PERRY ELLIS INTERNATIONAL, INC. AND SUBSIDIARIES
SELECTED FINANCIAL DATA (UNAUDITED)
(amounts in 000's, except per share information)
       
INCOME STATEMENT DATA:
Three Months Ended Nine Months Ended
October 31, 2009 October 31, 2008 October 31, 2009 October 31, 2008
 
Revenues
Net sales $ 172,154 $ 216,232 $ 539,172 $ 641,398
Royalty income   6,397     6,583   18,592   18,665
Total revenues 178,551 222,815 557,764 660,063
Cost of sales   117,564     146,915   378,335   437,359
Gross profit 60,987 75,900 179,429 222,704
Operating expenses
Selling, general and administrative expenses 48,704 59,933 150,778 182,529
Depreciation and amortization   3,292     3,551   10,305   10,898
Total operating expenses   51,996     63,484   161,083   193,427
Operating income 8,991 12,416 18,346 29,277
Impairment on marketable securities - 580 - 2,563
Interest expense   4,711     4,355   13,295   13,134
 
Income before income taxes 4,280 7,481 5,051 13,580
Income tax (benefit) provision   (26 )   2,244   107   4,288
Net income 4,306 5,237 4,944 9,292
 
Less: net income attributed to noncontrolling interest 168 238 265 565
       
Net income attributed to Perry Ellis International, Inc. $ 4,138   $ 4,999 $ 4,679 $ 8,727
 
Net income attributed to Perry Ellis International, Inc. per share
Basic $ 0.33   $ 0.34 $ 0.37 $ 0.59
Diluted $ 0.31   $ 0.33 $ 0.36 $ 0.57
 
Weighted average number of shares outstanding
Basic 12,695 14,752 12,688 14,673
Diluted 13,230 15,170 12,889 15,272
   
PERRY ELLIS INTERNATIONAL, INC. AND SUBSIDIARIES
SELECTED FINANCIAL DATA (UNAUDITED)
(amounts in 000's)
 
BALANCE SHEET DATA:
 
As of
October 31, 2009 January 31, 2009
 
Assets
Current assets:
Cash and cash equivalents $ 25,519 $ 8,813
Accounts receivable, net 123,623 142,870
Inventories 97,865 139,074
Other current assets   29,487     31,508  
Total current assets   276,494     322,265  
 
Property and equipment, net 63,666 70,222
Intangible assets 200,315 201,229
Other assets   5,567     5,870  
 
Total assets $ 546,042   $ 599,586  
 
Liabilities and stockholders' equity
Current liabilities:
Accounts payable $ 37,963 $ 45,826
Accrued expenses and other liabilities 24,345 23,825
Accrued interest payable 1,866 5,336
Current portion - real estate mortgages 11,067 494
Unearned revenues   5,771     5,654  
Total current liabilities   81,012     81,135  
 
 
Long term liabilities:
Senior subordinated notes payable 149,787 149,409
Senior credit facility - 54,415
Real estate mortgages 13,780 24,686
Deferred pension obligation 17,942 17,708
Unearned revenues and other long-term liabilities   23,319     20,132  
Total long-term liabilities   204,828     266,350  
 
Total liabilities   285,840     347,485  
 
Stockholders' equity
 
Preferred stock - -
Common stock 161 160
Additional paid-in-capital 106,237 103,933
Retained earnings 171,350 166,671
Accumulated other comprehensive loss (3,703 ) (6,306 )
Treasury stock at cost   (17,415 )   (15,664 )
Total Perry Ellis International, Inc. stockholders' equity 256,630 248,794
 
Noncontrolling interest 3,572 3,307
   
Total stockholders' equity   260,202     252,101  
 
Total liabilities and stockholders' equity $ 546,042   $ 599,586  
     
PERRY ELLIS INTERNATIONAL, INC. AND SUBSIDIARIES
RECONCILIATION OF NET INCOME TO EBITDA(1)
(UNAUDITED)
(amounts in 000's)
 
Three Months Ended Nine Months Ended
October 31, 2009 October 31, 2008 October 31, 2009 October 31, 2008
 
 
Net income attributed to Perry Ellis International, Inc. $ 4,138 $ 4,999 $ 4,679 $ 8,727
Plus:
Depreciation and amortization 3,292 3,551 10,305 10,898
Interest expense 4,711 4,355 13,295 13,134
Net income attributable to noncontrolling interest 168 238 265 565
Income tax (benefit) provision   (26 )   2,244   107   4,288
EBITDA 12,283 15,387 28,651 37,612
Impairment on marketable securities - 580 - 2,563
One-time non-recurring restructuring costs   -     560   -   2,971
EBITDA as adjusted $ 12,283   $ 16,527 $ 28,651 $ 43,146
 

(1)

EBITDA consists of earnings before interest, taxes, depreciation, amortization and noncontrolling interest. EBITDA is not a measurement of financial performance under accounting principles generally accepted in the United States of America, and does not represent cash flow from operations. EBITDA is presented solely as a supplemental disclosure because management believes that it is a common measure of operating performance in the apparel industry.
 
"EBITDA as adjusted" consists of EBITDA adjusted for the impact of the non-cash impairment of marketable securities and the one-time non-recurring restructuring costs. These are not indicative of our ongoing operations and thus to get a more comparable result with the operating performance of the apparel industry, they have been removed from the calculation.