Annual report pursuant to Section 13 and 15(d)

Income Taxes (Tables)

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Income Taxes (Tables)
12 Months Ended
Feb. 04, 2024
Income Tax Disclosure [Abstract]  
Schedule of federal, state and local corporate income taxes The components of the provision for income taxes reflected on the statements of operations for fiscal 2024, 2023, and 2022 are set forth below:
2024 2023 2022
Current taxes:
U.S. federal $ 6,898  $ 6,127  $ 412 
State and local 3,190  3,190  2,220 
Total current tax expense $ 10,088  $ 9,317  $ 2,632 
Deferred taxes:
U.S. federal $ (1,238) $ 1,767  $ (7,222)
State and local (888) (723) (2,499)
Total deferred tax (benefit) expense (2,126) 1,044  (9,721)
Total tax provision $ 7,962  $ 10,361  $ (7,089)
Schedule of effective income tax rate reconciliation
A reconciliation of income taxes at the federal statutory corporate rate to the effective rate for fiscal 2024, 2023, and 2022 is as follows:
2024 2023 2022
Provision (benefit) at federal Statutory rates 21.0  % 21.0  % 21.0  %
State tax, net of federal provision (benefit) 5.1  % 4.9  % 4.9  %
Non-deductible executive compensation 0.3  % 1.8  % 1.8  %
Permanent adjustments 0.1  % 0.2  % —  %
Equity-based compensation 0.5  % 0.1  % (4.4) %
Research and development credit (3.6) % —  % —  %
Other 0.2  % 0.1  % (0.4) %
Uncertain tax benefits 1.4  % —  % —  %
Change in valuation allowance —  % —  % (40.4) %
Income tax provision 25.0  % 28.1  % (17.5) %
Schedule of deferred income taxes
Significant components of the Company's deferred tax assets are as follows (in thousands):
February 4, 2024 January 29, 2023
Deferred Income Tax Assets
State net operating loss carryforward $ 342  $ 440 
Intangible assets 465  403 
Accrued liabilities 2,879  2,952 
Equity-based compensation 2,219  3,247 
Merchandise inventories 3,848  724 
Research and development capitalization 3,687  1,920 
Operating lease liabilities 45,220  39,488 
Total Deferred Income Tax Assets 58,660  49,174 
Deferred Income Tax Liabilities
Operating lease right of use asset (40,393) (35,484)
Property and equipment (7,464) (5,013)
Total Deferred Tax Liabilities (47,857) (40,497)
Net Deferred Income Tax Asset $ 10,803  $ 8,677 
Schedule of unrecognized tax benefits
A reconciliation of beginning and ending amounts of unrecognized tax benefits for fiscal 2024, 2023, and 2022 is as follows:
2024 2023 2022
Gross unrecognized tax benefit, beginning of period $ —  $ —  $ — 
Additions based on tax positions related to the current year 177  —  — 
Additions related to tax positions in prior year 275  —  — 
Settlements related to tax positions in a prior period —  —  — 
Decreases based on tax positions in a prior period —  —  — 
Gross unrecognized tax benefit, end of period $ 452  $ —  $ —