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| 8-K - 8-K EARNINGS RELEASE - CHICO'S FAS, INC. | q12016earningsrelease8-k.htm |
Exhibit 99.1
Chico’s FAS, Inc. • 11215 Metro Parkway • Fort Myers, Florida 33966 • (239) 277-6200
Chico's FAS, Inc. Reports First Quarter Results
Expands Cost Reduction and Operating Efficiency Initiatives
• | New initiatives in supply chain, non-merchandise procurement and marketing expected to result in $50 million to $70 million in annual savings, in addition to $14 million from recently announced marketing and digital commerce realignment |
• | Company continuing to execute on four focus areas |
• | GAAP earnings per share of $0.23; Non-GAAP earnings per share of $0.25 |
Fort Myers, FL - May 26, 2016 - Chico’s FAS, Inc. (NYSE: CHS) today announced its financial results for the fiscal 2016 first quarter and thirteen weeks ended April 30, 2016.
For the thirteen weeks ended April 30, 2016 ("the first quarter"), the Company reported net income of $31.1 million, or $0.23 per diluted share, compared to net income of $32.5 million, or $0.22 per diluted share, for the thirteen weeks ended May 2, 2015. The Company reported first quarter 2016 adjusted net income of $33.4 million, or $0.25 adjusted earnings per diluted share, compared to adjusted net income of $44.5 million, or $0.30 adjusted earnings per diluted share, in last year’s first quarter. The first quarter adjusted results exclude EPS charges of $0.02 in 2016 and $0.08 in 2015 related to restructuring and strategic charges and Boston Proper operating results, as presented in the accompanying GAAP to non-GAAP reconciliation.
Shelley Broader, CEO and President, said, "In the first quarter, our loyal customers continued to be attracted to our brands. Our overall store traffic trended better than our peer index and when she visited our stores she was buying, although weak traffic across the industry impacted our overall sales. We are executing against the Company’s four focus areas announced earlier this year. We are taking action to improve our profitability, assuring our brands' leadership in the future and enhancing value for all of our shareholders. Our cost reduction and operating efficiency initiatives will position us to be more nimble and responsive to our customers' needs. These actions are just the beginning as we execute on our new operating priorities."
Cost Reduction and Operating Efficiency Initiatives
As part of the Company's continued efforts within its four focus areas - evolving the customer experience, strengthening the position of each brand, leveraging actionable retail science, and sharpening financial principles - Chico’s FAS today announced new initiatives to improve its supply chain, enhance its marketing efforts and leverage non-merchandise procurement. The new initiatives are expected to reduce complexity and standardize processes across the organization, thereby improving the Company’s ability to respond in real-time to changes in customer demand for merchandise.The new initiatives are expected to generate approximately $50 million to $70 million in annualized savings.
These new cost cutting actions are in addition to the previously announced realignment of the Company's marketing and digital commerce functions. That realignment, announced April 25, places the decision makers directly into the Company's three brands and is expected to generate $14 million in annualized savings.
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Combined, the marketing realignment and new initiatives are estimated to generate $65 million to $85 million in annual savings. The Company anticipates generating $15 million of these costs savings in fiscal 2016, and expects these initiatives to be fully implemented during 2017.
Net Sales
For the first quarter, net sales were $643.0 million compared to $697.8 million in last year’s first quarter. This decrease of 7.9% included $25.3 million related to Boston Proper. When excluding Boston Proper from fiscal 2015, net sales decreased 4.4%, primarily reflecting a decline in comparable sales of 4.2% and 15 net store closures. The 4.2% decrease in comparable sales for the first quarter followed a 0.1% decrease in last year’s first quarter, and reflected reduced average dollar sale and slightly lower transaction count.
Comparable Sales
Thirteen Weeks Ended | |||||
April 30, 2016 | May 2, 2015 | ||||
Chico's | (5.4 | )% | (2.3 | )% | |
White House Black Market | (3.8 | )% | 1.7 | % | |
Soma | 0.5 | % | 6.5 | % | |
Total Company | (4.2 | )% | (0.1 | )% | |
Gross Margin
For the first quarter, gross margin was $262.3 million, or 40.8%, compared to $295.6 million, or 42.4%, in last year’s first quarter. When excluding Boston Proper from fiscal 2015, gross margin decreased 190 basis points in fiscal 2016 compared to gross margin of $287.0 million, or 42.7% last year. This decrease in gross margin rate primarily reflects increased promotional activity in response to lower traffic and sales deleverage of store occupancy expenses, partially offset by reduced incentive compensation.
Selling, General and Administrative Expenses
For the first quarter, selling, general and administrative expenses (“SG&A”) were $208.1 million, or 32.4%, compared to $228.1 million, or 32.7%, in last year’s first quarter. When excluding Boston Proper from fiscal 2015, SG&A decreased $6.9 million in the first quarter of fiscal 2016 compared to $215.1 million, or 32.0% last year. The $6.9 million decrease reflects savings in store labor, marketing expenses and incentive compensation, reflecting a slight decline in SG&A rate.
Restructuring and Strategic Charges
For the first quarter, the Company recorded pre-tax restructuring and strategic charges of $3.7 million, primarily consisting of executive transition costs and consulting fees. On an after-tax basis, the first quarter impact of these charges was $2.3 million, or $0.02 per diluted share.
Inventories
At the end of the first quarter of 2016, inventories totaled $268.0 million compared to $270.3 million last year. When excluding Boston Proper, inventories totaled $268.0 million compared to $257.7 million last year, an increase of 4.0%, primarily reflecting lower than planned sales of spring merchandise. The majority of our inventory increase was in go-forward, full-price summer merchandise. For the second quarter, we are targeting inventory levels to be flat against the prior year when excluding Boston Proper.
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Share Repurchase Program
During the first quarter of fiscal 2016, the Company repurchased 3.2 million shares for $36.6 million under its $300.0 million share repurchase program announced in November 2015, with $223.4 million remaining under the program.
Changes in Presentation
Commencing in fiscal 2016, store occupancy expenses and shipping expenses, historically presented in SG&A, are being presented in Cost of Goods Sold. The Company believes that the costs represent direct costs associated with the sale of its merchandise and these changes better align the Company with its peers and better reflect how the business operates. Additionally, shipping revenue, historically presented in SG&A, is being presented in Net Sales. These adjustments were made retrospectively and all periods presented conform with this presentation.
ABOUT CHICO’S FAS, INC.
The Company, through its brands – Chico's, White House Black Market, and Soma is a leading omni-channel specialty retailer of women’s private branded, sophisticated, casual-to-dressy clothing, intimates, complementary accessories, and other non-clothing items.
As of April 30, 2016, the Company operated 1,517 stores in the US and Canada and sold merchandise through franchise locations in Mexico. The Company’s merchandise is also available at www.chicos.com, www.whbm.com, and www.soma.com. For more detailed information on Chico's FAS, Inc., please go to our corporate website at www.chicosfas.com.
SAFE HARBOR STATEMENT UNDER THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995
Certain statements contained herein may contain certain "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, which reflect our current views with respect to certain events that could have an effect on our future financial performance, including but without limitation, statements regarding our plans, objectives, and future success of our store concepts, the implementation of our previously announced restructuring program, and implementation of our program to increase the sales volume and profitability of our existing brands through four previously announced focus areas. These statements may address items such as future sales, gross margin expectations, SG&A expectations, operating margin expectations, planned store openings, closings and expansions, future comparable sales, inventory levels, and future cash needs. These statements relate to expectations concerning matters that are not historical fact and may include the words or phrases such as "expects," "believes," "anticipates," "plans," "estimates," "approximately," "our planning assumptions," "future outlook," and similar expressions. Except for historical information, matters discussed in such oral and written statements are forward-looking statements. These forward-looking statements are based largely on information currently available to our management and on our current expectations, assumptions, plans, estimates, judgments and projections about our business and our industry, and are subject to various risks and uncertainties that could cause actual results to differ materially from historical results or those currently anticipated. Although we believe our expectations are based on reasonable estimates and assumptions, they are not guarantees of performance and there are a number of known and unknown risks, uncertainties, contingencies, and other factors (many of which are outside our control) that could cause actual results to differ materially from those expressed or implied by such forward-looking statements. Accordingly, there is no assurance that our expectations will, in fact, occur or that our estimates or assumptions will be correct, and we caution investors and all others not to place undue reliance on such forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to, general economic and business conditions, conditions in the specialty retail industry, the availability of quality store sites, the ability to successfully execute our business strategies, the ability to achieve the results of our restructuring program, the ability to achieve the results of our four focus areas, the integration of our new management team, and those described in Item 1A, "Risk Factors" and in the "Forward-Looking Statements" disclosure in Item 7. "Management's Discussion and Analysis of Financial Condition and Results of Operations" of our Form 10-K. There can be no assurance that the actual future results, performance, or achievements expressed or implied by such forward-looking statements will occur. Investors using forward-looking statements are encouraged to review the Company's latest annual report on Form 10-K, its filings on Form 10-Q, management's discussion and analysis in the Company's latest annual report to stockholders, the Company's filings on Form 8-K, and other federal securities law filings for a description of other important factors that may affect the Company's business, results of operations and financial condition. All written or oral forward-looking statements that are made or attributable to us are expressly qualified in their entirety by this cautionary notice. The Company does not undertake to publicly update or revise its forward looking statements even if experience or future changes make it clear that projected results expressed or implied in such statements will not be realized.
(Financial Tables Follow)
Executive Contact:
Jennifer Powers
Vice President – Investor Relations
Chico’s FAS, Inc.
(239) 346-4199
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Chico’s FAS, Inc. and Subsidiaries
Condensed Consolidated Statements of Income
(Unaudited)
(in thousands, except per share amounts)
Thirteen Weeks Ended | |||||||||||||
April 30, 2016 | May 2, 2015 | ||||||||||||
Amount | % of Sales | Amount | % of Sales | ||||||||||
Net sales: | |||||||||||||
Chico's | $ | 348,704 | 54.2 | $ | 369,859 | 53.0 | |||||||
White House Black Market | 214,993 | 33.5 | 225,442 | 32.3 | |||||||||
Soma | 79,280 | 12.3 | 77,167 | 11.1 | |||||||||
Boston Proper | — | 0.0 | 25,298 | 3.6 | |||||||||
Total net sales | 642,977 | 100.0 | 697,766 | 100.0 | |||||||||
Cost of goods sold | 380,642 | 59.2 | 402,148 | 57.6 | |||||||||
Gross margin | 262,335 | 40.8 | 295,618 | 42.4 | |||||||||
Selling, general and administrative expenses | 208,141 | 32.4 | 228,065 | 32.7 | |||||||||
Restructuring and strategic charges | 3,651 | 0.5 | 14,875 | 2.1 | |||||||||
Income from operations | 50,543 | 7.9 | 52,678 | 7.6 | |||||||||
Interest expense, net | (459 | ) | (0.1 | ) | (453 | ) | (0.1 | ) | |||||
Income before income taxes | 50,084 | 7.8 | 52,225 | 7.5 | |||||||||
Income tax provision | 19,000 | 3.0 | 19,700 | 2.8 | |||||||||
Net income | $ | 31,084 | 4.8 | $ | 32,525 | 4.7 | |||||||
Per share data: | |||||||||||||
Net income per common share-basic | $ | 0.23 | $ | 0.22 | |||||||||
Net income per common and common equivalent share–diluted | $ | 0.23 | $ | 0.22 | |||||||||
Weighted average common shares outstanding–basic | 131,594 | 143,378 | |||||||||||
Weighted average common and common equivalent shares outstanding–diluted | 131,689 | 143,771 | |||||||||||
Dividends declared per share | $ | 0.160 | $ | 0.155 | |||||||||
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Chico’s FAS, Inc. and Subsidiaries
Condensed Consolidated Balance Sheets
(Unaudited)
(in thousands)
April 30, 2016 | January 30, 2016 | May 2, 2015 | |||||||||
ASSETS | |||||||||||
Current Assets: | |||||||||||
Cash and cash equivalents | $ | 56,502 | $ | 89,951 | $ | 97,651 | |||||
Marketable securities, at fair value | 50,479 | 50,194 | 48,447 | ||||||||
Inventories | 267,988 | 233,834 | 270,313 | ||||||||
Prepaid expenses and other current assets | 48,105 | 45,660 | 48,812 | ||||||||
Income taxes receivable | 10,928 | 29,157 | 447 | ||||||||
Assets held for sale | 16,525 | 16,525 | 24,042 | ||||||||
Total Current Assets | 450,527 | 465,321 | 489,712 | ||||||||
Property and Equipment, net | 535,470 | 550,953 | 584,616 | ||||||||
Other Assets: | |||||||||||
Goodwill | 96,774 | 96,774 | 145,627 | ||||||||
Other intangible assets, net | 38,930 | 38,930 | 108,449 | ||||||||
Other assets, net | 14,415 | 14,074 | 17,953 | ||||||||
Total Other Assets | 150,119 | 149,778 | 272,029 | ||||||||
$ | 1,136,116 | $ | 1,166,052 | $ | 1,346,357 | ||||||
LIABILITIES AND STOCKHOLDERS’ EQUITY | |||||||||||
Current Liabilities: | |||||||||||
Accounts payable | $ | 144,767 | $ | 129,343 | $ | 147,323 | |||||
Current debt | 10,000 | 10,000 | 34,000 | ||||||||
Other current and deferred liabilities | 142,091 | 158,788 | 171,161 | ||||||||
Total Current Liabilities | 296,858 | 298,131 | 352,484 | ||||||||
Noncurrent Liabilities: | |||||||||||
Long-term debt | 79,735 | 82,219 | 90,000 | ||||||||
Deferred liabilities | 129,306 | 130,743 | 142,185 | ||||||||
Deferred taxes | 16,740 | 15,171 | 49,273 | ||||||||
Total Noncurrent Liabilities | 225,781 | 228,133 | 281,458 | ||||||||
Stockholders’ Equity: | |||||||||||
Preferred stock | — | — | — | ||||||||
Common stock | 1,336 | 1,355 | 1,434 | ||||||||
Additional paid-in capital | 436,581 | 435,881 | 353,523 | ||||||||
Treasury stock, at cost | (326,418 | ) | (289,813 | ) | (187,393 | ) | |||||
Retained earnings | 501,936 | 492,325 | 544,511 | ||||||||
Accumulated other comprehensive income | 42 | 40 | 340 | ||||||||
Total Stockholders’ Equity | 613,477 | 639,788 | 712,415 | ||||||||
$ | 1,136,116 | $ | 1,166,052 | $ | 1,346,357 | ||||||
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Chico’s FAS, Inc. and Subsidiaries
Condensed Consolidated Cash Flow Statements
(Unaudited)
(in thousands)
Thirteen Weeks Ended | |||||||
April 30, 2016 | May 2, 2015 | ||||||
Cash Flows From Operating Activities: | |||||||
Net income | $ | 31,084 | $ | 32,525 | |||
Adjustments to reconcile net income to net cash provided by operating activities — | |||||||
Depreciation and amortization | 27,957 | 30,743 | |||||
Loss on disposal and impairment of property and equipment | 597 | 6,277 | |||||
Deferred tax expense (benefit) | 307 | (425 | ) | ||||
Stock-based compensation expense | 5,546 | 7,631 | |||||
Excess tax benefit from stock-based compensation | (96 | ) | (2,012 | ) | |||
Deferred rent and lease credits | (5,007 | ) | (4,283 | ) | |||
Changes in assets and liabilities: | |||||||
Inventories | (34,154 | ) | (35,154 | ) | |||
Prepaid expenses and other assets | 14,617 | (3,468 | ) | ||||
Accounts payable | 4,814 | (8,979 | ) | ||||
Accrued and other liabilities | (13,029 | ) | 18,884 | ||||
Net cash provided by operating activities | 32,636 | 41,739 | |||||
Cash Flows From Investing Activities: | |||||||
Purchases of marketable securities | (11,403 | ) | (18,252 | ) | |||
Proceeds from sale of marketable securities | 11,156 | 96,351 | |||||
Purchases of property and equipment, net | (13,056 | ) | (19,839 | ) | |||
Net cash (used in) provided by investing activities | (13,303 | ) | 58,260 | ||||
Cash Flows From Financing Activities: | |||||||
Proceeds from borrowings | — | 124,000 | |||||
Payments on borrowings | (2,500 | ) | — | ||||
Proceeds from issuance of common stock | 1,177 | 8,025 | |||||
Excess tax benefit from stock-based compensation | 96 | 2,012 | |||||
Dividends paid | (10,864 | ) | (11,076 | ) | |||
Repurchase of common stock | (40,660 | ) | (258,450 | ) | |||
Net cash used in financing activities | (52,751 | ) | (135,489 | ) | |||
Effects of exchange rate changes on cash and cash equivalents | (31 | ) | (210 | ) | |||
Net decrease in cash and cash equivalents | (33,449 | ) | (35,700 | ) | |||
Cash and Cash Equivalents, Beginning of period | 89,951 | 133,351 | |||||
Cash and Cash Equivalents, End of period | $ | 56,502 | $ | 97,651 | |||
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Supplemental Detail on Earnings Per Share Calculation
In accordance with accounting guidance, unvested share-based payment awards that include non-forfeitable rights to dividends, whether paid or unpaid, are considered participating securities. As a result, such awards are required to be included in the calculation of earnings per common share pursuant to the “two-class” method. For the Company, participating securities are composed entirely of unvested restricted stock awards and performance-based restricted stock units (“PSUs”) that have met their relevant performance criteria.
Earnings per share is determined using the two-class method when it is more dilutive than the treasury stock method. Basic earnings per share is computed by dividing net income available to common stockholders by the weighted-average number of common shares outstanding during the period. Diluted earnings per share reflects the dilutive effect of potential common shares from non-participating securities such as stock options and PSUs. For the thirteen weeks ended April 30, 2016 and May 2, 2015, potential common shares were excluded from the computation of diluted EPS to the extent they were antidilutive.
The following unaudited table sets forth the computation of basic and diluted earnings per share shown on the face of the accompanying condensed consolidated statements of operations (in thousands, except per share amounts):
Thirteen Weeks Ended | |||||||
April 30, 2016 | May 2, 2015 | ||||||
Numerator | |||||||
Net income | $ | 31,084 | $ | 32,525 | |||
Net income and dividends declared allocated to participating securities | (646 | ) | (786 | ) | |||
Net income available to common shareholders | $ | 30,438 | $ | 31,739 | |||
Denominator | |||||||
Weighted average common shares outstanding – basic | 131,594 | 143,378 | |||||
Dilutive effect of non-participating securities | 95 | 393 | |||||
Weighted average common and common equivalent shares outstanding – diluted | 131,689 | 143,771 | |||||
Net income per common share* | |||||||
Basic | $ | 0.23 | $ | 0.22 | |||
Diluted | $ | 0.23 | $ | 0.22 | |||
*Due to the differences between quarterly and year-to-date weighted average share counts and the effect of quarterly rounding to the nearest cent per diluted share, the year-to-date calculation of generally accepted accounting principles ("GAAP") and non-GAAP diluted EPS may not equal the sum of the quarters.
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SEC Regulation G - The Company reports its consolidated financial results in accordance with GAAP. However, to supplement these consolidated financial results, management believes that certain non-GAAP results, which exclude certain charges and results from non-continuing operations, may provide a more meaningful measure on which to compare the Company’s results of operations between periods. The Company believes these non-GAAP results provide useful information to both management and investors by excluding certain expenses that impact the comparability of the results.
A reconciliation of net income and earnings per diluted share on a GAAP basis to net income and earnings per diluted share on a non-GAAP adjusted basis is presented in the table below:
Chico’s FAS, Inc. and Subsidiaries | ||||||||
GAAP to Non-GAAP Reconciliation of Net Income and Diluted EPS | ||||||||
(Unaudited) | ||||||||
(in thousands, except per share amounts) | ||||||||
Thirteen Weeks Ended | ||||||||
April 30, 2016 | May 2, 2015 | |||||||
Net income: | ||||||||
GAAP basis | $ | 31,084 | $ | 32,525 | ||||
Restructuring and strategic charges | 2,266 | 9,264 | ||||||
Boston Proper net loss | — | 2,733 | ||||||
Non-GAAP adjusted basis | $ | 33,350 | $ | 44,522 | ||||
Net income per diluted share: | ||||||||
GAAP basis | $ | 0.23 | $ | 0.22 | ||||
Restructuring and strategic charges | 0.02 | 0.06 | ||||||
Boston Proper net loss | 0.00 | 0.02 | ||||||
Non-GAAP adjusted basis | $ | 0.25 | $ | 0.30 | ||||
(1) All adjustments to net income and net income per diluted share are presented net of tax.
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SEC Regulation G - The Company reports its consolidated financial results in accordance with GAAP. However, to supplement these consolidated financial results, management believes that certain non-GAAP results, which exclude results from non-continuing operations, may provide a more meaningful measure on which to compare the Company’s results of operations between periods.
The tables below present a reconciliation of selected consolidated financial data on a GAAP basis to selected consolidated financial data on a non-GAAP adjusted basis, reflecting certain adjustments as identified in the footnotes to the table and excluding Boston Proper:
Chico's FAS, Inc. and Subsidiaries | ||||||
Fiscal 2015 Reconciliation of Reported to Adjusted Selected Non-GAAP Consolidated Financial Data | ||||||
(Unaudited) | ||||||
(in thousands) | ||||||
As Reported | ||||||
Thirteen Weeks Ended | ||||||
May 2, 2015 | ||||||
Amount | % of Sales | |||||
Net Sales | $ | 693,339 | 100.0 | |||
Cost of goods sold | 297,569 | 42.9 | ||||
Gross margin | 395,770 | 57.1 | ||||
Selling, general and administrative expenses | 328,217 | 47.3 | ||||
Subtotal | $ | 67,553 | 9.8 | |||
Boston Proper | ||||||
Thirteen Weeks Ended | ||||||
May 2, 2015 | ||||||
Amount | % of Sales | |||||
Net Sales | $ | 23,780 | 100.0 | |||
Cost of goods sold | 13,301 | 55.9 | ||||
Gross margin | 10,479 | 44.1 | ||||
Selling, general and administrative expenses | 14,866 | 62.5 | ||||
Subtotal | $ | (4,387 | ) | (18.4 | ) | |
Adjustments, excluding Boston Proper | ||||||
Thirteen Weeks Ended | ||||||
May 2, 2015 | ||||||
Amount | % of Sales | |||||
Net Sales(1) | $ | 2,909 | 0.4 | |||
Store occupancy expense(2) | 93,286 | 13.4 | ||||
Shipping expense(3) | 7,919 | 1.1 | ||||
Cost of goods sold | 101,205 | 14.5 | ||||
Gross margin | (98,296 | ) | (14.1 | ) | ||
Selling, general and administrative expenses | (98,296 | ) | (14.1 | ) | ||
Subtotal | $ | — | — | |||
As Adjusted, Non-GAAP | ||||||
Thirteen Weeks Ended | ||||||
May 2, 2015 | ||||||
Amount | % of Sales | |||||
Net Sales | $ | 672,468 | 100.0 | |||
Cost of goods sold | 385,473 | 57.3 | ||||
Gross margin | 286,995 | 42.7 | ||||
Selling, general and administrative expenses | 215,055 | 32.0 | ||||
Subtotal | $ | 71,940 | 10.7 | |||
(1) Adjustments to net sales represent the correction of an immaterial error in the classification of shipping revenue, which was previously classified within SG&A.
(2) Adjustments to store occupancy expense represent the reclassification of store occupancy expenses, which were previously classified within SG&A.
(3) Adjustments to shipping expense represent a change in accounting policy to present shipping expenses within cost of goods sold, which were previously presented within SG&A.
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Chico's FAS, Inc. and Subsidiaries | ||||||||||||||
Store Count and Square Footage | ||||||||||||||
Thirteen Weeks Ended April 30, 2016 | ||||||||||||||
(Unaudited) | ||||||||||||||
January 30, 2016 | New Stores | Closures | April 30, 2016 | |||||||||||
Store count: | ||||||||||||||
Chico’s frontline boutiques | 604 | 1 | (5 | ) | 600 | |||||||||
Chico’s outlets | 117 | — | — | 117 | ||||||||||
Chico's Canada | 4 | — | — | 4 | ||||||||||
WHBM frontline boutiques | 429 | 2 | (3 | ) | 428 | |||||||||
WHBM outlets | 71 | — | — | 71 | ||||||||||
WHBM Canada | 6 | — | — | 6 | ||||||||||
Soma frontline boutiques | 269 | 3 | — | 272 | ||||||||||
Soma outlets | 18 | 1 | — | 19 | ||||||||||
Total Chico’s FAS, Inc. | 1,518 | 7 | (8 | ) | 1,517 | |||||||||
January 30, 2016 | New Stores | Closures | Other changes in SSF | April 30, 2016 | ||||||||||
Net selling square footage (SSF): | ||||||||||||||
Chico’s frontline boutiques | 1,652,991 | 2,773 | (15,910 | ) | (158 | ) | 1,639,696 | |||||||
Chico’s outlets | 293,646 | — | — | — | 293,646 | |||||||||
Chico's Canada | 9,695 | — | — | — | 9,695 | |||||||||
WHBM frontline boutiques | 991,164 | 4,691 | (6,612 | ) | 811 | 990,054 | ||||||||
WHBM outlets | 148,457 | — | — | — | 148,457 | |||||||||
WHBM Canada | 14,891 | — | — | — | 14,891 | |||||||||
Soma frontline boutiques | 507,805 | 5,558 | — | 1,155 | 514,518 | |||||||||
Soma outlets | 33,792 | 1,845 | — | — | 35,637 | |||||||||
Total Chico’s FAS, Inc. | 3,652,441 | 14,867 | (22,522 | ) | 1,808 | 3,646,594 | ||||||||
As of April 30, 2016 the Company also sold merchandise through 77 international franchise locations, comprised of 6 Chico's stand-alone boutiques, 40 Chico's shop-in-shops, and 31 Soma shop-in-shops.
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