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Document and Entity Information - shares	3 Months Ended
Document and Entity Information - shares	Apr. 30, 2019	May 24, 2019
Document and Entity Information [Abstract]
Entity Registrant Name	CONNS INC
Entity Central Index Key	0001223389
Current Fiscal Year End Date	--01-31
Entity Filer Category	Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Document Type	10-Q
Document Period End Date	Apr. 30, 2019
Document Fiscal Year Focus	2020
Document Fiscal Period Focus	Q1
Amendment Flag	false
Entity Common Stock, Shares Outstanding		31,921,875

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Apr. 30, 2019	Jan. 31, 2019
Current assets:
Cash and cash equivalents	$ 9,767	$ 5,912
Restricted cash (includes VIE balances of $76,443 and $57,475, respectively)	78,043	59,025
Customer accounts receivable, net of allowances (includes VIE balances of $426,229 and $324,064, respectively)	642,385	652,769
Other accounts receivable	57,660	67,078
Inventories	213,102	220,034
Income taxes receivable	3,966	407
Prepaid expenses and other current assets	14,279	9,169
Total current assets	1,019,202	1,014,394
Long-term portion of customer accounts receivable, net of allowances (includes VIE balances of $375,668 and $230,901, respectively)	652,879	686,344
Property and equipment, net	153,696	148,983
Operating lease assets	230,393	0
Deferred income taxes	24,863	27,535
Other assets	9,251	7,651
Total assets	2,090,284	1,884,907
Current liabilities:
Current maturities of debt and finance lease obligations (includes VIE balances of $24,485 and $53,635, respectively)	25,191	54,109
Accounts payable	57,266	71,118
Accrued compensation and related expenses	13,464	27,052
Accrued expenses	55,422	54,381
Operating lease liability - current	23,958	0
Income taxes payable	1,830	8,902
Deferred revenues and other credits	11,317	22,006
Total current liabilities	188,448	237,568
Deferred rent	0	93,127
Operating lease liability - non current	311,238	0
Long-term debt and finance lease obligations (includes VIE balances of $692,017 and $407,993, respectively)	919,250	901,222
Other long-term liabilities	23,529	33,015
Total liabilities	1,442,465	1,264,932
Commitments and contingencies
Stockholders’ equity:
Preferred stock ($0.01 par value, 1,000,000 shares authorized; none issued or outstanding)	0	0
Common stock ($0.01 par value, 100,000,000 shares authorized; 31,936,526 and 31,788,162 shares issued, respectively)	319	318
Additional paid-in capital	113,359	111,185
Retained earnings	534,141	508,472
Total stockholders’ equity	647,819	619,975
Total liabilities and stockholders’ equity	$ 2,090,284	$ 1,884,907

CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands	Apr. 30, 2019	Jan. 31, 2019
Restricted cash, VIE balance	$ 78,043	$ 59,025
Customer accounts receivable, net of allowances (includes VIE balances of $426,229 and $324,064, respectively)	642,385	652,769
Long-term portion of customer accounts receivable, net of allowances (includes VIE balances of $375,668 and $230,901, respectively)	652,879	686,344
Current maturities of long-term debt and capital lease obligations, VIE balance	25,191	54,109
Long-term debt	721,983
Long-term debt and capital lease obligations	$ 919,250	$ 901,222
Preferred stock, par value (in dollars per share)	$ 0.01	$ 0.01
Preferred stock, shares authorized (in shares)	1,000,000	1,000,000
Preferred stock, shares issued (in shares)	0	0
Preferred stock, shares outstanding (in shares)	0	0
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01
Common stock, shares authorized (in shares)	100,000,000	100,000,000
Common stock, shares issued (in shares)	31,726,635	31,788,162
Variable Interest Entity [Member]
Restricted cash, VIE balance	$ 76,443	$ 57,475
Customer accounts receivable, net of allowances (includes VIE balances of $426,229 and $324,064, respectively)	426,229	324,064
Long-term portion of customer accounts receivable, net of allowances (includes VIE balances of $375,668 and $230,901, respectively)	375,668	230,901
Long-term debt	692,017	407,993
Non-Guarantor Subsidiaries
Restricted cash, VIE balance	76,443	57,475
Current maturities of long-term debt and capital lease obligations, VIE balance	24,485	53,635
Long-term debt and capital lease obligations	$ 692,017	$ 407,993

CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) $ in Thousands	3 Months Ended
	Apr. 30, 2019	Apr. 30, 2018
Revenues:
Other Income	$ 91,533	$ 82,631
Total revenues	353,512	358,387
Total Net Sales	261,979	275,756
Costs and expenses:
Cost of goods sold	157,228	166,589
Selling, general and administrative expense	117,914	114,878
Provision for bad debts	40,046	44,156
Charges and credits	(695)	0
Total costs and expenses	314,493	325,623
Operating income	39,019	32,764
Interest expense	14,497	16,820
Loss on extinguishment of debt	0	406
Income before income taxes	24,522	15,538
Provision for income taxes	5,013	2,806
Net income	$ 19,509	$ 12,732
Income per share:
Basic (in dollars per share)	$ 0.61	$ 0.40
Diluted (in dollars per share)	$ 0.60	$ 0.39
Weighted average common shares outstanding:
Basic (in shares)	31,882,003	31,540,684
Diluted (in shares)	32,443,884	32,452,864
Product [Member]
Revenues:
Total revenues	$ 234,445	$ 249,314
RSA Commission [Member]
Revenues:
Total revenues	24,024	22,863
Service [Member]
Revenues:
Total revenues	$ 3,510	$ 3,579

CONSOLIDATED STATEMENT OF SHAREHOLDERS EQUITY Statement - USD ($) $ in Thousands	Total	Common Stock [Member]	Additional Paid-in Capital [Member]	Retained Earnings [Member]
Balance (in shares) at Jan. 31, 2018		31,435,775
Balance at Jan. 31, 2018	$ 535,068	$ 314	$ 101,087	$ 433,667
Exercise of options and vesting of restricted stock, net of tax (in shares)		143,021
Exercise of options and vesting of restricted stock, net of withholding tax	(1,848)	$ 2	(1,850)
Issuance of common stock under Employee Stock Purchase Plan (in shares)		8,031
Issuance of common stock under Employee Stock Purchase Plan	226		226
Stock-based compensation	2,520		2,520
Net income	12,732			12,732
Balance (in shares) at Apr. 30, 2018		31,586,827
Balance at Apr. 30, 2018	549,655	$ 316	101,983	447,356
Balance (in shares) at Jan. 31, 2019		31,788,162
Balance at Jan. 31, 2019	619,975	$ 318	111,185	508,472
Exercise of options and vesting of restricted stock, net of tax (in shares)		136,206
Exercise of options and vesting of restricted stock, net of withholding tax	(1,240)	$ 1	(1,241)
Issuance of common stock under Employee Stock Purchase Plan (in shares)		12,158
Issuance of common stock under Employee Stock Purchase Plan	198		198
Stock-based compensation	3,217		3,217
Net income	19,509			19,509
Balance (in shares) at Apr. 30, 2019		31,936,526
Balance at Apr. 30, 2019	$ 647,819	$ 319	$ 113,359	$ 534,141

- Definition

The portion of profit or loss for the period, net of income taxes, which is attributable to the parent.

+ References + Details

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	3 Months Ended
	Apr. 30, 2019	Apr. 30, 2018
Cash flows from operating activities:
Net income	$ 19,509	$ 12,732
Adjustments to reconcile net income to net cash from operating activities:
Depreciation	8,852	7,660
Amortization of Right of Use Asset	6,739	0
Amortization of debt issuance costs	1,773	3,292
Provision for bad debts and uncollectible interest	52,330	55,660
Stock-based compensation expense	3,217	2,520
Charges, net of credits, for facility relocations	(695)	0
Deferred income taxes	1,224	(742)
Tenant improvement allowances received from landlords	4,807	2,130
Change in operating assets and liabilities:
Customer accounts receivable	(8,352)	(21,635)
Other accounts receivables	1,500	(883)
Inventories	6,932	21,582
Other assets	(7,164)	15,724
Accounts payable	(13,852)	11,055
Accrued expenses	(11,149)	(9,081)
Increase (Decrease) in Operating Lease Liabilities	(4,499)
Income taxes	(12,212)	38,556
Deferred rent, revenues and other credits	700	(3,231)
Net cash provided by operating activities	49,660	135,339
Cash flows from investing activities:
Purchases of property and equipment	(13,119)	(6,169)
Net cash used in investing activities	(13,119)	(6,169)
Cash flows from financing activities:
Proceeds from issuance of asset-backed notes	381,790	0
Payments on asset-backed notes	(95,214)	(232,584)
Borrowings from revolving credit facility	323,138	393,158
Payments on revolving credit facility	(589,638)	(322,608)
Borrowings from warehouse facility	0	52,226
Payments on warehouse facility	(28,951)	(29,905)
Payments of debt issuance costs and amendment fees	(3,442)	(533)
Proceeds from stock issued under employee benefit plans	403	267
Tax payments associated with equity-based compensation transactions	(1,454)	(1,888)
Payment from extinguishment of debt	0	(294)
Other	(300)	(253)
Net cash used in financing activities	(13,668)	(142,414)
Net change in cash, cash equivalents and restricted cash	22,873	(13,244)
Cash, cash equivalents and restricted cash, beginning of period	64,937	96,158
Cash, cash equivalents and restricted cash, end of period	87,810	82,914
Non-cash investing and financing activities:
Right-of-use assets obtained in exchange for new finance lease liabilities	436	0
Right-of-Use Asset Obtained in Exchange for Operating Lease Liability	22,030	0
Property and equipment purchases not yet paid	5,594	1,759
Supplemental cash flow data:
Cash interest paid	8,605	8,838
Cash income taxes paid, net	$ 15,999	$ 35,007

Summary of Significant Accounting Policies

3 Months Ended

Apr. 30, 2019

Accounting Policies [Abstract]

Summary of Significant Accounting Policies

Business. Conn’s, Inc., a Delaware corporation, is a holding company with no independent assets or operations other than its investments in its subsidiaries. References to “we,” “our,” “us,” “the Company,” “Conn’s” or “CONN” refer to Conn’s, Inc. and, as apparent from the context, its subsidiaries. Conn’s is a leading specialty retailer that offers a broad selection of quality, branded durable consumer goods and related services in addition to proprietary credit solutions for its core credit-constrained consumers. We operate an integrated and scalable business through our retail stores and website. Our complementary product offerings include furniture and mattresses, home appliances, consumer electronics and home office products from leading global brands across a wide range of price points. Our credit offering provides financing solutions to a large, under-served population of credit-constrained consumers who typically have limited credit alternatives.

We operate two reportable segments: retail and credit. Our retail stores bear the “Conn’s HomePlus” name with all of our stores providing the same products and services to a common customer group. Our stores follow the same procedures and methods in managing their operations. Our retail business and credit business are operated independently from each other. The credit segment is dedicated to providing short- and medium-term financing to our retail customers. The retail segment is not involved in credit approval decisions or collection efforts. Our management evaluates performance and allocates resources based on the operating results of the retail and credit segments.

Basis of Presentation. The accompanying unaudited Condensed Consolidated Financial Statements of Conn’s, Inc. and its wholly-owned subsidiaries, including its Variable Interest Entities (“VIEs”), have been prepared by management in accordance with U.S. generally accepted accounting principles (“GAAP”) and prevailing industry practice for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, we do not include all of the information and footnotes required by GAAP for complete financial statements. The accompanying financial statements reflect all adjustments that are, in the opinion of management, necessary for a fair presentation of the results for the interim periods presented. All such adjustments are of a normal recurring nature. The condensed consolidated financial position, results of operations and cash flows for these interim periods are not necessarily indicative of the results that may be expected in future periods. The balance sheet at January 31, 2019 has been derived from the audited financial statements at that date. The financial statements should be read in conjunction with the audited consolidated financial statements and the notes thereto included in our Annual Report on Form 10-K for the fiscal year ended January 31, 2019 (the “2019 Form 10-K”) filed with the United States Securities and Exchange Commission (the “SEC”) on March 26, 2019.

Fiscal Year. Our fiscal year ends on January 31. References to a fiscal year refer to the calendar year in which the fiscal year ends.

Principles of Consolidation. The Condensed Consolidated Financial Statements include the accounts of Conn’s, Inc. and its wholly-owned subsidiaries. All material intercompany transactions and balances have been eliminated in consolidation.

Variable Interest Entities. VIEs are consolidated if the Company is the primary beneficiary. The primary beneficiary of a VIE is the party that has (i) the power to direct the activities that most significantly impact the performance of the VIE and (ii) the obligation to absorb losses or the right to receive benefits that could potentially be significant to the VIE.

We securitize customer accounts receivables by transferring the receivables to various bankruptcy-remote VIEs. We retain the servicing of the securitized portfolio and have a variable interest in each corresponding VIE by holding the residual equity. We have determined that we are the primary beneficiary of each respective VIE because (i) our servicing responsibilities for the securitized portfolio give us the power to direct the activities that most significantly impact the performance of the VIE and (ii) our variable interest in the VIE gives us the obligation to absorb losses and the right to receive residual returns that potentially could be significant. As a result, we consolidate the respective VIEs within our Condensed Consolidated Financial Statements.

Refer to Note 4, Debt and Financing Lease Obligations, and Note 7, Variable Interest Entities, for additional information.

Use of Estimates. The preparation of financial statements in accordance with GAAP requires management to make informed judgments and estimates that affect the reported amounts of assets, liabilities, revenues and expenses, and the disclosure of contingent assets and liabilities. Changes in facts and circumstances or additional information may result in revised estimates, and actual results may differ, even significantly, from these estimates. Management evaluates its estimates and related assumptions regularly, including those related to the allowance for doubtful accounts and allowances for no-interest option credit programs, which are particularly sensitive given the size of our customer portfolio balance.

Cash and Cash Equivalents. As of April 30, 2019 and January 31, 2019, cash and cash equivalents included cash, credit card deposits in transit, and highly liquid debt instruments purchased with a maturity date of three months or less. Credit card deposits in transit included in cash and cash equivalents were $2.5 million and $2.5 million as of April 30, 2019 and January 31, 2019, respectively.

Restricted Cash. The restricted cash balance as of April 30, 2019 and January 31, 2019 includes $63.7 million and $45.3 million, respectively, of cash we collected as servicer on the securitized receivables that was subsequently remitted to the VIEs and $12.7 million and $12.2 million, respectively, of cash held by the VIEs as additional collateral for the asset-backed notes.

Customer Accounts Receivable. Customer accounts receivable reported in the Condensed Consolidated Balance Sheet includes total receivables managed, including both those transferred to the VIEs and those not transferred to the VIEs. Customer accounts receivable are recognized at the time the customer takes possession of the product. Based on contractual terms, we record the amount of principal and accrued interest on customer receivables that is expected to be collected within the next twelve months in current assets with the remaining balance in long-term assets on the Condensed Consolidated Balance Sheet. Customer accounts receivable include the net of unamortized deferred fees charged to customers and origination costs. Customer receivables are considered delinquent if a payment has not been received on the scheduled due date. Accounts that are delinquent more than 209 days as of the end of a month are charged-off against the allowance for doubtful accounts along with interest accrued subsequent to the last payment.

In an effort to mitigate losses on our accounts receivable, we may make loan modifications to a borrower experiencing financial difficulty. In our role as servicer, we may also make modifications to loans held by the VIEs. The loan modifications are intended to maximize net cash flow after expenses and avoid the need to exercise legal remedies available to us. We may extend or “re-age” a portion of our customer accounts, which involves modifying the payment terms to defer a portion of the cash payments due. Our re-aging of customer accounts does not change the interest rate or the total principal amount due from the customer and typically does not reduce the monthly contractual payments. To a much lesser extent, we may provide the customer the ability to refinance their account, which typically does not change the interest rate or the total principal amount due from the customer but does reduce the monthly contractual payments and extend the term. We consider accounts that have been re-aged in excess of three months or refinanced as Troubled Debt Restructurings (“TDR” or “Restructured Accounts”).

Interest Income on Customer Accounts Receivable. Interest income, which includes interest income and amortization of deferred fees and origination costs, is recorded using the interest method and is reflected in finance charges and other revenues. Typically, interest income is recorded until the customer account is paid off or charged-off and we provide an allowance for estimated uncollectible interest. Any contractual interest income received from customers in excess of the interest income calculated using the interest method is recorded as deferred revenue on our balance sheets. At April 30, 2019 and January 31, 2019, there was $11.6 million and $11.2 million, respectively, of deferred interest included in deferred revenues and other credits and other long-term liabilities. The deferred interest will ultimately be brought into income as the accounts pay off or charge-off.

We offer a 12-month no-interest option program. If the customer is delinquent in making a scheduled monthly payment or does not repay the principal in full by the end of the no-interest option program period (grace periods are provided), the account does not qualify for the no-interest provision and none of the interest earned is waived. Interest income is recognized based on estimated accrued interest earned to date on all no-interest option finance programs with an offsetting reserve for those customers expected to satisfy the requirements of the program based on our historical experience.

We recognize interest income on TDR accounts using the interest income method, which requires reporting interest income equal to the increase in the net carrying amount of the loan attributable to the passage of time. Cash proceeds and other adjustments are applied to the net carrying amount such that it equals the present value of expected future cash flows.

We place accounts in non-accrual status when legally required. Payments received on non-accrual loans will be applied to principal and reduce the balance of the loan. At April 30, 2019 and January 31, 2019, the carrying value of customer accounts receivable in non-accrual status was $13.5 million and $13.9 million, respectively. At April 30, 2019 and January 31, 2019, the carrying value of customer accounts receivable that were past due 90 days or more and still accruing interest totaled $99.0 million and $106.5 million, respectively. At April 30, 2019 and January 31, 2019, the carrying value of customer accounts receivable in a bankruptcy status that were less than 60 days past due of $11.8 million and $12.0 million, respectively, were included within the customer receivables balance carried in non-accrual status.

Allowance for Doubtful Accounts. The determination of the amount of the allowance for bad debts is, by nature, highly complex and subjective. Future events that are inherently uncertain could result in material changes to the level of the allowance for bad debts. General economic conditions, changes to state or federal regulations and a variety of other factors that affect the ability of borrowers to service their debts or our ability to collect will impact the future performance of the portfolio.

We establish an allowance for doubtful accounts, including estimated uncollectible interest, to cover probable and estimable losses on our customer accounts receivable resulting from the failure of customers to make contractual payments. Our customer accounts receivable portfolio balance consists of a large number of relatively small, homogeneous accounts. None of our accounts are large enough to warrant individual evaluation for impairment.

We record an allowance for doubtful accounts on our non-TDR customer accounts receivable that we expect to charge-off over the next 12 months based on historical gross charge-off rates over the last 24 months. We incorporate an adjustment to historical gross charge-off rates for a scaled factor of the year-over-year change in six month average first payment default rates and the year-over-year change in the balance of customer accounts receivable that are 60 days or more past due. In addition to adjusted historical gross charge-off rates, estimates of post-charge-off recoveries, including cash payments from customers, amounts realized from the repossession of the products financed, sales tax recoveries from taxing jurisdictions, and payments received under credit insurance and repair service agreement (“RSA”) policies are also considered.

Qualitative adjustments are made to the allowance for bad debts when, based on management’s judgment, there are internal or external factors impacting probable incurred losses not taken into account by the quantitative calculations. These qualitative considerations are based on the following factors: changes in lending policies and procedures, changes in economic and business conditions, changes in the nature and volume of the portfolio, changes in lending management, changes in credit quality statistics, changes in concentrations of credit, and other internal or external factor changes. We utilize an economic qualitative adjustment based on changes in unemployment rates if current unemployment rates in our markets are worse than they were on average over the last 24 months. We also qualitatively limit the impact of changes in first payment default rates and changes in delinquency when those changes result in a decrease to the allowance for bad debts based on a measure of the dispersion of historical charge-off rates. At April 30, 2019, we made a qualitative adjustment related to changes in the nature of the portfolio.

We determine allowances for those accounts that are TDR based on the discounted present value of cash flows expected to be collected over the life of those accounts based primarily on the performance of TDR loans over the last 24 months. The cash flows are discounted based on the weighted-average effective interest rate of the TDR accounts. The excess of the carrying amount over the discounted cash flow amount is recorded as an allowance for loss on those accounts.

Debt Issuance Costs. Costs that are direct and incremental to debt issuance are deferred and amortized to interest expense using the effective interest method over the expected life of the debt. All other costs related to debt issuance are expensed as incurred. We present debt issuance costs associated with long-term debt as a reduction of the carrying amount of the debt. Unamortized costs related to the Revolving Credit Facility, as defined in Note 4, Debt and Financing Lease Obligations, are included in other assets on our Condensed Consolidated Balance Sheet and were $5.7 million and $6.1 million as of April 30, 2019 and January 31, 2019, respectively.

Income Taxes. For the three months ended April 30, 2019 and 2018, we utilized the estimated annual effective tax rate based on our estimated fiscal year 2020 and 2019 pre-tax income, respectively, in determining income tax expense.

Provision for income taxes for interim periods is based on an estimated annual income tax rate, adjusted for discrete tax items. As a result, our interim effective tax rates may vary significantly from the statutory tax rate and the annual effective tax rate.

For the three months ended April 30, 2019 and 2018, the effective tax rate was 20.4% and 18.1%, respectively. The primary factor affecting the increase in our effective tax rate for the three months ended April 30, 2019 was a decrease in deductible compensation expense compared to the prior year period.

Stock-based Compensation. Stock-based compensation expense is recorded, net of estimated forfeitures, for share-based compensation awards over the requisite service period using the straight-line method. An adjustment is made to compensation cost for any difference between the estimated forfeitures and the actual forfeitures related to the awards. For equity-classified share-based compensation awards, expense is recognized based on the grant-date fair value. For stock option grants, we use the Black-Scholes model to determine fair value. For grants of restricted stock units (“RSUs”), the fair value of the grant is the market value of our stock at the date of issuance. For grants of performance-based restricted stock units, the fair value of the grant is the market value of our stock at the date of issuance adjusted for a market condition, a performance condition and a service condition.

The following table sets forth the RSUs and stock options granted during the three months ended April 30, 2019 and 2018:



	Three Months Ended April 30,
	2019		2018
RSUs ⁽¹⁾	3,429		80,411
Stock Options ⁽²⁾	—		620,166
Total stock awards granted	3,429		700,577
Aggregate grant date fair value (in thousands)	$	71	$	15,511

(1) The majority of RSUs issued during the three months ended April 30, 2019 and 2018 are scheduled to vest ratably over periods of three to four years from the date of grant.

(2) The weighted-average assumptions for the option awards granted during the three months ended April 30, 2018 included expected volatility of 68.0%, an expected term of 6.5 years and risk-free interest rate of 2.67%. No dividend yield was included in the weighted-average assumptions for the option awards granted during the three months ended April 30, 2018.

For the three months ended April 30, 2019 and 2018, stock-based compensation expense was $3.2 million and $2.5 million, respectively. No performance stock awards (“PSUs”) were issued during the three months ended April 30, 2019 and 2018.

Earnings per Share. Basic earnings per share for a particular period is calculated by dividing net income by the weighted-average number of common shares outstanding during the period. Diluted earnings per share includes the dilutive effects of any stock options, RSUs and PSUs, which are calculated using the treasury-stock method. The following table sets forth the shares outstanding for the earnings per share calculations:



	Three Months Ended April 30,
	2019	2018
Weighted-average common shares outstanding - Basic	31,882,003	31,540,684
Dilutive effect of stock options, PSUs and RSUs	561,881	912,180
Weighted-average common shares outstanding - Diluted	32,443,884	32,452,864

For the three months ended April 30, 2019 and 2018, the weighted-average number of stock options and RSUs not included in the calculation due to their anti-dilutive effect, was 859,970 and 305,313, respectively.

Fair Value of Financial Instruments. 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 at the measurement date. Assets and liabilities recorded at fair value are categorized using defined hierarchical levels related to subjectivity associated with the inputs to fair value measurements as follows:


•	Level 1 – Inputs represent unadjusted quoted prices in active markets for identical assets or liabilities.

•

Level 2 – Inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly (for example, quoted market prices for similar assets or liabilities in active markets or quoted market prices for identical assets or liabilities in markets not considered to be active, inputs other than quoted prices that are observable for the asset or liability, or market-corroborated inputs).


•	Level 3 – Inputs that are not observable from objective sources such as our internally developed assumptions used in pricing an asset or liability (for example, an estimate of future cash flows used in our internally developed present value of future cash flows model that underlies the fair-value measurement).

In determining fair value, we use observable market data when available, or models that incorporate observable market data. When we are required to measure fair value and there is not a market-observable price for the asset or liability or for a similar asset or liability, we use the cost or income approach depending on the quality of information available to support management’s assumptions. The cost approach is based on management’s best estimate of the current asset replacement cost. The income approach is based on management’s best assumptions regarding expectations of future net cash flows and discounts the expected cash flows using a commensurate risk-adjusted discount rate. Such evaluations involve significant judgment, and the results are based on expected future events or conditions such as sales prices, economic and regulatory climates, and other factors, most of which are often outside of management’s control. However, we believe assumptions used reflect a market participant’s view of long-term prices, costs, and other factors and are consistent with assumptions used in our business plans and investment decisions.

In arriving at fair-value estimates, we use relevant observable inputs available for the valuation technique employed. If a fair-value measurement reflects inputs at multiple levels within the hierarchy, the fair-value measurement is characterized based on the lowest level of input that is significant to the fair-value measurement.

The fair value of cash and cash equivalents, restricted cash and accounts payable approximate their carrying amounts because of the short maturity of these instruments. The fair value of customer accounts receivable, determined using a Level 3 discounted cash flow analysis, approximates their carrying value, net of the allowance for doubtful accounts. The fair value of our Revolving Credit Facility approximates carrying value based on the current borrowing rate for similar types of borrowing arrangements. At April 30, 2019, the fair value of the Senior Notes outstanding, which was determined using Level 1 inputs, was $229.7 million as compared to the carrying value of $227.0 million, excluding the impact of the related discount. At April 30, 2019, the fair value of the asset-backed notes approximates their carrying value and was determined using Level 2 inputs based on inactive trading activity.

Deferred Revenue. Deferred revenue related to contracts with customers consists of deferred customer deposits and deferred RSA administration fees. During the three months ended April 30, 2019, we recognized $1.0 million of revenue for customer deposits deferred as of the beginning of the period. During the three months ended April 30, 2019, we recognized $1.2 million of revenue for RSA administrative fees deferred as of January 31, 2019.

Recent Accounting Pronouncements Adopted. In February 2016 the Financial Accounting Standards Board (“FASB”) issued ASU 2016-02, Leases (Topic 842), which requires lessees to recognize assets and liabilities for most leases. Effective February 1, 2019, the Company adopted ASU 2016-02 using the modified retrospective approach. For most leases, a liability was recorded on the balance sheet based on the present value of future lease obligations with a corresponding right-of-use asset. Primarily for those leases currently classified by us as operating leases, we recognize a single lease cost on a straight line basis. Other leases are required to be accounted for as financing arrangements similar to how we previously accounted for capital leases. Upon adoption we elected a package of practical expedients permitted under the transition guidance within the new standard. The practical expedients adopted allowed us to carry forward the historical lease classification, allowed us to not separate and allocate the consideration paid between lease and non-lease components included within a contract and allowed us to carry forward our accounting treatment for land easements on existing agreements. We also adopted an optional transition method finalized by the FASB in July 2018 that waives the requirement to apply this ASU in the comparative periods presented within the financial statements in the year of adoption. Therefore, results for reporting periods beginning after February 1, 2019 are presented under ASC Topic 842, while prior period amounts are not adjusted and continue to be reported in accordance with the Company’s historic accounting policies under ASC Topic 840.

Additionally, we have elected the short-term policy election for the Company for any lease that, at the commencement date, has a lease term of twelve months or less. We will not recognize a lease liability or right-of-use asset on the balance sheet for any of our short-term leases. Rather, the short-term lease payments will be recognized as an expense on a straight-line basis over the lease term. The current period short-term lease expense reasonably reflects our short-term lease commitments.

The cumulative effect of the changes made to the Company’s Condensed Consolidated Balance Sheet as a result of the adoption of ASC 842 were as follows (in thousands):



	Impact of Adoption of ASC 842
(in thousands)	Balance at January 31, 2019		Adjustments due to ASC 842			Balance at February 1, 2019
Assets
Current Assets ⁽¹⁾	$	1,014,394	$	(2,983	)	$	1,011,411
Operating lease right-of-use assets ⁽²⁾	—		227,421			227,421
Deferred income taxes ⁽³⁾	27,535		(1,447		)	26,088
Liabilities						—
Current liabilities ⁽⁴⁾	237,568		(12,426		)	225,142
Operating lease liability - current ⁽⁵⁾	—		29,815			29,815
Deferred rent ⁽⁴⁾	93,127		(93,127		)	—
Operating lease liability - non-current ⁽⁵⁾	—		300,170			300,170
Other long-term liabilities ⁽³⁾	33,015		(7,606		)	25,409
Stockholder’s equity ⁽³⁾	619,975		6,160			626,135


(1)	Reclassification of the $3.0 million January 31, 2019 balance of accounts receivable for tenant improvement allowances to a reduction in the operating lease liability.


(2)	The operating lease right-of-use assets represent the present value of the lease liability offset by the full value of deferred rent and tenant improvement allowances received from the lessor which had not been utilized as of the date of adoption.


(3)	A net cumulative-effect adjustment to increase retained earnings by $6.2 million to recognize the $7.6 million January 31, 2019 balance of deferred gains which resulted from sale and operating leaseback transactions made at off-market terms offset by the $1.4 million impact on our deferred tax asset related to the sale-leaseback transactions.


(4)	Reclassification of the full value of deferred rent and tenant improvement allowances received from lessors, which were previously recorded as liabilities as they had not been utilized as of the date of adoption, to a reduction of the operating lease right-of-use assets.


(5)	The operating lease liability represents the $340.5 million present value of future operating lease obligations as of January 31, 2019, offset by $10.5 million of accounts receivable for tenant improvement allowances.

Recent Accounting Pronouncements Yet To Be Adopted. In June 2016, the FASB issued ASU 2016-13, Financial Instruments—Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments. ASU 2016-13 requires that financial assets measured at amortized cost be presented at the net amount expected to be collected through an allowance for credit losses that is deducted from the amortized cost basis. The allowance for credit losses should reflect management’s current estimate of credit losses that are expected to occur over the remaining life of a financial asset. The standard will become effective for us in the first quarter of fiscal year 2021 and early adoption is permitted beginning in the first quarter of fiscal year 2020. In April 2019, the FASB issued ASU 2019-04, Codification Improvements to Topic 326, Financial Instruments - Credit Losses. ASU 2019-04 requires that the current estimate of recoveries are included in the allowance for credit losses. We have formed a cross-functional working group comprised of individuals from various functional areas including credit, finance, accounting, and information technology. While we are currently evaluating the likely impact the adoption of this ASU will have on our Consolidated Financial Statements, the adoption of ASU 2016-13 is likely to result in a material increase in the allowance for loan losses as a result of changing from an “incurred loss” model, which encompasses allowances for current known and inherent losses within the portfolio, to an “expected loss” model, which encompasses allowances for losses expected to be incurred over the life of the portfolio.

Customer Accounts Receivable

3 Months Ended

Apr. 30, 2019

Receivables [Abstract]

Customer Accounts Receivable

Customer accounts receivable consisted of the following:



(in thousands)	April 30, 2019			January 31, 2019
Customer accounts receivable portfolio balance	$	1,534,692		$	1,589,828
Deferred fees and origination costs, net	(15,897		)	(16,579		)
Allowance for no-interest option credit programs	(17,004		)	(19,257		)
Allowance for uncollectible interest	(14,647		)	(15,555		)
Carrying value of customer accounts receivable	1,487,144			1,538,437
Allowance for bad debts	(191,880		)	(199,324		)
Carrying value of customer accounts receivable, net of allowance for bad debts	1,295,264			1,339,113
Short-term portion of customer accounts receivable, net	(642,385		)	(652,769		)
Long-term customer accounts receivable, net	$	652,879		$	686,344



	Carrying Value
(in thousands)	April 30, 2019		January 31, 2019
Customer accounts receivable 60+ days past due ⁽¹⁾	$	128,870	$	146,188
Re-aged customer accounts receivable ⁽²⁾⁽³⁾	383,321		395,576
Restructured customer accounts receivable ⁽⁴⁾	187,179		183,641


(1)	As of April 30, 2019 and January 31, 2019, the carrying value of customer accounts receivable past due one day or greater was $394.8 million and $420.9 million, respectively. These amounts include the 60+ days past due balances shown above.


(2)	The re-aged carrying value as of April 30, 2019 and January 31, 2019 includes $80.3 million and $92.4 million in carrying value that are both 60+ days past due and re-aged.


(3)	The re-aged carrying value as of April 30, 2019 and January 31, 2019 includes $20.5 million and $26.5 million in first time re-ages related to customers within FEMA-designated Hurricane Harvey disaster areas.


(4)	The restructured carrying value as of April 30, 2019 and January 31, 2019 includes $37.4 million and $43.9 million in carrying value that are both 60+ days past due and restructured.

The following presents the activity in our allowance for doubtful accounts and uncollectible interest for customer accounts receivable:



	Three Months Ended April 30, 2019									Three Months Ended April 30, 2018
(in thousands)	Customer Accounts Receivable			Restructured Accounts			Total			Customer Accounts Receivable			Restructured Accounts			Total
Allowance at beginning of period	$	147,123		$	67,756		$	214,879		$	148,856		$	54,716		$	203,572
Provision ⁽¹⁾	35,275			16,925			52,200			38,740			16,660			55,400
Principal charge-offs ⁽²⁾	(39,723		)	(14,809		)	(54,532		)	(39,775		)	(11,144		)	(50,919		)
Interest charge-offs	(9,099		)	(3,392		)	(12,491		)	(7,360		)	(2,062		)	(9,422		)
Recoveries ⁽²⁾	4,714			1,757			6,471			4,272			1,197			5,469
Allowance at end of period	$	138,290		$	68,237		$	206,527		$	144,733		$	59,367		$	204,100
Average total customer portfolio balance	$	1,368,094		$	190,228		$	1,558,322		$	1,347,373		$	159,410		$	1,506,783


(1)	Includes provision for uncollectible interest, which is included in finance charges and other revenues.


(2)	Charge-offs include the principal amount of losses (excluding accrued and unpaid interest). Recoveries include the principal amount collected during the period for previously charged-off balances. Net charge-offs are calculated as the net of principal charge-offs and recoveries.

- Definition

The entire disclosure for claims held for amounts due a entity, excluding financing receivables. Examples include, but are not limited to, trade accounts receivables, notes receivables, loans receivables. Includes disclosure for allowance for credit losses.

+ References + Details

Finance Charges and Other Revenue

3 Months Ended

Apr. 30, 2019

Supplemental Disclosure of Finance Charges and Other Revenue [Abstract]

Finance Charges and Other Revenues

Finance charges and other revenues consisted of the following:



	Three Months Ended April 30,
(in thousands)	2019		2018
Interest income and fees	$	84,017	$	76,346
Insurance income	7,314		6,271
Other revenues	202		14
Total finance charges and other revenues	$	91,533	$	82,631

Interest income and fees and insurance income are derived from the credit segment operations, whereas other revenues are derived from the retail segment operations. Insurance income is comprised of sales commissions from third-party insurance companies that are recognized when coverage is sold and retrospective income paid by the insurance carrier if insurance claims are less than earned premiums.

During the three months ended April 30, 2019 and 2018, interest income and fees reflected provisions for uncollectible interest of $12.3 million and $11.5 million, respectively. The amount included in interest income and fees related to TDR accounts for the three months ended April 30, 2019 and 2018 were $8.1 million and $5.8 million, respectively.

Debt and Financing Lease Obligations

3 Months Ended

Apr. 30, 2019

Debt Disclosure [Abstract]

Debt and Financing Lease Obligations

Debt and financing lease obligations consisted of the following:



(in thousands)	April 30, 2019			January 31, 2019
Revolving Credit Facility	$	—		$	266,500
Senior Notes	227,000			227,000
2017-B VIE Asset-backed Class B Notes	59,397			98,297
2017-B VIE Asset-backed Class C Notes	78,640			78,640
2018-A VIE Asset-backed Class A Notes	80,444			105,971
2018-A VIE Asset-backed Class B Notes	48,514			63,908
2018-A VIE Asset-backed Class C Notes	48,514			63,908
2019-A VIE Asset-backed Class A Notes	254,530			—
2019-A VIE Asset-backed Class B Notes	64,750			—
2019-A VIE Asset-backed Class C Notes	62,510			—
Warehouse Notes	24,684			53,635
Financing lease obligations	5,213			5,075
Total debt and financing lease obligations	954,196			962,934
Less:
Discount on debt	(1,825		)	(1,966		)
Deferred debt issuance costs	(7,930		)	(5,637		)
Current maturities of long-term debt and financing lease obligations	(25,191		)	(54,109		)
Long-term debt and financing lease obligations	$	919,250		$	901,222

Senior Notes. On July 1, 2014, we issued $250.0 million of unsecured Senior Notes due July 2022 bearing interest at 7.25% (the “Senior Notes”), pursuant to an indenture dated July 1, 2014 (as amended, the “Indenture”), among Conn’s, Inc., its subsidiary guarantors (the “Guarantors”) and U.S. Bank National Association, as trustee. The effective interest rate of the Senior Notes after giving effect to the discount and issuance costs is 7.8%.

The Indenture restricts the Company’s and certain of its subsidiaries’ ability to: (i) incur indebtedness; (ii) pay dividends or make other distributions in respect of, or repurchase or redeem, our capital stock (“restricted payments”); (iii) prepay, redeem or repurchase debt that is junior in right of payment to the notes; (iv) make loans and certain investments; (v) sell assets; (vi) incur liens; (vii) enter into transactions with affiliates; and (viii) consolidate, merge or sell all or substantially all of our assets. These covenants are subject to a number of important exceptions and qualifications. During any time when the Senior Notes are rated investment grade by either of Moody’s Investors Service, Inc. or Standard & Poor’s Ratings Services and no default (as defined in the Indenture) has occurred and is continuing, many of such covenants will be suspended and we will cease to be subject to such covenants during such period. As of April 30, 2019, $238.1 million would have been free from the distribution restriction covenant contained in the Indenture. Events of default under the Indenture include customary events, such as a cross-acceleration provision in the event that we fail to make payment of other indebtedness prior to the expiration of any applicable grace period or upon acceleration of indebtedness prior to its stated maturity date in an amount exceeding $25.0 million, as well as in the event a judgment is entered against us in excess of $25.0 million that is not discharged, bonded or insured.

Asset-backed Notes. From time to time, we securitize customer accounts receivables by transferring the receivables to various bankruptcy-remote VIEs. In turn, the VIEs issue asset-backed notes secured by the transferred customer accounts receivables and restricted cash held by the VIEs.

Under the terms of the securitization transactions, all cash collections and other cash proceeds of the customer receivables go first to the servicer and the holders of issued notes, and then to us as the holder of non-issued notes, if any, and residual equity. We retain the servicing of the securitized portfolios and receive a monthly fee of 4.75% (annualized) based on the outstanding balance of the securitized receivables. In addition, we, rather than the VIEs, retain all credit insurance income together with certain recoveries related to credit insurance and RSAs on charge-offs of the securitized receivables, which are reflected as a reduction to net charge-offs on a consolidated basis.

The asset-backed notes were offered and sold to qualified institutional buyers pursuant to the exemptions from registration provided by Rule 144A under the Securities Act of 1933, as amended. If an event of default were to occur under the indenture that governs the respective asset-backed notes, the payment of the outstanding amounts may be accelerated, in which event the cash proceeds of the receivables that otherwise might be released to the residual equity holder would instead be directed entirely toward repayment of the asset-backed notes, or if the receivables are liquidated, all liquidation proceeds could be directed solely to repayment of the asset-backed notes as governed by the respective terms of the asset-backed notes. The holders of the asset-backed notes have no recourse to assets outside of the VIEs. Events of default include, but are not limited to, failure to make required payments on the asset-backed notes or specified bankruptcy-related events.

The asset-backed notes outstanding as of April 30, 2019 consisted of the following:



(dollars in thousands)
Asset-Backed Notes	Original Principal Amount		Original Net Proceeds ⁽¹⁾		Current Principal Amount		Issuance Date	Maturity Date	Contractual Interest Rate	Effective Interest Rate ⁽²⁾
2017-B Class B Notes	$	132,180	$	131,281	$	59,397	12/20/2017	4/15/2021	4.52%	5.31%
2017-B Class C Notes	78,640		77,843		78,640		12/20/2017	11/15/2022	5.95%	6.37%
2018-A Class A Notes	219,200		217,832		80,444		8/15/2018	1/17/2023	3.25%	4.79%
2018-A Class B Notes	69,550		69,020		48,514		8/15/2018	1/17/2023	4.65%	5.59%
2018-A Class C Notes	69,550		68,850		48,514		8/15/2018	1/17/2023	6.02%	6.96%
2019-A Class A Notes	254,530		253,026		254,530		4/24/2019	10/16/2023	3.40%	4.87%
2019-A Class B Notes	64,750		64,276		64,750		4/24/2019	10/16/2023	4.36%	5.06%
2019-A Class C Notes	62,510		61,898		62,510		4/24/2019	10/16/2023	5.29%	5.99%
Warehouse Notes	121,060		118,972		24,684		7/16/2018	1/15/2020	Index + 2.50% ⁽³⁾	5.91%
Total	$	1,071,970	$	1,062,998	$	721,983


(1)	After giving effect to debt issuance costs.


(2)	For the three months ended April 30, 2019, and inclusive of the impact of changes in timing of actual and expected cash flows.


(3)	The rate on the Warehouse Notes is defined as the applicable index plus a 2.50% fixed margin.

On April 24, 2019, the Company completed the issuance and sale of asset-backed notes at a face amount of $381.8 million secured by the transferred customer accounts receivables and restricted cash held by a VIE, which resulted in net proceeds to us of $379.2 million, net of debt issuance costs. Net proceeds from the offering were used to repay indebtedness under the Company’s Revolving Credit Facility, as defined below, and for other general corporate purposes. The asset-backed notes mature on October 16, 2023 and consist of $254.5 million of 3.40% Series 2019-A, Class A Asset Backed Fixed Rate Notes, $64.8 million of 4.36% Series 2019-A, Class B Asset Backed Fixed Rate Notes and $62.5 million of 5.29%, Series 2019-A, Class C Asset Backed Fixed Rate Notes.

Revolving Credit Facility. On May 23, 2018, Conn’s, Inc. and certain of its subsidiaries (the “Borrowers”) entered into a Fourth Amendment to the Fourth Amended and Restated Loan and Security Agreement (the “Fourth Amendment”), dated as of October 30, 2015, with certain lenders, which provides for a $650.0 million asset-based revolving credit facility (the “Revolving Credit Facility”) under which credit availability is subject to a borrowing base and a maturity date of May 23, 2022.

Loans under the Revolving Credit Facility bear interest, at our option, at a rate equal to LIBOR plus the applicable margin ranging from 2.50% to 3.25% per annum (depending on a pricing grid determined by our total leverage ratio) or the alternate base rate plus a margin ranging from 1.50% to 2.25% per annum (depending on a pricing grid determined by our total leverage ratio). The alternate base rate is the greatest of the prime rate announced by Bank of America, N.A., the federal funds rate plus 0.5%, or LIBOR for a 30-day interest period plus 1.0%. We also pay an unused fee on the portion of the commitments that is available for future borrowings or letters of credit at a rate ranging from 0.25% to 0.50% per annum, depending on the average outstanding balance and letters of credit of the Revolving Credit Facility in the immediately preceding quarter. The weighted-average interest rate on borrowings outstanding and including unused line fees under the Revolving Credit Facility was 5.9% for the three months ended April 30, 2019.

The Revolving Credit Facility provides funding based on a borrowing base calculation that includes customer accounts receivable and inventory, and provides for a $40.0 million sub-facility for letters of credit to support obligations incurred in the ordinary course of business. The obligations under the Revolving Credit Facility are secured by substantially all assets of the Company, excluding the assets of the VIEs. As of April 30, 2019, we had immediately available borrowing capacity of $429.4 million under our Revolving Credit Facility, net of standby letters of credit issued of $2.5 million. We also had $218.1 million that may become available under our Revolving Credit Facility if we grow the balance of eligible customer receivables and total eligible inventory balances.

The Revolving Credit Facility places restrictions on our ability to incur additional indebtedness, grant liens on assets, make distributions on equity interests, dispose of assets, make loans, pay other indebtedness, engage in mergers, and other matters. The Revolving Credit Facility restricts our ability to make dividends and distributions unless no event of default exists and a liquidity test is satisfied. Subsidiaries of the Company may pay dividends and make distributions to the Company and other obligors under the Revolving Credit Facility without restriction. As of April 30, 2019, we were restricted from making distributions, including repayments of the Senior Notes or other distributions, in excess of $274.3 million as a result of the Revolving Credit Facility distribution restrictions. The Revolving Credit Facility contains customary default provisions, which, if triggered, could result in acceleration of all amounts outstanding under the Revolving Credit Facility.

Debt Covenants. We were in compliance with our debt covenants, as amended, at April 30, 2019. A summary of the significant financial covenants that govern our Revolving Credit Facility, as amended, compared to our actual compliance status at April 30, 2019 is presented below:



	Actual	Required Minimum/ Maximum
Interest Coverage Ratio for the quarter must equal or exceed minimum	4.09:1.00	1.00:1.00
Interest Coverage Ratio for the trailing two quarters must equal or exceed minimum	4.60:1.00	1.50:1.00
Leverage Ratio must not exceed maximum	1.77:1.00	4.00:1.00
ABS Excluded Leverage Ratio must not exceed maximum	0.76:1.00	2.00:1.00
Capital Expenditures, net, must not exceed maximum	$20.3 million	$100.0 million

All capitalized terms in the above table are defined by the Revolving Credit Facility and may or may not agree directly to the financial statement captions in this document. The covenants are calculated quarterly, except for capital expenditures, which is calculated for a period of four consecutive fiscal quarters, as of the end of each fiscal quarter.

Leases

3 Months Ended

Apr. 30, 2019

Leases [Abstract]

Leases

We lease most of our current store locations and certain of our facilities and operating equipment under operating leases. The fixed, non-cancelable terms of our real estate leases are generally five to 15 years and generally include renewal options that allow us to extend the term beyond the initial non-cancelable term. However, prior to the expiration of the existing contract, the Company will typically renegotiate any lease contracts as opposed to continuing in the current lease under the renewal terms. As such, the lease renewal options are not recognized as part of the right-of-use assets and liabilities. Most of the real estate leases require payment of real estate taxes, insurance and certain common area maintenance costs in addition to future minimum lease payments. Equipment leases generally provide for initial lease terms of three to five years and provide for a purchase right at the end of the lease term at the then fair market value of the equipment.

Certain operating leases contain tenant allowance provisions, which obligate the landlord to remit cash to us as an incentive to enter into the lease agreement. We record the full amount to be remitted by the landlord as a reduction to the operating lease right-of-use assets upon commencement of the lease and amortize the balance on a straight-line basis over the life of the lease.

Supplemental lease information is summarized below:



(in thousands)	Balance sheet classification	April 30, 2019
Assets
Operating lease assets	Operating lease right-of-use assets	$	230,393
Finance lease assets	Property and equipment, net	4,791
Total leased assets		235,184
Liabilities
Operating ⁽¹⁾	Operating lease liability - current	$	41,967
Finance	Current maturities of debt and finance lease obligations	706
Operating	Operating lease liability - non current	311,238
Finance	Long-term debt and finance lease obligations	4,507
Total lease liabilities		$	358,418


(1)	Represents the gross operating lease liability before tenant improvement allowances. As of April 30, 2019 we had $18.0 million of tenant improvement allowances to be remitted by the landlord.



Lease Cost		Three Months Ended April 30,
(in thousands)	Income statement classification	2019
Operating lease costs ⁽¹⁾	Selling, general and administrative expense	$	13,928


(1)	Includes short-term and variable lease costs, which are not significant.

Operating lease right-of-use assets and liabilities are recognized at the commencement date based on the present value of lease payments over the lease term. As most of our leases do not provide an implicit rate, we use our incremental borrowing rate based on the information available at commencement date in determining the present value of lease payments.

Additional details regarding the Company’s leasing activities as a lessee are presented below:



Other Information	Three Months Ended April 30,
(dollars in thousands)	2019
Cash paid for amounts included in the measurement of lease liabilities
Operating cash flows from operating leases	$	16,496
Weighted-average remaining lease term (in years)
Finance Leases	11.8
Operating Leases	7.3
Weighted-average discount rate
Finance Leases	6.2		%
Operating Leases ⁽¹⁾	8.7		%


(1)	Upon adoption of ASC 842, discount rates for existing operating leases were established as of February 1, 2019.

The following table presents a summary of our minimum contractual commitments and obligations as of April 30, 2019:



	Operating Leases		Finance Leases		Total
(in thousands)	Operating Leases		Finance Leases		Total
Quarter ending April 30,
2020	$	70,214	$	1,035	$	71,249
2021	69,303		793		70,096
2022	68,072		730		68,802
2023	65,100		539		65,639
2024	59,070		655		59,725
Thereafter	147,272		3,699		150,971
Total undiscounted cash flows	479,031		7,451		486,482
Less: Interest	125,826		2,238		128,064
Total lease liabilities	$	353,205	$	5,213	$	358,418

Leases

Supplemental lease information is summarized below:



(in thousands)	Balance sheet classification	April 30, 2019
Assets
Operating lease assets	Operating lease right-of-use assets	$	230,393
Finance lease assets	Property and equipment, net	4,791
Total leased assets		235,184
Liabilities
Operating ⁽¹⁾	Operating lease liability - current	$	41,967
Finance	Current maturities of debt and finance lease obligations	706
Operating	Operating lease liability - non current	311,238
Finance	Long-term debt and finance lease obligations	4,507
Total lease liabilities		$	358,418


(1)	Represents the gross operating lease liability before tenant improvement allowances. As of April 30, 2019 we had $18.0 million of tenant improvement allowances to be remitted by the landlord.



Lease Cost		Three Months Ended April 30,
(in thousands)	Income statement classification	2019
Operating lease costs ⁽¹⁾	Selling, general and administrative expense	$	13,928


(1)	Includes short-term and variable lease costs, which are not significant.

Additional details regarding the Company’s leasing activities as a lessee are presented below:



Other Information	Three Months Ended April 30,
(dollars in thousands)	2019
Cash paid for amounts included in the measurement of lease liabilities
Operating cash flows from operating leases	$	16,496
Weighted-average remaining lease term (in years)
Finance Leases	11.8
Operating Leases	7.3
Weighted-average discount rate
Finance Leases	6.2		%
Operating Leases ⁽¹⁾	8.7		%


(1)	Upon adoption of ASC 842, discount rates for existing operating leases were established as of February 1, 2019.

The following table presents a summary of our minimum contractual commitments and obligations as of April 30, 2019:



	Operating Leases		Finance Leases		Total
(in thousands)	Operating Leases		Finance Leases		Total
Quarter ending April 30,
2020	$	70,214	$	1,035	$	71,249
2021	69,303		793		70,096
2022	68,072		730		68,802
2023	65,100		539		65,639
2024	59,070		655		59,725
Thereafter	147,272		3,699		150,971
Total undiscounted cash flows	479,031		7,451		486,482
Less: Interest	125,826		2,238		128,064
Total lease liabilities	$	353,205	$	5,213	$	358,418

Contingencies	3 Months Ended
Contingencies	Apr. 30, 2019
Commitments and Contingencies Disclosure [Abstract]
Contingencies	Contingencies Securities Litigation. On April 2, 2018, MicroCapital Fund, LP, MicroCapital Fund, Ltd., and MicroCapital LLC (collectively, “MicroCapital”) filed a lawsuit against us and certain of our former executive officers in the U.S. District Court for the Southern District of Texas, Cause No. 4:18-CV-01020 (the “MicroCapital Action”). The plaintiffs in this action allege that the defendants made false and misleading statements or failed to disclose material facts about our credit and underwriting practices, accounting and internal controls. Plaintiffs allege violations of sections 10(b) and 20(a) of the Securities Exchange Act of 1934 and Rule 10b-5 promulgated thereunder, Texas and Connecticut common law fraud, and Texas common law negligent misrepresentation against all defendants; as well as violations of section 20A of the Securities Exchange Act of 1934; and Connecticut common law negligent misrepresentation against certain defendants arising from plaintiffs’ purchase of Conn’s, Inc. securities between April 3, 2013 and February 20, 2014. The complaint does not specify the amount of damages sought. The Court previously had stayed the MicroCapital Action pending resolution of other outstanding litigation (In re Conn’s Inc. Sec. Litig., Cause No. 14-CV-00548 (S.D. Tex.) (the “Consolidated Securities Action”)), which was settled in October 2018. After that settlement, the stay was lifted, and the defendants filed a motion to dismiss plaintiff’s complaint in the MicroCapital Action on November 6, 2018. Briefing on the motion to dismiss was completed on January 16, 2019. The Court’s ruling is pending. We intend to vigorously defend our interests in the MicroCapital Action. It is not possible at this time to predict the timing or outcome of this litigation, and we cannot reasonably estimate the possible loss or range of possible loss from these claims. Derivative Litigation. On December 1, 2014, an alleged shareholder, purportedly on behalf of the Company, filed a derivative shareholder lawsuit against us and certain of our current and former directors and former executive officers in the U.S. District Court for the Southern District of Texas, captioned as Robert Hack, derivatively on behalf of Conn’s, Inc., v. Theodore M. Wright (former executive officer and former director), Bob L. Martin, Jon E.M. Jacoby (former director), Kelly M. Malson, Douglas H. Martin, David Schofman, Scott L. Thompson (former director), Brian Taylor (former executive officer) and Michael J. Poppe (former executive officer) and Conn’s, Inc., Case No. 4:14-cv-03442 (the “Original Derivative Action”). The complaint asserts claims for breach of fiduciary duty, unjust enrichment, gross mismanagement, and insider trading based on substantially similar factual allegations as those asserted in the Consolidated Securities Action. The plaintiff seeks unspecified damages against these persons and does not request any damages from us. Setting forth substantially similar claims against the same defendants, on February 25, 2015, an additional federal derivative action, captioned 95250 Canada LTEE, derivatively on Behalf of Conn’s, Inc. v. Wright et al., Cause No. 4:15-cv-00521, was filed in the U.S. District Court for the Southern District of Texas, which has been consolidated with the Original Derivative Action. The Court previously approved a stipulation among the parties to stay the Original Derivative Action pending resolution of the Consolidated Securities Action. The stay was lifted on November 1, 2018, and the defendants filed a motion to dismiss plaintiff’s complaint. Briefing on the motion to dismiss was completed December 3, 2018. The Court’s ruling is pending. The parties are currently engaging in discovery. Another derivative action was filed on January 27, 2015, captioned as Richard A. Dohn v. Wright, et al., Cause No. 2015-04405, in the 281st Judicial District Court, Harris County, Texas. This action makes substantially similar allegations to the Original Derivative Action against the same defendants. We received a copy of the proposed amended petition on October 12, 2018, but the amended proposed petition has not yet been filed. The parties jointly requested a stay on this case pending resolution of the Original Derivative Action. This case remains stayed until at least June 27, 2019. Prior to filing a lawsuit, an alleged shareholder, Robert J. Casey II (“Casey”), submitted a demand under Delaware law, which our Board of Directors refused. On May 19, 2016, Casey, purportedly on behalf of the Company, filed a lawsuit against us and certain of our current and former directors and former executive officers in the 55th Judicial District Court, Harris County, Texas, captioned as Casey, derivatively on behalf of Conn’s, Inc., v. Theodore M. Wright (former executive officer and former director), Michael J. Poppe (former executive officer), Brian Taylor (former executive officer), Bob L. Martin, Jon E.M. Jacoby (former director), Kelly M. Malson, Douglas H. Martin, David Schofman, Scott L. Thompson (former director) and William E. Saunders Jr., and Conn’s, Inc., Cause No. 2016-33135. The complaint asserts claims for breach of fiduciary duties and unjust enrichment based on substantially similar factual allegations as those asserted in the Original Derivative Action. The complaint does not specify the amount of damages sought. No further activity has occurred in this case since the Final Order and Judgment was entered in the Consolidated Securities Action. Other than Casey, none of the plaintiffs in the other derivative actions made a demand on our Board of Directors prior to filing their respective lawsuits. The defendants in the derivative actions intend to vigorously defend against these claims. It is not possible at this time to predict the timing or outcome of any of this litigation, and we cannot reasonably estimate the possible loss or range of possible loss from these claims. Regulatory Matters. We are continuing to cooperate with the SEC's investigation of our underwriting policies and bad debt provisions, which began in November 2014. The investigation is a non-public, fact-finding inquiry, and the SEC has stated that the investigation does not mean that any violations of law have occurred. In addition, we are involved in other routine litigation and claims incidental to our business from time to time which, individually or in the aggregate, are not expected to have a material adverse effect on us. As required, we accrue estimates of the probable costs for the resolution of these matters. These estimates have been developed in consultation with counsel and are based upon an analysis of potential results, assuming a combination of litigation and settlement strategies. However, the results of these proceedings cannot be predicted with certainty, and changes in facts and circumstances could impact our estimate of reserves for litigation. The Company believes that any probable and reasonably estimable loss associated with the foregoing has been adequately reflected in the accompanying financial statements.

Variable Interest Entity

3 Months Ended

Apr. 30, 2019

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Variable Interest Entity

Variable Interest Entities

From time to time, we securitize customer accounts receivables by transferring the receivables to various bankruptcy-remote VIEs. Under the terms of the respective securitization transactions, all cash collections and other cash proceeds of the customer receivables go first to the servicer and the holders of the asset-backed notes, and then to the residual equity holder. We retain the servicing of the securitized portfolio and receive a monthly fee of 4.75% (annualized) based on the outstanding balance of the securitized receivables, and we currently hold all of the residual equity. In addition, we, rather than the VIEs, will retain certain credit insurance income together with certain recoveries related to credit insurance and RSAs on charge-offs of the securitized receivables, which will continue to be reflected as a reduction of net charge-offs on a consolidated basis for as long as we consolidate the VIEs.

We consolidate VIEs when we determine that we are the primary beneficiary of these VIEs, we have the power to direct the activities that most significantly impact the performance of the VIEs and our obligation to absorb losses and the right to receive residual returns are significant.

The following table presents the assets and liabilities held by the VIEs (for legal purposes, the assets and liabilities of the VIEs will remain distinct from Conn’s, Inc.):



(in thousands)	April 30, 2019			January 31, 2019
Assets:
Restricted cash	$	76,443		$	57,475
Due from Conn’s, Inc., net	2,650			5,504
Customer accounts receivable:
Customer accounts receivable	807,614			538,826
Restructured accounts	148,375			135,834
Allowance for uncollectible accounts	(135,024		)	(106,327		)
Allowance for no-interest option credit programs	(10,744		)	(8,047		)
Deferred fees and origination costs	(8,324		)	(5,321		)
Total customer accounts receivable, net	801,897			554,965
Total assets	$	880,990		$	617,944
Liabilities:
Accrued expenses	$	5,069		$	3,939
Other liabilities	5,188			5,513
Short-term debt:
Warehouse Notes	24,485			53,635

Long-term debt:
2017-B Class B Notes	59,397			98,297
2017-B Class C Notes	78,640			78,640
2018-A Class A Notes	80,444			105,971
2018-A Class B Notes	48,514			63,908
2018-A Class C Notes	48,514			63,908
2019-A Class A Notes	254,530			—
2019-A Class B Notes	64,750			—
2019-A Class C Notes	62,510			—
	697,299			410,724
Less: deferred debt issuance costs	(5,282		)	(2,731		)
Total long-term debt	692,017			407,993
Total debt	$	716,502		$	461,628
Total liabilities	$	726,759		$	471,080

The assets of the VIEs serve as collateral for the obligations of the VIEs. The holders of asset-backed notes have no recourse to assets outside of the respective VIEs.

Segment Reporting

3 Months Ended

Apr. 30, 2019

Segment Reporting [Abstract]

Segment Reporting

Segment Information

Operating segments are defined as components of an enterprise that engage in business activities and for which discrete financial information is available that is evaluated on a regular basis by the chief operating decision maker to make decisions about how to allocate resources and assess performance. We are a leading specialty retailer and offer a broad selection of quality, branded durable consumer goods and related services in addition to a proprietary credit solution for our core credit-constrained consumers. We have two operating segments: (i) retail and (ii) credit. Our operating segments complement one another. The retail segment operates primarily through our stores and website. Our retail segment product offerings include furniture and mattresses, home appliances, consumer electronics and home office products from leading global brands across a wide range of price points. Our credit segment offers affordable financing solutions to a large, under-served population of credit-constrained consumers who typically have limited credit alternatives. Our operating segments provide customers the opportunity to comparison shop across brands with confidence in our competitive prices as well as affordable monthly payment options, next day delivery and installation in the majority of our markets, and product repair service. The operating segments follow the same accounting policies used in our Condensed Consolidated Financial Statements.

We evaluate a segment’s performance based upon operating income before taxes. Selling, general and administrative expenses (“SG&A”) includes the direct expenses of the retail and credit operations, allocated overhead expenses, and a charge to the credit segment to reimburse the retail segment for expenses it incurs related to occupancy, personnel, advertising and other direct costs of the retail segment, which benefit the credit operations by sourcing credit customers and collecting payments. The reimbursement received by the retail segment from the credit segment is calculated using an annual rate of 2.5% times the average outstanding portfolio balance for each applicable period.

As of April 30, 2019, we operated retail stores in 14 states with no operations outside of the United States. No single customer accounts for more than 10% of our total revenues.

Financial information by segment is presented in the following tables:



	Three Months Ended April 30, 2019									Three Months Ended April 30, 2018
(in thousands)	Retail			Credit			Total			Retail		Credit			Total
Revenues:
Furniture and mattress	$	88,364		$	—		$	88,364		$	97,020	$	—		$	97,020
Home appliance	77,290			—			77,290			78,023		—			78,023
Consumer electronics	49,649			—			49,649			52,302		—			52,302
Home office	15,706			—			15,706			18,310		—			18,310
Other	3,436			—			3,436			3,659		—			3,659
Product sales	234,445			—			234,445			249,314		—			249,314
Repair service agreement commissions	24,024			—			24,024			22,863		—			22,863
Service revenues	3,510			—			3,510			3,579		—			3,579
Total net sales	261,979			—			261,979			275,756		—			275,756
Finance charges and other revenues	202			91,331			91,533			14		82,617			82,631
Total revenues	262,181			91,331			353,512			275,770		82,617			358,387
Costs and expenses:
Cost of goods sold	157,228			—			157,228			166,589		—			166,589
Selling, general and administrative expense ⁽¹⁾	79,622			38,292			117,914			77,752		37,126			114,878
Provision for bad debts	129			39,917			40,046			260		43,896			44,156
Charges and credits	(695		)	—			(695		)	—		—			—
Total costs and expenses	236,284			78,209			314,493			244,601		81,022			325,623
Operating income	25,897			13,122			39,019			31,169		1,595			32,764
Interest expense	—			14,497			14,497			—		16,820			16,820
Loss on extinguishment of debt	—			—			—			—		406			406
Income (loss) before income taxes	$	25,897		$	(1,375	)	$	24,522		$	31,169	$	(15,631	)	$	15,538
	April 30, 2019									April 30, 2018
(in thousands)	Retail			Credit			Total			Retail		Credit			Total
Total assets	$	613,117		$	1,477,167		$	2,090,284		$	375,087	$	1,409,662		$	1,784,749


(1)	For the three months ended April 30, 2019 and 2018, the amount of corporate overhead allocated to each segment reflected in SG&A was $7.9 million and $8.4 million, respectively. For the three months ended April 30, 2019 and 2018, the amount of reimbursement made to the retail segment by the credit segment was $9.7 million and $9.4 million, respectively.

Guarantor Financial Information

3 Months Ended

Apr. 30, 2019

Condensed Financial Information Disclosure [Abstract]

Guarantor Financial Information

Conn’s, Inc. is a holding company with no independent assets or operations other than its investments in its subsidiaries. The Senior Notes, which were issued by Conn’s, Inc., are fully and unconditionally guaranteed on a joint and several senior unsecured basis by the Guarantors. As of April 30, 2019 and January 31, 2019, the direct or indirect subsidiaries of Conn’s, Inc. that were not Guarantors (the “Non-Guarantor Subsidiaries”) were the VIEs and minor subsidiaries. There are no restrictions under the Indenture on the ability of any of the Guarantors to transfer funds to Conn’s, Inc. in the form of dividends or distributions.

The following financial information presents the Condensed Consolidated Balance Sheet, Condensed Consolidated Statement of Income, and Condensed Consolidated Statement of Cash Flows for Conn’s, Inc. (the issuer of the Senior Notes), the Guarantors, and the Non-Guarantor Subsidiaries, together with certain eliminations. Investments in subsidiaries are accounted for by the parent company using the equity method for purposes of this presentation. Results of operations of subsidiaries are therefore reflected in the parent company’s investment accounts and operations. The condensed consolidated financial information includes financial data for:

(i) Conn’s, Inc. (on a parent-only basis),

(ii) Guarantors,

(iii) Non-Guarantor Subsidiaries, and

(iv) the parent company and the subsidiaries on a consolidated basis at April 30, 2019 and January 31, 2019 (after the elimination of intercompany balances and transactions).

Condensed Consolidated Balance Sheet as of April 30, 2019:



(in thousands)	Conn’s, Inc.		Guarantors		Non-Guarantor Subsidiaries		Eliminations			Consolidated
Assets
Current assets:
Cash and cash equivalents	$	—	$	9,767	$	—	$	—		$	9,767
Restricted cash	—		1,600		76,443		—			78,043
Customer accounts receivable, net of allowances	—		216,156		426,229		—			642,385
Other accounts receivable	—		57,660		—		—			57,660
Inventories	—		213,102		—		—			213,102
Other current assets	—		22,162		2,650		(6,567		)	18,245
Total current assets	—		520,447		505,322		(6,567		)	1,019,202
Investment in and advances to subsidiaries	850,483		154,231		—		(1,004,714		)	—
Long-term portion of customer accounts receivable, net of allowances	—		277,211		375,668		—			652,879
Property and equipment, net	—		153,696		—		—			153,696
Operating lease right-of-use assets	—		230,393		—		—			230,393
Deferred income taxes	24,863		—		—		—			24,863
Other assets	—		9,251		—		—			9,251
Total assets	$	875,346	$	1,345,229	$	880,990	$	(1,011,281	)	$	2,090,284
Liabilities and Stockholders’ Equity
Current liabilities:
Current maturities of debt and financing lease obligations	$	—	$	706	$	24,485	$	—		$	25,191
Accounts payable	—		57,266		—		—			57,266
Accrued expenses	4,800		64,763		5,069		(3,916		)	70,716
Operating lease liability - current	—		23,958		—		—			23,958
Other current liabilities	—		11,521		2,447		(2,651		)	11,317
Total current liabilities	4,800		158,214		32,001		(6,567		)	188,448
Operating lease liability - non current	—		311,238		—		—			311,238
Long-term debt and financing lease obligations	222,727		4,506		692,017		—			919,250
Other long-term liabilities	—		20,788		2,741		—			23,529
Total liabilities	227,527		494,746		726,759		(6,567		)	1,442,465
Total stockholders’ equity	647,819		850,483		154,231		(1,004,714		)	647,819
Total liabilities and stockholders’ equity	$	875,346	$	1,345,229	$	880,990	$	(1,011,281	)	$	2,090,284

Deferred income taxes related to tax attributes of the Guarantors and Non-Guarantor Subsidiaries are reflected under Conn’s, Inc.

Condensed Consolidated Balance Sheet as of January 31, 2019:



(in thousands)	Conn’s, Inc.		Guarantors		Non-Guarantor Subsidiaries		Eliminations			Consolidated
Assets
Current assets:
Cash and cash equivalents	$	—	$	5,912	$	—	$	—		$	5,912
Restricted cash	—		1,550		57,475		—			59,025
Customer accounts receivable, net of allowances	—		328,705		324,064		—			652,769
Other accounts receivable	—		67,078		—		—			67,078
Inventories	—		220,034		—		—			220,034
Other current assets	—		12,344		5,504		(8,272		)	9,576
Total current assets	—		635,623		387,043		(8,272		)	1,014,394
Investment in and advances to subsidiaries	815,524		146,864		—		(962,388		)	—
Long-term portion of customer accounts receivable, net of allowances	—		455,443		230,901		—			686,344
Property and equipment, net	—		148,983		—		—			148,983
Deferred income taxes	27,535		—		—		—			27,535
Other assets	—		7,651		—		—			7,651
Total assets	$	843,059	$	1,394,564	$	617,944	$	(970,660	)	$	1,884,907
Liabilities and Stockholders’ Equity
Current liabilities:
Current maturities of debt and financing lease obligations	$	—	$	474	$	53,635	$	—		$	54,109
Accounts payable	—		71,118		—		—			71,118
Accrued expenses	686		88,478		3,939		(2,768		)	90,335
Other current liabilities	—		24,918		2,592		(5,504		)	22,006
Total current liabilities	686		184,988		60,166		(8,272		)	237,568
Deferred rent	—		93,127		—		—			93,127
Long-term debt and financing lease obligations	222,398		270,831		407,993		—			901,222
Other long-term liabilities	—		30,094		2,921		—			33,015
Total liabilities	223,084		579,040		471,080		(8,272		)	1,264,932
Total stockholders’ equity	619,975		815,524		146,864		(962,388		)	619,975
Total liabilities and stockholders’ equity	$	843,059	$	1,394,564	$	617,944	$	(970,660	)	$	1,884,907

Deferred income taxes related to tax attributes of the Guarantor Subsidiaries and Non-Guarantor Subsidiaries are reflected under Conn’s, Inc.

Condensed Consolidated Statement of Income for the Three Months Ended April 30, 2019:



(in thousands)	Conn’s, Inc.			Guarantors			Non-Guarantor Subsidiaries			Eliminations			Consolidated
Revenues:
Total net sales	$	—		$	261,979		$	—		$	—		$	261,979
Finance charges and other revenues	—			64,025			27,508			—			91,533
Servicing fee revenue	—			8,833			—			(8,833		)	—
Total revenues	—			334,837			27,508			(8,833		)	353,512
Costs and expenses:
Cost of goods sold	—			157,228			—			—			157,228
Selling, general and administrative expense	—			119,456			7,291			(8,833		)	117,914
Provision for bad debts	—			23,984			16,062			—			40,046
Charges and credits	—			(695		)	—			—			(695		)
Total costs and expenses	—			299,973			23,353			(8,833		)	314,493
Operating income (loss)	—			34,864			4,155			—			39,019
Interest expense	4,443			4,587			5,467			—			14,497
Income (loss) before income taxes	(4,443		)	30,277			(1,312		)	—			24,522
Provision (benefit) for income taxes	(908		)	6,190			(269		)	—			5,013
Net income (loss)	(3,535		)	24,087			(1,043		)	—			19,509
Income (loss) from consolidated subsidiaries	23,044			(1,043		)	—			(22,001		)	—
Consolidated net income (loss)	$	19,509		$	23,044		$	(1,043	)	$	(22,001	)	$	19,509

Condensed Consolidated Statement of Income for the Three Months Ended April 30, 2018:



(in thousands)	Conn’s, Inc.			Guarantors			Non-Guarantor Subsidiaries			Eliminations			Consolidated
Revenues:
Total net sales	$	—		$	275,756		$	—		$	—		$	275,756
Finance charges and other revenues	—			45,655			36,976			—			82,631
Servicing fee revenue	—			16,746			—			(16,746		)	—
Total revenues	—			338,157			36,976			(16,746		)	358,387
Costs and expenses:
Cost of goods sold	—			166,589			—			—			166,589
Selling, general and administrative expense	—			119,793			11,831			(16,746		)	114,878
Provision for bad debts	—			7,008			37,148			—			44,156
Total costs and expenses	—			293,390			48,979			(16,746		)	325,623
Operating income (loss)	—			44,767			(12,003		)	—			32,764
Interest expense	4,443			3,033			9,344			—			16,820
Loss on extinguishment of debt	—			—			406			—			406
Income (loss) before income taxes	(4,443		)	41,734			(21,753		)	—			15,538
Provision (benefit) for income taxes	(802		)	7,537			(3,929		)	—			2,806
Net income (loss)	(3,641		)	34,197			(17,824		)	—			12,732
Income (loss) from consolidated subsidiaries	16,373			(17,824		)	—			1,451			—
Consolidated net income (loss)	$	12,732		$	16,373		$	(17,824	)	$	1,451		$	12,732

Condensed Consolidated Statement of Cash Flows for the Three Months Ended April 30, 2019:



(in thousands)	Conn’s, Inc.			Guarantors			Non-Guarantor Subsidiaries			Eliminations			Consolidated
Net cash provided by (used in) operating activities	$	(403	)	$	285,322		$	(235,259	)	$	—		$	49,660
Cash flows from investing activities:
Purchase of customer accounts receivables	—			—			(379,200		)	379,200			—
Sale of customer accounts receivables	—			—			379,200			(379,200		)	—
Purchase of property and equipment	—			(13,119		)	—			—			(13,119		)
Net cash used in investing activities	—			(13,119		)	—			—			(13,119		)
Cash flows from financing activities:
Proceeds from issuance of asset-backed notes	—			—			381,790			—			381,790
Payments on asset-backed notes	—			—			(95,214		)	—			(95,214		)
Borrowings from revolving credit facility	—			323,138			—			—			323,138
Payments on revolving credit facility	—			(589,638		)	—			—			(589,638		)
Payments of debt issuance costs and amendment fees	—			(44		)	(3,398		)	—			(3,442		)
Payments on warehouse facility	—			—			(28,951		)	—			(28,951		)
Proceeds from stock issued under employee benefit plans	403			—			—			—			403
Tax payments associated with equity-based compensation transactions	—			(1,454		)	—			—			(1,454		)
Other	—			(300		)	—			—			(300		)
Net cash provided by (used in) financing activities	403			(268,298		)	254,227			—			(13,668		)
Net change in cash, cash equivalents and restricted cash	—			3,905			18,968			—			22,873
Cash, cash equivalents and restricted cash, beginning of period	—			7,462			57,475			—			64,937
Cash, cash equivalents and restricted cash, end of period	$	—		$	11,367		$	76,443		$	—		$	87,810

Condensed Consolidated Statement of Cash Flows for the Three Months Ended April 30, 2018:



(in thousands)	Conn’s, Inc.			Guarantors			Non-Guarantor Subsidiaries			Eliminations			Consolidated
Net cash provided by (used in) operating activities	$	(267	)	$	(14,194	)	$	149,800		$	—		$	135,339
Cash flows from investing activities:
Purchase of customer accounts receivables	—			—			(50,774		)	50,774			—
Sale of customer accounts receivables	—			—			50,774			(50,774		)	—
Purchase of property and equipment	—			(6,169		)	—			—			(6,169		)
Net cash used in investing activities	—			(6,169		)	—			—			(6,169		)
Cash flows from financing activities:
Payments on asset-backed notes	—			(50,847		)	(181,737		)	—			(232,584		)
Borrowings from revolving credit facility	—			393,158			—			—			393,158
Payments on revolving credit facility	—			(322,608		)	—			—			(322,608		)
Borrowings from warehouse facility	—			—			52,226			—			52,226
Payments of debt issuance costs and amendment fees	—			(1		)	(532		)	—			(533		)
Payments on warehouse facility	—			—			(29,905		)	—			(29,905		)
Proceeds from stock issued under employee benefit plans	267			—			—			—			267
Tax payments associated with equity-based compensation transactions	—			(1,888		)	—			—			(1,888		)
Payments from extinguishment of debt	—			(294		)	—			—			(294		)
Other	—			(253		)	—			—			(253		)
Net cash provided by (used in) financing activities	267			17,267			(159,948		)	—			(142,414		)
Net change in cash, cash equivalents and restricted cash	—			(3,096		)	(10,148		)	—			(13,244		)
Cash, cash equivalents and restricted cash, beginning of period	—			10,836			85,322			—			96,158
Cash, cash equivalents and restricted cash, end of period	$	—		$	7,740		$	75,174		$	—		$	82,914

Subsequent Events	3 Months Ended
Subsequent Events	Apr. 30, 2019
Subsequent Events [Abstract]
Subsequent Events	Subsequent Events On May 30, 2019, the Company's Board of Directors approved a stock repurchase program, effective as of May 31, 2019, pursuant to which the Company may repurchase up to $75 million of its outstanding common stock. The program will remain effective for one year, unless extended by the Board of Directors. Under the repurchase program, the Company may purchase shares of its common stock through open market transactions, block purchases, privately negotiated transactions or otherwise in accordance with applicable federal securities laws, including Rule 10b-18 of the Securities Exchange Act of 1934, as amended. The timing and amount of any repurchases under this program will be determined by the Company’s management in its discretion based on a variety of factors, including the market price of the Company's common stock, corporate considerations, general market and economic conditions, and legal requirements. The repurchase program does not obligate the Company to acquire any particular amount of common stock, and the repurchase program may be modified, discontinued or suspended at any time or from time to time in the Company's discretion. The Company anticipates funding for this program to come from available corporate funds.

Summary of Significant Accounting Policies (Policies)

3 Months Ended

Apr. 30, 2019

Accounting Policies [Abstract]

Business and Basis of Presentation

Fiscal Year

Fiscal Year. Our fiscal year ends on January 31. References to a fiscal year refer to the calendar year in which the fiscal year ends.

Principles of Consolidation

Variable Interest Entity

Refer to Note 4, Debt and Financing Lease Obligations, and Note 7, Variable Interest Entities, for additional information.

Use of Estimates

Cash and Cash Equivalents and Restricted Cash

Customer Accounts Receivable

Interest Income on Customer Accounts Receivable

Allowance for Doubtful Accounts

Debt Issuance Costs

Income Taxes

Share-based Compensation

Earnings per Share

Fair Value of Financial Instruments


•	Level 1 – Inputs represent unadjusted quoted prices in active markets for identical assets or liabilities.

•


•	Level 3 – Inputs that are not observable from objective sources such as our internally developed assumptions used in pricing an asset or liability (for example, an estimate of future cash flows used in our internally developed present value of future cash flows model that underlies the fair-value measurement).

Recent Accounting Pronouncements Adopted and Recent Accounting Pronouncements Yet To Be Adopted

The cumulative effect of the changes made to the Company’s Condensed Consolidated Balance Sheet as a result of the adoption of ASC 842 were as follows (in thousands):



	Impact of Adoption of ASC 842
(in thousands)	Balance at January 31, 2019		Adjustments due to ASC 842			Balance at February 1, 2019
Assets
Current Assets ⁽¹⁾	$	1,014,394	$	(2,983	)	$	1,011,411
Operating lease right-of-use assets ⁽²⁾	—		227,421			227,421
Deferred income taxes ⁽³⁾	27,535		(1,447		)	26,088
Liabilities						—
Current liabilities ⁽⁴⁾	237,568		(12,426		)	225,142
Operating lease liability - current ⁽⁵⁾	—		29,815			29,815
Deferred rent ⁽⁴⁾	93,127		(93,127		)	—
Operating lease liability - non-current ⁽⁵⁾	—		300,170			300,170
Other long-term liabilities ⁽³⁾	33,015		(7,606		)	25,409
Stockholder’s equity ⁽³⁾	619,975		6,160			626,135


(1)	Reclassification of the $3.0 million January 31, 2019 balance of accounts receivable for tenant improvement allowances to a reduction in the operating lease liability.


(2)	The operating lease right-of-use assets represent the present value of the lease liability offset by the full value of deferred rent and tenant improvement allowances received from the lessor which had not been utilized as of the date of adoption.


(3)	A net cumulative-effect adjustment to increase retained earnings by $6.2 million to recognize the $7.6 million January 31, 2019 balance of deferred gains which resulted from sale and operating leaseback transactions made at off-market terms offset by the $1.4 million impact on our deferred tax asset related to the sale-leaseback transactions.


(4)	Reclassification of the full value of deferred rent and tenant improvement allowances received from lessors, which were previously recorded as liabilities as they had not been utilized as of the date of adoption, to a reduction of the operating lease right-of-use assets.


(5)	The operating lease liability represents the $340.5 million present value of future operating lease obligations as of January 31, 2019, offset by $10.5 million of accounts receivable for tenant improvement allowances.

Summary of Significant Accounting Policies (Tables)

3 Months Ended

Apr. 30, 2019

Accounting Policies [Abstract]

RSUs, PSUs and stock options granted during the period

The following table sets forth the RSUs and stock options granted during the three months ended April 30, 2019 and 2018:



	Three Months Ended April 30,
	2019		2018
RSUs ⁽¹⁾	3,429		80,411
Stock Options ⁽²⁾	—		620,166
Total stock awards granted	3,429		700,577
Aggregate grant date fair value (in thousands)	$	71	$	15,511

(1) The majority of RSUs issued during the three months ended April 30, 2019 and 2018 are scheduled to vest ratably over periods of three to four years from the date of grant.

Shares outstanding for the earnings per share calculations



	Three Months Ended April 30,
	2019	2018
Weighted-average common shares outstanding - Basic	31,882,003	31,540,684
Dilutive effect of stock options, PSUs and RSUs	561,881	912,180
Weighted-average common shares outstanding - Diluted	32,443,884	32,452,864

Cumulative effect of the changes for adoption of ASC 842

The cumulative effect of the changes made to the Company’s Condensed Consolidated Balance Sheet as a result of the adoption of ASC 842 were as follows (in thousands):



	Impact of Adoption of ASC 842
(in thousands)	Balance at January 31, 2019		Adjustments due to ASC 842			Balance at February 1, 2019
Assets
Current Assets ⁽¹⁾	$	1,014,394	$	(2,983	)	$	1,011,411
Operating lease right-of-use assets ⁽²⁾	—		227,421			227,421
Deferred income taxes ⁽³⁾	27,535		(1,447		)	26,088
Liabilities						—
Current liabilities ⁽⁴⁾	237,568		(12,426		)	225,142
Operating lease liability - current ⁽⁵⁾	—		29,815			29,815
Deferred rent ⁽⁴⁾	93,127		(93,127		)	—
Operating lease liability - non-current ⁽⁵⁾	—		300,170			300,170
Other long-term liabilities ⁽³⁾	33,015		(7,606		)	25,409
Stockholder’s equity ⁽³⁾	619,975		6,160			626,135


(1)	Reclassification of the $3.0 million January 31, 2019 balance of accounts receivable for tenant improvement allowances to a reduction in the operating lease liability.


(2)	The operating lease right-of-use assets represent the present value of the lease liability offset by the full value of deferred rent and tenant improvement allowances received from the lessor which had not been utilized as of the date of adoption.


(3)	A net cumulative-effect adjustment to increase retained earnings by $6.2 million to recognize the $7.6 million January 31, 2019 balance of deferred gains which resulted from sale and operating leaseback transactions made at off-market terms offset by the $1.4 million impact on our deferred tax asset related to the sale-leaseback transactions.


(4)	Reclassification of the full value of deferred rent and tenant improvement allowances received from lessors, which were previously recorded as liabilities as they had not been utilized as of the date of adoption, to a reduction of the operating lease right-of-use assets.


(5)	The operating lease liability represents the $340.5 million present value of future operating lease obligations as of January 31, 2019, offset by $10.5 million of accounts receivable for tenant improvement allowances.

Customer Accounts Receivable (Tables)

3 Months Ended

Apr. 30, 2019

Receivables [Abstract]

Allowance for doubtful accounts and uncollectible interest for customer receivables

Customer accounts receivable consisted of the following:



(in thousands)	April 30, 2019			January 31, 2019
Customer accounts receivable portfolio balance	$	1,534,692		$	1,589,828
Deferred fees and origination costs, net	(15,897		)	(16,579		)
Allowance for no-interest option credit programs	(17,004		)	(19,257		)
Allowance for uncollectible interest	(14,647		)	(15,555		)
Carrying value of customer accounts receivable	1,487,144			1,538,437
Allowance for bad debts	(191,880		)	(199,324		)
Carrying value of customer accounts receivable, net of allowance for bad debts	1,295,264			1,339,113
Short-term portion of customer accounts receivable, net	(642,385		)	(652,769		)
Long-term customer accounts receivable, net	$	652,879		$	686,344



	Carrying Value
(in thousands)	April 30, 2019		January 31, 2019
Customer accounts receivable 60+ days past due ⁽¹⁾	$	128,870	$	146,188
Re-aged customer accounts receivable ⁽²⁾⁽³⁾	383,321		395,576
Restructured customer accounts receivable ⁽⁴⁾	187,179		183,641


(1)	As of April 30, 2019 and January 31, 2019, the carrying value of customer accounts receivable past due one day or greater was $394.8 million and $420.9 million, respectively. These amounts include the 60+ days past due balances shown above.


(2)	The re-aged carrying value as of April 30, 2019 and January 31, 2019 includes $80.3 million and $92.4 million in carrying value that are both 60+ days past due and re-aged.


(3)	The re-aged carrying value as of April 30, 2019 and January 31, 2019 includes $20.5 million and $26.5 million in first time re-ages related to customers within FEMA-designated Hurricane Harvey disaster areas.


(4)	The restructured carrying value as of April 30, 2019 and January 31, 2019 includes $37.4 million and $43.9 million in carrying value that are both 60+ days past due and restructured.

Activity in the allowance for doubtful accounts and uncollectible interest for customer receivables

The following presents the activity in our allowance for doubtful accounts and uncollectible interest for customer accounts receivable:



	Three Months Ended April 30, 2019									Three Months Ended April 30, 2018
(in thousands)	Customer Accounts Receivable			Restructured Accounts			Total			Customer Accounts Receivable			Restructured Accounts			Total
Allowance at beginning of period	$	147,123		$	67,756		$	214,879		$	148,856		$	54,716		$	203,572
Provision ⁽¹⁾	35,275			16,925			52,200			38,740			16,660			55,400
Principal charge-offs ⁽²⁾	(39,723		)	(14,809		)	(54,532		)	(39,775		)	(11,144		)	(50,919		)
Interest charge-offs	(9,099		)	(3,392		)	(12,491		)	(7,360		)	(2,062		)	(9,422		)
Recoveries ⁽²⁾	4,714			1,757			6,471			4,272			1,197			5,469
Allowance at end of period	$	138,290		$	68,237		$	206,527		$	144,733		$	59,367		$	204,100
Average total customer portfolio balance	$	1,368,094		$	190,228		$	1,558,322		$	1,347,373		$	159,410		$	1,506,783


(1)	Includes provision for uncollectible interest, which is included in finance charges and other revenues.


(2)	Charge-offs include the principal amount of losses (excluding accrued and unpaid interest). Recoveries include the principal amount collected during the period for previously charged-off balances. Net charge-offs are calculated as the net of principal charge-offs and recoveries.

Finance Charges and Other Revenue (Tables)

3 Months Ended

Apr. 30, 2019

Supplemental Disclosure of Finance Charges and Other Revenue [Abstract]

Schedule of finance charges and other revenues

Finance charges and other revenues consisted of the following:



	Three Months Ended April 30,
(in thousands)	2019		2018
Interest income and fees	$	84,017	$	76,346
Insurance income	7,314		6,271
Other revenues	202		14
Total finance charges and other revenues	$	91,533	$	82,631

Debt and Financing Lease Obligations (Tables)

3 Months Ended

Apr. 30, 2019

Debt Disclosure [Abstract]

Long-term Debt

Debt and financing lease obligations consisted of the following:



(in thousands)	April 30, 2019			January 31, 2019
Revolving Credit Facility	$	—		$	266,500
Senior Notes	227,000			227,000
2017-B VIE Asset-backed Class B Notes	59,397			98,297
2017-B VIE Asset-backed Class C Notes	78,640			78,640
2018-A VIE Asset-backed Class A Notes	80,444			105,971
2018-A VIE Asset-backed Class B Notes	48,514			63,908
2018-A VIE Asset-backed Class C Notes	48,514			63,908
2019-A VIE Asset-backed Class A Notes	254,530			—
2019-A VIE Asset-backed Class B Notes	64,750			—
2019-A VIE Asset-backed Class C Notes	62,510			—
Warehouse Notes	24,684			53,635
Financing lease obligations	5,213			5,075
Total debt and financing lease obligations	954,196			962,934
Less:
Discount on debt	(1,825		)	(1,966		)
Deferred debt issuance costs	(7,930		)	(5,637		)
Current maturities of long-term debt and financing lease obligations	(25,191		)	(54,109		)
Long-term debt and financing lease obligations	$	919,250		$	901,222

Schedule of Asset-backed Notes

The asset-backed notes outstanding as of April 30, 2019 consisted of the following:



(dollars in thousands)
Asset-Backed Notes	Original Principal Amount		Original Net Proceeds ⁽¹⁾		Current Principal Amount		Issuance Date	Maturity Date	Contractual Interest Rate	Effective Interest Rate ⁽²⁾
2017-B Class B Notes	$	132,180	$	131,281	$	59,397	12/20/2017	4/15/2021	4.52%	5.31%
2017-B Class C Notes	78,640		77,843		78,640		12/20/2017	11/15/2022	5.95%	6.37%
2018-A Class A Notes	219,200		217,832		80,444		8/15/2018	1/17/2023	3.25%	4.79%
2018-A Class B Notes	69,550		69,020		48,514		8/15/2018	1/17/2023	4.65%	5.59%
2018-A Class C Notes	69,550		68,850		48,514		8/15/2018	1/17/2023	6.02%	6.96%
2019-A Class A Notes	254,530		253,026		254,530		4/24/2019	10/16/2023	3.40%	4.87%
2019-A Class B Notes	64,750		64,276		64,750		4/24/2019	10/16/2023	4.36%	5.06%
2019-A Class C Notes	62,510		61,898		62,510		4/24/2019	10/16/2023	5.29%	5.99%
Warehouse Notes	121,060		118,972		24,684		7/16/2018	1/15/2020	Index + 2.50% ⁽³⁾	5.91%
Total	$	1,071,970	$	1,062,998	$	721,983


(1)	After giving effect to debt issuance costs.


(2)	For the three months ended April 30, 2019, and inclusive of the impact of changes in timing of actual and expected cash flows.

Covenant Compliance

A summary of the significant financial covenants that govern our Revolving Credit Facility, as amended, compared to our actual compliance status at April 30, 2019 is presented below:



	Actual	Required Minimum/ Maximum
Interest Coverage Ratio for the quarter must equal or exceed minimum	4.09:1.00	1.00:1.00
Interest Coverage Ratio for the trailing two quarters must equal or exceed minimum	4.60:1.00	1.50:1.00
Leverage Ratio must not exceed maximum	1.77:1.00	4.00:1.00
ABS Excluded Leverage Ratio must not exceed maximum	0.76:1.00	2.00:1.00
Capital Expenditures, net, must not exceed maximum	$20.3 million	$100.0 million

Leases (Tables)

3 Months Ended

Apr. 30, 2019

Leases [Abstract]

Lease, Cost

Supplemental lease information is summarized below:



(in thousands)	Balance sheet classification	April 30, 2019
Assets
Operating lease assets	Operating lease right-of-use assets	$	230,393
Finance lease assets	Property and equipment, net	4,791
Total leased assets		235,184
Liabilities
Operating ⁽¹⁾	Operating lease liability - current	$	41,967
Finance	Current maturities of debt and finance lease obligations	706
Operating	Operating lease liability - non current	311,238
Finance	Long-term debt and finance lease obligations	4,507
Total lease liabilities		$	358,418


(1)	Represents the gross operating lease liability before tenant improvement allowances. As of April 30, 2019 we had $18.0 million of tenant improvement allowances to be remitted by the landlord.



Lease Cost		Three Months Ended April 30,
(in thousands)	Income statement classification	2019
Operating lease costs ⁽¹⁾	Selling, general and administrative expense	$	13,928


(1)	Includes short-term and variable lease costs, which are not significant.

Additional details regarding the Company’s leasing activities as a lessee are presented below:



Other Information	Three Months Ended April 30,
(dollars in thousands)	2019
Cash paid for amounts included in the measurement of lease liabilities
Operating cash flows from operating leases	$	16,496
Weighted-average remaining lease term (in years)
Finance Leases	11.8
Operating Leases	7.3
Weighted-average discount rate
Finance Leases	6.2		%
Operating Leases ⁽¹⁾	8.7		%


(1)	Upon adoption of ASC 842, discount rates for existing operating leases were established as of February 1, 2019.

Lessee, Operating Lease, Liability, Maturity

The following table presents a summary of our minimum contractual commitments and obligations as of April 30, 2019:



	Operating Leases		Finance Leases		Total
(in thousands)	Operating Leases		Finance Leases		Total
Quarter ending April 30,
2020	$	70,214	$	1,035	$	71,249
2021	69,303		793		70,096
2022	68,072		730		68,802
2023	65,100		539		65,639
2024	59,070		655		59,725
Thereafter	147,272		3,699		150,971
Total undiscounted cash flows	479,031		7,451		486,482
Less: Interest	125,826		2,238		128,064
Total lease liabilities	$	353,205	$	5,213	$	358,418

Variable Interest Entity (Tables)

3 Months Ended

Apr. 30, 2019

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Schedule of assets and liabilities held by the VIE

The following table presents the assets and liabilities held by the VIEs (for legal purposes, the assets and liabilities of the VIEs will remain distinct from Conn’s, Inc.):



(in thousands)	April 30, 2019			January 31, 2019
Assets:
Restricted cash	$	76,443		$	57,475
Due from Conn’s, Inc., net	2,650			5,504
Customer accounts receivable:
Customer accounts receivable	807,614			538,826
Restructured accounts	148,375			135,834
Allowance for uncollectible accounts	(135,024		)	(106,327		)
Allowance for no-interest option credit programs	(10,744		)	(8,047		)
Deferred fees and origination costs	(8,324		)	(5,321		)
Total customer accounts receivable, net	801,897			554,965
Total assets	$	880,990		$	617,944
Liabilities:
Accrued expenses	$	5,069		$	3,939
Other liabilities	5,188			5,513
Short-term debt:
Warehouse Notes	24,485			53,635

Long-term debt:
2017-B Class B Notes	59,397			98,297
2017-B Class C Notes	78,640			78,640
2018-A Class A Notes	80,444			105,971
2018-A Class B Notes	48,514			63,908
2018-A Class C Notes	48,514			63,908
2019-A Class A Notes	254,530			—
2019-A Class B Notes	64,750			—
2019-A Class C Notes	62,510			—
	697,299			410,724
Less: deferred debt issuance costs	(5,282		)	(2,731		)
Total long-term debt	692,017			407,993
Total debt	$	716,502		$	461,628
Total liabilities	$	726,759		$	471,080

- Definition

Tabular disclosure of the significant judgments and assumptions made in determining whether a variable interest (as defined) held by the entity requires the variable interest entity (VIE) (as defined) to be consolidated and (or) disclose information about its involvement with the VIE, individually or in aggregate (as applicable); the nature of restrictions, if any, on the consolidated VIE's assets and on the settlement of its liabilities reported by an entity in its statement of financial position, including the carrying amounts of such assets and liabilities; the nature of, and changes in, the risks associated with involvement in the VIE; how involvement with the VIE affects the entity's financial position, financial performance, and cash flows; the lack of recourse if creditors (or beneficial interest holders) of the consolidated VIE have no recourse to the general credit of the primary beneficiary (if applicable); the terms of arrangements, giving consideration to both explicit arrangements and implicit variable interests, if any, that could require the entity to provide financial support to the VIE, including events or circumstances that could expose the entity to a loss; the methodology used by the entity for determining whether or not it is the primary beneficiary of the variable interest entity; the significant factors considered and judgments made in determining that the power to direct the activities of a VIE that most significantly impact the VIE's economic performance are shared (as defined); the carrying amounts and classification of assets and liabilities of the VIE included in the statement of financial position; the entity's maximum exposure to loss, if any, as a result of its involvement with the VIE, including how the maximum exposure is determined and significant sources of the entity's exposure to the VIE; a comparison of the carrying amounts of the assets and liabilities and the entity's maximum exposure to loss; information about any liquidity arrangements, guarantees, and (or) other commitments by third parties that may affect the fair value or risk of the entity's variable interest in the VIE; whether or not the entity has provided financial support or other support (explicitly or implicitly) to the VIE that it was not previously contractually required to provide or whether the entity intends to provide that support, including the type and amount of the support and the primary reasons for providing the support; and supplemental information the entity determines necessary to provide.

+ References + Details

Segment Reporting (Tables)

3 Months Ended

Apr. 30, 2019

Segment Reporting [Abstract]

Financial information by segment

Financial information by segment is presented in the following tables:



	Three Months Ended April 30, 2019									Three Months Ended April 30, 2018
(in thousands)	Retail			Credit			Total			Retail		Credit			Total
Revenues:
Furniture and mattress	$	88,364		$	—		$	88,364		$	97,020	$	—		$	97,020
Home appliance	77,290			—			77,290			78,023		—			78,023
Consumer electronics	49,649			—			49,649			52,302		—			52,302
Home office	15,706			—			15,706			18,310		—			18,310
Other	3,436			—			3,436			3,659		—			3,659
Product sales	234,445			—			234,445			249,314		—			249,314
Repair service agreement commissions	24,024			—			24,024			22,863		—			22,863
Service revenues	3,510			—			3,510			3,579		—			3,579
Total net sales	261,979			—			261,979			275,756		—			275,756
Finance charges and other revenues	202			91,331			91,533			14		82,617			82,631
Total revenues	262,181			91,331			353,512			275,770		82,617			358,387
Costs and expenses:
Cost of goods sold	157,228			—			157,228			166,589		—			166,589
Selling, general and administrative expense ⁽¹⁾	79,622			38,292			117,914			77,752		37,126			114,878
Provision for bad debts	129			39,917			40,046			260		43,896			44,156
Charges and credits	(695		)	—			(695		)	—		—			—
Total costs and expenses	236,284			78,209			314,493			244,601		81,022			325,623
Operating income	25,897			13,122			39,019			31,169		1,595			32,764
Interest expense	—			14,497			14,497			—		16,820			16,820
Loss on extinguishment of debt	—			—			—			—		406			406
Income (loss) before income taxes	$	25,897		$	(1,375	)	$	24,522		$	31,169	$	(15,631	)	$	15,538
	April 30, 2019									April 30, 2018
(in thousands)	Retail			Credit			Total			Retail		Credit			Total
Total assets	$	613,117		$	1,477,167		$	2,090,284		$	375,087	$	1,409,662		$	1,784,749


(1)	For the three months ended April 30, 2019 and 2018, the amount of corporate overhead allocated to each segment reflected in SG&A was $7.9 million and $8.4 million, respectively. For the three months ended April 30, 2019 and 2018, the amount of reimbursement made to the retail segment by the credit segment was $9.7 million and $9.4 million, respectively.

Guarantor Financial Information (Tables)

3 Months Ended

Apr. 30, 2019

Condensed Financial Information Disclosure [Abstract]

Condensed Consolidated Balance Sheet



(in thousands)	Conn’s, Inc.		Guarantors		Non-Guarantor Subsidiaries		Eliminations			Consolidated
Assets
Current assets:
Cash and cash equivalents	$	—	$	9,767	$	—	$	—		$	9,767
Restricted cash	—		1,600		76,443		—			78,043
Customer accounts receivable, net of allowances	—		216,156		426,229		—			642,385
Other accounts receivable	—		57,660		—		—			57,660
Inventories	—		213,102		—		—			213,102
Other current assets	—		22,162		2,650		(6,567		)	18,245
Total current assets	—		520,447		505,322		(6,567		)	1,019,202
Investment in and advances to subsidiaries	850,483		154,231		—		(1,004,714		)	—
Long-term portion of customer accounts receivable, net of allowances	—		277,211		375,668		—			652,879
Property and equipment, net	—		153,696		—		—			153,696
Operating lease right-of-use assets	—		230,393		—		—			230,393
Deferred income taxes	24,863		—		—		—			24,863
Other assets	—		9,251		—		—			9,251
Total assets	$	875,346	$	1,345,229	$	880,990	$	(1,011,281	)	$	2,090,284
Liabilities and Stockholders’ Equity
Current liabilities:
Current maturities of debt and financing lease obligations	$	—	$	706	$	24,485	$	—		$	25,191
Accounts payable	—		57,266		—		—			57,266
Accrued expenses	4,800		64,763		5,069		(3,916		)	70,716
Operating lease liability - current	—		23,958		—		—			23,958
Other current liabilities	—		11,521		2,447		(2,651		)	11,317
Total current liabilities	4,800		158,214		32,001		(6,567		)	188,448
Operating lease liability - non current	—		311,238		—		—			311,238
Long-term debt and financing lease obligations	222,727		4,506		692,017		—			919,250
Other long-term liabilities	—		20,788		2,741		—			23,529
Total liabilities	227,527		494,746		726,759		(6,567		)	1,442,465
Total stockholders’ equity	647,819		850,483		154,231		(1,004,714		)	647,819
Total liabilities and stockholders’ equity	$	875,346	$	1,345,229	$	880,990	$	(1,011,281	)	$	2,090,284

Deferred income taxes related to tax attributes of the Guarantors and Non-Guarantor Subsidiaries are reflected under Conn’s, Inc.

Condensed Consolidated Balance Sheet as of January 31, 2019:



(in thousands)	Conn’s, Inc.		Guarantors		Non-Guarantor Subsidiaries		Eliminations			Consolidated
Assets
Current assets:
Cash and cash equivalents	$	—	$	5,912	$	—	$	—		$	5,912
Restricted cash	—		1,550		57,475		—			59,025
Customer accounts receivable, net of allowances	—		328,705		324,064		—			652,769
Other accounts receivable	—		67,078		—		—			67,078
Inventories	—		220,034		—		—			220,034
Other current assets	—		12,344		5,504		(8,272		)	9,576
Total current assets	—		635,623		387,043		(8,272		)	1,014,394
Investment in and advances to subsidiaries	815,524		146,864		—		(962,388		)	—
Long-term portion of customer accounts receivable, net of allowances	—		455,443		230,901		—			686,344
Property and equipment, net	—		148,983		—		—			148,983
Deferred income taxes	27,535		—		—		—			27,535
Other assets	—		7,651		—		—			7,651
Total assets	$	843,059	$	1,394,564	$	617,944	$	(970,660	)	$	1,884,907
Liabilities and Stockholders’ Equity
Current liabilities:
Current maturities of debt and financing lease obligations	$	—	$	474	$	53,635	$	—		$	54,109
Accounts payable	—		71,118		—		—			71,118
Accrued expenses	686		88,478		3,939		(2,768		)	90,335
Other current liabilities	—		24,918		2,592		(5,504		)	22,006
Total current liabilities	686		184,988		60,166		(8,272		)	237,568
Deferred rent	—		93,127		—		—			93,127
Long-term debt and financing lease obligations	222,398		270,831		407,993		—			901,222
Other long-term liabilities	—		30,094		2,921		—			33,015
Total liabilities	223,084		579,040		471,080		(8,272		)	1,264,932
Total stockholders’ equity	619,975		815,524		146,864		(962,388		)	619,975
Total liabilities and stockholders’ equity	$	843,059	$	1,394,564	$	617,944	$	(970,660	)	$	1,884,907

Condensed Consolidated Statement of Operations

Condensed Consolidated Statement of Income for the Three Months Ended April 30, 2019:



(in thousands)	Conn’s, Inc.			Guarantors			Non-Guarantor Subsidiaries			Eliminations			Consolidated
Revenues:
Total net sales	$	—		$	261,979		$	—		$	—		$	261,979
Finance charges and other revenues	—			64,025			27,508			—			91,533
Servicing fee revenue	—			8,833			—			(8,833		)	—
Total revenues	—			334,837			27,508			(8,833		)	353,512
Costs and expenses:
Cost of goods sold	—			157,228			—			—			157,228
Selling, general and administrative expense	—			119,456			7,291			(8,833		)	117,914
Provision for bad debts	—			23,984			16,062			—			40,046
Charges and credits	—			(695		)	—			—			(695		)
Total costs and expenses	—			299,973			23,353			(8,833		)	314,493
Operating income (loss)	—			34,864			4,155			—			39,019
Interest expense	4,443			4,587			5,467			—			14,497
Income (loss) before income taxes	(4,443		)	30,277			(1,312		)	—			24,522
Provision (benefit) for income taxes	(908		)	6,190			(269		)	—			5,013
Net income (loss)	(3,535		)	24,087			(1,043		)	—			19,509
Income (loss) from consolidated subsidiaries	23,044			(1,043		)	—			(22,001		)	—
Consolidated net income (loss)	$	19,509		$	23,044		$	(1,043	)	$	(22,001	)	$	19,509

Condensed Consolidated Statement of Income for the Three Months Ended April 30, 2018:



(in thousands)	Conn’s, Inc.			Guarantors			Non-Guarantor Subsidiaries			Eliminations			Consolidated
Revenues:
Total net sales	$	—		$	275,756		$	—		$	—		$	275,756
Finance charges and other revenues	—			45,655			36,976			—			82,631
Servicing fee revenue	—			16,746			—			(16,746		)	—
Total revenues	—			338,157			36,976			(16,746		)	358,387
Costs and expenses:
Cost of goods sold	—			166,589			—			—			166,589
Selling, general and administrative expense	—			119,793			11,831			(16,746		)	114,878
Provision for bad debts	—			7,008			37,148			—			44,156
Total costs and expenses	—			293,390			48,979			(16,746		)	325,623
Operating income (loss)	—			44,767			(12,003		)	—			32,764
Interest expense	4,443			3,033			9,344			—			16,820
Loss on extinguishment of debt	—			—			406			—			406
Income (loss) before income taxes	(4,443		)	41,734			(21,753		)	—			15,538
Provision (benefit) for income taxes	(802		)	7,537			(3,929		)	—			2,806
Net income (loss)	(3,641		)	34,197			(17,824		)	—			12,732
Income (loss) from consolidated subsidiaries	16,373			(17,824		)	—			1,451			—
Consolidated net income (loss)	$	12,732		$	16,373		$	(17,824	)	$	1,451		$	12,732

Condensed Consolidated Statement of Cash Flows

Condensed Consolidated Statement of Cash Flows for the Three Months Ended April 30, 2019:



(in thousands)	Conn’s, Inc.			Guarantors			Non-Guarantor Subsidiaries			Eliminations			Consolidated
Net cash provided by (used in) operating activities	$	(403	)	$	285,322		$	(235,259	)	$	—		$	49,660
Cash flows from investing activities:
Purchase of customer accounts receivables	—			—			(379,200		)	379,200			—
Sale of customer accounts receivables	—			—			379,200			(379,200		)	—
Purchase of property and equipment	—			(13,119		)	—			—			(13,119		)
Net cash used in investing activities	—			(13,119		)	—			—			(13,119		)
Cash flows from financing activities:
Proceeds from issuance of asset-backed notes	—			—			381,790			—			381,790
Payments on asset-backed notes	—			—			(95,214		)	—			(95,214		)
Borrowings from revolving credit facility	—			323,138			—			—			323,138
Payments on revolving credit facility	—			(589,638		)	—			—			(589,638		)
Payments of debt issuance costs and amendment fees	—			(44		)	(3,398		)	—			(3,442		)
Payments on warehouse facility	—			—			(28,951		)	—			(28,951		)
Proceeds from stock issued under employee benefit plans	403			—			—			—			403
Tax payments associated with equity-based compensation transactions	—			(1,454		)	—			—			(1,454		)
Other	—			(300		)	—			—			(300		)
Net cash provided by (used in) financing activities	403			(268,298		)	254,227			—			(13,668		)
Net change in cash, cash equivalents and restricted cash	—			3,905			18,968			—			22,873
Cash, cash equivalents and restricted cash, beginning of period	—			7,462			57,475			—			64,937
Cash, cash equivalents and restricted cash, end of period	$	—		$	11,367		$	76,443		$	—		$	87,810

Condensed Consolidated Statement of Cash Flows for the Three Months Ended April 30, 2018:



(in thousands)	Conn’s, Inc.			Guarantors			Non-Guarantor Subsidiaries			Eliminations			Consolidated
Net cash provided by (used in) operating activities	$	(267	)	$	(14,194	)	$	149,800		$	—		$	135,339
Cash flows from investing activities:
Purchase of customer accounts receivables	—			—			(50,774		)	50,774			—
Sale of customer accounts receivables	—			—			50,774			(50,774		)	—
Purchase of property and equipment	—			(6,169		)	—			—			(6,169		)
Net cash used in investing activities	—			(6,169		)	—			—			(6,169		)
Cash flows from financing activities:
Payments on asset-backed notes	—			(50,847		)	(181,737		)	—			(232,584		)
Borrowings from revolving credit facility	—			393,158			—			—			393,158
Payments on revolving credit facility	—			(322,608		)	—			—			(322,608		)
Borrowings from warehouse facility	—			—			52,226			—			52,226
Payments of debt issuance costs and amendment fees	—			(1		)	(532		)	—			(533		)
Payments on warehouse facility	—			—			(29,905		)	—			(29,905		)
Proceeds from stock issued under employee benefit plans	267			—			—			—			267
Tax payments associated with equity-based compensation transactions	—			(1,888		)	—			—			(1,888		)
Payments from extinguishment of debt	—			(294		)	—			—			(294		)
Other	—			(253		)	—			—			(253		)
Net cash provided by (used in) financing activities	267			17,267			(159,948		)	—			(142,414		)
Net change in cash, cash equivalents and restricted cash	—			(3,096		)	(10,148		)	—			(13,244		)
Cash, cash equivalents and restricted cash, beginning of period	—			10,836			85,322			—			96,158
Cash, cash equivalents and restricted cash, end of period	$	—		$	7,740		$	75,174		$	—		$	82,914

Summary of Significant Accounting Policies - Narrative (Details) $ in Thousands	3 Months Ended
	Apr. 30, 2019 USD ($) segment	Apr. 30, 2018	Jan. 31, 2019 USD ($)	Jan. 31, 2018 USD ($)
Debt Instrument [Line Items]
Number of operating segments \| segment	2
Cash and Cash Equivalents and Restricted Cash
Cash and cash equivalents include credit card deposits in-transit	$ 2,500			$ 2,500
Restricted cash	78,043		$ 59,025
Interest Income on Customer Accounts Receivable
Deferred revenue	11,600			11,200
Nonaccrual status	13,500			13,900
Amount in bankruptcy and less than 60 days past due	11,800		12,000
90 days past due and still accruing	99,000			106,500
Debt Issuance Costs
Deferred debt issuance costs	$ 7,930		$ 5,637
Income Taxes
Effective tax rate	20.40%	18.10%
Fair Value of Financial Instruments
Long-term debt	$ 721,983
Senior Notes [Member]
Fair Value of Financial Instruments
Debt fair value	229,700
Revolving Credit Facility [Member]
Debt Issuance Costs
Deferred debt issuance costs	5,700			6,100
Securitized Receivables Servicer [Member]
Cash and Cash Equivalents and Restricted Cash
Restricted cash	12,700			12,200
Collateral Held by VIE [Member]
Cash and Cash Equivalents and Restricted Cash
Restricted cash	$ 63,700			$ 45,300

Summary of Significant Accounting Policies - Stock-based Compensation (Details) - USD ($) $ in Thousands	3 Months Ended
	Apr. 30, 2019	Apr. 30, 2018
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Total stock awards granted (in shares)	3,429	700,577
Aggregate grant date fair value	$ 71	$ 15,511
Dividend yield		0.00%
Stock-based compensation expense	$ 3,217	$ 2,520
Minimum [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period	3 years
Maximum [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period		4 years
(RSUs) [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
RSUs and PSUs (in shares)	3,429	80,411
Stock Option [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock Options (in shares)	0	620,166
Expected volatility rate		68.00%
Expected term		6 years 6 months
Risk free interest rate		2.67%

Summary of Significant Accounting Policies - Earnings per Share (Details) - shares	3 Months Ended
	Apr. 30, 2019	Apr. 30, 2018
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items]
Weighted average common shares outstanding - Basic (in shares)	31,882,003	31,540,684
Dilutive effect of stock options, RSUs and PSUs (in shares)	561,881	912,180
Weighted average common shares outstanding - Diluted (in shares)	32,443,884	32,452,864
Weighted average number of stock options and restricted stock units not included in the calculation of the dilutive effect of stock options and restricted stock units (in shares)	859,970	305,313

Summary of Significant Accounting Policies - Recent Accounting Pronouncements (Details) - USD ($) $ in Thousands	3 Months Ended
	Apr. 30, 2019	Apr. 30, 2018	Feb. 01, 2019	Jan. 31, 2019	Feb. 01, 2018	Jan. 31, 2018
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Assets, Current	$ 1,019,202		$ 1,011,411	$ 1,014,394
Operating lease, right-of-use asset	230,393		227,421	0
Deferred income taxes	24,863		26,088	27,535
Current liabilities	188,448		225,142	237,568
Operating lease liability - current	23,958		29,815	0
Deferred rent	0		0	93,127
Operating lease liability - non current	311,238		300,170	0
Other long-term liabilities	23,529		25,409	33,015
Stockholders' equity	647,819	$ 549,655	626,135	619,975		$ 535,068
Adoption of ASU 2016-02			6,160		$ 957
Total lease liabilities	353,205
Accounts receivable for tenant improvement allowances	18,000
Deferred revenue	11,600					11,200
Other accounts receivable	57,660			67,078
Net cash provided by (used in) financing activities	(13,668)	(142,414)
Payment for debt extinguishment	0	294
Customer Deposits [Member]
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Deferred revenue, revenue recognized	1,000
RSA Administration Fees [Member]
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Deferred revenue, revenue recognized	1,200
Accounting Standards Update 2016-02 [Member]
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Assets, Current			(2,983)
Operating lease, right-of-use asset			227,421
Deferred income taxes			(1,400)
Current liabilities			(12,426)
Operating lease liability - current			29,815
Deferred rent			(93,127)
Operating lease liability - non current			300,170
Other long-term liabilities			(7,606)
Stockholders' equity			6,160
Sale and leaseback transaction, deferred gain, gross			7,600
Total lease liabilities			340,500
Accounts receivable for tenant improvement allowances			10,500
Retained Earnings [Member]
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Stockholders' equity	$ 534,141	$ 447,356		$ 508,472		$ 433,667
Adoption of ASU 2016-02			6,160		$ 957
Retained Earnings [Member] \| Accounting Standards Update 2016-02 [Member]
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Adoption of ASU 2016-02			$ 6,200

Customer Accounts Receivable (Details) - USD ($) $ in Thousands	3 Months Ended
	Apr. 30, 2019	Apr. 30, 2018	Jan. 31, 2019
Quantitative information about the receivables portfolio managed [Abstract]
Customer accounts receivable portfolio balance	$ 1,534,692		$ 1,589,828
Carrying value of customer accounts receivable	17,004		19,257
Carrying value of customer accounts receivable	1,487,144		1,538,437
Allowance for Doubtful Accounts Receivable Not Including Interest	(191,880)		(199,324)
Total customer accounts receivable, net	1,295,264		1,339,113
Short-term portion of customer accounts receivable, net	(642,385)		(652,769)
Long-term customer accounts receivable, net	652,879		686,344
Customer accounts receivable 60 days past due	128,870		146,188
Financing Receivable Outstanding Balance Reaged	383,321		395,576
Past due	394,800		420,900
Amounts included within past due and reaged accounts	80,300		92,400
Finance Receivable, Re-Aged	20,500		26,500
Accounts Receivable, Restructured Accounts, Past Due	37,400		43,900
Allowance for doubtful accounts and uncollectible interest for customer receivables [Abstract]
Allowance at beginning of period	214,879	$ 203,572
Provision	52,200	55,400
Principal charge-offs	(54,532)	(50,919)
Interest charge-offs	(12,491)	(9,422)
Recoveries	6,471	5,469
Allowance at end of period	206,527	204,100
Average total customer portfolio balance	1,558,322	1,506,783
Allowance for Doubtful Accounts Receivable Interest	14,647		15,555
Restructured Accounts [Member]
Quantitative information about the receivables portfolio managed [Abstract]
Allowance for bad debts	(15,897)		$ (16,579)
Allowance for doubtful accounts and uncollectible interest for customer receivables [Abstract]
Allowance at beginning of period	67,756	54,716
Provision	16,925	16,660
Principal charge-offs	(14,809)	(11,144)
Interest charge-offs	(3,392)	(2,062)
Recoveries	1,757	1,197
Allowance at end of period	68,237	59,367
Average total customer portfolio balance	190,228	159,410
Customer Accounts Receivable [Member]
Allowance for doubtful accounts and uncollectible interest for customer receivables [Abstract]
Allowance at beginning of period	147,123	148,856
Provision	35,275	38,740
Principal charge-offs	(39,723)	(39,775)
Interest charge-offs	(9,099)	(7,360)
Recoveries	4,714	4,272
Allowance at end of period	138,290	144,733
Average total customer portfolio balance	$ 1,368,094	$ 1,347,373

Finance Charges and Other Revenue (Details) - USD ($) $ in Thousands	3 Months Ended
	Apr. 30, 2019	Apr. 30, 2018
Troubled Debt Restructuring, Debtor, Subsequent Periods [Line Items]
Interest income and fees	$ 84,017	$ 76,346
Insurance income	7,314	6,271
Other revenues	202	14
Provisions for uncollectible interest	12,300	11,500
Other Income	91,533	82,631
Financing Receivable [Member]
Troubled Debt Restructuring, Debtor, Subsequent Periods [Line Items]
Interest income and fees	$ 8,100	$ 5,800

Debt and Financing Lease Obligations - Schedule of Debt and Capital Lease Obligations (Details) - USD ($) $ in Thousands	Apr. 30, 2019	Jan. 31, 2019	Jan. 31, 2018
Long-term debt [Abstract]
Long-term debt	$ 721,983
Financing lease obligations	5,213	$ 5,075
Total debt and financing lease obligations	954,196	962,934
Less:
Discount on debt	(1,825)	(1,966)
Deferred debt issuance costs	(7,930)	(5,637)
Current maturities of long-term debt and financing lease obligations	(25,191)	(54,109)
Long-term debt and financing lease obligations	919,250	901,222
2017-B Class B Notes [Member]
Long-term debt [Abstract]
Long-term debt	59,397
2017-B Class C Notes [Member]
Long-term debt [Abstract]
Long-term debt	78,640
2018-A VIE Class A Notes [Member]
Long-term debt [Abstract]
Long-term debt	80,444
2018-A VIE Class B Notes [Member]
Long-term debt [Abstract]
Long-term debt	48,514
2018-A VIE Class C Notes [Member]
Long-term debt [Abstract]
Long-term debt	48,514
2019-A VIE Class A Notes [Member]
Long-term debt [Abstract]
Long-term debt	254,530
2019-A VIE Class B Notes [Member]
Long-term debt [Abstract]
Long-term debt	64,750
2019-A VIE Class C Notes [Member]
Long-term debt [Abstract]
Long-term debt	62,510
Warehouse Notes [Member]
Long-term debt [Abstract]
Long-term debt	24,684	53,635
Senior Notes [Member]
Long-term debt [Abstract]
Long-term debt	227,000	227,000
Secured Debt [Member] \| 2017-B Class B Notes [Member]
Long-term debt [Abstract]
Long-term debt	59,397	98,297
Secured Debt [Member] \| 2017-B Class C Notes [Member]
Long-term debt [Abstract]
Long-term debt	78,640	78,640
Secured Debt [Member] \| 2018-A VIE Class A Notes [Member]
Long-term debt [Abstract]
Long-term debt	80,444	105,971
Secured Debt [Member] \| 2018-A VIE Class B Notes [Member]
Long-term debt [Abstract]
Long-term debt	48,514	63,908
Secured Debt [Member] \| 2018-A VIE Class C Notes [Member]
Long-term debt [Abstract]
Long-term debt	48,514	63,908
Secured Debt [Member] \| 2019-A VIE Class A Notes [Member]
Long-term debt [Abstract]
Long-term debt	254,530	0
Secured Debt [Member] \| 2019-A VIE Class B Notes [Member]
Long-term debt [Abstract]
Long-term debt	64,750	0
Secured Debt [Member] \| 2019-A VIE Class C Notes [Member]
Long-term debt [Abstract]
Long-term debt	62,510	0
Revolving Credit Facility [Member]
Less:
Deferred debt issuance costs	(5,700)		$ (6,100)
Revolving Credit Facility [Member] \| Line of Credit [Member]
Long-term debt [Abstract]
Long-term debt	$ 0	$ 266,500

Debt and Financing Lease Obligations - Senior Notes (Details) - USD ($)	Apr. 30, 2019	Jul. 01, 2014
Debt Instrument [Line Items]
Original principal amount	$ 1,071,970,000
Senior Notes [Member] \| Senior Unsecured Notes Due July 2022 [Member]
Debt Instrument [Line Items]
Original principal amount		$ 250,000,000
Interest rate on notes (in hundredths)		7.25%
Effective interest rate		7.80%
Restrictions on payment of dividends, amount free from restriction	238,100,000
Trigger amount under indenture		$ 25,000,000
Line of Credit [Member] \| Revolving Credit Facility [Member]
Debt Instrument [Line Items]
Restrictions on payment of dividends, amount free from restriction	$ 274,300,000

Debt and Financing Lease Obligations - Asset Backed Notes (Details) - USD ($) $ in Thousands					3 Months Ended
	Apr. 24, 2019	Aug. 15, 2018	Jul. 16, 2018	Dec. 20, 2017	Apr. 30, 2019	Jan. 31, 2019
Debt Instrument [Line Items]
Original Principal Amount					$ 1,071,970
Original Net Proceeds					1,062,998
Current Principal Amount					721,983
2017-B Class B Notes [Member]
Debt Instrument [Line Items]
Original Principal Amount					132,180
Original Net Proceeds				$ 131,281
Current Principal Amount					$ 59,397
Contractual Interest Rate					4.52%
Effective Interest Rate					5.31%
2017-B Class C Notes [Member]
Debt Instrument [Line Items]
Original Principal Amount					$ 78,640
Original Net Proceeds				$ 77,843
Current Principal Amount					$ 78,640
Contractual Interest Rate					5.95%
Effective Interest Rate					6.37%
2018-A VIE Class A Notes [Member]
Debt Instrument [Line Items]
Original Principal Amount					$ 219,200
Original Net Proceeds		$ 217,832
Current Principal Amount					$ 80,444
Contractual Interest Rate					3.25%
Effective Interest Rate					4.79%
2018-A VIE Class B Notes [Member]
Debt Instrument [Line Items]
Original Principal Amount					$ 69,550
Original Net Proceeds		69,020
Current Principal Amount					$ 48,514
Contractual Interest Rate					4.65%
Effective Interest Rate					5.59%
2018-A VIE Class C Notes [Member]
Debt Instrument [Line Items]
Original Principal Amount					$ 69,550
Original Net Proceeds		$ 68,850
Current Principal Amount					$ 48,514
Contractual Interest Rate					6.02%
Effective Interest Rate					6.96%
2019-A VIE Class A Notes [Member]
Debt Instrument [Line Items]
Original Principal Amount	$ 254,500				$ 254,530
Original Net Proceeds	$ 253,026
Current Principal Amount					$ 254,530
Contractual Interest Rate	3.40%				3.40%
Effective Interest Rate					4.87%
2019-A VIE Class B Notes [Member]
Debt Instrument [Line Items]
Original Principal Amount	$ 64,800				$ 64,750
Original Net Proceeds	$ 64,276
Current Principal Amount					$ 64,750
Contractual Interest Rate	4.36%				4.36%
Effective Interest Rate					5.06%
2019-A VIE Class C Notes [Member]
Debt Instrument [Line Items]
Original Principal Amount	$ 62,500				$ 62,510
Original Net Proceeds	$ 61,898
Current Principal Amount					$ 62,510
Contractual Interest Rate	5.29%				5.29%
Effective Interest Rate					5.99%
Warehouse Notes [Member]
Debt Instrument [Line Items]
Original Principal Amount					$ 121,060
Original Net Proceeds			$ 118,972
Current Principal Amount					$ 24,684	$ 53,635
Contractual Interest Rate					2.50%
Effective Interest Rate					5.91%
2019-A VIE Class A, B, And C Notes [Member]
Debt Instrument [Line Items]
Original Principal Amount	$ 381,800
Original Net Proceeds	$ 379,200
Asset-backed Securities [Member]
Debt Instrument [Line Items]
Monthly fee percentage on outstanding balance					4.75%

Debt and Financing Lease Obligations - Revolving Credit Facility (Details)			3 Months Ended
	Oct. 31, 2018	May 23, 2018 USD ($)	Apr. 30, 2019 USD ($)
Line of Credit Facility [Line Items]
Interest Coverage Ratio for the trailing two quarters must equal or exceed minimum			4.60
Interest coverage ratio for the quarter must equal or exceed minimum			1.00
Original principal amount			$ 1,071,970,000
Line of Credit [Member] \| Revolving Credit Facility [Member]
Line of Credit Facility [Line Items]
Maximum capacity extended under credit facility		$ 650,000,000
Weighted-average interest rate			5.90%
Restrictions on payment of dividends, amount free from restriction			$ 274,300,000
Line of Credit [Member] \| Revolving Credit Facility [Member] \| Minimum [Member]
Line of Credit Facility [Line Items]
Unused capacity fee percentage	0.25%
Line of Credit [Member] \| Revolving Credit Facility [Member] \| Maximum [Member]
Line of Credit Facility [Line Items]
Unused capacity fee percentage	0.50%
Line of Credit [Member] \| Revolving Credit Facility [Member] \| Alternate Base Rate [Member] \| Minimum [Member]
Line of Credit Facility [Line Items]
Variable basis spread		1.50%
Line of Credit [Member] \| Revolving Credit Facility [Member] \| Alternate Base Rate [Member] \| Maximum [Member]
Line of Credit Facility [Line Items]
Variable basis spread		2.25%
Line of Credit [Member] \| Letter of Credit [Member]
Line of Credit Facility [Line Items]
Original principal amount			40,000,000.0
Revolving Credit Facility [Member]
Line of Credit Facility [Line Items]
Available borrowing capacity			429,400,000
Sub-facility for letters of credit			2,500,000
Additional remaining borrowing capacity			$ 218,100,000
Revolving Credit Facility [Member] \| LIBOR [Member] \| Minimum [Member]
Line of Credit Facility [Line Items]
Variable basis spread		2.50%
Revolving Credit Facility [Member] \| LIBOR [Member] \| Maximum [Member]
Line of Credit Facility [Line Items]
Variable basis spread		3.25%

Debt and Financing Lease Obligations - Debt Covenants (Details)	3 Months Ended
	Apr. 30, 2019 USD ($)
Actual
Interest Coverage Ratio for the quarter must equal or exceed minimum	4.09
Interest Coverage Ratio for the trailing two quarters must equal or exceed minimum	4.60
Leverage Ratio must not exceed maximum	1.77
ABS Excluded Leverage Ratio must not exceed maximum	0.76
Capital Expenditures, net, must not exceed maximum	$ 20,300,000
Required Minimum/ Maximum
Interest Coverage Ratio for the quarter must equal or exceed minimum	1.00
Interest Coverage Ratio for the trailing two quarters must equal or exceed minimum	1.5
Leverage Ratio must not exceed maximum	4.00
ABS Excluded Leverage Ratio must not exceed maximum	2.00
Capital Expenditures, net, must not exceed maximum	$ 100,000,000.0
Determination period	12 months

Leases - Narrative (Details) $ in Millions	Apr. 30, 2019 USD ($)
Lessee, Lease, Description [Line Items]
Accounts receivable for tenant improvement allowances	$ 18.0
Land, Buildings and Improvements [Member] \| Minimum [Member]
Lessee, Lease, Description [Line Items]
Lessee, operating lease, term of contract	5 years
Land, Buildings and Improvements [Member] \| Maximum [Member]
Lessee, Lease, Description [Line Items]
Lessee, operating lease, term of contract	15 years
Equipment [Member] \| Minimum [Member]
Lessee, Lease, Description [Line Items]
Lessee, operating lease, term of contract	3 years
Equipment [Member] \| Maximum [Member]
Lessee, Lease, Description [Line Items]
Lessee, operating lease, term of contract	5 years

Leases - Supplemental Lease Information (Details) - USD ($) $ in Thousands	Apr. 30, 2019	Feb. 01, 2019	Jan. 31, 2019
Assets
Operating lease assets	$ 230,393	$ 227,421	$ 0
Finance lease assets	4,791
Total leased assets	235,184
Liabilities
Operating lease liability - current	41,967
Current maturities of debt and finance lease obligations	706
Operating lease liability - non current	311,238	$ 300,170	$ 0
Long-term debt and finance lease obligations	4,507
Total lease liabilities	$ 358,418

Leases - Lease Cost (Details) $ in Thousands	3 Months Ended
Leases - Lease Cost (Details) $ in Thousands	Apr. 30, 2019 USD ($)
Leases [Abstract]
Operating lease costs	$ 13,928

Leases - Other Information (Details) $ in Thousands	3 Months Ended
Leases - Other Information (Details) $ in Thousands	Apr. 30, 2019 USD ($)
Cash paid for amounts included in the measurement of lease liabilities
Operating cash flows from operating leases	$ 16,496
Weighted-average remaining lease term (in years)
Finance Leases	11 years 9 months 22 days
Operating Leases	7 years 3 months 4 days
Weighted-average discount rate
Finance Leases	6.20%
Operating Leases	8.70%

Leases - Summary of our Minimum Contractual Commitements and Obligations (Details) - USD ($) $ in Thousands	Apr. 30, 2019	Jan. 31, 2019
Operating Leases
2019	$ 70,214
2020	69,303
2021	68,072
2022	65,100
2023	59,070
Thereafter	147,272
Total undiscounted cash flows	479,031
Less: Interest	125,826
Total lease liabilities	353,205
Finance Leases
2019	1,035
2020	793
2021	730
2022	539
2023	655
Thereafter	3,699
Total undiscounted cash flows	7,451
Less: Interest	2,238
Total lease liabilities	5,213	$ 5,075
Total
2019	71,249
2020	70,096
2021	68,802
2022	65,639
2023	59,725
Thereafter	150,971
Total undiscounted cash flows	486,482
Less: Interest	128,064
Total lease liabilities	$ 358,418

Variable Interest Entity - Additional Information (Details) - USD ($) $ in Thousands	3 Months Ended
	Apr. 30, 2019	Jan. 31, 2019
Variable Interest Entity [Line Items]
Long-term debt	$ 721,983
Asset-backed Securities [Member]
Variable Interest Entity [Line Items]
Monthly fee percentage on outstanding balance	4.75%
2018-A VIE Class A Notes [Member]
Variable Interest Entity [Line Items]
Long-term debt	$ 80,444
2018-A VIE Class A Notes [Member] \| Secured Debt [Member]
Variable Interest Entity [Line Items]
Long-term debt	$ 80,444	$ 105,971

Variable Interest Entity (Details) - USD ($) $ in Thousands	Apr. 30, 2019	Jan. 31, 2019	Apr. 30, 2018	Jan. 31, 2018
Assets:
Restricted cash	$ 78,043	$ 59,025
Customer accounts receivable:
Restructured accounts	187,179	183,641
Allowance for uncollectible accounts	(206,527)	(214,879)	$ (204,100)	$ (203,572)
Allowance for no-interest option credit programs	17,004	19,257
Total customer accounts receivable, net	1,295,264	1,339,113
Total assets	2,090,284	1,884,907	$ 1,784,749
Liabilities:
Total long-term debt	721,983
Long-term debt	919,250	901,222
Less: deferred debt issuance costs	(7,930)	(5,637)
Total liabilities	1,442,465	1,264,932
2017-B Class B Notes [Member]
Liabilities:
Total long-term debt	59,397
2017-B Class C Notes [Member]
Liabilities:
Total long-term debt	78,640
2018-A VIE Class A Notes [Member]
Liabilities:
Total long-term debt	80,444
2018-A VIE Class B Notes [Member]
Liabilities:
Total long-term debt	48,514
2018-A VIE Class C Notes [Member]
Liabilities:
Total long-term debt	48,514
Warehouse Notes [Member]
Liabilities:
Total long-term debt	24,684	53,635
2019-A VIE Class A Notes [Member]
Liabilities:
Total long-term debt	254,530
2019-A VIE Class B Notes [Member]
Liabilities:
Total long-term debt	64,750
2019-A VIE Class C Notes [Member]
Liabilities:
Total long-term debt	62,510
Secured Debt [Member] \| 2017-B Class B Notes [Member]
Liabilities:
Total long-term debt	59,397	98,297
Secured Debt [Member] \| 2017-B Class C Notes [Member]
Liabilities:
Total long-term debt	78,640	78,640
Secured Debt [Member] \| 2018-A VIE Class A Notes [Member]
Liabilities:
Total long-term debt	80,444	105,971
Secured Debt [Member] \| 2018-A VIE Class B Notes [Member]
Liabilities:
Total long-term debt	48,514	63,908
Secured Debt [Member] \| 2018-A VIE Class C Notes [Member]
Liabilities:
Total long-term debt	48,514	63,908
Secured Debt [Member] \| 2019-A VIE Class A Notes [Member]
Liabilities:
Total long-term debt	254,530	0
Secured Debt [Member] \| 2019-A VIE Class B Notes [Member]
Liabilities:
Total long-term debt	64,750	0
Secured Debt [Member] \| 2019-A VIE Class C Notes [Member]
Liabilities:
Total long-term debt	62,510	0
Variable Interest Entity [Member]
Assets:
Restricted cash	76,443	57,475
Due from Conn’s, Inc., net	2,650	5,504
Customer accounts receivable:
Customer accounts receivable	807,614	538,826
Restructured accounts	148,375	135,834
Allowance for uncollectible accounts	(135,024)	(106,327)
Allowance for no-interest option credit programs	10,744	8,047
Allowance for bad debts	(8,324)	(5,321)
Total customer accounts receivable, net	801,897	554,965
Total assets	880,990	617,944
Liabilities:
Accrued expenses	5,069	3,939
Other liabilities	5,188	5,513
Total long-term debt	692,017	407,993
Debt, Long-term and Short-term, Combined Amount	716,502	461,628
Long-term debt	697,299	410,724
Less: deferred debt issuance costs	(5,282)	(2,731)
Total liabilities	726,759	471,080
Variable Interest Entity [Member] \| Warehouse Notes [Member]
Liabilities:
Short-term Debt	$ 24,485	$ 53,635

Segment Reporting (Details) $ in Thousands	3 Months Ended
Segment Reporting (Details) $ in Thousands	Apr. 30, 2019 USD ($) state store segment	Apr. 30, 2018 USD ($)	Jan. 31, 2019 USD ($)
Segment Reporting Information [Line Items]
Number of operating segments \| segment	2
Estimated annual rate of reimbursement (in hundredths)	2.50%
Number of states with retail stores \| state	14
Revenues:
Other Income	$ 91,533	$ 82,631
Total revenues	353,512	358,387
Total Net Sales	261,979	275,756
Costs and expenses:
Cost of goods sold	157,228	166,589
Selling, general and administrative expense	117,914	114,878
Provision for bad debts	40,046	44,156
Charges and credits	(695)	0
Total costs and expenses	314,493	325,623
Operating income	39,019	32,764
Interest expense	14,497	16,820
Loss on extinguishment of debt	0	406
Income before income taxes	24,522	15,538
Allocation of overhead by operating segments	7,900	8,400
Assets	2,090,284	1,784,749	$ 1,884,907
Intersegment Eliminations [Member]
Revenues:
Total revenues	9,700	9,400
Retail [Member]
Revenues:
Other Income	202	14
Total revenues	262,181	275,770
Total Net Sales	261,979	275,756
Costs and expenses:
Cost of goods sold	157,228	166,589
Selling, general and administrative expense	79,622	77,752
Provision for bad debts	129	260
Charges and credits	(695)	0
Total costs and expenses	236,284	244,601
Operating income	25,897	31,169
Interest expense	0	0
Loss on extinguishment of debt	0	0
Income before income taxes	25,897	31,169
Assets	613,117	375,087
Credit [Member]
Revenues:
Other Income	91,331	82,617
Total revenues	91,331	82,617
Total Net Sales	0	0
Costs and expenses:
Cost of goods sold	0	0
Selling, general and administrative expense	38,292	37,126
Provision for bad debts	39,917	43,896
Charges and credits	0	0
Total costs and expenses	78,209	81,022
Operating income	13,122	1,595
Interest expense	14,497	16,820
Loss on extinguishment of debt	0	406
Income before income taxes	(1,375)	(15,631)
Assets	1,477,167	1,409,662
Furniture and Mattress [Member]
Revenues:
Total revenues	88,364	97,020
Furniture and Mattress [Member] \| Retail [Member]
Revenues:
Total revenues	88,364	97,020
Furniture and Mattress [Member] \| Credit [Member]
Revenues:
Total revenues	0	0
Home Appliance [Member]
Revenues:
Total revenues	77,290	78,023
Home Appliance [Member] \| Retail [Member]
Revenues:
Total revenues	77,290	78,023
Home Appliance [Member] \| Credit [Member]
Revenues:
Total revenues	0	0
Consumer Electronic [Member]
Revenues:
Total revenues	49,649	52,302
Consumer Electronic [Member] \| Retail [Member]
Revenues:
Total revenues	49,649	52,302
Consumer Electronic [Member] \| Credit [Member]
Revenues:
Total revenues	0	0
Home Office [Member]
Revenues:
Total revenues	15,706	18,310
Home Office [Member] \| Retail [Member]
Revenues:
Total revenues	15,706	18,310
Home Office [Member] \| Credit [Member]
Revenues:
Total revenues	0	0
Other [Member]
Revenues:
Total revenues	3,436	3,659
Other [Member] \| Retail [Member]
Revenues:
Total revenues	3,436	3,659
Other [Member] \| Credit [Member]
Revenues:
Total revenues	0	0
Product [Member]
Revenues:
Total revenues	234,445	249,314
Product [Member] \| Retail [Member]
Revenues:
Total revenues	234,445	249,314
Product [Member] \| Credit [Member]
Revenues:
Total revenues	0	0
RSA Commission [Member]
Revenues:
Total revenues	24,024	22,863
RSA Commission [Member] \| Retail [Member]
Revenues:
Total revenues	24,024	22,863
RSA Commission [Member] \| Credit [Member]
Revenues:
Total revenues	0	0
Service [Member]
Revenues:
Total revenues	3,510	3,579
Service [Member] \| Retail [Member]
Revenues:
Total revenues	3,510	3,579
Service [Member] \| Credit [Member]
Revenues:
Total revenues	$ 0	$ 0
Outside of US [Member]
Segment Reporting Information [Line Items]
Number of stores \| store	0

Guarantor Financial Information (Condensed Consolidated Balance Sheet) (Details) - USD ($) $ in Thousands	Apr. 30, 2019	Feb. 01, 2019	Jan. 31, 2019	Apr. 30, 2018	Jan. 31, 2018
Current assets:
Cash and cash equivalents	$ 9,767		$ 5,912
Restricted cash	78,043		59,025
Customer accounts receivable, net of allowances (includes VIE balances of $426,229 and $324,064, respectively)	642,385		652,769
Other accounts receivable	57,660		67,078
Inventories	213,102		220,034
Other current assets	18,245		9,576
Total current assets	1,019,202	$ 1,011,411	1,014,394
Investment in and advances to subsidiaries	0		0
Long-term portion of customer accounts receivable, net of allowances (includes VIE balances of $375,668 and $230,901, respectively)	652,879		686,344
Property and equipment, net	153,696		148,983
Operating lease assets	230,393	227,421	0
Deferred income taxes	24,863	26,088	27,535
Other assets	9,251		7,651
Total assets	2,090,284		1,884,907	$ 1,784,749
Current liabilities:
Current maturities of long-term debt and capital lease obligations	25,191		54,109
Accounts payable	57,266		71,118
Accrued expenses	70,716		90,335
Operating lease liability - current	23,958	29,815	0
Other current liabilities	11,317		22,006
Total current liabilities	188,448	225,142	237,568
Deferred rent	0	0	93,127
Operating lease liability - non current	311,238	300,170	0
Long-term debt and capital lease obligations	919,250		901,222
Other long-term liabilities	23,529	25,409	33,015
Total liabilities	1,442,465		1,264,932
Stockholders' equity	647,819	$ 626,135	619,975	$ 549,655	$ 535,068
Total liabilities and stockholders’ equity	2,090,284		1,884,907
Eliminations
Current assets:
Cash and cash equivalents	0		0
Restricted cash	0		0
Customer accounts receivable, net of allowances (includes VIE balances of $426,229 and $324,064, respectively)	0		0
Other accounts receivable	0		0
Inventories	0		0
Other current assets	(6,567)		(8,272)
Total current assets	(6,567)		(8,272)
Investment in and advances to subsidiaries	(1,004,714)		(962,388)
Long-term portion of customer accounts receivable, net of allowances (includes VIE balances of $375,668 and $230,901, respectively)	0		0
Property and equipment, net	0		0
Operating lease assets	0
Deferred income taxes	0		0
Other assets	0		0
Total assets	(1,011,281)		(970,660)
Current liabilities:
Current maturities of long-term debt and capital lease obligations	0		0
Accounts payable	0		0
Accrued expenses	(3,916)		(2,768)
Operating lease liability - current	0
Other current liabilities	(2,651)		(5,504)
Total current liabilities	(6,567)		(8,272)
Deferred rent			0
Operating lease liability - non current	0
Long-term debt and capital lease obligations	0		0
Other long-term liabilities	0		0
Total liabilities	(6,567)		(8,272)
Stockholders' equity	(1,004,714)		(962,388)
Total liabilities and stockholders’ equity	(1,011,281)		(970,660)
Conn’s, Inc.
Current assets:
Cash and cash equivalents	0		0
Restricted cash	0		0
Customer accounts receivable, net of allowances (includes VIE balances of $426,229 and $324,064, respectively)	0		0
Other accounts receivable	0		0
Inventories	0		0
Other current assets	0		0
Total current assets	0		0
Investment in and advances to subsidiaries	850,483		815,524
Long-term portion of customer accounts receivable, net of allowances (includes VIE balances of $375,668 and $230,901, respectively)	0		0
Property and equipment, net	0		0
Operating lease assets	0
Deferred income taxes	24,863		27,535
Other assets	0		0
Total assets	875,346		843,059
Current liabilities:
Current maturities of long-term debt and capital lease obligations	0		0
Accounts payable	0		0
Accrued expenses	4,800		686
Operating lease liability - current	0
Other current liabilities	0		0
Total current liabilities	4,800		686
Deferred rent			0
Operating lease liability - non current	0
Long-term debt and capital lease obligations	222,727		222,398
Other long-term liabilities	0		0
Total liabilities	227,527		223,084
Stockholders' equity	647,819		619,975
Total liabilities and stockholders’ equity	875,346		843,059
Guarantors
Current assets:
Cash and cash equivalents	9,767		5,912
Restricted cash	1,600		1,550
Customer accounts receivable, net of allowances (includes VIE balances of $426,229 and $324,064, respectively)	216,156		328,705
Other accounts receivable	57,660		67,078
Inventories	213,102		220,034
Other current assets	22,162		12,344
Total current assets	520,447		635,623
Investment in and advances to subsidiaries	154,231		146,864
Long-term portion of customer accounts receivable, net of allowances (includes VIE balances of $375,668 and $230,901, respectively)	277,211		455,443
Property and equipment, net	153,696		148,983
Operating lease assets	230,393
Deferred income taxes	0		0
Other assets	9,251		7,651
Total assets	1,345,229		1,394,564
Current liabilities:
Current maturities of long-term debt and capital lease obligations	706		474
Accounts payable	57,266		71,118
Accrued expenses	64,763		88,478
Operating lease liability - current	23,958
Other current liabilities	11,521		24,918
Total current liabilities	158,214		184,988
Deferred rent			93,127
Operating lease liability - non current	311,238
Long-term debt and capital lease obligations	4,506		270,831
Other long-term liabilities	20,788		30,094
Total liabilities	494,746		579,040
Stockholders' equity	850,483		815,524
Total liabilities and stockholders’ equity	1,345,229		1,394,564
Non-Guarantor Subsidiaries
Current assets:
Cash and cash equivalents	0		0
Restricted cash	76,443		57,475
Other accounts receivable	0		0
Inventories	0		0
Other current assets	2,650		5,504
Total current assets	505,322		387,043
Investment in and advances to subsidiaries	0		0
Property and equipment, net	0		0
Operating lease assets	0
Deferred income taxes	0		0
Other assets	0		0
Total assets	880,990		617,944
Current liabilities:
Current maturities of long-term debt and capital lease obligations	24,485		53,635
Accounts payable	0		0
Accrued expenses	5,069		3,939
Operating lease liability - current	0
Other current liabilities	2,447		2,592
Total current liabilities	32,001		60,166
Deferred rent			0
Operating lease liability - non current	0
Long-term debt and capital lease obligations	692,017		407,993
Other long-term liabilities	2,741		2,921
Total liabilities	726,759		471,080
Stockholders' equity	154,231		146,864
Total liabilities and stockholders’ equity	$ 880,990		$ 617,944

Guarantor Financial Information (Condensed Consolidated Statement of Operations) (Details) - USD ($) $ in Thousands	3 Months Ended
	Apr. 30, 2019	Apr. 30, 2018
Revenues:
Total Net Sales	$ 261,979	$ 275,756
Other Income	91,533	82,631
Servicing fee revenue	0	0
Total revenues	353,512	358,387
Costs and expenses:
Cost of goods sold	157,228	166,589
Selling, general and administrative expense	117,914	114,878
Provision for bad debts	40,046	44,156
Charges and credits	(695)	0
Total costs and expenses	314,493	325,623
Operating income	39,019	32,764
Interest expense	14,497	16,820
Loss on extinguishment of debt	0	406
Income before income taxes	24,522	15,538
Provision for income taxes	5,013	2,806
Net income	19,509	12,732
Income (loss) from consolidated subsidiaries	0	0
Consolidated net income (loss)	19,509	12,732
Eliminations
Revenues:
Total Net Sales	0	0
Other Income	0	0
Servicing fee revenue	(8,833)	(16,746)
Total revenues	(8,833)	(16,746)
Costs and expenses:
Cost of goods sold	0	0
Selling, general and administrative expense	(8,833)	(16,746)
Provision for bad debts	0	0
Charges and credits	0
Total costs and expenses	(8,833)	(16,746)
Operating income	0	0
Interest expense	0	0
Loss on extinguishment of debt		0
Income before income taxes	0	0
Provision for income taxes	0	0
Net income	0	0
Income (loss) from consolidated subsidiaries	(22,001)	1,451
Consolidated net income (loss)	(22,001)	1,451
Conn’s, Inc.
Revenues:
Total Net Sales	0	0
Other Income	0	0
Servicing fee revenue	0	0
Total revenues	0	0
Costs and expenses:
Cost of goods sold	0	0
Selling, general and administrative expense	0	0
Provision for bad debts	0	0
Charges and credits	0
Total costs and expenses	0	0
Operating income	0	0
Interest expense	4,443	4,443
Loss on extinguishment of debt		0
Income before income taxes	(4,443)	(4,443)
Provision for income taxes	(908)	(802)
Net income	(3,535)	(3,641)
Income (loss) from consolidated subsidiaries	23,044	16,373
Consolidated net income (loss)	19,509	12,732
Guarantors
Revenues:
Total Net Sales	261,979	275,756
Other Income	64,025	45,655
Servicing fee revenue	8,833	16,746
Total revenues	334,837	338,157
Costs and expenses:
Cost of goods sold	157,228	166,589
Selling, general and administrative expense	119,456	119,793
Provision for bad debts	23,984	7,008
Charges and credits	(695)
Total costs and expenses	299,973	293,390
Operating income	34,864	44,767
Interest expense	4,587	3,033
Loss on extinguishment of debt		0
Income before income taxes	30,277	41,734
Provision for income taxes	6,190	7,537
Net income	24,087	34,197
Income (loss) from consolidated subsidiaries	(1,043)	(17,824)
Consolidated net income (loss)	23,044	16,373
Non-Guarantor Subsidiaries
Revenues:
Total Net Sales	0	0
Other Income	27,508	36,976
Servicing fee revenue	0	0
Total revenues	27,508	36,976
Costs and expenses:
Cost of goods sold	0	0
Selling, general and administrative expense	7,291	11,831
Provision for bad debts	16,062	37,148
Charges and credits	0
Total costs and expenses	23,353	48,979
Operating income	4,155	(12,003)
Interest expense	5,467	9,344
Loss on extinguishment of debt		406
Income before income taxes	(1,312)	(21,753)
Provision for income taxes	(269)	(3,929)
Net income	(1,043)	(17,824)
Income (loss) from consolidated subsidiaries	0	0
Consolidated net income (loss)	$ (1,043)	$ (17,824)

Guarantor Financial Information (Condensed Consolidated Statement of Cash Flows) (Details) - USD ($) $ in Thousands	3 Months Ended
	Apr. 30, 2019	Apr. 30, 2018
Condensed Cash Flow Statements, Captions [Line Items]
Net cash provided by (used in) operating activities	$ 49,660	$ 135,339
Cash flows from investing activities:
Purchase of customer accounts receivables	0	0
Sale of customer accounts receivables	0	0
Purchases of property and equipment	(13,119)	(6,169)
Net cash used in investing activities	(13,119)	(6,169)
Cash flows from financing activities:
Proceeds from issuance of asset-backed notes	381,790	0
Payments on asset-backed notes	(95,214)	(232,584)
Borrowings from revolving credit facility	323,138	393,158
Payments on revolving credit facility	(589,638)	(322,608)
Borrowings from warehouse facility	0	52,226
Payments of debt issuance costs and amendment fees	(3,442)	(533)
Payments on warehouse facility	(28,951)	(29,905)
Proceeds from stock issued under employee benefit plans	403	267
Tax payments associated with equity-based compensation transactions	(1,454)	(1,888)
Payment from extinguishment of debt	0	(294)
Other	(300)	(253)
Net cash used in financing activities	(13,668)	(142,414)
Net change in cash, cash equivalents and restricted cash	22,873	(13,244)
Cash, cash equivalents and restricted cash, beginning of period	64,937	96,158
Cash, cash equivalents and restricted cash, end of period	87,810	82,914
Eliminations
Condensed Cash Flow Statements, Captions [Line Items]
Net cash provided by (used in) operating activities	0	0
Cash flows from investing activities:
Purchase of customer accounts receivables	379,200	50,774
Sale of customer accounts receivables	(379,200)	(50,774)
Purchases of property and equipment	0	0
Net cash used in investing activities	0	0
Cash flows from financing activities:
Proceeds from issuance of asset-backed notes	0
Payments on asset-backed notes	0	0
Borrowings from revolving credit facility	0	0
Payments on revolving credit facility	0	0
Borrowings from warehouse facility		0
Payments of debt issuance costs and amendment fees	0	0
Payments on warehouse facility	0	0
Proceeds from stock issued under employee benefit plans	0	0
Tax payments associated with equity-based compensation transactions	0	0
Payment from extinguishment of debt		0
Other	0	0
Net cash used in financing activities	0	0
Net change in cash, cash equivalents and restricted cash	0	0
Cash, cash equivalents and restricted cash, beginning of period	0	0
Cash, cash equivalents and restricted cash, end of period	0	0
Conn’s, Inc.
Condensed Cash Flow Statements, Captions [Line Items]
Net cash provided by (used in) operating activities	(403)	(267)
Cash flows from investing activities:
Purchase of customer accounts receivables	0	0
Sale of customer accounts receivables	0	0
Purchases of property and equipment	0	0
Net cash used in investing activities	0	0
Cash flows from financing activities:
Proceeds from issuance of asset-backed notes	0
Payments on asset-backed notes	0	0
Borrowings from revolving credit facility	0	0
Payments on revolving credit facility	0	0
Borrowings from warehouse facility		0
Payments of debt issuance costs and amendment fees	0	0
Payments on warehouse facility	0	0
Proceeds from stock issued under employee benefit plans	403	267
Tax payments associated with equity-based compensation transactions	0	0
Payment from extinguishment of debt		0
Other	0	0
Net cash used in financing activities	403	267
Net change in cash, cash equivalents and restricted cash	0	0
Cash, cash equivalents and restricted cash, beginning of period	0	0
Cash, cash equivalents and restricted cash, end of period	0	0
Guarantors
Condensed Cash Flow Statements, Captions [Line Items]
Net cash provided by (used in) operating activities	285,322	(14,194)
Cash flows from investing activities:
Purchase of customer accounts receivables	0	0
Sale of customer accounts receivables	0	0
Purchases of property and equipment	(13,119)	(6,169)
Net cash used in investing activities	(13,119)	(6,169)
Cash flows from financing activities:
Proceeds from issuance of asset-backed notes	0
Payments on asset-backed notes	0	(50,847)
Borrowings from revolving credit facility	323,138	393,158
Payments on revolving credit facility	(589,638)	(322,608)
Borrowings from warehouse facility		0
Payments of debt issuance costs and amendment fees	(44)	(1)
Payments on warehouse facility	0	0
Proceeds from stock issued under employee benefit plans	0	0
Tax payments associated with equity-based compensation transactions	(1,454)	(1,888)
Payment from extinguishment of debt		(294)
Other	(300)	(253)
Net cash used in financing activities	(268,298)	17,267
Net change in cash, cash equivalents and restricted cash	3,905	(3,096)
Cash, cash equivalents and restricted cash, beginning of period	7,462	10,836
Cash, cash equivalents and restricted cash, end of period	11,367	7,740
Non-Guarantor Subsidiaries
Condensed Cash Flow Statements, Captions [Line Items]
Net cash provided by (used in) operating activities	(235,259)	149,800
Cash flows from investing activities:
Purchase of customer accounts receivables	(379,200)	(50,774)
Sale of customer accounts receivables	379,200	50,774
Purchases of property and equipment	0	0
Net cash used in investing activities	0	0
Cash flows from financing activities:
Proceeds from issuance of asset-backed notes	381,790
Payments on asset-backed notes	(95,214)	(181,737)
Borrowings from revolving credit facility	0	0
Payments on revolving credit facility	0	0
Borrowings from warehouse facility		52,226
Payments of debt issuance costs and amendment fees	(3,398)	(532)
Payments on warehouse facility	(28,951)	(29,905)
Proceeds from stock issued under employee benefit plans	0	0
Tax payments associated with equity-based compensation transactions	0	0
Payment from extinguishment of debt		0
Other	0	0
Net cash used in financing activities	254,227	(159,948)
Net change in cash, cash equivalents and restricted cash	18,968	(10,148)
Cash, cash equivalents and restricted cash, beginning of period	57,475	85,322
Cash, cash equivalents and restricted cash, end of period	$ 76,443	$ 75,174

Subsequent Events (Details) $ in Millions	May 31, 2019 USD ($)
Subsequent Event [Member]
Subsequent Event [Line Items]
Stock Repurchase Program, Authorized Amount	$ 75