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Segments

6 Months Ended

Jul. 31, 2018

Segment Reporting [Abstract]

Note 7 – 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 and internet sales related to the Vilebrequin business. Wholesale sales also include revenues from license agreements related to the DKNY, Donna Karan, G.H. Bass, Andrew Marc and Vilebrequin businesses. The retail operations segment consists primarily of Wilsons Leather, G.H. Bass and DKNY stores, as well as a limited number of Karl Lagerfeld Paris and Calvin Klein Performance stores. Sales through the Company’s owned websites, with the exception of Vilebrequin, are also included in the retail operations segment.

The following information, in thousands, is presented for the three and six-month periods indicated below:

		Three Months Ended July 31, 2018
		Wholesale				Retail				Elimination ⁽¹⁾				Total
Net sales		$	544,597			$	106,662			$	(26,561	)		$	624,698
Cost of goods sold			362,756				56,959				(26,561	)			393,154
Gross profit			181,841				49,703				—				231,544
Selling, general and administrative expenses			136,178				62,682				—				198,860
Depreciation and amortization			7,348				2,107				—				9,455
Operating profit (loss)		$	38,315			$	(15,086	)		$	—			$	23,229

		Three Months Ended July 31, 2017
		Wholesale				Retail				Elimination ⁽¹⁾				Total
Net sales ⁽²⁾		$	467,769			$	106,436			$	(36,199	)		$	538,006
Cost of goods sold ⁽³⁾			316,435				54,780				(36,199	)			335,016
Gross profit			151,334				51,656				—				202,990
Selling, general and administrative expenses			128,484				67,365				—				195,849
Depreciation and amortization			7,229				3,507				—				10,736
Operating profit (loss)		$	15,621			$	(19,216	)		$	—			$	(3,595	)

		Six Months Ended July 31, 2018
		Wholesale				Retail				Elimination ⁽¹⁾				Total
Net sales		$	1,072,270			$	211,181			$	(47,010	)		$	1,236,441
Cost of goods sold			704,331				113,049				(47,010	)			770,370
Gross profit			367,939				98,132				—				466,071
Selling, general and administrative expenses			272,591				128,340				—				400,931
Depreciation and amortization			14,483				4,352				—				18,835
Operating profit (loss)		$	80,865			$	(34,560	)		$	—			$	46,305

		Six Months Ended July 31, 2017
		Wholesale				Retail				Elimination ⁽¹⁾				Total
Net sales ⁽²⁾		$	921,083			$	205,620			$	(59,655	)		$	1,067,048
Cost of goods sold ⁽³⁾			614,737				107,261				(59,655	)			662,343
Gross profit			306,346				98,359				—				404,705
Selling, general and administrative expenses			258,644				134,616				—				393,260
Depreciation and amortization			13,614				6,960				—				20,574
Operating profit (loss)		$	34,088			$	(43,217	)		$	—			$	(9,129	)

⁽¹⁾	Represents intersegment sales to the Company’s retail operations.
⁽²⁾	Certain reclassifications have been made between the wholesale operations segment and the elimination column as a result of sales eliminations within the wholesale operations segment being misclassified as inter-segment eliminations.
⁽³⁾	Certain reclassifications have been made as a result of the Company’s reclassifying the impact of certain components of foreign currency gain (loss) from cost of goods sold and interest expense to other income.

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

		July 31, 2018				July 31, 2017				January 31, 2018
		(In thousands)
Wholesale		$	1,880,348			$	1,670,243			$	1,554,191
Retail			205,268				220,668				215,568
Corporate			151,018				151,140				145,418
Total Assets		$	2,236,634			$	2,042,051			$	1,915,177