Quarterly report pursuant to Section 13 or 15(d)

CONDENSED CONSOLIDATED FINANCIAL INFORMATION (Tables)

v3.20.2
CONDENSED CONSOLIDATED FINANCIAL INFORMATION (Tables)
9 Months Ended
Oct. 31, 2020
CONDENSED CONSOLIDATED FINANCIAL INFORMATION  
Schedule of Condensed Consolidated Balance Sheets

Michaels Stores, Inc.

Condensed Consolidated Balance Sheets

(in thousands)

October 31,

February 1,

November 2,

ASSETS

    

2020

2020

2019

Current assets:

Cash and equivalents

$

851,203

$

409,173

$

117,597

Merchandise inventories

 

1,170,504

 

1,097,109

 

1,423,367

Prepaid expenses and other current assets

 

93,872

 

92,601

 

100,165

Total current assets

 

2,115,579

 

1,598,883

 

1,641,129

Property and equipment, net

 

415,528

 

430,432

 

431,932

Operating lease assets

1,542,059

1,610,013

1,613,527

Goodwill

 

94,290

 

94,290

 

94,290

Other intangible assets, net

58,666

66,417

5,043

Other assets

 

36,392

 

37,146

 

58,347

Total assets

$

4,262,514

$

3,837,181

$

3,844,268

LIABILITIES AND STOCKHOLDERS’ DEFICIT

Current liabilities:

Accounts payable

$

895,200

$

476,298

$

658,182

Accrued liabilities and other

 

452,267

 

346,657

 

373,710

Current portion of operating lease liabilities

321,868

306,796

303,023

Current portion of long-term debt

 

16,700

 

24,900

 

24,900

Income taxes payable

 

48,064

 

41,236

 

22,520

Total current liabilities

 

1,734,099

 

1,195,887

 

1,382,335

Long-term debt

 

2,483,702

 

2,644,460

 

2,649,756

Long-term operating lease liabilities

1,314,987

1,357,821

1,374,555

Other liabilities

 

173,616

 

141,582

 

125,819

Total stockholders’ deficit

 

(1,443,890)

 

(1,502,569)

 

(1,688,197)

Total liabilities and stockholders’ deficit

$

4,262,514

$

3,837,181

$

3,844,268

Schedule of Condensed Consolidated Statements of Comprehensive Income

Michaels Stores, Inc.

Condensed Consolidated Statements of Comprehensive Income

(in thousands)

13 Weeks Ended

39 Weeks Ended

October 31,

November 2,

October 31,

November 2,

    

2020

    

2019

    

2020

    

2019

Net sales

$

1,406,212

$

1,222,021

$

3,354,270

$

3,349,430

Cost of sales and occupancy expense

 

824,496

780,387

 

2,208,220

 

2,123,171

Gross profit

 

581,716

 

441,634

 

1,146,050

 

1,226,259

Selling, general and administrative

 

372,167

322,563

 

942,075

 

932,777

Restructure and impairment charges

9,388

41,376

9,388

48,332

Store pre-opening costs

 

184

1,402

 

1,528

 

4,370

Operating income

 

199,977

 

76,293

 

193,059

 

240,780

Interest and other expense, net

 

37,502

38,863

 

110,810

 

119,218

Losses on early extinguishment of debt and refinancing costs

 

22,044

161

22,044

1,316

Income before income taxes

 

140,431

 

37,269

 

60,205

 

120,246

Income taxes

 

28,530

8,381

 

19,198

 

28,780

Net income

$

111,901

$

28,888

$

41,007

$

91,466

Other comprehensive income, net of tax:

Foreign currency and cash flow hedges

 

3,910

 

1,230

 

(1,466)

 

(8,358)

Comprehensive income

$

115,811

$

30,118

$

39,541

$

83,108

Schedule of Condensed Consolidated Statements of Cash Flows

Michaels Stores, Inc.

Condensed Consolidated Statements of Cash Flows

(in thousands)

39 Weeks Ended

October 31,

November 2,

2020

2019

Cash flows from operating activities:

Net cash provided by operating activities

$

711,860

$

104,014

Cash flows from investing activities:

Additions to property and equipment

 

(79,545)

 

(89,632)

Proceeds from sale of building

875

Net cash used in investing activities

(78,670)

(89,632)

Cash flows from financing activities:

Net repayments of debt

 

(1,141,775)

 

(539,775)

Net borrowings of debt

975,000

511,100

Payment of debt refinancing costs

(24,267)

(8,158)

Payment of dividend to Michaels Funding, Inc.

(105,060)

Other financing activities

(118)

Net cash used in financing activities

 

(191,160)

 

(141,893)

Net change in cash and equivalents

 

442,030

 

(127,511)

Cash and equivalents at beginning of period

 

409,173

 

245,108

Cash and equivalents at end of period

$

851,203

$

117,597