UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
Current Report
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date of Report: September 4, 2012
Date of Earliest Event Reported: September 4, 2012
The Pep Boys - Manny, Moe & Jack
(Exact name of registrant as specified in charter)
Pennsylvania |
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1-3381 |
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23-0962915 |
(State or other jurisdiction of |
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(Commission |
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(I.R.S. Employer ID number) |
incorporation or organization) |
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File No.) |
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3111 W. Allegheny Ave. Philadelphia, PA |
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19132 |
(Address of principal executive offices) |
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(Zip code) |
215-430-9000
(Registrants telephone number, including area code)
Not Applicable
(Former name or former address, if changed from last report)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):
o Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
o Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
o Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
o Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
Item 2.02 Results of Operations and Financial Condition
On September 4, 2012, The Pep Boys Manny, Moe & Jack issued a press release announcing its earnings for the fiscal quarter ended July 28, 2012.
The information in Items 2.02 and 9.01 (including the Exhibits filed herewith) of this Current Report is being furnished and shall not be deemed filed for the purposes of Section 18 of the Securities Exchange Act of 1934, as amended, or otherwise subject to the liabilities of that Section. The information in Items 2.02 and 9.01 (including the Exhibits filed herewith) of this Current Report shall not be incorporated by reference into any registration statement or other document pursuant to the Securities Act of 1933, as amended.
Item 9.01 Financial Statements and Exhibits
(d) Exhibits. The following exhibits are filed with this report:
Exhibit No. 99.1 Press release dated September 4, 2012.
Exhibit No. 99.2 Unaudited supplemental financial data.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
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THE PEP BOYS - MANNY, MOE & JACK | |
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By: |
/s/ Sanjay Sood |
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Sanjay Sood |
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Vice President - Controller and Chief Accounting Officer |
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Date: September 4, 2012 |
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Exhibit 99.1
FOR IMMEDIATE RELEASE
Pep Boys Reports Second Quarter 2012 Results
- Service Business Comparable Store Sales Grow 3.8% -
PHILADELPHIA September 4, 2012 The Pep Boys Manny, Moe & Jack (NYSE: PBY), the nations leading automotive aftermarket service and retail chain, today announced results for the thirteen (second quarter) and twenty-six (first half) weeks ended July 28, 2012.
Second Quarter
Sales
Sales for the thirteen weeks ended July 28, 2012 increased by $3.1 million, or 0.6%, to $525.7 million from $522.6 million for the thirteen weeks ended July 30, 2011. Comparable sales were flat consisting of a 3.1% comparable service revenue increase and a 0.9% comparable merchandise sales decrease. In accordance with GAAP, service revenue is limited to labor sales, while merchandise sales include merchandise sold through both our service center and retail lines of business. Re-categorizing sales into the respective lines of business from which they are generated, comparable service center revenue (labor plus installed merchandise and tires) increased 3.8%, while comparable retail sales (DIY and Commercial) decreased 3.8%.
Net Earnings
Net earnings for the second quarter of fiscal 2012 increased to $33.0 million ($0.61 per share) from $13.9 million ($0.26 per share) recorded in the same period last year. The 2012 results include, on a pre-tax basis, merger termination fees, net of related expenses, of $43.0 million and a $0.7 million charge for severance costs from a reduction in force at our Store Support Center. The 2011 results include, on a pre-tax basis, a $0.4 million asset impairment charge, $1.0 million of acquisition related expenses and a $3.4 million benefit from the release of state tax valuation allowances.
First Half
Sales
Sales for the twenty-six weeks ended July 30, 2012 increased by $14.1 million, or 1.4%, to $1,050.3 million from $1,036.1 million for the twenty-six weeks ended July 30, 2011. Comparable sales decreased 1.4%, consisting of a 1.0% comparable service revenue increase and a 2.0% comparable merchandise sales decrease. Re-categorizing sales (see above), comparable service center revenue increased 1.6%, while comparable retail sales decreased 4.2%.
Net Earnings
Net earnings for the first half of 2012 increased to $34.1 million ($0.63 per share) from the $26.3 million ($0.49 per share) recorded in the same period last year. The 2012 results include, on a pre-tax basis, merger termination fees, net of related expenses, of $43.0 million and a $0.7 million charge for severance costs from a reduction in force at our Store Support Center. The 2011 results
include, on a pre-tax basis, a $0.4 million asset impairment charge, $1.3 million of acquisition related expenses and a $3.4 million benefit from the release of state tax valuation allowances.
Commentary
We continue to be rewarded by our strategy to lead with our service business, which grew 3.8% on a comparable store sales basis and experienced an impressive 7.8% customer count increase, said President and Chief Executive Officer Mike Odell. A strong July, particularly in our service business, allowed us to record flat comparable sales during the quarter. While industry fundamentals remain solid over the long term, with consistent demand for maintenance and repair services, short-term headwinds, including the recent spike in gas prices, continue to challenge consumer spending relative to discretionary and deferrable purchases. To combat these headwinds, we continue to make it easy for customers to choose us to do it for them and to expand our online efforts to make Pep Boys the most convenient place to shop for all of their automotive needs.
Mike continued, In the coming weeks, we expect to begin marketing a debt refinancing. Our intention is to reduce our overall long-term debt by approximately $100 million, settle our interest rate swap, extend our maturities and reduce our overall interest expense, while maintaining flexibility for accelerated growth and/or returning capital to our shareholders.
Executive Appointments
Today, Pep Boys also announced the appointment of David Stern as Chief Financial Officer and the departure of William E. Shull III, former Executive Vice President - Stores. Mr. Stern joins Thomas J. Carey, recently-appointed Chief Customer Officer, as the newest member of Pep Boys executive leadership team. Store operations have been reorganized into East and West territories under the leadership of Terence A. Winslow and Sean M. Chidsey. Messrs. Winslow and Chidsey will report directly to Mr. Odell, while a search is conducted for a Senior Vice President - Store Operations with a proven track record in delivering world-class customer service.
Since 1921, Pep Boys has been the nations leading automotive aftermarket chain. With approximately 7,200 service bays in more than 735 locations in 35 states and Puerto Rico, Pep Boys offers name-brand tires; automotive maintenance and repair; parts and expert advice for the Do-It-Yourselfer; commercial auto parts delivery; and fleet maintenance and repair. Customers can find the nearest location by calling 800-PEP-BOYS (800-737-2697) or by visiting http://www.pepboys.com.
Certain statements contained herein constitute forward-looking statements within the meaning of The Private Securities Litigation Reform Act of 1995. The word guidance, expect, anticipate, estimates, forecasts and similar expressions are intended to identify such forward-looking statements. Forward-looking statements include managements expectations regarding implementation of its long-term strategic plan, future financial performance, automotive aftermarket trends, levels of competition, business development activities, future capital expenditures, financing sources and availability and the effects of regulation and litigation. Although the Company believes that the expectations reflected in such forward-looking statements are based on reasonable assumptions, it can give no assurance that its expectations will be achieved. The Companys actual results may differ materially from the results discussed in the forward-looking statements due to factors beyond the control of the Company, including the strength of the national and regional economies, retail and commercial consumers ability to spend, the health of the various sectors of the automotive aftermarket, the weather in geographical regions with a high concentration of the Companys stores, competitive pricing, the location and number of competitors stores, product and labor costs and the additional factors described in the Companys filings with the SEC. The Company assumes no obligation to update or supplement forward-looking statements that become untrue because of subsequent events.
Investors have an opportunity to listen to the Companys quarterly conference calls discussing its results and related matters. The call for the second quarter will be broadcast live on Wednesday, September 5 at 8:30 a.m. EDT over the Internet at the Vcall website, located at http://www.investorcalendar.com. To listen to the call live, please go to the website at least 15 minutes early to register, download and install any necessary audio software. For those who cannot listen to the live broadcast, a replay will be available shortly after the call. Supplemental financial information will be available the morning of September 5 on Pep Boys website at http://www.pepboys.com. In addition, Pep Boys investor presentation, also available at http://www.pepboys.com, has been updated to reflect the Companys year-to-date results.
###
Investor Contact:
Mike Melia
(215) 430-9459
Email: investorrelations@pepboys.com
Media Contact:
Regina M. Tracy
(215) 430-9081
Email: mediarelations@pepboys.com
Pep Boys Financial Highlights
Thirteen weeks ended |
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July 28, 2012 |
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July 30, 2011 |
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Total revenues |
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$ |
525,671,000 |
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$ |
522,594,000 |
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Net earnings |
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$ |
33,048,000 |
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$ |
13,943,000 |
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Basic earnings per share: |
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Average shares |
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53,146,000 |
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52,952,000 |
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Basic earnings per share: |
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$ |
0.62 |
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$ |
0.26 |
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Diluted earnings per share: |
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Average shares |
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53,797,000 |
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53,649,000 |
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Diluted earnings per share: |
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$ |
0.61 |
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$ |
0.26 |
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Twenty-six weeks ended |
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July 28, 2012 |
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July 30, 2011 |
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Total revenues |
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$ |
1,050,275,000 |
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$ |
1,036,134,000 |
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Net earnings |
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$ |
34,110,000 |
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$ |
26,311,000 |
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Basic earnings per share: |
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|
|
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Average shares |
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53,110,000 |
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52,901,000 |
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Basic earnings per share: |
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$ |
0.64 |
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$ |
0.49 |
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Diluted earnings per share: |
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Average shares |
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53,875,000 |
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53,592,000 |
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Diluted earnings per share: |
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$ |
0.63 |
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$ |
0.49 |
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Exhibit 99.2
THE PEP BOYS - MANNY, MOE & JACK AND SUBSIDIARIES |
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(UNAUDITED) |
CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME
(dollar amounts in thousands, except per share amounts)
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Thirteen weeks ended |
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Twenty-six weeks ended |
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July 28, 2012 |
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July 30, 2011 |
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July 28, 2012 |
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July 30, 2011 |
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% |
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% |
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% |
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% |
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Amount |
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Sales |
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Amount |
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Sales |
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Amount |
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Sales |
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Amount |
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Sales |
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Merchandise sales |
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$ |
413,380 |
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78.6 |
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$ |
415,267 |
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79.5 |
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$ |
825,712 |
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78.6 |
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$ |
823,894 |
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79.5 |
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Service revenue |
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112,291 |
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21.4 |
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107,327 |
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20.5 |
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224,563 |
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21.4 |
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212,240 |
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20.5 |
| ||||
Total revenues |
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525,671 |
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100.0 |
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522,594 |
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100.0 |
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1,050,275 |
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100.0 |
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1,036,134 |
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100.0 |
| ||||
Costs of merchandise sales |
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288,051 |
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69.7 |
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287,721 |
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69.3 |
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578,907 |
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70.1 |
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573,050 |
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69.6 |
| ||||
Costs of service revenue |
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107,019 |
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95.3 |
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99,663 |
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92.9 |
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213,115 |
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94.9 |
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192,752 |
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90.8 |
| ||||
Total costs of revenues |
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395,070 |
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75.2 |
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387,384 |
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74.1 |
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792,022 |
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75.4 |
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765,802 |
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73.9 |
| ||||
Gross profit from merchandise sales |
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125,329 |
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30.3 |
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127,546 |
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30.7 |
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246,805 |
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29.9 |
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250,844 |
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30.5 |
| ||||
Gross profit from service revenue |
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5,272 |
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4.7 |
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7,664 |
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7.1 |
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11,448 |
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5.1 |
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19,488 |
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9.2 |
| ||||
Total gross profit |
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130,601 |
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24.8 |
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135,210 |
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25.9 |
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258,253 |
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24.6 |
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270,332 |
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26.1 |
| ||||
Selling, general and administrative expenses |
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114,277 |
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21.7 |
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113,268 |
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21.7 |
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233,987 |
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22.3 |
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222,168 |
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21.4 |
| ||||
Net (loss) gain from dispositions of assets |
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(9 |
) |
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(3 |
) |
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(11 |
) |
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|
86 |
|
|
| ||||
Operating profit |
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16,315 |
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3.1 |
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21,939 |
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4.2 |
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24,255 |
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2.3 |
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48,250 |
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4.7 |
| ||||
Merger termination fees, net |
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42,955 |
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8.2 |
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42,955 |
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4.1 |
|
|
|
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| ||||
Other income |
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521 |
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0.1 |
|
569 |
|
0.1 |
|
991 |
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0.1 |
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1,156 |
|
0.1 |
| ||||
Interest expense |
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6,427 |
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1.2 |
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6,444 |
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1.2 |
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12,943 |
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1.2 |
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12,941 |
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1.3 |
| ||||
Earnings from continuing operations before income taxes and discontinued operations |
|
53,364 |
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10.2 |
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16,064 |
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3.1 |
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55,258 |
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5.3 |
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36,465 |
|
3.5 |
| ||||
Income tax expense |
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20,330 |
|
38.1 |
(1) |
2,173 |
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13.5 |
(1) |
21,090 |
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38.2 |
(1) |
10,169 |
|
27.9 |
(1) | ||||
Earnings from continuing operations before discontinued operations |
|
33,034 |
|
6.3 |
|
13,891 |
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2.7 |
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34,168 |
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3.3 |
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26,296 |
|
2.5 |
| ||||
Income (loss) from discontinued operations, net of tax |
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14 |
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52 |
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(58 |
) |
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15 |
|
|
| ||||
Net earnings |
|
33,048 |
|
6.3 |
|
13,943 |
|
2.7 |
|
34,110 |
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3.3 |
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26,311 |
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2.5 |
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Basic earnings per share: |
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|
|
|
|
|
|
|
|
|
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Earnings from continuing operations before discontinued operations |
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$ |
0.62 |
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$ |
0.26 |
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|
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$ |
0.64 |
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|
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$ |
0.49 |
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|
|
Discontinued operations, net of tax |
|
|
|
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|
|
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|
|
|
|
|
|
|
|
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Basic earnings per share |
|
$ |
0.62 |
|
|
|
$ |
0.26 |
|
|
|
$ |
0.64 |
|
|
|
$ |
0.49 |
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|
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Diluted earnings per share: |
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|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Earnings from continuing operations before discontinued operations |
|
$ |
0.61 |
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|
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$ |
0.26 |
|
|
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$ |
0.63 |
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|
|
$ |
0.49 |
|
|
|
Discontinued operations, net of tax |
|
|
|
|
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|
|
|
|
|
|
|
|
|
|
|
| ||||
Diluted earnings per share |
|
$ |
0.61 |
|
|
|
$ |
0.26 |
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|
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$ |
0.63 |
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|
|
$ |
0.49 |
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|
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|
|
|
|
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|
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Other comprehensive income: |
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|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Defined benefit plan adjustment, net of tax |
|
354 |
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|
|
253 |
|
|
|
708 |
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|
|
473 |
|
|
| ||||
Derivative financial instruments adjustment, net of tax |
|
910 |
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|
|
170 |
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|
|
1,930 |
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|
|
685 |
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|
| ||||
Other comprehensive income |
|
1,264 |
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|
|
423 |
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|
|
2,638 |
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|
|
1,158 |
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|
| ||||
Comprehensive income |
|
34,312 |
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|
|
14,366 |
|
|
|
36,748 |
|
|
|
27,469 |
|
|
|
(1) As a percentage of earnings from continuing operations before income taxes
THE PEP BOYS - MANNY, MOE & JACK AND SUBSIDIARIES |
|
(UNAUDITED) |
CONSOLIDATED BALANCE SHEETS
(dollar amounts in thousands)
|
|
July 28, 2012 |
|
January 28, 2012 |
|
July 30, 2011 |
| |||
|
|
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| |||
Assets |
|
|
|
|
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|
| |||
Current assets: |
|
|
|
|
|
|
| |||
Cash and cash equivalents |
|
$ |
150,833 |
|
$ |
58,244 |
|
$ |
61,977 |
|
Accounts receivable, less allowance for uncollectible accounts of $1,247; $1,303 and $1,406 |
|
27,962 |
|
25,792 |
|
21,731 |
| |||
Merchandise inventories |
|
626,555 |
|
614,136 |
|
584,297 |
| |||
Prepaid expenses |
|
21,021 |
|
26,394 |
|
19,694 |
| |||
Other current assets |
|
53,083 |
|
59,979 |
|
50,891 |
| |||
Total current assets |
|
879,454 |
|
784,545 |
|
738,590 |
| |||
Property and equipment - net |
|
682,619 |
|
696,339 |
|
693,742 |
| |||
Goodwill |
|
46,917 |
|
46,917 |
|
48,584 |
| |||
Deferred income taxes |
|
45,825 |
|
72,870 |
|
67,988 |
| |||
Other long-term assets |
|
31,660 |
|
33,108 |
|
31,700 |
| |||
Total assets |
|
$ |
1,686,475 |
|
$ |
1,633,779 |
|
$ |
1,580,604 |
|
|
|
|
|
|
|
|
| |||
Liabilities and stockholders equity |
|
|
|
|
|
|
| |||
Current liabilities: |
|
|
|
|
|
|
| |||
Accounts payable |
|
$ |
246,522 |
|
$ |
243,712 |
|
$ |
230,884 |
|
Trade payable program liability |
|
115,746 |
|
85,214 |
|
61,440 |
| |||
Accrued expenses |
|
218,548 |
|
221,705 |
|
206,627 |
| |||
Deferred income taxes |
|
61,231 |
|
66,208 |
|
58,825 |
| |||
Current maturities of long-term debt |
|
1,254 |
|
1,079 |
|
1,079 |
| |||
Total current liabilities |
|
643,301 |
|
617,918 |
|
558,855 |
| |||
|
|
|
|
|
|
|
| |||
Long-term debt less current maturities |
|
293,504 |
|
294,043 |
|
294,583 |
| |||
Other long-term liabilities |
|
72,290 |
|
77,216 |
|
75,688 |
| |||
Deferred gain from asset sales |
|
133,971 |
|
140,273 |
|
146,573 |
| |||
|
|
|
|
|
|
|
| |||
Stockholders equity: |
|
|
|
|
|
|
| |||
Common stock, par value $1 per share: |
|
|
|
|
|
|
| |||
Authorized 500,000,000 shares; issued 68,557,041 shares |
|
68,557 |
|
68,557 |
|
68,557 |
| |||
Additional paid-in capital |
|
295,536 |
|
296,462 |
|
295,934 |
| |||
Retained earnings |
|
454,343 |
|
423,437 |
|
424,923 |
| |||
Accumulated other comprehensive loss |
|
(15,011 |
) |
(17,649 |
) |
(15,870 |
) | |||
Treasury stock, at cost - 15,563,931 shares; 15,803,322 shares and 15,894,177 shares |
|
(260,016 |
) |
(266,478 |
) |
(268,639 |
) | |||
Total stockholders equity |
|
543,409 |
|
504,329 |
|
504,905 |
| |||
Total liabilities and stockholders equity |
|
$ |
1,686,475 |
|
$ |
1,633,779 |
|
$ |
1,580,604 |
|
|
|
|
|
|
|
|
| |||
Supplemental Balance Sheet Information: |
|
|
|
|
|
|
| |||
Working capital |
|
$ |
236,153 |
|
$ |
166,627 |
|
$ |
179,735 |
|
Accounts payable to inventory ratio |
|
57.8 |
% |
53.6 |
% |
50.0 |
% | |||
Total debt as a percent of total capitalization |
|
35.2 |
% |
36.9 |
% |
36.9 |
% | |||
Net debt as a percent of total capitalization, net |
|
20.9 |
% |
32.0 |
% |
31.6 |
% |
THE PEP BOYS - MANNY, MOE & JACK AND SUBSIDIARIES |
|
(UNAUDITED) |
CONSOLIDATED STATEMENTS OF CASH FLOWS
(dollar amounts in thousands)
Twenty-six weeks ended |
|
July 28, 2012 |
|
July 30, 2011 |
| ||
|
|
|
|
|
| ||
Cash flows from operating activities: |
|
|
|
|
| ||
Net earnings |
|
$ |
34,110 |
|
$ |
26,311 |
|
Adjustments to reconcile net earnings to net cash provided by continuing operations: |
|
|
|
|
| ||
Net loss (income) from discontinued operations |
|
58 |
|
(15 |
) | ||
Depreciation and amortization |
|
39,288 |
|
39,654 |
| ||
Amortization of deferred gain from asset sales |
|
(6,302 |
) |
(6,302 |
) | ||
Stock compensation expense |
|
1,043 |
|
1,908 |
| ||
Deferred income taxes |
|
20,485 |
|
4,238 |
| ||
Net loss (gain) from disposition of assets |
|
11 |
|
(86 |
) | ||
Loss from asset impairment |
|
|
|
389 |
| ||
Other |
|
13 |
|
272 |
| ||
Changes in assets and liabilities, net of the effects of acquisitions: |
|
|
|
|
| ||
Decrease in accounts receivable, prepaid expenses and other |
|
11,448 |
|
21,816 |
| ||
Increase in merchandise inventories |
|
(12,419 |
) |
(12,917 |
) | ||
Increase in accounts payable |
|
2,810 |
|
12,043 |
| ||
Decrease in accrued expenses |
|
(2,451 |
) |
(33,202 |
) | ||
Decrease in other long-term liabilities |
|
(552 |
) |
(2,831 |
) | ||
Net cash provided by continuing operations |
|
87,542 |
|
51,278 |
| ||
Net cash used in discontinued operations |
|
(92 |
) |
(44 |
) | ||
Net cash provided by operating activities |
|
87,450 |
|
51,234 |
| ||
|
|
|
|
|
| ||
Cash flows from investing activities: |
|
|
|
|
| ||
Capital expenditures |
|
(26,347 |
) |
(30,636 |
) | ||
Proceeds from dispositions of assets |
|
|
|
89 |
| ||
Premiums paid on life insurance policies |
|
|
|
(795 |
) | ||
Acquisitions, net of cash acquired |
|
|
|
(42,757 |
) | ||
Collateral investment |
|
|
|
(4,763 |
) | ||
Net cash used in investing activities |
|
(26,347 |
) |
(78,862 |
) | ||
|
|
|
|
|
| ||
Cash flows from financing activities: |
|
|
|
|
| ||
Borrowings under line of credit agreements |
|
1,106 |
|
5,045 |
| ||
Payments under line of credit agreements |
|
(931 |
) |
(5,045 |
) | ||
Borrowings on trade payable program liability |
|
80,836 |
|
59,097 |
| ||
Payments on trade payable program liability |
|
(50,304 |
) |
(53,944 |
) | ||
Payment for finance issuance cost |
|
|
|
(2,441 |
) | ||
Debt payments |
|
(539 |
) |
(539 |
) | ||
Dividends paid |
|
|
|
(3,171 |
) | ||
Proceeds from stock issuance |
|
1,318 |
|
363 |
| ||
Net cash provided by (used in) financing activities |
|
31,486 |
|
(635 |
) | ||
Net increase (decrease) in cash and cash equivalents |
|
92,589 |
|
(28,263 |
) | ||
Cash and cash equivalents at beginning of period |
|
58,244 |
|
90,240 |
| ||
Cash and cash equivalents at end of period |
|
$ |
150,833 |
|
$ |
61,977 |
|
|
|
|
|
|
| ||
Supplemental cash flow information: |
|
|
|
|
| ||
Cash paid for income taxes |
|
$ |
1,705 |
|
$ |
629 |
|
Cash paid for interest |
|
$ |
11,449 |
|
$ |
11,523 |
|
Accrued purchases of property and equipment |
|
$ |
632 |
|
$ |
1,416 |
|
THE PEP BOYS - MANNY, MOE & JACK AND SUBSIDIARIES
COMPUTATION OF BASIC AND DILUTED EARNINGS PER SHARE |
|
(in thousands, except per share data) |
|
|
|
|
|
Thirteen weeks ended |
|
Twenty-six weeks ended |
| ||||||||
|
|
|
|
|
July 28, 2012 |
|
July 30, 2011 |
|
July 28, 2012 |
|
July 30, 2011 |
| ||||
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
(a) |
Earnings from continuing operations |
|
|
|
$ |
33,034 |
|
$ |
13,891 |
|
$ |
34,168 |
|
$ |
26,296 |
|
|
Income (loss) from discontinued operations, net of tax |
|
|
|
14 |
|
52 |
|
(58 |
) |
15 |
| ||||
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
|
Net earnings |
|
|
|
$ |
33,048 |
|
$ |
13,943 |
|
$ |
34,110 |
|
$ |
26,311 |
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
(b) |
Basic average number of common shares outstanding during period |
|
|
|
53,146 |
|
52,952 |
|
53,110 |
|
52,901 |
| ||||
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
|
Common shares assumed issued upon exercise of dilutive stock options, net of assumed repurchase, at the average market price |
|
|
|
651 |
|
697 |
|
765 |
|
691 |
| ||||
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
(c) |
Diluted average number of common shares assumed outstanding during period |
|
|
|
53,797 |
|
53,649 |
|
53,875 |
|
53,592 |
| ||||
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
|
Basic earnings per share: |
|
|
|
|
|
|
|
|
|
|
| ||||
|
Earnings from continuing operations |
|
(a) / (b) |
|
$ |
0.62 |
|
$ |
0.26 |
|
$ |
0.64 |
|
$ |
0.49 |
|
|
Discontinued operations, net of tax |
|
|
|
|
|
|
|
|
|
|
| ||||
|
Basic earnings per share |
|
|
|
$ |
0.62 |
|
$ |
0.26 |
|
$ |
0.64 |
|
$ |
0.49 |
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
|
Diluted earnings per share: |
|
|
|
|
|
|
|
|
|
|
| ||||
|
Earnings from continuing operations |
|
(a) / (c) |
|
$ |
0.61 |
|
$ |
0.26 |
|
$ |
0.63 |
|
$ |
0.49 |
|
|
Discontinued operations, net of tax |
|
|
|
|
|
|
|
|
|
|
| ||||
|
Diluted earnings per share |
|
|
|
$ |
0.61 |
|
$ |
0.26 |
|
$ |
0.63 |
|
$ |
0.49 |
|
THE PEP BOYS - MANNY, MOE & JACK AND SUBSIDIARIES
ADDITIONAL INFORMATION |
|
(dollar amounts in thousands) |
|
|
Thirteen weeks ended |
|
Twenty-six weeks ended |
| ||||||||
|
|
July 28, 2012 |
|
July 30, 2011 |
|
July 28, 2012 |
|
July 30, 2011 |
| ||||
|
|
|
|
|
|
|
|
|
| ||||
Capital expenditures |
|
$ |
14,407 |
|
$ |
12,513 |
|
$ |
26,347 |
|
$ |
30,636 |
|
|
|
|
|
|
|
|
|
|
| ||||
Depreciation and amortization |
|
$ |
19,350 |
|
$ |
19,770 |
|
$ |
39,288 |
|
$ |
39,654 |
|
|
|
|
|
|
|
|
|
|
| ||||
Non-operating income: |
|
|
|
|
|
|
|
|
| ||||
Net rental revenue |
|
$ |
429 |
|
$ |
523 |
|
$ |
814 |
|
$ |
1,017 |
|
Investment income |
|
46 |
|
40 |
|
94 |
|
122 |
| ||||
Merger termination fees, net |
|
42,955 |
|
|
|
42,955 |
|
|
| ||||
Other income |
|
46 |
|
6 |
|
83 |
|
17 |
| ||||
|
|
|
|
|
|
|
|
|
| ||||
Total |
|
$ |
43,476 |
|
$ |
569 |
|
$ |
43,946 |
|
$ |
1,156 |
|
|
|
|
|
|
|
|
|
|
| ||||
Comparable sales percentages: |
|
|
|
|
|
|
|
|
| ||||
Service |
|
3.1 |
% |
0.3 |
% |
1.0 |
% |
0.9 |
% | ||||
Merchandise |
|
-0.9 |
% |
-2.5 |
% |
-2.0 |
% |
-1.8 |
% | ||||
Total |
|
0.0 |
% |
-2.0 |
% |
-1.4 |
% |
-1.3 |
% | ||||
|
|
|
|
|
|
|
|
|
| ||||
Total square feet of retail space (including service centers) |
|
|
|
|
|
12,660,000 |
|
12,563,000 |
| ||||
|
|
|
|
|
|
|
|
|
| ||||
Store count |
|
|
|
|
|
|
|
|
| ||||
Supercenter |
|
|
|
|
|
562 |
|
561 |
| ||||
Service & Tire Center |
|
|
|
|
|
173 |
|
156 |
| ||||
Retail Only |
|
|
|
|
|
7 |
|
8 |
| ||||
Total |
|
|
|
|
|
742 |
|
725 |
| ||||
|
|
|
|
|
|
|
|
|
| ||||
Sales and gross profit by line of business (A): |
|
|
|
|
|
|
|
|
| ||||
|
|
|
|
|
|
|
|
|
| ||||
Service center revenue |
|
$ |
274,257 |
|
$ |
260,835 |
|
$ |
545,346 |
|
508,165 |
| |
Retail sales |
|
251,414 |
|
261,759 |
|
504,929 |
|
527,969 |
| ||||
Total revenues |
|
$ |
525,671 |
|
$ |
522,594 |
|
$ |
1,050,275 |
|
$ |
1,036,134 |
|
|
|
|
|
|
|
|
|
|
| ||||
Gross profit from service center revenue |
|
$ |
55,868 |
|
$ |
60,669 |
|
$ |
109,756 |
|
119,631 |
| |
Gross profit from retail sales |
|
74,733 |
|
74,541 |
|
148,497 |
|
150,701 |
| ||||
Total gross profit |
|
$ |
130,601 |
|
$ |
135,210 |
|
$ |
258,253 |
|
$ |
270,332 |
|
|
|
|
|
|
|
|
|
|
| ||||
Comparable sales percentages by line of business (A): |
|
|
|
|
|
|
|
|
| ||||
|
|
|
|
|
|
|
|
|
| ||||
Service center revenue |
|
3.8 |
% |
-0.7 |
% |
1.6 |
% |
-0.2 |
% | ||||
Retail sales |
|
-3.8 |
% |
-3.1 |
% |
-4.2 |
% |
-2.3 |
% | ||||
Total revenues |
|
0.0 |
% |
-2.0 |
% |
-1.4 |
% |
-1.3 |
% | ||||
|
|
|
|
|
|
|
|
|
| ||||
Gross profit percentage by line of business (A): |
|
|
|
|
|
|
|
|
| ||||
|
|
|
|
|
|
|
|
|
| ||||
Gross profit percentage from service center revenue |
|
20.4 |
% |
23.3 |
% |
20.1 |
% |
23.5 |
% | ||||
Gross profit percentage from retail sales |
|
29.7 |
% |
28.5 |
% |
29.4 |
% |
28.5 |
% | ||||
Total gross profit percentage |
|
24.8 |
% |
25.9 |
% |
24.6 |
% |
26.1 |
% |
(A) Retail sales include DIY and commercial sales. Service center revenue includes revenue from labor and installed parts and tires.