Lumber Liquidators 2009 Annual Report Download - page 29

Item 6. Selected Financial Data.
The selected statements of income data for the years ended December 31, 2009, 2008 and 2007 and the balance sheet
data as of December 31, 2009 and 2008 have been derived from our audited consolidated financial statements included in
Item 8. “Consolidated Financial Statements and Supplementary Data” of this report. This information should be read in
conjunction with those audited financial statements, the notes thereto, and Item 7. “Management’s Discussion and Analysis
of Financial Condition and Results of Operations” of this report. The selected balance sheet data set forth below as of
December 31, 2007, 2006 and 2005, and income data for the years ended December 31, 2006 and 2005 are derived from our
audited consolidated financial statements contained in reports previously filed with the SEC, not included herein. Our
historical results are not necessarily indicative of our results for any future period.
Year Ended December 31,
2009 2008 2007 2006(1) 2005
(in thousands, except share and per share amounts)
Statement of Income Data
Net sales ................................. $ 544,568 $ 482,179 $ 405,307 $ 332,060 $ 244,947
Cost of sales .............................. 349,891 314,501 270,193 221,931 158,844
Gross profit ............................... 194,677 167,678 135,114 110,129 86,103
Selling, general and administrative expenses ..... 151,070 130,693 116,308 88,716 67,900
Operating income .......................... 43,607 36,985 18,806 21,413 18,203
Interest expense ........................... 2 27 722 722 638
Other (income) expense(2) .................... (500) (834) (413) (368) (96)
Income before income taxes .................. 44,105 37,792 18,497 21,059 17,661
Provision for income taxes ................... 17,181 15,643 7,171 8,161 6,948
Net income ............................... $ 26,924 $ 22,149 $ 11,326 $ 12,898 $ 10,713
Net income per common share:
Basic ................................ $ 1.00 $ 0.83 $ 0.68 $ 0.86 $ 0.71
Diluted .............................. $ 0.97 $ 0.82 $ 0.48 $ 0.56 $ 0.46
Weighted average common shares outstanding:
Basic ................................ 26,983,689 26,772,288 16,646,674 15,000,100 15,000,100
Diluted .............................. 27,684,547 27,090,593 23,634,995 22,989,403 23,063,174
(1) We adopted the provisions of FASB ASC 718, using the prospective-transition method, effective January 1, 2006.
(2) Includes interest income.
As of December 31,
2009 2008 2007 2006 2005
(in thousands)
Balance Sheet Data
Cash and cash equivalents ................................. $ 35,675 $ 35,139 $ 33,168 $ 3,965 $ 6,031
Merchandise inventories .................................. 133,342 88,731 72,024 51,758 30,009
Total assets ............................................. 205,880 152,405 128,424 78,020 55,162
Total debt and capital lease obligations, including current
maturities ............................................ — — 122 9,603 10,360
Stock compensation liability ............................... — — — 9,132 8,092
Redeemable preferred stock(1) .............................. — — — 34,795 34,744
Total stockholders’ equity (deficit) .......................... 148,434 114,397 92,188 (5,468) (18,775)
Working capital(2) ........................................ 124,100 96,245 77,875 30,297 17,059
(1) In 2004, a private investment group purchased 7,952,018 shares of Series A Convertible Preferred Stock (the
“Redeemable Preferred Stock”); all shares of Redeemable Preferred Stock were converted into shares of common stock
on a one-to-one basis on November 8, 2007.
(2) Working capital is defined as current assets minus current liabilities.
23