Apex Global Brands Inc.

CIK:0000844161|SEC Filings

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	Oct. 31, 2020	Nov. 02, 2019	Oct. 31, 2020	Nov. 02, 2019
Income Statement [Abstract]
Revenues	$ 4,050	$ 4,894	$ 12,463	$ 15,549
Operating expenses:
Selling, general and administrative expenses	2,291	3,193	7,288	10,117
Stock-based compensation	110	153	405	876
Transaction and other costs	654	73	654	284
Restructuring charges		138	(97)	180
Intangible assets and goodwill impairment charges	4,607	5,000	14,407	5,000
Depreciation and amortization	223	232	668	743
Total operating expenses	7,885	8,789	23,325	17,200
Operating loss	(3,835)	(3,895)	(10,862)	(1,651)
Other (expense) income:
Interest expense	(2,895)	(2,182)	(7,507)	(6,678)
Other (expense) income, net	(27)	(59)	(175)	2
Total other expense, net	(2,922)	(2,241)	(7,682)	(6,676)
Loss before income taxes	(6,757)	(6,136)	(18,544)	(8,327)
(Benefit) provision for income taxes	(788)	692	(9,393)	2,026
Net loss	$ (5,969)	$ (6,828)	$ (9,151)	$ (10,353)
Net loss per share:
Basic loss per share	$ (10.58)	$ (12.35)	$ (16.34)	$ (19.32)
Diluted loss per share	$ (10.58)	$ (12.35)	$ (16.34)	$ (19.32)
Weighted average common shares outstanding:
Basic	564	553	560	536
Diluted	564	553	560	536

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	9 Months Ended
	Oct. 31, 2020	Nov. 02, 2019
Cash flows from operating activities:
Net loss	$ (9,151)	$ (10,353)
Adjustments to reconcile net loss to cash from operating activities:
Depreciation and amortization	668	743
Restructuring charges	(97)	180
Intangible assets and goodwill impairment charge	14,407	5,000
Amortization of deferred financing costs	2,641	1,755
Interest expense paid in kind	3,296
Deferred income taxes and other noncurrent provisions	(1,172)	1,163
Stock-based compensation and stock warrant charges	501	958
Changes in operating assets and liabilities:
Accounts receivable	1,035	(989)
Income tax and other receivables	(8,719)	49
Prepaid expenses and other current assets	100	207
Accrued revenue and other assets	74	(569)
Accounts payable and other liabilities	44	(2,640)
Long- term lease liabilities	(230)
Deferred revenue	(2,288)	2,243
Net cash provided by (used in) operating activities	1,109	(2,253)
Cash flows from investing activities:
Capital investments	(133)	(195)
Net cash used in investing activities	(133)	(195)
Cash flows from financing activities:
Proceeds from promissory note payable	735
Payments on term loan	(700)	(950)
Debt issuance costs	(588)	(39)
Issuance of common stock	(3)	601
Net cash used in financing activities	(556)	(388)
Increase (decrease) in cash and cash equivalents	420	(2,836)
Cash and cash equivalents, beginning of period	1,209	4,284
Cash and cash equivalents, end of period	1,629	1,448
Cash paid for:
Income taxes	738	790
Interest	1,863	$ 4,923
Noncash investing and financing activities:
Interest paid in kind	$ 3,296

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Oct. 31, 2020	Feb. 01, 2020
Current assets:
Cash and cash equivalents	$ 1,629	$ 1,209
Accounts receivable, net	3,927	4,962
Income tax and other receivables	8,876	157
Prepaid expenses and other current assets	1,331	1,431
Total current assets	15,763	7,759
Property and equipment, net	240	319
Intangible assets, net	49,647	59,110
Goodwill	6,752	12,152
Accrued revenue and other assets	3,508	3,582
Total assets	75,910	82,922
Current liabilities:
Accounts payable and other current liabilities	6,145	6,282
Current portion of long-term debt	60,938	56,044
Deferred revenue—current	1,263	3,551
Total current liabilities	68,346	65,877
Long-term liabilities:
Long-term debt	490
Deferred income taxes	8,379	9,515
Long-term lease liabilities	1,159	1,389
Other liabilities	842	794
Total liabilities	79,216	77,575
Commitments and contingencies (Note 7)
Stockholders’ (deficit) equity:
Preferred stock, $.02 par value, 1,000,000 shares authorized, none issued
Common stock, $.02 par value, 25,000,000 shares authorized, shares issued 569,130 (October 31, 2020) and 557,053 (February 1, 2020)	11	11
Additional paid-in capital	79,139	78,641
Accumulated deficit	(82,456)	(73,305)
Total stockholders’ (deficit) equity	(3,306)	5,347
Total liabilities and stockholders’ (deficit) equity	$ 75,910	$ 82,922