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Segment Reporting
 12 Months Ended
Jan. 31, 2012
Segment Reporting [Abstract]  
Segment Reporting

14. Segment Reporting

The Company is a global retailer of lifestyle-oriented general merchandise with two reporting segments—"Retail" and "Wholesale". The Company's Retail segment consists of the aggregation of its five brands operating through 429 stores under the retail names "Urban Outfitters," "Anthropologie," "Free People", "Terrain" and "BHLDN" and includes their direct marketing campaigns which consist of five catalogs and nine websites as of January 31, 2012. Our Retail stores and their direct marketing campaigns are considered an operating segment. Net sales from the Retail segment accounted for more than 94% of total consolidated net sales for the years ended January 31, 2012, 2011 and 2010. The remainder is derived from the Company's Wholesale segment that distributes apparel to its retail segment and to approximately 1,400 better department and specialty retailers worldwide.

The Company has aggregated its retail stores and associated direct marketing campaigns into a Retail segment based upon their shared management, customer base and economic characteristics. Reporting in this format provides management with the financial information necessary to evaluate the success of the segments and the overall business. The Company evaluates the performance of the segments based on the net sales and pre-tax income from operations (excluding inter-company charges) of the segment. Corporate expenses include expenses incurred and directed by the corporate office that are not allocated to segments. The principal identifiable assets for each operating segment are inventories and property and equipment. Other assets are comprised primarily of general corporate assets, which principally consist of cash and cash equivalents, marketable securities, and other assets, and which are typically not allocated to the Company's segments. The Company accounts for inter-segment sales and transfers as if the sales and transfers were made to third parties making similar volume purchases.

The accounting policies of the operating segments are the same as the policies described in Note 2, "Summary of Significant Accounting Policies." Both the retail and wholesale segments are highly diversified. No customer comprises more than 10% of sales. A summary of the information about the Company's operations by segment is as follows:

 

     Fiscal Year  
     2012     2011     2010  

Net sales

       

Retail operations

    $ 2,340,794      $ 2,153,792      $ 1,833,733   

Wholesale operations

      140,657        124,768        109,269   

Intersegment elimination

      (7,650 )      (4,458 )      (5,187 ) 
  

 

 

    

 

 

    

 

 

  

Total net sales

    $ 2,473,801      $ 2,274,102      $ 1,937,815   
  

 

 

    

 

 

    

 

 

  

Income from operations

       

Retail operations

    $ 276,581      $ 418,403      $ 338,114   

Wholesale operations

      26,919        23,372        22,164   

Intersegment elimination

      (709 )      (389 )      (202 ) 
  

 

 

    

 

 

    

 

 

  

Total segment operating income

      302,791        441,386        360,076   

General corporate expenses

      (18,066 )      (27,183 )      (21,092 ) 
  

 

 

    

 

 

    

 

 

  

Total income from operations

    $ 284,725      $ 414,203      $ 338,984   
  

 

 

    

 

 

    

 

 

  

Depreciation expense for property and equipment

       

Retail operations

    $ 99,645      $ 91,267      $ 85,077   

Wholesale operations

      1,094        1,136        1,069   
  

 

 

    

 

 

    

 

 

  

Total depreciation expense for property and equipment

    $ 100,739      $ 92,403      $ 86,146   
  

 

 

    

 

 

    

 

 

  

Inventories

       

Retail operations

    $ 237,825      $ 213,420     

Wholesale operations

      12,248        16,141     
  

 

 

    

 

 

    

Total inventories

    $ 250,073      $ 229,561     
  

 

 

    

 

 

    

Property and equipment, net

       

Retail operations

    $ 681,501      $ 582,241     

Wholesale operations

      3,478        4,105     
  

 

 

    

 

 

    

Total property and equipment, net

    $ 684,979      $ 586,346     
  

 

 

    

 

 

    

Cash paid for property and equipment

       

Retail operations

    $ 189,311      $ 142,791      $ 107,941   

Wholesale operations

      699        851        1,319   
  

 

 

    

 

 

    

 

 

  

Total cash paid for property and equipment

    $ 190,010      $ 143,642      $ 109,260   
  

 

 

    

 

 

    

 

 

  

 

The Company has foreign operations in Europe and Canada. Revenues and long-lived assets, based upon the Company's domestic and foreign operations, are as follows:

 

     Fiscal Year  
     2012      2011      2010  

Net sales

         

Domestic operations

    $ 2,169,976       $ 2,027,074       $ 1,752,787   

Foreign operations

      303,825         247,028         185,028   
  

 

 

     

 

 

     

 

 

  

Total net sales

    $ 2,473,801       $ 2,274,102       $ 1,937,815   
  

 

 

     

 

 

     

 

 

  

Property and equipment, net

         

Domestic operations

    $ 557,512       $ 497,521      

Foreign operations

      127,467         88,825      
  

 

 

     

 

 

     

Total property and equipment, net

    $ 684,979       $ 586,346