Ulta Beauty (ULTA) 10-Q 1 Jun 18 2018 Q1 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	3 Months Ended
	May 05, 2018	May 29, 2018
Document And Entity Information
Entity Registrant Name	Ulta Beauty, Inc.
Entity Central Index Key	1,403,568
Document Type	10-Q
Document Period End Date	May 5, 2018
Amendment Flag	false
Current Fiscal Year End Date	--02-02
Entity Current Reporting Status	Yes
Entity Filer Category	Large Accelerated Filer
Entity Common Stock, Shares Outstanding		60,179,958
Document Fiscal Year Focus	2,018
Document Fiscal Period Focus	Q1
Trading Symbol	ULTA

Consolidated Balance Sheets

Consolidated Balance Sheets - USD ($) $ in Thousands	May 05, 2018	Feb. 03, 2018	Apr. 29, 2017
Current assets:
Cash and cash equivalents	$ 231,886	$ 277,445	$ 321,725
Short-term investments	237,193	120,000	150,000
Receivables, net	100,274	99,719	62,936
Merchandise inventories, net	1,136,816	1,096,424	1,048,431
Prepaid expenses and other current assets	96,530	98,666	89,880
Prepaid income taxes		1,489
Total current assets	1,802,699	1,693,743	1,672,972
Property and equipment, net	1,190,969	1,189,453	1,020,853
Deferred compensation plan assets	18,494	16,827	13,776
Other long-term assets	10,087	8,664
Total assets	3,022,249	2,908,687	2,707,601
Current liabilities:
Accounts payable	372,664	325,758	319,352
Accrued liabilities	320,423	302,307	210,379
Accrued income taxes	52,005	14,101	54,521
Total current liabilities	745,092	642,166	584,252
Deferred rent	414,219	407,916	372,478
Deferred income taxes	50,561	59,403	86,766
Other long-term liabilities	28,944	24,985	22,448
Total liabilities	1,238,816	1,134,470	1,065,944
Commitments and contingencies (Note 4)
Stockholders' equity:
Common stock, $0.01 par value, 400,000 shares authorized; 60,998, 61,441, and 62,688 shares issued; 60,356, 60,822, and 62,075 shares outstanding; at May 5, 2018 (unaudited), February 3, 2018, and April 29, 2017 (unaudited), respectively	610	614	627
Treasury stock-common, at cost	(23,598)	(18,767)	(17,033)
Additional paid-in capital	711,597	698,917	675,650
Retained earnings	1,094,824	1,093,453	982,413
Total stockholders' equity	1,783,433	1,774,217	1,641,657
Total liabilities and stockholders' equity	$ 3,022,249	$ 2,908,687	$ 2,707,601

Consolidated Balance Sheets (Pa

Consolidated Balance Sheets (Parenthetical) - $ / shares	May 05, 2018	Feb. 03, 2018	Apr. 29, 2017
Consolidated Balance Sheets
Common stock, par value	$ 0.01	$ 0.01	$ 0.01
Common stock, shares authorized	400,000,000	400,000,000	400,000,000
Common stock, shares issued	60,998,000	61,441,000	62,688,000
Common stock, shares outstanding	60,356,000	60,822,000	62,075,000

Consolidated Statements of Inco

Consolidated Statements of Income - USD ($) shares in Thousands, $ in Thousands	3 Months Ended
	May 05, 2018	Apr. 29, 2017
Consolidated Statements of Income
Net sales	$ 1,543,667	$ 1,314,879
Cost of sales	982,954	838,871
Gross profit	560,713	476,008
Selling, general and administrative expenses	345,624	283,445
Pre-opening expenses	5,247	4,158
Operating income	209,842	188,405
Interest income, net	(1,325)	(338)
Income before income taxes	211,167	188,743
Income tax expense	46,771	60,520
Net income	$ 164,396	$ 128,223
Net income per common share:
Basic	$ 2.71	$ 2.06
Diluted	$ 2.70	$ 2.05
Weighted average common shares outstanding:
Basic	60,610	62,101
Diluted	60,909	62,594

Consolidated Statements of Cash

Consolidated Statements of Cash Flows - USD ($) $ in Thousands	3 Months Ended
	May 05, 2018	Apr. 29, 2017
Operating activities
Net income	$ 164,396	$ 128,223
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	68,789	62,476
Deferred income taxes	1,473	268
Non-cash stock compensation charges	6,170	5,491
Loss on disposal of property and equipment	798	1,637
Change in operating assets and liabilities:
Receivables	(555)	25,695
Merchandise inventories	(40,392)	(104,456)
Prepaid expenses and other current assets	2,136	(1,259)
Income taxes	39,393	45,550
Accounts payable	46,906	59,834
Accrued liabilities	(18,810)	(54,329)
Deferred rent	6,303	6,287
Other assets and liabilities	656	327
Net cash provided by operating activities	277,263	175,744
Investing activities
Purchases of short-term investments	(237,193)	(120,000)
Proceeds from short-term investments	120,000
Purchases of property and equipment	(74,259)	(76,754)
Net cash used in investing activities	(191,452)	(196,754)
Financing activities
Repurchase of common shares	(133,051)	(51,597)
Stock options exercised	6,512	11,831
Purchase of treasury shares	(4,831)	(2,509)
Net cash used in financing activities	(131,370)	(42,275)
Net decrease in cash and cash equivalents	(45,559)	(63,285)
Cash and cash equivalents at beginning of period	277,445	385,010
Cash and cash equivalents at end of period	231,886	321,725
Supplemental cash flow information
Cash paid for income taxes (net of refunds)	5,617	14,442
Non-cash investing activities:
Change in property and equipment included in accrued liabilities	$ (3,369)	$ 3,854

Consolidated Statements of Stoc

Consolidated Statements of Stockholders' Equity - 3 months ended May 05, 2018 - USD ($) shares in Thousands, $ in Thousands	Common Stock	Treasury - Common Stock	Additional Paid-In Capital	Retained Earnings	Total
Balance at Feb. 03, 2018	$ 614	$ (18,767)	$ 698,917	$ 1,093,453	$ 1,774,217
Balance (in shares) at Feb. 03, 2018	61,441	(619)			60,822
Adoption of accounting standards				(29,980)	$ (29,980)
Stock options exercised and other awards	$ 2		6,510		6,512
Stock options exercised and other awards (in shares)	176
Purchase of treasury shares		$ (4,831)			(4,831)
Purchase of treasury shares (in shares)		(23)
Net income				164,396	164,396
Stock compensation charge			6,170		6,170
Repurchase of common shares	$ (6)			(133,045)	(133,051)
Repurchase of common shares (in shares)	(619)
Balance at May. 05, 2018	$ 610	$ (23,598)	$ 711,597	$ 1,094,824	$ 1,783,433
Balance (in shares) at May. 05, 2018	60,998	(642)			60,356

Business and basis of presentat

Business and basis of presentation	3 Months Ended
	May 05, 2018
Business and basis of presentation
Business and basis of presentation	1. On January 29, 2017, Ulta Salon, Cosmetics & Fragrance, Inc. implemented a holding company reorganization. Pursuant to which Ulta Beauty, Inc., which was incorporated as a Delaware corporation in December 2016, became the successor to Ulta Salon, Cosmetics & Fragrance, Inc., the former publicly-traded company and now a wholly owned subsidiary of Ulta Beauty, Inc. As used in these notes and throughout this Quarterly Report on Form 10‑Q, all references to “we,” “us,” “our,” “Ulta Beauty,” or the “Company” refer to Ulta Beauty, Inc. and its consolidated subsidiaries. The Company was originally founded in 1990 to operate specialty retail stores selling cosmetics, fragrance, haircare and skincare products, and related accessories and services. The stores also feature full-service salons. As of May 5, 2018, the Company operated 1,107 stores in 48 states and the District of Columbia, as shown in the table below. Number of Number of Location stores Location stores Alabama 17 Montana 6 Alaska 3 Nebraska 5 Arizona 25 Nevada 14 Arkansas 9 New Hampshire 7 California 140 New Jersey 30 Colorado 24 New Mexico 6 Connecticut 14 New York 44 Delaware 3 North Carolina 29 District of Columbia 1 North Dakota 3 Florida 76 Ohio 40 Georgia 34 Oklahoma 19 Idaho 8 Oregon 13 Illinois 53 Pennsylvania 43 Indiana 22 Rhode Island 3 Iowa 10 South Carolina 16 Kansas 11 South Dakota 2 Kentucky 11 Tennessee 22 Louisiana 17 Texas 102 Maine 3 Utah 13 Maryland 19 Virginia 26 Massachusetts 17 Washington 28 Michigan 46 West Virginia 6 Minnesota 15 Wisconsin 20 Mississippi 9 Wyoming 2 Missouri 21 Total 1,107 The accompanying unaudited consolidated financial statements and related notes have been prepared in accordance with U.S. generally accepted accounting principles (GAAP) for interim financial information and with the instructions to Form 10‑Q and the U.S. Securities and Exchange Commission’s Article 10, Regulation S-X. These consolidated financial statements were prepared on a consolidated basis to include the accounts of the Company and its wholly owned subsidiaries. All significant intercompany accounts, transactions, and unrealized profit were eliminated in consolidation. In the opinion of management, the accompanying consolidated financial statements reflect all adjustments, which are of a normal recurring nature, necessary to fairly state the financial position and results of operations and cash flows for the interim periods presented. The Company’s business is subject to seasonal fluctuation. Significant portions of the Company’s net sales and net income are realized during the fourth quarter of the fiscal year due to the holiday selling season. The results for the 13 weeks ended May 5, 2018 are not necessarily indicative of the results to be expected for the fiscal year ending February 2, 2019, or for any other future interim period or for any future year. These interim consolidated financial statements and the related notes should be read in conjunction with the consolidated financial statements and notes included in the Company’s Annual Report on Form 10‑K for the year ended February 3, 2018. All amounts are stated in thousands, with the exception of per share amounts and number of stores.

Summary of significant accounti

Summary of significant accounting policies	3 Months Ended
	May 05, 2018
Summary of significant accounting policies
Summary of significant accounting policies	2. Information regarding the Company’s significant accounting policies is contained in Note 2, “Summary of significant accounting policies,” to the consolidated financial statements in the Company’s Annual Report on Form 10‑K for the year ended February 3, 2018. Presented below and in the following notes is supplemental information that should be read in conjunction with “Notes to Consolidated Financial Statements” in the Annual Report. Fiscal quarter The Company’s quarterly periods are the 13 weeks ending on the Saturday closest to April 30, July 31, October 31, and January 31. The Company’s first quarter in fiscal 2018 and 2017 ended on May 5, 2018 and April 29, 2017, respectively. Share-based compensation The Company measures share-based compensation cost on the grant date, based on the fair value of the award, and recognizes the expense on a straight-line basis over the requisite service period for awards expected to vest. The Company estimated the grant date fair value of stock options using a Black-Scholes valuation model using the following weighted-average assumptions for the periods indicated: 13 Weeks Ended May 5, April 29, 2018 2017 Volatility rate Average risk-free interest rate Average expected life (in years) Dividend yield None None The Company granted 163 and 103 stock options during the 13 weeks ended May 5, 2018 and April 29, 2017, respectively. The compensation cost charged against operating income for stock options was $2,208 and $2,142 for the 13 weeks ended May 5, 2018 and April 29, 2017, respectively. The weighted-average grant date fair value of these stock options was $50.10 and $70.12 for the 13 weeks ended May 5, 2018 and April 29, 2017, respectively. At May 5, 2018, there was approximately $23,943 of unrecognized compensation expense related to unvested stock options. The Company issued 83 and 35 restricted stock units during the 13 weeks ended May 5, 2018 and April 29, 2017, respectively. The compensation cost charged against operating income for restricted stock units was $2,505 and $2,099 for the 13 weeks ended May 5, 2018 and April 29, 2017, respectively. At May 5, 2018, there was approximately $26,810 of unrecognized compensation expense related to restricted stock units. The Company issued 33 and 21 performance-based restricted stock units during the 13 weeks ended May 5, 2018 and April 29, 2017, respectively. The compensation cost charged against operating income for performance-based restricted stock units was $1,457 and $1,250 for the 13 weeks ended May 5, 2018 and April 29, 2017, respectively. At May 5, 2018, there was approximately $12,273 of unrecognized compensation expense related to performance-based restricted stock units. Recent accounting pronouncements not yet adopted Leases In February 2016, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) 2016‑02, Leases (Topic 842). This standard will change the way all leases of one year or more are treated. Under this guidance, lessees will be required to capitalize virtually all leases on the balance sheet as a right-of-use asset and recognize an associated financing lease liability or capital lease liability. The right-of-use asset represents the lessee’s right to use, or control the use of, a specified asset for the specified lease term. The lease liability represents the lessee’s obligation to make lease payments arising from the lease, measured on a discounted basis. Based on certain characteristics, leases are classified as financing leases or operating leases. Financing lease liabilities, those that contain provisions similar to capitalized leases, are amortized like capital leases under current GAAP as amortization expense and interest expense in the statement of operations. Operating lease liabilities are amortized on a straight-line basis over the life of the lease as lease expense in the statement of operations. Entities are required to use a modified retrospective approach for leases that exist or are entered into after the beginning of the earliest comparative period in the financial statements, and have the option to use certain relief. ASU 2016‑02 is effective for public companies for annual reporting periods beginning after December 15, 2018, including interim reporting periods. Early adoption is permitted. The Company will adopt the new standard in fiscal 2019. The Company’s ability to adopt depends on system readiness, including software procured from third-party providers, and completing an analysis of information necessary to quantify the financial statement impact. The Company formed a project team to review the current accounting policies and practices and assess the effect of the standard on the consolidated financial statements. The team completed a preliminary assessment of the potential impact of adopting ASU 2016‑02 on the consolidated financial statements. The adoption of ASU 2016‑02 will have a material impact on the Company’s consolidated financial position, but the Company is not able to quantify the difference at this time. The Company does not believe adoption of this standard will have a material impact on the Company’s consolidated results of operations or cash flows. Recently adopted accounting pronouncements Revenue Recognition from Contracts with Customers In May 2014, the FASB issued ASU 2014‑09, Revenue from Contracts with Customers (ASU 2014‑09), issued as a new Topic, Accounting Standards Codification (ASC) Topic 606, Revenue from Contracts with Customers (ASC 606), which supersedes the revenue recognition requirements in ASC 605, Revenue Recognition (ASC 605). The guidance in ASU 2014-09 and subsequently issued amendments outlines a comprehensive model for all entities to use in accounting for revenue arising from contracts with customers as well as required disclosures. Under the new standard, recognition of revenue occurs when a customer obtains control of promised goods or services in an amount that reflects the consideration, which the entity expects to receive in exchange for those goods or services. The new standard requires additional disclosure of the nature, amount, timing, and uncertainty of revenue and cash flows arising from contracts with customers including significant judgments and changes in judgments. The Company adopted the new revenue standard effective February 4, 2018 using the modified retrospective transition method applied to all contracts with the cumulative effect recorded to the opening balance of retained earnings as of the date of adoption. The comparative information has not been restated and continues to be reported under accounting standards in effect for those periods. The adoption of the new revenue standard did not have a material impact on the Company’s consolidated financial position, results of operations, or cash flows. The Company expects the impact of the adoption of the new revenue standard will be immaterial to net income on an ongoing basis. See Note 3, “Revenue”, for further details. Liabilities – Extinguishments of Liabilities In March 2016, the FASB issued ASU 2016‑04, Liabilities – Extinguishments of Liabilities (Subtopic 405‑20): Recognition of Breakage for Certain Prepaid Stored – Value Products. This update entitles a company to derecognize amounts related to expected breakage to the extent that it is probable a significant reversal of the recognized breakage amount will not subsequently occur. ASU 2016‑04 is effective for annual and interim periods beginning after December 15, 2017, and early adoption is permitted. The Company adopted the new guidance using the modified retrospective transition method in the first quarter of fiscal 2018. The adoption had no impact on the Company’s consolidated financial position, results of operations, or cash flows.

Revenue

Revenue	3 Months Ended
	May 05, 2018
Revenue
Revenue	3 . Revenue from Contracts with Customers On February 4, 2018, the Company adopted ASC 606 using the modified retrospective method applied to all contracts as of the date of adoption. The cumulative effect of initially applying the new revenue standard was recorded as an adjustment to the opening balance of retained earnings within the consolidated balance sheets. Under ASC 606, changes were made to the recognition timing or classification of revenues and expenses for the following: Description Policy under ASC 605 Policy under ASC 606 Credit card Recognized amounts earned under the private label credit card and co-branded credit card programs as a reduction of cost of sales and selling, general and administrative expenses. Recognize amounts earned under private label credit card and co-branded credit card programs within net sales. Loyalty program Recognized revenue under the incremental cost method at the time of purchase by the guest (when points were earned). Recorded a liability for the cost associated with the future performance obligation to the guest. Recognize revenue under the deferred revenue method by deferring the recognition of the portion of revenue related to the earning of loyalty points to a future period when the guest redeems the points or the points expire. Gift card breakage Recognized gift card breakage (amounts not expected to be redeemed) within selling, general and administrative expenses. Recognize gift card breakage in net sales proportionately as other gift card balances are redeemed. Sales refund Recognized a sales refund reserve as a net liability within accrued liabilities. Recognize a sales refund reserve on a gross basis as a liability within accrued liabilities and a right of return asset within prepaid expense and other current assets. E-commerce Recognized revenue based on delivery of merchandise to the guest. Recognize revenue upon shipment of merchandise to the guest based on meeting the transfer of control criteria. Upon the adoption of ASC 606, the Company recognized the cumulative effect of $29,980, net of tax, as a reduction to the opening balance of retained earnings as of February 4, 2018. The cumulative effect of adoption is primarily related to the change in accounting for the loyalty program. The comparative information has not been restated and continues to be reported under accounting standards in effect for those periods. The adoption of the new revenue standard did not have a material impact on the Company’s consolidated financial position, results of operations, or cash flows. The Company expects the impact of the adoption of the new revenue standard will be immaterial to net income on an ongoing basis. Revenue recognition policies Revenue is recognized when control of the promised goods or services is transferred to the guest, in an amount that reflects the consideration the Company expects to be entitled to in exchange for those goods or services. The Company determines revenue recognition through the following steps: · Identification of the contract, or contracts, with a guest; · Identification of the performance obligations in the contract; · Determination of the transaction price; · Allocation of the transaction price to the performance obligations in the contract; and · Recognition of revenue when, or as, a performance obligation is satisfied. The Company’s net sales include retail stores and e-commerce merchandise sales as well as salon services and other revenue. Revenue from merchandise sales at retail stores is recognized at the point of sale, net of estimated returns. Revenue from e-commerce merchandise sales is recognized upon shipment of the merchandise to the guest based on meeting the transfer of control criteria, net of estimated returns. Shipping and handling are treated as costs to fulfill the contract, and as a result, any fees received from guests are included in the transaction price allocated to the performance obligation of providing goods with a corresponding amount accrued within cost of sales for amounts paid to applicable carriers. The Company provides refunds for merchandise returns within 60 days from the original purchase date. State sales taxes are presented on a net basis as the Company considers itself a pass -through conduit for collecting and remitting state sales tax. Company coupons and other incentives are recorded as a reduction of net sales. Salon services revenue is recognized at the time the service is provided to the guest. Other revenue sources include the private label credit card and co-branded credit card programs, as well as deferred revenue related to the loyalty program and gift card breakage. Credit card program The Company has agreements (the Agreements) with third parties to provide guests with private label credit cards and/or co-branded credit cards (collectively, the Credit Cards). The private label credit card can be used at any store location and online, and the co-branded credit card can be used anywhere the co-branded card is accepted. A third-party financing company is the sole owner of the accounts and underwrites the credit issued under the Credit Card programs. The Company’s performance obligation is to maintain the Ultamate Rewards loyalty program as only guests enrolled in the loyalty program can apply for the Credit Cards. Loyalty members earn points through purchases at Ulta Beauty and anywhere the co-branded credit card is accepted. The Company receives payments and reimbursements of expenses in accordance with the Agreements and based on usage of the Credit Cards. The third parties reimburse the Company for the credit card program costs such as advertising and loyalty points, which help promote the credit card program. The Company recognizes income when collectability is reasonably assured, under the assumption the amounts are not constrained and it is probable that a significant revenue reversal will not occur in future periods, which is generally the time at which the actual usage of the Credit Cards or specified transaction occurs. The Company accounts for the amounts associated with the Agreements as a single contract with the sole commercial objective to maintain the Credit Card programs. As a result, all amounts associated with the Agreements are recognized within net sales on the consolidated statements of income. Consistent with the accounting for the customer loyalty program, the Company defers the value of the Ultamate Rewards points earned at the time of the initial purchase in accrued liabilities on the consolidated balance sheets until the points are redeemed or expire. Other administrative costs related to the Credit Card programs, including payroll, marketing expenses, and other direct costs, are included in selling, general and administrative expenses on the consolidated statements of income. Loyalty program The Company maintains a customer loyalty program, Ultamate Rewards, in which program members earn points based on purchases of merchandise or services. Points earned by members are valid for at least one year and may be redeemed on any product the Company sells. In the Ultamate Rewards loyalty program there is a contract with the guest that creates enforceable rights and obligations. In exchange for the guest’s consideration (i.e. payment), the guest is granted the right to a certain number of Ultamate Rewards points depending upon the program level and any active promotional multipliers. The points earned are a distinct promise from the original purchase that can be exchanged for future goods, which creates a performance obligation for the Company to provide goods until those points are redeemed or expire. The standalone selling price of the goods or services provided is directly observable, as it is the price paid by the guest for those goods or services at the time of sale. The standalone selling price of the Ultamate Rewards points awarded is not directly observable and as such that amount must be estimated. The Company utilizes the expected retail value to account for Ultamate Rewards points earned and considers the expected redemption rate as part of that calculation. The estimated redemption rate is based on historical experience and other assumptions. The estimates are evaluated on an on-going basis. The Company does not believe there is a reasonable likelihood there will be a material change in the future estimates or assumptions used to calculate the redemption rates. The Company defers the value of the Ultamate Rewards points earned at the time of the initial purchase in accrued liabilities on the consolidated balance sheets until the points are redeemed or expire. Gift card program The Company’s gift card sales are deferred within accrued liabilities on the consolidated balance sheets and recognized in net sales when the gift card is redeemed for product or services. The Company’s gift cards do not expire and do not include service fees that decrease guest balances. The Company has maintained historical data related to gift card transactions sold and redeemed over a significant time frame. The Company recognizes gift card breakage (amounts not expected to be redeemed) to the extent there is no requirement for remitting balances to governmental agencies under unclaimed property laws. Estimated gift card breakage revenue is recognized over time in proportion to actual gift card redemptions. Disaggregated revenue The following table sets forth the amount of net sales attributable to retail stores, e-commerce, salon services, and other: 13 Weeks Ended May 5, April 29, (Dollars in thousands) 2018 2017 Retail stores $ 1,301,551 $ 1,141,873 E-commerce 154,383 104,278 Salon services 75,675 68,728 Other 12,058 - Total $ 1,543,667 $ 1,314,879 The following table sets forth the approximate percentage of net sales by primary category: 13 Weeks Ended May 5, April 29, (Percentage of net sales) 2018 2017 Cosmetics 54% 54% Skincare, Bath & Fragrance 20% 19% Haircare Products & Styling Tools 17% 18% Salon Services 5% 5% Other (nail products, accessories, and other) 4% 4% 100% 100% Deferred Revenue Contract liabilities primarily represent the Company’s obligation to transfer additional goods or services to a guest for which the Company has received consideration, such as Ultamate Rewards loyalty points and unredeemed Ulta Beauty gift cards. In addition, the Company recognizes breakage on gift cards proportionately as redemption occurs. During the 13 weeks ended May 5, 2018, the contract liabilities balance includes additions related to the earnings of Ultamate Rewards loyalty points or issuances of Ulta Beauty gift cards and deductions for revenues recognized during the period as a result of the redemption of Ultamate Rewards loyalty points or Ulta Beauty gift cards and breakage of Ulta Beauty gift cards. The following table provides a summary of the changes in deferred revenue (included in accrued liabilities): (In thousands) Balance at February 3, 2018 $ 110,103 Adoption of ASC 606 38,773 Additions to contract liabilities 85,834 Deductions to contract liabilities (104,119) Balance at May 5, 2018 $ 130,591

Commitments and contingencies

Commitments and contingencies	3 Months Ended
	May 05, 2018
Commitments and contingencies
Commitments and contingencies	4. and contingencies Leases – The Company leases retail stores, distribution centers, corporate offices, and certain equipment. Original non-cancelable lease terms range from three to ten years, and store leases generally contain renewal options for additional years. Total rent expense under operating leases was $65,755 and $56,784 for the 13 weeks ended May 5, 2018 and April 29, 2017, respectively. General litigation – The Company is involved in various legal proceedings that are incidental to the conduct of the business. In the opinion of management, the amount of any liability with respect to these proceedings, either individually or in the aggregate, will not have a material adverse effect on the Company’s consolidated financial position, results of operations, or cash flows.

Notes payable

Notes payable	3 Months Ended
	May 05, 2018
Notes payable
Notes payable	5. On August 23, 2017, the Company entered into a Second Amended and Restated Loan Agreement (the Loan Agreement) with Wells Fargo Bank, National Association, as Administrative Agent, Collateral Agent and a Lender thereunder, Wells Fargo Bank, National Association and JPMorgan Chase Bank, N.A., as Lead Arrangers and Bookrunners, JPMorgan Chase Bank, N.A., as Syndication Agent and a Lender, PNC Bank, National Association, as Documentation Agent and a Lender, and the other lenders party thereto. The Loan Agreement matures on August 23, 2022, provides maximum revolving loans equal to the lesser of $400,000 or a percentage of eligible owned inventory (which borrowing base may, at the election of the Company and satisfaction of certain conditions, include a percentage of eligible owned receivables and qualified cash), contains a $20,000 subfacility for letters of credit and allows the Company to increase the revolving facility by an additional $50,000, subject to the consent by each lender and other conditions. The Loan Agreement contains a requirement to maintain a fixed charge coverage ratio of not less than 1.0 to 1.0 during such periods when availability under the Loan Agreement falls below a specified threshold. Substantially all of the Company’s assets are pledged as collateral for outstanding borrowings under the Loan Agreement. Outstanding borrowings will bear interest at either a base rate or the London Interbank Offered Rate plus 1.25%, and the unused line fee is 0.20% per annum. As of May 5, 2018, February 3, 2018, and April 29, 2017, the Company had no borrowings outstanding under the credit facility and the Company was in compliance with all terms and covenants of the Loan Agreement.

Fair value measurements

Fair value measurements	3 Months Ended
	May 05, 2018
Fair value measurements
Fair value measurements	6. The carrying value of cash and cash equivalents, accounts receivable, and accounts payable approximates their estimated fair values due to the short maturities of these instruments. Fair value is measured using inputs from the three levels of the fair value hierarchy, which are described as follows: · Level 1 – observable inputs such as quoted prices for identical instruments in active markets. · Level 2 – inputs other than quoted prices in active markets that are observable either directly or indirectly through corroboration with observable market data. · Level 3 – unobservable inputs in which there is little or no market data, which would require the Company to develop its own assumptions. As of May 5, 2018, February 3, 2018, and April 29, 2017, the Company held financial liabilities of $19,346, $15,942, and $13,259, respectively, related to its non-qualified deferred compensation plan. The liabilities have been categorized as Level 2 as they are based on third-party reported values, which are based primarily on quoted market prices of underlying assets of the funds within the plan.

Investments

Investments	3 Months Ended
	May 05, 2018
Investments
Investments	7. The Company’s short-term investments as of May 5, 2018, February 3, 2018, and April 29, 2017 consist of $237,193, $120,000, and $150,000, respectively, in certificates of deposit. These short-term investments are carried at cost, which approximates fair value and are recorded in the consolidated balance sheets in short-term investments. The contractual maturity of the Company’s investments was less than twelve months at May 5, 2018 .

Income Taxes

Income Taxes	3 Months Ended
	May 05, 2018
Income Taxes
Income Taxes	8. Income tax expense reflects the federal statutory tax rate and the weighted average state statutory tax rate for the states in which the Company operates stores. Income tax expense of $46,771 for the 13 weeks ended May 5, 2018 represents an effective tax rate of 22.1% , compared to $60,520 of tax expense representing an effective tax rate of 32.1% for the 13 weeks ended April 29, 2017. The lower effective tax rate is primarily due to tax reform.

Net income per common share

Net income per common share	3 Months Ended
	May 05, 2018
Net income per common share
Net income per common share	9. The following is a reconciliation of net income and the number of shares of common stock used in the computation of net income per basic and diluted share: 13 Weeks Ended May 5, April 29, (In thousands, except per share data) 2018 2017 Numerator for diluted net income per share – net income $ 164,396 $ 128,223 Denominator for basic net income per share – weighted-average common shares 60,610 62,101 Dilutive effect of stock options and non-vested stock 299 493 Denominator for diluted net income per share 60,909 62,594 Net income per common share: Basic $ 2.71 $ 2.06 Diluted $ 2.70 $ 2.05 The denominator for diluted net income per common share for the 13 weeks ended May 5, 2018 and April 29, 2017 excludes 461 and 163 employee stock options and restricted stock units, respectively, due to their anti-dilutive effects. Outstanding performance-based restricted stock units are included in the computation of dilutive shares only to the extent that the underlying performance conditions are satisfied prior to the end of the reporting period or would be considered satisfied if the end of the reporting period were the end of the related contingency period and the results would be dilutive under the treasury stock method.

Share repurchase program

Share repurchase program	3 Months Ended
	May 05, 2018
Share repurchase program
Share repurchase program	10. On March 9, 2017, the Company announced that the Board of Directors authorized a share repurchase program (the 2017 Share Repurchase Program) pursuant to which the Company could repurchase up to $425,000 of the Company’s common stock. The 2017 Share Repurchase Program authorization revoked the previously authorized but unused amount of $79,863 from the earlier share repurchase program. The 2017 Share Repurchase Program did not have an expiration date but provided for suspension or discontinuation at any time. On March 15, 2018, the Company announced that the Board of Directors authorized a new share repurchase program (the 2018 Share Repurchase Program) pursuant to which the Company may repurchase up to $625,000 of the Company’s common stock. The 2018 Share Repurchase Program authorization revoked the previously authorized but unused amount of $41,317 from the 2017 Share Repurchase Program. The 2018 Share Repurchase Program does not have an expiration date and may be suspended or discontinued at any time. During the 13 weeks ended May 5, 2018, the Company purchased 619 shares of common stock for $133,051. During the 13 weeks ended April 29, 2017, the Company purchased 185 shares of common stock for $51,597.

Summary of significant accoun17

Summary of significant accounting policies (Policies)	3 Months Ended
	May 05, 2018
Summary of significant accounting policies
Fiscal quarter	Fiscal quarter The Company’s quarterly periods are the 13 weeks ending on the Saturday closest to April 30, July 31, October 31, and January 31. The Company’s first quarter in fiscal 2018 and 2017 ended on May 5, 2018 and April 29, 2017, respectively.
Share-based compensation	Share-based compensation The Company measures share-based compensation cost on the grant date, based on the fair value of the award, and recognizes the expense on a straight-line basis over the requisite service period for awards expected to vest. The Company estimated the grant date fair value of stock options using a Black-Scholes valuation model using the following weighted-average assumptions for the periods indicated: 13 Weeks Ended May 5, April 29, 2018 2017 Volatility rate Average risk-free interest rate Average expected life (in years) Dividend yield None None The Company granted 163 and 103 stock options during the 13 weeks ended May 5, 2018 and April 29, 2017, respectively. The compensation cost charged against operating income for stock options was $2,208 and $2,142 for the 13 weeks ended May 5, 2018 and April 29, 2017, respectively. The weighted-average grant date fair value of these stock options was $50.10 and $70.12 for the 13 weeks ended May 5, 2018 and April 29, 2017, respectively. At May 5, 2018, there was approximately $23,943 of unrecognized compensation expense related to unvested stock options. The Company issued 83 and 35 restricted stock units during the 13 weeks ended May 5, 2018 and April 29, 2017, respectively. The compensation cost charged against operating income for restricted stock units was $2,505 and $2,099 for the 13 weeks ended May 5, 2018 and April 29, 2017, respectively. At May 5, 2018, there was approximately $26,810 of unrecognized compensation expense related to restricted stock units. The Company issued 33 and 21 performance-based restricted stock units during the 13 weeks ended May 5, 2018 and April 29, 2017, respectively. The compensation cost charged against operating income for performance-based restricted stock units was $1,457 and $1,250 for the 13 weeks ended May 5, 2018 and April 29, 2017, respectively. At May 5, 2018, there was approximately $12,273 of unrecognized compensation expense related to performance-based restricted stock units.
Recent accounting pronouncements not yet adopted and Recently adopted accounting pronouncements	Recent accounting pronouncements not yet adopted Leases In February 2016, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) 2016‑02, Leases (Topic 842). This standard will change the way all leases of one year or more are treated. Under this guidance, lessees will be required to capitalize virtually all leases on the balance sheet as a right-of-use asset and recognize an associated financing lease liability or capital lease liability. The right-of-use asset represents the lessee’s right to use, or control the use of, a specified asset for the specified lease term. The lease liability represents the lessee’s obligation to make lease payments arising from the lease, measured on a discounted basis. Based on certain characteristics, leases are classified as financing leases or operating leases. Financing lease liabilities, those that contain provisions similar to capitalized leases, are amortized like capital leases under current GAAP as amortization expense and interest expense in the statement of operations. Operating lease liabilities are amortized on a straight-line basis over the life of the lease as lease expense in the statement of operations. Entities are required to use a modified retrospective approach for leases that exist or are entered into after the beginning of the earliest comparative period in the financial statements, and have the option to use certain relief. ASU 2016‑02 is effective for public companies for annual reporting periods beginning after December 15, 2018, including interim reporting periods. Early adoption is permitted. The Company will adopt the new standard in fiscal 2019. The Company’s ability to adopt depends on system readiness, including software procured from third-party providers, and completing an analysis of information necessary to quantify the financial statement impact. The Company formed a project team to review the current accounting policies and practices and assess the effect of the standard on the consolidated financial statements. The team completed a preliminary assessment of the potential impact of adopting ASU 2016‑02 on the consolidated financial statements. The adoption of ASU 2016‑02 will have a material impact on the Company’s consolidated financial position, but the Company is not able to quantify the difference at this time. The Company does not believe adoption of this standard will have a material impact on the Company’s consolidated results of operations or cash flows. Recently adopted accounting pronouncements Revenue Recognition from Contracts with Customers In May 2014, the FASB issued ASU 2014‑09, Revenue from Contracts with Customers (ASU 2014‑09), issued as a new Topic, Accounting Standards Codification (ASC) Topic 606, Revenue from Contracts with Customers (ASC 606), which supersedes the revenue recognition requirements in ASC 605, Revenue Recognition (ASC 605). The guidance in ASU 2014-09 and subsequently issued amendments outlines a comprehensive model for all entities to use in accounting for revenue arising from contracts with customers as well as required disclosures. Under the new standard, recognition of revenue occurs when a customer obtains control of promised goods or services in an amount that reflects the consideration, which the entity expects to receive in exchange for those goods or services. The new standard requires additional disclosure of the nature, amount, timing, and uncertainty of revenue and cash flows arising from contracts with customers including significant judgments and changes in judgments. The Company adopted the new revenue standard effective February 4, 2018 using the modified retrospective transition method applied to all contracts with the cumulative effect recorded to the opening balance of retained earnings as of the date of adoption. The comparative information has not been restated and continues to be reported under accounting standards in effect for those periods. The adoption of the new revenue standard did not have a material impact on the Company’s consolidated financial position, results of operations, or cash flows. The Company expects the impact of the adoption of the new revenue standard will be immaterial to net income on an ongoing basis. See Note 3, “Revenue”, for further details. Liabilities – Extinguishments of Liabilities In March 2016, the FASB issued ASU 2016‑04, Liabilities – Extinguishments of Liabilities (Subtopic 405‑20): Recognition of Breakage for Certain Prepaid Stored – Value Products. This update entitles a company to derecognize amounts related to expected breakage to the extent that it is probable a significant reversal of the recognized breakage amount will not subsequently occur. ASU 2016‑04 is effective for annual and interim periods beginning after December 15, 2017, and early adoption is permitted. The Company adopted the new guidance using the modified retrospective transition method in the first quarter of fiscal 2018. The adoption had no impact on the Company’s consolidated financial position, results of operations, or cash flows.

Business and basis of present18

Business and basis of presentation (Tables)	3 Months Ended
	May 05, 2018
Business and basis of presentation
Schedule of stores operated by geographic area	As of May 5, 2018, the Company operated 1,107 stores in 48 states and the District of Columbia, as shown in the table below. Number of Number of Location stores Location stores Alabama 17 Montana 6 Alaska 3 Nebraska 5 Arizona 25 Nevada 14 Arkansas 9 New Hampshire 7 California 140 New Jersey 30 Colorado 24 New Mexico 6 Connecticut 14 New York 44 Delaware 3 North Carolina 29 District of Columbia 1 North Dakota 3 Florida 76 Ohio 40 Georgia 34 Oklahoma 19 Idaho 8 Oregon 13 Illinois 53 Pennsylvania 43 Indiana 22 Rhode Island 3 Iowa 10 South Carolina 16 Kansas 11 South Dakota 2 Kentucky 11 Tennessee 22 Louisiana 17 Texas 102 Maine 3 Utah 13 Maryland 19 Virginia 26 Massachusetts 17 Washington 28 Michigan 46 West Virginia 6 Minnesota 15 Wisconsin 20 Mississippi 9 Wyoming 2 Missouri 21 Total 1,107

Summary of significant accoun19

Summary of significant accounting policies (Tables)	3 Months Ended
	May 05, 2018
Summary of significant accounting policies
Schedule of weighted average assumptions to determine grant date fair value of employee stock options	13 Weeks Ended May 5, April 29, 2018 2017 Volatility rate Average risk-free interest rate Average expected life (in years) Dividend yield None None

Revenue (Tables)

Revenue (Tables)	3 Months Ended
	May 05, 2018
Revenue
Summary of changes made to the recognition timing or classification of revenues and expenses under ASC 606	Description Policy under ASC 605 Policy under ASC 606 Credit card Recognized amounts earned under the private label credit card and co-branded credit card programs as a reduction of cost of sales and selling, general and administrative expenses. Recognize amounts earned under private label credit card and co-branded credit card programs within net sales. Loyalty program Recognized revenue under the incremental cost method at the time of purchase by the guest (when points were earned). Recorded a liability for the cost associated with the future performance obligation to the guest. Recognize revenue under the deferred revenue method by deferring the recognition of the portion of revenue related to the earning of loyalty points to a future period when the guest redeems the points or the points expire. Gift card breakage Recognized gift card breakage (amounts not expected to be redeemed) within selling, general and administrative expenses. Recognize gift card breakage in net sales proportionately as other gift card balances are redeemed. Sales refund Recognized a sales refund reserve as a net liability within accrued liabilities. Recognize a sales refund reserve on a gross basis as a liability within accrued liabilities and a right of return asset within prepaid expense and other current assets. E-commerce Recognized revenue based on delivery of merchandise to the guest. Recognize revenue upon shipment of merchandise to the guest based on meeting the transfer of control criteria.
Schedule of revenue	13 Weeks Ended May 5, April 29, (Dollars in thousands) 2018 2017 Retail stores $ 1,301,551 $ 1,141,873 E-commerce 154,383 104,278 Salon services 75,675 68,728 Other 12,058 - Total $ 1,543,667 $ 1,314,879
Schedule of approximate percentage of net sales attributed to each category	13 Weeks Ended May 5, April 29, (Percentage of net sales) 2018 2017 Cosmetics 54% 54% Skincare, Bath & Fragrance 20% 19% Haircare Products & Styling Tools 17% 18% Salon Services 5% 5% Other (nail products, accessories, and other) 4% 4% 100% 100%
Summary of changes in deferred revenue	(In thousands) Balance at February 3, 2018 $ 110,103 Adoption of ASC 606 38,773 Additions to contract liabilities 85,834 Deductions to contract liabilities (104,119) Balance at May 5, 2018 $ 130,591

Net income per common share (Ta

Net income per common share (Tables)	3 Months Ended
	May 05, 2018
Net income per common share
Schedule of reconciliation of net income and number of shares of common stock used in computation of net income per basic and diluted share	13 Weeks Ended May 5, April 29, (In thousands, except per share data) 2018 2017 Numerator for diluted net income per share – net income $ 164,396 $ 128,223 Denominator for basic net income per share – weighted-average common shares 60,610 62,101 Dilutive effect of stock options and non-vested stock 299 493 Denominator for diluted net income per share 60,909 62,594 Net income per common share: Basic $ 2.71 $ 2.06 Diluted $ 2.70 $ 2.05

Business and Basis of Present22

Business and Basis of Presentation (Details)	May 05, 2018storestate
Stores by state
Number of stores operated	1,107
Number of states in which entity operates | state	48
Alabama
Stores by state
Number of stores operated	17
Alaska
Stores by state
Number of stores operated	3
Arizona
Stores by state
Number of stores operated	25
Arkansas
Stores by state
Number of stores operated	9
California
Stores by state
Number of stores operated	140
Colorado
Stores by state
Number of stores operated	24
Connecticut
Stores by state
Number of stores operated	14
Delaware
Stores by state
Number of stores operated	3
District of Columbia
Stores by state
Number of stores operated	1
Florida
Stores by state
Number of stores operated	76
Georgia
Stores by state
Number of stores operated	34
Idaho
Stores by state
Number of stores operated	8
Illinois
Stores by state
Number of stores operated	53
Indiana
Stores by state
Number of stores operated	22
Iowa
Stores by state
Number of stores operated	10
Kansas
Stores by state
Number of stores operated	11
Kentucky
Stores by state
Number of stores operated	11
Louisiana
Stores by state
Number of stores operated	17
Maine
Stores by state
Number of stores operated	3
Maryland
Stores by state
Number of stores operated	19
Massachusetts
Stores by state
Number of stores operated	17
Michigan
Stores by state
Number of stores operated	46
Minnesota
Stores by state
Number of stores operated	15
Mississippi
Stores by state
Number of stores operated	9
Missouri
Stores by state
Number of stores operated	21
Montana
Stores by state
Number of stores operated	6
Nebraska
Stores by state
Number of stores operated	5
Nevada
Stores by state
Number of stores operated	14
New Hampshire
Stores by state
Number of stores operated	7
New Jersey
Stores by state
Number of stores operated	30
New Mexico
Stores by state
Number of stores operated	6
New York
Stores by state
Number of stores operated	44
North Carolina
Stores by state
Number of stores operated	29
North Dakota
Stores by state
Number of stores operated	3
Ohio
Stores by state
Number of stores operated	40
Oklahoma
Stores by state
Number of stores operated	19
Oregon
Stores by state
Number of stores operated	13
Pennsylvania
Stores by state
Number of stores operated	43
Rhode Island
Stores by state
Number of stores operated	3
South Carolina
Stores by state
Number of stores operated	16
South Dakota
Stores by state
Number of stores operated	2
Tennessee
Stores by state
Number of stores operated	22
Texas
Stores by state
Number of stores operated	102
Utah
Stores by state
Number of stores operated	13
Virginia
Stores by state
Number of stores operated	26
Washington
Stores by state
Number of stores operated	28
West Virginia
Stores by state
Number of stores operated	6
Wisconsin
Stores by state
Number of stores operated	20
Wyoming
Stores by state
Number of stores operated	2

Summary of significant accoun23

Summary of significant accounting policies - Fiscal Quarter (Details)	3 Months Ended
	May 05, 2018	Apr. 29, 2017
Summary of significant accounting policies
Fiscal period	91 days	91 days

Summary of significant accoun24

Summary of significant accounting policies – Share-based compensation (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended
	May 05, 2018	Apr. 29, 2017
Stock options
Weighted-average assumptions to estimate fair value
Volatility rate (as a percent)	29.00%	31.00%
Average risk-free interest rate (as a percent)	2.40%	1.60%
Average expected life	3 years 4 months 24 days	3 years 6 months
Dividend yield (as a percent)	0.00%	0.00%
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Net of Forfeitures	163	103
Compensation expense	$ 2,208	$ 2,142
Weighted-average grant date fair value of options granted (in dollars per share)	$ 50.10	$ 70.12
Unrecognized compensation expense	$ 23,943
Restricted stock units
Weighted-average assumptions to estimate fair value
Compensation expense	2,505	$ 2,099
Unrecognized compensation expense	$ 26,810
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period	83	35
Performance-based restricted stock units
Weighted-average assumptions to estimate fair value
Compensation expense	$ 1,457	$ 1,250
Unrecognized compensation expense	$ 12,273
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period	33	21

Revenue - Disaggregated revenue

Revenue - Disaggregated revenue (Details) - USD ($) $ in Thousands	Feb. 04, 2018	May 05, 2018	Apr. 29, 2017
Disaggregated revenue
Term of refund for product returns		60 days
Minimum term that loyalty program points are valid		1 year
Net sales		$ 1,543,667	$ 1,314,879
Sales Revenue
Disaggregated revenue
Concentration (as a percent)		100.00%	100.00%
Sales Revenue | Cosmetics
Disaggregated revenue
Concentration (as a percent)		54.00%	54.00%
Sales Revenue | Skincare, Bath and Fragrance
Disaggregated revenue
Concentration (as a percent)		20.00%	19.00%
Sales Revenue | Haircare Products and Styling Tools
Disaggregated revenue
Concentration (as a percent)		17.00%	18.00%
Sales Revenue | Salon Services
Disaggregated revenue
Concentration (as a percent)		5.00%	5.00%
Sales Revenue | Other categories
Disaggregated revenue
Concentration (as a percent)		4.00%	4.00%
Accounting Standards Update (ASU) 2014 09, Revenue from Contracts with Customers
Disaggregated revenue
Cumulative effect reduction to opening balance of retained earnings	$ (29,980)
Retail stores
Disaggregated revenue
Net sales		$ 1,301,551	$ 1,141,873
Retail stores | Sales Revenue
Disaggregated revenue
Concentration (as a percent)		84.00%	87.00%
E-commerce
Disaggregated revenue
Net sales		$ 154,383	$ 104,278
E-commerce | Sales Revenue
Disaggregated revenue
Concentration (as a percent)		10.00%	8.00%
Salon services
Disaggregated revenue
Net sales		$ 75,675	$ 68,728
Salon services | Sales Revenue
Disaggregated revenue
Concentration (as a percent)		5.00%	5.00%
Other
Disaggregated revenue
Net sales		$ 12,058
Other | Sales Revenue
Disaggregated revenue
Concentration (as a percent)		1.00%	0.00%

Revenue - Deferred revenue (Det

Revenue - Deferred revenue (Details) $ in Thousands	3 Months Ended
	May 05, 2018USD ($)
Summary of changes in deferred revenue
Balance at beginning of period	$ 110,103
Adoption of ASC 606	38,773
Additions to contract liabilities	85,834
Deductions to contract liabilities	(104,119)
Balance at end of period	$ 130,591

Commitments and contingencies (

Commitments and contingencies (Details) - USD ($) $ in Thousands	3 Months Ended
	May 05, 2018	Apr. 29, 2017
Leases
Total rent expense under operating leases	$ 65,755	$ 56,784
Minimum
Leases
Original non-cancelable lease term	3 years
Maximum
Leases
Original non-cancelable lease term	10 years

Notes payable (Details)

Notes payable (Details)	3 Months Ended
	May 05, 2018USD ($)	Feb. 03, 2018USD ($)	Apr. 29, 2017USD ($)
Notes payable
Outstanding borrowings under credit facility	$ 0	$ 0	$ 0
Second Amended and Restated Loan Agreement
Notes payable
Unused line fee (as a percent)	0.20%
Second Amended and Restated Loan Agreement | Minimum
Notes payable
Fixed charge coverage ratio covenant	1
Second Amended and Restated Loan Agreement | London Interbank Offered Rate
Notes payable
Interest rate margin (as a percent)	1.25%
Second Amended and Restated Loan Agreement | Revolving loans
Notes payable
Maximum borrowing capacity	$ 400,000,000
Contingent increase to revolving facility	50,000,000
Second Amended and Restated Loan Agreement | Letters of credit
Notes payable
Maximum borrowing capacity	$ 20,000,000

Fair value measurements (Detail

Fair value measurements (Details) - USD ($) $ in Thousands	May 05, 2018	Feb. 03, 2018	Apr. 29, 2017
Level 2 | Non-qualified deferred compensation plan
Fair value measurements
Fair value of financial liabilities	$ 19,346	$ 15,942	$ 13,259

Investments (Details)

Investments (Details) - USD ($) $ in Thousands	May 05, 2018	Feb. 03, 2018	Apr. 29, 2017
Investments
Short-term investments	$ 237,193	$ 120,000	$ 150,000

Income Taxes (Details)

Income Taxes (Details) - USD ($) $ in Thousands	3 Months Ended
	May 05, 2018	Apr. 29, 2017
Income Taxes
Income tax expense	$ 46,771	$ 60,520
Effective tax rate (as a percent)	22.10%	32.10%

Net income per common share - R

Net income per common share - Reconciliation (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended
	May 05, 2018	Apr. 29, 2017
Net income per common share
Numerator for diluted net income per share - net income	$ 164,396	$ 128,223
Denominator for basic net income per share - weighted-average common shares	60,610	62,101
Dilutive effect of stock options and non-vested stock	299	493
Denominator for diluted net income per share	60,909	62,594
Net income per common share:
Basic	$ 2.71	$ 2.06
Diluted	$ 2.70	$ 2.05

Net income per common share - A

Net income per common share - Anti-dilutive Shares (Details) - shares shares in Thousands	3 Months Ended
	May 05, 2018	Apr. 29, 2017
Net income per common share
Employee stock options and restricted stock units excluded from the computation of net income per common share	461	163

Share repurchase program (Detai

Share repurchase program (Details) - USD ($) shares in Thousands	3 Months Ended
	May 05, 2018	Apr. 29, 2017	Mar. 15, 2018	Mar. 09, 2017
Share repurchase program
Common stock repurchased and retired	$ 133,051,000
Common Stock
Share repurchase program
Shares repurchased and retired (in shares)	619
Common stock repurchased and retired	$ 6,000
2016 Share Repurchase Program
Share repurchase program
Remaining authorized amount from earlier share repurchase program				$ 79,863,000
2017 Share Repurchase Program
Share repurchase program
Remaining authorized amount from earlier share repurchase program			$ 41,317,000
2017 Share Repurchase Program | Maximum
Share repurchase program
Authorized amount of share repurchase program				$ 425,000,000
Share Repurchase Programs
Share repurchase program
Common stock repurchased and retired	$ 133,051,000	$ 51,597,000
Share Repurchase Programs | Common Stock
Share repurchase program
Shares repurchased and retired (in shares)	619	185
2018 Share Repurchase Program | Maximum
Share repurchase program
Authorized amount of share repurchase program			$ 625,000,000