Wisconsin | 001-11084 | 39-1630919 |
(State or other jurisdiction of incorporation) | (Commission File Number) | (IRS Employer Identification No.) |
N56 W17000 Ridgewood Drive Menomonee Falls, Wisconsin | 53051 | |
(Address of principal executive offices) | (Zip Code) |
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)) |
Exhibit No. | Description | |
99.1 | Press Release dated May 15, 2014 |
Dated: May 15, 2014 | KOHL'S CORPORATION |
By: | /s/ Richard D. Schepp | |||
Richard D. Schepp | ||||
Senior Executive Vice President, | ||||
General Counsel and Secretary |
Exhibit No. | Description |
99.1 | Press Release dated May 15, 2014 |
Quarter | |||||||||
($ in millions) | 2014 | 2013 | Change | ||||||
Sales | $ | 4,070 | $ | 4,199 | (3.1)% | ||||
Comparable store sales | (3.4 | )% | (1.9 | )% | - | ||||
Net income | $ | 125 | $ | 147 | (15)% | ||||
Diluted earnings per share | $ | 0.60 | $ | 0.66 | (9)% |
KOHL'S CORPORATION | |||||||
CONSOLIDATED STATEMENTS OF INCOME | |||||||
(In Millions, except per share data) | |||||||
(Unaudited) | |||||||
Three Months Ended | |||||||
May 3, 2014 | May 4, 2013 | ||||||
Net sales | $ | 4,070 | $ | 4,199 | |||
Cost of merchandise sold | 2,574 | 2,671 | |||||
Gross margin | 1,496 | 1,528 | |||||
Operating expenses: | |||||||
Selling, general, and administrative | 1,000 | 997 | |||||
Depreciation and amortization | 216 | 214 | |||||
Operating income | 280 | 317 | |||||
Interest expense, net | 85 | 83 | |||||
Income before income taxes | 195 | 234 | |||||
Provision for income taxes | 70 | 87 | |||||
Net income | $ | 125 | $ | 147 | |||
Basic net income per share | $ | 0.60 | $ | 0.66 | |||
Average number of shares | 206 | 222 | |||||
Diluted net income per share | $ | 0.60 | $ | 0.66 | |||
Average number of shares | 208 | 223 | |||||
As a percent of net sales: | |||||||
Gross margin | 36.8 | % | 36.4 | % | |||
Selling, general and | |||||||
administrative expenses | 24.6 | % | 23.7 | % | |||
Operating income | 6.9 | % | 7.6 | % | |||
Net income | 3.1 | % | 3.5 | % | |||
KOHL'S CORPORATION | ||||||||
CONSOLIDATED BALANCE SHEETS | ||||||||
(In Millions) | ||||||||
(Unaudited) | ||||||||
May 3, 2014 | May 4, 2013 | |||||||
Assets | ||||||||
Current assets: | ||||||||
Cash and cash equivalents | $ | 717 | $ | 518 | ||||
Merchandise inventories | 3,981 | 3,961 | ||||||
Deferred income taxes | 137 | 138 | ||||||
Other | 280 | 294 | ||||||
Total current assets | 5,115 | 4,911 | ||||||
Property and equipment, net | 8,677 | 8,822 | ||||||
Other assets | 341 | 317 | ||||||
Total assets | $ | 14,133 | $ | 14,050 | ||||
Liabilities and Shareholders' Equity | ||||||||
Current liabilities: | ||||||||
Accounts payable | $ | 1,382 | $ | 1,452 | ||||
Accrued liabilities | 1,078 | 1,023 | ||||||
Income taxes payable | 49 | 117 | ||||||
Current portion of capital lease | ||||||||
and financing obligations | 112 | 107 | ||||||
Total current liabilities | 2,621 | 2,699 | ||||||
Long-term debt | 2,792 | 2,492 | ||||||
Capital lease and financing obligations | 1,919 | 1,938 | ||||||
Deferred income taxes | 382 | 368 | ||||||
Other long-term liabilities | 562 | 532 | ||||||
Shareholders' equity | 5,857 | 6,021 | ||||||
Total liabilities and shareholders' equity | $ | 14,133 | $ | 14,050 | ||||
KOHL'S CORPORATION | |||||||
CONSOLIDATED STATEMENTS OF CASH FLOWS | |||||||
(In Millions) | |||||||
(Unaudited) | |||||||
Three Months Ended | |||||||
May 3, 2014 | May 4, 2013 | ||||||
Operating activities | |||||||
Net income | $ | 125 | $ | 147 | |||
Adjustments to reconcile net income to net cash | |||||||
provided by operating activities: | |||||||
Depreciation and amortization | 216 | 214 | |||||
Share-based compensation | 11 | 9 | |||||
Excess tax benefits from share-based compensation | (2 | ) | (1 | ) | |||
Deferred income taxes | 5 | (13 | ) | ||||
Other non-cash revenues and expenses | 5 | 11 | |||||
Changes in operating assets and liabilities: | |||||||
Merchandise inventories | (105 | ) | (210 | ) | |||
Other current and long-term assets | 17 | 21 | |||||
Accounts payable | 17 | 145 | |||||
Accrued and other long-term liabilities | (44 | ) | 11 | ||||
Income taxes | (66 | ) | (29 | ) | |||
Net cash provided by operating activities | 179 | 305 | |||||
Investing activities | |||||||
Acquisition of property and equipment | (176 | ) | (135 | ) | |||
Other | 4 | 12 | |||||
Net cash used in investing activities | (172 | ) | (123 | ) | |||
Financing activities | |||||||
Treasury stock purchases | (167 | ) | (101 | ) | |||
Shares withheld for taxes on vested restricted shares | (14 | ) | (8 | ) | |||
Dividends paid | (80 | ) | (77 | ) | |||
Proceeds from financing obligations | 3 | — | |||||
Capital lease and financing obligation payments | (29 | ) | (24 | ) | |||
Proceeds from stock option exercises | 24 | 8 | |||||
Excess tax benefits from share-based compensation | 2 | 1 | |||||
Net cash used in financing activities | (261 | ) | (201 | ) | |||
Net decrease in cash and cash equivalents | (254 | ) | (19 | ) | |||
Cash and cash equivalents at beginning of period | 971 | 537 | |||||
Cash and cash equivalents at end of period | $ | 717 | $ | 518 |