Home Shopping Network 2011 Annual Report Download - page 37

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HSN, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS
(In thousands, except per share data)
Years Ended
December 31,
2011 2010 2009
Net sales .................................................. $3,177,154 $2,996,780 $2,749,609
Cost of sales ............................................... 2,027,100 1,935,766 1,768,295
Gross profit ............................................ 1,150,054 1,061,014 981,314
Operating expenses:
Selling and marketing ........................................ 577,210 538,689 507,569
General and administrative .................................... 241,970 226,971 222,464
Production and programming .................................. 61,915 60,235 57,090
Depreciation and amortization ................................. 36,960 39,032 38,537
Total operating expenses .................................. 918,055 864,927 825,660
Operating income .......................................... 231,999 196,087 155,654
Other income (expense):
Interest income ......................................... 429 601 343
Interest expense ......................................... (32,022) (33,124) (35,373)
Total other expense, net ...................................... (31,593) (32,523) (35,030)
Income before income taxes .................................. 200,406 163,564 120,624
Income tax provision ......................................... (77,336) (65,041) (48,136)
Net income ................................................ $ 123,070 $ 98,523 $ 72,488
Net income per share:
Basic ................................................. $ 2.10 $ 1.72 $ 1.29
Diluted ............................................... $ 2.03 $ 1.65 $ 1.26
Shares used in computing earnings per share:
Basic ................................................. 58,636 57,414 56,383
Diluted ............................................... 60,689 59,546 57,330
Dividends declared per common share ......................... $ 0.125 $ — $ —
The accompanying notes are an integral part of these consolidated financial statements.
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