Dick's Sporting Goods 2005 Annual Report Download - page 24

Fiscal Year 2005 2004 2003 2002 2001
(Dollars in thousands, except per share and sales per square foot data)
Statement of Income Data:
Net sales $ 2,624,987 $ 2,109,399 $ 1,470,845 $ 1,272,584 $ 1,074,568
Cost of goods sold 11,887,347 1,522,873 1,062,820 934,956 810,801
Gross profit 737,640 586,526 408,025 337,628 263,767
Selling, general and administrative expenses 556,320 443,776 314,885 262,755 213,065
Merger integration and store closing costs 37,790 20,336 – – –
Pre-opening expenses 10,781 11,545 7,499 6,000 5,726
Income from operations 132,749 110,869 85,641 68,873 44,976
(Gain) on sale / loss on write-down
of non-cash investment 2, 3 (1,844) (10,981) (3,536) 2,447 –
Interest expense, net 12,959 8,009 1,831 2,864 6,241
Other income –(1,000) – – –
Income before income taxes 121,634 114,841 87,346 63,562 38,735
Provision for income taxes 48,654 45,936 34,938 25,425 15,494
Net income $ 72,980 $ 68,905 $ 52,408 $ 38,137 $ 23,241
Earnings per Common Share 4:
Net income per common share – Basic $ 1.47 $ 1.44 $ 1.17 $ 1.08 $ 0.73
Net income per common share – Diluted $ 1.35 $ 1.30 $ 1.04 $ 0.93 $ 0.65
Weighted average number of common shares
outstanding (in thousands):
Basic 49,792 47,978 44,774 35,458 32,018
Diluted 53,979 52,921 50,280 40,958 35,736
Store Data:
Comparable store net sales increase 52.6% 2.6% 2.1% 5.1% 3.6%
Number of stores at end of period 255 234 163 141 125
Total square feet at end of period 14,650,459 13,514,869 7,919,138 6,807,021 6,149,044
Net sales per square foot 6$ 188 $ 195 $ 193 $ 192 $ 186
Other Data:
Gross profit margin 28.1% 27.8% 27.7% 26.5% 24.6%
Selling, general and administrative
percentage of net sales 21.2% 21.0% 21.4% 20.7% 19.8%
Operating margin 5.1% 5.3% 5.8% 5.4% 4.2%
Inventory turnover 73.42x 3.56x 3.69x 3.83x 3.74x
Depreciation and amortization $ 49,861 $ 37,621 $ 17,554 $ 14,420 $ 12,082
Balance Sheet Data:
Inventories $ 535,698 $ 457,618 $ 254,360 $ 233,497 $ 201,585
Working capital 8$ 142,748 $ 128,388 $ 136,679 $ 55,102 $ 68,957
Total assets $ 1,187,789 $ 1,085,048 $ 543,360 $ 413,529 $ 365,517
Total debt including capital lease obligations $ 181,201 $ 258,004 $ 3,916 $ 3,577 $ 80,861
Retained earnings (accumulated deficit) –
including accretion of redeemable preferred stock $ 202,842 $ 129,862 $ 60,957 $ 8,549 $ (29,588)
Total stockholders’ equity $ 414,793 $ 313,667 $ 240,894 $ 138,823 $ 61,556
1Cost of goods sold includes the cost of merchandise, occupancy, freight and distribution costs, and shrink expense.
2Gain on sale of investment resulted from the sale of a portion of the Company’s non-cash investment in its third-party Internet commerce service provider.
We converted a royalty arrangement with that provider into an equity investment that resulted in this non-cash investment.
3The loss on write-down of non-cash investment resulted from a write-down of the investment in our third-party Internet commerce service provider due to
a decline in the value of that company’s publicly traded stock.
4Earnings per share data gives effect to the two-for-one stock split, in the form of a stock dividend which became effective on April 5, 2004.
5Comparable store sales begin in a store’s 14th full month of operations after its grand opening. Comparable store sales are for stores that opened at least
13 months prior to the beginning of the period noted. Stores that were closed or relocated during the applicable period have been excluded from
comparable store sales. Each relocated store is returned to the comparable store base after its 14th full month of operations. The former Galyan’s stores
will be included in the comparable store base beginning in the second quarter of 2006.
6Calculated using net sales and gross square footage of all stores open at both the beginning and the end of the period. Gross square footage includes
the storage, receiving and office space that generally occupies approximately 18% of total store space.
7Calculated as cost of goods sold divided by the average of the last five quarters’ ending inventories.
8Defined as current assets less current liabilities.
dick’s sporting goods, inc. 2005 annual report
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FIVE–YEAR FINANCIAL SUMMARY