Express 2011 Annual Report Download - page 44

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Fiscal Year Comparisons
Net Sales
Year Ended
2011 2010 2009
Net sales (in thousands) .................... $2,073,355 $1,905,814 $1,721,066
Comparable sales percentage increase /
(decrease) ............................ 6% 10% (4)%
Net sales per average gross square foot (a) ..... $ 355 $ 346 $ 321
Total store square footage at end of period (in
thousands) (a) ......................... 5,267 5,128 4,995
Number of:
Stores open at beginning of period ....... 591 573 581
New stores .......................... 27 23 7
Closed stores ........................ (9) (5) (15)
Stores open at end of period ............ 609 591 573
(a) Net sales per average gross square foot is determined by dividing net sales (excluding e-commerce sales,
shipping and handling revenue related to e-commerce, gift card breakage, and royalties) for the period by
average gross square feet during the period. Unless otherwise indicated, references herein to square feet
are to gross square feet, rather than net selling space.
Net sales increased $167.5 million from $1.9 billion in 2010 to $2.1 billion in 2011, a 9% increase. Comparable
sales, increased by $109.0 million, or 6%, in 2011 compared to 2010. The comparable stores sales growth was
driven by growth in average dollar sales during the period as well as the continued growth in e-commerce sales.
Non-comparable sales increased $58.5 million primarily driven by new store openings. Other revenue was $21.5
million in 2011, an increase of $4.0 million, compared to other revenue of $17.5 million in 2010, primarily as a
result of more shipping and handling revenue related to e-commerce merchandise sales growth.
Net sales increased $184.7 million from $1.7 billion in 2009 to $1.9 billion in 2010, an 11% increase.
Comparable sales increased by $165.3 million, or 10%, in 2010 compared to 2009. The comparable store sales
growth was driven by an increase in transactions and growth in average dollar sales during the period as well as
the continued growth in e-commerce sales. Non-comparable sales increased $19.4 million primarily driven by
new store openings. Other revenue was $17.5 million in 2010, an increase of $5.3 million, compared to other
revenue of $12.2 million in 2009, primarily as a result of more shipping and handling revenue related to
e-commerce sales growth.
Gross Profit
The following table shows cost of sales and gross profit in dollars for the stated periods:
Year Ended
2011 2010 2009
(in thousands)
Cost of goods sold, buying and occupancy
costs ................................. $1,318,894 $1,227,490 $1,175,088
Gross profit ............................. $ 754,461 $ 678,324 $ 545,978
The 80 basis point improvement in gross margin, or gross profit as a percentage of net sales, in 2011 compared to
the 2010 period was comprised of 40 basis points of merchandise margin expansion and 40 basis points of
buying and occupancy leverage. The merchandise margin expansion was primarily driven by average unit retail
increases in certain categories, partially offset by average unit cost increases and higher cancellation charges
36