XML 55 R23.htm IDEA: XBRL DOCUMENT v2.4.0.8
Operating Segment Information
 6 Months Ended
Jun. 30, 2014
Segment Reporting [Abstract]  
Operating Segment Information
Operating Segment Information
 
The Company operates the following business segments: Wholesale Footwear, Wholesale Accessories, Retail, First Cost and Licensing. The Wholesale Footwear segment, through sales to department stores, mid-tier retailers, mass-market merchants and specialty stores, derives revenue, both domestically and worldwide (via our International business), from sales of branded and private label women’s, men’s, girls’ and children’s footwear. The Wholesale Accessories segment, which includes branded and private label handbags, belts and small leather goods as well as cold weather and selected other fashion accessories, derives revenue, both domestically and worldwide (via our International business), from sales to department stores, mid-tier retailers, mass-market merchants and specialty stores. Our Wholesale Footwear and Wholesale Accessories segments, through our International business, derive revenue from Canada and, under special distribution arrangements, from Asia, Europe, the Middle East, Mexico, Australia, India, South Africa and Central and South America. The Retail segment, through the operation of Company-owned retail stores in the United States and Canada and the Company’s websites, derives revenue from sales of branded women’s, men’s and children’s footwear, accessories and licensed products to consumers. The First Cost segment represents activities of a subsidiary which earns commissions and design fees for serving as a buying agent of footwear products to mass-market merchandisers, mid-tier department stores and other retailers with respect to their purchase of footwear. The Company's Licensing segment generates revenue by licensing its Steve Madden® and Steven by Steve Madden® trademarks and other trademark rights for use in connection with the manufacture, marketing and sale of sunglasses, eyewear, outerwear, bedding, hosiery and women's fashion apparel, jewelry, watches and luggage. In addition, this segment licenses the Betsey Johnson® and Betseyville® trademarks for use in connection with the manufacture, marketing and sale of apparel, jewelry, swimwear, eyewear, watches, fragrances and outerwear.
Note Q – Operating Segment Information (continued)

As of and three months ended,
 
Wholesale Footwear
 
Wholesale Accessories
 
Total Wholesale
 
Retail
 
First Cost
 
Licensing
 
Consolidated
June 30, 2014
 
 

 
 

 
 

 
 

 
 

 
 

 
 

Net sales to external customers
 
$
192,365

 
$
57,434

 
$
249,799

 
$
45,916

 
 

 
 

 
$
295,715

Gross profit
 
57,660

 
20,542

 
78,202

 
28,858

 
 

 
 

 
107,060

Commissions and licensing fees – net
 
—

 
—

 
—

 
—

 
$
1,563

 
$
1,624

 
3,187

Income (loss) from operations
 
25,594

 
10,316

 
35,910

 
1,215

 
1,563

 
1,624

 
40,312

Segment assets
 
$
581,362

 
$
165,435

 
746,797

 
127,913

 
30,784

 
—

 
905,494

Capital expenditures
 
 

 
 

 
$
2,014

 
$
1,616

 
$
—

 
$
—

 
$
3,630

June 30, 2013
 
 

 
 

 


 
 

 
 

 
 

 


Net sales to external customers
 
$
199,198

 
$
52,224

 
$
251,422

 
$
46,212

 
 

 
 

 
$
297,634

Gross profit
 
60,989

 
19,667

 
80,656

 
29,922

 
 

 
 

 
110,578

Commissions and licensing fees – net
 
—

 
—

 
—

 
—

 
$
1,888

 
$
1,811

 
3,699

Income from operations
 
27,044

 
9,394

 
36,438

 
5,474

 
1,888

 
1,811

 
45,611

Segment assets
 
$
560,660

 
$
188,774

 
749,434

 
110,483

 
28,826

 
—

 
888,743

Capital expenditures
 
 

 
 

 
$
2,895

 
$
3,538

 
$
—

 
$
—

 
$
6,433

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
As of and six months ended,
 
Wholesale Footwear
 
Wholesale Accessories
 
Total Wholesale
 
Retail
 
First Cost
 
Licensing
 
Consolidated
June 30, 2014
 
 

 
 

 


 
 

 
 

 
 

 
 

Net sales to external customers
 
$
412,104

 
$
102,715

 
$
514,819

 
$
85,520

 
 

 
 

 
$
600,339

Gross profit (a)
 
126,693

 
37,806

 
164,499

 
50,909

 
 

 
 

 
215,408

Commissions and licensing fees – net
 
—

 
—

 
—

 
—

 
$
2,975

 
$
3,383

 
6,358

Income from operations (a)
 
56,665

 
16,274

 
72,939

 
(2,992
)
 
2,975

 
3,383

 
76,305

Segment assets
 
$
581,362

 
$
165,435

 
746,797

 
127,913

 
30,784

 
—

 
905,494

Capital expenditures
 
 

 
 

 
$
4,227

 
$
3,795

 
$
—

 
$
—

 
$
8,022

June 30, 2013
 
 

 
 

 


 
 

 
 

 
 

 


Net sales to external customers
 
$
388,379

 
$
96,905

 
$
485,284

 
$
91,266

 


 
 

 
$
576,550

Gross profit
 
118,851

 
37,236

 
156,087

 
57,089

 


 
 

 
213,175

Commissions and licensing fees – net
 
—

 
—

 
—

 
—

 
$
4,170

 
$
3,895

 
8,066

Income from operations
 
49,626

 
16,886

 
66,512

 
7,473

 
4,170

 
3,895

 
82,048

Segment assets
 
$
560,660

 
$
188,774

 
749,434

 
110,483

 
28,826

 
—

 
888,743

Capital expenditures
 
 

 
 

 
$
3,822

 
$
6,837

 
$
—

 
$
—

 
$
10,659

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
(a) Does not sum due to rounding.
 
 
 
 
 
 
 
 
 
 
 
 



Note Q – Operating Segment Information (continued)

Revenues by geographic area for the three and six months ended June 30, 2014 and 2013 are as follows:
 
 
 
Three Months Ended June 30,
 
Six Months Ended June 30,
 
 
2014
 
2013
 
2014
 
2013
Domestic (a)
 
$
269,437

 
$
264,817

 
$
550,819

 
$
517,254

International
 
26,278

 
32,817

 
49,520

 
59,296

Total
 
$
295,715

 
$
297,634

 
$
600,339

 
$
576,550

(a) Includes revenues of $76,362 and $159,320 for the three and six months ended June 30, 2014, respectively, and $83,954 and $158,246 for the comparable periods in 2013 related to sales to U.S. customers where the title is transferred outside the U.S. and the sale is recorded by our International business.