The Children’s Place, Inc. (Nasdaq: PLCE), the
largest pure-play children’s specialty apparel retailer in North
America, today announced financial results for the fourth quarter
and fiscal year ended January 29, 2022.
Jane Elfers, President and Chief Executive Officer announced,
“We delivered another outstanding quarter with gross margin,
operating margin, and EPS all at record levels. Since the onset of
the pandemic, our accelerated strategic reset to a digital first
company has delivered impressive results; for FY2021 we achieved a
15.1% adjusted operating margin versus 6.0% in 2019, we delivered a
41.6% gross margin, a 660 basis point improvement versus 35.0% in
2019, our operating income was $289 million versus our full year
2019 operating income of $111 million, a $178 million increase, we
delivered a 2% increase in net sales in 2021 versus 2019 despite
having 256, or 28% fewer stores and we delivered EPS of $13.40
versus $5.36 in 2019.”
Ms. Elfers continued, “I want to thank all of our associates for
their hard work in delivering these industry-leading results,
particularly with all of the challenges we have faced in the last
24 months.”
Ms. Elfers concluded, “We are facing significant headwinds in
2022 including decade-high cotton pricing, record inflation,
lapping unprecedented stimulus payments from last year, and
continued global freight disruptions. However, we believe that the
accelerated structural reset to a digital first company that we
have accomplished since the onset of the pandemic now positions us
to deliver EPS and operating margins significantly above
pre-pandemic levels and to establish double digit EPS and double
digit operating margin as our new baseline for FY 2022 and
beyond.”
Fourth Quarter 2021 ResultsNet sales increased
$34.9 million, or 7.4%, to $507.8 million in the three months ended
January 29, 2022 from $472.9 million in the three months ended
January 30, 2021, primarily driven by strong customer response to
our product assortment and the strategic reset of our pricing and
promotions partially offset by the impact of permanent store
closures. Comparable retail sales increased 13.3% for the
quarter.
Gross profit increased $54.0 million to $193.8 million in the
three months ended January 29, 2022, compared to $139.8 million in
the three months ended January 30, 2021. Adjusted gross profit
increased $50.0 million to $193.9 million in the three months ended
January 29, 2022, compared to $143.9 million in the comparable
period last year, and leveraged 776 basis points to 38.2% of net
sales, compared to 30.4% of net sales last year, primarily as a
result of higher merchandise margins in our stores, digital, and
wholesale channels resulting from significant increases in AUR due
to the impact of our strategic pricing and promotion changes, the
leverage of fixed expenses resulting from the increase in net
sales, and lower e-commerce fulfillment costs resulting from our
continuing cost optimization initiatives, partially offset by
higher occupancy expenses due to rent abatements of $12.9 million
recognized during the fourth quarter of fiscal 2020.
Selling, general, and administrative expenses were $121.2
million in the three months ended January 29, 2022, compared to
$108.8 million in the three months ended January 30, 2021. Adjusted
SG&A was $119.0 million in the three months ended January 29,
2022, compared to $102.7 million in the comparable period last
year, and deleveraged 172 basis points to 23.4% of net sales,
primarily as a result of higher marketing spend, including to
support the launch of Sugar & Jade, and higher incentive
compensation expense.
Operating income increased $43.7 million to $58.1 million in the
three months ended January 29, 2022, compared to $14.4 million
in the three months ended January 30, 2021. Adjusted operating
income increased $35.2 million to $61.2 million in the three months
ended January 29, 2022, compared to $26.0 million in the
comparable period last year, and leveraged 656 basis points to
12.1% of net sales.
Net interest expense was $5.6 million in the three months ended
January 29, 2022, which included a charge of $3.7 million related
to the refinancing of the Company’s previous term loan and
revolving credit facility. Excluding that charge, net
interest expense was $1.9 million in the three months ended January
29, 2022, compared to $4.1 million in the three months ended
January 30, 2021. The decrease in interest expense was due to
lower interest rates as a result of the refinancing of our credit
facilities during the quarter and a lower average debt balance.
Net income increased $31.2 million to $39.0 million, or $2.68
per diluted share, in the three months ended January 29, 2022,
compared to net income of $7.8 million, or $0.53 per diluted share,
in the three months ended January 30, 2021. Adjusted net income
increased $29.1 million to $44.0 million, or $3.02 per diluted
share, compared to adjusted net income of $14.9 million, or $1.01
per diluted share, in the comparable period last year.
Fiscal 2021 ResultsNet sales increased $392.8
million, or 25.8%, to $1.915 billion in the twelve months ended
January 29, 2022, compared to $1.523 billion in the twelve months
ended January 29, 2021, primarily driven by strong customer
response to our product assortment, strategic pricing and promotion
changes, and the unprecedented level of stimulus and enhanced child
tax credit payments to our customers resulting from the government
pandemic relief legislation. Our fiscal year 2021 net sales
were negatively impacted by permanent and temporary store closures
and the impact of reduced operating hours in our mall stores, as
mandated by the mall owners. Our fiscal year 2020 net sales
were negatively impacted by the initial onset of the COVID-19
pandemic. Comparable retail sales increased 31.3% for the
twelve months ended January 29, 2022.
Gross profit increased $461.4 million to $794.7 million in the
twelve months ended January 29, 2022, compared to $333.3 million in
the twelve months ended January 30, 2021. Adjusted gross profit
increased $387.4 million to $796.2 million in the twelve months
ended January 29, 2022, compared to $408.8 million in the
comparable period last year, and leveraged 1,472 basis points to
41.6% of net sales, primarily as a result of the leverage of fixed
expenses resulting from the increase in net sales, higher
merchandise margins resulting from significant AUR increases in
both our digital and stores channels due to the impact of strategic
pricing and promotion changes, lower occupancy expenses due to rent
abatements of $12.1 million, favorable lease negotiations, and
permanent store closures, and lower e-commerce fulfillment costs,
resulting from our continuing cost optimization initiatives.
Selling, general, and administrative expenses were $459.2
million in the twelve months ended January 29, 2022, compared to
$428.2 million in the twelve months ended January 30, 2021.
Adjusted SG&A was $452.1 million in the twelve months ended
January 29, 2022, compared to $402.1 million in the comparable
period last year due to higher incentive compensation expense and
higher marketing spend, and leveraged 281 basis points to 23.6% of
net sales, compared to 26.4% of net sales last year, primarily as a
result of the leverage of fixed expenses resulting from the
increase in net sales.
Operating income increased $475.5 million to $275.6 million in
the twelve months ended January 29, 2022, compared to operating
loss of ($199.9) million in the twelve months ended January 30,
2021. Adjusted operating income increased $345.3 million to $288.6
million in the twelve months ended January 29, 2022, compared to
adjusted operating loss of ($56.7) million in the comparable period
last year, and leveraged 1,879 basis points to 15.1% of net sales,
compared to (3.7%) of net sales last year.
Net interest expense was $18.6 million in the twelve months
ended January 29, 2022, which included a charge of $3.7 million
related to the refinancing of the Company’s previous term loan and
revolving credit facility. Excluding that charge, net
interest expense was $14.9 million in the twelve months ended
January 29, 2022, compared to $11.8 million in the twelve months
ended January 30, 2021. The remaining increase in interest
expense was driven by a higher average debt balance and the higher
interest rates associated with the revolving credit facility and
term loan for the first nine months of fiscal 2021, prior to their
refinancing in the fourth quarter.
Net income increased $327.6 million to $187.2 million, or $12.59
per diluted share, in the twelve months ended January 29, 2022,
compared to net loss of ($140.4) million, or ($9.59) per diluted
share, in the twelve months ended January 30, 2021. Adjusted
net income increased $252.7 million to $199.3 million, or $13.40
per diluted share, compared to adjusted net loss of ($53.4)
million, or ($3.65) per diluted share, in the comparable period
last year.
Non-GAAP ReconciliationThe Company’s results
are reported in this press release on a GAAP and as adjusted,
non-GAAP basis. Adjusted net income (loss), adjusted net income
(loss) per diluted share, adjusted gross profit, adjusted selling,
general, and administrative expenses, adjusted operating income
(loss), and adjusted interest expense are non-GAAP measures, and
are not intended to replace GAAP financial information, and may be
different from non-GAAP measures reported by other companies. The
Company believes the income and expense items excluded as non-GAAP
adjustments are not reflective of the performance of its core
business, and that providing this supplemental disclosure to
investors will facilitate comparisons of the past and present
performance of its core business.
For the three months ended January 29, 2022, the Company’s
adjusted results exclude net expenses of $0.1 million comprising
certain items, which the Company believes are not reflective of the
performance of its core business as a result of the COVID-19
pandemic, including incremental operating expenses, primarily
incentive pay and personal protective equipment for our
associates.
Additionally, the Company excluded net expenses of $6.7 million
for the three months ended January 29, 2022, including a prepayment
fee and write-off of certain deferred costs associated with the
early pay down of its previous term loan facility, restructuring
costs, asset impairment charges, fleet optimization costs, and
accelerated depreciation, all of which are unrelated to the
COVID-19 pandemic.
The total impact on income taxes for the above items was $1.9
million.
For the twelve months ended January 29, 2022, the Company’s
adjusted results exclude net expenses of $3.1 million comprising
certain items, which the Company believes are not reflective of the
performance of its core business as a result of the COVID-19
pandemic, including incremental operating expenses, primarily
incentive pay and personal protective equipment for our
associates.
Additionally, the Company excluded net expenses of $13.5 million
for the twelve months ended January 29, 2022, including a
prepayment fee and write-off of certain deferred costs associated
with the early pay down of its term loan facility, accelerated
depreciation, fleet optimization costs, asset impairment charges,
restructuring costs, and contract termination costs, all of which
are unrelated to the COVID-19 pandemic.
The total impact on income taxes for the above items was $4.5
million.
Store UpdateAs of January 29, 2022, all of the
Company’s retail store locations were open to the public in the
United States, Canada, and Puerto Rico.
Consistent with the Company’s store fleet optimization
initiative, the Company permanently closed 78 stores in the twelve
months ended January 29, 2022, bringing our total closures to 256
closures since the onset of the COVID-19 pandemic versus our
previously announced target of 300 store closures, given our
ability to secure favorable lease terms. The Company is
planning to close approximately 40 stores in fiscal 2022.
The Company ended the quarter with 672 stores and square footage
of 3.2 million, a decrease of 10% compared to the prior year. The
Company permanently closed 78 stores in fiscal 2021, and since the
Company’s fleet optimization initiative was announced in 2013, it
has permanently closed 527 stores. Balance Sheet
and Cash FlowAs of January 29, 2022, the Company had $54.8
million of cash and cash equivalents and $175.3 million outstanding
on its revolving credit facility. Additionally, the Company
generated $65.8 million and $133.3 million in operating cash flows
in the three months and twelve months ended January 29, 2022,
respectively.
During the three months ended January 29, 2022, the Company
repurchased 507 thousand shares for $40.5 million, inclusive of
shares repurchased and surrendered to cover tax withholdings
associated with the vesting of equity awards held by
management. During the twelve months ended January 29, 2022,
the Company repurchased 1.0 million shares for $85.8 million,
inclusive of shares repurchased and surrendered to cover tax
withholdings associated with the vesting of equity awards held by
management. As of January 29, 2022, $257.3 million remained
available for future share repurchases under the Company’s existing
share repurchase program. Since the beginning of fiscal 2009,
the Company has returned a total of $1.5 billion of capital to
shareholders in the form of share repurchases and dividends.
Inventories were $428.8 million as of January 29, 2022, compared
to $388.1 million in the same period last year.
The Company refinanced both its revolving credit facility and
term loan in the fourth quarter of fiscal 2021, resulting in lower
interest rates, extended 5-year terms, more favorable reporting
requirements and increased flexibility under covenants, and the pay
down of our term loan by $29 million.
OutlookDue to a lack of near-term visibility to
top line demand based on the unprecedented stimulus released into
the economy one year ago, the Company will not be providing EPS
guidance. However, as a result of the accelerated structural reset
to a digital first company that the Company has accomplished since
the onset of the pandemic, the Company expects to deliver double
digit EPS and double digit operating margin for Fiscal Year
2022.
Conference Call Information The Children’s
Place will host a conference call on Wednesday, March 9,
2022 at 8:00 a.m. Eastern Time to discuss its fourth
quarter and full year fiscal 2021 results.
The call will be broadcast live
at http://investor.childrensplace.com. An audio transcript
will be available on the Company’s website approximately one hour
after the conclusion of the call.
About The Children’s PlaceThe Children’s Place
is the largest pure-play children’s specialty apparel retailer in
North America. The Company designs, contracts to manufacture, sells
at retail and wholesale, and licenses to sell fashionable,
high-quality merchandise predominantly at value prices, primarily
under the proprietary “The Children’s Place”, “Place”, “Baby
Place”, “Gymboree” and “Sugar & Jade” brand names. The Company
has online stores at www.childrensplace.com, www.gymboree.com
and www.sugarandjade.com and, as of January 29, 2022, the Company
had 672 stores in the United States, Canada, and Puerto Rico and
the Company’s seven international franchise partners had 211
international points of distribution in 16 countries.
Forward Looking StatementsThis
press release contains or may contain forward-looking statements
made pursuant to the safe harbor provisions of the Private
Securities Litigation Reform Act of 1995, including but not limited
to statements relating to the Company’s strategic initiatives and
adjusted net income per diluted share. Forward-looking statements
typically are identified by use of terms such as “may,” “will,”
“should,” “plan,” “project,” “expect,” “anticipate,” “estimate” and
similar words, although some forward-looking statements are
expressed differently. These forward-looking statements are based
upon the Company’s current expectations and assumptions and are
subject to various risks and uncertainties that could cause actual
results and performance to differ materially. Some of these risks
and uncertainties are described in the Company’s filings with the
Securities and Exchange Commission, including in the “Risk Factors”
section of its annual report on Form 10-K for the fiscal year ended
January 30, 2021. Included among the risks and uncertainties that
could cause actual results and performance to differ materially are
the risk that the Company will be unsuccessful in gauging fashion
trends and changing consumer preferences, the risks resulting from
the highly competitive nature of the Company’s business and its
dependence on consumer spending patterns, which may be affected by
changes in economic conditions, the risks related to the COVID-19
pandemic, including the impact of the COVID-19 pandemic on our
business or the economy in general (including decreased customer
traffic, schools adopting remote and hybrid learning models,
closures of businesses and other activities causing decreased
demand for our products and negative impacts on our customers’
spending patterns due to decreased income or actual or perceived
wealth, and the impact of the CARES Act and other legislation
related to the COVID-19 pandemic, and any changes to the CARES Act
or such other legislation), the risk that the Company’s strategic
initiatives to increase sales and margin are delayed or do not
result in anticipated improvements, the risk of delays,
interruptions and disruptions in the Company’s global supply chain,
including resulting from COVID-19 or other disease outbreaks, or
foreign sources of supply in less developed countries, more
politically unstable countries, or countries where vendors fail to
comply with industry standards or ethical business practices,
including the use of forced, indentured or child labor, the risk
that the cost of raw materials or energy prices will increase
beyond current expectations or that the Company is unable to offset
cost increases through value engineering or price increases,
various types of litigation, including class action litigations
brought under consumer protection, employment, and privacy and
information security laws and regulations, the imposition of
regulations affecting the importation of foreign-produced
merchandise, including duties and tariffs, and the uncertainty of
weather patterns. Readers are cautioned not to place undue reliance
on these forward-looking statements, which speak only as of the
date they were made. The Company undertakes no obligation to
release publicly any revisions to these forward-looking statements
that may be made to reflect events or circumstances after the date
hereof or to reflect the occurrence of unanticipated events.
Contact: Investor Relations (201)
558-2400 ext. 14500
(Tables follow)
THE CHILDREN’S PLACE,
INC.CONDENSED CONSOLIDATED STATEMENTS OF
OPERATIONS(In thousands, except per share
amounts)(Unaudited)
|
Fourth Quarter Ended |
|
Year Ended |
|
January 29,2022 |
|
January 30,2021 |
|
January 29,2022 |
|
January 30,2021 |
|
|
|
|
|
|
|
|
Net sales |
$ |
507,803 |
|
|
$ |
472,897 |
|
|
$ |
1,915,364 |
|
|
$ |
1,522,598 |
|
Cost of sales |
|
313,961 |
|
|
|
333,118 |
|
|
|
1,120,624 |
|
|
|
1,189,347 |
|
Gross profit |
|
193,842 |
|
|
|
139,779 |
|
|
|
794,740 |
|
|
|
333,251 |
|
Selling, general and
administrative expenses |
|
121,248 |
|
|
|
108,792 |
|
|
|
459,169 |
|
|
|
428,234 |
|
Depreciation and
amortization |
|
14,260 |
|
|
|
16,000 |
|
|
|
58,417 |
|
|
|
66,405 |
|
Asset impairment charges |
|
252 |
|
|
|
598 |
|
|
|
1,506 |
|
|
|
38,527 |
|
Operating income (loss) |
|
58,082 |
|
|
|
14,389 |
|
|
|
275,648 |
|
|
|
(199,915 |
) |
Interest expense, net |
|
(5,552 |
) |
|
|
(4,101 |
) |
|
|
(18,618 |
) |
|
|
(11,843 |
) |
Income (loss) before provision
(benefit) for income taxes |
|
52,530 |
|
|
|
10,288 |
|
|
|
257,030 |
|
|
|
(211,758 |
) |
Provision (benefit) for income
taxes |
|
13,527 |
|
|
|
2,524 |
|
|
|
69,859 |
|
|
|
(71,393 |
) |
Net income (loss) |
$ |
39,003 |
|
|
$ |
7,764 |
|
|
$ |
187,171 |
|
|
$ |
(140,365 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings (loss) per common
share |
|
|
|
|
|
|
|
Basic |
$ |
2.73 |
|
|
$ |
0.53 |
|
|
$ |
12.82 |
|
|
$ |
(9.59 |
) |
Diluted |
$ |
2.68 |
|
|
$ |
0.53 |
|
|
$ |
12.59 |
|
|
$ |
(9.59 |
) |
|
|
|
|
|
|
|
|
Weighted average common shares
outstanding |
|
|
|
|
|
|
|
Basic |
|
14,269 |
|
|
|
14,642 |
|
|
|
14,597 |
|
|
|
14,631 |
|
Diluted |
|
14,543 |
|
|
|
14,769 |
|
|
|
14,870 |
|
|
|
14,631 |
|
THE CHILDREN’S PLACE,
INC.RECONCILIATION OF NON-GAAP FINANCIAL
INFORMATION TO GAAP(In thousands, except per share
amounts)(Unaudited)
|
Fourth Quarter Ended |
|
Year Ended |
|
January 29,2022 |
|
January 30,2021 |
|
January 29,2022 |
|
January 30,2021 |
|
|
|
|
|
|
|
|
Net income (loss) |
$ |
39,003 |
|
|
$ |
7,764 |
|
|
$ |
187,171 |
|
|
$ |
(140,365 |
) |
|
|
|
|
|
|
|
|
Non-GAAP adjustments: |
|
|
|
|
|
|
|
Incremental COVID-19 operating
expenses |
|
135 |
|
|
|
4,865 |
|
|
|
3,085 |
|
|
|
22,495 |
|
Restructuring costs |
|
1,127 |
|
|
|
3,172 |
|
|
|
2,345 |
|
|
|
10,509 |
|
Accelerated depreciation |
|
584 |
|
|
|
809 |
|
|
|
2,858 |
|
|
|
2,980 |
|
Fleet optimization |
|
1,031 |
|
|
|
2,129 |
|
|
|
2,375 |
|
|
|
3,400 |
|
Contract termination
costs |
|
— |
|
|
|
— |
|
|
|
750 |
|
|
|
— |
|
Asset impairment charges |
|
252 |
|
|
|
599 |
|
|
|
1,506 |
|
|
|
38,528 |
|
Loss on debt refinancing |
|
3,679 |
|
|
|
— |
|
|
|
3,679 |
|
|
|
— |
|
Accounts receivable |
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
1,081 |
|
Inventory provision |
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
63,247 |
|
Gymboree integration
costs |
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
640 |
|
Legal reserve |
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
302 |
|
Aggregate impact of non-GAAP
adjustments |
|
6,808 |
|
|
|
11,574 |
|
|
|
16,598 |
|
|
|
143,182 |
|
Income tax effect(1) |
|
(1,851 |
) |
|
|
(3,027 |
) |
|
|
(4,523 |
) |
|
|
(37,880 |
) |
Impact of CARES Act |
|
— |
|
|
|
(1,381 |
) |
|
|
— |
|
|
|
(18,309 |
) |
Net impact of non-GAAP
adjustments |
|
4,957 |
|
|
|
7,166 |
|
|
|
12,075 |
|
|
|
86,993 |
|
|
|
|
|
|
|
|
|
Adjusted net income
(loss) |
$ |
43,960 |
|
|
$ |
14,930 |
|
|
$ |
199,246 |
|
|
$ |
(53,372 |
) |
|
|
|
|
|
|
|
|
GAAP net income (loss) per
common share |
$ |
2.68 |
|
|
$ |
0.53 |
|
|
$ |
12.59 |
|
|
$ |
(9.59 |
) |
|
|
|
|
|
|
|
|
Adjusted net income (loss) per
common share |
$ |
3.02 |
|
|
$ |
1.01 |
|
|
$ |
13.40 |
|
|
$ |
(3.65 |
) |
(1) The tax effects of the non-GAAP items are calculated based
on the statutory rate of the jurisdiction in which the discrete
item resides.
|
Fourth Quarter Ended |
|
Year Ended |
|
January 29,2022 |
|
January 30,2021 |
|
January 29,2022 |
|
January 30,2021 |
|
|
|
|
|
|
|
|
Operating income (loss) |
$ |
58,082 |
|
$ |
14,389 |
|
$ |
275,648 |
|
$ |
(199,915 |
) |
|
|
|
|
|
|
|
|
Non-GAAP adjustments: |
|
|
|
|
|
|
|
Incremental COVID-19 operating
expenses |
|
135 |
|
|
4,865 |
|
|
3,085 |
|
|
22,495 |
|
Restructuring costs |
|
1,127 |
|
|
3,172 |
|
|
2,345 |
|
|
10,509 |
|
Accelerated depreciation |
|
584 |
|
|
809 |
|
|
2,858 |
|
|
2,980 |
|
Fleet optimization |
|
1,031 |
|
|
2,129 |
|
|
2,375 |
|
|
3,400 |
|
Contract termination
costs |
|
— |
|
|
— |
|
|
750 |
|
|
— |
|
Asset impairment charges |
|
252 |
|
|
599 |
|
|
1,506 |
|
|
38,528 |
|
Accounts receivable |
|
— |
|
|
— |
|
|
— |
|
|
1,081 |
|
Inventory provision |
|
— |
|
|
— |
|
|
— |
|
|
63,247 |
|
Gymboree integration
costs |
|
— |
|
|
— |
|
|
— |
|
|
640 |
|
Legal reserve |
|
— |
|
|
— |
|
|
— |
|
|
302 |
|
Aggregate impact of non-GAAP
adjustments |
|
3,129 |
|
|
11,574 |
|
|
12,919 |
|
|
143,182 |
|
|
|
|
|
|
|
|
|
Adjusted operating income
(loss) |
$ |
61,211 |
|
$ |
25,963 |
|
$ |
288,567 |
|
$ |
(56,733 |
) |
THE CHILDREN’S PLACE,
INC.RECONCILIATION OF NON-GAAP FINANCIAL
INFORMATION TO GAAP(In thousands, except per share
amounts)(Unaudited)
|
Fourth Quarter Ended |
|
Year Ended |
|
January 29,2022 |
|
January 30,2021 |
|
January 29,2022 |
|
January 30,2021 |
|
|
|
|
|
|
|
|
Gross profit |
$ |
193,842 |
|
$ |
139,779 |
|
$ |
794,740 |
|
$ |
333,251 |
|
|
|
|
|
|
|
|
Non-GAAP adjustments: |
|
|
|
|
|
|
|
Incremental COVID-19 operating
expenses |
|
55 |
|
|
3,428 |
|
|
1,442 |
|
|
11,632 |
Fleet optimization |
|
— |
|
|
643 |
|
|
— |
|
|
643 |
Inventory provision |
|
— |
|
|
— |
|
|
— |
|
|
63,247 |
Aggregate impact of non-GAAP
adjustments |
|
55 |
|
|
4,071 |
|
|
1,442 |
|
|
75,522 |
|
|
|
|
|
|
|
|
Adjusted gross profit |
$ |
193,897 |
|
$ |
143,850 |
|
$ |
796,182 |
|
$ |
408,773 |
|
Fourth Quarter Ended |
|
Year Ended |
|
January 29,2022 |
|
January 30,2021 |
|
January 29,2022 |
|
January 30,2021 |
|
|
|
|
|
|
|
|
Selling, general and administrative expenses |
$ |
121,248 |
|
|
$ |
108,792 |
|
|
$ |
459,169 |
|
|
$ |
428,234 |
|
|
|
|
|
|
|
|
|
Non-GAAP adjustments: |
|
|
|
|
|
|
|
Incremental COVID-19 operating
expenses |
|
(80 |
) |
|
|
(1,437 |
) |
|
|
(1,643 |
) |
|
|
(10,863 |
) |
Restructuring costs |
|
(1,127 |
) |
|
|
(3,172 |
) |
|
|
(2,345 |
) |
|
|
(10,509 |
) |
Fleet optimization |
|
(1,031 |
) |
|
|
(1,486 |
) |
|
|
(2,375 |
) |
|
|
(2,757 |
) |
Accounts receivable |
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(1,081 |
) |
Contract termination
costs |
|
— |
|
|
|
— |
|
|
|
(750 |
) |
|
|
— |
|
Gymboree integration
costs |
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(640 |
) |
Legal reserve |
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(302 |
) |
Aggregate impact of non-GAAP
adjustments |
|
(2,238 |
) |
|
|
(6,095 |
) |
|
|
(7,113 |
) |
|
|
(26,152 |
) |
|
|
|
|
|
|
|
|
Adjusted selling, general and
administrative expenses |
$ |
119,010 |
|
|
$ |
102,697 |
|
|
$ |
452,056 |
|
|
$ |
402,082 |
|
THE CHILDREN’S PLACE,
INC.CONDENSED CONSOLIDATED BALANCE
SHEETS(In
thousands)(Unaudited)
|
January 29, |
|
January 30, |
|
2022 |
|
2021* |
Assets: |
|
|
|
Cash and cash equivalents |
$ |
54,787 |
|
$ |
63,548 |
Accounts receivable |
|
21,863 |
|
|
39,534 |
Inventories |
|
428,813 |
|
|
388,141 |
Prepaid expenses and other
current assets |
|
76,075 |
|
|
55,860 |
Total current assets |
|
581,538 |
|
|
547,083 |
|
|
|
|
Property and equipment,
net |
|
155,006 |
|
|
181,801 |
Right-of-use assets |
|
194,653 |
|
|
283,624 |
Tradenames, net |
|
71,692 |
|
|
72,492 |
Other assets, net |
|
34,571 |
|
|
55,127 |
Total assets |
$ |
1,037,460 |
|
$ |
1,140,127 |
|
|
|
|
Liabilities and
Stockholders' Equity: |
|
|
|
Revolving loan |
$ |
175,318 |
|
$ |
169,778 |
Accounts payable |
|
183,758 |
|
|
252,124 |
Current portion of operating
lease liabilities |
|
91,097 |
|
|
174,585 |
Accrued expenses and other
current liabilities |
|
141,653 |
|
|
122,012 |
Total current liabilities |
|
591,826 |
|
|
718,499 |
|
|
|
|
Long-term debt |
|
49,685 |
|
|
75,346 |
Long-term portion of operating
lease liabilities |
|
134,761 |
|
|
214,173 |
Other long-term
liabilities |
|
35,716 |
|
|
38,732 |
Total liabilities |
|
811,988 |
|
|
1,046,750 |
|
|
|
|
Stockholders' equity |
|
225,472 |
|
|
93,377 |
Total liabilities and
stockholders' equity |
$ |
1,037,460 |
|
$ |
1,140,127 |
* Derived from the audited consolidated financial statements
included in the Company's Annual Report on Form 10-K for the fiscal
year ended January 30, 2021.
THE CHILDREN’S PLACE,
INC.CONDENSED CONSOLIDATED STATEMENTS OF CASH
FLOWS(In
thousands)(Unaudited)
|
Year Ended |
|
January 29,2022 |
|
January 30,2021 |
|
|
|
|
Net income (loss) |
$ |
187,171 |
|
|
$ |
(140,365 |
) |
Non-cash adjustments |
|
222,341 |
|
|
|
200,554 |
|
Working capital |
|
(276,236 |
) |
|
|
(95,906 |
) |
Net cash provided by (used in)
operating activities |
|
133,276 |
|
|
|
(35,717 |
) |
|
|
|
|
Net cash used in investing
activities |
|
(29,290 |
) |
|
|
(30,374 |
) |
|
|
|
|
Net cash provided by (used in)
financing activities |
|
(112,741 |
) |
|
|
60,929 |
|
|
|
|
|
Effect of exchange rate
changes on cash and cash equivalents |
|
(6 |
) |
|
|
223 |
|
|
|
|
|
Net decrease in cash and cash
equivalents |
|
(8,761 |
) |
|
|
(4,939 |
) |
|
|
|
|
Cash and cash equivalents,
beginning of period |
|
63,548 |
|
|
|
68,487 |
|
|
|
|
|
Cash and cash equivalents, end
of period |
$ |
54,787 |
|
|
$ |
63,548 |
|
Childrens Place (NASDAQ:PLCE)
Historical Stock Chart
From Jun 2024 to Jul 2024
Childrens Place (NASDAQ:PLCE)
Historical Stock Chart
From Jul 2023 to Jul 2024