Nautilus 2011 Annual Report Download - page 49

Download and view the complete annual report

Please find page 49 of the 2011 Nautilus annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 71

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71

Table of Contents
(14) SEGMENT INFORMATION
The Company has two reportable segments - Direct and Retail. Contribution is the measure of profit or loss used by the Company's chief
operating decision maker and is defined as net sales less product costs and directly attributable expenses. Directly attributable expenses include
selling and marketing expenses, general and administrative expenses, and research and development expenses that are directly related to segment
operations. Segment assets are those directly assigned to an operating segment's operations, primarily accounts receivable, inventories and
intangible assets. Unallocated assets primarily include shared information technology infrastructure, distribution centers, corporate headquarters,
prepaids, deferred taxes and other assets. Capital expenditures directly attributable to the Direct and Retail segments were not significant in
2011
or 2010 .
Following is summary information by reportable segment for the years ended December 31, 2011 and 2010 (in thousands):
Net sales outside of the United States, primarily in Canada, represented approximately 9% and 10% of consolidated net sales
As of December 31,
(Number of shares in thousands) 2011
2010
Stock options
1,114
1,253
Performance stock units
89
—
Restricted stock units
217
—
Year Ended December 31,
2011
2010
Net sales:
Direct
$
107,061
$
96,668
Retail
68,591
67,789
Unallocated royalty income
4,760
3,993
Consolidated net sales
$
180,412
$
168,450
Contribution:
Direct
$
2,954
$
(10,778
)
Retail
9,489
11,400
Unallocated royalty income
4,760
3,994
Consolidated contribution
$
17,203
$
4,616
Reconciliation of consolidated contribution to income (loss) from continuing operations:
Consolidated contribution
$
17,203
$
4,616
Less:
Selling and marketing
—
(
6
)
General and administrative
(13,501
)
(14,093
)
Research and development
(103
)
(86
)
Interest expense, net
(401
)
(140
)
Other income (expense), net
(11
)
479
Income tax expense
(686
)
(588
)
Income (loss) from continuing operations
$
2,501
$
(9,818
)
Assets:
Direct
$
23,244
$
17,345
Retail
26,331
31,084
Unallocated corporate
33,238
29,938
Total assets
$
82,813
$
78,367
Depreciation and amortization expense:
Direct
$
2,742
$
4,000
Retail
844
2,226
Unallocated corporate
229
401
Total depreciation and amortization expense
$
3,815
$
6,627