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Note 8 - Segment Information
 9 Months Ended
Oct. 03, 2015
Notes to Financial Statements  
Segment Reporting Disclosure [Text Block]
8. Segment Information
 
The Company’s operations are conducted through three operating segments consisting of retail, international franchising and commercial. The retail segment includes the operating activities of company-owned stores in the United States, Canada, Puerto Rico, the United Kingdom, Ireland and Denmark and other retail delivery operations, including the Company’s web stores. The international franchising segment includes the licensing activities of the Company’s franchise agreements with store locations in Europe (outside of the United Kingdom, Ireland and Denmark), Asia, Australia, the Middle East, Africa and Mexico. The commercial segment includes the Company’s transactions with other businesses, mainly comprised of licensing the Company’s intellectual properties for third-party use and wholesale activities. The operating segments have discrete sources of revenue, different capital structures and different cost structures. These operating segments represent the basis on which the Company’s chief operating decision maker regularly evaluates the business in assessing performance, determining the allocation of resources and the pursuit of future growth opportunities. Accordingly, the Company has determined that each of its operating segments represent a reportable segment. The three reportable segments follow the same accounting policies used for the Company’s consolidated financial statements.
 
Following is a summary of the financial information for the Company’s reportable segments (in thousands): 
 
 
 
 
 
 
 
 
International
 
 
 
 
 
 
 
 
 
 
 
Retail
 
 
Franchising
 
 
Commercial
 
 
Total
 
Thirteen weeks ended October 3, 2015
                                
Net sales to external customers
   $ 84,303     $ 525     $ 795     $ 85,623  
Income before income taxes
     1,120       66       182       1,368  
Capital expenditures, net
     6,753       25       7       6,785  
Depreciation and amortization
    3,996       32       1       4,029  
                                 
Thirteen weeks ended September 27, 2014
                                
Net sales to external customers
   $ 85,561     $ 558     $ 542     $ 86,661  
Income before income taxes
     1,584       216       258       2,058  
Capital expenditures, net
     2,494       17       -       2,511  
Depreciation and amortization
    4,386       36       -       4,422  
                                 
Thirty-nine weeks ended October 3, 2015
                                
Net sales to external customers
   $ 256,246     $ 1,624     $ 2,159     $ 260,029  
Income before income taxes
     6,539       439       1,003       7,981  
Capital expenditures, net
     12,800       57       7       12,864  
Depreciation and amortization
    12,159       102       1       12,262  
                                 
Thirty-nine weeks ended September 27, 2014
                                
Net sales to external customers
   $ 257,752     $ 1,716     $ 1,384     $ 260,852  
Income (loss) before income taxes
     2,782       (62 )     684       3,404  
Capital expenditures, net
     5,655       26       -       5,681  
Depreciation and amortization
    13,274       111       -       13,385  
                                 
Total Assets as of:
                                
October 3, 2015
   $ 177,067     $ 1,472     $ 4,765     $ 183,304  
September 27, 2014
   $ 166,403     $ 2,849     $ 5,613     $ 174,865  
 
 
8
 
 
The Company’s reportable segments are primarily determined by the types of products and services that they offer. Each reportable segment may operate in many geographic areas. The Company allocates revenues to geographic areas based on the location of the customer or franchisee. The following schedule is a summary of the Company’s sales to external customers and long-lived assets by geographic area (in thousands):
 
 
 
North
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
America (1)
 
 
Europe (2)
 
 
Other (3)
 
 
Total
 
Thirteen weeks ended October 3, 2015
                                
Net sales to external customers
   $ 66,202     $ 19,065     $ 356     $ 85,623  
Property and equipment, net
     53,544       6,546       -       60,090  
Thirteen weeks ended September 27, 2014
                                
Net sales to external customers
   $ 68,067     $ 18,247     $ 347     $ 86,661  
Property and equipment, net
     54,284       6,747       -       61,031  
                                 
Thirty-nine weeks ended October 3, 2015
                                
Net sales to external customers
   $ 207,321     $ 51,693     $ 1,015     $ 260,029  
Property and equipment, net
     53,544       6,546       -       60,090  
Thirty-nine weeks ended September 27, 2014
                                
Net sales to external customers
   $ 209,400     $ 50,422     $ 1,030     $ 260,852  
Property and equipment, net
     54,284       6,747       -       61,031  
 
 
For purposes of this table only:
(1)
North America includes the United States, Canada, Puerto Rico and franchise business in Mexico
(2)
Europe includes the United Kingdom, Ireland, Denmark (in 2015) and franchise businesses in Europe
(3)
Other includes franchise businesses outside of North America and Europe