- Sales increased 7.1% but profit dropped 32.6%.
- Margins fell across the board.
- Inventory and other current assets increased much more quickly than sales growth, stunting free cash flow.
(Figures in thousands, except per-share data)
Income Statement Highlights
Q1 2006 | Q1 2005 | Change | |
|---|---|---|---|
Sales | $299,888 | $279,985 | 7.1% |
Net Profit | $11,865 | $17,607 | (32.6%) |
EPS | $0.16 | $0.23 | (30.4%) |
Diluted Shares | 73,712 | 76,579 | (3.7%) |
Get back to basics with a look at the income statement.
Margin Checkup
Q1 2006 | Q1 2005 | Change* | |
|---|---|---|---|
Gross Margin | 32.44% | 34.77% | (2.33) |
Operating Margin | 5.78% | 9.72% | (3.94) |
Net Margin | 3.96% | 6.29% | (2.33) |
Margins are the earnings engine. See how they work.
Balance Sheet Highlights
Assets | Q1 2006 | Q1 2005 | Change |
|---|---|---|---|
Cash + ST Invest. | $107,662 | $161,395 | (33.3%) |
Other Current Assets | $41,072 | $34,135 | 20.3% |
Inventory | $222,204 | $172,128 | 29.1% |
Liabilities | Q1 2006 | Q1 2005 | Change |
|---|---|---|---|
Accounts Payable | $45,408 | $33,528 | 35.4% |
Long-Term Debt | No Data | $0 | N/A |
Learn the ways of the balance sheet.
Cash Flow Highlights
Q1 2006 | Q1 2005 | Change | |
|---|---|---|---|
Cash From Ops. | $1,429 | $33,638 | (95.8%) |
Capital Expenditures | $29,096 | $21,648 | 34.4% |
Free Cash Flow | ($27,667) | $11,990 | N/A |
Find out why Fools always follow the money.
Related Companies:
- Abercrombie & Fitch (NYSE:ANF)
- Zumiez (NASDAQ:ZUMZ)
- Gap (NYSE:GPS)
- Hot Topic (NASDAQ:HOTT)
Gap is aMotley Fool Inside Valuerecommendation. Pacific Sunwear is aMotley Fool Stock Advisor recommendation. Check out our entire suite of newsletters by clickinghere.
Fool by Numbers is designed to give you the raw earnings information in a timely fashion, putting all the numbers you need in one easy-to-read place. But at The Motley Fool, we believe numbers tell only part of the story, so checkFool.com for more of our in-depth discussion of what the numbers mean.
At the time of publication, Seth Jayson had no positions in any company mentioned here. Fool rules are here.
