WeightWatchers 2005 Annual Report Download - page 81

Download and view the complete annual report

Please find page 81 of the 2005 WeightWatchers annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 128

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96
  • 97
  • 98
  • 99
  • 100
  • 101
  • 102
  • 103
  • 104
  • 105
  • 106
  • 107
  • 108
  • 109
  • 110
  • 111
  • 112
  • 113
  • 114
  • 115
  • 116
  • 117
  • 118
  • 119
  • 120
  • 121
  • 122
  • 123
  • 124
  • 125
  • 126
  • 127
  • 128

WEIGHT WATCHERS INTERNATIONAL, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS FOR THE FISCAL YEARS ENDED
(IN THOUSANDS EXCEPT PER SHARE AMOUNTS)
December 31, January 1, January 3,
2005 2005 2004
(52 Weeks) (52 Weeks) (53 Weeks)
Meeting fees, net ................................... $ 681,097 $ 629,097 $607,204
Product sales and other, net ........................... 360,497 330,833 336,728
Online revenues .................................... 109,657 64,989 —
Revenues, net .................................... 1,151,251 1,024,919 943,932
Cost of meetings, products and other ..................... 493,910 468,312 440,398
Cost of online subscriptions ............................ 26,772 18,810 —
Cost of revenues .................................. 520,682 487,122 440,398
Gross profit ...................................... 630,569 537,797 503,534
Marketing expenses .................................. 158,252 134,791 113,603
Selling, general and administrative expenses ................ 169,825 97,121 73,862
Operating income ................................. 302,492 305,885 316,069
Interest expense, net ................................. 20,969 16,759 33,698
Other (income)/expense, net ........................... 2,208 (4,685) 2,774
Early extinguishment of debt ........................... — 4,264 47,368
Income before income taxes and cumulative effect of accounting
change ......................................... 279,315 289,547 232,229
Provision for income taxes ............................. 104,913 94,522 88,288
Income before cumulative effect of accounting change ....... 174,402 195,025 143,941
Cumulative effect of accounting change, net of tax .......... — (11,941) —
Net income available to common shareholders ........... $ 174,402 $ 183,084 $143,941
Basic Earnings Per Share:
Income before cumulative effect of accounting change ....... $ 1.70 $ 1.86 $ 1.35
Cumulative effect of accounting change, net of tax ........... — (0.11) —
Net income ...................................... $ 1.70 $ 1.75 $ 1.35
Diluted Earnings Per Share:
Income before cumulative effect of accounting change ....... $ 1.67 $ 1.82 $ 1.31
Cumulative effect of accounting change, net of tax .......... — (0.11) —
Net income .................................... $ 1.67 $ 1.71 $ 1.31
Weighted average common shares outstanding:
Basic ........................................... 102,747 104,704 106,676
Diluted ......................................... 104,203 106,985 109,724
The accompanying notes are an integral part of the consolidated financial statements.
F-5