Susser Holdings CORP

CIK:0001361709|SEC Filings

Earnings Per Share (Notes)

6 Months Ended

Jun. 29, 2014

Basic EPS, which excludes dilution, is computed by dividing income or loss available to common shareholders by the weighted average number of common shares outstanding for the period. Diluted EPS reflects the potential dilution that could occur if securities or other contracts to issue common stock were exercised or converted into common shares. Dilutive EPS includes in-the-money stock options and unvested stock using the treasury stock method. During a net loss period, the assumed exercise of in-the-money stock options and unvested stock has an anti-dilutive effect, and therefore such potential shares, unvested stock and unvested stock units are excluded from the diluted EPS computation.

Per share information is based on the weighted average number of common shares outstanding during each period for the basic computation and, if dilutive, the weighted average number of potential common shares resulting from the assumed conversion of outstanding stock options, unvested stock and unvested stock units for the diluted computation. Additionally, for the diluted earnings per share computation, net earnings (loss) attributable to SUSS is reduced, where applicable, for the decrease in earnings from SUSS' limited partner unit ownership in SUSP that would have resulted assuming the incremental units related to SUSP's equity incentive plans had been issued during the respective periods. Shares not included in the denominator for basic EPS but evaluated for inclusion in the denominator for diluted EPS included options, unvested stock and unvested stock units granted under the 2006 and 2013 Equity Incentive Plans (See Note 13).

A reconciliation of the numerators and denominators of the basic and diluted per share computations is as follows:



	Three Months Ended					Six Months Ended
	June 30, 2013			June 29, 2014		June 30, 2013			June 29, 2014
	(dollars in thousands, except per share amounts)
Basic:
Net income (loss) attributable to Susser Holdings Corporation	$	(4,260	)	$	12,325	$	(4,492	)	$	10,502
Weighted average number of common shares outstanding during the period	21,138,278			21,521,198		21,103,250			21,435,979
Per common share – basic	$	(0.20	)	$	0.57	$	(0.21	)	$	0.49
Diluted:
Net income (loss) attributable to Susser Holdings Corporation (a)	$	(4,272	)	$	12,325	$	(4,499	)	$	10,502
Denominator for diluted earnings per share:
Weighted average number of common shares outstanding during the period	21,138,278			21,521,198		21,103,250			21,435,979
Incremental common shares attributable to outstanding dilutive options and unvested restricted shares/units	—			371,652		—			477,555
Denominator for diluted earnings per common share	21,138,278			21,892,850		21,103,250			21,913,534
Per common share – diluted	$	(0.20	)	$	0.56	$	(0.21	)	$	0.48
Options and unvested restricted shares/units not included in diluted net income attributable to Susser Holdings Corporation common shareholders because the effect would be anti-dilutive	501,307			488		554,700			4,698

(a) Adjusted for dilutive impact of the noncontrolling interest in SUSP of SUSP dilutive units.

Consolidated Statements Of Cash Flows (USD $) In Thousands, unless otherwise specified	6 Months Ended
	Jun. 29, 2014	Jun. 30, 2013
Cash flows from operating activities:
Net income and comprehensive income	$ 20,332	$ 4,450
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation, amortization and accretion	35,379	29,326
Amortization of deferred financing fees/debt discount, net	566	1,318
Loss on disposal of assets and impairment charge	1,871	1,127
Non-cash stock based compensation	6,611	2,818
Deferred income tax	(4,609)	4,980
Loss on early extinguishment of debt	0	26,163
Excess tax benefits from stock-based compensation	(2,801)	(1,684)
Changes in operating assets and liabilities, net of acquisitions:
Accounts receivable	(24,172)	(11,365)
Inventories	(33,340)	(15,548)
Other assets	(287)	(11,974)
Accounts payable	32,979	18,840
Accrued liabilities	4,496	(13,435)
Other noncurrent liabilities	(2,726)	(7,656)
Net cash provided by operating activities	34,299	27,360
Cash flows from investing activities:
Capital expenditures	(112,343)	(98,906)
Purchase of intangibles	(1,455)	(868)
Proceeds from disposal of property and equipment	446	86
Acquisitions, net of cash acquired	(93,915)	0
Redemption of marketable securities	25,952	565,233
Purchase of marketable securities	0	(512,863)
Net cash used in investing activities	(181,315)	(47,318)
Cash flows from financing activities:
Payments on long-term debt	(25,883)	(495,378)
Revolving line of credit, net	184,400	269,280
Loan origination costs	0	(3,395)
Proceeds from issuance of equity, net of issuance costs	810	872
Purchase of shares for treasury	(8)	(390)
Excess tax benefits from stock-based compensation	2,801	1,684
Distributions to noncontrolling unitholders	(10,798)	(9,559)
Net cash provided by (used in) financing activities	151,322	(236,886)
Net increase (decrease) in cash	4,306	(256,844)
Cash and cash equivalents at beginning of year	22,461	286,232
Cash and cash equivalents at end of period	26,767	29,388
Supplemental disclosure of noncash financing activity:
Issuance of stock from treasury	0	(1,137)
Supplemental disclosure of noncash investing activity:
Capital expenditures included in accounts payable and accruals at end of period	$ 3,771	$ 3,495

Consolidated Balance Sheets (USD $) In Thousands, unless otherwise specified	Jun. 29, 2014	Dec. 29, 2013
Assets
Cash and cash equivalents (SUSP: $8,150 and $6,769, respectively)	$ 26,767	$ 22,461
Accounts receivable, net of allowance for doubtful accounts of $480 at December 29, 2013 and $654 at June 29, 2014 (SUSP: $69,005 and $74,212, respectively)	163,437	139,146
Inventories, net (SUSP: $11,122 and $38,971, respectively)	166,739	126,521
Other current assets (SUSP: $66 and $710, respectively)	8,271	7,704
Total current assets	365,214	295,832
Property and equipment, net (SUSP: $180,127 and $239,590, respectively)	897,523	736,860
Other assets:
Marketable securities (SUSP: $25,952 and $0, respectively)	0	25,952
Goodwill (SUSP: $22,823 and $22,823, respectively)	255,273	254,285
Intangible assets, net (SUSP: $22,772 and $24,292, respectively)	44,912	41,984
Other noncurrent assets (SUSP: $188 and $259, respectively)	22,214	19,692
Total assets	1,585,136	1,374,605
Liabilities and shareholders’ equity
Accounts payable (SUSP: $27,810 and $29,520, respectively)	222,739	189,587
Accrued expenses and other current liabilities (SUSP: $11,427 and $12,960, respectively)	69,286	64,571
Current maturities of long-term debt (SUSP: $500 and $499, respectively)	540	535
Total current liabilities	292,565	254,693
Revolving lines of credit (SUSP: $1,410 and $51,574, respectively)	529,860	345,460
Long-term debt (SUSP: $2,500 and $2,500, respectively)	3,986	29,874
Deferred tax liability, long-term portion (SUSP: $222 and $207, respectively)	72,620	77,119
Other noncurrent liabilities (SUSP: $2,159 and $2,192, respectively)	40,847	41,949
Total liabilities	939,878	749,095
Shareholders’ equity:
Common stock, $.01 par value; 125,000,000 shares authorized; 21,634,618 issued and 21,439,944 outstanding at December 29, 2013; 21,702,922 issued and 21,678,700 outstanding as of June 29, 2014	216	214
Additional paid-in capital	292,164	285,376
Treasury stock, common shares, at cost; 194,674 as of December 29, 2013; 24,222 as of June 29, 2014	(1,955)	(5,378)
Retained earnings	145,758	135,255
Total Susser Holdings Corporation shareholders’ equity	436,183	415,467
Noncontrolling interest	209,075	210,043
Total shareholders’ equity	645,258	625,510
Total liabilities and shareholders’ equity	$ 1,585,136	$ 1,374,605