EXPRESS, INC. - 10-Q filing on 2016-12-07

Segment Reporting

9 Months Ended

Oct. 29, 2016

The Company defines an operating segment on the same basis that it uses to evaluate performance internally. The Company has determined that, together, its President and Chief Executive Officer and its Chief Operating Officer are the Chief Operating Decision Maker, and that there is one operating segment. Therefore, the Company reports results as a single segment, which includes the operation of its Express brick-and-mortar retail and outlet stores, e-commerce operations, and franchise operations.

The following is information regarding the Company's major product categories and sales channels:



	Thirteen Weeks Ended				Thirty-Nine Weeks Ended
	October 29, 2016		October 31, 2015		October 29, 2016		October 31, 2015
	(in thousands)				(in thousands)
Apparel	$	446,999	$	482,472	$	1,327,090	$	1,394,458
Accessories and other	51,301		52,898		157,963		155,110
Other revenue	7,790		11,246		28,713		35,008
Total net sales	$	506,090	$	546,616	$	1,513,766	$	1,584,576



	Thirteen Weeks Ended				Thirty-Nine Weeks Ended
	October 29, 2016		October 31, 2015		October 29, 2016		October 31, 2015
	(in thousands)				(in thousands)
Stores	$	401,963	$	451,525	$	1,241,669	$	1,313,126
E-commerce	96,337		83,845		243,384		236,442
Other revenue	7,790		11,246		28,713		35,008
Total net sales	$	506,090	$	546,616	$	1,513,766	$	1,584,576

Other revenue consists primarily of sell-off revenue related to mark-out-of-stock inventory sales to third parties, shipping and handling revenue related to e-commerce activity, and revenue from franchise agreements.

Revenue and long-lived assets relating to the Company's international operations for the thirteen and thirty-nine weeks ended and as of October 29, 2016 and October 31, 2015, respectively, were not material for any period presented and, therefore, are not reported separately from domestic revenue or long-lived assets.