SECAUCUS, N.J., Aug. 8, 2019 /PRNewswire/ -- Vitamin Shoppe,
Inc. (NYSE: VSI), an omni-channel, specialty retailer of
nutritional products, today announced preliminary results for the
three months ended June 29, 2019
(second quarter) and that it has agreed to be acquired by Liberty
Tax.
Reported net loss per share from continuing operations in second
quarter 2019 was $0.15, compared to
earnings per share (EPS) from continuing operations of $0.22 in the same period of the prior year.
Excluding special items in both second quarter 2019 and second
quarter 2018 as shown in Table 4 at the end of this press release,
EPS from continuing operations was $0.20 in second quarter 2019 compared with
$0.31 in second quarter
2018.
Second Quarter 2019 Results
Total sales of $270.9 million in
the quarter were 7.6% lower than the same period of the prior
year. Total comparable sales were down 7.2% in the
quarter. The Company closed four stores in the quarter and
did not open any new ones.
Cost of goods sold, which includes product, distribution and
store occupancy costs, were $180.6
million, 9.2% lower than the same period of the prior year,
primarily attributable to lower sales volume. In addition, the
Company continues to see improvement as it works with landlords to
execute on its store planned closures to reduce store occupancy
costs.
Second quarter 2018 included $3.6
million in net expenses related to inventory
optimization. Adjusting for this, cost of goods sold in
second quarter 2019 were 7.5% lower than the prior year.
Gross profit was $90.3 million,
compared with $94.2 million in second
quarter 2018. Gross profit as a percentage of net sales was
33.3% in second quarter 2019, compared to 32.2% in the same period
of 2018. Second quarter 2019 benefitted year-over-year from
product margin improvement of 90 basis points offset by deleverage
in occupancy. Excluding the special items for 2Q18
shown in Table 4 at the end of this press release, gross profit was
$97.9 million in second quarter 2018
and as a percentage of net sales was 33.4%.
Selling, general and administrative expenses (SG&A),
including store operating payroll and related benefits and
advertising expense, was $83.1
million for the quarter ended June
29, 2019, compared with $88.9
million for the quarter ended June
30, 2018. Second quarter 2019 includes approximately
$0.8 million for store closing
expenses, and $0.4 million for
management realignment costs while second quarter 2018 includes
$1.8 million for management
realignment costs and another $1.1
million in other costs. SG&A as a percent of sales
was 30.7% in second quarter 2019 compared with 30.3% in second
quarter 2018. Adjusted for the items mentioned above and
shown in Table 4, for both years, SG&A as a percentage of sales
in second quarter 2019 was 30.2% compared to 29.3% in second
quarter 2018. Percentage of sales higher due to deleverage of
the topline.
The Company reported impairment charges on fixed, intangible and
right of use assets of $10.9 million
in second quarter 2019.
Adjusted EBITDA in second quarter 2019 was $17.6 million and a margin of 6.5%, compared with
$22.0 million and a margin of 7.5% in
the same period of the prior year. (Refer to Table 5 at the
end of this press release for a GAAP reconciliation.)
Operating loss in second quarter 2019 was $3.7 million compared to operating income of
$5.2 million in the same period of
the prior year. Adjusted for the items noted in Table 4 for
both second quarter 2019 and 2018, adjusted operating income was
$7.7 million in second quarter 2019
compared with adjusted operating income of $11.7 million in second quarter 2018.
(Refer to Table 4 at the end of this press release for a
reconciliation.)
Reported net loss from continuing operations was $3.6 million for second quarter 2019 compared to
net income from continuing operations of $5.3 million in the same period of the prior
year. Adjusting for the items shown in Table 4 for the
periods ended June 29, 2019 and
June 30, 2018, net income from
continuing operations would have been $4.8
million and $7.3 million,
respectively.
Reported loss per share from continuing operations was
$0.15 in second quarter 2019,
compared to earnings per share from continuing operations of
$0.22 in second quarter 2018.
Earnings per share from continuing operations on an adjusted basis
(for the items described in Table 4) in second quarter 2019 was
$0.20 compared to $0.31 in second quarter 2018.
Balance Sheet and Cash Flow
Cash and equivalents at June 29,
2019 were $14.8 million.
At quarter end, the Company had a convertible notes liability with
a total face value of $60.4 million
and nothing borrowed on its revolving line of credit.
Capital expenditures were $8.2
million in the quarter with funds primarily expended on IT
and other digital investments. Depreciation and amortization
in second quarter 2019 was $9.9
million compared to $10.3
million in second quarter 2018. The lower amount
primarily reflects less stores in operation year over year.
The Company generated operating cash flow of $23.6 million in the quarter.
Non-GAAP Financial Measures
Adjusted information is non-GAAP financial information. These
supplemental non-GAAP measures should not be considered superior
to, or a substitute for, and should be considered in conjunction
with the GAAP financial measures presented. The Company
believes such non-GAAP financial information facilitates analysis
and comparisons of our ongoing business operations because it
excludes items that may not be indicative of, or are unrelated to
the Company's core operating performance, and may assist investors
with comparisons to prior periods and assessing trends in our
underlying business. These adjustments are consistent with how
management views our business. Management uses such non-GAAP
financial information in making financial, operating and planning
decisions and evaluating the Company's ongoing performance. A
reconciliation of adjusted financial information to the most
directly comparable financial measures calculated and presented in
accordance with GAAP are shown in Tables 4 and 5.
The Company defines Adjusted EBITDA as EBITDA (net income before
interest expense, net, provision for income taxes, depreciation and
amortization), as further adjusted to exclude the effects of
certain income and expense items that management believes make it
more difficult to assess the Company's actual operating performance
including certain items which are generally non-recurring.
The Company has excluded the impact of such items from internal
performance assessments. The Company believes that excluding
such items helps investors compare operating performance with the
results in prior periods. The Company believes it is
appropriate to exclude these items as they are not related to
ongoing operating performance and, therefore, limit comparability
between periods. (See Table 5 for a reconciliation of
2Q19 and 2Q18 Adjusted EBITDA.)
About the Vitamin Shoppe, Inc. (NYSE: VSI)
Vitamin Shoppe is an omni-channel, specialty retailer of
nutritional products based in Secaucus, New Jersey. In its stores and
on its website, the Company carries a comprehensive retail
assortment including: vitamins, minerals, specialty supplements,
herbs, sports nutrition, homeopathic remedies, green living
products, and beauty aids. In addition to offering products
from approximately 700 national brands, the Vitamin Shoppe also
carries products under The Vitamin Shoppe®,
BodyTech®, Body Tech Elite®, True
Athlete®, plnt®, ProBioCare®, and
Next Step® brands. The Vitamin Shoppe conducts
business through more than 750 company-operated retail stores under
The Vitamin Shoppe and Super Supplements retail banners, and
through its website, www.vitaminshoppe.com. Follow the
Vitamin Shoppe on Facebook at
http://www.facebook.com/THEVITAMINSHOPPE and on Twitter at
http://twitter.com/VitaminShoppe.
Forward Looking Statements
This press release contains "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, including, without limitation, those that contain, or are
identified by, words such as "outlook", "guidance", "believes",
"expects", "potential", "continues", "may", "will", "should",
"predicts", "intends", "plans", "estimates", "anticipates", "could"
or the negative version of these words or other comparable
words. These statements are subject to various risks and
uncertainties, many of which are outside our control, including,
among others, strength of the economy, changes in the overall level
of consumer spending, the performance of the Company's products
within the prevailing retail environment, implementation of our
strategy, compliance with regulations, certifications and
best practices with respect to the development, manufacture, sale
and marketing of the Company's products, management changes,
maintaining appropriate levels of inventory, changes in tax policy,
ecommerce relationships, disruptions of manufacturing, warehouse or
distribution facilities or information systems, regulatory
environment and other specific factors discussed herein and in
other Securities and Exchange Commission (the "SEC") filings by us
(including our reports on Forms 10-K and 10-Q filed with the
SEC). We believe that all forward-looking statements are
based on reasonable assumptions when made; however, we caution that
it is impossible to predict actual results or outcomes or the
effects of risks, uncertainties or other factors on anticipated
results or outcomes with certainty and that, accordingly, one
should not place undue reliance on these statements.
Forward-looking statements speak only as of the date when made and
we undertake no obligation to update these statements in light of
subsequent events or developments. Actual results may differ
materially from anticipated results or outcomes discussed in any
forward-looking statement.
|
Table
1
|
|
VITAMIN SHOPPE,
INC. AND SUBSIDIARY
|
|
CONSOLIDATED
STATEMENTS OF OPERATIONS
|
|
(In thousands, except
share and per share data)
|
|
(Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
Six Months
Ended
|
|
|
|
June
29,
|
|
June
30,
|
|
June
29,
|
|
June
30,
|
|
|
|
2019
|
|
2018
|
|
2019
|
|
2018
|
|
|
|
|
|
|
|
|
|
|
|
Net sales
|
|
$
270,876
|
|
$
293,103
|
|
$
554,208
|
|
$
589,067
|
|
Cost of goods
sold
|
|
180,608
|
|
198,867
|
|
369,122
|
|
401,720
|
|
Gross
profit
|
|
90,268
|
|
94,236
|
|
185,086
|
|
187,347
|
|
Selling, general and
administrative expenses
|
|
83,051
|
|
88,918
|
|
171,578
|
|
177,516
|
|
Impairment charges on
fixed, intangible and right-of-use assets
|
|
10,883
|
|
131
|
|
10,883
|
|
833
|
|
Income (loss) from
operations
|
|
(3,666)
|
|
5,187
|
|
2,625
|
|
8,998
|
|
Gain on
extinguishment of debt
|
|
-
|
|
3,727
|
|
-
|
|
16,229
|
|
Interest expense,
net
|
|
1,075
|
|
1,699
|
|
2,141
|
|
4,140
|
|
Income (loss) before
provision (benefit) for income taxes
|
|
(4,741)
|
|
7,215
|
|
484
|
|
21,087
|
|
Provision (benefit)
for income taxes
|
|
(1,171)
|
|
1,932
|
|
557
|
|
6,147
|
|
Net income (loss)
from continuing operations
|
|
(3,570)
|
|
5,283
|
|
(73)
|
|
14,940
|
|
Net income (loss)
from discontinued operations, net of tax
|
|
-
|
|
1,897
|
|
-
|
|
(11,619)
|
|
Net income
(loss)
|
|
$
(3,570)
|
|
$
7,180
|
|
$
(73)
|
|
$
3,321
|
|
|
|
|
|
|
|
|
|
|
|
Weighted average
common shares outstanding
|
|
|
|
|
|
|
|
|
|
Basic
|
|
23,670,348
|
|
23,593,876
|
|
23,611,724
|
|
23,444,052
|
|
Diluted
|
|
23,670,348
|
|
23,774,548
|
|
23,611,724
|
|
23,570,976
|
|
|
|
|
|
|
|
|
|
|
|
Net income (loss)
from continuing operations per common share
|
|
|
|
|
|
|
|
|
|
Basic
|
|
$
(0.15)
|
|
$
0.22
|
|
$
(0.00)
|
|
$
0.64
|
|
Diluted
|
|
$
(0.15)
|
|
$
0.22
|
|
$
(0.00)
|
|
$
0.63
|
|
|
|
|
|
|
|
|
|
|
|
Net income (loss)
from discontinued operations per common share
|
|
|
|
|
|
|
|
|
|
Basic
|
|
$
-
|
|
$
0.08
|
|
$
-
|
|
$
(0.50)
|
|
Diluted
|
|
$
-
|
|
$
0.08
|
|
$
-
|
|
$
(0.49)
|
|
|
|
|
|
|
|
|
|
|
|
Net income (loss) per
common share
|
|
|
|
|
|
|
|
|
|
Basic
|
|
$
(0.15)
|
|
$
0.30
|
|
$
(0.00)
|
|
$
0.14
|
|
Diluted
|
|
$
(0.15)
|
|
$
0.30
|
|
$
(0.00)
|
|
$
0.14
|
|
|
|
|
|
|
|
|
|
|
|
TABLE
2
|
|
VITAMIN SHOPPE,
INC. AND SUBSIDIARY
|
|
Key Performance
Indicators and Store Info
|
|
($ in
thousands)
|
|
(Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
Six Months
Ended
|
|
|
June
29,
|
|
June
30,
|
|
June
29,
|
|
June
30,
|
|
|
2019
|
|
2018
|
|
2019
|
|
2018
|
|
|
|
|
|
|
|
|
|
|
Decrease in total
comparable net sales
|
(7.2)%
|
|
(1.1)%
|
|
(5.3)%
|
|
(2.4)%
|
|
|
|
|
|
|
|
|
|
|
Gross profit from
continuing operations as a percent of net sales
|
33.3 %
|
|
32.2 %
|
|
33.4 %
|
|
31.8 %
|
|
Income (loss) from
continuing operations as a percent of net sales
|
(1.4)%
|
|
1.8 %
|
|
0.5 %
|
|
1.5 %
|
|
|
|
|
|
|
|
|
|
|
Capital
Expenditures
|
$
8,208
|
|
$
8,983
|
|
$
12,603
|
|
$
15,705
|
|
Depreciation and
Amortization
|
$
9,911
|
|
$
10,251
|
|
$
19,764
|
|
$
21,498
|
|
|
|
|
|
|
|
|
|
|
Store
Data:
|
|
|
|
|
|
|
|
|
Stores open at
beginning of period
|
769
|
|
783
|
|
774
|
|
785
|
|
Stores opened
|
–
|
|
1
|
|
–
|
|
1
|
|
Stores closed
|
(4)
|
|
(2)
|
|
(9)
|
|
(4)
|
|
Stores open at end of
period
|
765
|
|
782
|
|
765
|
|
782
|
|
|
|
|
|
|
|
|
|
|
Total retail
square footage at end of period (in thousands)
|
2,673
|
|
2,725
|
|
2,673
|
|
2,725
|
|
|
|
|
|
|
|
|
|
|
Table
3
|
|
VITAMIN SHOPPE,
INC. AND SUBSIDIARY
|
|
CONSOLIDATED
BALANCE SHEETS
|
|
(In thousands, except
share and per share data)
|
|
(Unaudited)
|
|
|
|
|
|
|
|
|
June
29,
|
|
December
29,
|
|
2019
|
|
2018
|
|
ASSETS
|
|
|
|
|
Current
assets:
|
|
|
|
|
Cash and cash
equivalents
|
$
14,790
|
|
$
2,668
|
|
Inventories
|
181,008
|
|
189,273
|
|
Prepaid
expenses and other current assets
|
27,991
|
|
27,921
|
|
Total current
assets
|
223,789
|
|
219,862
|
|
Right-of-use
assets
|
439,069
|
|
-
|
|
Property and
equipment, net of accumulated depreciation and amortization of
$327,770 and $312,977 in 2019 and 2018, respectively
|
114,776
|
|
123,002
|
|
Intangibles,
net
|
2,222
|
|
11,088
|
|
Deferred
taxes
|
33,105
|
|
31,659
|
|
Other long-term
assets
|
3,373
|
|
2,468
|
|
Total
assets
|
$
816,334
|
|
$
388,079
|
|
|
|
|
|
LIABILITIES AND
STOCKHOLDERS' EQUITY
|
|
|
|
|
Current
liabilities:
|
|
|
|
|
Revolving
credit facility
|
$
-
|
|
$
-
|
|
Accounts
payable
|
36,797
|
|
39,789
|
|
Accrued
expenses and other current liabilities
|
55,510
|
|
65,508
|
|
Short-term
lease liabilities
|
97,825
|
|
500
|
|
Total current
liabilities
|
190,132
|
|
105,797
|
|
Long-term lease
liabilities
|
383,110
|
|
934
|
|
Convertible notes,
net
|
56,798
|
|
55,570
|
|
Deferred
rent
|
-
|
|
37,034
|
|
Other long-term
liabilities
|
416
|
|
403
|
|
|
|
|
|
Commitments and
contingencies
|
|
|
|
|
|
|
|
|
Stockholders'
equity:
|
|
|
|
|
Preferred
stock, $0.01 par value; 250,000,000 shares authorized and no shares
issued
|
|
|
|
|
and
outstanding at June 29, 2019 and December 29, 2018
|
-
|
|
-
|
|
Common stock,
$0.01 par value; 400,000,000 shares authorized, 24,335,700 shares
issued and
|
|
|
|
|
24,032,628
shares outstanding at June 29, 2019 and 24,234,651 shares issued
and 23,974,031
|
|
|
|
|
shares
outstanding at December 29, 2018
|
243
|
|
242
|
|
Additional
paid-in capital
|
87,034
|
|
85,853
|
|
Treasury
stock, at cost; 303,072 shares at June 29, 2019 and 260,620 shares
at December 29, 2018
|
(7,607)
|
|
(7,314)
|
|
Retained
earnings
|
106,208
|
|
109,560
|
|
Total stockholders' equity
|
185,878
|
|
188,341
|
|
Total liabilities and
stockholders' equity
|
$
816,334
|
|
$
388,079
|
|
|
|
|
|
TABLE
4
|
|
VITAMIN SHOPPE,
INC. AND SUBSIDIARY
|
|
SUPPLEMENTAL
OPERATING DATA
|
|
(Unaudited)
|
|
|
Amounts in
millions except per share data
|
|
|
|
|
|
Figures may not
sum due to rounding
|
|
|
|
|
Gross
|
|
|
|
Impairment
|
|
Operating
|
|
Net
|
|
Diluted
|
|
|
|
Continuing
Operations
|
Profit
|
|
SG&A
|
|
Charges
|
|
Income/(Loss)
|
|
Income/(Loss)
|
|
EPS
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three months ended
June 29, 2019:
|
|
|
|
|
|
|
|
As
Reported
|
$
90.3
|
|
$
83.1
|
|
$
10.9
|
|
$
(3.7)
|
|
$
(3.6)
|
|
$
(0.15)
|
|
|
|
Tradename impairment
charge (1)
|
-
|
|
-
|
|
(9.0)
|
|
9.0
|
|
6.6
|
|
0.28
|
|
|
|
Right-of-use asset
impairment charges (2)
|
-
|
|
-
|
|
(1.1)
|
|
1.1
|
|
0.8
|
|
0.03
|
|
|
|
Store closure costs
(3)
|
-
|
|
(0.8)
|
|
-
|
|
0.8
|
|
0.6
|
|
0.02
|
|
|
|
Management
realignment costs (4)
|
-
|
|
(0.4)
|
|
-
|
|
0.4
|
|
0.3
|
|
0.01
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
As
Adjusted
|
$
90.3
|
|
$
81.8
|
|
$
0.8
|
|
$
7.7
|
|
$
4.8
|
|
$
0.20
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three months ended
June 30, 2018:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
As
Reported
|
$
94.2
|
|
$
88.9
|
|
$
0.1
|
|
$
5.2
|
|
$
5.3
|
|
$
0.22
|
|
|
|
Gain on
extinguishment of debt (5)
|
-
|
|
-
|
|
-
|
|
-
|
|
(2.7)
|
|
(0.11)
|
|
|
|
Inventory charge
(6)
|
3.6
|
|
-
|
|
-
|
|
3.6
|
|
2.6
|
|
0.11
|
|
|
|
Management
realignment costs (4)
|
-
|
|
(1.8)
|
|
-
|
|
1.8
|
|
1.3
|
|
0.06
|
|
|
|
Shareholder
settlement (7)
|
-
|
|
(0.7)
|
|
-
|
|
0.7
|
|
0.5
|
|
0.02
|
|
|
|
Closing of
distribution center (8)
|
0.1
|
|
(0.4)
|
|
-
|
|
0.4
|
|
0.3
|
|
0.01
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
As
Adjusted
|
$
97.9
|
|
$
86.0
|
|
$
0.1
|
|
$
11.7
|
|
$
7.3
|
|
$
0.31
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Six months ended
June 29, 2019:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
As
Reported
|
$
185.1
|
|
$
171.6
|
|
$
10.9
|
|
$
2.6
|
|
$
(0.1)
|
|
$
(0.00)
|
|
|
|
Tradename impairment
charge (1)
|
-
|
|
-
|
|
(9.0)
|
|
9.0
|
|
6.6
|
|
0.28
|
|
|
|
Store closure costs
(3)
|
0.1
|
|
(1.7)
|
|
-
|
|
1.8
|
|
1.3
|
|
0.06
|
|
|
|
Management
realignment costs (4)
|
-
|
|
(1.5)
|
|
-
|
|
1.5
|
|
1.0
|
|
0.04
|
|
|
|
Right-of-use asset
impairment charges (2)
|
-
|
|
-
|
|
(1.1)
|
|
1.1
|
|
0.8
|
|
0.03
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
As
Adjusted
|
$
185.2
|
|
$
168.4
|
|
$
0.8
|
|
$
16.0
|
|
$
9.7
|
|
$
0.41
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Six months ended
June 30, 2018:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
As
Reported
|
$
187.3
|
|
$
177.5
|
|
$
0.8
|
|
$
9.0
|
|
$
14.9
|
|
$
0.63
|
|
|
|
Gain on
extinguishment of debt (5)
|
-
|
|
-
|
|
-
|
|
-
|
|
(11.8)
|
|
(0.50)
|
|
|
|
Inventory charge
(6)
|
3.6
|
|
-
|
|
-
|
|
3.6
|
|
2.6
|
|
0.11
|
|
|
|
Management
realignment costs (4)
|
-
|
|
(1.8)
|
|
-
|
|
1.8
|
|
1.3
|
|
0.06
|
|
|
|
Shareholder
settlement (7)
|
-
|
|
(0.7)
|
|
-
|
|
0.7
|
|
0.5
|
|
0.02
|
|
|
|
Closing of
distribution center (8)
|
1.8
|
|
(0.9)
|
|
-
|
|
2.7
|
|
2.0
|
|
0.08
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
As
Adjusted
|
$
192.7
|
|
$
174.1
|
|
$
0.8
|
|
$
17.8
|
|
$
9.5
|
|
$
0.40
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) Impairment charge
on the Vitamin Shoppe tradename.
|
|
|
|
(2) Charges incurred
to reflect the fair market value of the right-of-use assets
associated with certain retail locations.
|
|
(3) Store closure
costs primarily include lease termination fees.
|
|
|
|
|
(4) Costs related to
management turnover, including severance charges, recruitment costs
and other professional fees.
|
|
|
(5) Gain recognized
on the repurchases of a portion of Convertible Notes, net of
tax.
|
|
(6) Inventory charge
resulting from an evaluation to optimize the Company's product
assortment.
|
|
(7) Professional fees
incurred related to shareholder settlement.
|
|
(8) Costs related to
the closing of the North Bergen, New Jersey distribution
center.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TABLE
5
|
|
VITAMIN SHOPPE,
INC. AND SUBSIDIARY
|
|
ADJUSTED EBITDA
RECONCILIATION
|
|
(In
thousands)
|
|
(Unaudited)
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
Six Months
Ended
|
|
|
June
29,
|
|
June
30,
|
|
June
29,
|
|
June
30,
|
|
|
2019
|
|
2018
|
|
2019
|
|
2018
|
|
|
Net income (loss)
from continuing operations
|
$
(3,570)
|
|
$
5,283
|
|
$
(73)
|
|
$
14,940
|
|
|
|
|
|
|
|
|
|
|
|
Additions:
|
|
|
|
|
|
|
|
|
|
Provision (benefit)
for income taxes
|
(1,171)
|
|
1,932
|
|
557
|
|
6,147
|
|
|
Interest expense,
net
|
1,075
|
|
1,699
|
|
2,141
|
|
4,140
|
|
|
Depreciation and
amortization
|
9,911
|
|
10,251
|
|
19,764
|
|
20,729
|
|
|
|
|
|
|
|
|
|
|
|
EBITDA
|
6,245
|
|
19,165
|
|
22,389
|
|
45,956
|
|
|
|
|
|
|
|
|
|
|
|
Adjustments:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Tradename impairment
charge (1)
|
9,000
|
|
-
|
|
9,000
|
|
-
|
|
|
Store closure costs
(2)
|
801
|
|
-
|
|
1,813
|
|
-
|
|
|
Management
realignment costs (3)
|
433
|
|
1,848
|
|
1,456
|
|
1,848
|
|
|
Right-of-use asset
impairment charges (4)
|
1,093
|
|
-
|
|
1,093
|
|
-
|
|
|
Gain on
extinguishment of debt (5)
|
-
|
|
(3,727)
|
|
-
|
|
(16,229)
|
|
|
Inventory charge
(6)
|
-
|
|
3,600
|
|
-
|
|
3,600
|
|
|
Distribution center
closing costs (7)
|
-
|
|
450
|
|
-
|
|
2,690
|
|
|
Shareholder
settlement (8)
|
-
|
|
662
|
|
-
|
|
662
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted
EBITDA
|
$
17,572
|
|
$
21,998
|
|
$
35,751
|
|
$
38,527
|
|
|
|
|
|
|
|
|
|
|
|
(1) Impairment charge
on the Vitamin Shoppe tradename.
|
|
(2) Store closure
costs primarily include lease termination fees.
|
|
(3) Costs related to
management turnover, including severance charges, recruitment costs
and other professional fees.
|
|
(4) Charges incurred
to reflect the fair market value of the right-of-use assets
associated with certain retail locations.
|
|
(5) Gain recognized
on the repurchases of a portion of Convertible Notes.
|
|
(6) Inventory charge
resulting from an evaluation to optimize the Company's product
assortment.
|
|
(7) Costs related to
the closing of the North Bergen, New Jersey distribution
center.
|
|
(8) Professional fees
incurred related to shareholder settlement.
|
View original
content:http://www.prnewswire.com/news-releases/vitamin-shoppe-inc-announces-second-quarter-2019-results-300898618.html
SOURCE Vitamin Shoppe, Inc.