Company profile

Ticker
JCG
Exchange
Employees
Incorporated in
Location
Fiscal year end
SEC CIK
IRS number
222894486

Calendar

13 Sep 19
19 Sep 19
1 Feb 20

News

Company financial data Financial data

Quarter (USD) Aug 19 May 19 Feb 19 Nov 18
Revenue 588.83M 578.51M 733.77M 622.2M
Net income -44.22M -16.23M -74.36M -5.7M
Net profit margin -7.51% -2.81% -10.13% -0.92%
Operating income -1.54M 22.11M -64.24M 32.66M
Net change in cash -3.06M 4.5M -6.12M -2.88M
Cash on hand 27.17M 30.24M 25.74M 31.86M
Cost of revenue 379.38M 364.73M 569.35M 383.76M
Annual (USD) Feb 19 Jan 17 Jan 16 Jan 15
Revenue 2.48B 2.43B 2.51B 2.58B
Net income -120.08M -23.73M -1.24B -657.77M
Net profit margin -4.83% -0.98% -49.59% -25.50%
Operating income 868K 49.25M -1.32B -585.02M
Net change in cash -106.49M 44.41M -23.29M
Cash on hand 25.74M 132.23M 87.81M 111.1M
Cost of revenue 1.65B 1.55B 1.61B 1.61B

Financial data from J Crew earnings reports

Financial report summary

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Risks
  • If we are unable to predict fashion trends or react to changing consumer preferences in a timely manner, our sales will decrease, or we may need to sell excess inventory at marked-down prices, which would decrease our gross profits and net income.
  • Unfavorable economic conditions could materially adversely affect our financial condition and results of operations.
  • We rely on the experience and skills of key personnel, the loss of whom could have a material adverse effect on our business.
  • Our expanded product offerings, new sales channels, new brands and concepts and international expansion may not be successful, and implementation or failure of these strategies may divert our operational, managerial, financial and administrative resources, which could impact our competitive position.
  • Our growth strategy depends on the successful execution of our efforts to grow our brands, enhance our omni-channel shopping experience and expand internationally.
  • Compromises of our data security could cause us to incur unexpected expenses and loss of revenues and may materially harm our reputation and business.
  • If we fail to maintain the value of our brands and protect our trademarks, our sales are likely to decline.
  • Our real estate strategy may not be successful, and store locations may fail to produce desired results, which could impact our competitive position and profitability.
  • Reductions in the volume of mall traffic or closing of shopping malls as a result of unfavorable economic conditions or changing demographic patterns could significantly reduce our sales and leave us with excess inventory.
  • Interruption in our foreign sourcing operations could disrupt production, shipment or receipt of our merchandise, which would result in lost sales and could increase our costs.
  • Increases in the demand for, or the price of, raw materials used to manufacture our products or other fluctuations in sourcing or distribution costs could increase our costs and hurt our profitability.
  • Any significant interruption in the operations of our customer call, order fulfillment and distribution centers could disrupt our ability to process customer orders and to deliver our merchandise in a timely manner.
  • Third party failure to deliver merchandise to our distribution centers, stores and retail or wholesale customers or a disruption or adverse condition affecting our distribution centers could result in lost sales or reduced demand for our merchandise.
  • Our ability to source our merchandise profitably or at all could be hurt if new trade restrictions are imposed, existing trade restrictions become more burdensome or disruptions occur at our suppliers or at the ports.
  • If our independent manufacturers do not use ethical business practices or comply with applicable laws and regulations, our brands could be harmed due to negative publicity.
  • We are subject to customs, advertising, consumer protection, data privacy, product safety, zoning and occupancy and labor and employment laws that could require us to modify our current business practices, incur increased costs or harm our reputation if we do not comply.
  • Fluctuations in our results of operations for the fourth fiscal quarter would have a disproportionate effect on our overall financial condition and results of operations.
  • We have recognized substantial goodwill and intangible asset impairment losses in the past and may be required to recognize additional non-cash impairment losses in the future.
  • We may be a party to legal proceedings in the future that could adversely affect our business.
  • We could be subject to changes in our tax rates and the adoption of new U.S. or international tax legislation or exposed to additional tax liabilities in connection with our international operations, which could negatively impact our financial results.
  • Our substantial indebtedness and lease obligations could adversely affect our ability to raise additional capital to fund our operations and make strategic investments, limit our ability to react to changes in the economy or our industry, expose us to interest rate risk to the extent of our variable rate debt and prevent us from meeting our obligations under our indebtedness.
  • Our debt agreements contain restrictions that limit our flexibility in operating our business.
  • To service our indebtedness, we will require a significant amount of cash and our ability to generate cash depends on many factors beyond our control.
Management Discussion
  • J.Crew is an internationally recognized multi-brand apparel and accessories retailer that differentiates itself through high standards of quality, style, design and fabrics. We are a vertically-integrated, omni-channel specialty retailer that operates stores and websites both domestically and internationally. We generate approximately half of our net sales through our e-commerce business. We design our products, including those under the J.Crew® and Madewell® brands, to offer complete assortments of women’s, men’s and children’s apparel and accessories.
  • As of February 2, 2019, we operated 203 J.Crew retail stores, 174 J.Crew factory stores (including 42 J.Crew Mercantile stores) and 129 Madewell stores throughout the United States, Canada, the United Kingdom and Hong Kong; compared to 235 J.Crew retail stores, 176 J.Crew factory stores (including 42 J.Crew Mercantile stores) and 121 Madewell stores as of February 3, 2018.
  • In assessing the performance of our business, we consider a variety of performance and financial measures. A key measure used in evaluating our business is comparable company sales. We also consider gross profit and selling, general and administrative expenses in assessing the performance of our business.
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New words: broader, deleverage, fail, involve, lead, methodology, motivating, Nordstrom, pendency, pursue, pursuing, review, significantly, yield
Removed: collect, hundred, Mercantile, percent, reinvest, relocating