Document And Entity Information
Document And Entity Information - shares | 3 Months Ended | |
Sep. 30, 2018 | Nov. 02, 2018 | |
Document Information [Line Items] | ||
Entity Registrant Name | 1 800 FLOWERS COM INC | |
Entity Central Index Key | 1,084,869 | |
Trading Symbol | flws | |
Current Fiscal Year End Date | --06-30 | |
Entity Filer Category | Accelerated Filer | |
Entity Current Reporting Status | Yes | |
Entity Emerging Growth Company | false | |
Entity Small Business | false | |
Document Type | 10-Q | |
Document Period End Date | Sep. 30, 2018 | |
Document Fiscal Year Focus | 2,019 | |
Document Fiscal Period Focus | Q1 | |
Amendment Flag | false | |
Common Class A [Member] | ||
Document Information [Line Items] | ||
Entity Common Stock, Shares Outstanding (in shares) | 35,635,548 | |
Common Class B [Member] | ||
Document Information [Line Items] | ||
Entity Common Stock, Shares Outstanding (in shares) | 28,542,823 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets (Current Period Unaudited) - USD ($) | Sep. 30, 2018 | Jul. 01, 2018 |
Current assets: | ||
Cash and cash equivalents | $ 27,016,000 | $ 147,240,000 |
Trade receivables, net | 30,735,000 | 12,935,000 |
Inventories | 160,680,000 | 88,825,000 |
Prepaid and other | 25,998,000 | 24,021,000 |
Total current assets | 244,429,000 | 273,021,000 |
Property, plant and equipment, net | 160,350,000 | 163,340,000 |
Goodwill | 62,590,000 | 62,590,000 |
Other intangibles, net | 59,606,000 | 59,823,000 |
Other assets | 13,630,000 | 12,115,000 |
Total assets | 540,605,000 | 570,889,000 |
Current liabilities: | ||
Accounts payable | 33,200,000 | 41,437,000 |
Accrued expenses | 70,896,000 | 73,299,000 |
Current maturities of long-term debt | 10,781,000 | 10,063,000 |
Total current liabilities | 114,877,000 | 124,799,000 |
Long-term debt | 89,617,000 | 92,267,000 |
Deferred tax liabilities | 25,941,000 | 26,200,000 |
Other liabilities | 14,186,000 | 12,719,000 |
Total liabilities | 244,621,000 | 255,985,000 |
Commitments and contingencies (See Note 13) | ||
Stockholders’ equity: | ||
Preferred stock, $0.01 par value, 10,000,000 shares authorized, none issued | ||
Additional paid-in-capital | 343,038,000 | 341,783,000 |
Retained earnings | 57,283,000 | 73,429,000 |
Accumulated other comprehensive loss | (190,000) | (200,000) |
Treasury stock, at cost, 16,271,612 and 15,978,790 Class A shares at September 30, 2018 and July 1, 2018, respectively, and 5,280,000 Class B shares at September 30, 2018 and July 1, 2018 | (105,006,000) | (100,966,000) |
Total stockholders’ equity | 295,984,000 | 314,904,000 |
Total liabilities and stockholders’ equity | 540,605,000 | 570,889,000 |
Common Class A [Member] | ||
Stockholders’ equity: | ||
Common stock | 521,000 | 520,000 |
Common Class B [Member] | ||
Stockholders’ equity: | ||
Common stock | $ 338,000 | $ 338,000 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Current Period Unaudited) (Parentheticals) - $ / shares | Sep. 30, 2018 | Jul. 01, 2018 |
Preferred stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Preferred stock, authorized (in shares) | 10,000,000 | 10,000,000 |
Preferred stock, issued (in shares) | 0 | 0 |
Common Class A [Member] | ||
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, authorized (in shares) | 200,000,000 | 200,000,000 |
Common stock, issued (in shares) | 52,162,960 | 52,071,293 |
Treasury stock, shares (in shares) | 16,271,612 | 15,978,790 |
Common Class B [Member] | ||
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, authorized (in shares) | 200,000,000 | 200,000,000 |
Common stock, issued (in shares) | 33,822,823 | 33,822,823 |
Treasury stock, shares (in shares) | 5,280,000 | 5,280,000 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations (Unaudited) - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | |
Sep. 30, 2018 | Oct. 01, 2017 | |
Net revenues | $ 169,496 | $ 157,349 |
Cost of revenues | 100,956 | 90,071 |
Gross profit | 68,540 | 67,278 |
Operating expenses: | ||
Marketing and sales | 52,954 | 49,722 |
Technology and development | 10,279 | 9,670 |
General and administrative | 20,430 | 19,405 |
Depreciation and amortization | 7,843 | 8,084 |
Total operating expenses | 91,506 | 86,881 |
Operating loss | (22,966) | (19,603) |
Interest expense, net | (990) | (1,031) |
Other income, net | 274 | 260 |
Loss before income taxes | (23,682) | (20,374) |
Income tax benefit | (6,416) | (7,152) |
Net loss | $ (17,266) | $ (13,222) |
Basic and diluted net loss per common share (in dollars per share) | $ (0.27) | $ (0.20) |
Basic and diluted weighted average shares used in the calculation of net loss per common share (in shares) | 64,620 | 64,954 |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Comprehensive Loss (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | |
Sep. 30, 2018 | Oct. 01, 2017 | |
Net loss | $ (17,266) | $ (13,222) |
Other comprehensive loss (currency translation & other miscellaneous items) | (10) | (1) |
Comprehensive loss | $ (17,276) | $ (13,223) |
Condensed Consolidated Statem_3
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | |
Sep. 30, 2018 | Oct. 01, 2017 | |
Operating activities: | ||
Net loss | $ (17,266) | $ (13,222) |
Adjustments to reconcile net loss to net cash used in operating activities: | ||
Depreciation and amortization | 7,843 | 8,084 |
Amortization of deferred financing costs | 224 | 240 |
Deferred income taxes | (259) | (386) |
Bad debt expense | 224 | 200 |
Stock-based compensation | 955 | 1,101 |
Other non-cash items | 286 | 239 |
Changes in operating items: | ||
Trade receivables | (18,024) | (21,837) |
Inventories | (71,855) | (72,558) |
Prepaid and other | (2,731) | (9,207) |
Accounts payable and accrued expenses | (8,766) | (15,038) |
Other assets | (1) | (14) |
Other liabilities | (53) | 96 |
Net cash used in operating activities | (109,423) | (122,302) |
Investing activities: | ||
Working capital adjustment related to sale of business | (8,500) | |
Capital expenditures, net of non-cash expenditures | (4,907) | (4,034) |
Net cash used in investing activities | (4,907) | (12,534) |
Financing activities: | ||
Acquisition of treasury stock | (4,040) | (4,320) |
Proceeds from exercise of employee stock options | 302 | |
Repayment of notes payable and bank borrowings | (2,156) | (1,437) |
Net cash used in financing activities | (5,894) | (5,757) |
Net change in cash and cash equivalents | (120,224) | (140,593) |
Cash and cash equivalents: | ||
Beginning of period | 147,240 | 149,732 |
End of period | $ 27,016 | $ 9,139 |
Note 1 - Accounting Policies
Note 1 - Accounting Policies | 3 Months Ended |
Sep. 30, 2018 | |
Notes to Financial Statements | |
Organization, Consolidation, Basis of Presentation, Business Description and Accounting Policies [Text Block] | Note 1 Basis of Presentation The accompanying unaudited condensed consolidated financial statements have been prepared by 1 800 10 10 X. not three September 30, 2018 not may June 30, 2019. 10 July 1, 2018. The Company’s quarterly results may second 50% third fourth first 2018, April 1 st third 2018. April 21 st 2019, third fourth Use of Estimates The preparation of financial statements in conformity with U.S. generally accepted accounting principles requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Actual results could differ from those estimates. Revenue Recognition Net revenue is measured based on the amount of consideration that we expect to receive, reduced by discounts and estimates for credits and returns (calculated based upon previous experience and management’s evaluation). Service and outbound shipping charged to customers are recognized at the time the related merchandise revenues are recognized and are included in net revenues. Inbound and outbound shipping and delivery costs are included in cost of revenues. Net revenues exclude sales and other similar taxes collected from customers. A description of our principal revenue generating activities is as follows: ● E-commerce revenues - consumer products sold through our online and telephonic channels. Revenue is recognized when control of the merchandise is transferred to the customer, which generally occurs upon shipment. Payment is typically due prior to the date of shipment. ● Retail revenues - consumer products sold through our retail stores. Revenue is recognized when control of the goods is transferred to the customer, at the point of sale, at which time payment is received. ● Wholesale revenues - products sold to our wholesale customers for subsequent resale. Revenue is recognized when control of the goods is transferred to the customer, in accordance with the terms of the applicable agreement. Payment terms are typically 30 ● BloomNet Services - membership fees as well as other service offerings to florists. Membership and other subscription-based fees are recognized monthly as earned. Services revenues related to orders sent through the floral network are variable, based on either the number of orders or the value of orders, and are recognized in the period in which the orders are delivered. The contracts within BloomNet Services are typically month-to-month and as a result no 30 Deferred revenue s Deferred revenues are recorded when the Company has received consideration (i.e. advance payment) before satisfying its performance obligations. As such, customer orders are recorded as deferred revenue prior to shipment or rendering of product or services. Deferred revenues primarily relate to e-commerce orders placed, but not Our total deferred revenue as of July 1, 2018 $13.5 $9.5 three September 30, 2018. September 30, 2018 $13.9 Recent ly Issued Accounting Pronouncements - Adopted Revenue from Contracts with Customers . May 2014, No. 2014 09, 606” July 2, 2018 $1.1 $1.9 $0.8 10 not not three September 30, 2018, not $1.6 $1.2 $1.5 September 30, 2018) not 12 Financial Instruments – Recognition and Measurement . January 2016, No. 2016 01, No. 2018 03, February 2018. no not no July 2, 2018. not Statement of Cash Flows . June 2016, 2016 15, 230 2016 15 July 2, 2018. not Business Combinations – Definition of a Business. January 2017, No. 2017 01, 805 2017 01 July 2, 2018. not Nonfinancial Assets – Derecognition. February 2017, No. 2017 05, 2017 05 July 2, 2018. not Stock Compensation – Modification Accounting. May 2017, No. 2017 09, 718 not July 2, 2018. not Cloud Computing Arrangements – Implementation Costs August 2018, No. 2018 15, 350 40 not July 2, 2018. not Recently Issued Accounting Pronouncements – Not Leases. February 2016, No. 2016 02, 842 June 28, 2020. Financial Instruments – Measurement of Credit Losses. June 2016, No. 2016 13, 326 2016 13 2016 13 July 4, 2021, Goodwill – Impairment Test January 2017, No. 2017 04, 350 two 2017 04, July 4, 2021, not U.S. Tax Reform On December 22, 2017, 35% 21%. July 1, 2018, 28% 2018, 21% On December 22, 2017, No. 118, 118” not may one |
Note 2 - Net Income (Loss) Per
Note 2 - Net Income (Loss) Per Common Share | 3 Months Ended |
Sep. 30, 2018 | |
Notes to Financial Statements | |
Earnings Per Share [Text Block] | Note 2 Basic net loss per common share is computed using the weighted average number of common shares outstanding during the period. Diluted net loss per common share is computed using the weighted-average number of common shares outstanding during the period, and excludes the dilutive potential common shares (consisting of employee stock options and unvested restricted stock awards), as their inclusion would be antidilutive. As a result of the net loss for the three September 30, 2018 October 1, 2017, no |
Note 3 - Stock-based Compensati
Note 3 - Stock-based Compensation | 3 Months Ended |
Sep. 30, 2018 | |
Notes to Financial Statements | |
Disclosure of Compensation Related Costs, Share-based Payments [Text Block] | Note 3 The Company has a Long Term Incentive and Share Award Plan, which is more fully described in Note 12 13 10 July 1, 2018, The amounts of stock-based compensation expense recognized in the periods presented are as follows: Three Months Ended September 30, 2018 October 1, 2017 (in thousands) Stock options $ 105 $ 108 Restricted stock 850 993 Total 955 1,101 Deferred income tax benefit 259 386 Stock-based compensation expense, net $ 696 $ 715 Stock-based compensation is recorded within the following line items of operating expenses: Three Months Ended September 30, 2018 October 1, 2017 (in thousands) Marketing and sales $ 255 $ 298 Technology and development 51 60 General and administrative 649 743 Total $ 955 $ 1,101 Stock based compensation expense has not Note 12 Stock Options The following table summarizes stock option activity during the three September 30, 2018: Options Weighted Average Exercise Price Weighted Average Remaining Contractual Term (years) Aggregate Intrinsic Value (in thousands) Outstanding at July 1, 2018 1,968,234 $ 2.35 Granted - $ - Exercised (90,000 ) $ 1.79 Forfeited - $ - Outstanding at September 30, 2018 1,878,234 $ 2.38 2.7 $ 17,700 Options vested or expected to vest at September 30, 2018 1,878,234 $ 2.38 2.7 $ 17,700 Exercisable at September 30, 2018 1,490,234 $ 2.32 2.6 $ 14,121 As of September 30, 2018, not $0.3 0.8 Restricted Stock The Company grants shares of Common Stock to its employees that are subject to restrictions on transfer and risk of forfeiture until fulfillment of applicable service and performance conditions and, in certain cases, holding periods (Restricted Stock). The following table summarizes the activity of non-vested restricted stock awards during the three September 30, 2018: Shares Weighted Average Grant Date Fair Value Non-vested at July 1, 2018 968,273 $ 7.70 Granted 207,500 $ 11.90 Vested (1,667 ) $ 8.85 Forfeited (750 ) $ 9.50 Non-vested at September 30, 2018 1,173,356 $ 8.44 The fair value of non-vested shares is determined based on the closing stock price on the grant date. As of September 30, 2018, $5.9 1.8 |
Note 4 - Disposition
Note 4 - Disposition | 3 Months Ended |
Sep. 30, 2018 | |
Notes to Financial Statements | |
Disposal Groups, Including Discontinued Operations, Disclosure [Text Block] | Note 4 On March 15, 2017, May May May”) $115.0 May 30, 2017, August 2017, $8.5 first 2018. $14.6 fourth 2017. The Company and Ferrero also entered into a transition services agreement, as amended, whereby the Company will provide certain post-closing services to Ferrero and Fannie May 20 May, May |
Note 5 - Inventory
Note 5 - Inventory | 3 Months Ended |
Sep. 30, 2018 | |
Notes to Financial Statements | |
Inventory Disclosure [Text Block] | Note 5 The Company’s inventory, stated at cost, which is not September 30, 2018 July 1, 2018 (in thousands) Finished goods $ 92,514 $ 33,930 Work-in-process 17,340 17,575 Raw materials 50,826 37,320 Total inventory $ 160,680 $ 88,825 |
Note 6 - Goodwill and Intangibl
Note 6 - Goodwill and Intangible Assets | 3 Months Ended |
Sep. 30, 2018 | |
Notes to Financial Statements | |
Goodwill and Intangible Assets Disclosure [Text Block] | Note 6 The following table presents goodwill by segment and the related change, if any, in the net carrying amount: 1-800-Flowers.com Consumer Floral BloomNet Wire Service Gourmet Food & Gift Baskets Total (in thousands) Balance at September 30, 2018 and July 1, 2018 $ 17,441 $ - $ 45,149 $ 62,590 The Company’s other intangible assets consist of the following: September 30, 2018 July 1, 2018 Amortization Period Gross Carrying Amount Accumulated Amortization Net Gross Carrying Amount Accumulated Amortization Net (in years) Intangible assets with determinable lives: Investment in licenses 14-16 $ 7,420 $ 6,069 $ 1,351 $ 7,420 $ 6,042 $ 1,378 Customer lists 3-10 12,184 9,512 2,672 12,184 9,354 2,830 Other 5-14 2,946 2,204 742 2,946 2,172 774 Total intangible assets with determinable lives 22,550 17,785 4,765 22,550 17,568 4,982 Trademarks with indefinite lives 54,841 - 54,841 54,841 - 54,841 Total identifiable intangible assets $ 77,391 $ 17,785 $ 59,606 $ 77,391 $ 17,568 $ 59,823 Intangible assets are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset or asset group may not 2019 $0.5 2020 $0.6 2021 $0.6 2022 $0.5 2023 $0.5 $2.1 |
Note 7 - Investments
Note 7 - Investments | 3 Months Ended |
Sep. 30, 2018 | |
Notes to Financial Statements | |
Equity Method Investments and Joint Ventures Disclosure [Text Block] | Note 7 Equity investments accounted for under the equity method The Company has certain investments in non-marketable equity instruments of private companies. The Company accounts for these investments using the equity method if they provide the Company the ability to exercise significant influence, but not 20% 50%, The Company’s equity method investment is comprised of an interest in Flores Online, a Sao Paulo, Brazil based internet floral and gift retailer, that the Company originally acquired on May 31, 2012. 24.9% $0.6 September 30, 2018 July 1, 2018, three September 30, 2018 October 1, 2017 $0.1 December 31, 2017, 5% 5% $0.1 $0.2 December 31, 2017. Equity investments without a readily determinable fair value Investments in non-marketable equity instruments of private companies, where the Company does not $1.7 September 30, 2018 July 1, 2018. Equity investments with a readily determinable fair value The Company also holds certain trading securities associated with its Non-Qualified Deferred Compensation Plan (“NQDC Plan”). These investments are measured using quoted market prices at the reporting date and are included within the “Other assets” line item in the consolidated balance sheets (see Note 10 |
Note 8 - Debt
Note 8 - Debt | 3 Months Ended |
Sep. 30, 2018 | |
Notes to Financial Statements | |
Debt Disclosure [Text Block] | Note 8 The Company’s current and long-term debt consists of the following: September 30, 2018 July 1, 2018 (in thousands) Revolver (1) $ - $ - Term Loan (1) 102,781 104,938 Deferred financing costs (2,383 ) (2,608 ) Total debt 100,398 102,330 Less: current debt 10,781 10,063 Long-term debt $ 89,617 $ 92,267 ( 1 December 23, 2016, “2016 2016 September 30, 2014 $115.0 two December 23, 2021. 19 April 2, 2017, 5% 7.5% 10% 12.5% 15% $61.8 $200 $100 January 1 August 1, may For each borrowing under the 2016 may 1 0.75% 1.5%, 0.5% 1% 2 1.75% 2.5%, 2016 September 30, 2018. 2016 Future principal payments under the term loan are as follows: $8.0 2019, $12.9 2020, $15.8 2021, $66.1 2022. |
Note 9 - Property, Plant and Eq
Note 9 - Property, Plant and Equipment | 3 Months Ended |
Sep. 30, 2018 | |
Notes to Financial Statements | |
Property, Plant and Equipment Disclosure [Text Block] | Note 9 The Company’s property, plant and equipment consists of the following: September 30, 2018 July 1, 2018 (in thousands) Land $ 30,789 $ 30,789 Orchards in production and land improvements 11,240 10,962 Building and building improvements 58,935 58,450 Leasehold improvements 13,263 12,997 Production equipment and furniture and fixtures 55,495 53,066 Computer and telecommunication equipment 47,669 46,925 Software 118,420 115,944 Capital projects in progress - orchards 9,004 10,789 Property, plant and equipment, gross 344,815 339,922 Accumulated depreciation and amortization (184,465 ) (176,582 ) Property, plant and equipment, net $ 160,350 $ 163,340 |
Note 10 - Fair Value Measuremen
Note 10 - Fair Value Measurements | 3 Months Ended |
Sep. 30, 2018 | |
Notes to Financial Statements | |
Fair Value Disclosures [Text Block] | Note 10 Cash and cash equivalents, trade and other receivables, prepaids, accounts payable and accrued expenses are reflected in the consolidated balance sheets at carrying value, which approximates fair value due to the short-term nature of these instruments. Although no Note 7 may not may Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability, in the principal or most advantageous market for the asset or liability, in an orderly transaction between market participants at the measurement date. The authoritative guidance for fair value measurements establishes a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (level 1 3 three Level 1 Valuations based on quoted prices in active markets for identical assets or liabilities that the entity has the ability to access. Level 2 Valuations based on quoted prices for similar assets or liabilities, quoted prices in markets that are not Level 3 Valuations based on inputs that are supported by little or no The following table presents by level, within the fair value hierarchy, financial assets and liabilities measured at fair value on a recurring basis: Carrying Value Fair Value Measurements Assets (Liabilities) Level 1 Level 2 Level 3 (in thousands) Assets (liabilities) as of September 30, 2018 : Trading securities held in a “rabbi trust” (1) $ 10,889 $ 10,889 $ - $ - $ 10,889 $ 10,889 $ - $ - Assets (liabilities) as of July 1, 2018 : Trading securities held in a “rabbi trust” (1) $ 9,368 $ 9,368 $ - $ - $ 9,368 $ 9,368 $ - $ - ( 1 The Company has established a Non-qualified Deferred Compensation Plan for certain members of senior management. Deferred compensation plan assets are invested in mutual funds held in a “rabbi trust,” which is restricted for payment to participants of the NQDC Plan. Trading securities held in a rabbi trust are measured using quoted market prices at the reporting date and are included in the “Other assets” line item, with the corresponding liability included in the “Other liabilities” line item in the consolidated balance sheets. |
Note 11 - Income Taxes
Note 11 - Income Taxes | 3 Months Ended |
Sep. 30, 2018 | |
Notes to Financial Statements | |
Income Tax Disclosure [Text Block] | Note 11 At the end of each interim reporting period, the Company estimates its effective income tax rate expected to be applicable for the full year. This estimate is used in providing for income taxes on a year-to-date basis and may three September 30, 2018 27.1%, 35.1% 2019 Note 1 three September 30, 2018 21%, three October 1, 2017 35%, The Company files income tax returns in the U .S. federal jurisdiction, various state jurisdictions, and various foreign countries. The Company is currently undergoing its U.S. federal examination for fiscal 2016, 2015 2017 2013. 2013 The Company’s policy is to recognize interest and penalties accrued on any unrecognized tax benefits as a component of income tax expense. At September 30, 2018, $0.6 $0.1 twelve |
Note 12 - Business Segments
Note 12 - Business Segments | 3 Months Ended |
Sep. 30, 2018 | |
Notes to Financial Statements | |
Segment Reporting Disclosure [Text Block] | Note 12 The Company’s management reviews the results of its operations by the following three • 1 800 • BloomNet Wire Service, and • Gourmet Food & Gift Baskets Segment performance is measured based on contribution margin, which includes only the direct controllable revenue and operating expenses of the segments. As such, management’s measure of profitability for these segments does not not Three Months Ended September 30, 2018 October 1, 2017 Net revenues: 1-800-Flowers.com Consumer Floral $ 85,076 $ 76,610 BloomNet Wire Service 23,993 19,764 Gourmet Food & Gift Baskets 60,518 60,986 Corporate 267 270 Intercompany eliminations (358 ) (281 ) Total net revenues $ 169,496 $ 157,349 Operating Loss Segment Contribution Margin (non-GAAP): 1-800-Flowers.com Consumer Floral $ 7,495 $ 6,971 BloomNet Wire Service 7,638 6,701 Gourmet Food & Gift Baskets (9,121 ) (4,987 ) Segment Contribution Margin Subtotal 6,012 8,685 Corporate (a) (21,135 ) (20,204 ) Depreciation and amortization (7,843 ) (8,084 ) Operating Loss $ (22,966 ) $ (19,603 ) (a) Corporate expenses consist of the Company’s enterprise shared service cost centers, and include, among other items, Information Technology, Human Resources, Accounting and Finance, Legal, Executive and Customer Service Center functions, as well as Stock-Based Compensation. In order to leverage the Company’s infrastructure, these functions are operated under a centralized management platform, providing support services throughout the organization. The costs of these functions, other than those of the Customer Service Center, which are allocated directly to the above categories based upon usage, are included within corporate expenses as they are not The following table represents a disaggregation of revenue from contracts with customers, by channel: Three Months Ended September 30, 2018 October 1, 2017 Consumer Floral BloomNet Wire Service Gourmet Food & Gift Baskets Consolidated Consumer Floral BloomNet Wire Service Gourmet Food & Gift Baskets Consolidated Net revenues E-commerce $ 83,450 $ - $ 34,250 $ 117,700 $ 74,912 $ - $ 33,859 $ 108,771 Retail 861 - 7,779 8,640 871 - 8,093 8,964 Wholesale - 8,133 18,489 26,622 - 7,354 19,034 26,388 BloomNet services - 15,860 - 15,860 - 12,410 - 12,410 Other 765 - - 765 827 - - 827 Corporate 267 270 Eliminations $ (358 ) $ (281 ) Net revenues $ 85,076 $ 23,993 $ 60,518 $ 169,496 $ 76,610 $ 19,764 $ 60,986 $ 157,349 |
Note 13 - Commitments and Conti
Note 13 - Commitments and Contingencies | 3 Months Ended |
Sep. 30, 2018 | |
Notes to Financial Statements | |
Commitments and Contingencies Disclosure [Text Block] | Note 13 Litigation There are various claims, lawsuits, and pending actions against the Company and its subsidiaries incident to the operations of its businesses. It is the opinion of management, after consultation with counsel, that the ultimate resolution of such claims, lawsuits and pending actions will not |
Significant Accounting Policies
Significant Accounting Policies (Policies) | 3 Months Ended |
Sep. 30, 2018 | |
Accounting Policies [Abstract] | |
Consolidation, Policy [Policy Text Block] | Basis of Presentation The accompanying unaudited condensed consolidated financial statements have been prepared by 1 800 10 10 X. not three September 30, 2018 not may June 30, 2019. 10 July 1, 2018. The Company’s quarterly results may second 50% third fourth first 2018, April 1 st third 2018. April 21 st 2019, third fourth |
Use of Estimates, Policy [Policy Text Block] | Use of Estimates The preparation of financial statements in conformity with U.S. generally accepted accounting principles requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Actual results could differ from those estimates. |
Revenue Recognition, Policy [Policy Text Block] | Revenue Recognition Net revenue is measured based on the amount of consideration that we expect to receive, reduced by discounts and estimates for credits and returns (calculated based upon previous experience and management’s evaluation). Service and outbound shipping charged to customers are recognized at the time the related merchandise revenues are recognized and are included in net revenues. Inbound and outbound shipping and delivery costs are included in cost of revenues. Net revenues exclude sales and other similar taxes collected from customers. A description of our principal revenue generating activities is as follows: ● E-commerce revenues - consumer products sold through our online and telephonic channels. Revenue is recognized when control of the merchandise is transferred to the customer, which generally occurs upon shipment. Payment is typically due prior to the date of shipment. ● Retail revenues - consumer products sold through our retail stores. Revenue is recognized when control of the goods is transferred to the customer, at the point of sale, at which time payment is received. ● Wholesale revenues - products sold to our wholesale customers for subsequent resale. Revenue is recognized when control of the goods is transferred to the customer, in accordance with the terms of the applicable agreement. Payment terms are typically 30 ● BloomNet Services - membership fees as well as other service offerings to florists. Membership and other subscription-based fees are recognized monthly as earned. Services revenues related to orders sent through the floral network are variable, based on either the number of orders or the value of orders, and are recognized in the period in which the orders are delivered. The contracts within BloomNet Services are typically month-to-month and as a result no 30 |
Revenue Recognition, Deferred Revenue [Policy Text Block] | Deferred revenue s Deferred revenues are recorded when the Company has received consideration (i.e. advance payment) before satisfying its performance obligations. As such, customer orders are recorded as deferred revenue prior to shipment or rendering of product or services. Deferred revenues primarily relate to e-commerce orders placed, but not Our total deferred revenue as of July 1, 2018 $13.5 $9.5 three September 30, 2018. September 30, 2018 $13.9 |
New Accounting Pronouncements, Policy [Policy Text Block] | Recent ly Issued Accounting Pronouncements - Adopted Revenue from Contracts with Customers . May 2014, No. 2014 09, 606” July 2, 2018 $1.1 $1.9 $0.8 10 not not three September 30, 2018, not $1.6 $1.2 $1.5 September 30, 2018) not 12 Financial Instruments – Recognition and Measurement . January 2016, No. 2016 01, No. 2018 03, February 2018. no not no July 2, 2018. not Statement of Cash Flows . June 2016, 2016 15, 230 2016 15 July 2, 2018. not Business Combinations – Definition of a Business. January 2017, No. 2017 01, 805 2017 01 July 2, 2018. not Nonfinancial Assets – Derecognition. February 2017, No. 2017 05, 2017 05 July 2, 2018. not Stock Compensation – Modification Accounting. May 2017, No. 2017 09, 718 not July 2, 2018. not Cloud Computing Arrangements – Implementation Costs August 2018, No. 2018 15, 350 40 not July 2, 2018. not Recently Issued Accounting Pronouncements – Not Leases. February 2016, No. 2016 02, 842 June 28, 2020. Financial Instruments – Measurement of Credit Losses. June 2016, No. 2016 13, 326 2016 13 2016 13 July 4, 2021, Goodwill – Impairment Test January 2017, No. 2017 04, 350 two 2017 04, July 4, 2021, not U.S. Tax Reform On December 22, 2017, 35% 21%. July 1, 2018, 28% 2018, 21% On December 22, 2017, No. 118, 118” not may one |
Note 3 - Stock-based Compensa_2
Note 3 - Stock-based Compensation (Tables) | 3 Months Ended |
Sep. 30, 2018 | |
Notes Tables | |
Schedule of Compensation Cost for Share-based Payment Arrangements, Allocation of Share-based Compensation Costs by Plan [Table Text Block] | Three Months Ended September 30, 2018 October 1, 2017 (in thousands) Stock options $ 105 $ 108 Restricted stock 850 993 Total 955 1,101 Deferred income tax benefit 259 386 Stock-based compensation expense, net $ 696 $ 715 |
Schedule of Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Table Text Block] | Three Months Ended September 30, 2018 October 1, 2017 (in thousands) Marketing and sales $ 255 $ 298 Technology and development 51 60 General and administrative 649 743 Total $ 955 $ 1,101 |
Share-based Compensation, Stock Options, Activity [Table Text Block] | Options Weighted Average Exercise Price Weighted Average Remaining Contractual Term (years) Aggregate Intrinsic Value (in thousands) Outstanding at July 1, 2018 1,968,234 $ 2.35 Granted - $ - Exercised (90,000 ) $ 1.79 Forfeited - $ - Outstanding at September 30, 2018 1,878,234 $ 2.38 2.7 $ 17,700 Options vested or expected to vest at September 30, 2018 1,878,234 $ 2.38 2.7 $ 17,700 Exercisable at September 30, 2018 1,490,234 $ 2.32 2.6 $ 14,121 |
Schedule of Nonvested Share Activity [Table Text Block] | Shares Weighted Average Grant Date Fair Value Non-vested at July 1, 2018 968,273 $ 7.70 Granted 207,500 $ 11.90 Vested (1,667 ) $ 8.85 Forfeited (750 ) $ 9.50 Non-vested at September 30, 2018 1,173,356 $ 8.44 |
Note 5 - Inventory (Tables)
Note 5 - Inventory (Tables) | 3 Months Ended |
Sep. 30, 2018 | |
Notes Tables | |
Schedule of Inventory, Current [Table Text Block] | September 30, 2018 July 1, 2018 (in thousands) Finished goods $ 92,514 $ 33,930 Work-in-process 17,340 17,575 Raw materials 50,826 37,320 Total inventory $ 160,680 $ 88,825 |
Note 6 - Goodwill and Intangi_2
Note 6 - Goodwill and Intangible Assets (Tables) | 3 Months Ended |
Sep. 30, 2018 | |
Notes Tables | |
Schedule of Goodwill [Table Text Block] | 1-800-Flowers.com Consumer Floral BloomNet Wire Service Gourmet Food & Gift Baskets Total (in thousands) Balance at September 30, 2018 and July 1, 2018 $ 17,441 $ - $ 45,149 $ 62,590 |
Schedule of Finite-Lived and Indefinite-Lived Intangible Assets by Major Class [Table Text Block] | September 30, 2018 July 1, 2018 Amortization Period Gross Carrying Amount Accumulated Amortization Net Gross Carrying Amount Accumulated Amortization Net (in years) Intangible assets with determinable lives: Investment in licenses 14-16 $ 7,420 $ 6,069 $ 1,351 $ 7,420 $ 6,042 $ 1,378 Customer lists 3-10 12,184 9,512 2,672 12,184 9,354 2,830 Other 5-14 2,946 2,204 742 2,946 2,172 774 Total intangible assets with determinable lives 22,550 17,785 4,765 22,550 17,568 4,982 Trademarks with indefinite lives 54,841 - 54,841 54,841 - 54,841 Total identifiable intangible assets $ 77,391 $ 17,785 $ 59,606 $ 77,391 $ 17,568 $ 59,823 |
Note 8 - Debt (Tables)
Note 8 - Debt (Tables) | 3 Months Ended |
Sep. 30, 2018 | |
Notes Tables | |
Schedule of Debt [Table Text Block] | September 30, 2018 July 1, 2018 (in thousands) Revolver (1) $ - $ - Term Loan (1) 102,781 104,938 Deferred financing costs (2,383 ) (2,608 ) Total debt 100,398 102,330 Less: current debt 10,781 10,063 Long-term debt $ 89,617 $ 92,267 |
Note 9 - Property, Plant and _2
Note 9 - Property, Plant and Equipment (Tables) | 3 Months Ended |
Sep. 30, 2018 | |
Notes Tables | |
Property, Plant and Equipment [Table Text Block] | September 30, 2018 July 1, 2018 (in thousands) Land $ 30,789 $ 30,789 Orchards in production and land improvements 11,240 10,962 Building and building improvements 58,935 58,450 Leasehold improvements 13,263 12,997 Production equipment and furniture and fixtures 55,495 53,066 Computer and telecommunication equipment 47,669 46,925 Software 118,420 115,944 Capital projects in progress - orchards 9,004 10,789 Property, plant and equipment, gross 344,815 339,922 Accumulated depreciation and amortization (184,465 ) (176,582 ) Property, plant and equipment, net $ 160,350 $ 163,340 |
Note 10 - Fair Value Measurem_2
Note 10 - Fair Value Measurements (Tables) | 3 Months Ended |
Sep. 30, 2018 | |
Notes Tables | |
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis [Table Text Block] | Carrying Value Fair Value Measurements Assets (Liabilities) Level 1 Level 2 Level 3 (in thousands) Assets (liabilities) as of September 30, 2018 : Trading securities held in a “rabbi trust” (1) $ 10,889 $ 10,889 $ - $ - $ 10,889 $ 10,889 $ - $ - Assets (liabilities) as of July 1, 2018 : Trading securities held in a “rabbi trust” (1) $ 9,368 $ 9,368 $ - $ - $ 9,368 $ 9,368 $ - $ - |
Note 12 - Business Segments (Ta
Note 12 - Business Segments (Tables) | 3 Months Ended |
Sep. 30, 2018 | |
Notes Tables | |
Schedule of Segment Reporting Information, by Segment [Table Text Block] | Three Months Ended September 30, 2018 October 1, 2017 Net revenues: 1-800-Flowers.com Consumer Floral $ 85,076 $ 76,610 BloomNet Wire Service 23,993 19,764 Gourmet Food & Gift Baskets 60,518 60,986 Corporate 267 270 Intercompany eliminations (358 ) (281 ) Total net revenues $ 169,496 $ 157,349 Operating Loss Segment Contribution Margin (non-GAAP): 1-800-Flowers.com Consumer Floral $ 7,495 $ 6,971 BloomNet Wire Service 7,638 6,701 Gourmet Food & Gift Baskets (9,121 ) (4,987 ) Segment Contribution Margin Subtotal 6,012 8,685 Corporate (a) (21,135 ) (20,204 ) Depreciation and amortization (7,843 ) (8,084 ) Operating Loss $ (22,966 ) $ (19,603 ) |
Disaggregation of Revenue [Table Text Block] | Three Months Ended September 30, 2018 October 1, 2017 Consumer Floral BloomNet Wire Service Gourmet Food & Gift Baskets Consolidated Consumer Floral BloomNet Wire Service Gourmet Food & Gift Baskets Consolidated Net revenues E-commerce $ 83,450 $ - $ 34,250 $ 117,700 $ 74,912 $ - $ 33,859 $ 108,771 Retail 861 - 7,779 8,640 871 - 8,093 8,964 Wholesale - 8,133 18,489 26,622 - 7,354 19,034 26,388 BloomNet services - 15,860 - 15,860 - 12,410 - 12,410 Other 765 - - 765 827 - - 827 Corporate 267 270 Eliminations $ (358 ) $ (281 ) Net revenues $ 85,076 $ 23,993 $ 60,518 $ 169,496 $ 76,610 $ 19,764 $ 60,986 $ 157,349 |
Note 1 - Accounting Policies (D
Note 1 - Accounting Policies (Details Textual) - USD ($) $ in Thousands | Dec. 22, 2017 | Dec. 21, 2017 | Sep. 30, 2018 | Oct. 01, 2017 | Jun. 30, 2019 | Jul. 01, 2018 | Jul. 02, 2018 |
Contract with Customer, Liability, Current | $ 13,900 | $ 13,500 | |||||
Contract with Customer, Liability, Revenue Recognized | 9,500 | ||||||
Gift Card Liability, Current | 1,500 | ||||||
Selling and Marketing Expense, Total | $ 52,954 | $ 49,722 | |||||
Effective Income Tax Rate Reconciliation, at Federal Statutory Income Tax Rate, Percent | 21.00% | 35.00% | 21.00% | 35.00% | 28.00% | ||
Scenario, Forecast [Member] | |||||||
Effective Income Tax Rate Reconciliation, at Federal Statutory Income Tax Rate, Percent | 21.00% | ||||||
Accounting Standards Update 2014-09 [Member] | |||||||
Cumulative Effect of New Accounting Principle in Period of Adoption | $ 1,100 | ||||||
Gift Card Liability, Current | (1,900) | ||||||
Prepaid Expense, Catalog Costs | $ (800) | ||||||
Accounting Standards Update 2014-09 [Member] | Difference between Revenue Guidance in Effect before and after Topic 606 [Member] | |||||||
Selling and Marketing Expense, Total | $ 1,600 | ||||||
Net Income (Loss) Attributable to Parent, Total | $ 1,200 |
Note 3 - Stock-based Compensa_3
Note 3 - Stock-based Compensation (Details Textual) $ in Millions | 3 Months Ended |
Sep. 30, 2018USD ($) | |
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Period for Recognition | 292 days |
Employee Stock Option [Member] | |
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Total | $ 0.3 |
Restricted Stock [Member] | |
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Total | $ 5.9 |
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Period for Recognition | 1 year 292 days |
Note 3 - Stock-based Compensa_4
Note 3 - Stock-based Compensation - Stock-based Compensation Expense Recognized (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Sep. 30, 2018 | Oct. 01, 2017 | |
Allocated share-based compensation expense | $ 955 | $ 1,101 |
Deferred income tax benefit | 259 | 386 |
Allocated share-based compensation expense, net | 696 | 715 |
Employee Stock Option [Member] | ||
Allocated share-based compensation expense | 105 | 108 |
Restricted Stock [Member] | ||
Allocated share-based compensation expense | $ 850 | $ 993 |
Note 3 - Stock-based Compensa_5
Note 3 - Stock-based Compensation - Allocation of Stock-based Compensation to Operating Expenses (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Sep. 30, 2018 | Oct. 01, 2017 | |
Allocated share-based compensation expense | $ 955 | $ 1,101 |
Selling and Marketing Expense [Member] | ||
Allocated share-based compensation expense | 255 | 298 |
Technology and Development [Member] | ||
Allocated share-based compensation expense | 51 | 60 |
General and Administrative Expense [Member] | ||
Allocated share-based compensation expense | $ 649 | $ 743 |
Note 3 - Stock-based Compensa_6
Note 3 - Stock-based Compensation - Stock Option Activity (Details) $ / shares in Units, $ in Thousands | 3 Months Ended |
Sep. 30, 2018USD ($)$ / sharesshares | |
Outstanding (in shares) | shares | 1,968,234 |
Outstanding, weighted average exercise price (in dollars per share) | $ / shares | $ 2.35 |
Granted, options (in shares) | shares | |
Granted, weighted average exercise price (in dollars per share) | $ / shares | |
Exercised, options (in shares) | shares | (90,000) |
Exercised, weighted average exercise price (in dollars per share) | $ / shares | $ 1.79 |
Forfeited (in shares) | shares | |
Forfeited, weighted average exercise price (in dollars per share) | $ / shares | |
Outstanding (in shares) | shares | 1,878,234 |
Outstanding, weighted average exercise price (in dollars per share) | $ / shares | $ 2.38 |
Outstanding, weighted average remaining contractual term (Year) | 2 years 255 days |
Outstanding, aggregate intrinsic value | $ | $ 17,700 |
Options vested or expected to vest (in shares) | shares | 1,878,234 |
Options vested or expected to vest, weighted average exercise price (in dollars per share) | $ / shares | $ 2.38 |
Options vested or expected to vest, weighted average remaining contractual term (Year) | 2 years 255 days |
Options vested or expected to vest, aggregate intrinsic value | $ | $ 17,700 |
Exercisable, options (in shares) | shares | 1,490,234 |
Exercisable, weighted average exercise price (in dollars per share) | $ / shares | $ 2.32 |
Exercisable, weighted average remaining contractual term (Year) | 2 years 219 days |
Exercisable, aggregate intrinsic value | $ | $ 14,121 |
Note 3 - Stock-based Compensa_7
Note 3 - Stock-based Compensation - Non-vested Restricted Stock Activity (Details) - Restricted Stock [Member] | 3 Months Ended |
Sep. 30, 2018$ / sharesshares | |
Non-vested, beginning balance (in shares) | shares | 968,273 |
Non-vested, Weighted Average Grant Date Fair Value, beginning balance (in dollars per share) | $ / shares | $ 7.70 |
Granted (in shares) | shares | 207,500 |
Granted, Weighted Average Grant Date Fair Value (in dollars per share) | $ / shares | $ 11.90 |
Vested (in shares) | shares | (1,667) |
Vested, Weighted Average Grant Date Fair Value (in dollars per share) | $ / shares | $ 8.85 |
Forfeited (in shares) | shares | (750) |
Forfeited, Weighted Average Grant Date Fair Value (in dollars per share) | $ / shares | $ 9.50 |
Non-vested, ending balance (in shares) | shares | 1,173,356 |
Non-vested, Weighted Average Grant Date Fair Value, ending balance (in dollars per share) | $ / shares | $ 8.44 |
Note 4 - Disposition (Details T
Note 4 - Disposition (Details Textual) - USD ($) $ in Millions | 1 Months Ended | 3 Months Ended | ||
Aug. 31, 2018 | Sep. 30, 2018 | Jul. 02, 2017 | Mar. 15, 2017 | |
Disposal Group, Including Discontinued Operation, Period of Post-closing Services | 1 year 240 days | |||
Fannie May [Member] | Other Nonoperating Income (Expense) [Member] | ||||
Gain (Loss) on Disposition of Business | $ 14.6 | |||
Fannie May [Member] | Ferrero [Member] | ||||
Disposal Group, Including Discontinued Operation, Consideration | $ 115 | |||
Working Capital Adjustment in Disposition of Business | $ 8.5 |
Note 5 - Inventory - Summary of
Note 5 - Inventory - Summary of Inventory (Details) - USD ($) $ in Thousands | Sep. 30, 2018 | Jul. 01, 2018 |
Finished goods | $ 92,514 | $ 33,930 |
Work-in-process | 17,340 | 17,575 |
Raw materials | 50,826 | 37,320 |
Total inventory | $ 160,680 | $ 88,825 |
Note 6 - Goodwill and Intangi_3
Note 6 - Goodwill and Intangible Assets (Details Textual) $ in Millions | Sep. 30, 2018USD ($) |
Finite-Lived Intangible Assets, Amortization Expense, Remainder of Fiscal Year | $ 0.5 |
Finite-Lived Intangible Assets, Amortization Expense, Year Two | 0.6 |
Finite-Lived Intangible Assets, Amortization Expense, Year Three | 0.6 |
Finite-Lived Intangible Assets, Amortization Expense, Year Four | 0.5 |
Finite-Lived Intangible Assets, Amortization Expense, Year Five | 0.5 |
Finite-Lived Intangible Assets, Amortization Expense, after Year Five | $ 2.1 |
Note 6 - Goodwill and Intangi_4
Note 6 - Goodwill and Intangible Assets - Goodwill by Segment (Details) - USD ($) $ in Thousands | Sep. 30, 2018 | Jul. 01, 2018 |
Goodwill | $ 62,590 | $ 62,590 |
Consumer Floral [Member] | ||
Goodwill | 17,441 | |
BloomNet Wire Service [Member] | ||
Goodwill | ||
Gourmet Food and Gift Baskets [Member] | ||
Goodwill | $ 45,149 |
Note 6 - Goodwill and Intangi_5
Note 6 - Goodwill and Intangible Assets - Other Intangible Assets (Details) - USD ($) | 3 Months Ended | |
Sep. 30, 2018 | Jul. 01, 2018 | |
Finite-lived intangible asset, useful life | $ 4,765,000 | $ 4,982,000 |
Intangible assets with determinable lives, gross | 22,550,000 | 22,550,000 |
Accumulated amortization | 17,785,000 | 17,568,000 |
Trademarks with indefinite lives, gross | 54,841,000 | 54,841,000 |
Total identifiable intangible assets, gross | 77,391,000 | 77,391,000 |
Total identifiable intangible assets, net | 59,606,000 | 59,823,000 |
Maximum [Member] | ||
Finite-lived intangible asset, useful life | ||
Licensing Agreements [Member] | ||
Finite-lived intangible asset, useful life | 1,351,000 | 1,378,000 |
Intangible assets with determinable lives, gross | 7,420,000 | 7,420,000 |
Accumulated amortization | $ 6,069,000 | 6,042,000 |
Licensing Agreements [Member] | Minimum [Member] | ||
Finite-lived intangible asset, useful life (Year) | 14 years | |
Licensing Agreements [Member] | Maximum [Member] | ||
Finite-lived intangible asset, useful life (Year) | 16 years | |
Finite-lived intangible asset, useful life | $ 1,416 | |
Customer Lists [Member] | ||
Finite-lived intangible asset, useful life | 2,672,000 | 2,830,000 |
Intangible assets with determinable lives, gross | 12,184,000 | 12,184,000 |
Accumulated amortization | $ 9,512,000 | 9,354,000 |
Customer Lists [Member] | Minimum [Member] | ||
Finite-lived intangible asset, useful life (Year) | 3 years | |
Customer Lists [Member] | Maximum [Member] | ||
Finite-lived intangible asset, useful life (Year) | 10 years | |
Finite-lived intangible asset, useful life | $ 310,000 | |
Other Intangible Assets [Member] | ||
Finite-lived intangible asset, useful life | 742,000 | 774,000 |
Intangible assets with determinable lives, gross | 2,946,000 | 2,946,000 |
Accumulated amortization | $ 2,204,000 | $ 2,172,000 |
Other Intangible Assets [Member] | Minimum [Member] | ||
Finite-lived intangible asset, useful life (Year) | 5 years | |
Other Intangible Assets [Member] | Maximum [Member] | ||
Finite-lived intangible asset, useful life (Year) | 14 years | |
Finite-lived intangible asset, useful life | $ 514,000 |
Note 7 - Investments (Details T
Note 7 - Investments (Details Textual) - USD ($) $ in Millions | 3 Months Ended | |||
Sep. 30, 2018 | Dec. 31, 2017 | Oct. 01, 2017 | Jul. 01, 2018 | |
Cost Method Investments | $ 1.7 | $ 1.7 | ||
Flores Online [Member] | ||||
Equity Method Investment, Ownership Percentage | 24.90% | |||
Equity Method Investments | $ 0.6 | $ 0.6 | ||
Income (Loss) from Equity Method Investments, Total | (0.1) | $ (0.1) | ||
Percentage of Equity Method Investment Transferred to a Cost Method Investment | 5.00% | |||
Flores Online [Member] | Other Income (Expense), Net [Member] | ||||
Equity Method Investment, Other than Temporary Impairment | $ 0.2 | |||
Isabella Flores [Member] | ||||
Cost Method Investment, Ownership Percentage | 5.00% | |||
Cost Method Investments | $ 0.1 |
Note 8 - Debt (Details Textual)
Note 8 - Debt (Details Textual) - USD ($) $ in Thousands | 3 Months Ended | |||
Sep. 30, 2018 | Jul. 01, 2018 | Sep. 30, 2014 | ||
Credit Facility 2014 [Member] | Revolving Credit Facility [Member] | ||||
Proceeds from Lines of Credit, Total | $ 200,000 | |||
Line of Credit Facility, Maximum Borrowing Capacity | 100,000 | |||
Term Loan [Member] | ||||
Long-term Debt, Total | [1] | 102,781 | $ 104,938 | |
Long-term Debt, Maturities, Repayments of Principal, Remainder of Fiscal Year | 8,000 | |||
Long-term Debt, Maturities, Repayments of Principal in Year Two | 12,900 | |||
Long-term Debt, Maturities, Repayments of Principal in Year Three | 15,800 | |||
Long-term Debt, Maturities, Repayments of Principal in Year Four | $ 66,100 | |||
Term Loan [Member] | Credit Facility 2014 [Member] | ||||
Long-term Debt, Total | $ 115,000 | |||
Debt Instrument, Number of Installment Payments | 19 | |||
Debt Instrument, Principal Payment Percentage In Year One | 5.00% | |||
Debt Instrument, Principal Payment Percentage In Year Two | 7.50% | |||
Debt Instrument, Principal Payment Percentage In Year Three | 10.00% | |||
Debt Instrument, Principal Payment Percentage In Year Four | 12.50% | |||
Debt Instrument, Principal Payment Percentage in Year Five | 15.00% | |||
Debt Instrument, Principal Payment Due Upon Maturity | $ 61,800 | |||
Line of Credit and Term Loan [Member] | Base Rate [Member] | Minimum [Member] | ||||
Debt Instrument, Basis Spread on Variable Rate | 0.75% | |||
Line of Credit and Term Loan [Member] | Base Rate [Member] | Maximum [Member] | ||||
Debt Instrument, Basis Spread on Variable Rate | 1.50% | |||
Line of Credit and Term Loan [Member] | Federal Funds Effective Swap Rate [Member] | ||||
Debt Instrument, Base Rate, Basis Spread on Variable Rate | 0.50% | |||
Line of Credit and Term Loan [Member] | London Interbank Offered Rate (LIBOR) [Member] | ||||
Debt Instrument, Base Rate, Basis Spread on Variable Rate | 1.00% | |||
Line of Credit and Term Loan [Member] | London Interbank Offered Rate (LIBOR) [Member] | Minimum [Member] | ||||
Debt Instrument, Basis Spread on Variable Rate | 1.75% | |||
Line of Credit and Term Loan [Member] | London Interbank Offered Rate (LIBOR) [Member] | Maximum [Member] | ||||
Debt Instrument, Basis Spread on Variable Rate | 2.50% | |||
[1] | On December 23, 2016, the Company entered into an Amended and Restated Credit Agreement (the "2016 Amended Credit Agreement") with JPMorgan Chase Bank, N.A. as administrative agent, and a group of lenders. The 2016 Amended Credit Agreement amended and restated the Company's credit agreement dated September 30, 2014 to, among other things, extend the maturity date of the $115.0 million outstanding term loan ("Term Loan") and the revolving credit facility (the "Revolver") by approximately two years to December 23, 2021. The Term Loan is payable in 19 quarterly installments of principal and interest beginning on April 2, 2017, with escalating principal payments, at the rate of 5% in year one, 7.5% in year two, 10% in year three, 12.5% in year four, and 15% in year five, with the remaining balance of $61.8 million due upon maturity. The Revolver, in the aggregate amount of $200 million, subject to seasonal reduction to an aggregate amount of $100 million for the period from January 1 through August 1, may be used for working capital and general corporate purposes, subject to certain restrictions. |
Note 8 - Debt - Summary of Curr
Note 8 - Debt - Summary of Current and Long-term Debt (Details) - USD ($) $ in Thousands | Sep. 30, 2018 | Jul. 01, 2018 | |
Deferred financing costs | $ (2,383) | $ (2,608) | |
Debt instrument, carrying amount | 100,398 | 102,330 | |
Less: current debt | 10,781 | 10,063 | |
Long-term debt | 89,617 | 92,267 | |
Line of Credit [Member] | |||
Revolver | [1] | ||
Term Loan [Member] | |||
Term Loan | [1] | $ 102,781 | $ 104,938 |
[1] | On December 23, 2016, the Company entered into an Amended and Restated Credit Agreement (the "2016 Amended Credit Agreement") with JPMorgan Chase Bank, N.A. as administrative agent, and a group of lenders. The 2016 Amended Credit Agreement amended and restated the Company's credit agreement dated September 30, 2014 to, among other things, extend the maturity date of the $115.0 million outstanding term loan ("Term Loan") and the revolving credit facility (the "Revolver") by approximately two years to December 23, 2021. The Term Loan is payable in 19 quarterly installments of principal and interest beginning on April 2, 2017, with escalating principal payments, at the rate of 5% in year one, 7.5% in year two, 10% in year three, 12.5% in year four, and 15% in year five, with the remaining balance of $61.8 million due upon maturity. The Revolver, in the aggregate amount of $200 million, subject to seasonal reduction to an aggregate amount of $100 million for the period from January 1 through August 1, may be used for working capital and general corporate purposes, subject to certain restrictions. |
Note 9 - Property, Plant and _3
Note 9 - Property, Plant and Equipment - Summary of Property, Plant and Equipment (Details) - USD ($) $ in Thousands | Sep. 30, 2018 | Jul. 01, 2018 |
Property, plant, and equipment, gross | $ 344,815 | $ 339,922 |
Accumulated depreciation and amortization | (184,465) | (176,582) |
Property, plant and equipment, net | 160,350 | 163,340 |
Land [Member] | ||
Property, plant, and equipment, gross | 30,789 | 30,789 |
Orchards in Production and Land Improvements [Member] | ||
Property, plant, and equipment, gross | 11,240 | 10,962 |
Building and Building Improvements [Member] | ||
Property, plant, and equipment, gross | 58,935 | 58,450 |
Leasehold Improvements [Member] | ||
Property, plant, and equipment, gross | 13,263 | 12,997 |
Furniture and Fixtures [Member] | ||
Property, plant, and equipment, gross | 55,495 | 53,066 |
Computer and Telecommunication Equipment [Member] | ||
Property, plant, and equipment, gross | 47,669 | 46,925 |
Software and Software Development Costs [Member] | ||
Property, plant, and equipment, gross | 118,420 | 115,944 |
Capital Projects in Progress [Member] | ||
Property, plant, and equipment, gross | $ 9,004 | $ 10,789 |
Note 10 - Fair Value Measurem_3
Note 10 - Fair Value Measurements - Assets and Liabilities Measured at Fair Value (Details) - USD ($) $ in Thousands | Sep. 30, 2018 | Jul. 01, 2018 | |
Trading securities held in a “rabbi trust” | [1] | $ 10,889 | $ 9,368 |
Assets (liabilities) measured at fair value | 10,889 | 9,368 | |
Fair Value, Inputs, Level 1 [Member] | |||
Trading securities held in a “rabbi trust” | [1] | 10,889 | 9,368 |
Assets (liabilities) measured at fair value | 10,889 | 9,368 | |
Fair Value, Inputs, Level 2 [Member] | |||
Trading securities held in a “rabbi trust” | [1] | ||
Assets (liabilities) measured at fair value | |||
Fair Value, Inputs, Level 3 [Member] | |||
Trading securities held in a “rabbi trust” | [1] | ||
Assets (liabilities) measured at fair value | |||
[1] | The Company has established a Non-qualified Deferred Compensation Plan for certain members of senior management. Deferred compensation plan assets are invested in mutual funds held in a “rabbi trust,” which is restricted for payment to participants of the NQDC Plan. Trading securities held in a rabbi trust are measured using quoted market prices at the reporting date and are included in the "Other assets" line item, with the corresponding liability included in the "Other liabilities" line item in the consolidated balance sheets. |
Note 11 - Income Taxes (Details
Note 11 - Income Taxes (Details Textual) - USD ($) $ in Millions | Dec. 22, 2017 | Dec. 21, 2017 | Sep. 30, 2018 | Oct. 01, 2017 | Jul. 01, 2018 |
Effective Income Tax Rate Reconciliation, Percent, Total | 27.10% | 35.10% | |||
Effective Income Tax Rate Reconciliation, at Federal Statutory Income Tax Rate, Percent | 21.00% | 35.00% | 21.00% | 35.00% | 28.00% |
Unrecognized Tax Benefits, Ending Balance | $ 0.6 | ||||
Significant Change in Unrecognized Tax Benefits is Reasonably Possible, Amount of Unrecorded Benefit | $ 0.1 | ||||
Domestic Tax Authority [Member] | |||||
Income Tax Examination, Year under Examination | 2,016 | ||||
Domestic Tax Authority [Member] | Earliest Tax Year [Member] | |||||
Open Tax Year | 2,015 | ||||
Domestic Tax Authority [Member] | Latest Tax Year [Member] | |||||
Open Tax Year | 2,017 | ||||
State and Local Jurisdiction [Member] | Earliest Tax Year [Member] | |||||
Open Tax Year | 2,013 | ||||
Foreign Tax Authority [Member] | Earliest Tax Year [Member] | |||||
Open Tax Year | 2,013 |
Note 12 - Business Segments (De
Note 12 - Business Segments (Details Textual) | 3 Months Ended |
Sep. 30, 2018 | |
Number of Reportable Segments | 3 |
Note 12 - Business Segments - S
Note 12 - Business Segments - Segment Performance (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Sep. 30, 2018 | Oct. 01, 2017 | ||
Net revenues | $ 169,496 | $ 157,349 | |
Depreciation and amortization | (7,843) | (8,084) | |
Operating loss | (22,966) | (19,603) | |
Operating Segments [Member] | |||
Contribution margin | 6,012 | 8,685 | |
Corporate, Non-Segment [Member] | |||
Net revenues | 267 | 270 | |
Corporate | [1] | (21,135) | (20,204) |
Intersegment Eliminations [Member] | |||
Net revenues | (358) | (281) | |
Consumer Floral [Member] | |||
Net revenues | 85,076 | 76,610 | |
Consumer Floral [Member] | Operating Segments [Member] | |||
Net revenues | 85,076 | 76,610 | |
Contribution margin | 7,495 | 6,971 | |
BloomNet Wire Service [Member] | |||
Net revenues | 23,993 | 19,764 | |
BloomNet Wire Service [Member] | Operating Segments [Member] | |||
Net revenues | 23,993 | 19,764 | |
Contribution margin | 7,638 | 6,701 | |
Gourmet Food and Gift Baskets [Member] | |||
Net revenues | 60,518 | 60,986 | |
Gourmet Food and Gift Baskets [Member] | Operating Segments [Member] | |||
Net revenues | 60,518 | 60,986 | |
Contribution margin | $ (9,121) | $ (4,987) | |
[1] | Corporate expenses consist of the Company's enterprise shared service cost centers, and include, among other items, Information Technology, Human Resources, Accounting and Finance, Legal, Executive and Customer Service Center functions, as well as Stock-Based Compensation. In order to leverage the Company's infrastructure, these functions are operated under a centralized management platform, providing support services throughout the organization. The costs of these functions, other than those of the Customer Service Center, which are allocated directly to the above categories based upon usage, are included within corporate expenses as they are not directly allocable to a specific segment. |
Note 12 - Business Segments - D
Note 12 - Business Segments - Disaggregation of Revenue from Contracts with Customers (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Sep. 30, 2018 | Oct. 01, 2017 | |
Net revenues | $ 169,496 | $ 157,349 |
Corporate, Non-Segment [Member] | ||
Net revenues | 267 | 270 |
Intersegment Eliminations [Member] | ||
Net revenues | (358) | (281) |
E-commerce [Member] | Operating Segments [Member] | ||
Net revenues | 117,700 | 108,771 |
Retail Sales Channel [Member] | Operating Segments [Member] | ||
Net revenues | 8,640 | 8,964 |
Wholesale [Member] | Operating Segments [Member] | ||
Net revenues | 26,622 | 26,388 |
Bloomnet Services [Member] | Operating Segments [Member] | ||
Net revenues | 15,860 | 12,410 |
Other [Member] | Operating Segments [Member] | ||
Net revenues | 765 | 827 |
Consumer Floral [Member] | ||
Net revenues | 85,076 | 76,610 |
Consumer Floral [Member] | Operating Segments [Member] | ||
Net revenues | 85,076 | 76,610 |
Consumer Floral [Member] | E-commerce [Member] | Operating Segments [Member] | ||
Net revenues | 83,450 | 74,912 |
Consumer Floral [Member] | Retail Sales Channel [Member] | Operating Segments [Member] | ||
Net revenues | 861 | 871 |
Consumer Floral [Member] | Wholesale [Member] | Operating Segments [Member] | ||
Net revenues | ||
Consumer Floral [Member] | Bloomnet Services [Member] | Operating Segments [Member] | ||
Net revenues | ||
Consumer Floral [Member] | Other [Member] | Operating Segments [Member] | ||
Net revenues | 765 | 827 |
BloomNet Wire Service [Member] | ||
Net revenues | 23,993 | 19,764 |
BloomNet Wire Service [Member] | Operating Segments [Member] | ||
Net revenues | 23,993 | 19,764 |
BloomNet Wire Service [Member] | E-commerce [Member] | Operating Segments [Member] | ||
Net revenues | ||
BloomNet Wire Service [Member] | Retail Sales Channel [Member] | Operating Segments [Member] | ||
Net revenues | ||
BloomNet Wire Service [Member] | Wholesale [Member] | Operating Segments [Member] | ||
Net revenues | 8,133 | 7,354 |
BloomNet Wire Service [Member] | Bloomnet Services [Member] | Operating Segments [Member] | ||
Net revenues | 15,860 | 12,410 |
BloomNet Wire Service [Member] | Other [Member] | Operating Segments [Member] | ||
Net revenues | ||
Gourmet Food and Gift Baskets [Member] | ||
Net revenues | 60,518 | 60,986 |
Gourmet Food and Gift Baskets [Member] | Operating Segments [Member] | ||
Net revenues | 60,518 | 60,986 |
Gourmet Food and Gift Baskets [Member] | E-commerce [Member] | Operating Segments [Member] | ||
Net revenues | 34,250 | 33,859 |
Gourmet Food and Gift Baskets [Member] | Retail Sales Channel [Member] | Operating Segments [Member] | ||
Net revenues | 7,779 | 8,093 |
Gourmet Food and Gift Baskets [Member] | Wholesale [Member] | Operating Segments [Member] | ||
Net revenues | 18,489 | 19,034 |
Gourmet Food and Gift Baskets [Member] | Bloomnet Services [Member] | Operating Segments [Member] | ||
Net revenues | ||
Gourmet Food and Gift Baskets [Member] | Other [Member] | Operating Segments [Member] | ||
Net revenues |