Pottery Barn 2007 Annual Report Download - page 74

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Quarterly Financial Information
(Unaudited)
Dollars in thousands, except per share amounts
Fiscal 2007 (53 Weeks)
First
Quarter
Second
Quarter
Third
Quarter
Fourth
Quarter
Full
Year
Net revenues $816,051 $859,396 $895,132 $1,374,355 $3,944,934
Gross margin 301,970 320,095 342,081 571,825 1,535,971
Earnings before income taxes 30,381 43,394 44,679 197,886 316,340
Net earnings 18,150 25,966 27,077 124,564 195,757
Basic earnings per share1$ 0.16 $ 0.24 $ 0.25 $ 1.17 $ 1.79
Diluted earnings per share1$ 0.16 $ 0.23 $ 0.25 $ 1.15 $ 1.76
Stock price (as of quarter-end)2$ 35.67 $ 30.73 $ 30.61 $ 27.52 $ 27.52
Fiscal 2006 (52 Weeks)
First
Quarter
Second
Quarter3
Third
Quarter
Fourth
Quarter
Full
Year
Net revenues $794,286 $825,536 $852,758 $1,254,933 $3,727,513
Gross margin 305,421 314,560 325,738 541,568 1,487,287
Earnings before income taxes 37,485 57,762 44,644 197,295 337,186
Net earnings 23,099 35,563 29,142 121,064 208,868
Basic earnings per share1$ 0.20 $ 0.31 $ 0.26 $ 1.08 $ 1.83
Diluted earnings per share1$ 0.20 $ 0.30 $ 0.25 $ 1.06 $ 1.79
Stock price (as of quarter-end)2$ 41.87 $ 32.23 $ 34.26 $ 34.24 $ 34.24
1The 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.
3Includes a net pre-tax benefit of $10,200,000 in selling, general and administrative expenses related to unredeemed gift
certificate income due to a change in estimate and the Visa/MasterCard litigation settlement income, partially offset by the
expense associated with the departure of our former Chief Executive Officer.
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 February 3, 2008, an evaluation was performed by management, with the participation of our Chief
Executive Officer (“CEO”) and our Executive Vice President, Chief Operating and 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 are 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 accumulated and communicated to our management, including our CEO and CFO, as
appropriate, to allow timely discussions regarding required disclosures, and that such information 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.
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