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SEGMENT INFORMATION
 12 Months Ended
Dec. 30, 2023
Segment Reporting [Abstract]  
SEGMENT INFORMATION SEGMENT INFORMATION
The Company reports segment information based upon a “management approach.” The management approach refers to the internal reporting that is used by management for making operating decisions and assessing the performance of the Company’s reportable segments. The Company reports its corporate expenses separately as they are not included in the internal measures of segment operating performance used by the Company to measure the underlying performance of its reportable segments.
Segment results include the direct costs of each segment and all other costs are allocated based upon detailed estimates and analysis of actual time and expenses incurred to support the operations of each segment or units produced or sourced to support each segment’s revenue. Certain costs, including incentive compensation for certain employees, and various other general corporate costs that are not specifically allocable to segments, are included in corporate expenses below. Intersegment sales and transfers are recorded at cost and are treated as a transfer of inventory. The Company does not evaluate performance or allocate resources based on segment asset data, and therefore total segment assets are not presented. The accounting policies of the segments are the same as those described in Note 2, Summary of Significant Accounting Policies, to the consolidated financial statements.
The table below presents certain segment information for our reportable segments and unallocated corporate expenses for the periods indicated:
For the fiscal year ended
(dollars in thousands)December 30, 2023% of
consolidated net sales		December 31, 2022% of
consolidated net sales		January 1, 2022% of
consolidated net sales
Net sales:
U.S. Retail$1,501,780 51.0 %$1,680,159 52.3 %$1,899,262 54.5 %
U.S. Wholesale 1,014,584 34.4 %1,080,471 33.6 %1,126,415 32.3 %
International429,230 14.6 %452,103 14.1 %460,763 13.2 %
Consolidated net sales$2,945,594 100.0 %$3,212,733 100.0 %$3,486,440 100.0 %
Operating income:% of
segment
net sales		% of
segment
net sales		% of
segment
net sales
U.S. Retail$190,620 12.7 %$252,497 15.0 %$368,221 19.4 %
U.S. Wholesale198,849 19.6 %161,659 15.0 %195,369 17.3 %
International44,940 10.5 %56,617 12.5 %63,806 13.8 %
Unallocated corporate
expenses(*)
(111,004)n/a(91,602)n/a(130,317)n/a
Consolidated operating income$323,405 11.0 %$379,171 11.8 %$497,079 14.3 %
(*)Unallocated corporate expenses include corporate overhead expenses that are not directly attributable to one of our business segments and include unallocated accounting, finance, legal, human resources, and information technology expenses, occupancy costs for our corporate headquarters, and other benefit and compensation programs, including performance-based compensation.
The tables below present additional segment information for our reportable segments for the periods presented:
(dollars in millions)December 30, 2023
Charges:U.S. RetailU.S. WholesaleInternational
Organizational restructuring(*)
$— $0.1 $0.2 
(*)The fiscal year ended December 30, 2023 includes a corporate charge of $4.1 million, related to organizational restructuring and related corporate office lease amendment actions.
(dollars in millions)December 31, 2022January 1, 2022
Charges:U.S. RetailU.S. WholesaleInternationalU.S. RetailU.S. WholesaleInternational
Organizational restructuring(1)
$— $— $— $(0.6)$0.1 $2.3 
Skip Hop tradename impairment charge
0.4 5.6 3.0 — — — 
Incremental costs associated with COVID-19 pandemic— — — 2.0 1.7 0.2 
Retail store operating leases and other long-lived asset impairments, net of gain(2)
— — — (2.6)— — 
     Total charges$0.4 $5.6 $3.0 $(1.2)$1.8 $2.5 
(1)The fiscal year ended January 1, 2022 also includes corporate charges related to organizational restructuring of $0.7 million,
(2)Related to gains on the modification of previously impaired retail store leases.
Additional Data by Segment
Significant expenses
The table below represents cost of goods sold by segment:
For the fiscal year ended
(dollars in thousands)December 30, 2023% of
consolidated net sales		December 31, 2022% of
consolidated net sales		January 1, 2022% of
consolidated net sales
Cost of goods sold:
U.S. Retail$602,152 20.4 %$689,543 21.5 %$760,100 21.8 %
U.S. Wholesale 717,936 24.4 %800,974 24.9 %819,028 23.5 %
International229,571 7.8 %249,858 7.8 %245,038 7.0 %
Total cost of goods sold(*)
$1,549,659 52.6 %$1,740,375 54.2 %$1,824,166 52.3 %
(*)Amounts for the fiscal year ended December 31, 2022 and January 1, 2022 have been recast to conform to our current presentation of combining Adverse purchase commitments within Cost of goods sold.
Note: Percentages may not be additive due to rounding.
The table below represents SG&A expenses by segment:
For the fiscal year ended
(dollars in thousands)December 30, 2023% of
consolidated net sales		December 31, 2022% of
consolidated net sales		January 1, 2022% of
consolidated net sales
SG&A expenses:
U.S. Retail$715,558 24.3 %$746,575 23.2 %$779,482 22.4 %
U.S. Wholesale 109,459 3.7 %125,173 3.9 %127,826 3.7 %
International157,919 5.4 %146,657 4.6 %156,251 4.5 %
Corporate
expenses
111,004 n/a91,602 n/a130,317 n/a
Total SG&A expenses$1,093,940 37.1 %$1,110,007 34.6 %$1,193,876 34.2 %
Inventory
The table below represents inventory by segment:
For the fiscal year ended
(dollars in thousands)December 30, 2023December 31, 2022
U.S. Wholesale(*)
$381,146 $580,918 
U.S. Retail73,366 57,518 
International82,613 106,137 
     Total$537,125 $744,573 
(*)U.S. Wholesale inventories also include inventory produced and warehoused for the U.S. Retail segment.
The table below represents consolidated net sales by product:
For the fiscal year ended
(dollars in thousands)December 30, 2023December 31, 2022January 1, 2022
Baby$1,098,304 $1,103,023 $1,124,961 
Playclothes992,726 1,125,352 1,261,622 
Sleepwear411,678 492,152 500,596 
Other(*)
442,886 492,206 599,261 
Total net sales$2,945,594 $3,212,733 $3,486,440 
(*)Other product offerings include bedding, outerwear, swimwear, shoes, socks, diaper bags, gift sets, toys, and hair accessories.
Geographical Data
Revenue
The Company’s international sales principally represent sales to customers in Canada. Such sales were 61.5%, 64.0%, and 65.0% of total international net sales in fiscal 2023, 2022, and 2021, respectively.
Long-Lived Assets
The following represents Property, plant, and equipment, net, and Operating lease assets by geographic area:
For the fiscal year ended
(dollars in thousands)December 30, 2023December 31, 2022
United States$582,049 $580,171 
International129,469 101,986 
     Total$711,518 $682,157 
Long-lived assets in the international segment primarily relate to Canada. Long-lived assets in Canada were 51.0% and 63.3% of total international long-lived assets at the end of fiscal 2023 and 2022, respectively.
Major Customer
Sales to our largest customer, all through the U.S. Wholesale segment, represented 10.4% of consolidated net sales in fiscal 2023. Sales to this customer did not exceed 10% in fiscal 2022 or in fiscal 2021.