Document and Entity Information
Document and Entity Information - shares | 3 Months Ended | |
May 01, 2021 | Jun. 04, 2021 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Transition Report | false | |
Document Period End Date | May 1, 2021 | |
Entity File Number | 001-36401 | |
Entity Registrant Name | SPORTSMAN’S WAREHOUSE HOLDINGS, INC. | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 39-1975614 | |
Entity Address, Address Line One | 1475 West 9000 South, Suite A | |
Entity Address, City or Town | West Jordan | |
Entity Address, State or Province | UT | |
Entity Address, Postal Zip Code | 84088 | |
City Area Code | 801 | |
Local Phone Number | 566-6681 | |
Title of 12(b) Security | Common stock, $.01 par value | |
Trading Symbol | SPWH | |
Security Exchange Name | NASDAQ | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 43,831,224 | |
Current Fiscal Year End Date | --01-29 | |
Document Fiscal Year Focus | 2021 | |
Document Fiscal Period Focus | Q1 | |
Entity Central Index Key | 0001132105 | |
Amendment Flag | false |
CONDENSED CONSOLIDATED BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | May 01, 2021 | Jan. 30, 2021 |
Current assets: | ||
Cash | $ 59,719 | $ 65,525 |
Accounts receivable, net | 574 | 581 |
Merchandise inventories | 287,077 | 243,434 |
Prepaid expenses and other | 15,957 | 15,113 |
Total current assets | 363,327 | 324,653 |
Operating lease right of use asset | 239,407 | 235,262 |
Property and equipment, net | 101,364 | 99,118 |
Goodwill | 1,496 | 1,496 |
Definite lived intangibles, net | 280 | 289 |
Total assets | 705,874 | 660,818 |
Current liabilities: | ||
Accounts payable | 113,045 | 77,441 |
Accrued expenses | 108,116 | 109,056 |
Income taxes payable | 7,872 | 4,917 |
Operating lease liability, current | 36,386 | 36,014 |
Total current liabilities | 265,419 | 227,428 |
Long-term liabilities: | ||
Deferred income taxes | 378 | 434 |
Operating lease liability, noncurrent | 226,220 | 228,296 |
Total long-term liabilities | 226,598 | 228,730 |
Total liabilities | 492,017 | 456,158 |
Commitments and contingencies | ||
Stockholders' equity: | ||
Preferred stock, $.01 par value; 20,000 shares authorized; 0 shares issued and outstanding | ||
Common stock, $.01 par value; 100,000 shares authorized; 43,831 and 43,623 shares issued and outstanding, respectively | 438 | 436 |
Additional paid-in capital | 88,560 | 89,815 |
Accumulated earnings | 124,859 | 114,409 |
Total stockholders' equity | 213,857 | 204,660 |
Total liabilities and stockholders' equity | $ 705,874 | $ 660,818 |
CONDENSED CONSOLIDATED BALANC_2
CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares shares in Thousands | May 01, 2021 | Jan. 30, 2021 |
CONDENSED CONSOLIDATED BALANCE SHEETS | ||
Preferred stock, par value | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized | 20,000 | 20,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock, par value | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 100,000 | 100,000 |
Common stock, shares issued | 43,831 | 43,623 |
Common stock, shares outstanding | 43,831 | 43,623 |
CONDENSED CONSOLIDATED STATEMEN
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | |
May 01, 2021 | May 02, 2020 | |
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS | ||
Net sales | $ 326,992 | $ 246,835 |
Cost of goods sold | 222,945 | 172,061 |
Gross profit | 104,047 | 74,774 |
Selling, general, and administrative expenses | 90,419 | 75,219 |
Income (loss) from operations | 13,628 | (445) |
Interest expense | 226 | 1,534 |
Income (loss) before income taxes | 13,402 | (1,979) |
Income tax expense (benefit) | 2,952 | (849) |
Net income (loss) | $ 10,450 | $ (1,130) |
Earnings (loss) per share: | ||
Basic | $ 0.24 | $ (0.03) |
Diluted | $ 0.23 | $ (0.03) |
Weighted average shares outstanding: | ||
Basic | 43,690 | 43,327 |
Diluted | 44,514 | 43,327 |
CONDENSED CONSOLIDATED STATEM_2
CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY - USD ($) shares in Thousands, $ in Thousands | Common Stock | Additional paid-in-capital | Accumulated (deficit) earnings | Total |
Balance, shares at Feb. 01, 2020 | 43,296 | |||
Balance at Feb. 01, 2020 | $ 433 | $ 86,806 | $ 23,029 | $ 110,268 |
Vesting of restricted stock units (in shares) | 255 | |||
Vesting of restricted stock units | $ 3 | (3) | ||
Payment of withholdings on restricted stock units | (689) | (689) | ||
Stock based compensation | 736 | 736 | ||
Net income (loss) | (1,130) | (1,130) | ||
Balance, shares at May. 02, 2020 | 43,551 | |||
Balance at May. 02, 2020 | $ 436 | 86,850 | 21,899 | $ 109,185 |
Balance, shares at Jan. 30, 2021 | 43,623 | 43,623 | ||
Balance at Jan. 30, 2021 | $ 436 | 89,815 | 114,409 | $ 204,660 |
Vesting of restricted stock units (in shares) | 208 | |||
Vesting of restricted stock units | $ 2 | (2) | ||
Payment of withholdings on restricted stock units | (2,269) | (2,269) | ||
Stock based compensation | 1,016 | 1,016 | ||
Net income (loss) | 10,450 | $ 10,450 | ||
Balance, shares at May. 01, 2021 | 43,831 | 43,831 | ||
Balance at May. 01, 2021 | $ 438 | $ 88,560 | $ 124,859 | $ 213,857 |
CONDENSED CONSOLIDATED STATEM_3
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 3 Months Ended | |
May 01, 2021 | May 02, 2020 | |
Cash flows from operating activities: | ||
Net income (loss) | $ 10,450 | $ (1,130) |
Adjustments to reconcile net income (loss) to net cash (used in) provided by operating activities: | ||
Depreciation of property and equipment | 5,767 | 5,326 |
Amortization of deferred financing fees | 66 | 84 |
Amortization of definite lived intangible | 10 | 7 |
Loss on asset dispositions | 803 | |
Noncash lease expense | 1,386 | 6,076 |
Deferred income taxes | (56) | 2,962 |
Stock-based compensation | 1,016 | 736 |
Change in operating assets and liabilities, net of amounts acquired: | ||
Accounts receivable, net | 7 | 323 |
Operating lease liabilities | (7,235) | (7,321) |
Merchandise inventories | (43,643) | (23,298) |
Prepaid expenses and other | (910) | (2,270) |
Accounts payable | 34,128 | 46,645 |
Accrued expenses | (7,951) | 6,090 |
Income taxes payable and receivable | 2,955 | (3,752) |
Net cash (used in) provided by operating activities | (4,010) | 31,281 |
Cash flows from investing activities: | ||
Purchase of property and equipment, net of amounts acquired | (5,615) | (4,833) |
Acquisition of Field and Stream stores, net of cash acquired | (1,024) | |
Net cash used in investing activities | (5,615) | (5,857) |
Cash flows from financing activities: | ||
Net payments on line of credit | 2,345 | |
Increase in book overdraft, net | 6,088 | (2,675) |
Payment of withholdings on restricted stock units | (2,269) | (689) |
Principal payments on long-term debt | (4,000) | |
Net cash provided by (used in) financing activities | 3,819 | (5,019) |
Net change in cash | (5,806) | 20,405 |
Cash at beginning of period | 65,525 | 1,685 |
Cash at end of period | 59,719 | 22,090 |
Cash paid during the period for: | ||
Interest, net of amounts capitalized | 226 | 1,308 |
Income taxes, net of refunds | 53 | 59 |
Supplemental schedule of noncash activities: | ||
Noncash change in operating lease right of use asset and operating lease liabilities from remeasurement of existing leases and addition of new leases | 5,559 | 2,150 |
Purchases of property and equipment included in accounts payable and accrued expenses | $ 4,285 | 661 |
Payable to seller relating to acquisition of Field and Stream stores | $ 1,024 |
Description of Business and Bas
Description of Business and Basis of Presentation | 3 Months Ended |
May 01, 2021 | |
Description of Business and Basis of Presentation | |
Description of Business and Basis of Presentation | (1) Description of Business and Basis of Presentation Description of Business Sportsman’s Warehouse Holdings, Inc. (“Holdings”) and its subsidiaries (collectively, the “Company”) operate retail sporting goods stores. As of May 1, 2021, the Company operated 112 stores in 27 states. The Company also operates an e-commerce platform at www.sportsmans.com. The Company’s stores and website are aggregated into one operating Basis of Presentation The condensed consolidated financial statements included herein are unaudited and have been prepared by management of the Company pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”). Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) have been condensed or omitted pursuant to such rules and regulations. The Company’s condensed consolidated balance sheet as of January 30, 2021 was derived from the Company’s audited consolidated balance sheet as of that date. All other condensed consolidated financial statements contained herein are unaudited and reflect all adjustments that are, in the opinion of management, necessary to summarize fairly our condensed consolidated financial statements for the periods presented. All of these adjustments are of a normal recurring nature. The results of the fiscal quarter ended May 1, 2021 are not necessarily indicative of the results to be obtained for the year ending January 29, 2022. These condensed consolidated financial statements should be read in conjunction with the Company’s audited consolidated financial statements and notes thereto included in the Company’s Annual Report on Form 10-K for the fiscal year ended January 30, 2021 filed with the SEC on April 2, 2021 (the “Fiscal 2020 Form 10-K”). Impact of COVID-19 Pandemic During March 2020, the World Health Organization declared the rapidly growing coronavirus outbreak to be a global pandemic. The COVID-19 pandemic has significantly impacted health and economic conditions throughout the United States. Beginning in March 2020, the Company reduced store hours to allow sufficient time to restock its shelves and perform additional cleaning, and the Company also limited the number of customers in its stores at any one time. During the second quarter of fiscal 2020, the Company returned to normal operating hours in each of its stores. The Company may again restrict the operations of its stores and its distribution facility if it deems this appropriate or if recommended or mandated by authorities. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 3 Months Ended |
May 01, 2021 | |
Summary of Significant Accounting Policies | |
Summary of Significant Accounting Policies | (2) Summary of Significant Accounting Policies The Company’s significant accounting policies are described in Note 2 to the Company’s Fiscal 2020 Form 10-K. Except for the changes below, the Company has consistently applied the accounting policies to all periods presented in these condensed consolidated financial statements. Recently Issued Accounting Pronouncements In March 2020, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2020-04, Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting . This ASU provides temporary optional expedients and exceptions to existing guidance on contract modifications and hedge accounting to facilitate the market transition from existing reference rates, such as the London Inter-Bank Offered Rate (“LIBOR”) which is being phased out in 2021, to modifications and other changes occur while LIBOR is phased out. The Company is in the process of evaluating the optional relief guidance provided within this ASU. Management will continue its assessment and monitor regulatory developments during the LIBOR transition period. |
Revenue Recognition
Revenue Recognition | 3 Months Ended |
May 01, 2021 | |
Revenue Recognition | |
Revenue Recognition | (3) Revenue Recognition Revenue recognition accounting policy The Company operates solely as an outdoor retailer, which includes both retail stores and an e-commerce platform, that offers a broad range of products in the United States and online. Generally, all revenues are recognized when control of the promised goods is transferred to customers, in an amount that reflects the consideration in exchange for those goods. Accordingly, the Company implicitly enters into a contract with customers to deliver merchandise inventory at the point of sale. Collectability is reasonably assured since the Company only extends credit for immaterial purchases to certain municipalities. Substantially all of the Company’s revenue is for single performance obligations for the following distinct items: ● Retail store sales ● E-commerce sales ● Gift cards and loyalty reward program For performance obligations related to retail store and e-commerce sales contracts, the Company typically transfers control, for retail stores, upon consummation of the sale when the product is paid for and taken by the customer and, for e-commerce sales, when the products are tendered for delivery to the common carrier. The transaction price for each contract is the stated price on the product, reduced by any stated discounts at that point in time. The Company does not engage in sales of products that attach a future material right which could result in a separate performance obligation for the purchase of goods in the future at a material discount. The implicit point-of-sale contract with the customer, as reflected in the transaction receipt, states the final terms of the sale, including the description, quantity, and price of each product purchased. Payment for the Company’s contracts is due in full upon delivery. The customer agrees to a stated price implicit in the contract that does not vary over the contract. The transaction price relative to sales subject to a right of return reflects the amount of estimated consideration to which the Company expects to be entitled. This amount of variable consideration included in the transaction price, and measurement of net sales, is included in net sales only to the extent that it is probable that there will be no significant reversal in a future period. Actual amounts of consideration ultimately received may differ from the Company’s estimates. The allowance for sales returns is estimated based upon historical experience and a provision for estimated returns is recorded as a reduction in sales in the relevant period. The estimated merchandise inventory cost related to the sales returns is recorded in prepaid expenses and other. The estimated refund liabilities are recorded in accrued expenses. If actual results in the future vary from the Company’s estimates, the Company adjusts these estimates, which would affect net sales and earnings in the period such variances become known. Contract liabilities are recognized primarily for gift card sales and our loyalty reward program. Cash received from the sale of gift cards is recorded as a contract liability in accrued expenses, and the Company recognizes revenue upon the customer’s redemption of the gift card. Gift card breakage is recognized as revenue in proportion to the pattern of customer redemptions by applying a historical breakage rate of 3.5% when no escheat liability to relevant jurisdictions exists. Based upon historical experience, gift cards are predominantly redeemed in the first two years following their issuance date. The Company does not sell or provide gift cards that carry expiration dates. Accounting Standards Codification (“ASC”) 606 requires the Company to allocate the transaction price between the goods and the loyalty reward points based on the relative stand alone selling price. The Company recognized revenue for the breakage of loyalty reward points as revenue in proportion to the pattern of customer redemption of the points by applying a historical breakage rate of 50% when no escheat liability to relevant jurisdictions exists. We offer promotional financing and credit cards issued by a third-party bank that manages and directly extends credit to our customers. We provide a license to our brand and marketing services, and we facilitate credit applications in our stores and online. The banks are the sole owners of the accounts receivable generated under the program and, accordingly, we do not hold any customer receivables related to these programs and act as an agent in the financing transactions with customers. We are eligible to receive a profit share from certain of our banking partners based on the annual performance of their corresponding portfolio, and we receive monthly payments based on forecasts of full-year performance. This is a form of variable consideration. We record such profit share as revenue over time using the most likely amount method, which reflects the amount earned each month when it is determined that the likelihood of a significant revenue reversal is not probable, which is typically monthly. Profit-share payments occur monthly, shortly after the end of each program month. Taxes assessed by a governmental authority that are both imposed on and concurrent with a specific revenue-producing transaction, that are collected by the Company from a customer, are excluded from revenue. Sales returns The Company allows customers to return items purchased within 30 days provided the merchandise is in resaleable condition with original packaging and the original sales/gift receipt is presented. The Company estimates a reserve for sales returns and records the respective reserve amounts, including a right to return asset when a product is expected to be returned and resold. Historical experience of actual returns and customer return rights are the key factors used in determining the estimated sales returns. Contract balances The following table provides information about right of return assets, contract liabilities, and sales return liabilities with customers as of May 1, 2021 and January 30, 2021: May 1, 2021 January 30, 2021 Right of return assets, which are included in prepaid expenses and other $ 2,004 $ 2,940 Estimated gift card contract liability, net of breakage (21,884) (22,069) Estimated loyalty contract liability, net of breakage (12,630) (12,131) Sales return liabilities, which are included in accrued expenses (2,991) (4,388) For the 13 weeks ended May 1, 2021, the Company recognized approximately $381 in gift card breakage and approximately $1,175 in loyalty reward breakage. For the 13 weeks ended May 2, 2020, the Company recognized approximately $276 in gift card breakage and approximately $555 in loyalty reward breakage. For the 13 weeks ended May 1, 2021, the Company recognized revenue of $7,721 relating to contract liabilities that existed at January 30, 2021. The current balance of the right of return assets is the expected amount of inventory to be returned that is expected to be resold. The current balance of the contract liabilities primarily relates to the gift card and loyalty reward program liabilities. The Company expects the revenue associated with these liabilities to be recognized in proportion to the pattern of customer redemptions over the next two years. The current balance of sales return liabilities is the expected amount of sales returns from sales that have occurred. Disaggregation of revenue from contracts with customers In the following table, revenue from contracts with customers is disaggregated by department. The percentage of net sales related to the Company’s departments for the 13 weeks ended May 1, 2021 and May 2, 2020, was approximately: Thirteen Weeks Ended May 1, May 2, Department Product Offerings 2021 2020 Camping Backpacks, camp essentials, canoes and kayaks, coolers, outdoor cooking equipment, sleeping bags, tents and tools 11.3% 10.2% Apparel Camouflage, jackets, hats, outerwear, sportswear, technical gear and work wear 6.4% 4.4% Fishing Bait, electronics, fishing rods, flotation items, fly fishing, lines, lures, reels, tackle and small boats 11.5% 10.1% Footwear Hiking boots, socks, sport sandals, technical footwear, trail shoes, casual shoes, waders and work boots 6.1% 4.4% Hunting and Shooting Ammunition, archery items, ATV accessories, blinds and tree stands, decoys, firearms, reloading equipment and shooting gear 58.6% 65.6% Optics, Electronics, Accessories, and Other Gift items, GPS devices, knives, lighting, optics, two-way radios, and other license revenue, net of revenue discounts 6.1% 5.3% Total 100.0% 100.0% |
Property and Equipment
Property and Equipment | 3 Months Ended |
May 01, 2021 | |
Property and Equipment. | |
Property and Equipment | (4) Property and Equipment Property and equipment as of May 1, 2021 and January 30, 2021 were as follows: May 1, January 30, 2021 2021 Furniture, fixtures, and equipment $ 99,318 $ 96,085 Leasehold improvements 113,468 112,338 Construction in progress 6,283 2,614 Total property and equipment, gross 219,069 211,037 Less accumulated depreciation and amortization (117,705) (111,919) Total property and equipment, net $ 101,364 $ 99,118 |
Accrued Expenses
Accrued Expenses | 3 Months Ended |
May 01, 2021 | |
Accrued Expenses | |
Accrued Expenses | (5) Accrued Expenses Accrued expenses consisted of the following as of May 1, 2021 and January 30, 2021: May 1, January 30, 2021 2021 Book overdraft $ 19,534 $ 13,445 Unearned revenue 39,202 38,454 Accrued payroll and related expenses 18,181 28,453 Sales and use tax payable 7,718 7,317 Accrued construction costs 1,261 339 Other 22,220 21,048 Total accrued expenses $ 108,116 $ 109,056 |
Leases
Leases | 3 Months Ended |
May 01, 2021 | |
Leases | |
Leases | (6) Leases At the inception of the lease, the Company’s operating leases have certain lease terms of up to 10 years, which typically includes multiple options for the Company to extend the lease which are not reasonably certain and as such are excluded from the measurement of the right of use asset and liability. The Company determines whether a contract is or contains a lease at contract inception. As the rate implicit in the lease is not readily determinable in most of the Company’s leases, it uses its incremental borrowing rate based on the information available at commencement date to determine the present value of lease payments. The Company's incremental borrowing rate for a lease is the rate of interest it would have to pay on a collateralized basis to borrow an amount equal to the lease payments under similar terms. The operating lease asset also includes any fixed lease payments made and includes lease incentives and incurred initial direct costs. Operating lease expense for fixed lease payments is recognized on a straight-line basis over the lease term. The Company’s lease terms may include options to extend or terminate the lease. Additionally, the Company’s leases do not contain any material residual guarantees or material restrictive covenants. In the 13 weeks ended May 1, 2021, the Company recorded a non-cash increase of $5,559 to the right of use assets and operating lease liabilities resulting from lease remeasurements from the exercise of lease extension options, acquired leases, and new leases added. In accordance with ASC 842, total lease expense, including common area maintenance (“CAM”), recorded during the 13 weeks ended May 1, 2021 was $18,398. In accordance with ASC 842, total lease expense, including CAM, recorded during the 13 weeks ended May 2, 2020 was $16,547. In accordance with ASC 842, other information related to leases was as follows: Thirteen Weeks Ended May 1, May 2, 2021 2020 Operating cash flows from operating leases $ (14,561) $ (13,464) Cash paid for amounts included in the measurement of lease liabilities - operating leases (14,561) (13,464) As of May 1, As of May 2, 2021 2020 Right-of-use assets obtained in exchange for new or remeasured operating lease liabilities $ 5,559 $ 5,352 Terminated right-of-use assets and liabilities — (3,202) Weighted-average remaining lease term - operating leases 5.96 6.12 Weighted-average discount rate - operating leases 8.39% 8.03% In accordance with ASC 842, maturities of operating lease liabilities as of May 1, 2021 were as follows: Operating Year Endings: Leases 2021 (remainder) $ 44,324 2022 58,207 2023 53,256 2024 44,839 2025 38,279 Thereafter 145,146 Undiscounted cash flows $ 384,051 Reconciliation of lease liabilities: Present values $ 262,606 Lease liabilities - current 36,386 Lease liabilities - noncurrent 226,220 Lease liabilities - total $ 262,606 Difference between undiscounted and discounted cash flows $ 121,445 |
Revolving Line of Credit
Revolving Line of Credit | 3 Months Ended |
May 01, 2021 | |
Revolving Line of Credit | |
Revolving Line of Credit | (7) Revolving Line of Credit On May 23, 2018, Sportsman’s Warehouse, Inc. (“SWI”), a wholly owned subsidiary of the Company, as lead borrower, and Wells Fargo Bank, National Association (“Wells Fargo”), with a consortium of banks led by Wells Fargo, entered into an Amended and Restated Credit Agreement (as amended, restated, supplemented or otherwise modified, the “Amended Credit Agreement”). The Amended Credit Agreement governs the Company’s senior secured revolving credit facility (“Revolving Line of Credit”) and a $40,000 term loan (the “Term Loan”). The Revolving Line of Credit provides a borrowing capacity of up to $250,000, subject to a borrowing base calculation. The Term Loan was repaid in full during fiscal year 2020. In conjunction with the Amended Credit Agreement, the Company incurred $1,331 of fees paid to various parties which were capitalized. Fees associated with the Revolving Line of Credit were recorded in prepaid expenses and other. As of both May 1, 2021, and January 30, 2021, the Company had $0 in outstanding revolving loans under the Revolving Line of Credit. Amounts outstanding are offset on the condensed consolidated balance sheets by amounts in depository accounts under lock-box or similar arrangements, which were $15,678 and $13,553 as of May 1, 2021 and January 30, 2021, respectively. As both of these periods had no remaining balance on the line of credit, these amounts were included in Cash as of May 1, 2021 and January 30, 2021. As of May 1, 2021, the Company had stand-by commercial letters of credit of $1,955 under the terms of the Revolving Line of Credit. The Amended Credit Agreement contains customary affirmative and negative covenants, including covenants that limit the Company’s ability to incur, create or assume certain indebtedness, to create, incur or assume certain liens, to make certain investments, to make sales, transfers and dispositions of certain property and to undergo certain fundamental changes, including certain mergers, liquidations and consolidations. The Amended Credit Agreement also requires the Company to maintain a minimum availability at all times of not less than 10% of the gross borrowing base. The Amended Credit Agreement contains customary events of default. The Revolving Line of Credit matures on May 23, 2023 As of May 1, 2021, the Revolving Line of Credit had $520 in deferred financing fees and as of January 30, 2021, the Revolving Line of Credit had $583 in deferred financing fees. During the 13 weeks ended May 1, 2021, the Company recognized $63 of non-cash interest expense with respect to the amortization of deferred financing fees. During the 13 weeks ended May 2, 2020, the Company recognized $66 of non-cash interest expense with respect to the amortization of deferred financing fees. For the 13 weeks ended May 1, 2021, gross borrowings under the Revolving Line of Credit were $357,478. For the 13 weeks ended May 2, 2020 gross borrowing under the Revolving Line of Credit were $274,959. For the 13 weeks ended May 1, 2021, gross paydowns under the Revolving Line of Credit were $357,640. For the 13 weeks ended May 2, 2020, gross paydowns under the Revolving Line of Credit were $266,798. Restricted Net Assets The provisions of the Revolving Line of Credit restrict all of the net assets of the Company’s consolidated subsidiaries, which constitute all of the net assets on the Company’s condensed consolidated balance sheet as of May 1, 2021, from being used to pay any dividends without prior written consent from the financial institutions party to the Company’s Revolving Line of Credit. |
Income Taxes
Income Taxes | 3 Months Ended |
May 01, 2021 | |
Income Taxes | |
Income Taxes | (8) Income Taxes The Company recognized an income tax expense of $2,952 in the 13 weeks ended May 1, 2021 and an income tax benefit of $849 in the 13 weeks ended May 2, 2020. The Company’s effective tax rate for the 13 weeks ended May 1, 2021 and May 2, 2020 was 22.0% and 42.9%, respectively. The Company’s effective tax rate will generally differ from the U.S. Federal statutory rate of 21.0%, due to state taxes, permanent items, and discrete items relating to stock award deductions. |
Earnings Per Share
Earnings Per Share | 3 Months Ended |
May 01, 2021 | |
Earnings Per Share | |
Earnings Per Share | (9) Earnings Per Share Basic earnings per share is calculated by dividing net income by the weighted-average number of shares of common stock outstanding, reduced by the number of shares repurchased and held in treasury, during the period. Diluted earnings per share represents basic earnings per share adjusted to include the potentially dilutive effect of outstanding share option awards, nonvested share awards and nonvested share unit awards. The following table sets forth the computation of basic and diluted income per common share: Thirteen Weeks Ended May 1, May 2, 2021 2020 Net income (loss) $ 10,450 $ (1,130) Weighted-average shares of common stock outstanding: Basic 43,690 43,327 Dilutive effect of common stock equivalents 824 — Diluted 44,514 43,327 Basic earnings (loss) per share $ 0.24 $ (0.03) Diluted earnings (loss) per share $ 0.23 $ (0.03) Restricted stock units considered anti-dilutive and excluded in the calculation 1 6 |
Stock-Based Compensation
Stock-Based Compensation | 3 Months Ended |
May 01, 2021 | |
Stock-Based Compensation | |
Stock-Based Compensation | (10) Stock-Based Compensation Stock-Based Compensation During the 13 weeks ended May 1, 2021 the Company recognized total stock-based compensation expense of $1,016. During the 13 weeks ended May 2, 2020 the Company recognized total stock-based compensation expense of $736. Compensation expense related to the Company's stock-based payment awards is recognized in selling, general, and administrative expenses in the condensed consolidated statements of operations. Employee Stock Plans As of May 1, 2021, the number of shares available for awards under the 2019 Performance Incentive Plan (the “2019 Plan”) was 2,202. As of May 1, 2021, there were 1,267 unvested stock awards outstanding under the 2019 Plan. As of January 30, 2021, due to the pending merger with the Great Outdoors Group, the Company has discontinued the ESPP program in accordance with the plan document. Employee Stock Purchase Plan The Company also has an Employee Stock Purchase Plan (“ESPP”) that was approved by shareholders in fiscal year 2015, under which 800 shares of common stock have been authorized. For the 13 weeks ended May 1, 2021, no shares were issued under the ESPP and, as of May 1, 2021, the number of shares available for issuance was 374. Nonvested Performance-Based Stock Awards During the 13 weeks ended May 1, 2021, the Company did not issue any nonvested performance-based stock awards. During the 13 weeks ended May 2, 2020, the Company issued 198 nonvested performance-based stock awards to employees at a weighted average grant date fair value of $5.63 per share. The nonvested performance-based stock awards issued to employees vest in full on the third anniversary of the grant date. The number of shares issued is contingent on management achieving fiscal year 2020, 2021, and 2022 performance targets for total revenue growth and adjusted EPS. If minimum threshold performance targets are not achieved, no shares will vest. Based on the performance conditions met for fiscal year 2020, 396 shares were issued, which was the maximum number of shares subject to the award. Vesting of the shares earned are subject to the employees’ continued employment with the Company. The following table sets forth the rollforward of outstanding nonvested performance-based stock awards (per share amounts are not in thousands): Weighted average grant-date Shares fair value Balance at January 30, 2021 624 $ 5.13 Grants — — Forfeitures (13) 5.63 Vested (22) 4.91 Balance at May 1, 2021 589 $ 5.13 Weighted average grant-date Shares fair value Balance at February 1, 2020 250 $ 3.66 Grants 198 5.63 Forfeitures — — Vested — — Balance at May 2, 2020 448 $ 4.53 Nonvested Stock Unit Awards During the 13 weeks ended May 1, 2021, the Company issued 221 nonvested stock units to employees of the Company at an average value of $17.27 per share. The shares issued to employees of the Company vest over a three year period with one During the 13 weeks ended May 2, 2020, the Company issued 382 nonvested stock units to employees of the Company at an average value of $5.63 per share. The shares issued to employees of the Company vest over a three year period with one third of the shares vesting on each grant date anniversary. The following table sets forth the rollforward of outstanding nonvested stock units (per share amounts are not in thousands): Weighted average grant-date Shares fair value Balance at January 30, 2021 779 $ 5.19 Grants 221 17.27 Forfeitures (18) 7.33 Vested (303) 5.05 Balance at May 1, 2021 679 $ 9.15 Weighted average grant-date Shares fair value Balance at February 1, 2020 744 $ 4.32 Grants 382 5.63 Forfeitures (5) 4.89 Vested (258) 4.36 Balance at May 2, 2020 863 $ 4.90 |
Commitments and Contingencies
Commitments and Contingencies | 3 Months Ended |
May 01, 2021 | |
Commitments and Contingencies. | |
Commitments and Contingencies | (11) Commitments and Contingencies Legal Matters The Company is involved in various legal matters generally incidental to its business. After discussion with legal counsel, management is not aware of any matters for which the likelihood of a loss is probable and reasonably estimable and which could have a material impact on its consolidated financial condition, liquidity, or results of operations. Parsons v. Colt’s Manufacturing Company 2:19-cv-01189-APG-EJY – TMS McCarthy, LP, Etc., Pltf. v. Sportsman’s Warehouse Southwest, Inc. Etc. Et Al., Dfts. |
Acquisition of Field and Stream
Acquisition of Field and Stream Stores | 3 Months Ended |
May 01, 2021 | |
Acquisition of Field and Stream Stores | |
Acquisition of Field and Stream Stores | (12) Acquisition of Field and Stream Stores On February 14, 2020, SWI, a wholly owned subsidiary of The aggregate consideration paid to DICK’S under the 2020-I Purchase Agreement was $2,139 (the “2020-I Purchase Price”), subject to certain post-closing adjustments set forth in the 2020-I Purchase Agreement. On the 2020-I Closing Date, SWI drew $1,100 under the Revolving Line of Credit to fund a portion of the 2020-I Purchase Price. The remaining approximately $1,000 of consideration owed to DICK’S in connection with the acquisition was paid in June 2020. On March 6, 2020, SWI, a wholly owned subsidiary of The aggregate consideration paid to DICK’S under the 2020-II Purchase Agreement was $2,411 (the “2020-II Purchase Price”), subject to certain post-closing adjustments set forth in the 2020-II Purchase Agreement. On the 2020-II Closing Date, SWI drew $1,317 under the Revolving Line of Credit to fund a portion of the 2020-II Purchase Price. The remaining approximately $1,100 of consideration owed to DICK’S in connection with the acquisition was paid in August 2020. On September 16, 2020, SWI, a wholly owned subsidiary of The aggregate consideration paid to DICK’S under the 2020-III Purchase Agreement is $2,001, net of rent concessions and deferrals of $2,597 (the “2020-III Purchase Price”), and subject to certain post-closing adjustments set forth in the 2020-III Purchase Agreement. On the 2020-III Closing Date, SWI drew $226 under the Revolving Line of Credit to fund a portion of the 2020-III Purchase Price. The remaining approximately $1,774 of consideration owed to DICK’S in connection with the acquisition was paid in January 2021. As part of the acquisitions that closed in 2020, the Company incurred legal, accounting, and other due diligence fees that were expensed as incurred. Total fees incurred for the three month ended May 2, 2020 were $29, which were included as a component of selling, general, and administrative expenses. The acquired locations were in line with the seller’s intention to reduce its footprint in the hunting and firearms business, which resulted in a below fair value purchase price consideration shown in the tables below. The following table summarizes the 2020-I Purchase Price consideration and related cash outflow at the 2020-I Closing Date: March 12, 2020 Cash paid to seller $ 1,075 Payable to seller 1,064 Total purchase price $ 2,139 The net 2020-I Purchase Price of $2,139 has been allocated to identifiable assets acquired based on their respective estimated fair values. No liabilities were assumed as part of the acquisition of the 2020-I Acquired Stores other than the lease obligation. The excess of the fair value over the 2020-I Purchase price of the tangible and intangible assets acquired is recorded as a bargain purchase. The following table summarizes the estimated fair value of the identifiable assets acquired and assumed liabilities as of the 2020-I Closing Date: March 12, 2020 Cash $ 10 Inventory 2,133 Property, plant, and equipment 892 Operating lease right of use asset 2,070 Operating lease right of use liability (1,794) Deferred tax liability (314) Bargain purchase (858) Total $ 2,139 The following table summarizes the 2020-II Purchase Price consideration and related cash outflow at the 2020-II Closing Date: May 14, 2020 Cash paid to seller $ 1,317 Payable to seller 1,094 Total purchase price $ 2,411 The net 2020-II Purchase Price of $2,411 has been allocated to identifiable assets acquired based on their respective estimated fair values. No liabilities were assumed as part of the acquisition of the 2020-II Acquired Stores other than the lease obligation. The excess of the fair value over the 2020-II Purchase Price of the tangible and intangible assets acquired is recorded as a bargain purchase. The following table summarizes the estimated fair value of the identifiable assets acquired and assumed liabilities as of the 2020-II Closing Date: May 14, 2020 Cash $ 18 Inventory 2,218 Property, plant, and equipment 375 Operating lease right of use asset 5,605 Operating lease right of use liability (5,605) Deferred tax liability (53) Bargain purchase (147) Total $ 2,411 The following table summarizes the 2020-III Purchase Price consideration and related cash outflow at the 2020-III Closing Date: October 8, 2020 Cash paid to seller $ 227 Payable to seller 1,774 Total purchase price $ 2,001 The net 2020-III Purchase Price of $2,001 has been allocated to identifiable assets acquired based on their respective estimated fair values. No liabilities were assumed as part of the acquisition of the 2020-III Acquired Stores other than the lease obligation. The excess of the fair value over the 2020-III Purchase Price of the tangible and intangible assets acquired is recorded as a bargain purchase. The following table summarizes the estimated fair value of the identifiable assets acquired and assumed liabilities as of the 2020-III Closing Date: October 8, 2020 Cash $ 50 Inventory 3,515 Property, plant, and equipment 1,046 Operating lease right of use asset 9,534 Operating lease right of use liability (10,508) Deferred tax liability (423) Bargain purchase (1,213) Total $ 2,001 |
Merger with Great Outdoors Grou
Merger with Great Outdoors Group | 3 Months Ended |
May 01, 2021 | |
Merger with Great Outdoors Group | |
Merger with Great Outdoors Group | (13) Merger with Great Outdoors Group On December 21, 2020, Sportsman’s Warehouse entered into an Agreement and Plan of Merger (the “Merger Agreement”) with Great Outdoors Group, LLC, (“Great Outdoors Group”) and Phoenix Merger Sub I. Inc., (“Merger Subsidiary”). Pursuant to the terms and conditions set forth in the Merger Agreement, Merger Subsidiary will be merged with and into Sportsman’s Warehouse (the “Merger”), with Sportsman’s Warehouse continuing as the surviving corporation in the Merger and a wholly-owned subsidiary of Great Outdoors Group. Subject to the terms and conditions set forth in the Merger Agreement, at the effective time of the Merger (the “Effective Time”), each share of Sportsman’s Warehouse common stock, par value $0.01 per share (the “Shares”) outstanding immediately prior to the Effective Time (other than such Shares held by (i) Great Outdoors Group, Merger Subsidiary, or any other subsidiary of Great Outdoors Group, (ii) Sportsman’s Warehouse or its subsidiaries, as treasury stock or (iii) stockholders of Sportsman’s Warehouse who properly exercised their appraisal rights for such Shares under the Delaware General Corporation Law) will automatically be cancelled and converted into the right to receive $18.00 per Share in cash, without interest and less any applicable withholding taxes. The Merger Agreement has been unanimously adopted by the board of directors of Sportsman’s Warehouse, and the stockholders of Sportsman’s Warehouse approved the Merger at the special stockholders meeting held on March 23, 2021. Completion of the Merger is subject to the satisfaction of several conditions, including: (i) the expiration or termination of any applicable waiting period (and any extensions thereof) relating to the Merger under the Hart-Scott Rodino Antitrust Improvements Act of 1976, as amended (the “HSR Act”); (ii) the absence of any order, injunction, or other judgment by any governmental authority of competent jurisdiction that enjoins or otherwise prohibits the consummation of the Merger; (iii) the accuracy of each party’s representations and warranties (subject to certain qualifications); (iv) each party’s performance in all material respects of its obligations contained in the Merger Agreement; and (v) the absence of a material adverse effect on Sportsman’s Warehouse. Assuming receipt of required clearance pursuant to the HSR Act and timely satisfaction of other conditions to closing, we currently expect the closing of the Merger to occur in the second half of calendar year 2021. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 3 Months Ended |
May 01, 2021 | |
Summary of Significant Accounting Policies | |
Recently Issued Accounting Pronouncements | Recently Issued Accounting Pronouncements In March 2020, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2020-04, Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting . This ASU provides temporary optional expedients and exceptions to existing guidance on contract modifications and hedge accounting to facilitate the market transition from existing reference rates, such as the London Inter-Bank Offered Rate (“LIBOR”) which is being phased out in 2021, to modifications and other changes occur while LIBOR is phased out. The Company is in the process of evaluating the optional relief guidance provided within this ASU. Management will continue its assessment and monitor regulatory developments during the LIBOR transition period. |
Revenue Recognition (Tables)
Revenue Recognition (Tables) | 3 Months Ended |
May 01, 2021 | |
Revenue Recognition | |
Schedule of right of return assets, contract liabilities, and sales return liabilities with customers | May 1, 2021 January 30, 2021 Right of return assets, which are included in prepaid expenses and other $ 2,004 $ 2,940 Estimated gift card contract liability, net of breakage (21,884) (22,069) Estimated loyalty contract liability, net of breakage (12,630) (12,131) Sales return liabilities, which are included in accrued expenses (2,991) (4,388) |
Schedule of Revenue by Departments | Thirteen Weeks Ended May 1, May 2, Department Product Offerings 2021 2020 Camping Backpacks, camp essentials, canoes and kayaks, coolers, outdoor cooking equipment, sleeping bags, tents and tools 11.3% 10.2% Apparel Camouflage, jackets, hats, outerwear, sportswear, technical gear and work wear 6.4% 4.4% Fishing Bait, electronics, fishing rods, flotation items, fly fishing, lines, lures, reels, tackle and small boats 11.5% 10.1% Footwear Hiking boots, socks, sport sandals, technical footwear, trail shoes, casual shoes, waders and work boots 6.1% 4.4% Hunting and Shooting Ammunition, archery items, ATV accessories, blinds and tree stands, decoys, firearms, reloading equipment and shooting gear 58.6% 65.6% Optics, Electronics, Accessories, and Other Gift items, GPS devices, knives, lighting, optics, two-way radios, and other license revenue, net of revenue discounts 6.1% 5.3% Total 100.0% 100.0% |
Property and Equipment (Tables)
Property and Equipment (Tables) | 3 Months Ended |
May 01, 2021 | |
Property and Equipment. | |
Schedule of Property and Equipment | May 1, January 30, 2021 2021 Furniture, fixtures, and equipment $ 99,318 $ 96,085 Leasehold improvements 113,468 112,338 Construction in progress 6,283 2,614 Total property and equipment, gross 219,069 211,037 Less accumulated depreciation and amortization (117,705) (111,919) Total property and equipment, net $ 101,364 $ 99,118 |
Accrued Expenses (Tables)
Accrued Expenses (Tables) | 3 Months Ended |
May 01, 2021 | |
Accrued Expenses | |
Components of Accrued Expenses | May 1, January 30, 2021 2021 Book overdraft $ 19,534 $ 13,445 Unearned revenue 39,202 38,454 Accrued payroll and related expenses 18,181 28,453 Sales and use tax payable 7,718 7,317 Accrued construction costs 1,261 339 Other 22,220 21,048 Total accrued expenses $ 108,116 $ 109,056 |
Leases (Tables)
Leases (Tables) | 3 Months Ended |
May 01, 2021 | |
Leases | |
Schedule of other information | Thirteen Weeks Ended May 1, May 2, 2021 2020 Operating cash flows from operating leases $ (14,561) $ (13,464) Cash paid for amounts included in the measurement of lease liabilities - operating leases (14,561) (13,464) As of May 1, As of May 2, 2021 2020 Right-of-use assets obtained in exchange for new or remeasured operating lease liabilities $ 5,559 $ 5,352 Terminated right-of-use assets and liabilities — (3,202) Weighted-average remaining lease term - operating leases 5.96 6.12 Weighted-average discount rate - operating leases 8.39% 8.03% |
Schedule of maturities of operating lease liabilities | Operating Year Endings: Leases 2021 (remainder) $ 44,324 2022 58,207 2023 53,256 2024 44,839 2025 38,279 Thereafter 145,146 Undiscounted cash flows $ 384,051 Reconciliation of lease liabilities: Present values $ 262,606 Lease liabilities - current 36,386 Lease liabilities - noncurrent 226,220 Lease liabilities - total $ 262,606 Difference between undiscounted and discounted cash flows $ 121,445 |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 3 Months Ended |
May 01, 2021 | |
Earnings Per Share | |
Computation of Basic and Diluted Earnings Per Common Share | Thirteen Weeks Ended May 1, May 2, 2021 2020 Net income (loss) $ 10,450 $ (1,130) Weighted-average shares of common stock outstanding: Basic 43,690 43,327 Dilutive effect of common stock equivalents 824 — Diluted 44,514 43,327 Basic earnings (loss) per share $ 0.24 $ (0.03) Diluted earnings (loss) per share $ 0.23 $ (0.03) Restricted stock units considered anti-dilutive and excluded in the calculation 1 6 |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 3 Months Ended |
May 01, 2021 | |
Stock-Based Compensation | |
Rollforward of Outstanding Nonvested Performance-based Stock Awards | The following table sets forth the rollforward of outstanding nonvested performance-based stock awards (per share amounts are not in thousands): Weighted average grant-date Shares fair value Balance at January 30, 2021 624 $ 5.13 Grants — — Forfeitures (13) 5.63 Vested (22) 4.91 Balance at May 1, 2021 589 $ 5.13 Weighted average grant-date Shares fair value Balance at February 1, 2020 250 $ 3.66 Grants 198 5.63 Forfeitures — — Vested — — Balance at May 2, 2020 448 $ 4.53 |
Rollforward of Outstanding Nonvested Stock Units | The following table sets forth the rollforward of outstanding nonvested stock units (per share amounts are not in thousands): Weighted average grant-date Shares fair value Balance at January 30, 2021 779 $ 5.19 Grants 221 17.27 Forfeitures (18) 7.33 Vested (303) 5.05 Balance at May 1, 2021 679 $ 9.15 Weighted average grant-date Shares fair value Balance at February 1, 2020 744 $ 4.32 Grants 382 5.63 Forfeitures (5) 4.89 Vested (258) 4.36 Balance at May 2, 2020 863 $ 4.90 |
Acquisition of Field and Stre_2
Acquisition of Field and Stream Stores (Tables) | 3 Months Ended |
May 01, 2021 | |
Asset Purchase Agreement 1 With Dicks | |
Business Acquisition [Line Items] | |
Summary of the purchase price consideration and related cash outflow | March 12, 2020 Cash paid to seller $ 1,075 Payable to seller 1,064 Total purchase price $ 2,139 |
Summary of the estimated fair value of the identifiable assets acquired and assumed liabilities as of the Closing Date | March 12, 2020 Cash $ 10 Inventory 2,133 Property, plant, and equipment 892 Operating lease right of use asset 2,070 Operating lease right of use liability (1,794) Deferred tax liability (314) Bargain purchase (858) Total $ 2,139 |
Asset Purchase Agreement 2 With Dicks | |
Business Acquisition [Line Items] | |
Summary of the purchase price consideration and related cash outflow | May 14, 2020 Cash paid to seller $ 1,317 Payable to seller 1,094 Total purchase price $ 2,411 |
Summary of the estimated fair value of the identifiable assets acquired and assumed liabilities as of the Closing Date | May 14, 2020 Cash $ 18 Inventory 2,218 Property, plant, and equipment 375 Operating lease right of use asset 5,605 Operating lease right of use liability (5,605) Deferred tax liability (53) Bargain purchase (147) Total $ 2,411 |
Asset Purchase Agreement 3 With Dicks | |
Business Acquisition [Line Items] | |
Summary of the purchase price consideration and related cash outflow | October 8, 2020 Cash paid to seller $ 227 Payable to seller 1,774 Total purchase price $ 2,001 |
Summary of the estimated fair value of the identifiable assets acquired and assumed liabilities as of the Closing Date | October 8, 2020 Cash $ 50 Inventory 3,515 Property, plant, and equipment 1,046 Operating lease right of use asset 9,534 Operating lease right of use liability (10,508) Deferred tax liability (423) Bargain purchase (1,213) Total $ 2,001 |
Description of Business and B_2
Description of Business and Basis of Presentation (Details) | 3 Months Ended |
May 01, 2021storesegmentstate | |
Description of Business and Basis of Presentation | |
Number of stores | store | 112 |
Number of states | state | 27 |
Number of reportable segments | 1 |
Number of operating segments | 1 |
Revenue Recognition (Details)
Revenue Recognition (Details) $ in Thousands | 3 Months Ended |
May 01, 2021USD ($) | |
Revenue Recognition | |
Gift card historical breakage (as a percent) | 3.50% |
Gift card escheat liability | $ 0 |
Redemption period | 2 years |
Breakage of loyalty reward (as a percent) | 50.00% |
Loyalty reward escheat liability | $ 0 |
Revenue Recognition - Contract
Revenue Recognition - Contract balances (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
May 01, 2021 | May 02, 2020 | Jan. 30, 2021 | |
Disaggregation of Revenue [Line Items] | |||
Right of return assets, which are included in prepaid expenses and other | $ 2,004 | $ 2,940 | |
Sales return liabilities, which are included in accrued expenses | (2,991) | (4,388) | |
Gift breakage income | 381 | $ 276 | |
Recognized customer loyalty program breakage income | 1,175 | $ 555 | |
Recognized revenues relating to contract liabilities | $ 7,721 | ||
Revenue from contract with customer liability recognition period | 2 years | ||
Gift Card | |||
Disaggregation of Revenue [Line Items] | |||
Estimated contract liability, net of breakage | $ (21,884) | (22,069) | |
Loyalty Reward Program | |||
Disaggregation of Revenue [Line Items] | |||
Estimated contract liability, net of breakage | $ (12,630) | $ (12,131) |
Revenue Recognition - Disaggreg
Revenue Recognition - Disaggregation of revenue from contracts with customers (Details) | 3 Months Ended | |
May 01, 2021 | May 02, 2020 | |
Disaggregation of Revenue [Line Items] | ||
Net sales (as a percent) | 100.00% | 100.00% |
Camping | ||
Disaggregation of Revenue [Line Items] | ||
Net sales (as a percent) | 11.30% | 10.20% |
Apparel | ||
Disaggregation of Revenue [Line Items] | ||
Net sales (as a percent) | 6.40% | 4.40% |
Fishing | ||
Disaggregation of Revenue [Line Items] | ||
Net sales (as a percent) | 11.50% | 10.10% |
Footwear | ||
Disaggregation of Revenue [Line Items] | ||
Net sales (as a percent) | 6.10% | 4.40% |
Hunting and Shooting | ||
Disaggregation of Revenue [Line Items] | ||
Net sales (as a percent) | 58.60% | 65.60% |
Optics, Electronics, Accessories, and Other | ||
Disaggregation of Revenue [Line Items] | ||
Net sales (as a percent) | 6.10% | 5.30% |
Property and Equipment (Details
Property and Equipment (Details) - USD ($) $ in Thousands | May 01, 2021 | Jan. 30, 2021 |
Property Plant And Equipment [Line Items] | ||
Total property and equipment, gross | $ 219,069 | $ 211,037 |
Less accumulated depreciation and amortization | (117,705) | (111,919) |
Total property and equipment, net | 101,364 | 99,118 |
Furniture, fixtures, and equipment | ||
Property Plant And Equipment [Line Items] | ||
Total property and equipment, gross | 99,318 | 96,085 |
Leasehold improvements | ||
Property Plant And Equipment [Line Items] | ||
Total property and equipment, gross | 113,468 | 112,338 |
Construction in progress | ||
Property Plant And Equipment [Line Items] | ||
Total property and equipment, gross | $ 6,283 | $ 2,614 |
Accrued Expenses (Details)
Accrued Expenses (Details) - USD ($) $ in Thousands | May 01, 2021 | Jan. 30, 2021 |
Accrued Expenses | ||
Book overdraft | $ 19,534 | $ 13,445 |
Unearned revenue | 39,202 | 38,454 |
Accrued payroll and related expenses | 18,181 | 28,453 |
Sales and use tax payable | 7,718 | 7,317 |
Accrued construction costs | 1,261 | 339 |
Other | 22,220 | 21,048 |
Total accrued expenses | $ 108,116 | $ 109,056 |
Leases (Details)
Leases (Details) - USD ($) $ in Thousands | 3 Months Ended | |
May 01, 2021 | May 02, 2020 | |
Lessee, Lease, Description [Line Items] | ||
Options to extend | true | |
Increase in ROU assets and operating lease liabilities | $ 5,559 | |
Lease expense | $ 18,398 | $ 16,547 |
Maximum | ||
Lessee, Lease, Description [Line Items] | ||
Remaining lease terms | 10 years |
Leases - Other Information (Det
Leases - Other Information (Details) - USD ($) $ in Thousands | 3 Months Ended | |
May 01, 2021 | May 02, 2020 | |
Leases | ||
Operating cash flows from operating leases - Cash paid for amounts included in the measurement of lease liabilities | $ (14,561) | $ (13,464) |
Right-of-use assets obtained in exchange for new or remeasured operating lease liabilities | $ 5,559 | 5,352 |
Terminated right-of-use assets and liabilities | $ (3,202) | |
Weighted-average remaining lease term - operating leases | 5 years 11 months 15 days | 6 years 1 month 13 days |
Weighted-average discount rate - operating leases | 8.39% | 8.03% |
Leases - ASC 842 Maturities (De
Leases - ASC 842 Maturities (Details) - USD ($) $ in Thousands | May 01, 2021 | Jan. 30, 2021 |
Maturities: | ||
2021 (remainder) | $ 44,324 | |
2022 | 58,207 | |
2023 | 53,256 | |
2024 | 44,839 | |
2025 | 38,279 | |
Thereafter | 145,146 | |
Undiscounted cash flows | 384,051 | |
Reconciliation of lease liabilities: | ||
Lease liabilities - current | 36,386 | $ 36,014 |
Lease liabilities - noncurrent | 226,220 | $ 228,296 |
Lease liabilities - total | 262,606 | |
Difference between undiscounted and discounted cash flows | $ 121,445 |
Revolving Line Of Credit (Detai
Revolving Line Of Credit (Details) - USD ($) $ in Thousands | May 23, 2018 | May 01, 2021 | May 02, 2020 | Jan. 30, 2021 |
Line Of Credit Facility [Line Items] | ||||
Capitalization of fees paid | $ 1,331 | |||
Line of credit facility, amount outstanding | $ 0 | $ 0 | ||
Gross borrowings under revolving line of credit | 357,478 | $ 274,959 | ||
Gross paydowns under revolving line of credit | 357,640 | 266,798 | ||
Wells Fargo Senior Secured Revolving Credit Facility | ||||
Line Of Credit Facility [Line Items] | ||||
Line of credit facility, maximum borrowing capacity | 250,000 | |||
Line of credit facility, amount outstanding | 0 | 0 | ||
Amounts in depository under lock-box arrangements | $ 15,678 | 13,553 | ||
Revolving credit facility, covenant term | The Amended Credit Agreement also requires the Company to maintain a minimum availability at all times of not less than 10% of the gross borrowing base | |||
Line of credit , maturity date | May 23, 2023 | |||
Deferred financing fees outstanding | $ 520 | $ 583 | ||
Amortization of deferred financing fees | $ 63 | $ 66 | ||
Wells Fargo Senior Secured Revolving Credit Facility | Minimum | ||||
Line Of Credit Facility [Line Items] | ||||
Line of credit facility gross borrowing base percentage | 10.00% | |||
New Term Loan | ||||
Line Of Credit Facility [Line Items] | ||||
New term loan | $ 40,000 | |||
Wells Fargo Stand-by Commercial Letters of Credit | ||||
Line Of Credit Facility [Line Items] | ||||
Net borrowing available under revolving line of credit | $ 1,955 |
Income Taxes (Details)
Income Taxes (Details) - USD ($) $ in Thousands | 3 Months Ended | |
May 01, 2021 | May 02, 2020 | |
Income Taxes | ||
Income tax expense (benefit) | $ 2,952 | $ (849) |
Effective tax rate | 22.00% | 42.90% |
Federal statutory rate | 21.00% |
Earnings Per Share (Details)
Earnings Per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | |
May 01, 2021 | May 02, 2020 | |
Earnings Per Share | ||
Net income (loss) | $ 10,450 | $ (1,130) |
Weighted-average shares of common stock outstanding: | ||
Basic | 43,690 | 43,327 |
Dilutive effect of common stock equivalents | 824 | |
Diluted | 44,514 | 43,327 |
Basic earnings (loss) per share | $ 0.24 | $ (0.03) |
Diluted earnings (loss) per share | $ 0.23 | $ (0.03) |
Restricted stock units considered anti-dilutive and excluded in the calculation | 1 | 6 |
Stock-Based Compensation (Detai
Stock-Based Compensation (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | ||
May 01, 2021 | May 02, 2020 | Jan. 30, 2016 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Stock-based compensation | $ 1,016 | $ 736 | |
Nonvested Performance-Based Stock Awards | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Issuance of nonvested stock units | 198 | ||
Nonvested stock issued, weighted average grant date fair value per share | $ 5.63 | ||
Nonvested Stock Unit Awards | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Issuance of nonvested stock units | 221 | 382 | |
Nonvested stock issued, weighted average grant date fair value per share | $ 17.27 | $ 5.63 | |
Employees | Nonvested Performance-Based Stock Awards | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Issuance of nonvested stock units | 0 | 198 | |
Nonvested stock issued, weighted average grant date fair value per share | $ 5.63 | ||
Target number of shares subject to award | 396 | ||
Nonvested stock awards vested over grant date | 3 years | ||
Employees | Nonvested Stock Unit Awards | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Issuance of nonvested stock units | 221 | 382 | |
Nonvested stock issued, weighted average grant date fair value per share | $ 17.27 | $ 5.63 | |
Nonvested stock awards vested over grant date | 3 years | 3 years | |
Vesting percentage | 33.00% | 33.00% | |
Employee Stock Purchase Plan | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Number of shares available for awards | 374 | ||
Maximum number of shares subject to award | 800 | ||
Shares issued under ESPP | 0 | ||
2019 Plan | Employee Stock Plans | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Number of shares available for awards | 2,202 | ||
Number of awards outstanding | 1,267 | ||
Selling, General and Administrative Expenses | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Stock-based compensation | $ 1,016 | $ 736 |
Stock-Based Compensation - Addi
Stock-Based Compensation - Additional Information (Details) - $ / shares shares in Thousands | 3 Months Ended | |
May 01, 2021 | May 02, 2020 | |
Nonvested Performance-Based Stock Awards | ||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Beginning balance, Shares | 624 | 250 |
Grants, Shares | 198 | |
Forfeitures, Shares | (13) | |
Vested, Shares | (22) | |
Ending balance, Shares | 589 | 448 |
Beginning balance, Weighted average grant-date fair value | $ 5.13 | $ 3.66 |
Grants, Weighted average grant-date fair value | 5.63 | |
Forfeitures, Weighted average grant-date fair value | 5.63 | |
Vested, Weighted average grant-date fair value | 4.91 | |
Ending balance, Weighted average grant-date fair value | $ 5.13 | $ 4.53 |
Nonvested Stock Unit Awards | ||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Beginning balance, Shares | 779 | 744 |
Grants, Shares | 221 | 382 |
Forfeitures, Shares | (18) | (5) |
Vested, Shares | (303) | (258) |
Ending balance, Shares | 679 | 863 |
Beginning balance, Weighted average grant-date fair value | $ 5.19 | $ 4.32 |
Grants, Weighted average grant-date fair value | 17.27 | 5.63 |
Forfeitures, Weighted average grant-date fair value | 7.33 | 4.89 |
Vested, Weighted average grant-date fair value | 5.05 | 4.36 |
Ending balance, Weighted average grant-date fair value | $ 9.15 | $ 4.90 |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information (Details) | Jul. 02, 2019USD ($)subsidiarydefendant | Jun. 23, 2020USD ($) |
Commitments And Contingencies [Line Items] | ||
Number of defendants in Parson's v. Colt's Manufacturing Company legal case | defendant | 16 | |
Number of company subsidiaries named as defendant in Parsons v. Colt's Manufacturing Company legal case | subsidiary | 1 | |
Loss contingency, estimate of possible loss | $ 0 | |
Lease Agreement [Member] | ||
Commitments And Contingencies [Line Items] | ||
Loss contingency, estimate of possible loss | $ 0 |
Acquisition of Field and Stre_3
Acquisition of Field and Stream Stores (Details) $ in Thousands | Jan. 31, 2021USD ($) | Oct. 08, 2020USD ($) | Sep. 16, 2020USD ($)store | May 14, 2020USD ($) | Mar. 12, 2020USD ($) | Mar. 06, 2020USD ($)store | Feb. 14, 2020USD ($)store | Aug. 31, 2020USD ($) | Jun. 30, 2020USD ($) | May 02, 2020USD ($) | May 01, 2021USD ($) | Jan. 30, 2021USD ($) |
Business Acquisition [Line Items] | ||||||||||||
Amount drawn | $ 0 | $ 0 | ||||||||||
Sportsman's Warehouse, Inc | Asset Purchase Agreement 1 With Dicks | ||||||||||||
Business Acquisition [Line Items] | ||||||||||||
Number of stores acquired | store | 1 | |||||||||||
Maximum period for which transition services will be provided | 120 days | |||||||||||
Aggregate consideration | $ 2,139 | $ 2,139 | ||||||||||
Remaining consideration paid to seller | 1,075 | $ 1,000 | ||||||||||
Liabilities except leases assumed | $ 0 | |||||||||||
Sportsman's Warehouse, Inc | Asset Purchase Agreement 1 With Dicks | Revolving Credit Facility | ||||||||||||
Business Acquisition [Line Items] | ||||||||||||
Amount drawn | $ 1,100 | |||||||||||
Sportsman's Warehouse, Inc | Asset Purchase Agreement 2 With Dicks | ||||||||||||
Business Acquisition [Line Items] | ||||||||||||
Number of stores acquired | store | 1 | |||||||||||
Maximum period for which transition services will be provided | 120 days | |||||||||||
Aggregate consideration | $ 2,411 | $ 2,411 | ||||||||||
Remaining consideration paid to seller | 1,317 | $ 1,100 | ||||||||||
Liabilities except leases assumed | $ 0 | |||||||||||
Sportsman's Warehouse, Inc | Asset Purchase Agreement 2 With Dicks | Revolving Credit Facility | ||||||||||||
Business Acquisition [Line Items] | ||||||||||||
Amount drawn | $ 1,317 | |||||||||||
Sportsman's Warehouse, Inc | Asset Purchase Agreement 3 With Dicks | ||||||||||||
Business Acquisition [Line Items] | ||||||||||||
Number of stores acquired | store | 2 | |||||||||||
Maximum period for which transition services will be provided | 120 days | |||||||||||
Aggregate consideration | $ 2,001 | $ 2,001 | ||||||||||
Remaining consideration paid to seller | $ 1,774 | 227 | ||||||||||
Net of rent concessions and deferrals | 2,597 | |||||||||||
Liabilities except leases assumed | $ 0 | |||||||||||
Sportsman's Warehouse, Inc | Asset Purchase Agreement 3 With Dicks | Revolving Credit Facility | ||||||||||||
Business Acquisition [Line Items] | ||||||||||||
Amount drawn | $ 226 | |||||||||||
Sportsman's Warehouse, Inc | 2020 Acquisitions | ||||||||||||
Business Acquisition [Line Items] | ||||||||||||
Acquisition related cost | $ 29 |
Acquisition of Field and Stre_4
Acquisition of Field and Stream Stores - Purchase price consideration and related cash outflow (Details) - USD ($) $ in Thousands | Jan. 31, 2021 | Oct. 08, 2020 | Sep. 16, 2020 | May 14, 2020 | Mar. 12, 2020 | Mar. 06, 2020 | Feb. 14, 2020 | Aug. 31, 2020 | Jun. 30, 2020 | May 02, 2020 |
Business Acquisition [Line Items] | ||||||||||
Payable to seller | $ 1,024 | |||||||||
Asset Purchase Agreement 1 With Dicks | Sportsman's Warehouse, Inc | ||||||||||
Business Acquisition [Line Items] | ||||||||||
Cash paid to seller | $ 1,075 | $ 1,000 | ||||||||
Payable to seller | 1,064 | |||||||||
Total purchase price | $ 2,139 | $ 2,139 | ||||||||
Asset Purchase Agreement 2 With Dicks | Sportsman's Warehouse, Inc | ||||||||||
Business Acquisition [Line Items] | ||||||||||
Cash paid to seller | $ 1,317 | $ 1,100 | ||||||||
Payable to seller | 1,094 | |||||||||
Total purchase price | $ 2,411 | $ 2,411 | ||||||||
Asset Purchase Agreement 3 With Dicks | Sportsman's Warehouse, Inc | ||||||||||
Business Acquisition [Line Items] | ||||||||||
Cash paid to seller | $ 1,774 | $ 227 | ||||||||
Payable to seller | 1,774 | |||||||||
Total purchase price | $ 2,001 | $ 2,001 |
Acquisition of Field and Stre_5
Acquisition of Field and Stream Stores - Estimated fair value of the identifiable assets acquired and assumed liabilities (Details) - USD ($) $ in Thousands | 3 Months Ended | |||||
May 01, 2021 | May 02, 2020 | Jan. 30, 2021 | Oct. 08, 2020 | May 14, 2020 | Mar. 12, 2020 | |
Business Combination Recognized Identifiable Assets Acquired And Assumed Liabilities | ||||||
Goodwill | $ 1,496 | $ 1,496 | ||||
Net sales | 326,992 | $ 246,835 | ||||
Net income | $ 10,450 | $ (1,130) | ||||
Asset Purchase Agreement 1 With Dicks | ||||||
Business Combination Recognized Identifiable Assets Acquired And Assumed Liabilities | ||||||
Cash | $ 10 | |||||
Inventory | 2,133 | |||||
Property, plant, and equipment | 892 | |||||
Operating lease right of use asset | 2,070 | |||||
Operating lease right of use liability | (1,794) | |||||
Deferred tax liability | (314) | |||||
Bargain purchase | (858) | |||||
Total | $ 2,139 | |||||
Asset Purchase Agreement 2 With Dicks | ||||||
Business Combination Recognized Identifiable Assets Acquired And Assumed Liabilities | ||||||
Cash | $ 18 | |||||
Inventory | 2,218 | |||||
Property, plant, and equipment | 375 | |||||
Operating lease right of use asset | 5,605 | |||||
Operating lease right of use liability | (5,605) | |||||
Deferred tax liability | (53) | |||||
Bargain purchase | (147) | |||||
Total | $ 2,411 | |||||
Asset Purchase Agreement 3 With Dicks | ||||||
Business Combination Recognized Identifiable Assets Acquired And Assumed Liabilities | ||||||
Cash | $ 50 | |||||
Inventory | 3,515 | |||||
Property, plant, and equipment | 1,046 | |||||
Operating lease right of use asset | 9,534 | |||||
Operating lease right of use liability | (10,508) | |||||
Deferred tax liability | (423) | |||||
Bargain purchase | (1,213) | |||||
Total | $ 2,001 |
Merger with Great Outdoors Gr_2
Merger with Great Outdoors Group (Details) - $ / shares | May 01, 2021 | Jan. 30, 2021 | Dec. 21, 2020 |
Common stock, par value | $ 0.01 | $ 0.01 | |
Subsidiaries of Great Outdoors Group [Member] | |||
Common stock, par value | $ 0.01 | ||
Converted Shares, Merger, Share Price | $ 18 |