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Document and Entity Information - shares	6 Months Ended
Document and Entity Information - shares	Aug. 04, 2018	Aug. 20, 2018
Document and Entity Information
Entity Registrant Name	Citi Trends Inc
Entity Central Index Key	0001318484
Document Type	10-Q
Document Period End Date	Aug. 04, 2018
Amendment Flag	false
Current Fiscal Year End Date	--02-02
Entity Current Reporting Status	Yes
Entity Filer Category	Accelerated Filer
Entity Common Stock, Shares Outstanding		12,975,307
Document Fiscal Year Focus	2018
Document Fiscal Period Focus	Q2

Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Aug. 04, 2018	Feb. 03, 2018
Current assets:
Cash and cash equivalents	$ 40,992	$ 48,451
Short-term investment securities	36,009	31,500
Inventory	138,801	137,701
Prepaid and other current assets	17,701	15,694
Total current assets	233,503	233,346
Property and equipment, net of accumulated depreciation of $237,914 and $229,699 as of August 4, 2018 and February 3, 2018, respectively	57,154	61,777
Long-term investment securities	13,020	25,451
Deferred tax asset	6,385	5,777
Other assets	720	720
Total assets	310,782	327,071
Current liabilities:
Accounts payable	72,096	75,947
Accrued expenses	14,537	13,762
Accrued compensation	12,821	17,013
Income tax payable	299	1,916
Layaway deposits	1,706	532
Total current liabilities	101,459	109,170
Other long-term liabilities	8,338	8,433
Total liabilities	109,797	117,603
Stockholders' equity:
Common stock, $0.01 par value. Authorized 32,000,000 shares; 15,829,380 shares issued as of August 4, 2018 and 15,777,946 shares issued as of February 3, 2018; 13,064,398 shares outstanding as of August 4, 2018 and 13,743,776 shares outstanding as of February 3, 2018	157	156
Paid in capital	90,729	90,605
Retained earnings	171,293	158,927
Treasury stock, at cost; 2,764,982 shares held as of August 4, 2018 and 2,034,170 shares held as of February 3, 2018	(61,194)	(40,220)
Total stockholders' equity	200,985	209,468
Commitments and contingencies (note 10)
Total liabilities and stockholders' equity	$ 310,782	$ 327,071

Condensed Consolidated Balance Sheets (Parenthetical) - USD ($)	Aug. 04, 2018	Feb. 03, 2018
Condensed Consolidated Balance Sheets
Accumulated depreciation	$ 237,914	$ 229,699
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01
Common stock, authorized shares	32,000,000	32,000,000
Common stock, shares issued	15,829,380	15,777,946
Common stock, shares outstanding	13,064,398	13,743,776
Treasury stock, shares	2,764,982	2,034,170

Condensed Consolidated Statements of Income - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Aug. 04, 2018	Jul. 29, 2017	Aug. 04, 2018	Jul. 29, 2017
Condensed Consolidated Statements of Income
Net sales	$ 181,999	$ 166,200	$ 393,031	$ 366,155
Cost of sales (exclusive of depreciation shown separately below)	(110,398)	(102,175)	(239,811)	(224,565)
Selling, general and administrative expenses	(62,285)	(59,834)	(125,290)	(120,321)
Depreciation	(4,676)	(4,589)	(9,650)	(8,887)
Asset impairment	(942)	(77)	(942)	(77)
Income from operations	3,698	(475)	17,338	12,305
Interest income	363	215	658	401
Interest expense	(38)	(37)	(75)	(74)
Income before income taxes	4,023	(297)	17,921	12,632
Income tax expense	(788)	87	(3,389)	(3,952)
Net income	$ 3,235	$ (210)	$ 14,532	$ 8,680
Basic net income per common share	$ 0.24	$ (0.01)	$ 1.08	$ 0.60
Diluted net income per common share	$ 0.24	$ (0.01)	$ 1.08	$ 0.59
Weighted average number of shares outstanding
Basic	13,314,470	14,381,738	13,446,285	14,550,435
Diluted	13,351,321	14,381,738	13,491,294	14,598,425
Cash dividends declared per share	$ 0.08	$ 0.08	$ 0.16	$ 0.14

Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands	6 Months Ended
	Aug. 04, 2018	Jul. 29, 2017
Operating activities:
Net income	$ 14,532	$ 8,680
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation	9,650	8,887
Asset impairment	942	77
Loss on disposal of property and equipment	50
Deferred income taxes	(608)	1,741
Insurance proceeds related to operating activities	475	1,187
Noncash stock-based compensation expense	1,130	752
Changes in assets and liabilities:
Inventory	(1,290)	1,764
Prepaid and other current assets	(2,292)	(1,375)
Other assets		5
Accounts payable	(3,899)	(8,255)
Accrued expenses and other long-term liabilities	229	783
Accrued compensation	(4,192)	747
Income tax payable/receivable	(1,617)	(315)
Layaway deposits	1,174	1,332
Net cash provided by operating activities	14,284	16,010
Investing activities:
Sales/redemptions of investment securities	24,139	25,611
Purchases of investment securities	(16,217)	(20,311)
Purchases of property and equipment	(5,715)	(12,900)
Insurance proceeds related to investing activities	195	443
Net cash provided by (used in) investing activities	2,402	(7,157)
Financing activities:
Cash used to settle withholding taxes on the vesting of nonvested restricted stock	(1,005)	(894)
Dividends paid to stockholders	(2,166)	(2,062)
Repurchase of common stock	(20,974)	(24,955)
Net cash used in financing activities	(24,145)	(27,911)
Net decrease in cash and cash equivalents	(7,459)	(19,058)
Cash and cash equivalents:
Beginning of period	48,451	49,253
End of period	40,992	30,195
Supplemental disclosures of cash flow information:
Cash paid for interest	63	63
Cash payments of income taxes	5,614	2,526
Supplemental disclosures of noncash investing activities:
Accrual for purchases of property and equipment	$ 499	$ 1,022

Basis of Presentation	6 Months Ended
Basis of Presentation	Aug. 04, 2018
Basis of Presentation
Basis of Presentation	1. Basis of Presentation Citi Trends, Inc. and its subsidiary (the “Company”) operate as a value-priced retailer of urban fashion apparel and accessories for the entire family. As of August 4, 2018, the Company operated 554 stores in 31 states. The condensed consolidated balance sheet as of August 4, 2018, the condensed consolidated statements of operations for the twenty-six and thirteen week periods ended August 4, 2018 and July 29, 2017, and the condensed consolidated statements of cash flows for the twenty-six week periods ended August 4, 2018 and July 29, 2017 have been prepared by the Company without audit. The condensed consolidated balance sheet as of February 3, 2018 has been derived from the audited financial statements as of that date, but does not include all required year-end disclosures. In the opinion of management, such statements include all adjustments considered necessary to present fairly the Company’s financial position as of August 4, 2018 and February 3, 2018, and its results of operations and cash flows for all periods presented. These condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and the notes thereto included in the Company’s latest Annual Report on Form 10-K for the year ended February 3, 2018. The accompanying unaudited condensed consolidated financial statements are prepared in accordance with U.S. generally accepted accounting principles (“U.S. GAAP”) for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all information and footnotes required by U.S. GAAP for complete financial statements. Operating results for the twenty-six weeks ended August 4, 2018 are not necessarily indicative of the results that may be expected for the fiscal year ending February 2, 2019. The following contains references to fiscal years 2018 and 2017, which represent fiscal years ending or ended on February 2, 2019 and February 3, 2018, respectively. Fiscal 2018 has a 52-week accounting period and fiscal 2017 had a 53-week accounting period.

Use of Estimates	6 Months Ended
Use of Estimates	Aug. 04, 2018
Use of Estimates
Use of Estimates	2. Use of Estimates The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and use assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. The most significant estimates made by management include those used in the valuation of inventory, property and equipment, self-insurance liabilities, leases and income taxes. Management periodically evaluates estimates used in the preparation of the consolidated financial statements for continued reasonableness. Appropriate adjustments, if any, to the estimates used are made prospectively based on such periodic evaluations.

Cash and Cash Equivalents/Concentration of Credit Risk	6 Months Ended
Cash and Cash Equivalents/Concentration of Credit Risk	Aug. 04, 2018
Cash and Cash Equivalents/Concentration of Credit Risk
Cash and Cash Equivalents/Concentration of Credit Risk	3. Cash and Cash Equivalents/Concentration of Credit Risk For purposes of the condensed consolidated balance sheets and condensed consolidated statements of cash flows, the Company considers all highly liquid investments with maturities at date of purchase of three months or less to be cash equivalents. Financial instruments that potentially subject the Company to a concentration of credit risk consist principally of cash and cash equivalents. The Company places its cash and cash equivalents in what it believes to be high credit quality banks and institutional money market funds. The Company maintains cash accounts that exceed federally insured limits.

Earnings per Share

6 Months Ended

Aug. 04, 2018

Earnings per Share

Earnings per Share

4. Earnings per Share

Basic earnings per common share amounts are calculated using the weighted average number of common shares outstanding for the period. Diluted earnings per common share amounts are calculated using the weighted average number of common shares outstanding plus the additional dilution for all potentially dilutive securities, such as nonvested restricted stock. During loss periods, diluted loss per share amounts are based on the weighted average number of common shares outstanding, because the inclusion of common stock equivalents would be antidilutive.

The dilutive effect of stock-based compensation arrangements is accounted for using the treasury stock method. The Company includes as assumed proceeds the amount of compensation cost attributed to future services and not yet recognized. For the twenty-six weeks ended August 4, 2018 and July 29, 2017, there were 118,000 and 144,000 shares of nonvested restricted stock, respectively, excluded from the calculation of diluted earnings per share because of antidilution. For the thirteen weeks ended August 4, 2018 and July 29, 2017, there were 127,000 and 178,000 shares of nonvested restricted stock, respectively, excluded from the calculation of diluted earnings per share because of antidilution.

The following table provides a reconciliation of the average number of common shares outstanding used to calculate basic earnings per share to the number of common shares and common stock equivalents outstanding used in calculating diluted earnings per share for the twenty-six and thirteen week periods ended August 4, 2018 and July 29, 2017:


	Twenty-Six Weeks Ended
	August 4, 2018	July 29, 2017
Average number of common shares outstanding	13,446,285	14,550,435
Incremental shares from assumed vesting of nonvested restricted stock	45,009	47,990
Average number of common shares and common stock equivalents outstanding	13,491,294	14,598,425


	Thirteen Weeks Ended
	August 4, 2018	July 29, 2017
Average number of common shares outstanding	13,314,470	14,381,738
Incremental shares from assumed vesting of nonvested restricted stock	36,851	—
Average number of common shares and common stock equivalents outstanding	13,351,321	14,381,738

Fair Value Measurement

6 Months Ended

Aug. 04, 2018

Fair Value Measurement

Fair Value Measurement

5. Fair Value Measurement

Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants in the principal or most advantageous market at the measurement date. Fair value is established according to a hierarchy that prioritizes observable and unobservable inputs used to measure fair value into three broad levels, which are described below:

Level 1: Unadjusted quoted prices in active markets that are accessible at the measurement date for assets or liabilities. The fair value hierarchy gives the highest priority to Level 1 inputs.

Level 2: Observable prices that are based on inputs not quoted on active markets, but corroborated by market data.

Level 3: Unobservable inputs are used when little or no market data is available. Level 3 inputs are given the lowest priority in the fair value hierarchy.

As of August 4, 2018, the Company’s investment securities are classified as held-to-maturity since the Company has the intent and ability to hold the investments to maturity. Such securities are carried at amortized cost plus accrued interest and consist of the following (in thousands):


			Gross		Gross
	Amortized		Unrealized		Unrealized		Fair Market
	Cost		Gains		Losses		Value
Short-term:
Obligations of the U.S. Treasury and U.S. government agencies (Level 1)	$	20,263	$	-	$	(107)	$	20,156
Obligations of states and municipalities (Level 2)		3,631		1		-		3,632
Bank certificates of deposit (Level 2)		12,115		-		-		12,115
	$	36,009	$	1	$	(107)	$	35,903
Long-term:
Obligations of the U. S. Treasury (Level 1)	$	4,935	$	-	$	(28)	$	4,907
Bank certificates of deposit (Level 2)		8,085		-		-		8,085
	$	13,020	$	-	$	(28)	$	12,992

The amortized cost and fair market value of investment securities as of August 4, 2018 by contractual maturity are as follows (in thousands):


			Fair
	Amortized		Market
	Cost		Value
Mature in one year or less	$	36,009	$	35,903
Mature after one year through five years		13,020		12,992
	$	49,029	$	48,895

As of February 3, 2018, the Company’s investment securities were classified as held-to-maturity and consisted of the following (in thousands):


			Gross		Gross
	Amortized		Unrealized		Unrealized		Fair Market
	Cost		Gains		Losses		Value
Short-term:
Obligations of the U. S. Treasury (Level 1)	$	10,162	$	-	$	(25)	$	10,137
Obligations of states and municipalities (Level 2)		8,111		1		(2)		8,110
Bank certificates of deposit (Level 2)		13,227		-		-		13,227
	$	31,500	$	1	$	(27)	$	31,474
Long-term:
Obligations of the U. S. Treasury (Level 1)	$	9,967	$	-	$	(116)	$	9,851
Bank certificates of deposit (Level 2)		15,484		-		-		15,484
	$	25,451	$	-	$	(116)	$	25,335

The amortized cost and fair market value of investment securities as of February 3, 2018 by contractual maturity were as follows (in thousands):


			Fair
	Amortized		Market
	Cost		Value
Mature in one year or less	$	31,500	$	31,474
Mature after one year through five years		25,451		25,335
	$	56,951	$	56,809

There were no changes among the levels in the twenty-six weeks ended August 4, 2018.

Fair market values of Level 2 investments are determined by management with the assistance of a third party pricing service. Because quoted prices in active markets for identical assets are not available, these prices are determined by the third party pricing service using observable market information such as quotes from less active markets and quoted prices of similar securities.

- Definition

The entire disclosure for the fair value of financial instruments (as defined), including financial assets and financial liabilities (collectively, as defined), and the measurements of those instruments as well as disclosures related to the fair value of non-financial assets and liabilities. Such disclosures about the financial instruments, assets, and liabilities would include: (1) the fair value of the required items together with their carrying amounts (as appropriate); (2) for items for which it is not practicable to estimate fair value, disclosure would include: (a) information pertinent to estimating fair value (including, carrying amount, effective interest rate, and maturity, and (b) the reasons why it is not practicable to estimate fair value; (3) significant concentrations of credit risk including: (a) information about the activity, region, or economic characteristics identifying a concentration, (b) the maximum amount of loss the entity is exposed to based on the gross fair value of the related item, (c) policy for requiring collateral or other security and information as to accessing such collateral or security, and (d) the nature and brief description of such collateral or security; (4) quantitative information about market risks and how such risks are managed; (5) for items measured on both a recurring and nonrecurring basis information regarding the inputs used to develop the fair value measurement; and (6) for items presented in the financial statement for which fair value measurement is elected: (a) information necessary to understand the reasons for the election, (b) discussion of the effect of fair value changes on earnings, (c) a description of [similar groups] items for which the election is made and the relation thereof to the balance sheet, the aggregate carrying value of items included in the balance sheet that are not eligible for the election; (7) all other required (as defined) and desired information.

+ References + Details

Impairment of Long-Lived Assets	6 Months Ended
Impairment of Long-Lived Assets	Aug. 04, 2018
Impairment of Long-Lived Assets
Impairment of Long-Lived Assets	6. Impairment of Long-Lived Assets If facts and circumstances indicate that a long-lived asset may be impaired, the carrying value is reviewed. If this review indicates that the carrying value of the asset will not be recovered as determined based on projected undiscounted cash flows related to the asset over its remaining life, the carrying value of the asset is reduced to its estimated fair value. Non-cash impairment expense related to leasehold improvements and fixtures and equipment at underperforming stores totaled $0.9 million and $0.1 million in the twenty-six week periods ended August 4, 2018 and July 29, 2017, respectively.

Revolving Line of Credit	6 Months Ended
Revolving Line of Credit	Aug. 04, 2018
Revolving Line of Credit
Revolving Line of Credit	7. Revolving Line of Credit On October 27, 2011, the Company entered into a five-year, $50 million credit facility with Bank of America. The facility was amended on August 18, 2015, extending the maturity date to August 18, 2020. The amended facility provides a $50 million credit commitment and a $25 million uncommitted “accordion” feature that under certain circumstances could allow the Company to increase the size of the facility to $75 million. Borrowings, if any, under the facility will bear interest (a) for LIBOR Rate Loans, at LIBOR plus either 1.25% or 1.5%, or (b) for Base Rate Loans, at a rate equal to the highest of (i) the prime rate plus either 0.25% or 0.5%, (ii) the Federal Funds Rate plus either 0.75% or 1.0%, or (iii) LIBOR plus either 1.25% or 1.5%, based in any such case on the average daily availability for borrowings under the facility. The facility continues to be secured by the Company’s inventory, accounts receivable and related assets, but not its real estate, fixtures and equipment, and it contains one financial covenant, a fixed charge coverage ratio, which is applicable and tested only in certain circumstances. The facility has an unused commitment fee of 0.25% and permits the payment of cash dividends subject to certain limitations, including a requirement that there were no borrowings outstanding in the 30 days prior to the dividend payment and no borrowings are expected in the 30 days subsequent to the payment. The Company has had no borrowings under the credit facility.

Income Taxes	6 Months Ended
Income Taxes	Aug. 04, 2018
Income Taxes
Income Taxes	8. Income Taxes Income taxes are accounted for under the asset and liability method. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases and operating loss and tax credit carryforwards. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. In assessing the realizability of deferred tax assets, management considers whether it is more likely than not that some portion or all of the deferred tax assets will not be realized. ASC 740-270, Income Taxes – Interim Reporting, requires companies to calculate income taxes by applying their estimated full-year tax rate in each interim period unless the estimated full-year tax rate is not reliably predictable. For the twenty-six weeks ended August 4, 2018 and July 29, 2017, the Company utilized this annual effective tax rate method to calculate income taxes. For the twenty-six weeks ended August 4, 2018, the effective income tax rate was 18.9%. This compares with a rate of 31.3% for the twenty-six weeks ended July 29, 2017. The decrease in the effective income tax rate was due primarily to the decrease in the federal income tax rate from 35% to 21% which was the result of the Tax Cuts and Jobs Act that was effective January 1, 2018.

Other Long-Term Liabilities

6 Months Ended

Aug. 04, 2018

Other Long-Term Liabilities

Other Long-Term Liabilities

9. Other Long-Term Liabilities

The components of other long-term liabilities as of August 4, 2018 and February 3, 2018 are as follows (in thousands):


	August 4,		February 3,
	2018		2018
Deferred rent	$	2,227	$	2,148
Tenant improvement allowances		4,199		4,325
Other		1,912		1,960
	$	8,338	$	8,433

Commitments and Contingencies	6 Months Ended
Commitments and Contingencies	Aug. 04, 2018
Commitments and Contingencies
Commitments and Contingencies	10. Commitments and Contingencies The Company from time to time is involved in various legal proceedings incidental to the conduct of its business, including claims by customers, employees or former employees. Once it becomes probable that the Company will incur costs in connection with a legal proceeding and such costs can be reasonably estimated, it establishes appropriate reserves. While legal proceedings are subject to uncertainties and the outcome of any such matter is not predictable, the Company is not aware of any legal proceedings pending or threatened against it that it expects to have a material adverse effect on its financial condition, results of operations or liquidity.

Stock Repurchase Program and Cash Dividends	6 Months Ended
Stock Repurchase Program and Cash Dividends	Aug. 04, 2018
Stock Repurchase Program and Cash Dividends
Stock Repurchase Program and Cash Dividends	11. Stock Repurchase Program and Cash Dividends Repurchases of Common Stock On March 16, 2018, the Company’s Board of Directors approved a program that authorized the purchase of up to $25.0 million in shares of the Company’s common stock. During the twenty-six weeks ended August 4, 2018, the Company repurchased 730,812 shares of its common stock at an aggregate cost of $21.0 million. At August 4, 2018, $4.0 million remained available for purchase under this program. Dividends On February 13, 2018, the Company’s Board of Directors declared a dividend of $0.08 per common share, which was paid on March 20, 2018 to stockholders of record as of March 6, 2018. On May 22, 2018, the Company’s Board of Directors declared a dividend of $0.08 per common share, which was paid on June 19, 2018 to stockholders of record as of June 5, 2018. On August 21, 2018, the Company’s Board of Directors declared a dividend of $0.08 per common share, payable on September 18, 2018 to stockholders of record as of September 4, 2018. Any determination to declare and pay cash dividends for future quarters will be made by the Company’s Board of Directors.

Recent Accounting Pronouncements	6 Months Ended
Recent Accounting Pronouncements	Aug. 04, 2018
Recent Accounting Pronouncements
Recent Accounting Pronouncements	12. Recent Accounting Pronouncements Recently Adopted In May 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standard Update (“ASU”) No. 2014-09, Revenue from Contracts with Customers (Topic 606) (“ASU 2014-09”). The guidance requires an entity to recognize revenue on contracts with customers relating to the transfer of promised goods or services in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. To achieve this, an entity is required to identify the contract with a customer; identify the separate performance obligations in the contract; determine the transaction price; allocate the transaction price to the separate performance obligations in the contract; and recognize revenue when (or as) the entity satisfies each performance obligation. In August of 2015, the FASB issued ASU No. 2015-14 which deferred the effective date of ASU 2014-09 to annual reporting periods beginning after December 15, 2017 and interim periods in the year of adoption. The Company adopted ASU 2014-09 in fiscal 2018 beginning February 4, 2018 using the modified retrospective approach. The Company’s primary source of revenue is derived from the sale of clothing and accessories to its customers with the Company’s performance obligations satisfied immediately when the customer pays for their purchase and receives the merchandise. As such, adoption of the new standard did not have a material impact on the Company’s consolidated balance sheet, results of operations or cash flows. Additionally, adoption of the ASU did not result in significant changes to the Company’s business processes, controls or systems. Not Yet Adopted In February 2016, the FASB issued ASU No. 2016-02, Leases (“ASU 2016–02”) which replaces the existing guidance in ASC 840, Leases. The new standard establishes a right-of-use model that requires a lessee to record a right-of-use asset and a lease liability on the balance sheet for all leases with terms longer than 12 months. Leases will be classified as either finance or operating, with classification affecting the pattern of expense recognition in the statement of operations. The guidance is effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. In July 2018, the FASB issued ASU No. 2018-11, Leases – Targeted Improvements, which provides for an additional transition method that allows companies to apply the new lease standard at the adoption date and recognize a cumulative-effect adjustment to retained earnings. This transition method option is in addition to the existing modified retrospective transition approach that requires companies to apply the standard to the earliest period presented in the financial statements. The Company will adopt ASU 2016-02 in fiscal 2019 and is evaluating which transition method it will use. The Company is currently in the process of evaluating the new lease guidance to determine the ultimate impact, but anticipates the new standard will result in significant right of use assets and related liabilities associated with its operating leases. All of the Company’s retail store locations are subject to operating lease arrangements. Being party to 554 leases for individual retail locations with an average remaining contractual rent period of 3.0 years, the Company has determined that the adoption of the new lease standard will have a significant impact on the Company’s consolidated balance sheet and disclosures.

Revenue

6 Months Ended

Aug. 04, 2018

Revenue

Revenue

13. Revenue

Revenue Recognition

The Company’s primary source of revenue is derived from the sale of clothing and accessories to its customers with the Company’s performance obligations satisfied immediately when the customer pays for their purchase and receives the merchandise. Sales taxes collected by the Company from customers are excluded from revenue. Revenue from layaway sales is recognized at the point in time when the merchandise is paid for and control of the goods is transferred to the customer, thereby satisfying the Company’s performance obligation. Non-refundable layaway service fees are recognized in revenue when collected by the Company from customers. The Company defers revenue from the sale of gift cards and recognizes the associated revenue upon the redemption of the cards by customers to purchase merchandise.

Sales Returns

The Company allows customers to return merchandise for up to thirty days after the date of sale. Expected refunds to customers are recorded based on estimated margin using historical return information. Under ASU 2014-09, the Company recorded an estimated refund liability of $0.5 million, included in the line item “Accrued expenses,” and the carrying value of a return asset of $0.3 million, presented separately from inventory, included in the line item “Prepaid and other current assets” on the condensed consolidated balance sheets. The cumulative effect of the changes made to the August 4, 2018 condensed consolidated balance sheet from the modified retrospective adoption of ASU 2014-09 on retained earnings was immaterial.

Disaggregation of Revenue

The Company’s retail operations represent a single operating segment based on the way the Company manages its business. Operating decisions and resource allocation decisions are made at the Company level in order to maintain a consistent retail store presentation. The Company’s retail stores sell similar products, use similar processes to sell those products, and sell their products to similar classes of customers.

In the following table, the Company’s revenue is disaggregated by major product line. The percentage of net sales related to each classification of its merchandise assortment for the twenty-six and thirteen week periods of fiscal 2018 and 2017 was approximately:


	Twenty-Six Weeks Ended				Thirteen Weeks Ended
	August 4,		July 29,		August 4,		July 29,
	2018		2017		2018		2017
Accessories	32	%	33	%	33	%	33	%
Ladies'	24	%	24	%	23	%	24	%
Children's	22	%	21	%	22	%	21	%
Men's	17	%	17	%	17	%	17	%
Home	5	%	5	%	5	%	5	%

Earnings per Share (Tables)

6 Months Ended

Aug. 04, 2018

Earnings per Share

Schedule of reconciliation of the number of average common shares outstanding used to calculate basic and diluted earnings per share


	Twenty-Six Weeks Ended
	August 4, 2018	July 29, 2017
Average number of common shares outstanding	13,446,285	14,550,435
Incremental shares from assumed vesting of nonvested restricted stock	45,009	47,990
Average number of common shares and common stock equivalents outstanding	13,491,294	14,598,425


	Thirteen Weeks Ended
	August 4, 2018	July 29, 2017
Average number of common shares outstanding	13,314,470	14,381,738
Incremental shares from assumed vesting of nonvested restricted stock	36,851	—
Average number of common shares and common stock equivalents outstanding	13,351,321	14,381,738

Fair Value Measurement (Tables)

6 Months Ended

Aug. 04, 2018

Fair Value Measurement

Schedule of investment securities classified as held-to-maturity


			Gross		Gross
	Amortized		Unrealized		Unrealized		Fair Market
	Cost		Gains		Losses		Value
Short-term:
Obligations of the U.S. Treasury and U.S. government agencies (Level 1)	$	20,263	$	-	$	(107)	$	20,156
Obligations of states and municipalities (Level 2)		3,631		1		-		3,632
Bank certificates of deposit (Level 2)		12,115		-		-		12,115
	$	36,009	$	1	$	(107)	$	35,903
Long-term:
Obligations of the U. S. Treasury (Level 1)	$	4,935	$	-	$	(28)	$	4,907
Bank certificates of deposit (Level 2)		8,085		-		-		8,085
	$	13,020	$	-	$	(28)	$	12,992

As of February 3, 2018, the Company’s investment securities were classified as held-to-maturity and consisted of the following (in thousands):


			Gross		Gross
	Amortized		Unrealized		Unrealized		Fair Market
	Cost		Gains		Losses		Value
Short-term:
Obligations of the U. S. Treasury (Level 1)	$	10,162	$	-	$	(25)	$	10,137
Obligations of states and municipalities (Level 2)		8,111		1		(2)		8,110
Bank certificates of deposit (Level 2)		13,227		-		-		13,227
	$	31,500	$	1	$	(27)	$	31,474
Long-term:
Obligations of the U. S. Treasury (Level 1)	$	9,967	$	-	$	(116)	$	9,851
Bank certificates of deposit (Level 2)		15,484		-		-		15,484
	$	25,451	$	-	$	(116)	$	25,335

Schedule of amortized cost and fair market value of investment securities by contractual maturity

The amortized cost and fair market value of investment securities as of August 4, 2018 by contractual maturity are as follows (in thousands):


			Fair
	Amortized		Market
	Cost		Value
Mature in one year or less	$	36,009	$	35,903
Mature after one year through five years		13,020		12,992
	$	49,029	$	48,895

The amortized cost and fair market value of investment securities as of February 3, 2018 by contractual maturity were as follows (in thousands):


			Fair
	Amortized		Market
	Cost		Value
Mature in one year or less	$	31,500	$	31,474
Mature after one year through five years		25,451		25,335
	$	56,951	$	56,809

- Definition

Tabular disclosure of all investments in certain debt and equity securities for which the entity has the positive intent and ability to hold until maturity.

+ References + Details

Other Long-Term Liabilities (Tables)

6 Months Ended

Aug. 04, 2018

Other Long-Term Liabilities

Schedule of components of other long-term liabilities

The components of other long-term liabilities as of August 4, 2018 and February 3, 2018 are as follows (in thousands):


	August 4,		February 3,
	2018		2018
Deferred rent	$	2,227	$	2,148
Tenant improvement allowances		4,199		4,325
Other		1,912		1,960
	$	8,338	$	8,433

Revenue (Tables)

6 Months Ended

Aug. 04, 2018

Revenue

Schedule of revenue from contracts with customers disaggregated by major product line


	Twenty-Six Weeks Ended				Thirteen Weeks Ended
	August 4,		July 29,		August 4,		July 29,
	2018		2017		2018		2017
Accessories	32	%	33	%	33	%	33	%
Ladies'	24	%	24	%	23	%	24	%
Children's	22	%	21	%	22	%	21	%
Men's	17	%	17	%	17	%	17	%
Home	5	%	5	%	5	%	5	%

Basis of Presentation (Details)	12 Months Ended
Basis of Presentation (Details)	Feb. 02, 2019	Feb. 03, 2018	Aug. 04, 2018 store state
Basis of Presentation
Number of stores operated \| store			554
Number of states in which company operates \| state			31
Length of fiscal year	364 days	371 days

Earnings per Share (Details) - shares	3 Months Ended		6 Months Ended
Earnings per Share (Details) - shares	Aug. 04, 2018	Jul. 29, 2017	Aug. 04, 2018	Jul. 29, 2017
Reconciliation of average number of common shares outstanding used to calculate basic and diluted earnings per share
Average number of common shares outstanding	13,314,470	14,381,738	13,446,285	14,550,435
Incremental shares from assumed vesting of nonvested restricted stock	36,851		45,009	47,990
Average number of common shares and common stock equivalents outstanding	13,351,321	14,381,738	13,491,294	14,598,425
Restricted Stock
Antidilutive securities
Shares excluded from the calculation of diluted earnings per share	127,000	178,000	118,000	144,000

Fair Value Measurement - Securities Carried at Amortized Cost Plus Accrued Interest (Details) - USD ($) $ in Thousands	Aug. 04, 2018	Feb. 03, 2018
Investment securities classified as held to maturity
Amortized Cost	$ 49,029	$ 56,951
Total Fair Market Value	48,895	56,809
Short-term Investments
Investment securities classified as held to maturity
Amortized Cost	36,009	31,500
Gross Unrealized Gains	1	1
Gross Unrealized Losses	(107)	(27)
Total Fair Market Value	35,903	31,474
Short-term Investments \| Obligations of the U.S. Treasury \| Fair Value, Inputs, Level 1
Investment securities classified as held to maturity
Amortized Cost	20,263	10,162
Gross Unrealized Losses	(107)	(25)
Total Fair Market Value	20,156	10,137
Short-term Investments \| Obligations of states and municipalities \| Fair Value, Inputs, Level 2
Investment securities classified as held to maturity
Amortized Cost	3,631	8,111
Gross Unrealized Gains	1	1
Gross Unrealized Losses		(2)
Total Fair Market Value	3,632	8,110
Short-term Investments \| Bank certificates of deposit \| Fair Value, Inputs, Level 2
Investment securities classified as held to maturity
Amortized Cost	12,115	13,227
Total Fair Market Value	12,115	13,227
Long Term Investments
Investment securities classified as held to maturity
Amortized Cost	13,020	25,451
Gross Unrealized Losses	(28)	(116)
Total Fair Market Value	12,992	25,335
Long Term Investments \| Obligations of the U.S. Treasury \| Fair Value, Inputs, Level 1
Investment securities classified as held to maturity
Amortized Cost	4,935	9,967
Gross Unrealized Losses	(28)	(116)
Total Fair Market Value	4,907	9,851
Long Term Investments \| Bank certificates of deposit \| Fair Value, Inputs, Level 2
Investment securities classified as held to maturity
Amortized Cost	8,085	15,484
Total Fair Market Value	$ 8,085	$ 15,484

Fair Value Measurement - Amortized Cost and Fair Market Value of Securities by Contractual Maturity (Details) - USD ($) $ in Thousands	Aug. 04, 2018	Feb. 03, 2018
Amortized Cost
Mature in one year or less	$ 36,009	$ 31,500
Mature after one year through five years	13,020	25,451
Total	49,029	56,951
Fair Market Value
Mature in one year or less	35,903	31,474
Mature after one year through five years	12,992	25,335
Total Fair Market Value	48,895	$ 56,809
Changes among the fair value levels
Changes between Level 1 to Level 2, Assets	$ 0

Impairment of Long-Lived Assets (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Aug. 04, 2018	Jul. 29, 2017	Aug. 04, 2018	Jul. 29, 2017
Impairment of Long-Lived Assets
Impairment expense related to leasehold improvements and fixtures and equipment	$ 942	$ 77	$ 942	$ 77

Revolving Line of Credit (Details) - Line of Credit $ in Millions			6 Months Ended
	Aug. 18, 2015 USD ($)	Oct. 27, 2011 USD ($)	Aug. 04, 2018 USD ($) bbl / agreement
Revolving Line of Credit
Term of credit facility		5 years
Maximum borrowing capacity		$ 50
Number of covenants \| bbl / agreement			1
Unused commitment fee (as a percent)			0.25%
Amount of outstanding borrowings prior to cash dividend payment within specified period, per covenant			$ 0
Period prior to cash dividend payment when no borrowings may be outstanding, per covenant			30 days
Amount of expected borrowings subsequent to cash dividend payment within specified period, per covenant			$ 0
Period subsequent to cash dividend payment when no borrowings may be expected, per covenant			30 days
Borrowings outstanding			$ 0
LIBOR Rate Loans
Revolving Line of Credit
Variable interest rate basis	LIBOR
Debt Instrument, Variable Rate Base LIBOR \| Base Rate Loans
Revolving Line of Credit
Variable interest rate basis	LIBOR
Debt Instrument Variable Rate Prime Rate \| Base Rate Loans
Revolving Line of Credit
Variable interest rate basis	prime rate
Debt Instrument, Variable Rate Base Federal Funds Rate \| Base Rate Loans
Revolving Line of Credit
Variable interest rate basis	Federal Funds Rate
Amendment to credit facility
Revolving Line of Credit
Maximum borrowing capacity	$ 50
Borrowing capacity, accordion feature	25
Maximum borrowing capacity including accordion expansion	$ 75
Amendment to credit facility \| Debt Instrument, Variable Rate Base LIBOR \| LIBOR Rate Loans \| Minimum
Revolving Line of Credit
Margin added to variable rate (as a percent)	1.25%
Amendment to credit facility \| Debt Instrument, Variable Rate Base LIBOR \| LIBOR Rate Loans \| Maximum
Revolving Line of Credit
Margin added to variable rate (as a percent)	1.50%
Amendment to credit facility \| Debt Instrument Variable Rate Prime Rate \| Base Rate Loans \| Minimum
Revolving Line of Credit
Margin added to variable rate (as a percent)	0.25%
Amendment to credit facility \| Debt Instrument Variable Rate Prime Rate \| Base Rate Loans \| Maximum
Revolving Line of Credit
Margin added to variable rate (as a percent)	0.50%
Amendment to credit facility \| Debt Instrument, Variable Rate Base Federal Funds Rate \| Base Rate Loans \| Minimum
Revolving Line of Credit
Margin added to variable rate (as a percent)	0.75%
Amendment to credit facility \| Debt Instrument, Variable Rate Base Federal Funds Rate \| Base Rate Loans \| Maximum
Revolving Line of Credit
Margin added to variable rate (as a percent)	1.00%

Income Taxes (Details)		6 Months Ended		12 Months Ended
Income Taxes (Details)	Jan. 01, 2018	Aug. 04, 2018	Jul. 29, 2017	Dec. 31, 2017
Income Taxes
Effective income tax rate	21.00%	18.90%	31.30%	35.00%

Other Long-Term Liabilities (Details) - USD ($) $ in Thousands	Aug. 04, 2018	Feb. 03, 2018
Other Long-Term Liabilities
Deferred rent	$ 2,227	$ 2,148
Tenant improvement allowances	4,199	4,325
Other	1,912	1,960
Other long-term liabilities total	$ 8,338	$ 8,433

Stock Repurchase Program and Cash Dividends (Details) - USD ($) $ / shares in Units, $ in Millions				3 Months Ended		6 Months Ended
	Aug. 21, 2018	May 22, 2018	Feb. 13, 2018	Aug. 04, 2018	Jul. 29, 2017	Aug. 04, 2018	Jul. 29, 2017	Mar. 16, 2018
Stockholders' Equity
Cash dividends declared per share	$ 0.08	$ 0.08	$ 0.08	$ 0.08	$ 0.08	$ 0.16	$ 0.14
Stock Repurchase Program
Stockholders' Equity
Stock Repurchase Program, Authorized Amount								$ 25.0
Stock Repurchased During Period, Shares						730,812
Treasury Stock, Value, Acquired, Cost Method						$ 21.0
Remaining value of shares available for repurchase				$ 4.0		$ 4.0

Recent Accounting Pronouncements (Details)	6 Months Ended
Recent Accounting Pronouncements (Details)	Aug. 04, 2018 lease
Recent Accounting Pronouncements
Number of leases	554
Average remaining contractual rent period	3 years

Revenue (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
Revenue (Details) - USD ($) $ in Millions	Aug. 04, 2018	Jul. 29, 2017	Aug. 04, 2018	Jul. 29, 2017
Revenue, initial application period, cumulative effect transition
Estimated refund liability	$ 0.5		$ 0.5
Carrying value of return asset	$ 0.3		$ 0.3
Maximum
Revenue, initial application period, cumulative effect transition
Period of time company allows customers to return merchandise			30 days
Accessories
Revenue, initial application period, cumulative effect transition
Revenue from contracts with customers disaggregated by major product line (as a percent)	33.00%		32.00%
Accessories \| Calculated under revenue guidance in effect before topic 606
Revenue, initial application period, cumulative effect transition
Revenue from contracts with customers disaggregated by major product line (as a percent)		33.00%		33.00%
Ladies'
Revenue, initial application period, cumulative effect transition
Revenue from contracts with customers disaggregated by major product line (as a percent)	23.00%		24.00%
Ladies' \| Calculated under revenue guidance in effect before topic 606
Revenue, initial application period, cumulative effect transition
Revenue from contracts with customers disaggregated by major product line (as a percent)		24.00%		24.00%
Children's
Revenue, initial application period, cumulative effect transition
Revenue from contracts with customers disaggregated by major product line (as a percent)	22.00%		22.00%
Children's \| Calculated under revenue guidance in effect before topic 606
Revenue, initial application period, cumulative effect transition
Revenue from contracts with customers disaggregated by major product line (as a percent)		21.00%		21.00%
Men's
Revenue, initial application period, cumulative effect transition
Revenue from contracts with customers disaggregated by major product line (as a percent)	17.00%		17.00%
Men's \| Calculated under revenue guidance in effect before topic 606
Revenue, initial application period, cumulative effect transition
Revenue from contracts with customers disaggregated by major product line (as a percent)		17.00%		17.00%
Home
Revenue, initial application period, cumulative effect transition
Revenue from contracts with customers disaggregated by major product line (as a percent)	5.00%		5.00%
Home \| Calculated under revenue guidance in effect before topic 606
Revenue, initial application period, cumulative effect transition
Revenue from contracts with customers disaggregated by major product line (as a percent)		5.00%		5.00%