Quarterly report pursuant to Section 13 or 15(d)

CONDENSED CONSOLIDATED FINANCIAL INFORMATION (Tables)

v3.7.0.1
CONDENSED CONSOLIDATED FINANCIAL INFORMATION (Tables)
6 Months Ended
Jul. 29, 2017
CONDENSED CONSOLIDATED FINANCIAL INFORMATION  
Schedule of Condensed Consolidated Balance Sheets

Michaels Stores, Inc.

Condensed Consolidated Balance Sheets

(in thousands)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

ASSETS

    

July 29,
2017

 

January 28,
2017

 

July 30,
2016

Current assets:

 

 

 

 

 

 

 

 

 

Cash and equivalents

 

$

133,356

 

$

294,054

 

$

110,100

Merchandise inventories

 

 

1,195,495

 

 

1,127,777

 

 

1,145,422

Prepaid expenses and other current assets

 

 

115,662

 

 

116,072

 

 

112,336

Total current assets

 

 

1,444,513

 

 

1,537,903

 

 

1,367,858

Property and equipment, net

 

 

407,694

 

 

413,164

 

 

398,688

Goodwill

 

 

119,074

 

 

119,074

 

 

119,074

Other assets

 

 

72,679

 

 

73,201

 

 

77,503

Total assets

 

$

2,043,960

 

$

2,143,342

 

$

1,963,123

 

 

 

 

 

 

 

 

 

 

LIABILITIES AND STOCKHOLDERS’ DEFICIT

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current liabilities:

 

 

 

 

 

 

 

 

 

Accounts payable

 

$

510,818

 

$

517,268

 

$

462,099

Accrued liabilities and other

 

 

391,047

 

 

395,745

 

 

353,854

Current portion of long-term debt

 

 

112,125

 

 

31,125

 

 

66,900

Other current liabilities

 

 

30,022

 

 

123,258

 

 

3,087

Total current liabilities

 

 

1,044,012

 

 

1,067,396

 

 

885,940

Long-term debt

 

 

2,712,475

 

 

2,723,187

 

 

2,735,187

Other liabilities

 

 

107,853

 

 

103,972

 

 

103,296

Total stockholders’ deficit

 

 

(1,820,380)

 

 

(1,751,213)

 

 

(1,761,300)

Total liabilities and stockholders’ deficit

 

$

2,043,960

 

$

2,143,342

 

$

1,963,123

 

Schedule of Condensed Consolidated Statements of Comprehensive Income

 

Michaels Stores, Inc.

Condensed Consolidated Statements of Comprehensive Income

(in thousands)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

13 Weeks Ended

 

26 Weeks Ended

 

 

July 29,

 

July 30,

 

July 29,

 

July 30,

 

    

2017

    

2016

    

2017

    

2016

Net sales

 

$

1,072,593

 

$

1,060,353

 

$

2,231,156

 

$

2,219,233

Cost of sales and occupancy expense

 

 

670,082

 

 

669,656

 

 

1,361,012

 

 

1,363,785

Gross profit

 

 

402,511

 

 

390,697

 

 

870,144

 

 

855,448

Selling, general and administrative

 

 

313,473

 

 

302,146

 

 

640,938

 

 

619,411

Other operating expense

 

 

662

 

 

908

 

 

1,640

 

 

2,534

Operating income

 

 

88,376

 

 

87,643

 

 

227,566

 

 

233,503

Interest and other expense

 

 

32,405

 

 

31,849

 

 

62,801

 

 

64,519

Income before income taxes

 

 

55,971

 

 

55,794

 

 

164,765

 

 

168,984

Income taxes

 

 

20,162

 

 

19,825

 

 

56,795

 

 

61,917

Net income

 

$

35,809

 

$

35,969

 

$

107,970

 

$

107,067

 

 

 

 

 

 

 

 

 

 

 

 

 

Other comprehensive income, net of tax:

 

 

 

 

 

 

 

 

 

 

 

 

Foreign currency translation adjustment and other

 

 

13,944

 

 

(4,759)

 

 

8,672

 

 

9,450

Comprehensive income

 

$

49,753

 

$

31,210

 

$

116,642

 

$

116,517

 

Schedule of Condensed Consolidated Statements of Cash Flows

Michaels Stores, Inc.

Condensed Consolidated Statements of Cash Flows

(in thousands)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

26 Weeks Ended

 

 

July 29,
2017

 

July 30,
2016

Cash flows from operating activities:

 

 

 

 

 

 

Net cash used in operating activities

 

$

(644)

 

$

(11,866)

 

 

 

 

 

 

 

Cash flows from investing activities:

 

 

 

 

 

 

Additions to property and equipment

 

 

(43,120)

 

 

(38,395)

Acquisition of Lamrite West, net of cash acquired

 

 

 —

 

 

(151,100)

Net cash used in investing activities

 

 

(43,120)

 

 

(189,495)

 

 

 

 

 

 

 

Cash flows from financing activities:

 

 

 

 

 

 

Net repayments of debt

 

 

(70,550)

 

 

(12,450)

Net borrowings of debt

 

 

139,100

 

 

42,000

Payment of dividend to Michaels Funding, Inc.

 

 

(185,484)

 

 

(126,962)

Other financing activities

 

 

 —

 

 

4,223

Net cash used in financing activities

 

 

(116,934)

 

 

(93,189)

 

 

 

 

 

 

 

Net change in cash and equivalents

 

 

(160,698)

 

 

(294,550)

Cash and equivalents at beginning of period

 

 

294,054

 

 

404,650

Cash and equivalents at end of period

 

$

133,356

 

$

110,100