment of certain absolute stock price levels over a four-year period. Vesting is also subject to continued service requirements through the vesting date.

The following summarizes the activity for nonvested market-based units during the three months ended April 29, 2023:


	Number of Units	Weighted Average Grant Date Fair Value
Nonvested at January 28, 2023	946,787	$	14.75
Granted1	145,003	6.38
Vested1	(505,494)	6.38
Forfeited	—	—
Nonvested at April 29, 2023	586,296	$	19.89

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Notes:

1 As a result of the achievement of certain market-based vesting conditions, there were 145,003 shares that vested in addition to the original target number of shares granted in fiscal 2021.