Operating Group Information

9 Months Ended

Oct. 29, 2022

Operating Group Information

Operating Group Information

2.    Operating Group Information:   We identify our operating groups based on the way our management organizes the components of our business for purposes of allocating resources and assessing performance. Our operating group structure reflects a brand-focused management approach, emphasizing operational coordination and resource allocation across each brand’s direct to consumer, wholesale and licensing operations, as applicable. With our acquisition of Johnny Was on September 19, 2022, our business is organized as our Tommy Bahama, Lilly Pulitzer, Johnny Was and Emerging Brands operating groups. Results for periods prior to Fiscal 2022 also include the Lanier Apparel operating group, which we exited in Fiscal 2021.

Tommy Bahama, Lilly Pulitzer and Johnny Was each design, source, market and distribute apparel and related products bearing their respective trademarks and may license their trademarks for other product categories. The Emerging Brands operating group, which was organized in Fiscal 2022, consists of the operations of our smaller, earlier stage Southern Tide, TBBC and Duck Head brands. In prior years, Southern Tide was reported as a separate operating group, while both TBBC and Duck Head were included in Corporate and Other. All prior year amounts have been restated to conform to the current year presentation.

Each of the smaller brands included in Emerging Brands designs, sources, markets and distributes apparel and related products bearing its respective trademarks and is supported by Oxford’s emerging brands team that provides certain support functions to the smaller brands, including marketing and advertising execution, customer relationship management and analysis and other functions. The shared resources provide for operating efficiencies and enhanced knowledge sharing across our smaller brands.

Corporate and Other is a reconciling category for reporting purposes and includes our corporate offices, substantially all financing activities, the elimination of inter-segment sales, any other items that are not allocated to the operating groups, including LIFO inventory accounting adjustments, and the operations of our Lyons, Georgia distribution center and our Oxford America business, which we exited in Fiscal 2022.

The table below presents certain financial information (in thousands) about our operating groups, as well as Corporate and Other.

	Third Quarter				First Nine Months
	Fiscal 2022		Fiscal 2021		Fiscal 2022		Fiscal 2021
Net sales
Tommy Bahama	$	178,645	$	148,454	$	650,677	$	513,985
Lilly Pulitzer		84,053		72,157		264,763		233,066
Johnny Was (1)		22,661		—		22,661		—
Emerging Brands		26,912		22,082		88,588		67,336
Lanier Apparel		—		4,232		—		24,743
Corporate and Other		762		804		2,355		3,033
Consolidated net sales	$	313,033	$	247,729	$	1,029,044	$	842,163
Depreciation and amortization
Tommy Bahama	$	6,576	$	6,895	$	20,110	$	20,801
Lilly Pulitzer		3,288		2,445		9,384		6,833
Johnny Was (1)		2,184		—		2,184		—
Emerging Brands		391		324		1,143		955
Lanier Apparel		—		27		—		88
Corporate and Other		197		186		627		575
Consolidated depreciation and amortization	$	12,636	$	9,877	$	33,448	$	29,252
Operating income (loss)
Tommy Bahama	$	18,984	$	5,531	$	130,508	$	73,515
Lilly Pulitzer		12,688		15,985		60,358		61,713
Johnny Was (1)		117		—		117		—
Emerging Brands		3,729		4,103		15,456		13,565
Lanier Apparel		—		348		—		2,053
Corporate and Other		(8,203)		4,640		(27,775)		(17,350)
Consolidated operating income		27,315		30,607	$	178,664	$	133,496
Interest expense, net		698		222		1,214		685
Earnings before income taxes	$	26,617	$	30,385	$	177,450	$	132,811

	October 29, 2022		January 29, 2022		October 30, 2021
Assets
Tommy Bahama (2)	$	544,947	$	531,678	$	531,534
Lilly Pulitzer (3)		192,609		176,757		173,104
Johnny Was (4)		350,212		—		—
Emerging Brands (5)		83,280		66,825		54,532
Lanier Apparel (6)		—		207		3,261
Corporate and Other (7)		(30,731)		182,175		170,372
Consolidated Total Assets	$	1,140,317	$	957,642	$	932,803

(1) Amount included for Johnny Was represents the post-acquisition period only.

(2) Increase in Tommy Bahama total assets from October 30, 2021 includes increases in inventories and receivables partially offset by reductions in non-current assets, including operating lease assets and property and equipment.

(3) Increase in Lilly Pulitzer total assets from October 30, 2021 includes increases in inventories and property and equipment partially offset by reductions in operating lease assets.

(4) The Johnny Was business was acquired on September 19, 2022.

(5) Increase in Emerging Brands total assets from October 30, 2021 includes increases in inventories and non-current assets, including operating lease assets and property and equipment.

(6) Decrease in Lanier Apparel total assets from October 30, 2021 is due to the exit of the Lanier Apparel business during Fiscal 2021.

(7) Decrease in Corporate and Other total assets from October 30, 2021 includes reductions in short-term investments, cash and cash equivalents, which were used to fund a portion of the acquisition purchase price for Johnny Was, and reductions in inventories, which was primarily due to the change in the LIFO reserve, and reductions in other non-current assets.

The tables below quantify net sales, for each operating group and in total (in thousands), and the percentage of net sales by distribution channel for each operating group and in total, for each quarter or nine month period presented, except that the amounts included for Johnny Was represent the post-acquisition period only. We have calculated all percentages below based on actual data, and percentages may not add to 100 due to rounding.

	Third Quarter Fiscal 2022
	Net Sales		Retail		E-commerce		Restaurant		Wholesale		Other
Tommy Bahama	$	178,645	44	%	20	%	13	%	23	%	—	%
Lilly Pulitzer		84,053	27	%	62	%	—	%	11	%	—	%
Johnny Was (1)		22,661	38	%	41	%	—	%	21	%	—	%
Emerging Brands		26,912	5	%	40	%	—	%	55	%	—	%
Lanier Apparel		—	—	%	—	%	—	%	—	%	—	%
Corporate and Other		762	—	%	—	%	—	%	47	%	53	%
Total	$	313,033	36	%	34	%	7	%	22	%	—	%

	Third Quarter Fiscal 2021
	Net Sales		Retail		E-commerce		Restaurant		Wholesale		Other
Tommy Bahama	$	148,454	47	%	22	%	13	%	18	%	—	%
Lilly Pulitzer		72,157	31	%	58	%	—	%	11	%	—	%
Johnny Was		—	—	%	—	%	—		—	%	—	%
Emerging Brands		22,082	4	%	34	%	—	%	62	%	—	%
Lanier Apparel		4,232	—	%	—	%	—	%	100	%	—	%
Corporate and Other		804	—	%	—	%	—	%	67	%	33	%
Total	$	247,729	37	%	33	%	8	%	21	%	—	%

	First Nine Months 2022
	Net Sales		Retail		E‑commerce		Restaurant		Wholesale		Other
Tommy Bahama	$	650,677	46	%	23	%	12	%	19	%	—	%
Lilly Pulitzer		264,763	34	%	49	%	—	%	17	%	—	%
Johnny Was (1)		22,661	38	%	41	%	—	%	21	%	—	%
Emerging Brands		88,588	5	%	39	%	—	%	56	%	—	%
Lanier Apparel		—	—	%	—	%	—	%	—	%	—	%
Corporate and Other		2,355	—	%	—	%	—	%	50	%	50	%
Consolidated net sales	$	1,029,044	39	%	31	%	8	%	21	%	—	%

	First Nine Months 2021
	Net Sales		Retail		E‑commerce		Restaurant		Wholesale		Other
Tommy Bahama	$	513,985	46	%	24	%	14	%	16	%	—	%
Lilly Pulitzer		233,066	35	%	48	%	—	%	17	%	—	%
Johnny Was		—	—	%	—	%	—	%	—	%	—	%
Emerging Brands		67,336	4	%	37	%	—	%	59	%	—	%
Lanier Apparel		24,743	—	%	—	%	—	%	100	%	—	%
Corporate and Other		3,033	—	%	—	%	—	%	65	%	35	%
Consolidated net sales	$	842,163	38	%	31	%	8	%	22	%	—	%

(1) Amount included for Johnny Was represents the period from September 19, 2022 through October 29, 2022 only.