Annual report pursuant to Section 13 and 15(d)

CONDENSED CONSOLIDATED FINANCIAL INFORMATION (Tables)

v3.20.1
CONDENSED CONSOLIDATED FINANCIAL INFORMATION (Tables)
12 Months Ended
Feb. 01, 2020
CONDENSED CONSOLIDATED FINANCIAL INFORMATION  
Schedule of Condensed Consolidated Balance Sheets

Michaels Stores, Inc.

Condensed Consolidated Balance Sheets

(in thousands)

February 1,

February 2,

ASSETS

    

2020

2019

Current assets:

Cash and equivalents

$

409,173

$

245,108

Merchandise inventories

 

1,097,109

 

1,108,715

Prepaid expenses and other current assets

 

92,601

 

160,767

Total current assets

 

1,598,883

 

1,514,590

Property and equipment, net

 

430,432

 

439,077

Operating lease assets

1,610,013

Goodwill

 

94,290

 

112,069

Other intangible assets, net

66,417

17,238

Other assets

 

37,146

 

44,429

Total assets

$

3,837,181

$

2,127,403

LIABILITIES AND STOCKHOLDERS’ DEFICIT

Current liabilities:

Accounts payable

$

476,298

$

485,004

Accrued liabilities and other

 

346,657

 

378,313

Current portion of operating lease liabilities

306,796

Current portion of long-term debt

 

24,900

 

24,900

Other current liabilities

 

41,236

 

43,907

Total current liabilities

 

1,195,887

 

932,124

Long-term debt

 

2,644,460

 

2,681,000

Long-term operating lease liabilities

1,357,821

Other liabilities

 

141,582

 

199,705

Total stockholders’ deficit

 

(1,502,569)

 

(1,685,426)

Total liabilities and stockholders’ deficit

$

3,837,181

$

2,127,403

Schedule of Condensed Consolidated Statements of Comprehensive Income

Michaels Stores, Inc.

Condensed Consolidated Statements of Comprehensive Income

(in thousands)

Fiscal Year

    

2019

    

2018

    

2017

Net sales

$

5,072,037

$

5,271,944

$

5,361,960

Cost of sales and occupancy expense

 

3,199,780

 

3,248,276

 

3,233,171

Gross profit

 

1,872,257

 

2,023,668

 

2,128,789

Selling, general and administrative

 

1,303,350

 

1,350,371

 

1,389,334

Restructure and impairment charges

48,332

104,238

Store pre-opening costs

 

4,608

 

4,417

 

2,999

Operating income

 

515,967

 

564,642

 

736,456

Interest and other expense

 

156,682

 

146,572

 

129,657

Income before income taxes

 

359,285

 

418,070

 

606,799

Income taxes

 

85,995

 

97,751

 

215,820

Net income

$

273,290

$

320,319

$

390,979

Other comprehensive income, net of tax:

Foreign currency and interest rate swaps

 

(8,273)

 

(10,898)

 

10,564

Comprehensive income

$

265,017

$

309,421

$

401,543

Schedule of Condensed Consolidated Statements of Cash Flows

Michaels Stores, Inc.

Condensed Consolidated Statements of Cash Flows

(in thousands)

Fiscal Year

    

2019

    

2018

    

2017

Cash flows from operating activities:

Net cash provided by operating activities

$

490,732

$

443,275

$

535,544

Cash flows from investing activities:

Additions to property and equipment

 

(120,545)

 

(145,387)

 

(127,830)

Acquisition of intangible assets

(58,000)

Net cash used in investing activities

(178,545)

(145,387)

(127,830)

Cash flows from financing activities:

Net repayments of debt

 

(558,100)

(380,300)

(413,325)

Net borrowings of debt

523,200

355,400

382,200

Payment of dividend to Michaels Funding, Inc.

(105,060)

(451,892)

(245,514)

Payment of debt refinancing costs

(8,162)

(1,117)

Net cash used in financing activities

 

(148,122)

(477,909)

(276,639)

Net change in cash and equivalents

 

164,065

(180,021)

131,075

Cash and equivalents at beginning of period

 

245,108

425,129

294,054

Cash and equivalents at end of period

$

409,173

$

245,108

$

425,129