Form 8-K
0001318008 False 0001318008 2022-09-08 2022-09-08 iso4217:USD xbrli:shares iso4217:USD xbrli:shares



Washington, D.C. 20549





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

Date of Report (Date of earliest event reported):  September 8, 2022


Zumiez Inc.

(Exact name of registrant as specified in its charter)


(State or Other Jurisdiction of Incorporation)(Commission File Number)(I.R.S. Employer Identification No.)

4001 204th Street SW

Lynnwood, Washington 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))

Securities registered pursuant to Section 12(b) of the Act:

Title of each classTrading Symbol(s)Name of each exchange on which registered
Common StockZUMZNasdaq Global Select

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

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 September 8, 2022, Zumiez Inc. issued a press release (the "Press Release") reporting its financial results for the second quarter ended July 30, 2022, 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.
99.1     Press Release dated September 8, 2022
104 Cover Page Interactive Data File (embedded within the Inline XBRL document)


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: September 8, 2022By: /s/ Richard M. Brooks        
  Richard M. Brooks
  Chief Executive Officer




Zumiez Inc. Announces Fiscal 2022 Second Quarter Results

LYNNWOOD, Wash., Sept. 08, 2022 (GLOBE NEWSWIRE) -- Zumiez Inc. (NASDAQ: ZUMZ) a leading specialty retailer of apparel, footwear, equipment and accessories for young men and women, today reported results for the second quarter ended July 30, 2022.

Net sales for the second quarter ended July 30, 2022 (13 weeks) decreased 18.1% to $220.0 million from $268.7 million in the second quarter ended July 31, 2021 (13 weeks). Compared to the second quarter ended August 3, 2019 (13 weeks), second quarter 2022 net sales decreased 3.7%. Net income in the second quarter of fiscal 2022 was $3.1 million, or $0.16 per diluted share, compared to net income of $24.0 million, or $0.94 per diluted share, in the second quarter of the prior fiscal year. Net income for the second quarter of 2019 was $9.0 million, or $0.36 per diluted share.

Total net sales for the six months (26 weeks) ended July 30, 2022 decreased 19.5% to $440.7 million from $547.7 million reported for the six months (26 weeks) ended July 31, 2021. Compared to the first six months (26 weeks) ended August 3, 2019, net sales decreased 0.2%. Net income for the first six months of 2022 was $2.7 million, or $0.14 per diluted share, compared to net income for the first six months of fiscal 2021 of $50.4 million, or $1.96 per diluted share, and compared to net income for the first six months of fiscal 2019 of $9.8 million, or $0.39 per diluted share.

At July 30, 2022, the Company had cash and current marketable securities of $166.2 million compared to cash and current marketable securities of $412.0 million at July 31, 2021. The decrease was driven by share repurchases and capital expenditures partially offset by cash generated through operations.

Rick Brooks, Chief Executive Officer of Zumiez Inc., stated, “As the second quarter progressed, we experienced continued pressure on our U.S. business as macroeconomic headwinds, led by inflation weighed on consumer discretionary spending. Our full-price selling model has fueled long cycles of sustained growth and increased profitability during Zumiez’s 44 year history with outsized gains during periods of high disposable income levels such as last year’s stimulus driven demand environment. We are disappointed that our recent performance fell short of expectations and we are making adjustments to our merchandise assortments and managing expenses in order to improve near-term results. While comparisons do begin to moderate in the back half of the year, based on recent trends we believe it is prudent to adopt a more cautious view on the remainder of 2022. We are currently planning our business and inventory levels accordingly while also focusing on what is important for the customer. Longer-term, we remain optimistic that our differentiated strategies and strong balance sheet have the Company well positioned to add to our global market share and return increased value to our shareholders.

Third Quarter To-Date
Total third quarter-to-date sales for the 37 days ending September 5, 2022 decreased 18.1%, compared with the same 37-day time period in the prior year ended September 6, 2021. Compared to the 37-day period ended September 9, 2019, total net sales decreased 12.6%. Total comparable sales for the 37-day period ending September 5, 2022 were down 19.7% from the comparable period in the prior year, and decreased 15.3% from the comparable period in 2019.

Fiscal 2022 Third Quarter Outlook
The Company is introducing guidance for the three months ending October 29, 2022. Net sales are projected to be in the range of $220 to $228 million. Consolidated operating margins are expected to between 0.5% and 2.5% resulting in earnings per diluted share of approximately $0.03 to $0.18. The Company currently intends to open approximately 35 new stores in fiscal 2022, including up to 16 stores in North America, 14 stores in Europe and 5 stores in Australia.

Conference call Information
To access the conference call, please pre-register using this link (registration link). Registrants will receive confirmation with dial-in details. The conference call will also be available to interested parties through a live webcast at To avoid delays, we encourage participants to dial into the conference call fifteen minutes ahead of the scheduled start time. A replay of the webcast will also be available for a limited time at

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 August 27, 2022, we operated 753 stores, including 612 in the United States, 52 in Canada, 70 in Europe and 19 in Australia. We operate under the names Zumiez, Blue Tomato and Fast Times. Additionally, we operate ecommerce web sites at,, and

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 annual report on Form 10-K for the fiscal year ended January 29, 2022 as filed with the Securities and Exchange Commission and available at 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 
  July 30, 2022 % of Sales  July 31, 2021 % of Sales 
Net sales $219,993 100.0% $268,666  100.0% 
Cost of goods sold  144,929 65.9%  163,701  60.9% 
Gross profit  75,064 34.1%  104,965  39.1% 
Selling, general and administrative expenses  70,109 31.8%  73,011  27.2% 
Operating profit  4,955 2.3%  31,954  11.9% 
Interest income, net  358 0.1%  965  0.4% 
Other income (expense), net  233 0.1%  (151) -0.1% 
Earnings before income taxes  5,546 2.5%  32,768  12.2% 
Provision for income taxes  2,479 1.1%  8,770  3.3% 
Net income $3,067 1.4% $23,998  8.9% 
Basic earnings per share $0.16   $0.95    
Diluted earnings per share $0.16   $0.94    
Weighted average shares used in computation of earnings per share:         
Basic  19,084    25,274    
Diluted  19,262    25,651    
  Six Months Ended 
  July 30, 2022 % of Sales  July 31, 2021 % of Sales 
Net sales $440,679 100.0% $547,735  100.0% 
Cost of goods sold  293,242 66.5%  339,602  62.0% 
Gross profit  147,437 33.5%  208,133  38.0% 
Selling, general and administrative expenses  141,985 32.3%  141,900  25.9% 
Operating profit  5,452 1.2%  66,233  12.1% 
Interest income, net  850 0.2%  1,940  0.4% 
Other income, net  405 0.1%  103  0.0% 
Earnings before income taxes  6,707 1.5%  68,276  12.5% 
Provision for income taxes  4,037 0.9%  17,893  3.3% 
Net income $2,670 0.6% $50,383  9.2% 
Basic earnings per share $0.14   $2.00    
Diluted earnings per share $0.14   $1.96    
Weighted average shares used in computation of earnings per share:           
Basic  19,308    25,221    
Diluted  19,592    25,675    

(In thousands)

  July 30, 2022 January 29, 2022 July 31, 2021 
  (Unaudited)   (Unaudited) 
Current assets       
Cash and cash equivalents $59,144  $117,223  $74,207  
Marketable securities  107,036   177,260   337,772  
Receivables  24,201   14,427   24,834  
Inventories  151,071   128,728   149,368  
Prepaid expenses and other current assets  14,053   10,011   11,656  
Total current assets  355,505   447,649   597,837  
Fixed assets, net  91,196   91,451   92,921  
Operating lease right-of-use assets  228,243   230,187   246,592  
Goodwill  54,017   57,560   60,440  
Intangible assets, net  13,679   14,698   15,629  
Deferred tax assets, net  6,546   8,659   5,879  
Other long-term assets  11,425   11,808   11,444  
Total long-term assets  405,106   414,363   432,905  
Total assets $760,611  $862,012  $1,030,742  
Liabilities and Shareholders’ Equity       
Current liabilities       
Trade accounts payable $72,915  $55,638  $80,174  
Accrued payroll and payroll taxes  16,970   31,209   23,371  
Operating lease liabilities  67,411   63,577   65,844  
Other liabilities  23,951   34,015   35,764  
Total current liabilities  181,247   184,439   205,153  
Long-term operating lease liabilities  196,073   204,309   223,043  
Other long-term liabilities  4,995   4,946   8,250  
Total long-term liabilities  201,068   209,255   231,293  
Total liabilities  382,315   393,694   436,446  
Shareholders’ equity       
Preferred stock, no par value, 20,000 shares authorized; none issued and outstanding          
Common stock, no par value, 50,000 shares authorized; 19,474 shares issued and outstanding at July 30, 2022, 21,215 shares issued and outstanding at January 29, 2022, and 25,559 shares issued and outstanding at July 31, 2021  184,619   180,824   176,951  
Accumulated other comprehensive loss  (26,662)  (13,463)  (2,144) 
Retained earnings  220,339   300,957   419,489  
Total shareholders’ equity  378,296   468,318   594,296  
Total liabilities and shareholders’ equity $760,611  $862,012  $1,030,742  

(In thousands)

  Six Months Ended 
  July 30, 2022 July 31, 2021 
Cash flows from operating activities:     
Net income $2,670  $50,383  
Adjustments to reconcile net income to net cash (used in) provided by operating activities:     
Depreciation, amortization and accretion  10,598   11,639  
Noncash lease expense  33,040   32,044  
Deferred taxes  3,035   4,260  
Stock-based compensation expense  3,513   3,431  
Impairment of long-lived assets  65   2,079  
Other  (115)  1,064  
Changes in operating assets and liabilities:     
Receivables  (5,496)  (5,353) 
Inventories  (24,671)  (15,408) 
Prepaid expenses and other assets  (3,946)  (4,173) 
Trade accounts payable  17,084   10,178  
Accrued payroll and payroll taxes  (13,958)  (4,462) 
Income taxes payable  (4,128)  (304) 
Operating lease liabilities  (37,239)  (40,413) 
Other liabilities  (4,611)  7,165  
Net cash (used in) provided by operating activities  (24,159)  52,130  
Cash flows from investing activities:     
Additions to fixed assets  (10,253)  (5,418) 
Purchases of marketable securities and other investments  (1,914)  (112,888) 
Sales and maturities of marketable securities and other investments  67,890   75,234  
Net cash provided by (used in) investing activities  55,723   (43,072) 
Cash flows from financing activities:     
Proceeds from revolving credit facilities  2,430     
Payments on revolving credit facilities  (2,430)    
Proceeds from issuance and exercise of stock-based awards  781   2,452  
Payments for tax withholdings on equity awards  (499)  (560) 
Common stock repurchased  (87,860)  (10,481) 
Net cash used in financing activities  (87,578)  (8,589) 
Effect of exchange rate changes on cash, cash equivalents, and restricted cash  (2,367)  139  
Net (decrease) increase in cash, cash equivalents, and restricted cash  (58,381)  608  
Cash, cash equivalents, and restricted cash, beginning of period  124,052   80,690  
Cash, cash equivalents, and restricted cash, end of period $65,671  $81,298  
Supplemental disclosure on cash flow information:     
Cash paid during the period for income taxes $5,027  $13,542  
Accrual for purchases of fixed assets  2,466   686  
Accrual for repurchase of common stock  -   442  

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

Investor Contact:
Brendon Frey
(203) 682-8200