Pep Boys 2005 Annual Report Download - page 24

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19
Analysis of Statement of Operations
The following table presents, for the periods indicated, certain items in the consolidated statements of operations as a
percentage of total revenues (except as otherwise provided) and the percentage change in dollar amounts of such items
compared to the indicated prior period.
Percentage of Total Revenues Percentage Change
Year ended
Jan. 28, 2006
(fiscal 2005)
Jan. 29, 2005
(fiscal 2004)
Jan. 31, 2004
(fiscal 2003)
Fiscal 2005 vs.
Fiscal 2004
Fiscal 2004 vs.
Fiscal 2003
Merchandise Sales 82.9% 82.0% 81.0% (0.5)% 7.8%
Service Revenue(1) 17.1 18.0 19.0 (6.4) 1.0
Total Revenues 100.0 100.0 100.0 (1.5) 6.5
Costs of Merchandise Sales(2) 74.0(3) 71.6(3) 71.9(3) (3.0) 7.3
Costs of Service Revenue(2) 92.1(3) 77.4(3) 76.6(3) (11.4) 1.9
Total Costs of Revenues 77.1 72.6 72.8 (4.6) 6.2
Gross Profit from Merchandise Sales 26.0(3) 28.4(3) 28.1(3) (9.1) 9.0
Gross Profit from Service Revenue 7.9(3) 22.6(3) 23.4(3) (67.2) (2.1)
Total Gross Profit 22.9 27.4 27.2 (17.7) 7.2
Selling, General and Administrative Expenses 23.4 24.1 26.7 4.4 (3.9)
Operating (Loss) Profit (0.5) 3.3 0.5 (115.0) 607.0
Non-operating Income 0.2 0.1 0.2 113.7 (45.4)
Interest Expense 2.2 1.6 1.8 (36.4) (6.0)
(Loss) Earnings from Continuing Operations Before
Income Taxes and Cumulative Effect of Change in
Accounting Principle (2.5) 1.8 (1.1) (238.6) 267.0
Income Tax (Benefit) Expense 36.5(4) 37.4(4) 36.7(4) 235.3 269.9
Net (Loss) Earnings from Continuing Operations
Before Cumulative Effect of Change in Accounting
Principle (1.6) 1.1 (0.7) (240.5) 265.5
Discontinued Operations, Net of Tax 0.0 (0.1) (0.8) 114.2 88.3
Cumulative Effect of Change in Accounting Principle,
Net of Tax (0.1) 0.0 (0.1) — —
Net (Loss) Earnings (1.7) 1.0 (1.6) (259.2) 169.6
(1) Service revenue consists of the labor charge for installing merchandise or maintaining or repairing vehicles, excluding
the sale of any installed parts or materials.
(2) Costs of merchandise sales include the cost of products sold, buying, warehousing and store occupancy costs. Costs of
service revenue include service center payroll and related employee benefits and service center occupancy costs.
Occupancy costs include utilities, rents, real estate and property taxes, repairs and maintenance and depreciation and
amortization expenses.
(3) As a percentage of related sales or revenue, as applicable.
(4) As a percentage of (Loss) Earnings from Continuing Operations Before Cumulative Effect of Change in Accounting
Principle