Form 8-K PEP BOYS MANNY MOE & For: Dec 07
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
Current Report
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date of Report: December 7, 2015
Date of Earliest Event Reported: December 7, 2015
The Pep Boys - Manny, Moe & Jack
(Exact name of registrant as specified in charter)
|
Pennsylvania |
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1-3381 |
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23-0962915 |
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(State or other jurisdiction of |
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(Commission |
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(I.R.S. Employer ID number) |
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incorporation or organization) |
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File No.) |
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3111 W. Allegheny Ave. Philadelphia, PA |
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19132 |
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(Address of principal executive offices) |
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(Zip code) |
215-430-9000
(Registrant’s telephone number, including area code)
Not Applicable
(Former name or former address, if changed from last report)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):
o Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
o Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
o Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
o Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
Item 2.02 Results of Operations and Financial Condition
On December 7, 2015, The Pep Boys – Manny, Moe & Jack issued a press release announcing its earnings for the fiscal quarter ended October 31, 2015.
The information in Items 2.02 and 9.01 (including the Exhibits filed herewith) of this Current Report is being furnished and shall not be deemed “filed” for the purposes of Section 18 of the Securities Exchange Act of 1934, as amended, or otherwise subject to the liabilities of that Section. The information in Items 2.02 and 9.01 (including the Exhibits filed herewith) of this Current Report shall not be incorporated by reference into any registration statement or other document pursuant to the Securities Act of 1933, as amended.
Item 9.01 Financial Statements and Exhibits
(d) Exhibits. The following exhibits are filed with this report:
Exhibit No. 99.1 Press release dated December 7, 2015.
Exhibit No. 99.2 Unaudited supplemental financial data.
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 hereunto duly authorized.
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THE PEP BOYS - MANNY, MOE & JACK | |
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By: |
/s/ DAVID R. STERN |
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David R. Stern |
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Executive Vice President and Chief Financial Officer |
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(Principal Financial Officer) |
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Date: December 7, 2015 |
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Exhibit 99.1
FOR IMMEDIATE RELEASE
Pep Boys Reports Third Quarter 2015 Results
PHILADELPHIA – December 7, 2015 – The Pep Boys – Manny, Moe & Jack (NYSE: “PBY”), the nation’s leading automotive aftermarket service and retail chain, announced the following results for the thirteen (third quarter) and thirty-nine (nine months) weeks ended October 31, 2015.
Third Quarter
Sales
Sales for the thirteen weeks ended October 31, 2015 decreased by $9.4 million, or 1.8%, to $508.1 million from $517.6 million for the thirteen weeks ended November 1, 2014. Comparable sales decreased 1.8%, consisting of a decrease of 2.5% in comparable service revenue and a decrease of 1.6% in comparable merchandise sales. In accordance with GAAP, service revenue is limited to labor sales, while merchandise sales include merchandise sold through both our service center and retail lines of business. Re-categorizing sales into the respective lines of business from which they are generated, comparable service center revenue decreased 1.5%, while comparable retail sales decreased 2.2%.
Earnings
Net earnings for the third quarter of fiscal 2015 were $1.3 million or $0.02 per share as compared to a net loss of $2.0 million or ($0.03 per share) recorded in the third quarter of fiscal 2014. The 2015 results included, on a pre-tax basis, a $6.0 million gain from the sale of two locations offset by a $0.8 million asset impairment charge, $2.9 million in merger and acquisition expense, $1.0 million in legal expense and $0.9 million in severance charges. The 2014 results included, on a pre-tax basis, a $1.4 million asset impairment charge and $1.4 million in severance charges.
Nine Months
Sales
Sales for the thirty-nine weeks ended October 31, 2015 decreased by $5.2 million, or 0.3%, to $1,576.9 million from $1,582.2 million for the thirty-nine weeks ended November 1, 2014. Comparable sales decreased 0.2%, consisting of a 0.5% comparable service revenue decrease and a 0.1% comparable merchandise sales decrease. Re-categorizing sales (see above), comparable service center revenue increased 0.3%, while comparable retail sales decreased 0.9%.
Earnings
Net earnings for the first nine months of 2015 were $18.0 million or $0.33 per share as compared to net a loss of $0.6 million or ($0.01 per share) for the first nine months of fiscal 2014. The
2015 results included, on a pre-tax basis, a $10.0 million sale of a leasehold interest and a gain of $6.5 million from the sale of five locations offset by a $3.3 million asset impairment charge, $3.4 million in expenses related to our annual meeting and strategic alternatives review and a $1.7 million severance charge. The 2014 results included, on a pre-tax basis, a $5.2 million asset impairment charge, a $4.0 million litigation charge and $2.4 million in severance charges. In addition, the 2014 results included a $0.9 million tax expense related to valuation allowances.
###
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Investor Contact: |
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David Stern |
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(215) 430-9727 |
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Email: [email protected] |
Pep Boys Financial Highlights
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Thirteen weeks ended |
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October 31, 2015 |
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November 1, 2014 |
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Total revenues |
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$ |
508,136,000 |
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$ |
517,584,000 |
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|
|
| ||
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Net earnings (loss) |
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$ |
1,266,000 |
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$ |
(1,964,000 |
) |
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|
|
|
|
|
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Basic earnings (loss) per share: |
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|
|
|
| ||
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Average shares |
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54,326,000 |
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53,590,000 |
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|
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Basic earnings (loss) per share: |
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$ |
0.02 |
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$ |
(0.03 |
) |
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Diluted earnings (loss) per share: |
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|
|
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Average shares |
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54,605,000 |
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53,590,000 |
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Diluted earnings (loss) per share: |
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$ |
0.02 |
|
$ |
(0.03 |
) |
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Thirty-nine weeks ended |
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October 31, 2015 |
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November 1, 2014 |
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Total revenues |
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$ |
1,576,943,000 |
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$ |
1,582,179,000 |
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Net earnings (loss) |
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$ |
17,970,000 |
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$ |
(625,000 |
) |
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Basic earnings (loss) per share: |
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|
|
|
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Average shares |
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54,214,000 |
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53,533,000 |
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|
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|
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Basic earnings (loss) per share: |
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$ |
0.33 |
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$ |
(0.01 |
) |
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Diluted earnings (loss) per share: |
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|
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Average shares |
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54,401,000 |
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53,533,000 |
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Diluted earnings (loss) per share: |
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$ |
0.33 |
|
$ |
(0.01 |
) |
Exhibit 99.2
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THE PEP BOYS - MANNY, MOE & JACK AND SUBSIDIARIES |
(UNAUDITED) |
CONSOLIDATED BALANCE SHEETS
(dollar amounts in thousands)
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October 31, 2015 |
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January 31, 2015 |
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November 1, 2014 |
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Assets |
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Current assets: |
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Cash and cash equivalents |
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$ |
71,332 |
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$ |
38,044 |
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$ |
36,430 |
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Accounts receivable, less allowance for uncollectible accounts of $1887, $1,604 and $1,616 |
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31,743 |
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31,013 |
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31,622 |
| |||
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Merchandise inventories |
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630,608 |
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656,957 |
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667,438 |
| |||
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Prepaid expenses |
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15,079 |
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27,952 |
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15,314 |
| |||
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Other current assets |
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48,219 |
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55,986 |
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51,470 |
| |||
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Assets held for disposal |
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500 |
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2,648 |
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4,636 |
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Total current assets |
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797,481 |
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812,600 |
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806,910 |
| |||
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Property and equipment, net of accumulated depreciation of $1,287,150, $1,251,797 and $1,257,988 |
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579,300 |
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604,380 |
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614,326 |
| |||
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Goodwill |
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32,869 |
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32,869 |
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56,794 |
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Deferred income taxes |
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49,103 |
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56,571 |
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57,070 |
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Other long-term assets |
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33,602 |
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35,321 |
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37,301 |
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Total assets |
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$ |
1,492,355 |
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$ |
1,541,741 |
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$ |
1,572,401 |
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Liabilities and stockholders’ equity |
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Current liabilities: |
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Accounts payable |
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$ |
219,903 |
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$ |
227,132 |
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$ |
217,066 |
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Trade payable program liability |
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127,765 |
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140,904 |
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145,105 |
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Accrued expenses |
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198,535 |
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226,176 |
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209,524 |
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Deferred income taxes |
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65,615 |
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61,216 |
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68,556 |
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Current maturities of long-term debt |
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2,000 |
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2,000 |
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2,000 |
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Total current liabilities |
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613,818 |
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657,428 |
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642,251 |
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Long-term debt less current maturities |
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192,500 |
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211,000 |
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229,500 |
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Other long-term liabilities |
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42,047 |
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45,567 |
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45,843 |
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Deferred gain from asset sales |
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96,298 |
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103,596 |
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105,370 |
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Commitments and contingencies |
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Stockholders’ equity: |
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Common stock, par value $1 per share: |
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Authorized 500,000,000 shares; issued 68,557,041 shares |
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68,557 |
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68,557 |
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68,557 |
| |||
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Additional paid-in capital |
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297,560 |
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298,299 |
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297,313 |
| |||
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Retained earnings |
|
407,854 |
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397,890 |
|
428,845 |
| |||
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Accumulated other comprehensive income |
|
(519 |
) |
(391 |
) |
43 |
| |||
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Treasury stock, at cost - 14,453,129 shares; 14,988,205 shares and 15,177,705 shares |
|
(225,760 |
) |
(240,205 |
) |
(245,321 |
) | |||
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Total stockholders’ equity |
|
547,692 |
|
524,150 |
|
549,437 |
| |||
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Total liabilities and stockholders’ equity |
|
$ |
1,492,355 |
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$ |
1,541,741 |
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$ |
1,572,401 |
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Supplemental balance sheet information: |
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|
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Working capital |
|
$ |
183,663 |
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$ |
155,172 |
|
$ |
164,659 |
|
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Current ratio |
|
1.30 |
|
1.24 |
|
1.26 |
| |||
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Accounts payable to inventory ratio |
|
55.1 |
% |
56.0 |
% |
54.3 |
% | |||
|
Total debt as a percent of total capitalization |
|
26.2 |
% |
28.9 |
% |
29.6 |
% | |||
|
Debt as a percent of total capitalization, net |
|
18.4 |
% |
25.0 |
% |
26.2 |
% | |||
THE PEP BOYS - MANNY, MOE & JACK AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (LOSS)
(dollar amounts in thousands, except per share amounts)
|
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|
Thirteen weeks ended |
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Thirty-nine weeks ended |
| ||||||||||||||||
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October 31, 2015 |
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November 1, 2014 |
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October 31, 2015 |
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November 1, 2014 |
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% |
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% |
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% |
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% |
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Amount |
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Sales |
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Amount |
|
Sales |
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Amount |
|
Sales |
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Amount |
|
Sales |
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Merchandise sales |
|
$ |
389,138 |
|
76.6 |
|
$ |
395,941 |
|
76.5 |
|
$ |
1,204,143 |
|
76.4 |
|
$ |
1,208,778 |
|
76.4 |
|
|
Service revenue |
|
118,998 |
|
23.4 |
|
121,643 |
|
23.5 |
|
372,800 |
|
23.6 |
|
373,401 |
|
23.6 |
| ||||
|
Total revenues |
|
508,136 |
|
100.0 |
|
517,584 |
|
100.0 |
|
1,576,943 |
|
100.0 |
|
1,582,179 |
|
100.0 |
| ||||
|
Costs of merchandise sales |
|
273,137 |
|
70.2 |
|
278,800 |
|
70.4 |
|
839,086 |
|
69.7 |
|
843,946 |
|
69.8 |
| ||||
|
Costs of service revenue |
|
117,202 |
|
98.5 |
|
120,450 |
|
99.0 |
|
358,720 |
|
96.2 |
|
362,473 |
|
97.1 |
| ||||
|
Total costs of revenues |
|
390,339 |
|
76.8 |
|
399,250 |
|
77.1 |
|
1,197,806 |
|
76.0 |
|
1,206,419 |
|
76.3 |
| ||||
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Gross profit from merchandise sales |
|
116,001 |
|
29.8 |
|
117,141 |
|
29.6 |
|
365,057 |
|
30.3 |
|
364,832 |
|
30.2 |
| ||||
|
Gross profit from service revenue |
|
1,796 |
|
1.5 |
|
1,193 |
|
1.0 |
|
14,080 |
|
3.8 |
|
10,928 |
|
2.9 |
| ||||
|
Total gross profit |
|
117,797 |
|
23.2 |
|
118,334 |
|
22.9 |
|
379,137 |
|
24.0 |
|
375,760 |
|
23.7 |
| ||||
|
Selling, general and administrative expenses |
|
119,372 |
|
23.5 |
|
117,651 |
|
22.7 |
|
357,487 |
|
22.7 |
|
365,345 |
|
23.1 |
| ||||
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Net gain (loss) from dispositions of assets |
|
6,000 |
|
1.2 |
|
(109 |
) |
— |
|
6,485 |
|
0.4 |
|
(519 |
) |
— |
| ||||
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Gain on sale from leasehold interest |
|
— |
|
— |
|
— |
|
— |
|
10,000 |
|
0.6 |
|
— |
|
— |
| ||||
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Operating profit |
|
4,425 |
|
0.9 |
|
574 |
|
0.1 |
|
38,135 |
|
2.4 |
|
9,896 |
|
0.6 |
| ||||
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Other income |
|
345 |
|
0.1 |
|
418 |
|
0.1 |
|
1,050 |
|
0.1 |
|
1,175 |
|
0.1 |
| ||||
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Interest expense |
|
(3,217 |
) |
(0.6 |
) |
(3,485 |
) |
(0.7 |
) |
(9,809 |
) |
(0.6 |
) |
(10,269 |
) |
(0.7 |
) | ||||
|
Earnings (loss) from continuing operations before income taxes and discontinued operations |
|
1,553 |
|
0.3 |
|
(2,493 |
) |
(0.5 |
) |
29,376 |
|
1.9 |
|
802 |
|
0.1 |
| ||||
|
Income tax (expense) benefit |
|
(476 |
) |
(30.7 |
)(1) |
723 |
|
29.0 |
(1) |
(11,702 |
) |
(39.8 |
)(1) |
(1,108 |
) |
(138.2 |
)(1) | ||||
|
Earnings (loss) from continuing operations before discontinued operations |
|
1,077 |
|
0.2 |
|
(1,770 |
) |
(0.3 |
) |
17,674 |
|
1.1 |
|
(306 |
) |
— |
| ||||
|
Earnings (loss) from discontinued operations, net of tax |
|
189 |
|
— |
|
(194 |
) |
— |
|
296 |
|
— |
|
(319 |
) |
— |
| ||||
|
Net earnings (loss) |
|
1,266 |
|
0.2 |
|
(1,964 |
) |
(0.4 |
) |
17,970 |
|
1.1 |
|
(625 |
) |
— |
| ||||
|
Basic earnings (loss) per share: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
|
Earnings (loss) from continuing operations before discontinued operations |
|
$ |
0.02 |
|
|
|
$ |
(0.03 |
) |
|
|
$ |
0.33 |
|
|
|
$ |
— |
|
|
|
|
Discontinued operations, net of tax |
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(0.01 |
) |
|
| ||||
|
Basic earnings (loss) per share |
|
$ |
0.02 |
|
|
|
$ |
(0.03 |
) |
|
|
$ |
0.33 |
|
|
|
$ |
(0.01 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
|
Diluted earnings (loss) per share: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
|
Earnings (loss) from continuing operations before discontinued operations |
|
$ |
0.02 |
|
|
|
$ |
(0.03 |
) |
|
|
$ |
0.33 |
|
|
|
$ |
— |
|
|
|
|
Discontinued operations, net of tax |
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(0.01 |
) |
|
| ||||
|
Diluted earnings (loss) per share |
|
$ |
0.02 |
|
|
|
$ |
(0.03 |
) |
|
|
$ |
0.33 |
|
|
|
$ |
(0.01 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
|
Other comprehensive income (loss): |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
|
Derivative financial instruments adjustment, net of tax |
|
(225 |
) |
|
|
(170 |
) |
|
|
(128 |
) |
|
|
(336 |
) |
|
| ||||
|
Comprehensive income (loss) |
|
$ |
1,041 |
|
|
|
$ |
(2,134 |
) |
|
|
$ |
17,842 |
|
|
|
$ |
(961 |
) |
|
|
(1) As a percentage of earnings from continuing operations before income taxes and discontinued operations.
THE PEP BOYS - MANNY, MOE & JACK AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH FLOWS
(dollar amounts in thousands)
|
Thirty-nine weeks ended |
|
October 31, 2015 |
|
November 1, 2014 |
| ||
|
|
|
|
|
|
| ||
|
Cash flows from operating activities: |
|
|
|
|
| ||
|
Net earnings (loss) |
|
$ |
17,970 |
|
$ |
(625 |
) |
|
Adjustments to reconcile net earnings to net cash provided by continuing operations: |
|
|
|
|
| ||
|
Net (earnings) loss from discontinued operations |
|
(296 |
) |
319 |
| ||
|
Depreciation |
|
49,326 |
|
55,518 |
| ||
|
Amortization of deferred gain from asset sales |
|
(9,743 |
) |
(9,453 |
) | ||
|
Amortization of deferred financing costs |
|
1,878 |
|
1,937 |
| ||
|
Stock compensation expense |
|
3,343 |
|
1,533 |
| ||
|
Deferred income taxes |
|
11,926 |
|
(66 |
) | ||
|
Net (gain) loss from dispositions of assets |
|
(6,485 |
) |
519 |
| ||
|
Loss from asset impairment |
|
3,251 |
|
5,243 |
| ||
|
Other |
|
(592 |
) |
(238 |
) | ||
|
Changes in assets and liabilities, net of the effects of acquisitions: |
|
|
|
|
| ||
|
Decrease in accounts receivable, prepaid expenses and other |
|
19,743 |
|
19,644 |
| ||
|
Decrease in merchandise inventories |
|
26,349 |
|
4,916 |
| ||
|
Decrease in accounts payable |
|
(5,888 |
) |
(36,494 |
) | ||
|
Decrease in accrued expenses |
|
(26,583 |
) |
(28,363 |
) | ||
|
Decrease in other long-term liabilities |
|
(3,234 |
) |
(2,182 |
) | ||
|
Net cash provided by continuing operations |
|
80,965 |
|
12,208 |
| ||
|
Net cash used in discontinued operations |
|
(19 |
) |
(583 |
) | ||
|
Net cash provided by operating activities |
|
80,946 |
|
11,625 |
| ||
|
|
|
|
|
|
| ||
|
Cash flows from investing activities: |
|
|
|
|
| ||
|
Capital expenditures |
|
(32,375 |
) |
(54,975 |
) | ||
|
Proceeds from dispositions of assets |
|
13,483 |
|
56 |
| ||
|
Net cash used in investing activities |
|
(18,892 |
) |
(54,919 |
) | ||
|
|
|
|
|
|
| ||
|
Cash flows from financing activities: |
|
|
|
|
| ||
|
Borrowings under line of credit agreements |
|
125,885 |
|
479,438 |
| ||
|
Payments under line of credit agreements |
|
(142,885 |
) |
(447,938 |
) | ||
|
Borrowings on trade payable program liability |
|
117,487 |
|
143,614 |
| ||
|
Payments on trade payable program liability |
|
(130,625 |
) |
(128,310 |
) | ||
|
Debt payments |
|
(1,500 |
) |
(1,500 |
) | ||
|
Proceeds from stock issuance |
|
2,872 |
|
989 |
| ||
|
Net cash (used in) provided by financing activities |
|
(28,766 |
) |
46,293 |
| ||
|
Net increase in cash and cash equivalents |
|
33,288 |
|
2,999 |
| ||
|
Cash and cash equivalents at beginning of period |
|
38,044 |
|
33,431 |
| ||
|
Cash and cash equivalents at end of period |
|
$ |
71,332 |
|
$ |
36,430 |
|
|
|
|
|
|
|
| ||
|
Supplemental cash flow information: |
|
|
|
|
| ||
|
Cash paid for income taxes |
|
$ |
981 |
|
$ |
845 |
|
|
Cash received from income tax refunds |
|
$ |
— |
|
$ |
244 |
|
|
Cash paid for interest |
|
$ |
8,003 |
|
$ |
8,482 |
|
|
Accrued purchases of property and equipment |
|
$ |
1,308 |
|
$ |
1,350 |
|
|
THE PEP BOYS - MANNY, MOE & JACK AND SUBSIDIARIES |
|
|
|
|
|
COMPUTATION OF BASIC AND DILUTED EARNINGS PER SHARE |
(in thousands, except per share data) |
|
|
|
|
|
Thirteen weeks ended |
|
Thirty-nine weeks ended |
| ||||||||
|
|
|
|
|
October 31, 2015 |
|
November 1, 2014 |
|
October 31, 2015 |
|
November 1, 2014 |
| ||||
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
|
(a) |
Earnings (loss) from continuing operations before discontinued operations |
|
|
$ |
1,077 |
|
$ |
(1,770 |
) |
$ |
17,674 |
|
$ |
(306 |
) |
|
|
Earnings (loss) from discontinued operations, net of tax |
|
|
189 |
|
(194 |
) |
296 |
|
(319 |
) | ||||
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
|
|
Net earnings (loss) |
|
|
$ |
1,266 |
|
$ |
(1,964 |
) |
$ |
17,970 |
|
$ |
(625 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
|
(b) |
Basic average number of common shares outstanding during period |
|
|
54,326 |
|
53,590 |
|
54,214 |
|
53,533 |
| ||||
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
|
|
Common shares assumed issued upon exercise of dilutive stock options, net of assumed repurchase, at the average market price |
|
|
279 |
|
— |
|
187 |
|
— |
| ||||
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
|
(c) |
Diluted average number of common shares assumed outstanding during period |
|
|
54,605 |
|
53,590 |
|
54,401 |
|
53,533 |
| ||||
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
|
|
Basic earnings per share: |
|
|
|
|
|
|
|
|
|
| ||||
|
|
Earnings from continuing operations before discontinued operations |
(a) / (b) |
|
$ |
0.02 |
|
$ |
(0.03 |
) |
$ |
0.33 |
|
$ |
— |
|
|
|
Discontinued operations, net of tax |
|
|
— |
|
— |
|
— |
|
(0.01 |
) | ||||
|
|
Basic earnings per share |
|
|
$ |
0.02 |
|
$ |
(0.03 |
) |
$ |
0.33 |
|
$ |
(0.01 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
|
|
Diluted earnings per share: |
|
|
|
|
|
|
|
|
|
| ||||
|
|
Earnings from continuing operations before discontinued operations |
(a) / (c) |
|
$ |
0.02 |
|
$ |
(0.03 |
) |
$ |
0.33 |
|
$ |
— |
|
|
|
Discontinued operations, net of tax |
|
|
— |
|
— |
|
— |
|
(0.01 |
) | ||||
|
|
Diluted earnings per share |
|
|
$ |
0.02 |
|
$ |
(0.03 |
) |
$ |
0.33 |
|
$ |
(0.01 |
) |
|
THE PEP BOYS - MANNY, MOE & JACK AND SUBSIDIARIES |
|
|
ADDITIONAL INFORMATION |
(dollar amounts in thousands) |
|
|
|
Thirteen weeks ended |
|
Thirty-nine weeks ended |
| ||||||||
|
|
|
October 31, 2015 |
|
November 1, 2014 |
|
October 31, 2015 |
|
November 1, 2014 |
| ||||
|
|
|
|
|
|
|
|
|
|
| ||||
|
Capital expenditures |
|
$ |
10,273 |
|
$ |
15,965 |
|
$ |
32,375 |
|
$ |
54,975 |
|
|
Depreciation |
|
$ |
16,131 |
|
$ |
19,172 |
|
$ |
49,326 |
|
$ |
55,518 |
|
|
Non-operating income: |
|
|
|
|
|
|
|
|
| ||||
|
Net rental revenue |
|
$ |
263 |
|
$ |
358 |
|
$ |
844 |
|
$ |
1,040 |
|
|
Investment income |
|
64 |
|
59 |
|
175 |
|
152 |
| ||||
|
Other income |
|
18 |
|
1 |
|
31 |
|
(17 |
) | ||||
|
Total |
|
$ |
345 |
|
$ |
418 |
|
$ |
1,050 |
|
$ |
1,175 |
|
|
|
|
|
|
|
|
|
|
|
| ||||
|
Comparable sales percentages: |
|
|
|
|
|
|
|
|
| ||||
|
Service |
|
-2.5 |
% |
6.1 |
% |
-0.5 |
% |
4.9 |
% | ||||
|
Merchandise |
|
-1.6 |
% |
-0.2 |
% |
-0.1 |
% |
-2.3 |
% | ||||
|
Total |
|
-1.8 |
% |
1.2 |
% |
-0.2 |
% |
-0.7 |
% | ||||
|
|
|
|
|
|
|
|
|
|
| ||||
|
Total square feet of retail space (including service centers) |
|
|
|
|
|
12,899,000 |
|
12,922,000 |
| ||||
|
|
|
|
|
|
|
|
|
|
| ||||
|
Store count |
|
|
|
|
|
|
|
|
| ||||
|
Supercenter |
|
|
|
|
|
561 |
|
563 |
| ||||
|
Service & Tire Center |
|
|
|
|
|
238 |
|
233 |
| ||||
|
Retail Only |
|
|
|
|
|
5 |
|
6 |
| ||||
|
Total |
|
|
|
|
|
804 |
|
802 |
| ||||
|
|
|
|
|
|
|
|
|
|
| ||||
|
Sales and gross profit by line of business (A): |
|
|
|
|
|
|
|
|
| ||||
|
Service center revenue |
|
$ |
286,183 |
|
$ |
289,375 |
|
$ |
877,872 |
|
871,590 |
| |
|
Retail sales |
|
221,953 |
|
228,209 |
|
699,071 |
|
710,589 |
| ||||
|
Total revenues |
|
$ |
508,136 |
|
$ |
517,584 |
|
$ |
1,576,943 |
|
$ |
1,582,179 |
|
|
|
|
|
|
|
|
|
|
|
| ||||
|
Gross profit from service center revenue, prior to impairment charge |
|
$ |
60,174 |
|
$ |
58,817 |
|
$ |
192,144 |
|
185,616 |
| |
|
Service center revenue impairment charge |
|
(315 |
) |
(1,144 |
) |
(1,673 |
) |
(3,479 |
) | ||||
|
Gross profit from service center revenue |
|
$ |
59,859 |
|
$ |
57,673 |
|
$ |
190,471 |
|
$ |
182,137 |
|
|
|
|
|
|
|
|
|
|
|
| ||||
|
Gross profit from retail sales, prior to impairment charge |
|
$ |
58,399 |
|
$ |
60,922 |
|
$ |
190,245 |
|
195,387 |
| |
|
Retail sales impairment charge |
|
(461 |
) |
(261 |
) |
(1,579 |
) |
(1,764 |
) | ||||
|
Gross profit from retail sales |
|
$ |
57,938 |
|
$ |
60,661 |
|
$ |
188,666 |
|
$ |
193,623 |
|
|
|
|
|
|
|
|
|
|
|
| ||||
|
Total gross profit |
|
$ |
117,797 |
|
$ |
118,334 |
|
$ |
379,137 |
|
$ |
375,760 |
|
|
|
|
|
|
|
|
|
|
|
| ||||
|
Comparable sales percentages by line of business (A): |
|
|
|
|
|
|
|
|
| ||||
|
Service center revenue |
|
-1.5 |
% |
3.7 |
% |
0.3 |
% |
0.8 |
% | ||||
|
Retail sales |
|
-2.2 |
% |
-1.8 |
% |
-0.9 |
% |
-2.4 |
% | ||||
|
Total revenues |
|
-1.8 |
% |
1.2 |
% |
-0.2 |
% |
-0.7 |
% | ||||
|
|
|
|
|
|
|
|
|
|
| ||||
|
Gross profit percentage by line of business (A): |
|
|
|
|
|
|
|
|
| ||||
|
Gross profit percentage from service center revenue, prior to impairment charge |
|
21.0 |
% |
20.3 |
% |
21.9 |
% |
21.3 |
% | ||||
|
Impairment charge |
|
(0.1 |
) |
(0.4 |
) |
(0.2 |
) |
(0.4 |
) | ||||
|
Gross profit percentage from service center revenue |
|
20.9 |
% |
19.9 |
% |
21.7 |
% |
20.9 |
% | ||||
|
|
|
|
|
|
|
|
|
|
| ||||
|
Gross profit percentage from retail sales, prior to impairment charge |
|
26.3 |
% |
26.7 |
% |
27.2 |
% |
27.5 |
% | ||||
|
Impairment charge |
|
(0.2 |
) |
(0.1 |
) |
(0.2 |
) |
(0.2 |
) | ||||
|
Gross profit percentage from retail sales |
|
26.1 |
% |
26.6 |
% |
27.0 |
% |
27.2 |
% | ||||
|
|
|
|
|
|
|
|
|
|
| ||||
|
Total gross profit percentage |
|
23.2 |
% |
22.9 |
% |
24.0 |
% |
23.7 |
% | ||||
(A) Retail sales include DIY and commercial sales. Service center revenue includes revenue from labor and installed parts and tires.