Washington, D.C. 20549

Form 8-K


Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

Date of Report (Date of earliest event Reported): November 30, 2017  

Zumiez Inc
(Exact Name of Registrant as Specified in Charter)

(State or Other Jurisdiction of Incorporation)(Commission File Number)(I.R.S. Employer Identification Number)


4001 204th Street SW, Lynnwood, WA 98036
(Address of Principal Executive Offices) (Zip Code)

(425) 551-1500
(Registrant's telephone number, including area code)

Not Applicable
(Former name or former address, if changed since last report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

 [ ]  Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
 [ ]  Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
 [ ]  Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
 [ ]  Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))


Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (17 CFR §230.405) or Rule 12b-2 of the Securities Exchange Act of 1934 (17 CFR §240.12b-2). Emerging growth company [    ]


If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. [    ]


Item 2.02. Results of Operations and Financial Condition.

On November 30, 2017, Zumiez Inc. issued a press release (the "Press Release") reporting its financial results for the third quarter ended October 28, 2017, a copy of which is attached hereto as Exhibit 99.1 and the contents of which are incorporated herein by this reference.

In accordance with General Instruction B.2. of Form 8-K, the information contained in this report and the Press Release shall not be deemed "Filed" for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, or otherwise subject to the liabilities of that section, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended, except as shall be expressly set forth by specific reference in such a filing.

Item 9.01. Financial Statements and Exhibits.

Exhibit 99.1. Press release dated November 30, 2017


Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

 Zumiez Inc
Date: November 30, 2017By: /s/ Richard M. Brooks        
  Richard M. Brooks
  Chief Executive Officer



Exhibit Number Description
99.1 Press Release dated November 30, 2017



Zumiez Inc. Announces Fiscal 2017 Third Quarter Results

Third Quarter 2017 Sales Increased 11.0% to $245.8 Million
Third Quarter 2017 Diluted Earnings Per Share Improved to $0.48
November 2017 Comparable Sales Increased 7.8%

LYNNWOOD, Wash., Nov. 30, 2017 (GLOBE NEWSWIRE) -- Zumiez Inc. (NASDAQ: ZUMZ) today reported results for the third quarter ended October 28, 2017.

Total net sales for the third quarter ended October 28, 2017 (13 weeks) increased 11.0% to $245.8 million from $221.4 million in the quarter ended October 29, 2016 (13 weeks). Comparable sales for the thirteen weeks ended October 28, 2017 increased 7.9% compared to a comparable sales increase of 4.0% for the thirteen weeks ended October 29, 2016. Net income for the third quarter of fiscal 2017 was $11.9 million, or $0.48 per diluted share, compared to net income of $10.7 million, or $0.43 per diluted share in the third quarter of the prior fiscal year.

Total net sales for the nine months (39 weeks) ended October 28, 2017 increased 8.1% to $619.2 million from $572.6 million reported for the nine months (39 weeks) ended October 29, 2016.  Comparable sales increased 5.1% for the thirty-nine weeks ended October 28, 2017 compared to a comparable sales decrease of 2.5% for the thirty-nine weeks ended October 29, 2016. Net income for the first nine months of fiscal 2017 was $6.9 million, or $0.28 per diluted share, compared to net income for the first nine months of the prior fiscal year of $7.7 million, or $0.31 per diluted share.

At October 28, 2017, the Company had cash and current marketable securities of $85.8 million compared to cash and current marketable securities of $49.2 million at October 29, 2016. The increase in cash and current marketable securities was driven by cash generated through operations, partially offset by capital expenditures. Rick Brooks, Chief Executive Officer of Zumiez Inc., stated, "Our top-line performance continues to improve even in the face of more challenging comparisons.  Third quarter comparable sales increased 7.9% on top of a 4.0% gain in the year ago period and our momentum has carried over into November.  We are confident that our merchandise strategies, integrated sales channels and best in class sales team have Zumiez well positioned to deliver strong holiday results and achieve meaningful earnings growth in the fourth quarter. Looking ahead, our focus remains centered on serving the customer while profitably expanding our global market share and returning increased value to our shareholders over the long-term.”

November 2017 Sales
Total net sales for the four-week period ended November 25, 2017 increased 11.3% to $77.1 million, compared to $69.3 million for the four-week period ended November 26, 2016. The Company's comparable sales increased 7.8% for the four-week period ended November 25, 2017 compared to a comparable sales increase of 5.7% for the four-week period ended November 26, 2016.

Fiscal 2017 Fourth Quarter Outlook
The Company is introducing guidance for the three months ending February 3, 2018. Net sales are projected to be in the range of $291 to $297 million resulting in net income per diluted share of approximately $0.78 to $0.84. This guidance is based upon anticipated comparable sales growth between 3% and 5% for the fourth quarter of fiscal 2017. The Company remains on track to open approximately 19 new stores in fiscal 2017, including up to 3 stores in Canada and 5 stores in Europe and 2 stores in Australia.

A conference call will be held today to discuss third quarter fiscal 2017 results and will be webcast at 5:00 p.m. ET on http://ir.zumiez.com. Participants may also dial (574) 990-9934 followed by the conference identification code of 3798216.

About Zumiez Inc.

Zumiez is a leading specialty retailer of apparel, footwear, accessories and hardgoods for young men and women who want to express their individuality through the fashion, music, art and culture of action sports, streetwear, and other unique lifestyles. As of November 25, 2017 we operated 699 stores, including 608 in the United States, 51 in Canada, 33 in Europe and 7 in Australia. We operate under the names Zumiez, Blue Tomato and Fast Times. Additionally, we operate ecommerce web sites at zumiez.com, blue-tomato.com and fasttimes.com.au

Safe Harbor Statement

Certain statements in this press release and oral statements relating thereto made from time to time by representatives of the Company may constitute forward-looking statements for purposes of the safe harbor provisions under the Private Securities Litigation Reform Act of 1995.  These statements include, without limitation, predictions and guidance relating to the Company's future financial performance, brand and product category diversity, ability to adjust product mix, integration of acquired businesses, growing customer demand for our products and new store openings. In some cases, you can identify forward-looking statements by terminology such as, "may," "should," "expects," "plans," "anticipates," "believes," "estimates," "predicts," "potential," "continue," or the negative of these terms or other comparable terminology.  These forward-looking statements are based on management's current expectations but they involve a number of risks and uncertainties.  Actual results and the timing of events could differ materially from those anticipated in the forward-looking statements as a result of risks and uncertainties, which include, without limitation, those described in the Company’s quarterly report on Form 10-Q for the quarter ended July 29, 2017 as filed with the Securities and Exchange Commission and available at www.sec.gov.  You are urged to consider these factors carefully in evaluating the forward-looking statements herein and are cautioned not to place undue reliance on such forward-looking statements, which are qualified in their entirety by this cautionary statement.  The forward-looking statements speak only as of the date on which they are made and the Company undertakes no obligation to publicly update such forward-looking statements to reflect subsequent events or circumstances.

(In thousands, except per share amounts) 
  Three Months Ended
  October 28, 2017 % of Sales October 29, 2016
 % of Sales
Net sales $245,756  100.0% $221,391  100.0%
Cost of goods sold  162,389  66.1%  145,213  65.6%
Gross profit  83,367  33.9%  76,178  34.4%
Selling, general and administrative expenses  64,559  26.2%  59,265  26.8%
Operating profit  18,808  7.7%  16,913  7.6%
Interest income (expense), net  111  0.0%  (37) 0.0%
Other (expense) income, net  (326) (0.1%)  11  0.0%
Earnings before income taxes  18,593  7.6%  16,887  7.6%
Provision for income taxes  6,671  2.7%  6,192  2.8%
Net income $11,922  4.9% $10,695  4.8%
Basic earnings per share $0.48    $0.44   
Diluted earnings per share $0.48    $0.43   
Weighted average shares used in computation of earnings per share:              
Basic  24,712     24,485   
Diluted  24,804     24,622   

(In thousands, except per share amounts)
  Nine Months Ended
  October 28, 2017 % of Sales October 29, 2016 % of Sales
Net sales $619,156  100.0% $572,634 100.0%
Cost of goods sold  423,944  68.5%  391,653 68.4%
Gross profit  195,212  31.5%  180,981 31.6%
Selling, general and administrative expenses  183,401  29.6%  169,144 29.5%
Operating profit  11,811  1.9%  11,837 2.1%
Interest income, net  284  0.0%  22 0.0%
Other (expense) income, net  (798) (0.1%)  253 0.0%
Earnings before income taxes  11,297  1.8%  12,112 2.1%
Provision for income taxes  4,432  0.7%  4,392 0.8%
Net income $6,865  1.1% $7,720 1.3%
Basic earnings per share $0.28    $0.31  
Diluted earnings per share $0.28    $0.31  
Weighted average shares used in computation of earnings per share:             
Basic  24,660     24,798  
Diluted  24,845     24,982  

(In thousands)
  October 28, 2017 January 28, 2017 October 29, 2016
Current assets      
Cash and cash equivalents $10,660  $20,247  $18,001 
Marketable securities  75,109   58,579   31,169 
Receivables  15,761   12,538   14,265 
Inventories  156,986   106,924   150,623 
Prepaid expenses and other current assets  14,372   13,075   14,199 
Total current assets  272,888   211,363   228,257 
Fixed assets, net  130,898   129,651   135,325 
Goodwill  59,544   56,001   56,920 
Intangible assets, net  15,645   14,610   14,900 
Deferred tax assets, net  9,842   7,041   9,533 
Other long-term assets  7,452   8,017   8,093 
Total long-term assets  223,381   215,320   224,771 
Total assets $496,269  $426,683  $453,028 
Liabilities and Shareholders’ Equity            
Current liabilities            
Trade accounts payable $61,676  $25,529  $58,088 
Accrued payroll and payroll taxes  15,782   14,914   12,000 
Income taxes payable  5,454   1,866   4,310 
Deferred rent and tenant allowances  8,468   8,344   8,276 
Short-term borrowings  11,391      11,787 
Other liabilities  22,065   22,944   21,582 
Total current liabilities  124,836   73,597   116,043 
Long-term deferred rent and tenant allowances  39,869   41,066   42,715 
Other long-term liabilities  4,981   4,969   4,839 
Total long-term liabilities  44,850   46,035   47,554 
Total liabilities  169,686   119,632   163,597 
Shareholders’ equity            
Preferred stock, no par value, 20,000 shares authorized; none issued and outstanding         
Common stock, no par value, 50,000 shares authorized; 25,252 shares issued and outstanding at October 28, 2017, 24,945 shares issued and outstanding at January 28, 2017, and 24,899 shares issued and outstanding at October 29, 2016  145,230   140,984   139,758 
Accumulated other comprehensive loss  (8,067)  (16,488)  (14,698)
Retained earnings  189,420   182,555   164,371 
Total shareholders’ equity  326,583   307,051   289,431 
Total liabilities and shareholders’ equity $496,269  $426,683  $453,028 

(In thousands)
  Nine Months Ended
  October 28, 2017 October 29, 2016
Cash flows from operating activities:    
Net income $6,865  $7,720 
Adjustments to reconcile net income to net cash provided by operating activities:        
Depreciation, amortization and accretion  20,338   21,178 
Deferred taxes  (2,625)  (4,983)
Stock-based compensation expense  3,720   3,399 
Other  1,189   221 
Changes in operating assets and liabilities:        
Receivables  (2,449)  (1,361)
Inventories  (48,491)  (51,047)
Prepaid expenses and other current assets  (578)  (3,183)
Trade accounts payable  35,693   35,873 
Accrued payroll and payroll taxes  699   (631)
Income taxes payable  2,856   (708)
Deferred rent and tenant allowances  (1,240)  (1,035)
Other liabilities  (2,108)  (1,459)
Net cash provided by operating activities  13,869   3,984 
Cash flows from investing activities:        
Additions to fixed assets  (19,072)  (16,829)
Acquisition, net of cash acquired     (5,395)
Purchases of marketable securities and other investments  (80,198)  (48,232)
Sales and maturities of marketable securities and other investments  63,365   49,986 
Net cash used in investing activities  (35,905)  (20,470)
Cash flows from financing activities:        
Proceeds from revolving credit facilities  19,412   17,849 
Payments on revolving credit facilities  (7,841)  (5,813)
Repurchase of common stock     (21,607)
Proceeds from issuance and exercise of stock-based awards  697   851 
Payments for tax withholdings on equity awards  (171)  (95)
Net cash provided by (used in) financing activities  12,097   (8,815)
Effect of exchange rate changes on cash and cash equivalents  352   139 
Net decrease in cash and cash equivalents  (9,587)  (25,162)
Cash and cash equivalents, beginning of period  20,247   43,163 
Cash and cash equivalents, end of period $10,660  $18,001 
Supplemental disclosure on cash flow information:        
Cash paid during the period for income taxes $4,434  $10,042 
Accrual for purchases of fixed assets  2,190   2,236 


Company Contact:
Darin White
Director of Finance &
Investor Relations
Zumiez Inc.
(425) 551-1500, ext. 1337

Investor Contact:
Brendon Frey
(203) 682-8200