SEGMENTS

12 Months Ended

Jan. 31, 2021

Segments [Abstract]

SEGMENTS

NOTE O — SEGMENTS

The Company’s reportable segments are business units that offer products through different channels of distribution. The Company has two reportable segments: wholesale operations and retail operations. The wholesale operations segment includes sales of products under the Company’s owned, licensed and private label brands, as well as sales related to the Vilebrequin business. Wholesale revenues also include revenues from license agreements related to our owned trademarks including DKNY, Donna Karan, Vilebrequin, G.H. Bass and Andrew Marc. The retail operations segment consists primarily of direct sales to consumers through Company-operated stores, which, prior to the completion of the retail restructuring in fiscal 2021, consisted primarily of Wilsons Leather, G.H. Bass, DKNY and Karl Lagerfeld Paris stores, substantially all of which are operated as outlet stores. Sales through the Company’s owned digital channels, with the exception of Vilebrequin, are also included in the retail operations segment. As a result of the restructuring of the Company’s retail operations, the Company closed its Wilsons Leather and G.H. Bass retail stores during fiscal 2021. After completion of the restructuring, the Company’s retail operations segment consists of DKNY and Karl Lagerfeld Paris stores, as well as the digital channels for DKNY, Donna Karan, Karl Lagerfeld Paris, G.H Bass, Andrew Marc and Wilsons Leather.

The following segment information, in thousands, is presented for the fiscal years ended:

	January 31, 2021
	Wholesale		Retail		Elimination (1)		Total
Net sales	$	1,916,763		170,421		(32,038)	$	2,055,146
Cost of goods sold		1,229,548		113,194		(32,038)		1,310,704
Gross profit		687,215		57,227		—		744,442
Selling, general and administrative expenses		444,549		160,553		—		605,102
Depreciation and amortization		31,998		6,627		—		38,625
Asset impairments, net of gain on lease terminations		1,010		16,863		—		17,873
Operating profit (loss)	$	209,658	$	(126,816)	$	—	$	82,842

	January 31, 2020
	Wholesale		Retail		Elimination (1)		Total
Net sales	$	2,862,889	$	385,910	$	(88,335)	$	3,160,464
Cost of goods sold		1,925,062		205,797		(88,335)		2,042,524
Gross profit		937,827		180,113		—		1,117,940
Selling, general and administrative expenses		604,377		227,803		—		832,180
Depreciation and amortization		30,806		7,929		—		38,735
Asset impairments		412		18,959		—		19,371
Operating profit (loss)	$	302,232	$	(74,578)	$	—	$	227,654

	January 31, 2019
	Wholesale		Retail		Elimination (1)		Total
Net sales	$	2,716,958	$	476,764	$	(117,514)	$	3,076,208
Cost of goods sold		1,837,335		249,278		(117,514)		1,969,099
Gross profit		879,623		227,486		—		1,107,109
Selling, general and administrative expenses		570,290		264,473		—		834,763
Depreciation and amortization		29,644		9,175		—		38,819
Asset impairments		—		2,813		—		2,813
Operating profit (loss)	$	279,689	$	(48,975)	$	—	$	230,714

(1) Represents intersegment sales to the Company’s retail operations segment.

The Company allocates overhead to its business segments on various bases, which include units shipped, space utilization, inventory levels, and relative sales levels, among other factors. The method of allocation has been applied consistently on a year-to-year basis.

The total assets for each of the Company’s reportable segments, as well as assets not allocated to a segment, are as follows:

	January 31,		January 31,
	2021		2020
	(In thousands)
Wholesale	$	1,844,682	$	1,912,175
Retail		85,625		272,832
Corporate		506,079		380,130
Total Assets	$	2,436,386	$	2,565,137

The total net sales and long-lived assets by geographic region are as follows:

	2021				2020				2019
			Long-Lived				Long-Lived				Long-Lived
Geographic Region	Net Sales		Assets		Net Sales		Assets		Net Sales		Assets
United States	$	1,755,791	$	834,181	$	2,774,492	$	964,476	$	2,656,479	$	762,444
Non-United States		299,355		258,165		385,972		231,973		419,729		191,719
	$	2,055,146	$	1,092,346	$	3,160,464	$	1,196,449	$	3,076,208	$	954,163

Capital expenditures for locations outside of the United States totaled $3.0 million, $4.6 million and $4.3 million for the years ended January 31, 2021, 2020 and 2019, respectively.