Pottery Barn 2004 Annual Report Download - page 66

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Quarterly Financial Information
(Unaudited)
Dollars in thousands, except per share amounts
Fiscal 2004
First
Quarter
Second
Quarter
Third
Quarter
Fourth
Quarter
Full
Year
Net revenues $640,910 $689,621 $722,761 $1,083,639 $3,136,931
Gross margin 245,376 259,528 281,214 485,027 1,271,145
Earnings before income taxes 34,668 44,779 46,143 184,615 310,205
Net earnings 21,390 27,629 28,467 113,748 191,234
Basic earnings per share1$ 0.18 $ 0.24 $ 0.24 $ 0.98 $ 1.65
Diluted earnings per share1$ 0.18 $ 0.23 $ 0.24 $ 0.95 $ 1.60
Stock price (as of quarter-end)2$ 32.48 $ 32.49 $ 38.17 $ 34.53 $ 34.53
Fiscal 2003
First
Quarter
Second
Quarter
Third
Quarter
Fourth
Quarter
Full
Year
Net revenues $536,840 $580,423 $632,824 $1,004,281 $2,754,368
Gross margin 204,308 215,078 248,771 442,420 1,110,577
Earnings before income taxes 21,781 28,982 38,822 166,053 255,638
Net earnings 13,395 17,824 23,876 102,116 157,211
Basic earnings per share1$ 0.12 $ 0.15 $ 0.20 $ 0.87 $ 1.36
Diluted earnings per share1$ 0.11 $ 0.15 $ 0.20 $ 0.85 $ 1.32
Stock price (as of quarter-end)2$ 26.38 $ 27.60 $ 35.33 $ 32.11 $ 32.11
1Per SFAS No. 128, the sum of the quarterly net earnings per share amounts will not necessarily equal the annual net
earnings per share as each quarter is calculated independently.
2Stock price represents our common stock price at the close of business on the Friday before our fiscal quarter-end.
ITEM 9. CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING AND
FINANCIAL DISCLOSURE
None.
ITEM 9A. CONTROLS AND PROCEDURES
Evaluation of Disclosure Controls and Procedures
As of January 30, 2005, an evaluation was performed with the participation of our management, including our
Chief Executive Officer (“CEO”) and our Executive Vice President, Chief Financial Officer (“CFO”), of the
effectiveness of our disclosure controls and procedures. Based on that evaluation, our management, including our
CEO and CFO, concluded that our disclosure controls and procedures were effective to ensure that information
we are required to disclose in reports that we file or submit under the Securities Exchange Act of 1934 is
recorded, processed, summarized and reported within the time periods specified in the rules and forms of the
SEC.
Changes in Internal Control Over Financial Reporting
There was no change in our internal control over financial reporting that occurred during our most recent fiscal
quarter that has materially affected, or is reasonably likely to materially affect, our internal control over financial
reporting.
Management’s Report on Internal Control Over Financial Reporting
Our management is responsible for establishing and maintaining adequate internal control over the company’s
financial reporting. There are inherent limitations in the effectiveness of any internal control, including the
possibility of human error and the circumvention or overriding of controls. Accordingly, even any effective
59
Form 10-K