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Table of Contents
NOTE 19—QUARTERLY RESULTS (UNAUDITED)
61
Quarter Ended
March 31,
June 30,
September 30,
December 31,
(a)
(b)
(c)(d)
(In thousands, except per share data)
Year Ended December 31, 2012
Net sales
$
737,908
$
767,187
$
778,769
$
982,875
Gross profit
266,914
293,448
285,516
337,846
Operating income
51,259
65,342
49,312
92,832
Income from continuing operations
27,288
35,611
17,558
56,041
(Loss) income from discontinued operations, net of tax
(1,118
)
(4,864
)
128
32
Net income
26,170
30,747
17,686
56,073
Income from continuing operations per share:
Basic
$
0.47
$
0.63
$
0.32
$
1.03
Diluted
$
0.45
$
0.61
$
0.31
$
1.00
Net income per share:
Basic
$
0.45
$
0.54
$
0.32
$
1.03
Diluted
$
0.44
$
0.53
$
0.31
$
1.00
Dividends declared per common share
$
0.125
$
0.125
$
0.125
$
0.18
Year Ended December 31, 2011
Net sales
$
699,214
$
721,064
$
727,110
$
921,968
Gross profit
242,867
273,984
261,722
321,689
Operating income
42,848
60,718
49,248
86,228
Income from continuing operations
21,300
32,557
25,628
48,167
Loss from discontinued operations, net of tax
(1,019
)
(590
)
(1,324
)
(1,649
)
Net income
20,281
31,967
24,304
46,518
Income from continuing operations per share:
Basic
$
0.37
$
0.56
$
0.44
$
0.82
Diluted
$
0.35
$
0.54
$
0.42
$
0.79
Net income per share:
Basic
$
0.35
$
0.55
$
0.41
$
0.79
Diluted
$
0.34
$
0.53
$
0.40
$
0.76
Dividends declared per common share
$
—
$
—
$
0.125
$
—
(a) The second quarter of 2012 includes a loss of $6.0 million , or $3.8 million net of taxes, related to the sales of Smith+Noble and The
Territory Ahead, two brands formerly included in the Cornerstone portfolio, and is included in the line item "Loss from discontinued
operations, net of tax." This loss decreased diluted earnings per share by $0.06 .
(b) The third quarter of 2012 includes a sales tax settlement of $7.8 million , or $4.8 million net of taxes, and costs associated with the
redemption of Senior Notes of $18.3 million , or $11.4 million net of taxes. These charges decreased diluted earnings per share by $0.28
.
(c) Cornerstone has a 4-4-5 week accounting cycle with the fiscal year ending on the Saturday on or immediately preceding December 31.
The fourth quarter of 2011 included an extra week compared to the other quarters in 2012 and 2011.
(d) The fourth quarter of 2011 includes $ 3.0 million of asset impairment charges, and a related $ 1.1 million tax benefit, related to
indefinite-lived intangible assets and long-lived assets of The Territory Ahead, and is included in the line item "Loss from discontinued
operations, net of tax." These charges decreased diluted earnings per share by $ 0.03 .