CompUSA 2015 Annual Report Download - page 22

Table of Contents
Item 6. Selected Financial Data.
The following selected financial information is qualified by reference to, and should be read in conjunction with, the Company’s Consolidated Financial
Statements and the notes thereto, and “Management’s Discussion and Analysis of Financial Condition and Results ofOperations” contained elsewhere in this
report.Theselectedstatementofoperationsdata,excludingdiscontinuedoperations,forfiscalyears2015,2014and2013andtheselectedbalancesheetdataasof
December2015and2014arederivedfromtheauditedconsolidatedfinancialstatementswhichareincludedelsewhereinthisreport.Theselectedbalancesheet
dataasofDecember2013,2012and2011andtheselectedstatementofoperationsdataforfiscalyears2012and2011arederivedfromtheauditedconsolidated
financialstatementsoftheCompanywhicharenotincludedinthisreport.Theresultsofoperationsshownherehavebeenadjustedtoreflectthepresentationofthe
NATGdiscontinuedoperations(SeeNote1oftheNotestoConsolidatedFinancialStatements).
  Years Ended December 31, 
  (In millions, except per share data) 
  2015   2014   2013   2012   2011 
Statement of Operations Data:               
Netsales  $ 1,854.7  $ 2,104.2  $ 1,975.4  $ 1,961.2  $ 1,923.7
Grossprofit  $ 342.7  $ 377.2  $ 360.7  $ 354.4  $ 352.5
Operatingincome(loss)fromcontinuingoperations  $ (24.1)  $ (13.7)  $ (10.8)  $ 8.2  $ 33.1
Netincome(loss)fromcontinuingoperations  $ (48.3)  $ (32.0)  $ (43.0)  $ 17.8  $ 17.9
Per Share Amounts :               
Netincome(loss)—diluted  $ (1.30)  $ (0.86)  $ (1.16)  $ 0.48  $ 0.48
Weightedaveragecommonshares—diluted   37.1   37.1   37.0   36.9   37.1
Cashdividendsdeclaredpercommonshare  $ -  $ -  $ -  $ 0.25  $ -
Balance Sheet Data:               
Workingcapital  $ 214.2  $ 310.6  $ 345.8  $ 360.8  $ 354.8
Totalassets  $ 710.1  $ 896.9  $ 942.2  $ 962.3  $ 889.7
Long-termdebt,excludingcurrentportion  $ 0.4  $ 1.1  $ 2.9  $ 5.4  $ 7.1
Shareholders’equity  $ 253.9  $ 359.6  $ 406.2  $ 446.3  $ 454.3
Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations.
Overview
Systemax is primarily a direct marketer of brand name and private label products. During 2015, our operations were organized in three reportable business
segments—IPG,EMEAandourlargestbusinessintermsofrevenue,NATG.EMEAandNATGwereaggregatedinprioryearsastheymettheaggregation
criteria.Smallerbusinessoperationsandcorporatefunctionsareaggregatedandreportedasanadditionalsegment–Corporate.OnDecember1,2015,wesold
certainassetsandliabilitiesoftheNATGbusinessandarecurrentlywindingdownitsremainingoperations.SeeHistory of and Recent Restructuring of our NATG
Business above.
TheCompanyfollowstheguidanceunderAccountingStandardsUpdate(“ASU”)2014-08,Reporting Discontinued Operations and Disclosures of Disposals of
Components of an Entity, which raises the threshold for a disposal to qualify as a discontinued operation and requires new disclosures of both discontinued
operations and certain other disposals that do not meet the definition of a discontinued operation. Under ASU 2014-08 in order for a disposal to qualify for
discontinuedoperationspresentationinthefinancialstatementsthedisposalmustbea“majorstrategicshift”forthereportingentity.Iftheentitymeetsthisnew
thresholdonlythecomponentsthatwereinoperationatthetimeofdisposalwillbepresentedasdiscontinuedoperations.IntheCompany’scase,thesaleofthe
NATGbusinessinDecember2015meetsthemajorstrategicshiftcriteria.AsaresulttheB2BandEcommercebusinessandthethreeremainingretailstoresin
operationatthetimeofthesalearepresentedasdiscontinuedoperationsintheaccompanyingfinancialstatementspresentedinthisForm10-K.The31retailstores
andwarehousewhichwereclosedin2015priortothePCMtransaction,alongwithallocationsofcommondistributionandbackofficecosts,arepresentedaspart
oftheCompany’scontinuingoperationsforallperiods;otherNATGoperationsthatwerediscontinuedbytheCompanyinpreviousperiodsarealsopresentedas
continued operations for all periods.  In order to provide more meaningful information to investors which reflect the full exit of NATG, the Company is also
presenting its results on a non-GAAP basis in the “Non-GAAP” operating results table. This non-GAAP presentation reflects the entire NATG segment as a
discontinued operation for all periods presented as well as including adjustments for non-recurring items, intangible amortization and equity compensation in
recurringoperations.
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