Annual report pursuant to Section 13 and 15(d)

Segment and Geographic Reporting

v3.10.0.1
Segment and Geographic Reporting
12 Months Ended
Dec. 31, 2018
Segment Reporting [Abstract]  
Segment and Geographic Reporting

 

(19)

SEGMENT AND GEOGRAPHIC REPORTING

The Company has three reportable segments–domestic wholesale sales, international wholesale sales, and retail sales, which includes e-commerce sales. Management evaluates segment performance based primarily on net sales and gross margins. All other costs and expenses of the Company are analyzed on an aggregate basis, and these costs are not allocated to the Company’s segments. Net sales, gross margins and identifiable assets for the domestic wholesale, international wholesale, and retail segments on a combined basis were as follows (in thousands):

 

 

 

2018

 

 

2017

 

 

2016

 

Net sales

 

 

 

 

 

 

 

 

 

 

 

 

Domestic wholesale

 

$

1,259,615

 

 

$

1,249,287

 

 

$

1,199,832

 

International wholesale

 

 

2,054,770

 

 

 

1,729,906

 

 

 

1,391,235

 

Retail

 

 

1,327,683

 

 

 

1,184,967

 

 

 

972,244

 

Total

 

$

4,642,068

 

 

$

4,164,160

 

 

$

3,563,311

 

 

 

 

2018

 

 

2017

 

 

2016

 

Gross profit

 

 

 

 

 

 

 

 

 

 

 

 

Domestic wholesale

 

$

468,340

 

 

$

464,609

 

 

$

454,088

 

International wholesale

 

 

976,739

 

 

 

786,675

 

 

 

616,110

 

Retail

 

 

778,526

 

 

 

687,605

 

 

 

564,398

 

Total

 

$

2,223,605

 

 

$

1,938,889

 

 

$

1,634,596

 

 

 

 

2018

 

 

2017

 

Identifiable assets

 

 

 

 

 

 

 

 

Domestic wholesale

 

$

1,428,463

 

 

$

1,259,119

 

International wholesale

 

 

1,423,048

 

 

 

1,116,928

 

Retail

 

 

376,744

 

 

 

359,035

 

Total

 

$

3,228,255

 

 

$

2,735,082

 

 

 

 

2018

 

 

2017

 

 

2016

 

Additions to property, plant and equipment

 

 

 

 

 

 

 

 

 

 

 

 

Domestic wholesale

 

$

29,717

 

 

$

20,055

 

 

$

33,677

 

International wholesale

 

 

63,316

 

 

 

47,410

 

 

 

44,286

 

Retail

 

 

50,003

 

 

 

68,511

 

 

 

41,508

 

Total

 

$

143,036

 

 

$

135,976

 

 

$

119,471

 

 

Geographic Information

The following summarizes the Company’s operations in different geographic areas as of and for the years ended December 31:

 

 

 

2018

 

 

2017

 

 

2016

 

Net Sales (1)

 

 

 

 

 

 

 

 

 

 

 

 

United States

 

$

2,128,100

 

 

$

2,055,475

 

 

$

1,920,051

 

Canada

 

 

171,864

 

 

 

160,367

 

 

 

130,555

 

Other international (2)

 

 

2,342,104

 

 

 

1,948,318

 

 

 

1,512,705

 

Total

 

$

4,642,068

 

 

$

4,164,160

 

 

$

3,563,311

 

 

 

 

2018

 

 

2017

 

Property, plant and equipment, net

 

 

 

 

 

 

 

 

United States

 

$

385,584

 

 

$

382,426

 

Canada

 

 

9,081

 

 

 

9,888

 

Other international (2)

 

 

190,792

 

 

 

149,287

 

Total

 

$

585,457

 

 

$

541,601

 

 

(1)

The Company has subsidiaries in Asia, Central America, Europe, the Middle East, North America, and South America that generate net sales within those respective countries and in some cases the neighboring regions. The Company has joint ventures in Asia that generate net sales from those countries. The Company also has a subsidiary in Switzerland that generates net sales from that country in addition to net sales to distributors located in numerous non-European countries. External net sales are attributable to geographic regions based on the location of each of the Company’s subsidiaries. A subsidiary may earn revenue from external net sales and external royalties, or from inter-subsidiary net sales, royalties, fees and commissions provided in accordance with certain inter-subsidiary agreements. The resulting earnings of each subsidiary in its respective country are recognized under each respective country’s tax code. Inter-subsidiary revenues and expenses subsequently are eliminated in the Company’s consolidated financial statements and are not included as part of the external net sales reported in different geographic areas.

(2)

Other international consists of Asia, Central America, Europe, the Middle East, and South America.

In response to the State Department’s trade restrictions with Sudan and Syria, we do not authorize or permit any distribution or sales of our product in these countries, and we are not aware of any current or past distribution or sales of our product in Sudan or Syria.