Pottery Barn 2006 Annual Report Download - page 37

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Fiscal 2006 Fiscal 2005 Fiscal 2004
Store
Count
Avg. LSF
Per Store
Store
Count
Avg. LSF
Per Store
Store
Count
Avg. LSF
Per Store
Williams-Sonoma 254 5,900 254 5,700 254 5,700
Pottery Barn 197 12,200 188 12,100 183 11,900
Pottery Barn Kids 92 7,900 89 7,800 87 7,800
West Elm 22 17,400 12 16,100 4 14,500
Williams-Sonoma Home 7 14,500 3 13,900 — —
Outlets 16 20,200 16 20,200 15 15,500
Hold Everything1— — 8 7,600 9 6,100
Total 588 9,300 570 8,800 552 8,400
1During the first quarter of fiscal 2006, we closed our remaining eight Hold Everything stores.
Retail revenues in fiscal 2006 increased by $121,071,000, or 6.0%, over fiscal 2005 primarily due to an increase
in store leased square footage of 8.3% (including 28 new store openings and the remodeling or expansion of an
additional 28 stores) and comparable store sales growth of 0.3% in fiscal 2006. This increase was partially offset
by the temporary closure of 24 stores and the permanent closure of 14 stores during fiscal 2006. Net revenues
generated in the West Elm, Williams-Sonoma, Pottery Barn Kids, Williams-Sonoma Home and Pottery Barn
brands were the primary contributors to the year-over-year revenue increase, partially offset by lost revenues in
the Hold Everything brand due to the closure of all its stores in late 2005 and the first quarter of fiscal 2006.
Retail revenues in fiscal 2005 increased by $221,928,000, or 12.3%, over fiscal 2004 primarily due to an increase
in store leased square footage of 8.6% (including 30 new store openings and the remodeling or expansion of an
additional 8 stores) and comparable store sales growth of 4.9%. These increases were partially offset by the
temporary closure of 12 stores and the permanent closure of 8 stores during fiscal 2005. Net revenues generated
in the Pottery Barn, Williams-Sonoma, West Elm and Pottery Barn Kids brands were the primary contributors to
the year-over-year revenue increase.
Comparable Store Sales
Comparable stores are defined as those stores in which gross square footage did not change by more than 20% in
the previous 12 months and which have been open for at least 12 consecutive months without closure for seven
or more consecutive days. By measuring the year-over-year sales of merchandise in the stores that have a history
of being open for a full comparable 12 months or more, we can better gauge how the core store base is
performing since it excludes new store openings, store remodelings, expansions and closings. Comparable stores
exclude new retail concepts until such time as we believe that comparable store results in those concepts are
meaningful to evaluating the performance of the retail strategy. For fiscal 2006, our total comparable store sales
exclude the West Elm and Williams-Sonoma Home concepts. For fiscal 2005, our total comparable store sales
exclude the West Elm concept.
Percentages represent changes in comparable store sales versus the same period in the prior year.
Percent increase (decrease) in comparable store sales Fiscal 2006 Fiscal 2005 Fiscal 2004
Williams-Sonoma 3.0% 2.8% 0.5%
Pottery Barn (2.1%) 5.7% 4.6%
Pottery Barn Kids 3.3% 5.2% 4.1%
Outlets (4.3%) 14.7% 18.1%
Hold Everything1— (10.7%) 2.1%
Total 0.3% 4.9% 3.5%
1Hold Everything stores are excluded from the 2006 comparable store sales calculation as this brand’s remaining eight stores
were closed in the first quarter of fiscal 2006.
25
Form 10-K