Income Taxes (Tables)
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12 Months Ended |
Feb. 02, 2025 |
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| Income Tax Disclosure [Abstract] |
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| 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 2025, 2024, and 2023 are set forth below:
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2025 |
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2024 |
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2023 |
| Current taxes: |
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| U.S. federal |
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$ |
6,767 |
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$ |
6,898 |
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$ |
6,127 |
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| State and local |
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2,600 |
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3,190 |
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3,190 |
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| Total current tax expense |
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$ |
9,367 |
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$ |
10,088 |
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$ |
9,317 |
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| Deferred taxes: |
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| U.S. federal |
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$ |
(3,498) |
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$ |
(1,238) |
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$ |
1,767 |
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| State and local |
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(976) |
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(888) |
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(723) |
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| Total deferred tax (benefit) expense |
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(4,474) |
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(2,126) |
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1,044 |
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| Total income tax expense |
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$ |
4,893 |
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$ |
7,962 |
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$ |
10,361 |
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| Schedule of effective income tax rate reconciliation |
A reconciliation of income taxes at the federal statutory corporate rate to the effective rate for fiscal 2025, 2024, and 2023 is as follows:
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2025 |
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2024 |
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2023 |
| Provision (benefit) at federal Statutory rates |
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21.0 |
% |
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21.0 |
% |
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21.0 |
% |
| State tax, net of federal provision (benefit) |
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6.6 |
% |
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5.1 |
% |
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4.9 |
% |
| Non-deductible executive compensation |
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— |
% |
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0.3 |
% |
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1.8 |
% |
| Permanent adjustments |
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0.2 |
% |
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0.1 |
% |
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0.2 |
% |
| Penalties |
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1.9 |
% |
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— |
% |
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— |
% |
| Equity-based compensation |
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2.7 |
% |
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0.5 |
% |
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0.1 |
% |
| Research and development credit |
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(2.1) |
% |
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(3.6) |
% |
|
— |
% |
| Other |
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(0.4) |
% |
|
0.2 |
% |
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0.1 |
% |
| Uncertain tax benefits |
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(0.2) |
% |
|
1.4 |
% |
|
— |
% |
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| Effective tax rate |
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29.7 |
% |
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25.0 |
% |
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28.1 |
% |
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| Schedule of deferred income taxes |
Significant components of the Company's deferred tax assets are as follows (in thousands):
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February 2, 2025 |
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February 4, 2024 |
| Deferred Income Tax Assets |
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| State net operating loss carryforward |
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$ |
286 |
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$ |
342 |
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| Intangible assets |
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467 |
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465 |
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| Accrued liabilities |
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4,043 |
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2,879 |
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| Equity-based compensation |
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3,122 |
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2,219 |
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| Merchandise inventories |
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4,534 |
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3,848 |
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| Research and development capitalization |
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4,183 |
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3,687 |
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| Operating lease liabilities |
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46,994 |
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45,220 |
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| Total Deferred Income Tax Assets |
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63,629 |
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58,660 |
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| Deferred Income Tax Liabilities |
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| Operating lease right of use asset |
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(40,505) |
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(40,393) |
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| Property and equipment |
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(7,847) |
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(7,464) |
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| Total Deferred Tax Liabilities |
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(48,352) |
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(47,857) |
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| Net Deferred Income Tax Asset |
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$ |
15,277 |
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$ |
10,803 |
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| Schedule of unrecognized tax benefits |
A reconciliation of beginning and ending amounts of unrecognized tax benefits for fiscal 2025, 2024, and 2023 is as follows:
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2025 |
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2024 |
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2023 |
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| Gross unrecognized tax benefit, beginning of period |
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$ |
452 |
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$ |
— |
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$ |
— |
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| Additions based on tax positions related to the current year |
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65 |
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177 |
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— |
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| Additions related to tax positions in prior year |
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— |
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275 |
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— |
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| Settlements related to tax positions in a prior period |
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— |
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— |
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— |
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| Decreases based on tax positions in a prior period |
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(142) |
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— |
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— |
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| Gross unrecognized tax benefit, end of period |
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$ |
375 |
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$ |
452 |
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$ |
— |
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