XML 29 R16.htm IDEA: XBRL DOCUMENT v3.22.2.2
Segment Information
 6 Months Ended
Jul. 30, 2022
Segment Reporting [Abstract]  
Segment Information Segment Information
The Company’s businesses are grouped into five reportable segments for management and internal financial reporting purposes: Americas Retail, Americas Wholesale, Europe, Asia, and Licensing. The Company’s Americas Retail, Americas Wholesale, Europe and Licensing reportable segments are the same as their respective operating segments. Certain components of the Company’s Asia operating segment are separate operating segments based on region, which have been aggregated into the Asia reportable segment for disclosure purposes.
Management evaluates segment performance based primarily on revenues and earnings (loss) from operations before corporate performance-based compensation costs, asset impairment charges, net gains (losses) on lease modifications, restructuring charges and certain non-recurring credits (charges), if any. The Company believes this segment reporting reflects how its business segments are managed and how each segment’s performance is evaluated by the Company’s chief operating decision maker to assess performance and make resource allocation decisions.
Net revenue and earnings (loss) from operations are summarized (in thousands):
 Three Months EndedSix Months Ended
 Jul 30, 2022Jul 31, 2021Jul 30, 2022Jul 31, 2021
Net revenue:  
Americas Retail$181,655 $186,297 $348,140 $341,832 
Americas Wholesale50,195 49,858 118,552 95,288 
Europe336,707 322,723 612,716 564,575 
Asia49,365 47,813 105,587 103,473 
Licensing24,768 21,933 51,168 43,458 
Total net revenue$642,690 $628,624 $1,236,163 $1,148,626 
Earnings (loss) from operations:  
Americas Retail$23,921 $37,916 $38,187 $58,190 
Americas Wholesale11,442 12,944 28,839 24,499 
Europe34,538 51,417 52,428 55,615 
Asia(3,300)(4,847)(6,787)(6,655)
Licensing21,206 20,154 45,650 39,585 
Total segment earnings from operations87,807 117,584 158,317 171,234 
Corporate overhead(33,349)(29,115)(66,541)(57,891)
Asset impairment charges1
(1,919)(1,501)(3,463)(1,942)
Net gains on lease modifications2
907 420 1,508 2,565 
Total earnings from operations$53,446 $87,388 $89,821 $113,966 
______________________________________________________________________
Notes:
1    During the three and six months ended July 30, 2022, the Company recognized asset impairment charges related primarily to property and equipment of certain retail locations resulting from under-performance and expected store closures. During the three and six months ended July 31, 2021, the Company recognized asset impairment charges related primarily to certain operating lease ROU assets and property and equipment of certain retail stores resulting from lower revenue and future cash flow projections from the ongoing effects of the COVID-19 pandemic and expected store closures. Refer to Note 2 and Note 15 for more information regarding these asset impairment charges.
2    During the three and six months ended July 30, 2022 and July 31, 2021, the Company recorded net gains on lease modifications related primarily to the early termination of certain lease agreements.
The below presents information regarding geographic areas in which the Company operated. Net revenue is classified primarily based on the country where the Company’s customer is located (in thousands):
 Three Months EndedSix Months Ended
 Jul 30, 2022Jul 31, 2021Jul 30, 2022Jul 31, 2021
Net revenue:  
U.S.$159,134 $180,265 $328,261 $337,331 
Italy72,695 64,803 129,061 112,356 
Germany49,063 52,204 84,904 86,882 
Canada43,982 34,425 84,560 61,065 
Spain36,674 31,737 66,787 57,244 
South Korea28,125 26,802 64,009 54,611 
Other countries228,249 216,455 427,413 395,679 
Total product sales617,922 606,691 1,184,995 1,105,168 
Net royalties24,768 21,933 51,168 43,458 
Net revenue$642,690 $628,624 $1,236,163 $1,148,626 
Due to the seasonal nature of the Company’s business segments, the above net revenue and operating results are not necessarily indicative of the results that may be expected for the full fiscal year.