Quarterly financial data (unaudited)

12 Months Ended

Feb. 03, 2017

Quarterly financial data (unaudited)

12. Quarterly financial data (unaudited)

The following is selected unaudited quarterly financial data for the fiscal years ended February 3, 2017 and January 29, 2016. Each quarterly period listed below was a 13-week accounting period, with the exception of the fourth quarter of 2016, which was a 14‑week accounting period. The sum of the four quarters for any given year may not equal annual totals due to rounding.


	First		Second		Third		Fourth
(In thousands)	Quarter		Quarter		Quarter		Quarter
2016:
Net sales	$	5,265,432	$	5,391,891	$	5,320,029	$	6,009,246
Gross profit		1,612,614		1,681,767		1,587,510		1,900,747
Operating profit		480,743		509,097		392,991		680,618
Net income		295,124		306,518		235,315		414,176
Basic earnings per share		1.03		1.08		0.84		1.50
Diluted earnings per share		1.03		1.08		0.84		1.49


	First		Second		Third		Fourth
(In thousands)	Quarter		Quarter		Quarter		Quarter
2015:
Net sales	$	4,918,672	$	5,095,904	$	5,067,048	$	5,286,938
Gross profit		1,498,705		1,588,155		1,536,962		1,682,269
Operating profit		428,194		475,812		423,859		612,429
Net income		253,235		282,349		253,321		376,175
Basic earnings per share		0.84		0.95		0.87		1.30
Diluted earnings per share		0.84		0.95		0.86		1.30

In 2016, the Company acquired 42 former Walmart Express locations and closed 40 of its own locations as part of relocating stores to the purchased locations. As a result, the Company incurred expenses, primarily related to lease termination costs, of $11.0 million ($6.7 million net of tax, or $0.02 per diluted share), which was recognized in Selling, general, and administrative expense in the third quarter of 2016.

In the fourth quarter of 2016, the Company sold or assigned the leases for 12 of its own locations which were closed as part of the relocation process to the Walmart Express locations. As a result, the Company incurred a reduction of expenses of $4.5 million ($2.8 million net of tax, or $0.01 per diluted share), which was recognized in Selling, general, and administrative expense.

In the third quarter of 2015, the Company implemented a restructuring of its corporate support functions. As a result, the Company incurred expenses, primarily related to severance-related benefits, of $6.1 million ($3.7 million net of tax, or $0.01 per diluted share), which was recognized in Selling, general, and administrative expense.