2019 Q1 Form 10-Q Financial Statement

#000011047120000027 Filed on April 29, 2020

View on sec.gov

Income Statement

Concept 2019 Q1
Revenue $523.4M
YoY Change -2.0%
Cost Of Revenue $303.2M
YoY Change -0.98%
Gross Profit $220.2M
YoY Change -3.38%
Gross Profit Margin 42.07%
Selling, General & Admin $164.0M
YoY Change 0.18%
% of Gross Profit 74.48%
Research & Development
YoY Change
% of Gross Profit
Depreciation & Amortization $7.200M
YoY Change -7.69%
% of Gross Profit 3.27%
Operating Expenses $164.0M
YoY Change 0.18%
Operating Profit $52.40M
YoY Change -14.8%
Interest Expense -$6.900M
YoY Change -4.17%
% of Operating Profit -13.17%
Other Income/Expense, Net -$5.600M
YoY Change -15.15%
Pretax Income $46.80M
YoY Change -14.75%
Income Tax $6.200M
% Of Pretax Income 13.25%
Net Earnings $40.50M
YoY Change -13.28%
Net Earnings / Revenue 7.74%
Basic Earnings Per Share $0.44
Diluted Earnings Per Share $0.43
COMMON SHARES
Basic Shares Outstanding 90.00M shares
Diluted Shares Outstanding 91.80M shares

Balance Sheet

Concept 2019 Q1
SHORT-TERM ASSETS
Cash & Short-Term Investments $80.60M
YoY Change -68.65%
Cash & Equivalents $80.60M
Short-Term Investments
Other Short-Term Assets $45.40M
YoY Change 21.07%
Inventory $374.0M
Prepaid Expenses
Receivables $375.5M
Other Receivables $0.00
Total Short-Term Assets $875.5M
YoY Change -0.56%
LONG-TERM ASSETS
Property, Plant & Equipment $133.0M
YoY Change -0.52%
Goodwill $425.9M
YoY Change -0.79%
Intangibles
YoY Change
Long-Term Investments
YoY Change
Other Assets $81.10M
YoY Change 6.71%
Total Long-Term Assets $1.476B
YoY Change 11.5%
TOTAL ASSETS
Total Short-Term Assets $875.5M
Total Long-Term Assets $1.476B
Total Assets $2.351B
YoY Change 6.68%
SHORT-TERM LIABILITIES
YoY Change
Accounts Payable $112.6M
YoY Change 15.84%
Accrued Expenses $143.5M
YoY Change 4.36%
Deferred Revenue
YoY Change
Short-Term Debt $326.0M
YoY Change 40650.0%
Long-Term Debt Due $10.00M
YoY Change -75.73%
Total Short-Term Liabilities $592.1M
YoY Change 113.99%
LONG-TERM LIABILITIES
Long-Term Debt $435.3M
YoY Change -30.94%
Other Long-Term Liabilities $58.60M
YoY Change -48.28%
Total Long-Term Liabilities $493.9M
YoY Change -33.58%
TOTAL LIABILITIES
Total Short-Term Liabilities $592.1M
Total Long-Term Liabilities $493.9M
Total Liabilities $1.086B
YoY Change 6.44%
SHAREHOLDERS EQUITY
Retained Earnings $1.201B
YoY Change 15.57%
Common Stock $315.9M
YoY Change 17.04%
Preferred Stock
YoY Change
Treasury Stock (at cost) $520.0M
YoY Change 89.99%
Treasury Stock Shares 19.15M shares
Shareholders Equity $911.4M
YoY Change
Total Liabilities & Shareholders Equity $2.351B
YoY Change 6.68%

Cashflow Statement

Concept 2019 Q1
OPERATING ACTIVITIES
Net Income $40.50M
YoY Change -13.28%
Depreciation, Depletion And Amortization $7.200M
YoY Change -7.69%
Cash From Operating Activities -$132.4M
YoY Change 115.99%
INVESTING ACTIVITIES
Capital Expenditures $7.800M
YoY Change 129.41%
Acquisitions $0.00
YoY Change
Other Investing Activities $100.0K
YoY Change -85.71%
Cash From Investing Activities -$7.900M
YoY Change 92.68%
FINANCING ACTIVITIES
Cash Dividend Paid
YoY Change
Common Stock Issuance & Retirement, Net $103.1M
YoY Change 142.59%
Debt Paid & Issued, Net $0.00
YoY Change -100.0%
Cash From Financing Activities $77.50M
YoY Change -148.71%
NET CHANGE
Cash From Operating Activities -$132.4M
Cash From Investing Activities -$7.900M
Cash From Financing Activities $77.50M
Net Change In Cash -$62.80M
YoY Change -72.03%
FREE CASH FLOW
Cash From Operating Activities -$132.4M
Capital Expenditures $7.800M
Free Cash Flow -$140.2M
YoY Change 116.69%

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<div style="line-height:120%;padding-bottom:6px;text-align:justify;font-size:10pt;"><span style="font-family:inherit;font-size:10pt;font-weight:bold;">Nature of Operations</span></div><div style="line-height:120%;padding-bottom:12px;text-align:justify;font-size:10pt;"><span style="font-family:inherit;font-size:10pt;">Wolverine World Wide, Inc. (the “Company”) is a leading designer, marketer and licensor of a broad range of quality casual footwear and apparel; performance outdoor and athletic footwear and apparel; kids’ footwear; industrial work shoes, boots and apparel; and uniform shoes and boots. The Company’s portfolio of owned and licensed brands includes: </span><span style="font-family:inherit;font-size:10pt;font-style:italic;">Bates</span><span style="font-family:inherit;font-size:10pt;"><sup style="vertical-align:top;line-height:120%;font-size:7pt">®</sup></span><span style="font-family:inherit;font-size:10pt;">, </span><span style="font-family:inherit;font-size:10pt;font-style:italic;">Cat</span><span style="font-family:inherit;font-size:10pt;"><sup style="vertical-align:top;line-height:120%;font-size:7pt">®</sup></span><span style="font-family:inherit;font-size:10pt;">, </span><span style="font-family:inherit;font-size:10pt;font-style:italic;">Chaco</span><span style="font-family:inherit;font-size:10pt;"><sup style="vertical-align:top;line-height:120%;font-size:7pt">®</sup></span><span style="font-family:inherit;font-size:10pt;">, </span><span style="font-family:inherit;font-size:10pt;font-style:italic;">Harley-Davidson</span><span style="font-family:inherit;font-size:10pt;"><sup style="vertical-align:top;line-height:120%;font-size:7pt">®</sup></span><span style="font-family:inherit;font-size:10pt;">, </span><span style="font-family:inherit;font-size:10pt;font-style:italic;">Hush Puppies</span><span style="font-family:inherit;font-size:10pt;"><sup style="vertical-align:top;line-height:120%;font-size:7pt">®</sup></span><span style="font-family:inherit;font-size:10pt;">, </span><span style="font-family:inherit;font-size:10pt;font-style:italic;">Hytest</span><span style="font-family:inherit;font-size:10pt;"><sup style="vertical-align:top;line-height:120%;font-size:7pt">®</sup></span><span style="font-family:inherit;font-size:10pt;">, </span><span style="font-family:inherit;font-size:10pt;font-style:italic;">Keds</span><span style="font-family:inherit;font-size:10pt;"><sup style="vertical-align:top;line-height:120%;font-size:7pt">®</sup></span><span style="font-family:inherit;font-size:10pt;font-style:italic;">, Merrell</span><span style="font-family:inherit;font-size:10pt;"><sup style="vertical-align:top;line-height:120%;font-size:7pt">®</sup></span><span style="font-family:inherit;font-size:10pt;">, </span><span style="font-family:inherit;font-size:10pt;font-style:italic;">Saucony</span><span style="font-family:inherit;font-size:10pt;font-style:italic;"><sup style="vertical-align:top;line-height:120%;font-size:7pt">®</sup></span><span style="font-family:inherit;font-size:10pt;font-style:italic;">, Sperry</span><span style="font-family:inherit;font-size:10pt;font-style:italic;"><sup style="vertical-align:top;line-height:120%;font-size:7pt">®</sup></span><span style="font-family:inherit;font-size:10pt;font-style:italic;">, Stride Rite</span><span style="font-family:inherit;font-size:10pt;"><sup style="vertical-align:top;line-height:120%;font-size:7pt">®</sup></span><span style="font-family:inherit;font-size:10pt;"> and </span><span style="font-family:inherit;font-size:10pt;font-style:italic;">Wolverine</span><span style="font-family:inherit;font-size:10pt;"><sup style="vertical-align:top;line-height:120%;font-size:7pt">®</sup></span><span style="font-family:inherit;font-size:10pt;">. The Company’s products are marketed worldwide through owned operations and through licensing and distribution arrangements with third parties. The Company’s products are marketed worldwide through owned operations, through licensing and distribution arrangements with third parties, and joint ventures. The Company also operates retail stores and eCommerce sites to market both its own brands and branded footwear and apparel from other manufacturers, as well as a leathers division that markets </span><span style="font-family:inherit;font-size:10pt;font-style:italic;">Wolverine Performance Leathers™</span><span style="font-family:inherit;font-size:10pt;">.</span></div>
CY2020Q1 us-gaap Fiscal Period
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<div style="line-height:120%;padding-bottom:6px;text-align:justify;font-size:10pt;"><span style="font-family:inherit;font-size:10pt;font-weight:bold;">Fiscal Year</span></div><div style="line-height:120%;padding-bottom:12px;text-align:justify;font-size:10pt;"><span style="font-family:inherit;font-size:10pt;">The Company’s fiscal year is the 52 or 53-week period that ends on the Saturday nearest to December 31. Fiscal year </span><span style="font-family:inherit;font-size:10pt;">2020</span><span style="font-family:inherit;font-size:10pt;"> has </span><span style="font-family:inherit;font-size:10pt;">53</span><span style="font-family:inherit;font-size:10pt;"> weeks and fiscal year </span><span style="font-family:inherit;font-size:10pt;">2019</span><span style="font-family:inherit;font-size:10pt;"> contained </span><span style="font-family:inherit;font-size:10pt;">52</span><span style="font-family:inherit;font-size:10pt;"> weeks. The Company reports its quarterly results of operations on the basis of 13-week quarters for each of the first three fiscal quarters and a 13 or 14-week period for the fiscal fourth quarter. References to particular years or quarters refer to the Company’s fiscal years ended on the Saturday nearest to December 31 or the fiscal quarters within those years. </span></div>
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3200000 USD
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CY2019Q1 www Product Returns Reserve
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CY2019Q1 us-gaap Lease Cost
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CY2020Q1 us-gaap Lessee Operating Lease Liability Payments Due Year Two
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CY2020Q1 us-gaap Lessee Operating Lease Liability Payments Due Year Five
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52100000 USD
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CY2020Q1 www Reclassificationfrom Accumulated Other Comprehensive Income Current Period Tax
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400000 USD
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3800000 USD
CY2020Q1 us-gaap Defined Benefit Plan Expected Return On Plan Assets
DefinedBenefitPlanExpectedReturnOnPlanAssets
4600000 USD
CY2019Q1 us-gaap Defined Benefit Plan Expected Return On Plan Assets
DefinedBenefitPlanExpectedReturnOnPlanAssets
4400000 USD
CY2020Q1 us-gaap Defined Benefit Plan Amortization Of Gains Losses
DefinedBenefitPlanAmortizationOfGainsLosses
-1600000 USD
CY2019Q1 us-gaap Defined Benefit Plan Amortization Of Gains Losses
DefinedBenefitPlanAmortizationOfGainsLosses
-600000 USD
CY2020Q1 us-gaap Defined Benefit Plan Net Periodic Benefit Cost
DefinedBenefitPlanNetPeriodicBenefitCost
2100000 USD
CY2019Q1 us-gaap Defined Benefit Plan Net Periodic Benefit Cost
DefinedBenefitPlanNetPeriodicBenefitCost
1400000 USD
CY2020Q1 us-gaap Effective Income Tax Rate Continuing Operations
EffectiveIncomeTaxRateContinuingOperations
-0.323
CY2019Q1 us-gaap Effective Income Tax Rate Continuing Operations
EffectiveIncomeTaxRateContinuingOperations
0.132
CY2018Q4 us-gaap Accumulated Other Comprehensive Income Loss Net Of Tax
AccumulatedOtherComprehensiveIncomeLossNetOfTax
-88300000 USD
CY2019Q1 us-gaap Other Comprehensive Income Loss Before Reclassifications Net Of Tax
OtherComprehensiveIncomeLossBeforeReclassificationsNetOfTax
3700000 USD
CY2019Q1 us-gaap Reclassification From Accumulated Other Comprehensive Income Current Period Before Tax
ReclassificationFromAccumulatedOtherComprehensiveIncomeCurrentPeriodBeforeTax
-1200000 USD
CY2019Q1 www Reclassificationfrom Accumulated Other Comprehensive Income Current Period Tax
ReclassificationfromAccumulatedOtherComprehensiveIncomeCurrentPeriodTax
-100000 USD
CY2019Q1 us-gaap Reclassification From Accumulated Other Comprehensive Income Current Period Net Of Tax
ReclassificationFromAccumulatedOtherComprehensiveIncomeCurrentPeriodNetOfTax
-1100000 USD
CY2019Q1 us-gaap Other Comprehensive Income Loss Net Of Tax Portion Attributable To Parent
OtherComprehensiveIncomeLossNetOfTaxPortionAttributableToParent
2600000 USD
CY2019Q1 us-gaap Accumulated Other Comprehensive Income Loss Net Of Tax
AccumulatedOtherComprehensiveIncomeLossNetOfTax
-85700000 USD
CY2019Q4 us-gaap Accumulated Other Comprehensive Income Loss Net Of Tax
AccumulatedOtherComprehensiveIncomeLossNetOfTax
-102100000 USD
CY2020Q1 us-gaap Other Comprehensive Income Loss Before Reclassifications Net Of Tax
OtherComprehensiveIncomeLossBeforeReclassificationsNetOfTax
-9800000 USD
CY2020Q1 us-gaap Reclassification From Accumulated Other Comprehensive Income Current Period Before Tax
ReclassificationFromAccumulatedOtherComprehensiveIncomeCurrentPeriodBeforeTax
400000 USD
CY2019Q1 us-gaap Long Term Debt
LongTermDebt
771300000 USD
CY2020Q1 us-gaap Long Term Debt Fair Value
LongTermDebtFairValue
1228000000.0 USD
CY2019Q4 us-gaap Long Term Debt Fair Value
LongTermDebtFairValue
817600000 USD
CY2019Q1 us-gaap Long Term Debt Fair Value
LongTermDebtFairValue
782200000 USD
CY2020Q1 us-gaap Site Contingency Recovery From Third Party Of Environmental Remediation Cost
SiteContingencyRecoveryFromThirdPartyOfEnvironmentalRemediationCost
55000000.0 USD
CY2019Q1 us-gaap Accrual For Environmental Loss Contingencies Payments1
AccrualForEnvironmentalLossContingenciesPayments1
2300000 USD
CY2020Q1 us-gaap Long Term Debt
LongTermDebt
1226100000 USD
CY2019Q4 us-gaap Long Term Debt
LongTermDebt
798400000 USD
CY2019Q4 us-gaap Accrual For Environmental Loss Contingencies
AccrualForEnvironmentalLossContingencies
124400000 USD
CY2018Q4 us-gaap Accrual For Environmental Loss Contingencies
AccrualForEnvironmentalLossContingencies
22600000 USD
CY2020Q1 us-gaap Accrual For Environmental Loss Contingencies Increase Decrease For Revision In Estimates
AccrualForEnvironmentalLossContingenciesIncreaseDecreaseForRevisionInEstimates
0 USD
CY2019Q1 us-gaap Accrual For Environmental Loss Contingencies Increase Decrease For Revision In Estimates
AccrualForEnvironmentalLossContingenciesIncreaseDecreaseForRevisionInEstimates
0 USD
CY2020Q1 us-gaap Accrual For Environmental Loss Contingencies Payments1
AccrualForEnvironmentalLossContingenciesPayments1
8000000.0 USD
CY2020Q1 us-gaap Revenue From Contract With Customer Excluding Assessed Tax
RevenueFromContractWithCustomerExcludingAssessedTax
439300000 USD
CY2019Q1 us-gaap Revenue From Contract With Customer Excluding Assessed Tax
RevenueFromContractWithCustomerExcludingAssessedTax
523400000 USD
CY2020Q1 us-gaap Operating Income Loss
OperatingIncomeLoss
16900000 USD
CY2019Q1 us-gaap Operating Income Loss
OperatingIncomeLoss
52400000 USD
CY2020Q1 us-gaap Accrual For Environmental Loss Contingencies
AccrualForEnvironmentalLossContingencies
116400000 USD
CY2019Q1 us-gaap Accrual For Environmental Loss Contingencies
AccrualForEnvironmentalLossContingencies
20300000 USD
CY2020Q1 us-gaap Accrued Environmental Loss Contingencies Current
AccruedEnvironmentalLossContingenciesCurrent
39000000.0 USD
CY2020Q1 us-gaap Accrued Environmental Loss Contingencies Noncurrent
AccruedEnvironmentalLossContingenciesNoncurrent
77400000 USD
CY2020Q1 us-gaap Assets
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2753700000 USD
CY2019Q4 us-gaap Assets
Assets
2480000000.0 USD
CY2019Q1 us-gaap Assets
Assets
2351300000 USD
CY2020Q1 us-gaap Goodwill
Goodwill
434700000 USD
CY2019Q4 us-gaap Goodwill
Goodwill
438900000 USD
CY2019Q1 us-gaap Goodwill
Goodwill
425900000 USD
CY2019 us-gaap Payments To Acquire Businesses Gross
PaymentsToAcquireBusinessesGross
15100000 USD
CY2019 us-gaap Business Combination Consideration Transferred Liabilities Incurred
BusinessCombinationConsiderationTransferredLiabilitiesIncurred
4600000 USD
CY2019 us-gaap Business Combination Consideration Transferred Other1
BusinessCombinationConsiderationTransferredOther1
5500000 USD
CY2019 us-gaap Business Combination Consideration Transferred1
BusinessCombinationConsiderationTransferred1
25200000 USD
CY2020Q1 us-gaap Business Combination Recognized Identifiable Assets Acquired And Liabilities Assumed Current Assets Receivables
BusinessCombinationRecognizedIdentifiableAssetsAcquiredAndLiabilitiesAssumedCurrentAssetsReceivables
1800000 USD
CY2020Q1 us-gaap Business Combination Recognized Identifiable Assets Acquired And Liabilities Assumed Inventory
BusinessCombinationRecognizedIdentifiableAssetsAcquiredAndLiabilitiesAssumedInventory
6200000 USD
CY2020Q1 us-gaap Business Combination Recognized Identifiable Assets Acquired And Liabilities Assumed Intangibles
BusinessCombinationRecognizedIdentifiableAssetsAcquiredAndLiabilitiesAssumedIntangibles
12900000 USD
CY2020Q1 us-gaap Business Combination Recognized Identifiable Assets Acquired And Liabilities Assumed Assets
BusinessCombinationRecognizedIdentifiableAssetsAcquiredAndLiabilitiesAssumedAssets
32900000 USD
CY2020Q1 us-gaap Business Combination Recognized Identifiable Assets Acquired And Liabilities Assumed Deferred Tax Liabilities
BusinessCombinationRecognizedIdentifiableAssetsAcquiredAndLiabilitiesAssumedDeferredTaxLiabilities
3200000 USD
CY2020Q1 us-gaap Business Combination Recognized Identifiable Assets Acquired And Liabilities Assumed Noncurrent Liabilities Other
BusinessCombinationRecognizedIdentifiableAssetsAcquiredAndLiabilitiesAssumedNoncurrentLiabilitiesOther
4500000 USD
CY2020Q1 us-gaap Business Combination Recognized Identifiable Assets Acquired And Liabilities Assumed Liabilities
BusinessCombinationRecognizedIdentifiableAssetsAcquiredAndLiabilitiesAssumedLiabilities
7700000 USD
CY2020Q1 us-gaap Business Combination Recognized Identifiable Assets Acquired Goodwill And Liabilities Assumed Net
BusinessCombinationRecognizedIdentifiableAssetsAcquiredGoodwillAndLiabilitiesAssumedNet
25200000 USD

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