Pep Boys 2008 Annual Report Download - page 80

ITEM 6 SELECTED FINANCIAL DATA
The following tables set forth the selected financial data for the Company and should be read in
conjunction with the Consolidated Financial Statements and Notes thereto included elsewhere herein.
Jan. 31, Feb. 2, Feb. 3, Jan. 28, Jan. 29,
Fiscal Year ended 2009 2008 2007 2006 2005
(dollar amounts are in thousands, except share data)
STATEMENT OF OPERATIONS DATA(5)
Merchandise sales ............................ $1,569,664 $ 1,749,578 $ 1,853,077 $ 1,830,632 $ 1,838,258
Service revenue ............................. 358,124 388,497 390,778 378,342 404,101
Total revenues .............................. 1,927,788 2,138,075 2,243,855 2,208,974 2,242,359
Gross profit from merchandise sales(6) ................ 440,502 (1) 443,626 (2) 533,276 470,019 510,583
Gross profit from service revenue(6) ................. 24,930 (1) 42,611 (2) 33,004 32,276 92,245
Total gross profit ............................. 465,432 (1) 486,237 (2) 566,280 502,295 602,828
Selling, general and administrative expenses ............. 485,044 518,373 546,399 519,600 (3) 542,228 (4)
Net gain (loss) from disposition of assets ............... 9,716 15,151 8,968 4,826 11,848
Operating (loss) profit .......................... (9,896) (16,985) 28,849 (12,479)(3) 72,448 (4)
Non-operating income .......................... 1,967 5,246 7,023 3,897 1,824
Interest expense ............................. 27,048 51,293 49,342 49,040 35,965
(Loss) earnings from continuing operations before income taxes
and cumulative effect of change in accounting principle ..... (34,977)(1) (63,032)(2) (13,470) (57,622)(3) 38,307 (4)
Net (loss) earnings from continuing operations before cumulative
effect of change in accounting principle .............. (28,838) (37,438) (7,071) (36,595)(3) 23,991 (4)
Discontinued operations, net of tax .................. (1,591)(1) (3,601)(2) 4,333 1,088 (412)
Cumulative effect of change in accounting principle net of tax . . — — 189 (2,021) —
Net (loss) earnings ............................ (30,429) (41,039) (2,549) (37,528) 23,579
BALANCE SHEET DATA
Working capital ............................. $ 179,233 $ 195,343 $ 163,960 $ 247,526 $ 180,651
Current ratio ............................... 1.33 to 1 1.35 to 1 1.27 to 1 1.43 to 1 1.27 to 1
Merchandise inventories ........................ $ 564,931 $ 561,152 $ 607,042 $ 616,292 $ 602,760
Property and equipment-net ...................... 740,331 780,779 906,247 947,389 945,031
Total assets ................................ 1,552,389 1,583,920 1,767,199 1,821,753 1,867,023
Long-term debt (includes all convertible debt) ............ 352,382 400,016 535,031 586,239 471,682
Total stockholders’ equity ........................ 423,156 470,712 567,755 594,565 653,456
DATA PER COMMON SHARE
Basic (loss) earnings from continuing operations before
cumulative effect of change in accounting principle ........ $ (0.55) $ (0.72) $ (0.13) $ (0.67)(3) $ 0.43 (4)
Basic (loss) earnings ........................... (0.58) (0.79) (0.05) (0.69)(3) 0.42 (4)
Diluted (loss) earnings from continuing operations before
cumulative effect of change in accounting principal ........ (0.55) (0.72) (0.13) (0.67)(3) 0.42 (4)
Diluted net (loss) earnings ....................... (0.58) (0.79) (0.05) (0.69)(3) 0.41 (4)
Cash dividends declared ......................... 0.27 0.27 0.27 0.27 0.27
Book value per share .......................... 8.10 9.10 10.53 10.97 11.87
Common share price range:
High .................................. 12.56 22.49 16.55 18.80 29.37
Low................................... 2.62 8.25 9.33 11.75 11.83
OTHER STATISTICS
Return on average stockholders’ equity(7) .............. (6.8)% (7.9)% (0.4)% (6.0)% 3.9%
Common shares issued and outstanding ................ 52,237,750 51,752,677 53,934,084 54,208,803 55,056,641
Capital expenditures ........................... $ 151,883 (8) $ 41,953 $ 53,903 $ 92,083 $ 103,766
Number of retail outlets ........................ 562 562 593 593 595
Number of service bays ......................... 5,845 5,845 6,162 6,162 6,181
(1) Includes an aggregate pretax charge of $5,353 for asset impairment, of which $2,779 was charged to merchandise cost of sales, $648 was
charged to service cost of sales and $1,926 (pretax) was charged to discontinued operations.
(2) Includes an aggregate pretax charge of $10,963 for the asset impairment and closure of 31 stores, of which $5,350 was charged to
merchandise cost of sales, $1,849 was charged to service cost of sales and $3,764 (pretax) was charged to discontinued operations. In addition
we recorded a pretax $32,803 inventory impairment charge to cost of merchandise sales for the discontinuance of certain product offerings.
(3) Includes a pretax charge of $4,200 related to an asset impairment charge reflecting the remaining value of a commercial sales software asset,
which was included in selling, general and administrative expenses.
(4) Includes a pretax charge of $6,911 related to certain executive severance obligations.
(5) Statement of operations data reflects 53 weeks for the fiscal year ended February 3, 2007 while the other years reflect 52 weeks.
(6) Gross Profit from Merchandise Sales includes the cost of products sold, buying, warehousing and store occupancy costs. Gross Profit from
Service Revenue includes the cost of installed products sold, buying, warehousing, service payroll and related employee benefits and
occupancy costs. Occupancy costs include utilities, rents, real estate and property taxes, repairs and maintenance and depreciation and
amortization expenses. Our gross profit may not be comparable to those of our competitors due to differences in industry practice regarding
the classification of certain costs.
(7) Return on average stockholders’ equity is calculated by taking the net (loss) earnings for the period divided by average stockholders’ equity
for the year.
(8) Includes the purchase of master lease assets for $117,121.
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