The selected historical financial data presented below as of and for each of the fiscal years in the five-year period ended July 1, 2017 has been derived from Coach’s audited Consolidated Financial Statements. The financial data should be read in conjunction with Item 7, “Management’s Discussion and Analysis of Financial Condition and Results of Operations,” the Consolidated Financial Statements and Notes thereto and other financial data included elsewhere herein.
Fiscal Year Ended(1)(5)
July 1, 2017
July 2, 2016(2)
June 27, 2015(3)
June 28, 2014(4)
June 29, 2013(4)
(millions, except per share data)
Consolidated Statements of Income:
Net sales
$
4,488.3
$
4,491.8
$
4,191.6
$
4,806.2
$
5,075.4
Gross profit
3,081.1
3,051.3
2,908.6
3,297.0
3,698.1
Selling, general and administrative ("SG&A") expenses
2,293.7
2,397.8
2,290.6
2,176.9
2,173.6
Operating income
787.4
653.5
618.0
1,120.1
1,524.5
Net income
591.0
460.5
402.4
781.3
1,034.4
Net income per share:
Basic
$
2.11
$
1.66
$
1.46
$
2.81
$
3.66
Diluted
$
2.09
$
1.65
$
1.45
$
2.79
$
3.61
Weighted-average basic shares outstanding
280.6
277.6
275.7
277.8
282.5
Weighted-average diluted shares outstanding
282.8
279.3
277.2
280.4
286.3
Dividends declared per common share
$
1.350
$
1.350
$
1.350
$
1.350
$
1.238
Consolidated Percentage of Net Sales Data:
Gross margin
68.6
%
67.9
%
69.4
%
68.6
%
72.9
%
SG&A expenses
51.1
%
53.4
%
54.6
%
45.3
%
42.8
%
Operating margin
17.5
%
14.5
%
14.7
%
23.3
%
30.0
%
Net income
13.2
%
10.3
%
9.6
%
16.3
%
20.4
%
Consolidated Balance Sheet Data:
Working capital
$
3,199.5
$
1,346.2
$
1,671.8
$
1,042.1
$
1,348.4
Total assets
5,831.6
4,892.7
4,666.9
3,663.1
3,531.9
Cash, cash equivalents and investments
3,158.7
1,878.0
1,931.8
1,353.1
1,332.2
Inventory
469.7
459.2
485.1
526.2
524.7
Total debt
1,579.5
876.2
890.4
140.5
1.0
Stockholders' equity
3,001.9
2,682.9
2,489.9
2,420.6
2,409.2
Fiscal Year Ended(1)
July 1, 2017
July 2, 2016(2)
June 27, 2015(3)
June 28, 2014(4)
June 29, 2013(4)
Store Data:
Stores open at fiscal year-end:
North America retail stores
221
228
258
332
351
North America outlet stores
198
204
204
207
193
Coach International
543
522
503
475
409
Stuart Weitzman stores
81
75
54
—
—
Total stores open at fiscal year-end
1,043
1,029
1,019
1,014
953
Store square footage at fiscal year-end:
North America retail stores
664,382
659,376
728,833
910,003
952,422
North America outlet stores
1,219,822
1,232,770
1,189,018
1,132,714
982,202
Coach International
1,166,920
1,086,315
1,030,695
918,995
768,567
Stuart Weitzman stores
136,752
117,820
91,101
—
—
Total store square footage at fiscal year-end
3,187,876
3,096,281
3,039,647
2,961,712
2,703,191
Average store square footage at fiscal year-end:
North America retail stores
3,006
2,892
2,825
2,741
2,713
North America outlet stores
6,161
6,043
5,829
5,472
5,089
Coach International
2,149
2,081
2,049
1,935
1,879
Stuart Weitzman stores
1,688
1,571
1,687
—
—
(1)
The Company’s fiscal year ends on the Saturday closest to June 30. Fiscal year 2017 was a 52-week year. Fiscal year 2016 was a 53-week year. Fiscal years 2015, 2014 and 2013 were each 52-week years.
(2)
The Company acquired the Stuart Weitzman Canada distributor in the fourth quarter of fiscal 2016 (which included the impact of an additional 14 retail stores).
(3)
The Company acquired Stuart Weitzman in the fourth quarter of fiscal 2015.
(4)
The Company acquired its international businesses from its former distributors as follows: fiscal 2014 — the remaining 50% interest in Europe; fiscal 2013 — Malaysia and South Korea.
(5)
For all fiscal years presented below, the Company recorded certain items which affect the comparability of our results. See item 7, “Management’s Discussion and Analysis of Financial Condition and Results of Operations,” for further information on the items related to fiscal 2017, fiscal 2016, and fiscal 2015. During fiscal 2014, the Company recorded adjustments in cost of sales and SG&A expenses of $82.2 million and $49.3 million, respectively, related to inventory and fleet related costs, including impairment, accelerated depreciation and severance related to store closures. During fiscal 2013, the Company recorded adjustments in SG&A expenses and cost of sales of $48.4 million and $4.8 million, respectively, related to the strategic reassessment of the Reed Krakoff business, streamlining our organizational model and reassessing the fleet of our retail stores and inventories. The following table reconciles the Company's reported results presented in accordance with accounting principles generally accepted in the United States of America ("GAAP") to our adjusted results that exclude these items:
filings.tools