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Reportable Segment Information
 12 Months Ended
Feb. 01, 2025
Reportable Segment Information [Abstract]  
Reportable Segment Information
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
13.
 
Reportable Segment Information:
The
 
Company
 
has
 
determined
 
that
 
it
 
has
four
 
operating
 
segments,
 
as
 
defined
 
under
 
ASC
 
280-10
 
–
Segment
 
Reporting
,
 
including Cato,
 
It’s
 
Fashion, Verso
 
na
 
and
 
Credit.
 
As
 
outlined in
 
ASC
 
280-10, the
Company
 
has
two
 
reportable
 
segments:
 
Retail
 
and
 
Credit.
 
The
 
Company
 
has
 
aggregated
 
its
three
 
retail
operating segments, including e-commerce, based on
 
the aggregation criteria outlined in ASC
 
280-10, which
states that two or more operating segments may be aggregated into a single reportable segment if aggregation
is consistent with the objective
 
and basic principles of ASC 280-10,
 
which require the segments have similar
economic characteristics, products, production processes, customers
 
and methods of distribution.
The
 
Company’s
 
retail
 
operating
 
segments
 
have
 
similar
 
economic
 
characteristics
 
and
 
similar
 
operating,
financial and
 
competitive risks.
 
The products
 
sold in
 
each retail
 
operating segment
 
are similar
 
in nature,
 
as
they
 
all
 
offer
 
women’s
 
apparel,
 
shoes
 
and
 
accessories.
 
Merchandise
 
inventory
 
of
 
the
 
Company’s
 
retail
operating
 
segments
 
is
 
sourced
 
from
 
the
 
same
 
countries
 
and
 
some
 
of
 
the
 
same
 
vendors,
 
using
 
similar
production processes.
 
Merchandise for the Company’s retail operating segments is distributed to retail stores
in a similar manner through
 
the Company’s single distribution center and is
 
subsequently sold to customers in
a similar
 
manner.
 
The Company offers its own credit
 
card to its customers and
 
all credit authorizations, payment processing
and collection efforts are performed by
 
a wholly-owned subsidiary of the
 
Company. The Company
 
does not
allocate certain corporate expenses to the Credit segment.
The
 
Company’s
 
President
 
and
 
Chief
 
Executive
 
Officer
 
is
 
the
 
Company’s
 
chief
 
operating
 
decision
maker
 
(“CODM”).
 
The
 
structure
 
described
 
above
 
reflects
 
the
 
manner
 
in
 
which
 
the
 
CODM
 
regularly
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
assesses information for
 
decision-making purposes, including
 
the allocation
 
of resources.
 
The Company
also provides corporate services, including finance, information technology, and corporate administration,
to its segments which
 
are fully allocated to
 
the retail segment.
 
Interest and other income
 
from assets held
for
 
investment
 
and
 
sale
 
are
 
not
 
included
 
in
 
assessing
 
the
 
segments’
 
performance
 
and
 
therefore
 
not
allocated to either segment.
The
 
CODM
 
manages
 
and
 
evaluates
 
the
 
segments’
 
operating
 
performance
 
based
 
on
 
segment
 
sales,
expenses, and
 
profit or
 
loss from
 
operations before
 
income taxes
 
as presented
 
in the
 
Company’s
 
annual
budget and forecasting process,
 
as well as
 
monthly analyses of budget-to-actual
 
and prior year
 
variances.
 
Segment
 
expenses
 
and
 
other
 
items
 
primarily
 
include
 
cost
 
of
 
goods
 
sold,
 
selling,
 
general
 
and
administrative
 
expenses,
 
depreciation
 
and
 
interest
 
and
 
other
 
income.
 
Assessment
 
and
 
approval
 
of
 
all
capital
 
expenditures
 
are
 
determined
 
to
 
be
 
in
 
support
 
of
 
and
 
based
 
on
 
the
 
needs
 
of
 
the
 
retail
 
segment;
however,
 
the
 
CODM
 
does
 
not
 
evaluate
 
performance
 
or
 
allocate
 
resources
 
based
 
on
 
segment
 
asset
balances; therefore, total segment assets are not presented in the tables below.
 
 
The accounting
 
policies of
 
the segments are
 
the same
 
as those
 
described in the
 
Summary of
 
Significant
Accounting Policies in
 
Note 1. The Company
 
evaluates performance based on
 
profit or loss from
 
operations
before income taxes.
The following schedule summarizes certain segment
 
information (in thousands):
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
`
Fiscal 2024
Retail
Credit
Total
Total Revenues
$
647,110
$
2,696
$
649,806
Cost of goods sold (a)
436,440
-
436,440
Selling, general, and administrative (b)
162,367
1,630
163,997
Corporate overhead
67,492
-
67,492
Depreciation
9,817
-
9,817
Interest and other income
(410)
(1,162)
(1,572)
Income (loss) before income taxes
$
(28,596)
$
2,228
$
(26,368)
Corporate interest and other income
(10,255)
Net income (loss) before income taxes
$
(16,113)
Capital expenditures
$
7,872
$
-
$
7,872
Fiscal 2023
Retail
Credit
Total
Total Revenues
$
705,419
$
2,640
$
708,059
Cost of goods sold (a)
464,313
-
464,313
Selling, general, and administrative (b)
176,205
1,632
177,837
Corporate overhead
74,940
-
74,940
Depreciation
9,871
-
9,871
Interest and other income
(267)
(737)
(1,004)
Income (loss) before income taxes
$
(19,643)
$
1,745
$
(17,898)
Corporate interest and other income
(4,097)
Net income (loss) before income taxes
$
(13,801)
Capital expenditures
$
12,532
$
-
$
12,532
Fiscal 2022
Retail
Credit
Total
Total Revenues
$
757,017
$
2,243
$
759,260
Cost of goods sold (a)
509,664
-
509,664
Selling, general, and administrative (b)
173,854
1,497
175,351
Corporate overhead
67,297
-
67,297
Depreciation
11,079
1
11,080
Interest and other income
(167)
(388)
(555)
Income (loss) before income taxes
$
(4,710)
$
1,133
$
(3,577)
Corporate interest and other income
(5,347)
Net income (loss) before income taxes
$
1,770
Capital expenditures
$
19,433
$
-
$
19,433
(a) Refer to Note 1 for additional information on the components of Cost of goods sold.
(b) Selling, general, and administrative expense include corporate and store payroll, related payroll taxes
 
and benefits, insurance, supplies, advertising, bank and credit card processing fees.