Cover Page
Cover Page - USD ($) $ in Billions | 12 Months Ended | ||
Jan. 31, 2021 | Mar. 05, 2021 | Jul. 31, 2020 | |
Cover [Abstract] | |||
Document Type | 10-K | ||
Document Annual Report | true | ||
Document Period End Date | Jan. 31, 2021 | ||
Current Fiscal Year End Date | --01-31 | ||
Document Transition Report | false | ||
Entity File Number | 1-8207 | ||
Entity Registrant Name | HOME DEPOT, INC. | ||
Entity Incorporation, State or Country Code | DE | ||
Entity Tax Identification Number | 95-3261426 | ||
Entity Address, Address Line One | 2455 Paces Ferry Road | ||
Entity Address, City or Town | Atlanta, | ||
Entity Address, State or Province | GA | ||
Entity Address, Postal Zip Code | 30339 | ||
City Area Code | 770 | ||
Local Phone Number | 433-8211 | ||
Title of 12(b) Security | Common Stock, $0.05 Par Value Per Share | ||
Trading Symbol | HD | ||
Security Exchange Name | NYSE | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Small Business | false | ||
Entity Emerging Growth Company | false | ||
ICFR Auditor Attestation Flag | true | ||
Entity Shell Company | false | ||
Entity Public Float | $ 285.6 | ||
Entity Common Stock, Shares Outstanding | 1,077,069,383 | ||
Documents Incorporated by Reference | Portions of the registrant’s proxy statement for the 2021 Annual Meeting of Shareholders are incorporated by reference in Part III of this Form 10-K to the extent described herein. | ||
Amendment Flag | false | ||
Document Fiscal Year Focus | 2020 | ||
Document Fiscal Period Focus | FY | ||
Entity Central Index Key | 0000354950 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) shares in Millions, $ in Millions | Jan. 31, 2021 | Feb. 02, 2020 |
Current assets: | ||
Cash and cash equivalents | $ 7,895 | $ 2,133 |
Receivables, net | 2,992 | 2,106 |
Merchandise inventories | 16,627 | 14,531 |
Other current assets | 963 | 1,040 |
Total current assets | 28,477 | 19,810 |
Net property and equipment | 24,705 | 22,770 |
Operating lease right-of-use assets | 5,962 | 5,595 |
Goodwill | 7,126 | 2,254 |
Other assets | 4,311 | 807 |
Total assets | 70,581 | 51,236 |
Current liabilities: | ||
Short-term debt | 0 | 974 |
Accounts payable | 11,606 | 7,787 |
Accrued salaries and related expenses | 2,463 | 1,494 |
Sales taxes payable | 774 | 605 |
Deferred revenue | 2,823 | 2,116 |
Income taxes payable | 193 | 55 |
Current installments of long-term debt | 1,416 | 1,839 |
Current operating lease liabilities | 828 | 828 |
Other accrued expenses | 3,063 | 2,677 |
Total current liabilities | 23,166 | 18,375 |
Long-term debt, excluding current installments | 35,822 | 28,670 |
Long-term operating lease liabilities | 5,356 | 5,066 |
Deferred income taxes | 1,131 | 706 |
Other long-term liabilities | 1,807 | 1,535 |
Total liabilities | 67,282 | 54,352 |
Common stock, par value $0.05; authorized: 10,000 shares; issued: 1,789 shares at January 31, 2021 and 1,786 shares at February 2, 2020; outstanding: 1,077 shares at January 31, 2021 and February 2, 2020 | 89 | 89 |
Paid-in capital | 11,540 | 11,001 |
Retained earnings | 58,134 | 51,729 |
Accumulated other comprehensive loss | (671) | (739) |
Treasury stock, at cost, 712 shares at January 31, 2021 and 709 shares at February 2, 2020 | (65,793) | (65,196) |
Total stockholders’ equity (deficit) | 3,299 | (3,116) |
Total liabilities and stockholders’ equity | $ 70,581 | $ 51,236 |
Common Stock, shares outstanding (in shares) | 1,077 | 1,077 |
Common Stock, authorized (in shares) | 10,000 | 10,000 |
Common Stock, par value (in dollars per share) | $ 0.05 | $ 0.05 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - $ / shares shares in Millions | Jan. 31, 2021 | Feb. 02, 2020 | Feb. 03, 2019 | Jan. 28, 2018 |
Statement of Financial Position [Abstract] | ||||
Common Stock, par value (in dollars per share) | $ 0.05 | $ 0.05 | ||
Common Stock, authorized (in shares) | 10,000 | 10,000 | ||
Common Stock, issued (in shares) | 1,789 | 1,786 | 1,782 | 1,780 |
Common Stock, shares outstanding (in shares) | 1,077 | 1,077 | 1,105 | |
Treasury Stock, shares (in shares) | 712 | 709 | 677 | 622 |
Consolidated Statements of Earn
Consolidated Statements of Earnings - USD ($) shares in Millions, $ in Millions | 12 Months Ended | ||
Jan. 31, 2021 | Feb. 02, 2020 | Feb. 03, 2019 | |
Income Statement [Abstract] | |||
Net sales | $ 132,110 | $ 110,225 | $ 108,203 |
Cost of sales | 87,257 | 72,653 | 71,043 |
Gross profit | 44,853 | 37,572 | 37,160 |
Operating expenses: | |||
Selling, general and administrative | 24,447 | 19,740 | 19,513 |
Depreciation and amortization | 2,128 | 1,989 | 1,870 |
Impairment loss | 0 | 0 | 247 |
Total operating expenses | 26,575 | 21,729 | 21,630 |
Operating income | 18,278 | 15,843 | 15,530 |
Interest and other (income) expense: | |||
Interest and investment income | (47) | (73) | (93) |
Interest expense | 1,347 | 1,201 | 1,051 |
Other | 0 | 0 | 16 |
Interest and other, net | 1,300 | 1,128 | 974 |
Earnings before provision for income taxes | 16,978 | 14,715 | 14,556 |
Provision for income taxes | 4,112 | 3,473 | 3,435 |
Net earnings | $ 12,866 | $ 11,242 | $ 11,121 |
Basic weighted average common shares | 1,074 | 1,093 | 1,137 |
Basic earnings per share (in dollars per share) | $ 11.98 | $ 10.29 | $ 9.78 |
Diluted weighted average common shares | 1,078 | 1,097 | 1,143 |
Diluted earnings per share (in dollars per shares) | $ 11.94 | $ 10.25 | $ 9.73 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 31, 2021 | Feb. 02, 2020 | Feb. 03, 2019 | |
Statement of Comprehensive Income [Abstract] | |||
Net earnings | $ 12,866 | $ 11,242 | $ 11,121 |
Other comprehensive income (loss), net of tax: | |||
Foreign currency translation adjustments | 60 | 53 | (267) |
Cash flow hedges | 8 | 8 | |
Cash flow hedges, net of tax | 53 | ||
Other | 0 | 3 | 8 |
Total other comprehensive income (loss) | 68 | 64 | (206) |
Comprehensive income | $ 12,934 | $ 11,306 | $ 10,915 |
Consolidated Statements of Stoc
Consolidated Statements of Stockholders' Equity - USD ($) $ in Millions | Total | Common Stock | Paid-in Capital | Retained Earnings | Retained EarningsCumulative Effect, Period of Adoption, Adjustment | AOCI Attributable to Parent | AOCI Attributable to ParentCumulative Effect, Period of Adoption, Adjustment | Treasury Stock |
Balance at beginning of year at Jan. 28, 2018 | $ 89 | $ 10,192 | $ 39,935 | $ 75 | $ (566) | $ (48,196) | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Shares issued under employee stock plans | 104 | |||||||
Stock-based compensation expense | 282 | |||||||
Net earnings | $ 11,121 | 11,121 | ||||||
Cash dividends | (4,704) | |||||||
Other | (4) | |||||||
Foreign currency translation adjustments | (267) | (267) | ||||||
Cash flow hedges, net of tax | 53 | 53 | ||||||
Other, net of tax | 8 | |||||||
Repurchases of common stock | (10,000) | |||||||
Balance at end of year at Feb. 03, 2019 | (1,878) | 89 | 10,578 | 46,423 | $ 26 | (772) | $ (31) | (58,196) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Shares issued under employee stock plans | 172 | |||||||
Stock-based compensation expense | 251 | |||||||
Net earnings | 11,242 | 11,242 | ||||||
Cash dividends | (5,958) | |||||||
Other | (4) | |||||||
Foreign currency translation adjustments | 53 | 53 | ||||||
Cash flow hedges, net of tax | 8 | |||||||
Other, net of tax | 3 | |||||||
Repurchases of common stock | (7,000) | |||||||
Balance at end of year at Feb. 02, 2020 | (3,116) | 89 | 11,001 | 51,729 | (739) | (65,196) | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Shares issued under employee stock plans | 229 | |||||||
Stock-based compensation expense | 310 | |||||||
Net earnings | 12,866 | 12,866 | ||||||
Cash dividends | (6,451) | |||||||
Other | (10) | |||||||
Foreign currency translation adjustments | 60 | 60 | ||||||
Cash flow hedges, net of tax | 8 | |||||||
Repurchases of common stock | (597) | |||||||
Balance at end of year at Jan. 31, 2021 | $ 3,299 | $ 89 | $ 11,540 | $ 58,134 | $ (671) | $ (65,793) |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 31, 2021 | Feb. 02, 2020 | Feb. 03, 2019 | |
Cash Flows from Operating Activities: | |||
Net earnings | $ 12,866 | $ 11,242 | $ 11,121 |
Reconciliation of net earnings to net cash provided by operating activities: | |||
Depreciation and amortization | 2,519 | 2,296 | 2,152 |
Stock-based compensation expense | 310 | 251 | 282 |
Impairment loss | 0 | 0 | 247 |
Changes in receivables, net | (465) | (170) | 33 |
Changes in merchandise inventories | (1,657) | (593) | (1,244) |
Changes in other current assets | 43 | (135) | (257) |
Changes in accounts payable and accrued expenses | 5,118 | 32 | 870 |
Changes in deferred revenue | 702 | 334 | 80 |
Changes in income taxes payable | (149) | 44 | (42) |
Changes in deferred income taxes | (569) | 202 | 26 |
Other operating activities | 121 | 184 | (103) |
Net cash provided by operating activities | 18,839 | 13,687 | 13,165 |
Cash Flows from Investing Activities: | |||
Capital expenditures | (2,463) | (2,678) | (2,442) |
Payments for businesses acquired, net | (7,780) | 0 | (21) |
Other investing activities | 73 | 25 | 47 |
Net cash used in investing activities | (10,170) | (2,653) | (2,416) |
Cash Flows from Financing Activities: | |||
Repayments of short-term debt, net | (974) | (365) | (220) |
Proceeds from long-term debt, net of discounts and premiums | 7,933 | 3,420 | 3,466 |
Repayments of long-term debt | (2,872) | (1,070) | (1,209) |
Repurchases of common stock | (791) | (6,965) | (9,963) |
Proceeds from sales of common stock | 326 | 280 | 236 |
Cash dividends | (6,451) | (5,958) | (4,704) |
Other financing activities | (154) | (140) | (153) |
Net cash used in financing activities | (2,983) | (10,798) | (12,547) |
Change in cash and cash equivalents | 5,686 | 236 | (1,798) |
Effect of exchange rate changes on cash and cash equivalents | 76 | 119 | (19) |
Cash and cash equivalents at beginning of year | 2,133 | 1,778 | 3,595 |
Cash and cash equivalents at end of year | 7,895 | 2,133 | 1,778 |
Supplemental Disclosures: | |||
Cash paid for income taxes | 4,654 | 3,220 | 3,774 |
Cash paid for interest, net of interest capitalized | 1,241 | 1,112 | 1,035 |
Non-cash capital expenditures | $ 274 | $ 136 | $ 248 |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Jan. 31, 2021 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Business The Home Depot, Inc., together with its subsidiaries (the “Company,” “Home Depot,” “we,” “our” or “us”), is a home improvement retailer that sells a wide assortment of building materials, home improvement products, lawn and garden products, décor items, and facilities maintenance, repair and operations products, and provides a number of services, in stores and online. We operate in the U.S. (including the Commonwealth of Puerto Rico and the territories of the U.S. Virgin Islands and Guam), Canada, and Mexico. Consolidation and Presentation Our consolidated financial statements include our accounts and those of our wholly-owned subsidiaries. Intercompany transactions are eliminated in consolidation. Our fiscal year is a 52- or 53-week period ending on the Sunday nearest to January 31 st . Fiscal 2020 and fiscal 2019 include 52 weeks while fiscal 2018 includes 53 weeks. Impact of COVID-19 The outbreak of the COVID-19 coronavirus, which was declared a pandemic by the World Health Organization in March 2020, has led to adverse impacts on the U.S. and global economies and has impacted and continues to impact our supply chain, operations, and customer demand. Even though the Company has taken measures to adapt to operating in this challenging environment, the pandemic could further affect our operations and the operations of our suppliers and vendors as a result of additional shut-downs or other governmental orders; restrictions and limitations on travel, logistics and other business activities; potential product and labor shortages; limitations on store or facility operations up to and including closures; and other governmental, business or consumer actions. In response to COVID-19, we expanded our associate pay and benefits to provide additional paid time off, weekly bonuses and other benefits. To continue to support our associates, we transitioned away from these temporary programs and implemented permanent compensation enhancements for frontline, hourly associates beginning in the third quarter of fiscal 2020. These expanded pay and benefits are included in SG&A in the consolidated statements of earnings. Use of Estimates We have made a number of estimates and assumptions relating to the reporting of assets and liabilities, the disclosure of contingent assets and liabilities, and reported amounts of revenues and expenses in preparing these financial statements in conformity with GAAP. While we believe these estimates and assumptions are reasonable, actual results could differ from these estimates, including changes due to uncertainty in the current economic environment resulting from the COVID-19 pandemic. Cash Equivalents We consider all highly liquid investments purchased with original maturities of three months or less to be cash equivalents. Our cash equivalents are carried at fair market value and consist primarily of money market funds. Receivables The components of receivables, net, follow: in millions January 31, February 2, Card receivables $ 992 $ 778 Rebate receivables 987 668 Customer receivables 571 292 Other receivables 442 368 Receivables, net $ 2,992 $ 2,106 Card receivables consist of payments due from financial institutions for the settlement of credit card and debit card transactions. Rebate receivables represent amounts due from vendors for volume and co-op advertising rebates. Customer receivables relate to credit extended directly to certain customers in the ordinary course of business. The valuation allowance related to these receivables was not material to our consolidated financial statements at the end of fiscal 2020 or fiscal 2019. Merchandise Inventories The majority of our merchandise inventories are stated at the lower of cost (first-in, first-out) or market, as determined by the retail inventory method, which is based on a number of factors such as markups, markdowns, and inventory losses (or shrink). As the inventory retail value is adjusted regularly to reflect market conditions, inventory valued using the retail method approximates the lower of cost or market. Certain subsidiaries, including retail operations in Canada and Mexico, and distribution centers, record merchandise inventories at the lower of cost or net realizable value, as determined by a cost method. These merchandise inventories represent approximately 36% of the total merchandise inventories balance. We evaluate the inventory valued using a cost method at the end of each quarter to ensure that it is carried at the lower of cost or net realizable value. The valuation allowance for merchandise inventories valued under a cost method was not material to our consolidated financial statements at the end of fiscal 2020 or fiscal 2019. Physical inventory counts or cycle counts are taken on a regular basis in each store and distribution center to ensure that amounts reflected in merchandise inventories are properly stated. Shrink (or in the case of excess inventory, swell) is the difference between the recorded amount of inventory and the physical inventory count. We calculate shrink based on actual inventory losses identified as a result of physical inventory counts during each fiscal period and estimated inventory losses between physical inventory counts. The estimate for shrink occurring in the interim period between physical inventory counts is calculated on a store-specific basis and is primarily based on recent shrink results. Due to changes in operating conditions during fiscal 2020 as a result of the COVID-19 pandemic, we used the results from a sample of stores that were able to conduct physical inventories as a basis for estimating shrink for those stores at which physical inventory counts were temporarily suspended during the year. We believe the sample of stores that were selected for inventory counts in the current year provides a reasonable basis for estimating shrink where a physical inventory count was not performed in fiscal 2020. Historically, the difference between estimated shrink and actual inventory losses has not been material to our annual financial results. Property and Equipment Buildings, furniture, fixtures, and equipment are recorded at cost and depreciated using the straight-line method over their estimated useful lives. Leasehold improvements are amortized using the straight-line method over the original term of the lease or the useful life of the improvement, whichever is shorter. The estimated useful lives of our property and equipment follow: Life Buildings 5 – 45 years Furniture, fixtures and equipment 2 – 20 years Leasehold improvements 5 – 45 years We capitalize certain costs, including interest, related to construction in progress and the acquisition and development of software. Costs associated with the acquisition and development of software are amortized using the straight-line method over the estimated useful life of the software, which is three We evaluate our long-lived assets each quarter for indicators of potential impairment. Indicators of impairment include current period losses combined with a history of losses, our decision to relocate or close a store or other location before the end of its previously estimated useful life, or when changes in other circumstances indicate the carrying amount of an asset may not be recoverable. The evaluation for long-lived assets is performed at the lowest level of identifiable cash flows, which is generally the individual store level. The assets of a store with indicators of impairment are evaluated for recoverability by comparing its undiscounted future cash flows with its carrying value. If the carrying value is greater than the undiscounted future cash flows, we then measure the asset’s fair value to determine whether an impairment loss should be recognized. If the resulting fair value is less than the carrying value, an impairment loss is recognized for the difference between the carrying value and the estimated fair value. Impairment losses on property and equipment are recorded as a component of SG&A. Impairment charges for long-lived assets were not material to our consolidated financial statements in fiscal 2020, fiscal 2019, or fiscal 2018. Leases On February 4, 2019, we adopted the new leases standard using the modified retrospective transition method. We enter into contractual arrangements for the utilization of certain non-owned assets which are evaluated as finance or operating leases upon commencement, and are accounted for accordingly. Specifically, a contract is or contains a lease when (1) the contract contains an explicitly or implicitly identified asset and (2) we obtain substantially all of the economic benefits from the use of that underlying asset and direct how and for what purpose the asset is used during the term of the contract in exchange for consideration. We assess whether an arrangement is or contains a lease at inception of the contract. We lease certain retail locations, warehouse and distribution space, office space, equipment, and vehicles. A substantial majority of our leases have remaining lease terms of one The discount rate used to calculate the present value of lease payments is the rate implicit in the lease, when readily determinable. As the rate implicit in the lease is rarely readily determinable, we use a secured incremental borrowing rate, which is updated on a quarterly basis, as the discount rate for the present value of lease payments. Real estate taxes, insurance, maintenance, and operating expenses applicable to the leased property are generally our obligations under our lease agreements. In instances where these payments are fixed, they are included in the measurement of our lease liabilities, and when variable, are excluded and recognized in the period in which the obligation for those payments is incurred. Certain of our lease agreements also include rental payments based on an index or rate and others include rental payments based on a percentage of sales. For variable payments dependent upon an index or rate, we apply the active index or rate as of the lease commencement date. Variable lease payments not based on an index or rate are not included in the measurement of our lease liabilities as they cannot be reasonably estimated, and are recognized in the period in which the obligation for those payments is incurred. Leases that have a term of twelve months or less upon commencement are considered short-term in nature. Accordingly, short-term leases are not included on the consolidated balance sheets and are expensed on a straight-line basis over the lease term. We have also elected to not separate lease and non-lease components for certain classes of assets including real estate and certain equipment. Our lease agreements do not contain any material residual value guarantees or material restrictive covenants. Business Combinations The assets and liabilities of acquired businesses are recorded at their fair values at the date of acquisition. The excess of the purchase price over the fair values of the identifiable assets acquired and liabilities assumed is recorded as goodwill. During the measurement period, which is up to one year from the acquisition date, we may record adjustments to the assets acquired and liabilities assumed with the corresponding offset to goodwill. Upon conclusion of the measurement period, any subsequent adjustments are recorded to earnings. Goodwill Goodwill represents the excess of purchase price over the fair value of net assets acquired. We do not amortize goodwill, but assess the recoverability of goodwill in the third quarter of each fiscal year, or more often if indicators warrant, by determining whether the fair value of each reporting unit supports its carrying value. Each fiscal year, we may assess qualitative factors to determine whether it is more likely than not that the fair value of each reporting unit is less than its carrying amount as a basis for determining whether it is necessary to complete quantitative impairment assessments, with a quantitative assessment completed at least once every three years. We completed our last quantitative assessment in fiscal 2019 and concluded that the fair value of our reporting units substantially exceeded their respective carrying values, including goodwill. During the third quarter of fiscal 2020, we completed our annual assessment of the recoverability of goodwill for our U.S., Canada, and Mexico reporting units based on qualitative factors. As part of this analysis, we assessed the current environment to determine if there were any indicators of impairment as a result of the operating conditions resulting from COVID-19 or otherwise and concluded that while there have been events and circumstances in the macro-environment that have impacted us, we have not experienced any entity-specific indicators of impairment of goodwill or other indefinite-lived intangibles that would require us to perform a quantitative impairment assessment. There were no impairment charges related to goodwill for fiscal 2020, fiscal 2019, or fiscal 2018. Changes in the carrying amount of our goodwill follow: in millions Fiscal Fiscal 2020 2019 Goodwill, balance at beginning of year $ 2,254 $ 2,252 Acquisitions (1) 4,870 — Other (2) 2 2 Goodwill, balance at end of year $ 7,126 $ 2,254 ————— (1) Fiscal 2020 includes the preliminary determination of goodwill related to the acquisition of HD Supply. See Note 12 for details regarding the HD Supply acquisition. (2) Primarily reflects the impact of foreign currency translation. Other Intangible Assets We amortize the cost of definite-lived intangible assets over their estimated useful lives, which range up to 20 years. Intangible assets with indefinite lives are tested in the third quarter of each fiscal year for impairment, or more often if indicators warrant. Intangible assets other than goodwill are included in other assets on the consolidated balance sheets. The gross carrying amount and accumulated amortization relating to intangible assets are as follows: in millions January 31, 2021 Gross Carrying Amount Accumulated Amortization Definite-Lived Intangible Assets: Customer relationships $ 2,965 $ (157) Trade names 151 (1) Other 16 (11) Indefinite-Lived Intangible Assets: Trade names 649 Total Intangible Assets $ 3,781 $ (169) The gross carrying amounts are primarily driven by the preliminary allocation of fair value to indefinite and definite-lived intangible assets recognized as part of the HD Supply acquisition as further discussed in Note 12 . Our definite-lived and indefinite-lived intangible assets were not material at the end of fiscal 2019, and intangible asset amortization expense was immaterial in fiscal 2020, fiscal 2019 and fiscal 2018. As of January 31, 2021, estimated future amortization expense related to definite-lived intangible assets, including definite-lived intangible assets recognized as part of the HD Supply acquisition based on the preliminary allocation of fair value, was as follows: in millions Fiscal 2021 $ 176 Fiscal 2022 176 Fiscal 2023 174 Fiscal 2024 174 Fiscal 2025 174 Thereafter 2,089 Total $ 2,963 There were no impairment losses related to intangible assets for fiscal 2020 or fiscal 2019. In fiscal 2018, we recognized a pre-tax impairment loss of $247 million for certain trade names. Debt We record any premiums or discounts associated with an issuance of long-term debt as a direct addition or deduction to the carrying value of the related senior notes. We also record debt issuance costs associated with an issuance of long-term debt as a direct deduction to the carrying value of the related senior notes. Premium, discount, and debt issuance costs are amortized over the term of the respective notes using the effective interest rate method. Derivative Instruments and Hedging Activities We use derivative instruments in the management of our interest rate exposure on long-term debt and our exposure to foreign currency fluctuations. We enter into derivative instruments for risk management purposes only; we do not enter into derivative instruments for trading or speculative purposes. All derivative instruments are recognized at their fair values in either assets or liabilities at the balance sheet date and are classified as either current or non-current based on each contract’s respective maturity. While we enter into master netting arrangements, our policy is to present the fair value of derivative instruments gross in our consolidated balance sheets. Changes in the fair values for derivative instruments designated as cash flow or net investment hedges are recognized in accumulated other comprehensive income (loss) until the hedged item is recognized in earnings, which for net investment hedges is upon sale or substantial liquidation of the underlying net investment. Changes in fair value of outstanding fair value hedges and the offsetting changes in fair values of the hedged item are recognized in earnings. We record realized gains and losses from derivative instruments in the same financial statement line item as the hedged item. Derivative instruments that are not designated as hedges are recorded at fair value with unrealized gains or losses reported in earnings each period in the same financial statement line item as the hedged item. Cash flows from the settlement of derivative instruments appear in the consolidated statements of cash flows in the same categories as the cash flows of the hedged item. Insurance We are self-insured for certain losses related to general liability (including product liability), workers’ compensation, employee group medical, and automobile claims. We recognize the expected ultimate cost for claims incurred (undiscounted) at the balance sheet date as a liability. The expected ultimate cost for claims incurred is estimated based upon analysis of historical data and actuarial estimates. Our self-insurance liabilities, which are included in accrued salaries and related expenses, other accrued expenses and other long-term liabilities in the consolidated balance sheets, were $1.3 billion at January 31, 2021 and February 2, 2020. We also maintain network security and privacy liability insurance coverage to limit our exposure to losses such as those that may be caused by a significant compromise or breach of our data security. Insurance-related expenses are included in SG&A. Treasury Stock Treasury stock is reflected as a reduction of stockholders’ equity at cost. We use the weighted-average purchase cost to determine the cost of treasury stock that is reissued, if any. Net Sales We recognize revenue, net of expected returns and sales tax, at the time the customer takes possession of merchandise or when a service is performed. Our liability for sales returns is estimated based on historical return levels and our expectation of future returns, and is recognized at the transaction price. We also recognize a return asset, and corresponding adjustment to cost of sales, for our right to recover the goods returned by the customer, measured at the former carrying amount of the goods, less any expected recovery cost. At each financial reporting date, we assess our estimates of expected returns, refund liabilities, and return assets. Adjustments related to changes in return estimates were immaterial in all periods presented. Net sales include services revenue generated through a variety of installation, home maintenance, and professional service programs. In these programs, the customer selects and purchases material for a project, and we provide or arrange for professional installation. These programs are offered through our stores, online, and in-home sales programs. Under certain programs, when we provide or arrange for the installation of a project and the subcontractor provides material as part of the installation, both the material and labor are included in services revenue. We recognize this revenue when the service for the customer is complete, which is not materially different from recognizing the revenue over the service period as the substantial majority of our services are completed within one week. For product and services sold in stores or online, payment is typically due at the point of sale. When we receive payment from customers before the customer has taken possession of the merchandise or the service has been performed, the amount received is recorded as deferred revenue until the sale or service is complete. Such performance obligations are part of contracts with expected original durations of three months or less. As of January 31, 2021 and February 2, 2020, deferred revenue for products and services was $1.9 billion and $1.3 billion, respectively. We further record deferred revenue for the sale of gift cards and recognize the associated revenue upon the redemption of those gift cards in net sales, which generally occurs within six months of gift card issuance. As of January 31, 2021 and February 2, 2020, our performance obligations for unredeemed gift cards were $839 million and $721 million, respectively. Gift card breakage income, which is our estimate of the portion of our gift card balance not expected to be redeemed, is recognized in net sales and was immaterial in fiscal 2020, fiscal 2019 and fiscal 2018. We also have agreements with third-party service providers who directly extend credit to customers, manage our PLCC program, and own the related receivables. We have evaluated the third-party entities holding the receivables under the program and concluded that they should not be consolidated. The agreement with the primary third-party service provider for our PLCC program expires in 2028, with us having the option, but no obligation, to purchase the existing receivables at the end of the agreement. Deferred interest charges incurred for our deferred financing programs offered to these customers, interchange fees charged to us for their use of the cards, and any profit sharing with the third-party service providers are included in net sales. Cost of Sales Cost of sales includes the actual cost of merchandise sold and services performed; the cost of transportation of merchandise from vendors to our distribution network, stores, or customers; shipping and handling costs from our stores or distribution network to customers; and the operating cost and depreciation of our sourcing and distribution network and online fulfillment centers. Vendor Allowances Vendor allowances primarily consist of volume rebates that are earned as a result of attaining certain purchase levels and co-op advertising allowances for the promotion of vendors’ products that are typically based on guaranteed minimum amounts with additional amounts being earned for attaining certain purchase levels. These vendor allowances are accrued as earned, with those allowances received as a result of attaining certain purchase levels accrued over the incentive period based on estimates of purchases. Volume rebates and certain co-op advertising allowances reduce the carrying cost of inventory and are recognized in cost of sales when the related inventory is sold. Certain other co-op advertising allowances that are reimbursements of specific, incremental, and identifiable costs incurred to promote vendors’ products are recorded as an offset against advertising expense in SG&A. The co-op advertising allowances recorded as an offset to advertising expense follow: in millions Fiscal Fiscal Fiscal 2020 2019 2018 Specific, incremental, and identifiable co-op advertising allowances $ 291 $ 282 $ 235 Advertising Expense Television and radio advertising production costs, along with media placement costs, are expensed when the advertisement first appears. Certain co-op advertising allowances are recorded as an offset against advertising expense. Gross advertising expense included in SG&A follows: in millions Fiscal Fiscal Fiscal 2020 2019 2018 Gross advertising expense $ 1,200 $ 1,186 $ 1,156 Stock-Based Compensation We are currently authorized to issue incentive and nonqualified stock options, stock appreciation rights, restricted stock, restricted stock units, performance shares, performance units, and deferred shares to certain of our associates and non-employee directors under certain stock incentive plans. We measure and recognize compensation expense for all share-based payment awards made to associates and non-employee directors based on estimated fair values. The value of the portion of the award that is ultimately expected to vest is recognized as stock-based compensation expense, on a straight-line basis, over the requisite service period or as restrictions lapse. Additional information on our stock-based payment awards is included in Note 8 . Income Taxes Income taxes are accounted for under the asset and liability method. We provide for federal, state, and foreign income taxes currently payable, as well as for those deferred due to timing differences between reporting income and expenses for financial statement purposes versus tax purposes. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to temporary differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are measured using enacted income tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect of a change in income tax rates is recognized as income or expense in the period that includes the enactment date. We routinely evaluate the likelihood of realizing the benefit of our deferred tax assets and may record a valuation allowance if, based on all available evidence, we determine that some portion of the tax benefit will not be realized. We recognize the effect of income tax positions only if those positions are more likely than not of being sustained. Recognized income tax positions are measured at the largest amount that is greater than 50% likely of being realized. Changes in recognition or measurement are reflected in the period in which the change in judgment occurs. We file a consolidated U.S. federal income tax return which includes certain eligible subsidiaries. Non-U.S. subsidiaries and certain U.S. subsidiaries, which are consolidated for financial reporting purposes, are not eligible to be included in our consolidated U.S. federal income tax return. Separate provisions for income taxes have been determined for these entities. For unremitted earnings of our non-U.S. subsidiaries, we are required to make an assertion regarding reinvestment or repatriation for tax purposes. For any earnings that we do not make a permanent reinvestment assertion, we recognize a provision for deferred income taxes. For earnings where we have made a permanent reinvestment assertion, no provision is recognized. See Note 5 for further discussion. We recognize interest and penalties related to income tax matters in interest expense and SG&A, respectively, on our consolidated statements of earnings. Accrued interest and penalties related to income tax matters are recognized in other accrued expenses and other long-term liabilities on our consolidated balance sheets. We are subject to global intangible low-taxed income (“GILTI”), an incremental tax on foreign income. We have made an accounting election to record this tax in the period the tax arises. Comprehensive Income Comprehensive income includes net earnings adjusted for certain gains and losses that are excluded from net earnings under GAAP, which consist primarily of foreign currency translation adjustments. Foreign Currency Translation Assets and liabilities denominated in a foreign currency are translated into U.S. dollars at the current rate of exchange on the last day of the reporting period. Revenues and expenses are translated using average exchange rates for the period and equity transactions are translated using the actual rate on the day of the transaction. Reclassifications Effective February 3, 2020, we reclassified cash flows relating to book overdrafts from financing to operating activities for all periods presented in the consolidated statements of cash flows. The amounts of these reclassifications were not material. Recently Adopted Accounting Pronouncements ASU No. 2018-15. In August 2018, the FASB issued ASU No. 2018-15, “Intangibles – Goodwill and Other – Internal-Use Software (Subtopic 350-40): Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That is a Service Contract,” which aligns the requirements for capitalizing implementation costs incurred in a hosting arrangement with the requirements for capitalizing implementation costs incurred to develop or obtain internal-use software. On February 3, 2020, we adopted ASU No. 2018-15 with no material impact to our consolidated financial condition, results of operations or cash flows. ASU No. 2017-04. In January 2017, the FASB issued ASU No. 2017-04, “Intangibles – Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment,” which simplifies how an entity is required to test goodwill for impairment. The amendments in ASU No. 2017-04 require goodwill impairment to be measured using the difference between the carrying amount and the fair value of the reporting unit and require the loss recognized to not exceed the total amount of goodwill allocated to that reporting unit. On February 3, 2020, we adopted ASU No. 2017-04 with no impact to our consolidated financial condition, results of operations or cash flows. ASU No. 2016-13 . In June 2016, the FASB issued ASU No. 2016-13, “Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments,” which introduced an expected credit loss model for the impairment of financial assets measured at amortized cost. The model replaces the probable, incurred loss model for those assets and broadens the information an entity must consider in developing its expected credit loss estimate for assets measured at amortized cost. On February 3, 2020, we adopted ASU No. 2016-13 with no material impact to our consolidated financial condition, results of operations or cash flows. Recently Issued Accounting Pronouncements ASU 2020-04. In March 2020, the FASB issued ASU No. 2020-04, “Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting,” which provides practical expedients and exceptions for applying GAAP to contracts, hedging relationships, and other transactions affected by reference rate reform if certain criteria are met. The expedients and exceptions provided by the amendments in this update apply only to contracts, hedging relationships, and other transactions that reference LIBOR or another reference rate expected to be discontinued as a result of reference rate reform. These amendments are not applicable to contract modifications made and hedging relationships entered into or evaluated after December 31, 2022. In January 2021, the FASB issued ASU No. 2021-01, “Reference Rate Reform (Topic 848): Scope,” which clarified the scope and application of the original guidance. ASU No. 2020-04 and ASU No. 2021-01 are effective as of March 12, 2020 through December 31, 2022 and may be applied to contract modifications and hedging relationships from the beginning of an interim period that includes or is subsequent to March 12, 2020. We are evaluating the impact these standards will have on our consolidated financial statements and related disclosures and do not anticipate a material impact. ASU No. 2019-12. In December 2019, the FASB issued ASU No. 2019-12, “Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes,” as part of its overall simplification initiative to reduce costs and complexity of applying accounting standards while maintaining or improving the usefulness of the information provided to users of financial statements. Amendments include removal of certain exceptions to the general principles of Topic 740, “Income Taxes,” and simplification in several other areas. ASU No. 2019-12 is effective for annual reporting periods beginning after December 15, 2020, and interim periods therein. We are evaluating the impact the standard will have on our consolidated financial statements and related disclosures and do not anticipate a material impact. Recent accounting pronouncements pending adoption not discussed above are either not applicable or are not expected to have a material impact on our consolidated financial condition, results of ope |
Net Sales and Segment Reporting
Net Sales and Segment Reporting | 12 Months Ended |
Jan. 31, 2021 | |
Segment Reporting [Abstract] | |
Net Sales and Segment Reporting | NET SALES AND SEGMENT REPORTING We currently conduct our retail operations in the U.S., Canada, and Mexico, each of which represents one of our three operating segments. Our operating segments reflect the way in which internally-reported financial information is used to make decisions and allocate resources. For disclosure purposes, we aggregate these three operating segments into one reportable segment due to their similar operating and financial characteristics and how the business is managed. Net property and equipment, classified by geography, follows: in millions January 31, February 2, February 3, Net property and equipment – in the U.S. $ 22,205 $ 20,302 $ 19,930 Net property and equipment – outside the U.S. 2,500 2,468 2,445 Net property and equipment $ 24,705 $ 22,770 $ 22,375 No sales to an individual customer accounted for more than 10% of revenue during any of the last three fiscal years. Net sales, classified by geography, follow: Fiscal Fiscal Fiscal in millions 2020 2019 2018 Net sales – in the U.S. $ 122,158 $ 101,333 $ 99,386 Net sales – outside the U.S. 9,952 8,892 8,817 Net sales $ 132,110 $ 110,225 $ 108,203 Net sales by products and services follow: Fiscal Fiscal Fiscal in millions 2020 2019 2018 Net sales – products $ 127,671 $ 105,194 $ 102,933 Net sales – services 4,439 5,031 5,270 Net sales $ 132,110 $ 110,225 $ 108,203 Major product lines and the related merchandising departments (and related services) follow: Major Product Line Merchandising Departments Building Materials Building Materials, Electrical/Lighting, Lumber, Millwork, and Plumbing Décor Appliances, Décor/Storage, Flooring, Kitchen and Bath, and Paint Hardlines Hardware, Indoor Garden, Outdoor Garden, and Tools Net sales by major product lines (and related services) follow: Fiscal Fiscal Fiscal in millions 2020 2019 2018 Building Materials $ 46,536 $ 39,338 $ 39,883 Décor 43,409 37,390 36,273 Hardlines 42,165 33,497 32,047 Net sales $ 132,110 $ 110,225 $ 108,203 Net sales by merchandising department (and related services) follow: Fiscal Fiscal Fiscal 2020 2019 2018 dollars in millions Net % of Net % of Net % of Appliances $ 11,860 9.0 % $ 9,852 8.9 % $ 9,027 8.3 % Building Materials 8,682 6.6 7,712 7.0 7,770 7.2 Décor/Storage 4,872 3.7 3,758 3.4 3,583 3.3 Electrical/Lighting 11,173 8.5 9,844 8.9 9,941 9.2 Flooring 8,155 6.2 7,443 6.8 7,494 6.9 Hardware 7,656 5.8 6,381 5.8 6,203 5.7 Indoor Garden 14,296 10.8 10,989 10.0 10,450 9.7 Kitchen and Bath 8,465 6.4 7,717 7.0 7,728 7.1 Lumber 11,310 8.6 7,894 7.2 8,393 7.8 Millwork 6,460 4.9 5,757 5.2 5,757 5.3 Outdoor Garden 9,600 7.3 7,564 6.9 7,259 6.7 Paint 10,057 7.6 8,620 7.8 8,441 7.8 Plumbing 8,911 6.7 8,131 7.4 8,022 7.4 Tools 10,613 8.0 8,563 7.8 8,135 7.5 Total $ 132,110 100.0 % $ 110,225 100.0 % $ 108,203 100.0 % ————— Note: Certain percentages may not sum to totals due to rounding. |
Property and Leases
Property and Leases | 12 Months Ended |
Jan. 31, 2021 | |
Property and Leases [Abstract] | |
Property and Leases | PROPERTY AND LEASES Net Property and Equipment The components of net property and equipment follow: in millions January 31, February 2, Land $ 8,543 $ 8,390 Buildings 18,838 18,432 Furniture, fixtures, and equipment 15,119 13,666 Leasehold improvements 1,925 1,789 Construction in progress 1,068 1,005 Finance leases 3,308 1,578 Property and equipment, at cost 48,801 44,860 Less accumulated depreciation and finance lease amortization 24,096 22,090 Net property and equipment $ 24,705 $ 22,770 Depreciation and finance lease amortization expense, including depreciation and finance lease amortization expense included in cost of sales, follows: in millions Fiscal Fiscal Fiscal 2020 2019 2018 Depreciation and finance lease amortization expense $ 2,425 $ 2,223 $ 2,076 Leases The consolidated balance sheet location of assets and liabilities related to operating and finance leases follow: in millions Consolidated Balance Sheet Caption January 31, February 2, Assets: Operating lease assets Operating lease right-of-use assets $ 5,962 $ 5,595 Finance lease assets (1) Net property and equipment 2,493 934 Total lease assets $ 8,455 $ 6,529 Liabilities: Current: Operating lease liabilities Current operating lease liabilities $ 828 $ 828 Finance lease liabilities Current installments of long-term debt 66 84 Long-term: Operating lease liabilities Long-term operating lease liabilities 5,356 5,066 Finance lease liabilities Long-term debt, excluding current installments 2,700 1,081 Total lease liabilities $ 8,950 $ 7,059 ————— (1) Finance lease assets are recorded net of accumulated amortization of $815 million and $644 million as of January 31, 2021 and February 2, 2020, respectively. The components of lease cost follow: Fiscal Fiscal in millions Consolidated Statement of Earnings Caption (1) 2020 2019 Operating lease cost Selling, general and administrative $ 782 $ 827 Finance lease cost: Amortization of leased assets Depreciation and amortization 167 86 Interest on lease liabilities Interest expense 112 92 Short-term lease cost Selling, general and administrative 75 98 Variable lease cost Selling, general and administrative 277 241 Sublease income Selling, general and administrative (13) (14) Net lease cost $ 1,400 $ 1,330 ————— (1) Costs associated with our sourcing and distribution network and online fulfillment centers are recorded in cost of sales, with the exception of interest on finance lease liabilities. Rent expense related to operating leases for fiscal 2018 totaled $1.1 billion. Weighted average remaining lease terms and discount rates follow: January 31, February 2, Weighted Average Remaining Lease Term (Years): Operating leases 10 10 Finance leases 15 12 Weighted Average Discount Rate: Operating leases 2.9 % 3.1 % Finance leases 5.6 % 10.4 % The approximate future minimum lease payments under operating and finance leases at January 31, 2021 follow: in millions Operating Finance Fiscal 2021 $ 955 $ 272 Fiscal 2022 960 285 Fiscal 2023 854 280 Fiscal 2024 738 273 Fiscal 2025 614 317 Thereafter 3,001 2,266 Total lease payments 7,122 3,693 Less: imputed interest 938 927 Present value of lease liabilities $ 6,184 $ 2,766 ————— Note: We have excluded approximately $833 million of leases (undiscounted basis) that have not yet commenced. These leases will commence primarily between fiscal 2021 and 2023 with lease terms of up to 20 years. Supplemental cash flow information related to leases follows: Fiscal Fiscal in millions 2020 2019 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows – operating leases $ 1,022 $ 1,003 Operating cash flows – finance leases 112 92 Financing cash flows – finance leases 122 70 Supplemental non-cash information: Lease assets obtained in exchange for new operating lease liabilities 969 748 Lease assets obtained in exchange for new finance lease liabilities 1,730 186 |
Debt and Derivative Instruments
Debt and Derivative Instruments | 12 Months Ended |
Jan. 31, 2021 | |
Debt Disclosure [Abstract] | |
Debt and Derivative Instruments | DEBT AND DERIVATIVE INSTRUMENTS Short-Term Debt In March 2020, we expanded our commercial paper programs from $3.0 billion to $6.0 billion to further enhance our liquidity position in response to the pandemic. All of our short-term borrowings in fiscal 2020 and fiscal 2019 were under these commercial paper programs. In connection with these programs, we had back-up credit facilities with a consortium of banks for borrowings up to $6.5 billion, which consisted of (1) a five-year $2.0 billion credit facility scheduled to expire in December 2023, (2) a 364-day $1.0 billion credit facility scheduled to expire in December 2021, and (3) a 364-day $3.5 billion credit facility that we entered into in March 2020 that was scheduled to expire in March 2021. In December 2020, we completed the renewal of our 364-day $1.0 billion credit facility and extended our five-year $2.0 billion credit facility, which extended the maturities from December 2020 to December 2021 and from December 2022 to December 2023, respectively. On January 29, 2021, we terminated the 364-day $3.5 billion credit facility and at the same time reduced our commercial paper programs back to a maximum of $3.0 billion. At January 31, 2021, there were no outstanding borrowings under our commercial paper programs compared to $974 million outstanding at February 2, 2020. Certain information on our commercial paper programs follow: dollars in millions January 31, February 2, Weighted average interest rate — % 1.56 % Balance outstanding at fiscal year-end $ — $ 974 Maximum amount outstanding at any month-end $ 11 $ 2,097 Average daily short-term borrowings $ 11 $ 624 Long-Term Debt Details of the components of our long-term debt follow: Carrying Amount in millions Interest Principal January 31, February 2, Floating rate senior notes due June 2020 Quarterly $ — $ — $ 500 1.80% Senior notes due June 2020 Semi-annually — — 750 3.95% Senior notes due September 2020 Semi-annually — — 506 4.40% Senior notes due April 2021 Semi-annually — — 999 2.00% Senior notes due April 2021 Semi-annually 1,350 1,350 1,348 Floating rate senior notes due March 2022 Quarterly 300 300 299 3.25% Senior notes due March 2022 Semi-annually 700 699 698 2.625% Senior notes due June 2022 Semi-annually 1,250 1,248 1,246 2.70% Senior notes due April 2023 Semi-annually 1,000 998 998 3.75% Senior notes due February 2024 Semi-annually 1,100 1,096 1,095 3.35% Senior notes due September 2025 Semi-annually 1,000 997 996 3.00% Senior notes due April 2026 Semi-annually 1,300 1,291 1,290 2.125% Senior notes due September 2026 Semi-annually 1,000 990 989 2.50% Senior notes due April 2027 Semi-annually 750 743 — 2.80% Senior notes due September 2027 Semi-annually 1,000 1,017 1,007 0.90% Senior notes due March 2028 Semi-annually 500 494 — 3.90% Senior notes due December 2028 Semi-annually 1,000 1,075 1,059 2.95% Senior notes due June 2029 Semi-annually 1,750 1,828 1,797 2.70% Senior notes due April 2030 Semi-annually 1,500 1,464 — 1.375% Senior notes due March 2031 Semi-annually 1,250 1,229 — 5.875% Senior notes due December 2036 Semi-annually 3,000 2,935 2,953 3.30% Senior notes due April 2040 Semi-annually 1,250 1,207 — 5.40% Senior notes due September 2040 Semi-annually 500 496 495 5.95% Senior notes due April 2041 Semi-annually 1,000 990 989 4.20% Senior notes due April 2043 Semi-annually 1,000 989 989 4.875% Senior notes due February 2044 Semi-annually 1,000 980 979 4.40% Senior notes due March 2045 Semi-annually 1,000 979 978 4.25% Senior notes due April 2046 Semi-annually 1,600 1,585 1,585 3.90% Senior notes due June 2047 Semi-annually 1,150 1,144 1,144 4.50% Senior notes due December 2048 Semi-annually 1,500 1,463 1,462 3.125% Senior notes due December 2049 Semi-annually 1,250 1,222 1,221 3.35% Senior notes due April 2050 Semi-annually 1,500 1,470 — 2.375% Senior notes due March 2051 Semi-annually 1,250 1,220 — 3.50% Senior notes due September 2056 Semi-annually 1,000 973 972 Total senior notes $ 34,750 34,472 29,344 Finance lease obligations; payable in varying installments through January 31, 2055 2,766 1,165 Total long-term debt 37,238 30,509 Less current installments of long-term debt 1,416 1,839 Long-term debt, excluding current installments $ 35,822 $ 28,670 January 2021 Issuance. In January 2021, we issued three tranches of senior notes. • The first tranche consisted of $500 million of 0.90% senior notes due March 15, 2028 (the “2028 notes”) at a discount of $3 million. Interest on the 2028 notes is due semi-annually on March 15 and September 15 of each year, beginning September 15, 2021. • The second tranche consisted of $1.25 billion of 1.375% senior notes due March 15, 2031 (the “2031 notes”) at a discount of $7 million. Interest on the 2031 notes is due semi-annually on March 15 and September 15 of each year, beginning September 15, 2021. • The third tranche consisted of $1.25 billion of 2.375% senior notes due March 15, 2051 (the “2051 notes”) at a discount of $17 million (together with the 2028 notes and the 2031 notes, the “January 2021 issuance”). Interest on the 2051 notes is due semi-annually on March 15 and September 15 of each year, beginning September 15, 2021. • Issuance costs for the January 2021 issuance totaled $21 million. The net proceeds of the January 2021 issuance were used to replace a portion of the cash on hand used to finance the acquisition of HD Supply. Remaining proceeds will be used for general corporate purposes. March 2020 Issuance. In March 2020, we issued four tranches of senior notes. • The first tranche consisted of $750 million of 2.50% senior notes due April 15, 2027 (the “2027 notes”) at a discount of $4 million. Interest on the 2027 notes is due semi-annually on April 15 and October 15 of each year, beginning October 15, 2020. • The second tranche consisted of $1.5 billion of 2.70% senior notes due April 15, 2030 (the “2030 notes”) at a discount of $8 million. Interest on the 2030 notes is due semi-annually on April 15 and October 15 of each year, beginning October 15, 2020. • The third tranche consisted of $1.25 billion of 3.30% senior notes due April 15, 2040 (the "2040 notes") at a discount of $11 million. Interest on the 2040 notes is due semi-annually on April 15 and October 15 of each year, beginning October 15, 2020. • The fourth tranche consisted of $1.5 billion of 3.35% senior notes due April 15, 2050 (the "2050 notes") at a discount of $17 million (together with the 2027 notes, the 2030 notes and the 2040 notes, the "March 2020 issuance"). Interest on the 2050 notes is due semi-annually on April 15 and October 15 of each year, beginning October 15, 2020. • Issuance costs for the March 2020 issuance totaled $36 million. The net proceeds of the March 2020 issuance were used for general corporate purposes, which included the repayment of outstanding senior notes that matured in June 2020 and the early repayment of outstanding senior notes that had a maturity date in September 2020. Redemption. All of our senior notes, other than our outstanding floating rate notes, may be redeemed by us at any time, in whole or in part, at the redemption price plus accrued interest up to the redemption date. With respect to the 3.25% 2022 notes and the 5.875% 2036 notes, the redemption price is equal to the greater of (1) 100% of the principal amount of the notes to be redeemed, or (2) the sum of the present values of the remaining scheduled payments of principal and interest on the notes to be redeemed that would be due after the related redemption date. With respect to all other notes, the redemption price is equal to the greater of (1) 100% of the principal amount of the notes to be redeemed, or (2) the sum of the present values of the remaining scheduled payments of principal and interest to the Par Call Date, as defined in the respective notes. Additionally, if a Change in Control Triggering Event occurs, as defined in the notes, holders of all notes have the right to require us to redeem those notes at 101% of the aggregate principal amount of the notes plus accrued interest up to the redemption date. In addition to the repayments of the outstanding senior notes discussed above, in January 2021, we fully repaid our $1.0 billion 4.40% senior notes that had a maturity date of April 2021. In March 2021, we also fully repaid our $1.35 billion 2.00% senior notes that had a maturity date of April 2021. The early redemption of each of these notes occurred at or after their respective Par Call Date. We are generally not limited under the indentures governing the notes in our ability to incur additional indebtedness or required to maintain financial ratios or specified levels of net worth or liquidity. The indentures governing the notes contain various customary covenants; however, none are expected to impact our liquidity or capital resources. Maturities of Long-Term Debt. Our long-term debt maturities, excluding finance leases, follow: in millions Principal Fiscal 2021 $ 1,350 Fiscal 2022 2,250 Fiscal 2023 1,000 Fiscal 2024 1,100 Fiscal 2025 1,000 Thereafter 28,050 Total $ 34,750 Derivative Instruments and Hedging Activities We use derivative and nonderivative instruments as part of our normal business operations in the management of our exposure to fluctuations in foreign currency exchange rates and interest rates on certain debt. Our objective in managing these exposures is to decrease the volatility of cash flows affected by changes in the underlying rates and minimize the risk of changes in the fair value of our senior notes. We had outstanding interest rate swap agreements with combined notional amounts of $4.4 billion at January 31, 2021 and $2.1 billion at February 2, 2020. These agreements were accounted for as fair value hedges that swap fixed for variable rate interest to hedge changes in the fair values of certain senior notes. At January 31, 2021, the fair values of these agreements totaled $101 million, with $172 million recognized in other assets and $71 million recognized in other long-term liabilities on the consolidated balance sheet. At February 2, 2020, the fair values of these agreements totaled $120 million, all of which was recognized within other assets on the consolidated balance sheet. The changes in the fair values of these agreements offset the changes in the fair value of the hedged long-term debt. We also settled forward-starting interest rate swap agreements in prior years, which were used to hedge the variability in future interest payments attributable to changing interest rates on forecasted debt issuances. Unamortized losses on these forward-starting swaps, which were designated as cash flow hedges, are being amortized to interest expense over the life of the respective notes. Losses recognized on these swaps within interest expense were immaterial in fiscal 2020, fiscal 2019 and fiscal 2018. During fiscal 2019, we also settled our outstanding cross currency swap agreements accounted for as cash flow hedges, which hedged foreign currency fluctuations on certain intercompany debt, resulting in a gain of $118 million. At January 31, 2021 and February 2, 2020, we had outstanding foreign currency forward contracts accounted for as cash flow hedges, which hedge the variability of forecasted cash flows associated with certain payments made in our foreign operations. At January 31, 2021 and February 2, 2020, the notional amounts and the fair values of these contracts were not material. We had outstanding foreign currency forward contracts accounted for as net investment hedges, with a combined notional amount of $141 million at January 31, 2021 and $1.2 billion at February 2, 2020. These agreements hedge against foreign currency exposure on our net investment in certain subsidiaries. At January 31, 2021 and February 2, 2020, the fair values of these contracts were not material. In addition to our forward contracts, we also hedge a portion of our foreign currency risk by designating nonderivative foreign-currency-denominated intercompany debt as hedges of our net investment in certain of our foreign operations. As of January 31, 2021 and February 2, 2020, the notional value of our nonderivative hedges and related foreign currency translation adjustments recorded in accumulated other comprehensive income (loss) were immaterial. We expect an immaterial amount recorded in accumulated other comprehensive income (loss) as of January 31, 2021 to be reclassified into earnings within the next 12 months. We generally enter into master netting arrangements, which are designed to reduce credit risk by permitting net settlement of transactions with the same counterparty. To further limit our credit risk, we enter into collateral security arrangements that provide for collateral to be received or posted when the net fair value of certain derivative instruments exceeds or falls below contractually established thresholds. As of January 31, 2021, the cash collateral received by the Company related to derivative instruments under our collateral security arrangements was $103 million, which was recorded in other accrued expenses in the consolidated balance sheet. We did not receive any |
Income Taxes
Income Taxes | 12 Months Ended |
Jan. 31, 2021 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | INCOME TAXES Provision for Income Taxes Our earnings before the provision for income taxes follow: in millions Fiscal Fiscal Fiscal 2020 2019 2018 United States $ 16,013 $ 13,770 $ 13,456 Foreign 965 945 1,100 Total $ 16,978 $ 14,715 $ 14,556 Our provision for income taxes follows: in millions Fiscal Fiscal Fiscal 2020 2019 2018 Current: Federal $ 3,462 $ 2,370 $ 2,495 State 928 572 544 Foreign 329 340 372 Total current 4,719 3,282 3,411 Deferred: Federal (404) 259 67 State (209) (72) 1 Foreign 6 4 (44) Total deferred (607) 191 24 Provision for income taxes $ 4,112 $ 3,473 $ 3,435 Our combined federal, state, and foreign effective tax rates follow: Fiscal Fiscal Fiscal 2020 2019 2018 Combined federal, state, and foreign effective tax rates 24.2 % 23.6 % 23.6 % The reconciliation of our provision for income taxes at the federal statutory rate of 21% to the actual tax expense follows: in millions Fiscal Fiscal Fiscal 2020 2019 2018 Income taxes at federal statutory rate $ 3,565 $ 3,090 $ 3,057 State income taxes, net of federal income tax benefit 568 395 443 Tax on mandatory deemed repatriation — — (62) Other, net (21) (12) (3) Total $ 4,112 $ 3,473 $ 3,435 Deferred Taxes The tax effects of temporary differences that give rise to significant portions of our deferred tax assets and deferred tax liabilities follow: in millions January 31, February 2, Assets: Deferred compensation $ 472 $ 169 Accrued self-insurance liabilities 291 285 State income taxes 117 100 Merchandise inventories 41 — Non-deductible reserves 199 156 Net operating losses 144 70 Lease liabilities 1,605 1,536 Other 155 135 Total deferred tax assets 3,024 2,451 Valuation allowance (8) — Total deferred tax assets, net of valuation allowance 3,016 2,451 Liabilities: Merchandise inventories — (26) Property and equipment (1,061) (1,107) Goodwill and other intangibles (1,030) (195) Lease right-of-use assets (1,555) (1,458) Tax on unremitted earnings (119) (100) Other (77) (132) Total deferred tax liabilities (3,842) (3,018) Net deferred tax liabilities $ (826) $ (567) Our noncurrent deferred tax assets and noncurrent deferred tax liabilities, netted by tax jurisdiction, follow: in millions January 31, February 2, Other assets $ 305 $ 139 Deferred income taxes (1,131) (706) Net deferred tax liabilities $ (826) $ (567) As of January 31, 2021, we recorded deferred tax assets of $144 million for net operating losses, primarily related to state jurisdictions. These losses expire at various dates beginning in 2022. We have concluded that it is more likely than not that tax benefits related to substantially all net operating losses will be realized based upon the expectation that we will generate the necessary taxable income in future periods. Reinvestment of Unremitted Earnings Substantially all of our current year foreign cash flows in excess of working capital and cash needed for strategic investments are not intended to be indefinitely reinvested offshore. Therefore, the tax effects of repatriation (including applicable state and local taxes and foreign withholding taxes) of such cash flows have been provided for in the accompanying consolidated statements of earnings. We have the intent and ability to reinvest substantially all of the approximately $3 billion of non-cash unremitted earnings of our non-U.S. subsidiaries indefinitely. Accordingly, no provision for state and local taxes or foreign withholding taxes was recorded on these unremitted earnings in the accompanying consolidated statements of earnings. It is impracticable for us to determine the amount of unrecognized deferred tax liabilities on these indefinitely reinvested earnings due to the complexities associated with the hypothetical calculation. Tax Return Examination Status Our income tax returns are routinely examined by U.S. federal, state and local, and foreign tax authorities. With few exceptions, as of January 31, 2021, the Company is no longer subject to U.S. federal examinations by tax authorities for years before fiscal 2010. Our U.S. federal tax returns for fiscal years 2010 through 2018 are currently under examination by the IRS. With respect to the fiscal years 2010 to 2014, the IRS has issued a proposed adjustment relating to transfer pricing between our entities in the U.S. and China. We are defending our position using all available remedies including bi-lateral relief from double taxation. There are also ongoing U.S. state and local audits and other foreign audits covering fiscal years 2008 through 2019. We do not expect the results from any ongoing income tax audit to have a material impact on our consolidated financial condition, results of operations, or cash flows. Over the next twelve months, it is reasonably possible that the resolution of federal and state tax examinations, as well as the expiration of statutes of limitations, could reduce our unrecognized tax benefits by an immaterial amount. We do not anticipate the resolution of these matters will result in a material change to our consolidated financial condition or results of operations. Unrecognized Tax Benefits Reconciliations of the beginning and ending amount of our gross unrecognized tax benefits follow: in millions Fiscal Fiscal Fiscal 2020 2019 2018 Unrecognized tax benefits balance at beginning of fiscal year $ 473 $ 494 $ 637 Additions based on tax positions related to the current year 75 96 91 Additions for tax positions of prior years 72 82 100 Reductions for tax positions of prior years (53) (147) (245) Reductions due to settlements (22) (13) (66) Reductions due to lapse of statute of limitations (5) (39) (23) Unrecognized tax benefits balance at end of fiscal year $ 540 $ 473 $ 494 Unrecognized tax benefits that if recognized would affect our annual effective income tax rate on net earnings were $458 million, $407 million, and $398 million at January 31, 2021, February 2, 2020, and February 3, 2019, respectively. Interest and Penalties Net adjustments to accruals for interest and penalties associated with uncertain tax positions were immaterial in fiscal 2020, fiscal 2019 and fiscal 2018. Our total accrued interest and penalties follow: in millions January 31, February 2, Total accrued interest and penalties $ 97 $ 87 |
Stockholders' Equity
Stockholders' Equity | 12 Months Ended |
Jan. 31, 2021 | |
Equity [Abstract] | |
Stockholders' Equity | STOCKHOLDERS’ EQUITY Stock Rollforward A reconciliation of the number of shares of our common stock follows: in millions Fiscal Fiscal Fiscal 2020 2019 2018 Common stock: Balance at beginning of year 1,786 1,782 1,780 Shares issued under employee stock plans 3 4 2 Balance at end of year 1,789 1,786 1,782 Treasury stock: Balance at beginning of year (709) (677) (622) Repurchases of common stock (3) (32) (55) Balance at end of year (712) (709) (677) Shares outstanding at end of year 1,077 1,077 1,105 Annual per share cash dividends follow: Fiscal Fiscal Fiscal 2020 2019 2018 Cash dividends per share $ 6.00 $ 5.44 $ 4.12 Accelerated Share Repurchase Agreements We enter into ASR agreements from time to time with third-party financial institutions to repurchase shares of our common stock. Under an ASR agreement, we pay a specified amount to the financial institution and receive an initial delivery of shares. This initial delivery of shares represents the minimum number of shares that we may receive under the agreement. Upon settlement of the ASR agreement, the financial institution delivers additional shares, with the final number of shares delivered determined with reference to the volume weighted average price per share of our common stock over the term of the agreement, less a negotiated discount. The transactions are accounted for as equity transactions and are included in treasury stock when the shares are received, at which time there is an immediate reduction in the weighted average common shares calculation for basic and diluted earnings per share. The terms of each ASR agreement entered into during the last three fiscal years, structured as outlined above, follow (in millions): Agreement Settlement Agreement Initial Additional Total Q1 2018 Q2 2018 750 3.4 0.8 4.2 Q2 2018 Q3 2018 1,600 7.1 1.0 8.1 Q3 2019 Q4 2019 820 3.2 0.4 3.6 |
Fair Value Measurements
Fair Value Measurements | 12 Months Ended |
Jan. 31, 2021 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | FAIR VALUE MEASUREMENTSThe fair value of an asset is considered to be the price at which the asset could be sold in an orderly transaction between unrelated knowledgeable and willing parties. A liability’s fair value is defined as the amount that would be paid to transfer the liability to a new obligor, rather than the amount that would be paid to settle the liability with the creditor. Assets and liabilities recorded at fair value are measured using a three-tier fair value hierarchy, which prioritizes the inputs used in measuring fair value. Assets and Liabilities Measured at Fair Value on a Recurring Basis Assets and liabilities that are measured at fair value on a recurring basis follow: Fair Value at January 31, 2021 Using Fair Value at February 2, 2020 Using in millions Quoted Prices in Active Markets for Identical Assets Significant Significant Quoted Prices in Active Markets for Identical Assets Significant Significant Derivative agreements – assets $ — $ 172 $ — $ — $ 133 $ — Derivative agreements – liabilities — (71) — — — — Total $ — $ 101 $ — $ — $ 133 $ — The fair values of our derivative instruments are determined using an income approach and Level 2 inputs, which include the respective interest rate and foreign currency forward curves and discount rates. Assets and Liabilities Measured at Fair Value on a Nonrecurring Basis The carrying amounts of cash and cash equivalents, receivables, short-term debt, and accounts payable approximate fair value due to the short-term maturities of these financial instruments. Long-lived assets, goodwill, and other intangible assets are subject to nonrecurring fair value measurement for the measurement of impairment. We did not have any material assets or liabilities that were measured at fair value on a nonrecurring basis as of January 31, 2021 or February 2, 2020. The aggregate fair values and carrying values of our senior notes follow: January 31, February 2, in millions Fair Value Carrying Fair Value Carrying Senior notes $ 41,289 $ 34,472 $ 34,102 $ 29,344 |
Stock-based Compensation
Stock-based Compensation | 12 Months Ended |
Jan. 31, 2021 | |
Share-based Payment Arrangement [Abstract] | |
Stock-based Compensation | STOCK-BASED COMPENSATION Omnibus Stock Incentive Plans The Home Depot, Inc. Amended and Restated 2005 Omnibus Stock Incentive Plan (the “2005 Plan”) and The Home Depot, Inc. 1997 Omnibus Stock Incentive Plan (the “1997 Plan” and collectively with the 2005 Plan, the “Plans”) provide that incentive and nonqualified stock options, stock appreciation rights, restricted stock, restricted stock units, performance shares, performance units, deferred shares, and other stock-based awards may be issued to certain of our associates and non-employee directors. Under the 2005 Plan, the maximum number of shares of our common stock authorized for issuance is 255 million shares, with any award other than a stock option or stock appreciation right reducing the number of shares available for issuance by 2.11 shares. At January 31, 2021, there were approximately 120 million shares available for future grants under the 2005 Plan. No additional equity awards could be issued from the 1997 Plan after the adoption of the 2005 Plan on May 26, 2005. Stock Options. Under the terms of the Plans, incentive stock options and nonqualified stock options must have an exercise price at or above the fair market value of our stock on the date of the grant. Typically, nonqualified stock options vest at the rate of 25% per year commencing on the first or second anniversary date of the grant and expire on the tenth anniversary date of the grant. Additionally, a majority of our stock options may become non-forfeitable upon the associate reaching age 60, provided the associate has had five years of continuous service. No incentive stock options have been issued under the 2005 Plan. We estimate the fair value of stock option awards on the date of grant using the Black-Scholes option-pricing model. Our determination of fair value of stock option awards on the date of grant using the Black-Scholes option-pricing model is affected by our stock price as well as assumptions regarding a number of variables. The per share weighted average fair value of stock options granted and the assumptions used in determining fair value at the date of grant using the Black-Scholes option-pricing model follow: Fiscal Fiscal Fiscal 2020 2019 2018 Per share weighted average fair value $ 36.77 $ 27.33 $ 32.28 Risk-free interest rate 0.6 % 2.2 % 2.7 % Assumed volatility 29.9 % 19.8 % 21.3 % Assumed dividend yield 3.1 % 2.9 % 2.3 % Assumed lives of options 6 years 5 years 5 years The total intrinsic value of stock options exercised follows: in millions Fiscal Fiscal Fiscal 2020 2019 2018 Total intrinsic value of stock options exercised $ 217 $ 241 $ 138 A summary of stock option activity by number of shares and weighted average exercise price during fiscal 2020 follows: shares in thousands Number of Weighted Average Outstanding at beginning of year 5,212 $ 111.54 Granted 422 193.84 Exercised (1,258) 75.83 Forfeited (26) 169.40 Outstanding at end of year 4,350 129.50 Shares of common stock issued from stock option exercises are made available from authorized and unissued common stock or treasury stock. Details regarding outstanding and exercisable stock options at January 31, 2021 follow: shares in thousands, dollars in millions, except for per share amounts Number of Intrinsic Weighted Average Weighted Average Outstanding 4,350 $ 615 5 years $ 129.50 Exercisable 2,677 454 4 years 101.08 Restricted Stock and Performance Share Awards. Restrictions on the restricted stock issued under the Plans generally lapse according to one of the following schedules: • the restrictions on the restricted stock lapse over various periods up to five years; or • the restrictions on 25% of the restricted stock lapse upon the third and sixth anniversaries of the date of issuance with the remaining 50% of the restricted stock lapsing upon the associate’s attainment of age 62. At the grant date of the award, recipients of restricted stock are granted voting rights and generally receive dividends on unvested shares, paid in the form of cash on each dividend payment date. Additionally, the majority of our restricted stock awards may become non-forfeitable upon the associate’s attainment of age 60, provided the associate has had five years of continuous service. We have also granted performance share awards under the Plans. These awards provide for the issuance of shares of our common stock at the end of the three-year performance cycle based upon our performance against target average ROIC and operating profit over that performance cycle. Additionally, the awards become non-forfeitable upon the associate’s attainment of age 60, provided the associate has had five years of continuous service and minimum performance targets are achieved. Recipients of performance share awards have no voting rights until the shares are issued following completion of the performance period. Dividend equivalents accrue on the performance shares (as reinvested shares) and are paid upon the payout of the award based upon the actual number of shares earned. The fair value of the restricted stock and performance shares is based on the closing stock price on the date of grant and is expensed over the period during which the restrictions lapse. Restricted Stock Units and Deferred Shares. Each restricted stock unit entitles the associate to one share of common stock to be received upon vesting up to five years after the grant date. Additionally, the majority of these awards may become non-forfeitable upon the associate reaching age 60, provided the associate has had five years of continuous service. Recipients of restricted stock units have no voting rights until the vesting of the award. Recipients receive dividend equivalents that accrue on unvested units and are paid out in the form of additional shares of stock on the vesting date. The fair value of the restricted stock units is based on the closing stock price on the date of grant and is expensed over the period during which the units vest. We grant awards of deferred shares to non-employee directors under the Plans. Each deferred share entitles the non-employee director to one share of common stock to be received following termination of Board service. Recipients of deferred shares have no voting rights and receive dividend equivalents that accrue and are paid out in the form of additional shares of stock upon payout of the underlying shares following termination of service. The fair value of the deferred shares is based on the closing stock price on the date of grant and is expensed immediately upon grant. Deferred shares granted to non-employee directors follow: Fiscal Fiscal Fiscal 2020 2019 2018 Deferred shares granted to non-employee directors 18,000 22,000 26,000 Stock-Based Compensation Activity. A summary of restricted stock, performance shares, and restricted stock unit activity during fiscal 2020 follows: shares in thousands Number of Weighted Average Nonvested at beginning of year 3,975 $ 170.58 Granted 1,803 181.75 Vested (1,506) 155.14 Forfeited (174) 177.71 Nonvested at end of year 4,098 180.87 Stock-based compensation expense, net of estimated forfeitures and related income tax benefit follows: in millions Fiscal Fiscal Fiscal 2020 2019 2018 Pre-tax stock-based compensation expense $ 310 $ 251 $ 282 Income tax benefit (58) (49) (49) After-tax stock-based compensation expense $ 252 $ 202 $ 233 At January 31, 2021, there was $427 million of unamortized stock-based compensation expense, which is expected to be recognized over a weighted average period of two years. The total fair value of restricted stock, performance shares, and restricted stock units that vested during the fiscal year follow: in millions Fiscal Fiscal Fiscal 2020 2019 2018 Total fair value vested $ 271 $ 303 $ 367 Employee Stock Purchase Plans |
Employee Benefit Plans
Employee Benefit Plans | 12 Months Ended |
Jan. 31, 2021 | |
Retirement Benefits [Abstract] | |
Employee Benefit Plans | EMPLOYEE BENEFIT PLANS We maintain active defined contribution retirement plans for our associates (the “Benefit Plans”). All associates satisfying certain service requirements are eligible to participate in the Benefit Plans. We make cash contributions each payroll period up to specified percentages of associates’ contributions as approved by our Board of Directors. We also maintain the Restoration Plan to provide certain associates deferred compensation that they would have received under the Benefit Plans as a matching contribution if not for the maximum compensation limits under the Internal Revenue Code. We fund the Restoration Plan through contributions made to a grantor trust, which are then used to purchase shares of our common stock in the open market. Our contributions to the Benefit Plans and the Restoration Plan follow: in millions Fiscal Fiscal Fiscal 2020 2019 2018 Contributions to the Benefit Plans and the Restoration Plan $ 267 $ 213 $ 211 At January 31, 2021, the Benefit Plans and the Restoration Plan held a total of 5.8 million shares of our common stock in trust for plan participants. |
Weighted Average Common Shares
Weighted Average Common Shares | 12 Months Ended |
Jan. 31, 2021 | |
Earnings Per Share [Abstract] | |
Weighted Average Common Shares | WEIGHTED AVERAGE COMMON SHARES The reconciliation of our basic to diluted weighted average common shares follows: in millions Fiscal Fiscal Fiscal 2020 2019 2018 Basic weighted average common shares 1,074 1,093 1,137 Effect of potentially dilutive securities 4 4 6 Diluted weighted average common shares 1,078 1,097 1,143 Anti-dilutive securities excluded from diluted weighted average common shares — — — |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Jan. 31, 2021 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | COMMITMENTS AND CONTINGENCIES At January 31, 2021, we had outstanding letters of credit totaling $510 million, primarily related to certain business transactions, including insurance programs, trade contracts, and construction contracts. We are involved in litigation arising in the normal course of business. In management’s opinion, any such litigation is not expected to have a material adverse effect on our consolidated financial condition, results of operations, or cash flows. |
HD Supply Acquisition
HD Supply Acquisition | 12 Months Ended |
Jan. 31, 2021 | |
Business Combinations [Abstract] | |
HD Supply Acquisition | HD SUPPLY ACQUISITION On November 16, 2020, we announced that we entered into a definitive agreement to acquire HD Supply, a leading national distributor of MRO products in the multifamily and hospitality end markets. We believe the acquisition of HD Supply will help position the Company to accelerate sales growth by better serving both existing and new MRO customers. Under the terms of the merger agreement, a subsidiary of Home Depot made a cash tender offer to purchase all outstanding shares of HD Supply common stock for $56 per share. All of the conditions of the offer were satisfied, and the acquisition was completed on December 24, 2020. The acquisition was funded through cash on hand, a portion of which was replaced with the proceeds from our January 2021 debt issuance. The acquisition was accounted for in accordance with Topic 805 "Business Combinations" and, accordingly, HD Supply’s results of operations have been consolidated in the Company’s financial statements since December 24, 2020, the date of acquisition. We recorded a preliminary allocation of the purchase price to assets acquired and liabilities assumed based on their estimated fair values as of December 24, 2020. Acquisition-related costs were expensed as incurred and totaled $110 million, including the $56 million charge related to the settlement of share-based awards noted below. The following table summarizes total purchase consideration: in millions Total cash consideration for outstanding shares $ 8,637 Value of share-based awards attributed to services already rendered (1) 55 Total purchase consideration $ 8,692 ————— (1) In connection with the completion of the acquisition, all HD Supply share-based awards were cash settled for an aggregate value of $111 million. As the settlement of the awards was at the discretion of the Company, the portion of the fair value of the awards attributed to services previously provided of $55 million was included as part of purchase consideration, with the remaining $56 million recognized as post-combination expense within SG&A in our consolidated statement of earnings for fiscal 2020. The following table summarizes the estimated preliminary fair values of the assets acquired and liabilities assumed at the date of the acquisition and is subject to final fair value determination: in millions Fair Value Cash $ 912 Other current assets 879 Goodwill 4,870 Other assets (1) 3,943 Total assets acquired $ 10,604 Current liabilities $ 801 Long-term liabilities (2) 1,111 Total liabilities assumed $ 1,912 ————— (1) Includes identifiable intangible assets of $3.3 billion. (2) Includes deferred tax liabilities of $836 million primarily resulting from the difference in book and tax basis related to identifiable intangible assets. Identifiable intangible assets were recognized at their estimated acquisition date fair values. The preliminary fair value of identifiable intangible assets was determined by using certain estimates and assumptions that are not observable in the market. The preliminary fair values were determined using an income based approach, which included significant assumptions such as the amount and timing of projected cash flows, growth rates, customer attrition rates, discount rates, and the assessment of the asset’s life cycle. The preliminary estimated fair value and estimated remaining useful lives of identifiable intangible assets follows: in millions Useful Life (Years) Preliminary Fair Value Customer relationships 19 $ 2,630 Trade name – indefinite lived Indefinite 520 Trade names – definite lived 20 150 Identifiable intangible assets $ 3,300 The goodwill arising from the acquisition is primarily attributable to operational synergies and acceleration of growth strategy, as well as the assembled workforce. The goodwill generated in the acquisition is not expected to be deductible for U.S. federal and state tax purposes. We have completed preliminary valuation analyses necessary to assess the fair values of the tangible and intangible assets acquired and liabilities assumed and the amount of goodwill to be recognized as of the acquisition date. These fair values were based on management’s estimates and assumptions; however, the amounts shown above are preliminary in nature and are subject to adjustment, including income tax related amounts, as additional information is obtained about the facts and circumstances that existed as of the acquisition date. Accordingly, there may be adjustments to the assigned values of acquired assets and liabilities, including, but not limited to, intangible assets and property and equipment and their respective estimated useful lives, that may also give rise to increases or decreases in the amounts of depreciation and amortization expense. The final determination of the fair values and related income tax impacts will be completed as soon as practicable, and within the measurement period of up |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Jan. 31, 2021 | |
Accounting Policies [Abstract] | |
Business, Consolidation and Presentation | The Home Depot, Inc., together with its subsidiaries (the “Company,” “Home Depot,” “we,” “our” or “us”), is a home improvement retailer that sells a wide assortment of building materials, home improvement products, lawn and garden products, décor items, and facilities maintenance, repair and operations products, and provides a number of services, in stores and online. We operate in the U.S. (including the Commonwealth of Puerto Rico and the territories of the U.S. Virgin Islands and Guam), Canada, and Mexico.Our consolidated financial statements include our accounts and those of our wholly-owned subsidiaries. Intercompany transactions are eliminated in consolidation. |
Fiscal Year | Our fiscal year is a 52- or 53-week period ending on the Sunday nearest to January 31 st . Fiscal 2020 and fiscal 2019 include 52 weeks while fiscal 2018 includes 53 weeks. |
Use of Estimates | We have made a number of estimates and assumptions relating to the reporting of assets and liabilities, the disclosure of contingent assets and liabilities, and reported amounts of revenues and expenses in preparing these financial statements in conformity with GAAP. While we believe these estimates and assumptions are reasonable, actual results could differ from these estimates, including changes due to uncertainty in the current economic environment resulting from the COVID-19 pandemic. |
Cash Equivalents | We consider all highly liquid investments purchased with original maturities of three months or less to be cash equivalents. Our cash equivalents are carried at fair market value and consist primarily of money market funds. |
Accounts Receivable | Card receivables consist of payments due from financial institutions for the settlement of credit card and debit card transactions. Rebate receivables represent amounts due from vendors for volume and co-op advertising rebates. Customer receivables relate to credit extended directly to certain customers in the ordinary course of business. |
Merchandise Inventories | The majority of our merchandise inventories are stated at the lower of cost (first-in, first-out) or market, as determined by the retail inventory method, which is based on a number of factors such as markups, markdowns, and inventory losses (or shrink). As the inventory retail value is adjusted regularly to reflect market conditions, inventory valued using the retail method approximates the lower of cost or market. Certain subsidiaries, including retail operations in Canada and Mexico, and distribution centers, record merchandise inventories at the lower of cost or net realizable value, as determined by a cost method. These merchandise inventories represent approximately 36% of the total merchandise inventories balance. We evaluate the inventory valued using a cost method at the end of each quarter to ensure that it is carried at the lower of cost or net realizable value. The valuation allowance for merchandise inventories valued under a cost method was not material to our consolidated financial statements at the end of fiscal 2020 or fiscal 2019.Physical inventory counts or cycle counts are taken on a regular basis in each store and distribution center to ensure that amounts reflected in merchandise inventories are properly stated. Shrink (or in the case of excess inventory, swell) is the difference between the recorded amount of inventory and the physical inventory count. We calculate shrink based on actual inventory losses identified as a result of physical inventory counts during each fiscal period and estimated inventory losses between physical inventory counts. The estimate for shrink occurring in the interim period between physical inventory counts is calculated on a store-specific basis and is primarily based on recent shrink results. Due to changes in operating conditions during fiscal 2020 as a result of the COVID-19 pandemic, we used the results from a sample of stores that were able to conduct physical inventories as a basis for estimating shrink for those stores at which physical inventory counts were temporarily suspended during the year. We believe the sample of stores that were selected for inventory counts in the current year provides a reasonable basis for estimating shrink where a physical inventory count was not performed in fiscal 2020. Historically, the difference between estimated shrink and actual inventory losses has not been material to our annual financial results. |
Property and Equipment | Buildings, furniture, fixtures, and equipment are recorded at cost and depreciated using the straight-line method over their estimated useful lives. Leasehold improvements are amortized using the straight-line method over the original term of the lease or the useful life of the improvement, whichever is shorter. |
Capitalized Software Costs | We capitalize certain costs, including interest, related to construction in progress and the acquisition and development of software. Costs associated with the acquisition and development of software are amortized using the straight-line method over the estimated useful life of the software, which is three |
Impairment of Long-Lived Assets | We evaluate our long-lived assets each quarter for indicators of potential impairment. Indicators of impairment include current period losses combined with a history of losses, our decision to relocate or close a store or other location before the end of its previously estimated useful life, or when changes in other circumstances indicate the carrying amount of an asset may not be recoverable. The evaluation for long-lived assets is performed at the lowest level of identifiable cash flows, which is generally the individual store level. The assets of a store with indicators of impairment are evaluated for recoverability by comparing its undiscounted future cash flows with its carrying value. If the carrying value is greater than the undiscounted future cash flows, we then measure the asset’s fair value to determine whether an impairment loss should be recognized. If the resulting fair value is less than the carrying value, an impairment loss is recognized for the difference between the carrying value and the estimated fair value. Impairment losses on property and equipment are recorded as a component of SG&A. |
Leases | On February 4, 2019, we adopted the new leases standard using the modified retrospective transition method. We enter into contractual arrangements for the utilization of certain non-owned assets which are evaluated as finance or operating leases upon commencement, and are accounted for accordingly. Specifically, a contract is or contains a lease when (1) the contract contains an explicitly or implicitly identified asset and (2) we obtain substantially all of the economic benefits from the use of that underlying asset and direct how and for what purpose the asset is used during the term of the contract in exchange for consideration. We assess whether an arrangement is or contains a lease at inception of the contract. We lease certain retail locations, warehouse and distribution space, office space, equipment, and vehicles. A substantial majority of our leases have remaining lease terms of one The discount rate used to calculate the present value of lease payments is the rate implicit in the lease, when readily determinable. As the rate implicit in the lease is rarely readily determinable, we use a secured incremental borrowing rate, which is updated on a quarterly basis, as the discount rate for the present value of lease payments. Real estate taxes, insurance, maintenance, and operating expenses applicable to the leased property are generally our obligations under our lease agreements. In instances where these payments are fixed, they are included in the measurement of our lease liabilities, and when variable, are excluded and recognized in the period in which the obligation for those payments is incurred. Certain of our lease agreements also include rental payments based on an index or rate and others include rental payments based on a percentage of sales. For variable payments dependent upon an index or rate, we apply the active index or rate as of the lease commencement date. Variable lease payments not based on an index or rate are not included in the measurement of our lease liabilities as they cannot be reasonably estimated, and are recognized in the period in which the obligation for those payments is incurred. Leases that have a term of twelve months or less upon commencement are considered short-term in nature. Accordingly, short-term leases are not included on the consolidated balance sheets and are expensed on a straight-line basis over the lease term. We have also elected to not separate lease and non-lease components for certain classes of assets including real estate and certain equipment. |
Business Combinations | The assets and liabilities of acquired businesses are recorded at their fair values at the date of acquisition. The excess of the purchase price over the fair values of the identifiable assets acquired and liabilities assumed is recorded as goodwill. During the measurement period, which is up to one year from the acquisition date, we may record adjustments to the assets acquired and liabilities assumed with the corresponding offset to goodwill. Upon conclusion of the measurement period, any subsequent adjustments are recorded to earnings. |
Goodwill and Other Intangible Assets | Goodwill represents the excess of purchase price over the fair value of net assets acquired. We do not amortize goodwill, but assess the recoverability of goodwill in the third quarter of each fiscal year, or more often if indicators warrant, by determining whether the fair value of each reporting unit supports its carrying value. Each fiscal year, we may assess qualitative factors to determine whether it is more likely than not that the fair value of each reporting unit is less than its carrying amount as a basis for determining whether it is necessary to complete quantitative impairment assessments, with a quantitative assessment completed at least once every three years. We completed our last quantitative assessment in fiscal 2019 and concluded that the fair value of our reporting units substantially exceeded their respective carrying values, including goodwill. During the third quarter of fiscal 2020, we completed our annual assessment of the recoverability of goodwill for our U.S., Canada, and Mexico reporting units based on qualitative factors. As part of this analysis, we assessed the current environment to determine if there were any indicators of impairment as a result of the operating conditions |
Debt | We record any premiums or discounts associated with an issuance of long-term debt as a direct addition or deduction to the carrying value of the related senior notes. We also record debt issuance costs associated with an issuance of long-term debt as a direct deduction to the carrying value of the related senior notes. Premium, discount, and debt issuance costs are amortized over the term of the respective notes using the effective interest rate method. |
Derivative Instruments and Hedging Activities | We use derivative instruments in the management of our interest rate exposure on long-term debt and our exposure to foreign currency fluctuations. We enter into derivative instruments for risk management purposes only; we do not enter into derivative instruments for trading or speculative purposes. All derivative instruments are recognized at their fair values in either assets or liabilities at the balance sheet date and are classified as either current or non-current based on each contract’s respective maturity. While we enter into master netting arrangements, our policy is to present the fair value of derivative instruments gross in our consolidated balance sheets. Changes in the fair values for derivative instruments designated as cash flow or net investment hedges are recognized in accumulated other comprehensive income (loss) until the hedged item is recognized in earnings, which for net investment hedges is upon sale or substantial liquidation of the underlying net investment. Changes in fair value of outstanding fair value hedges and the offsetting changes in fair values of the hedged item are recognized in earnings. We record realized gains and losses from derivative instruments in the same financial statement line item as the hedged item. |
Insurance | We are self-insured for certain losses related to general liability (including product liability), workers’ compensation, employee group medical, and automobile claims. We recognize the expected ultimate cost for claims incurred (undiscounted) at the balance sheet date as a liability. The expected ultimate cost for claims incurred is estimated based upon analysis of historical data and actuarial estimates. Our self-insurance liabilities, which are included in accrued salaries and related expenses, other accrued expenses and other long-term liabilities in the consolidated balance sheets, were $1.3 billion at January 31, 2021 and February 2, 2020. We also maintain network security and privacy liability insurance coverage to limit our exposure to losses such as those that may be caused by a significant compromise or breach of our data security. Insurance-related expenses are included in SG&A. |
Treasury Stock | Treasury stock is reflected as a reduction of stockholders’ equity at cost. We use the weighted-average purchase cost to determine the cost of treasury stock that is reissued, if any. |
Net Sales | We recognize revenue, net of expected returns and sales tax, at the time the customer takes possession of merchandise or when a service is performed. Our liability for sales returns is estimated based on historical return levels and our expectation of future returns, and is recognized at the transaction price. We also recognize a return asset, and corresponding adjustment to cost of sales, for our right to recover the goods returned by the customer, measured at the former carrying amount of the goods, less any expected recovery cost. At each financial reporting date, we assess our estimates of expected returns, refund liabilities, and return assets. Adjustments related to changes in return estimates were immaterial in all periods presented. Net sales include services revenue generated through a variety of installation, home maintenance, and professional service programs. In these programs, the customer selects and purchases material for a project, and we provide or arrange for professional installation. These programs are offered through our stores, online, and in-home sales programs. Under certain programs, when we provide or arrange for the installation of a project and the subcontractor provides material as part of the installation, both the material and labor are included in services revenue. We recognize this revenue when the service for the customer is complete, which is not materially different from recognizing the revenue over the service period as the substantial majority of our services are completed within one week. For product and services sold in stores or online, payment is typically due at the point of sale. When we receive payment from customers before the customer has taken possession of the merchandise or the service has been performed, the amount received is recorded as deferred revenue until the sale or service is complete. Such performance obligations are part of contracts with expected original durations of three months or less. As of January 31, 2021 and February 2, 2020, deferred revenue for products and services was $1.9 billion and $1.3 billion, respectively. We further record deferred revenue for the sale of gift cards and recognize the associated revenue upon the redemption of those gift cards in net sales, which generally occurs within six months of gift card issuance. As of January 31, 2021 and February 2, 2020, our performance obligations for unredeemed gift cards were $839 million and $721 million, respectively. Gift card breakage income, which is our estimate of the portion of our gift card balance not expected to be redeemed, is recognized in net sales and was immaterial in fiscal 2020, fiscal 2019 and fiscal 2018. |
Cost of Sales | Cost of sales includes the actual cost of merchandise sold and services performed; the cost of transportation of merchandise from vendors to our distribution network, stores, or customers; shipping and handling costs from our stores or distribution network to customers; and the operating cost and depreciation of our sourcing and distribution network and online fulfillment centers. Vendor Allowances Vendor allowances primarily consist of volume rebates that are earned as a result of attaining certain purchase levels and co-op advertising allowances for the promotion of vendors’ products that are typically based on guaranteed minimum amounts with additional amounts being earned for attaining certain purchase levels. These vendor allowances are accrued as earned, with those allowances received as a result of attaining certain purchase levels accrued over the incentive period based on estimates of purchases. Volume rebates and certain co-op advertising allowances reduce the carrying cost of inventory and are recognized in cost of sales when the related inventory is sold. |
Advertising Expense | Television and radio advertising production costs, along with media placement costs, are expensed when the advertisement first appears. Certain co-op advertising allowances are recorded as an offset against advertising expense. |
Stock-Based Compensation | We are currently authorized to issue incentive and nonqualified stock options, stock appreciation rights, restricted stock, restricted stock units, performance shares, performance units, and deferred shares to certain of our associates and non-employee directors under certain stock incentive plans. We measure and recognize compensation expense for all share-based payment awards made to associates and non-employee directors based on estimated fair values. The value of the portion of the award that is ultimately expected to vest is recognized as stock-based compensation expense, on a straight-line basis, over the requisite service period or as restrictions lapse. |
Income Taxes | Income taxes are accounted for under the asset and liability method. We provide for federal, state, and foreign income taxes currently payable, as well as for those deferred due to timing differences between reporting income and expenses for financial statement purposes versus tax purposes. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to temporary differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are measured using enacted income tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect of a change in income tax rates is recognized as income or expense in the period that includes the enactment date. We routinely evaluate the likelihood of realizing the benefit of our deferred tax assets and may record a valuation allowance if, based on all available evidence, we determine that some portion of the tax benefit will not be realized. We recognize the effect of income tax positions only if those positions are more likely than not of being sustained. Recognized income tax positions are measured at the largest amount that is greater than 50% likely of being realized. Changes in recognition or measurement are reflected in the period in which the change in judgment occurs. We file a consolidated U.S. federal income tax return which includes certain eligible subsidiaries. Non-U.S. subsidiaries and certain U.S. subsidiaries, which are consolidated for financial reporting purposes, are not eligible to be included in our consolidated U.S. federal income tax return. Separate provisions for income taxes have been determined for these entities. For unremitted earnings of our non-U.S. subsidiaries, we are required to make an assertion regarding reinvestment or repatriation for tax purposes. For any earnings that we do not make a permanent reinvestment assertion, we recognize a provision for deferred income taxes. For earnings where we have made a permanent reinvestment assertion, no provision is recognized. See Note 5 for further discussion. We recognize interest and penalties related to income tax matters in interest expense and SG&A, respectively, on our consolidated statements of earnings. Accrued interest and penalties related to income tax matters are recognized in other accrued expenses and other long-term liabilities on our consolidated balance sheets. |
Comprehensive Income | Comprehensive income includes net earnings adjusted for certain gains and losses that are excluded from net earnings under GAAP, which consist primarily of foreign currency translation adjustments. |
Foreign Currency Translation | Assets and liabilities denominated in a foreign currency are translated into U.S. dollars at the current rate of exchange on the last day of the reporting period. Revenues and expenses are translated using average exchange rates for the period and equity transactions are translated using the actual rate on the day of the transaction. |
Reclassifications | Effective February 3, 2020, we reclassified cash flows relating to book overdrafts from financing to operating activities for all periods presented in the consolidated statements of cash flows. The amounts of these reclassifications were not material. |
Recently Adopted Accounting Pronouncements and Recently Issued Accounting Pronouncements | ASU No. 2018-15. In August 2018, the FASB issued ASU No. 2018-15, “Intangibles – Goodwill and Other – Internal-Use Software (Subtopic 350-40): Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That is a Service Contract,” which aligns the requirements for capitalizing implementation costs incurred in a hosting arrangement with the requirements for capitalizing implementation costs incurred to develop or obtain internal-use software. On February 3, 2020, we adopted ASU No. 2018-15 with no material impact to our consolidated financial condition, results of operations or cash flows. ASU No. 2017-04. In January 2017, the FASB issued ASU No. 2017-04, “Intangibles – Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment,” which simplifies how an entity is required to test goodwill for impairment. The amendments in ASU No. 2017-04 require goodwill impairment to be measured using the difference between the carrying amount and the fair value of the reporting unit and require the loss recognized to not exceed the total amount of goodwill allocated to that reporting unit. On February 3, 2020, we adopted ASU No. 2017-04 with no impact to our consolidated financial condition, results of operations or cash flows. ASU No. 2016-13 . In June 2016, the FASB issued ASU No. 2016-13, “Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments,” which introduced an expected credit loss model for the impairment of financial assets measured at amortized cost. The model replaces the probable, incurred loss model for those assets and broadens the information an entity must consider in developing its expected credit loss estimate for assets measured at amortized cost. On February 3, 2020, we adopted ASU No. 2016-13 with no material impact to our consolidated financial condition, results of operations or cash flows. ASU 2020-04. In March 2020, the FASB issued ASU No. 2020-04, “Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting,” which provides practical expedients and exceptions for applying GAAP to contracts, hedging relationships, and other transactions affected by reference rate reform if certain criteria are met. The expedients and exceptions provided by the amendments in this update apply only to contracts, hedging relationships, and other transactions that reference LIBOR or another reference rate expected to be discontinued as a result of reference rate reform. These amendments are not applicable to contract modifications made and hedging relationships entered into or evaluated after December 31, 2022. In January 2021, the FASB issued ASU No. 2021-01, “Reference Rate Reform (Topic 848): Scope,” which clarified the scope and application of the original guidance. ASU No. 2020-04 and ASU No. 2021-01 are effective as of March 12, 2020 through December 31, 2022 and may be applied to contract modifications and hedging relationships from the beginning of an interim period that includes or is subsequent to March 12, 2020. We are evaluating the impact these standards will have on our consolidated financial statements and related disclosures and do not anticipate a material impact. ASU No. 2019-12. In December 2019, the FASB issued ASU No. 2019-12, “Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes,” as part of its overall simplification initiative to reduce costs and complexity of applying accounting standards while maintaining or improving the usefulness of the information provided to users of financial statements. Amendments include removal of certain exceptions to the general principles of Topic 740, “Income Taxes,” and simplification in several other areas. ASU No. 2019-12 is effective for annual reporting periods beginning after December 15, 2020, and interim periods therein. We are evaluating the impact the standard will have on our consolidated financial statements and related disclosures and do not anticipate a material impact. |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Jan. 31, 2021 | |
Accounting Policies [Abstract] | |
Components of receivables | The components of receivables, net, follow: in millions January 31, February 2, Card receivables $ 992 $ 778 Rebate receivables 987 668 Customer receivables 571 292 Other receivables 442 368 Receivables, net $ 2,992 $ 2,106 |
Summary of property and equipment useful lives | The estimated useful lives of our property and equipment follow: Life Buildings 5 – 45 years Furniture, fixtures and equipment 2 – 20 years Leasehold improvements 5 – 45 years |
Summary of goodwill | Changes in the carrying amount of our goodwill follow: in millions Fiscal Fiscal 2020 2019 Goodwill, balance at beginning of year $ 2,254 $ 2,252 Acquisitions (1) 4,870 — Other (2) 2 2 Goodwill, balance at end of year $ 7,126 $ 2,254 ————— (1) Fiscal 2020 includes the preliminary determination of goodwill related to the acquisition of HD Supply. See Note 12 for details regarding the HD Supply acquisition. |
Summary of other operating cost and expense | The co-op advertising allowances recorded as an offset to advertising expense follow: in millions Fiscal Fiscal Fiscal 2020 2019 2018 Specific, incremental, and identifiable co-op advertising allowances $ 291 $ 282 $ 235 in millions Fiscal Fiscal Fiscal 2020 2019 2018 Gross advertising expense $ 1,200 $ 1,186 $ 1,156 |
Schedule of finite-lived intangible assets | The gross carrying amount and accumulated amortization relating to intangible assets are as follows: in millions January 31, 2021 Gross Carrying Amount Accumulated Amortization Definite-Lived Intangible Assets: Customer relationships $ 2,965 $ (157) Trade names 151 (1) Other 16 (11) Indefinite-Lived Intangible Assets: Trade names 649 Total Intangible Assets $ 3,781 $ (169) |
Schedule of indefinite-lived intangible assets | The gross carrying amount and accumulated amortization relating to intangible assets are as follows: in millions January 31, 2021 Gross Carrying Amount Accumulated Amortization Definite-Lived Intangible Assets: Customer relationships $ 2,965 $ (157) Trade names 151 (1) Other 16 (11) Indefinite-Lived Intangible Assets: Trade names 649 Total Intangible Assets $ 3,781 $ (169) |
Schedule of estimated future amortization expense | As of January 31, 2021, estimated future amortization expense related to definite-lived intangible assets, including definite-lived intangible assets recognized as part of the HD Supply acquisition based on the preliminary allocation of fair value, was as follows: in millions Fiscal 2021 $ 176 Fiscal 2022 176 Fiscal 2023 174 Fiscal 2024 174 Fiscal 2025 174 Thereafter 2,089 Total $ 2,963 |
Net Sales and Segment Reporti_2
Net Sales and Segment Reporting (Tables) | 12 Months Ended |
Jan. 31, 2021 | |
Segment Reporting [Abstract] | |
Long-lived assets by geographic areas | Net property and equipment, classified by geography, follows: in millions January 31, February 2, February 3, Net property and equipment – in the U.S. $ 22,205 $ 20,302 $ 19,930 Net property and equipment – outside the U.S. 2,500 2,468 2,445 Net property and equipment $ 24,705 $ 22,770 $ 22,375 |
Schedule of revenue from external customers and long-lived assets, by geographical areas | Net sales, classified by geography, follow: Fiscal Fiscal Fiscal in millions 2020 2019 2018 Net sales – in the U.S. $ 122,158 $ 101,333 $ 99,386 Net sales – outside the U.S. 9,952 8,892 8,817 Net sales $ 132,110 $ 110,225 $ 108,203 |
Schedule of net sales by major product lines and department | Net sales by products and services follow: Fiscal Fiscal Fiscal in millions 2020 2019 2018 Net sales – products $ 127,671 $ 105,194 $ 102,933 Net sales – services 4,439 5,031 5,270 Net sales $ 132,110 $ 110,225 $ 108,203 Major product lines and the related merchandising departments (and related services) follow: Major Product Line Merchandising Departments Building Materials Building Materials, Electrical/Lighting, Lumber, Millwork, and Plumbing Décor Appliances, Décor/Storage, Flooring, Kitchen and Bath, and Paint Hardlines Hardware, Indoor Garden, Outdoor Garden, and Tools Net sales by major product lines (and related services) follow: Fiscal Fiscal Fiscal in millions 2020 2019 2018 Building Materials $ 46,536 $ 39,338 $ 39,883 Décor 43,409 37,390 36,273 Hardlines 42,165 33,497 32,047 Net sales $ 132,110 $ 110,225 $ 108,203 Net sales by merchandising department (and related services) follow: Fiscal Fiscal Fiscal 2020 2019 2018 dollars in millions Net % of Net % of Net % of Appliances $ 11,860 9.0 % $ 9,852 8.9 % $ 9,027 8.3 % Building Materials 8,682 6.6 7,712 7.0 7,770 7.2 Décor/Storage 4,872 3.7 3,758 3.4 3,583 3.3 Electrical/Lighting 11,173 8.5 9,844 8.9 9,941 9.2 Flooring 8,155 6.2 7,443 6.8 7,494 6.9 Hardware 7,656 5.8 6,381 5.8 6,203 5.7 Indoor Garden 14,296 10.8 10,989 10.0 10,450 9.7 Kitchen and Bath 8,465 6.4 7,717 7.0 7,728 7.1 Lumber 11,310 8.6 7,894 7.2 8,393 7.8 Millwork 6,460 4.9 5,757 5.2 5,757 5.3 Outdoor Garden 9,600 7.3 7,564 6.9 7,259 6.7 Paint 10,057 7.6 8,620 7.8 8,441 7.8 Plumbing 8,911 6.7 8,131 7.4 8,022 7.4 Tools 10,613 8.0 8,563 7.8 8,135 7.5 Total $ 132,110 100.0 % $ 110,225 100.0 % $ 108,203 100.0 % ————— Note: Certain percentages may not sum to totals due to rounding. |
Property and Leases (Tables)
Property and Leases (Tables) | 12 Months Ended |
Jan. 31, 2021 | |
Property and Leases [Abstract] | |
Components of property and equipment | The components of net property and equipment follow: in millions January 31, February 2, Land $ 8,543 $ 8,390 Buildings 18,838 18,432 Furniture, fixtures, and equipment 15,119 13,666 Leasehold improvements 1,925 1,789 Construction in progress 1,068 1,005 Finance leases 3,308 1,578 Property and equipment, at cost 48,801 44,860 Less accumulated depreciation and finance lease amortization 24,096 22,090 Net property and equipment $ 24,705 $ 22,770 |
Schedule of depreciation and capital lease amortization | Depreciation and finance lease amortization expense, including depreciation and finance lease amortization expense included in cost of sales, follows: in millions Fiscal Fiscal Fiscal 2020 2019 2018 Depreciation and finance lease amortization expense $ 2,425 $ 2,223 $ 2,076 |
Schedule of assets and liabilities related to operating and finance leases | The consolidated balance sheet location of assets and liabilities related to operating and finance leases follow: in millions Consolidated Balance Sheet Caption January 31, February 2, Assets: Operating lease assets Operating lease right-of-use assets $ 5,962 $ 5,595 Finance lease assets (1) Net property and equipment 2,493 934 Total lease assets $ 8,455 $ 6,529 Liabilities: Current: Operating lease liabilities Current operating lease liabilities $ 828 $ 828 Finance lease liabilities Current installments of long-term debt 66 84 Long-term: Operating lease liabilities Long-term operating lease liabilities 5,356 5,066 Finance lease liabilities Long-term debt, excluding current installments 2,700 1,081 Total lease liabilities $ 8,950 $ 7,059 ————— (1) Finance lease assets are recorded net of accumulated amortization of $815 million and $644 million as of January 31, 2021 and February 2, 2020, respectively. |
Schedule of lease information | The components of lease cost follow: Fiscal Fiscal in millions Consolidated Statement of Earnings Caption (1) 2020 2019 Operating lease cost Selling, general and administrative $ 782 $ 827 Finance lease cost: Amortization of leased assets Depreciation and amortization 167 86 Interest on lease liabilities Interest expense 112 92 Short-term lease cost Selling, general and administrative 75 98 Variable lease cost Selling, general and administrative 277 241 Sublease income Selling, general and administrative (13) (14) Net lease cost $ 1,400 $ 1,330 ————— (1) Costs associated with our sourcing and distribution network and online fulfillment centers are recorded in cost of sales, with the exception of interest on finance lease liabilities. Weighted average remaining lease terms and discount rates follow: January 31, February 2, Weighted Average Remaining Lease Term (Years): Operating leases 10 10 Finance leases 15 12 Weighted Average Discount Rate: Operating leases 2.9 % 3.1 % Finance leases 5.6 % 10.4 % |
Schedule of future minimum rental payments for operating leases | The approximate future minimum lease payments under operating and finance leases at January 31, 2021 follow: in millions Operating Finance Fiscal 2021 $ 955 $ 272 Fiscal 2022 960 285 Fiscal 2023 854 280 Fiscal 2024 738 273 Fiscal 2025 614 317 Thereafter 3,001 2,266 Total lease payments 7,122 3,693 Less: imputed interest 938 927 Present value of lease liabilities $ 6,184 $ 2,766 ————— Note: We have excluded approximately $833 million of leases (undiscounted basis) that have not yet commenced. These leases will commence primarily between fiscal 2021 and 2023 with lease terms of up to 20 years. |
Schedule of future minimum rental payments for financing leases | The approximate future minimum lease payments under operating and finance leases at January 31, 2021 follow: in millions Operating Finance Fiscal 2021 $ 955 $ 272 Fiscal 2022 960 285 Fiscal 2023 854 280 Fiscal 2024 738 273 Fiscal 2025 614 317 Thereafter 3,001 2,266 Total lease payments 7,122 3,693 Less: imputed interest 938 927 Present value of lease liabilities $ 6,184 $ 2,766 ————— Note: We have excluded approximately $833 million of leases (undiscounted basis) that have not yet commenced. These leases will commence primarily between fiscal 2021 and 2023 with lease terms of up to 20 years. |
Summary of other lease information | Supplemental cash flow information related to leases follows: Fiscal Fiscal in millions 2020 2019 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows – operating leases $ 1,022 $ 1,003 Operating cash flows – finance leases 112 92 Financing cash flows – finance leases 122 70 Supplemental non-cash information: Lease assets obtained in exchange for new operating lease liabilities 969 748 Lease assets obtained in exchange for new finance lease liabilities 1,730 186 |
Debt and Derivative Instrumen_2
Debt and Derivative Instruments (Tables) | 12 Months Ended |
Jan. 31, 2021 | |
Debt Disclosure [Abstract] | |
Schedule of short-term debt | Certain information on our commercial paper programs follow: dollars in millions January 31, February 2, Weighted average interest rate — % 1.56 % Balance outstanding at fiscal year-end $ — $ 974 Maximum amount outstanding at any month-end $ 11 $ 2,097 Average daily short-term borrowings $ 11 $ 624 |
Schedule of long-term debt | Details of the components of our long-term debt follow: Carrying Amount in millions Interest Principal January 31, February 2, Floating rate senior notes due June 2020 Quarterly $ — $ — $ 500 1.80% Senior notes due June 2020 Semi-annually — — 750 3.95% Senior notes due September 2020 Semi-annually — — 506 4.40% Senior notes due April 2021 Semi-annually — — 999 2.00% Senior notes due April 2021 Semi-annually 1,350 1,350 1,348 Floating rate senior notes due March 2022 Quarterly 300 300 299 3.25% Senior notes due March 2022 Semi-annually 700 699 698 2.625% Senior notes due June 2022 Semi-annually 1,250 1,248 1,246 2.70% Senior notes due April 2023 Semi-annually 1,000 998 998 3.75% Senior notes due February 2024 Semi-annually 1,100 1,096 1,095 3.35% Senior notes due September 2025 Semi-annually 1,000 997 996 3.00% Senior notes due April 2026 Semi-annually 1,300 1,291 1,290 2.125% Senior notes due September 2026 Semi-annually 1,000 990 989 2.50% Senior notes due April 2027 Semi-annually 750 743 — 2.80% Senior notes due September 2027 Semi-annually 1,000 1,017 1,007 0.90% Senior notes due March 2028 Semi-annually 500 494 — 3.90% Senior notes due December 2028 Semi-annually 1,000 1,075 1,059 2.95% Senior notes due June 2029 Semi-annually 1,750 1,828 1,797 2.70% Senior notes due April 2030 Semi-annually 1,500 1,464 — 1.375% Senior notes due March 2031 Semi-annually 1,250 1,229 — 5.875% Senior notes due December 2036 Semi-annually 3,000 2,935 2,953 3.30% Senior notes due April 2040 Semi-annually 1,250 1,207 — 5.40% Senior notes due September 2040 Semi-annually 500 496 495 5.95% Senior notes due April 2041 Semi-annually 1,000 990 989 4.20% Senior notes due April 2043 Semi-annually 1,000 989 989 4.875% Senior notes due February 2044 Semi-annually 1,000 980 979 4.40% Senior notes due March 2045 Semi-annually 1,000 979 978 4.25% Senior notes due April 2046 Semi-annually 1,600 1,585 1,585 3.90% Senior notes due June 2047 Semi-annually 1,150 1,144 1,144 4.50% Senior notes due December 2048 Semi-annually 1,500 1,463 1,462 3.125% Senior notes due December 2049 Semi-annually 1,250 1,222 1,221 3.35% Senior notes due April 2050 Semi-annually 1,500 1,470 — 2.375% Senior notes due March 2051 Semi-annually 1,250 1,220 — 3.50% Senior notes due September 2056 Semi-annually 1,000 973 972 Total senior notes $ 34,750 34,472 29,344 Finance lease obligations; payable in varying installments through January 31, 2055 2,766 1,165 Total long-term debt 37,238 30,509 Less current installments of long-term debt 1,416 1,839 Long-term debt, excluding current installments $ 35,822 $ 28,670 |
Schedule of maturities of long-term debt | Our long-term debt maturities, excluding finance leases, follow: in millions Principal Fiscal 2021 $ 1,350 Fiscal 2022 2,250 Fiscal 2023 1,000 Fiscal 2024 1,100 Fiscal 2025 1,000 Thereafter 28,050 Total $ 34,750 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Jan. 31, 2021 | |
Income Tax Disclosure [Abstract] | |
Components of earnings before provision for income taxes | Our earnings before the provision for income taxes follow: in millions Fiscal Fiscal Fiscal 2020 2019 2018 United States $ 16,013 $ 13,770 $ 13,456 Foreign 965 945 1,100 Total $ 16,978 $ 14,715 $ 14,556 |
Components of provision for income taxes | Our provision for income taxes follows: in millions Fiscal Fiscal Fiscal 2020 2019 2018 Current: Federal $ 3,462 $ 2,370 $ 2,495 State 928 572 544 Foreign 329 340 372 Total current 4,719 3,282 3,411 Deferred: Federal (404) 259 67 State (209) (72) 1 Foreign 6 4 (44) Total deferred (607) 191 24 Provision for income taxes $ 4,112 $ 3,473 $ 3,435 |
Reconciliation of provision for income taxes | Our combined federal, state, and foreign effective tax rates follow: Fiscal Fiscal Fiscal 2020 2019 2018 Combined federal, state, and foreign effective tax rates 24.2 % 23.6 % 23.6 % The reconciliation of our provision for income taxes at the federal statutory rate of 21% to the actual tax expense follows: in millions Fiscal Fiscal Fiscal 2020 2019 2018 Income taxes at federal statutory rate $ 3,565 $ 3,090 $ 3,057 State income taxes, net of federal income tax benefit 568 395 443 Tax on mandatory deemed repatriation — — (62) Other, net (21) (12) (3) Total $ 4,112 $ 3,473 $ 3,435 |
Tax effects of temporary differences | The tax effects of temporary differences that give rise to significant portions of our deferred tax assets and deferred tax liabilities follow: in millions January 31, February 2, Assets: Deferred compensation $ 472 $ 169 Accrued self-insurance liabilities 291 285 State income taxes 117 100 Merchandise inventories 41 — Non-deductible reserves 199 156 Net operating losses 144 70 Lease liabilities 1,605 1,536 Other 155 135 Total deferred tax assets 3,024 2,451 Valuation allowance (8) — Total deferred tax assets, net of valuation allowance 3,016 2,451 Liabilities: Merchandise inventories — (26) Property and equipment (1,061) (1,107) Goodwill and other intangibles (1,030) (195) Lease right-of-use assets (1,555) (1,458) Tax on unremitted earnings (119) (100) Other (77) (132) Total deferred tax liabilities (3,842) (3,018) Net deferred tax liabilities $ (826) $ (567) |
Schedule of tax balance sheet accounts | Our noncurrent deferred tax assets and noncurrent deferred tax liabilities, netted by tax jurisdiction, follow: in millions January 31, February 2, Other assets $ 305 $ 139 Deferred income taxes (1,131) (706) Net deferred tax liabilities $ (826) $ (567) |
Schedule of unrecognized tax benefits | Reconciliations of the beginning and ending amount of our gross unrecognized tax benefits follow: in millions Fiscal Fiscal Fiscal 2020 2019 2018 Unrecognized tax benefits balance at beginning of fiscal year $ 473 $ 494 $ 637 Additions based on tax positions related to the current year 75 96 91 Additions for tax positions of prior years 72 82 100 Reductions for tax positions of prior years (53) (147) (245) Reductions due to settlements (22) (13) (66) Reductions due to lapse of statute of limitations (5) (39) (23) Unrecognized tax benefits balance at end of fiscal year $ 540 $ 473 $ 494 |
Summary of income tax examinations | Our total accrued interest and penalties follow: in millions January 31, February 2, Total accrued interest and penalties $ 97 $ 87 |
Stockholders' Equity (Tables)
Stockholders' Equity (Tables) | 12 Months Ended |
Jan. 31, 2021 | |
Equity [Abstract] | |
Schedule of common stock outstanding roll forward | A reconciliation of the number of shares of our common stock follows: in millions Fiscal Fiscal Fiscal 2020 2019 2018 Common stock: Balance at beginning of year 1,786 1,782 1,780 Shares issued under employee stock plans 3 4 2 Balance at end of year 1,789 1,786 1,782 Treasury stock: Balance at beginning of year (709) (677) (622) Repurchases of common stock (3) (32) (55) Balance at end of year (712) (709) (677) Shares outstanding at end of year 1,077 1,077 1,105 |
Schedule of dividends declared | Annual per share cash dividends follow: Fiscal Fiscal Fiscal 2020 2019 2018 Cash dividends per share $ 6.00 $ 5.44 $ 4.12 |
Schedule of accelerated share repurchases | The terms of each ASR agreement entered into during the last three fiscal years, structured as outlined above, follow (in millions): Agreement Settlement Agreement Initial Additional Total Q1 2018 Q2 2018 750 3.4 0.8 4.2 Q2 2018 Q3 2018 1,600 7.1 1.0 8.1 Q3 2019 Q4 2019 820 3.2 0.4 3.6 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 12 Months Ended |
Jan. 31, 2021 | |
Fair Value Disclosures [Abstract] | |
Schedule of assets and liabilities measured at fair value on a recurring basis | Assets and liabilities that are measured at fair value on a recurring basis follow: Fair Value at January 31, 2021 Using Fair Value at February 2, 2020 Using in millions Quoted Prices in Active Markets for Identical Assets Significant Significant Quoted Prices in Active Markets for Identical Assets Significant Significant Derivative agreements – assets $ — $ 172 $ — $ — $ 133 $ — Derivative agreements – liabilities — (71) — — — — Total $ — $ 101 $ — $ — $ 133 $ — |
Schedule of liabilities measured at fair value on a nonrecurring basis | The aggregate fair values and carrying values of our senior notes follow: January 31, February 2, in millions Fair Value Carrying Fair Value Carrying Senior notes $ 41,289 $ 34,472 $ 34,102 $ 29,344 |
Stock-based Compensation (Table
Stock-based Compensation (Tables) | 12 Months Ended |
Jan. 31, 2021 | |
Share-based Payment Arrangement [Abstract] | |
Schedule of option valuation assumptions | The per share weighted average fair value of stock options granted and the assumptions used in determining fair value at the date of grant using the Black-Scholes option-pricing model follow: Fiscal Fiscal Fiscal 2020 2019 2018 Per share weighted average fair value $ 36.77 $ 27.33 $ 32.28 Risk-free interest rate 0.6 % 2.2 % 2.7 % Assumed volatility 29.9 % 19.8 % 21.3 % Assumed dividend yield 3.1 % 2.9 % 2.3 % Assumed lives of options 6 years 5 years 5 years |
Intrinsic value of stock options exercised | The total intrinsic value of stock options exercised follows: in millions Fiscal Fiscal Fiscal 2020 2019 2018 Total intrinsic value of stock options exercised $ 217 $ 241 $ 138 |
Summary of option activity by number of shares and weighted average exercise price | A summary of stock option activity by number of shares and weighted average exercise price during fiscal 2020 follows: shares in thousands Number of Weighted Average Outstanding at beginning of year 5,212 $ 111.54 Granted 422 193.84 Exercised (1,258) 75.83 Forfeited (26) 169.40 Outstanding at end of year 4,350 129.50 |
Summary of options outstanding and exercisable | Details regarding outstanding and exercisable stock options at January 31, 2021 follow: shares in thousands, dollars in millions, except for per share amounts Number of Intrinsic Weighted Average Weighted Average Outstanding 4,350 $ 615 5 years $ 129.50 Exercisable 2,677 454 4 years 101.08 |
Schedule of deferred shares granted | Deferred shares granted to non-employee directors follow: Fiscal Fiscal Fiscal 2020 2019 2018 Deferred shares granted to non-employee directors 18,000 22,000 26,000 |
Summary of restricted stock, performance shares, and restricted stock unit activity | A summary of restricted stock, performance shares, and restricted stock unit activity during fiscal 2020 follows: shares in thousands Number of Weighted Average Nonvested at beginning of year 3,975 $ 170.58 Granted 1,803 181.75 Vested (1,506) 155.14 Forfeited (174) 177.71 Nonvested at end of year 4,098 180.87 |
Schedule of stock-based compensation expense, net of estimated forfeitures | Stock-based compensation expense, net of estimated forfeitures and related income tax benefit follows: in millions Fiscal Fiscal Fiscal 2020 2019 2018 Pre-tax stock-based compensation expense $ 310 $ 251 $ 282 Income tax benefit (58) (49) (49) After-tax stock-based compensation expense $ 252 $ 202 $ 233 |
Total fair value of restricted stock, performance shares, and restricted stock units that vested | The total fair value of restricted stock, performance shares, and restricted stock units that vested during the fiscal year follow: in millions Fiscal Fiscal Fiscal 2020 2019 2018 Total fair value vested $ 271 $ 303 $ 367 |
Employee Benefit Plans (Tables)
Employee Benefit Plans (Tables) | 12 Months Ended |
Jan. 31, 2021 | |
Retirement Benefits [Abstract] | |
Schedule benefit plans and the restoration plan | Our contributions to the Benefit Plans and the Restoration Plan follow: in millions Fiscal Fiscal Fiscal 2020 2019 2018 Contributions to the Benefit Plans and the Restoration Plan $ 267 $ 213 $ 211 |
Weighted Average Common Shares
Weighted Average Common Shares (Tables) | 12 Months Ended |
Jan. 31, 2021 | |
Earnings Per Share [Abstract] | |
Schedule of weighted average number of shares | The reconciliation of our basic to diluted weighted average common shares follows: in millions Fiscal Fiscal Fiscal 2020 2019 2018 Basic weighted average common shares 1,074 1,093 1,137 Effect of potentially dilutive securities 4 4 6 Diluted weighted average common shares 1,078 1,097 1,143 |
Schedule of antidilutive securities excluded from computation of earnings per share | Anti-dilutive securities excluded from diluted weighted average common shares — — — |
HD Supply Acquisition (Tables)
HD Supply Acquisition (Tables) | 12 Months Ended |
Jan. 31, 2021 | |
Business Combinations [Abstract] | |
Schedule of Business Acquisitions, by Acquisition | The following table summarizes total purchase consideration: in millions Total cash consideration for outstanding shares $ 8,637 Value of share-based awards attributed to services already rendered (1) 55 Total purchase consideration $ 8,692 ————— (1) In connection with the completion of the acquisition, all HD Supply share-based awards were cash settled for an aggregate value of $111 million. As the settlement of the awards was at the discretion of the Company, the portion of the fair value of the awards attributed to services previously provided of $55 million was included as part of purchase consideration, with the remaining $56 million recognized as post-combination expense within SG&A in our consolidated statement of earnings for fiscal 2020. |
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed | The following table summarizes the estimated preliminary fair values of the assets acquired and liabilities assumed at the date of the acquisition and is subject to final fair value determination: in millions Fair Value Cash $ 912 Other current assets 879 Goodwill 4,870 Other assets (1) 3,943 Total assets acquired $ 10,604 Current liabilities $ 801 Long-term liabilities (2) 1,111 Total liabilities assumed $ 1,912 ————— (1) Includes identifiable intangible assets of $3.3 billion. (2) Includes deferred tax liabilities of $836 million primarily resulting from the difference in book and tax basis related to identifiable intangible assets. |
Finite-Lived and Indefinite-Lived Intangible Assets Acquired as Part of Business Combination | The preliminary estimated fair value and estimated remaining useful lives of identifiable intangible assets follows: in millions Useful Life (Years) Preliminary Fair Value Customer relationships 19 $ 2,630 Trade name – indefinite lived Indefinite 520 Trade names – definite lived 20 150 Identifiable intangible assets $ 3,300 |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies (Narrative) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 31, 2021 | Feb. 02, 2020 | Feb. 03, 2019 | |
Accounting Policies [Line Items] | |||
Investments classified as cash equivalents, original maturity | 3 months | ||
Percentage of merchandise inventories that are calculated using a cost method | 36.00% | ||
Quantitative goodwill impairment assessment time interval | 3 years | ||
Option to extend | 5 years | ||
Option to terminate lease | 5 years | ||
Goodwill, impairment loss | $ 0 | $ 0 | $ 0 |
Impairment of intangible assets | 0 | 0 | $ 247 |
Self insurance reserve | $ 1,300 | 1,300 | |
Recognized income tax positions are measured at the largest amount exceeding a probability of | 50.00% | ||
Deferred revenue | $ 1,900 | 1,300 | |
General redemption period | 6 months | ||
Gift card performance obligations | $ 839 | $ 721 | |
Minimum | |||
Accounting Policies [Line Items] | |||
Term of contract | 1 year | ||
Maximum | |||
Accounting Policies [Line Items] | |||
Term of contract | 20 years | ||
Maximum | Other Intangible Assets | |||
Accounting Policies [Line Items] | |||
Intangible asset, useful life | 20 years | ||
Software and Software Development Costs | Minimum | |||
Accounting Policies [Line Items] | |||
Software, useful life | 3 years | ||
Software and Software Development Costs | Maximum | |||
Accounting Policies [Line Items] | |||
Software, useful life | 6 years |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies (Receivables) (Details) - USD ($) $ in Millions | Jan. 31, 2021 | Feb. 02, 2020 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Receivables, net | $ 2,992 | $ 2,106 |
Card receivables | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Receivables, net | 992 | 778 |
Rebate receivables | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Receivables, net | 987 | 668 |
Customer receivables | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Receivables, net | 571 | 292 |
Other receivables | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Receivables, net | $ 442 | $ 368 |
Summary of Significant Accoun_6
Summary of Significant Accounting Policies (Depreciation Estimated Useful Lives) (Details) | 12 Months Ended |
Jan. 31, 2021 | |
Buildings | Minimum | |
Property, Plant and Equipment [Line Items] | |
Property plant and equipment, useful life | 5 years |
Buildings | Maximum | |
Property, Plant and Equipment [Line Items] | |
Property plant and equipment, useful life | 45 years |
Furniture, Fixtures and Equipment | Minimum | |
Property, Plant and Equipment [Line Items] | |
Property plant and equipment, useful life | 2 years |
Furniture, Fixtures and Equipment | Maximum | |
Property, Plant and Equipment [Line Items] | |
Property plant and equipment, useful life | 20 years |
Leasehold improvements | Minimum | |
Property, Plant and Equipment [Line Items] | |
Property plant and equipment, useful life | 5 years |
Leasehold improvements | Maximum | |
Property, Plant and Equipment [Line Items] | |
Property plant and equipment, useful life | 45 years |
Software and Software Development Costs | Minimum | |
Property, Plant and Equipment [Line Items] | |
Property plant and equipment, useful life | 3 years |
Software and Software Development Costs | Maximum | |
Property, Plant and Equipment [Line Items] | |
Property plant and equipment, useful life | 6 years |
Summary of Significant Accoun_7
Summary of Significant Accounting Policies (Schedule of Goodwill) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 31, 2021 | Feb. 02, 2020 | Feb. 03, 2019 | |
Accounting Policies [Abstract] | |||
Goodwill, impairment loss | $ 0 | $ 0 | $ 0 |
Goodwill [Roll Forward] | |||
Goodwill, balance at beginning of year | 2,254 | 2,252 | |
Acquisitions | 4,870 | 0 | |
Other | 2 | 2 | |
Goodwill, balance at end of year | $ 7,126 | $ 2,254 | $ 2,252 |
Summary of Significant Accoun_8
Summary of Significant Accounting Policies (Other Income and Expense) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 31, 2021 | Feb. 02, 2020 | Feb. 03, 2019 | |
Accounting Policies [Abstract] | |||
Specific, incremental, and identifiable co-op advertising allowances | $ 291 | $ 282 | $ 235 |
Gross advertising expense | $ 1,200 | $ 1,186 | $ 1,156 |
Summary of Significant Accoun_9
Summary of Significant Accounting Policies (Gross Carrying Amount and Accumulated Amortization of Intangible Assets) (Details) $ in Millions | Jan. 31, 2021USD ($) |
Finite-Lived Intangible Assets [Line Items] | |
Accumulated Amortization | $ (169) |
Total Intangible Assets | 3,781 |
Trade Names | |
Indefinite-lived Intangible Assets [Line Items] | |
Indefinite-Lived Intangible Assets | 649 |
Customer Relationships | |
Finite-Lived Intangible Assets [Line Items] | |
Gross Carrying Amount | 2,965 |
Accumulated Amortization | (157) |
Trade Names | |
Finite-Lived Intangible Assets [Line Items] | |
Gross Carrying Amount | 151 |
Accumulated Amortization | (1) |
Other Finite-Lived Intangible Assets | |
Finite-Lived Intangible Assets [Line Items] | |
Gross Carrying Amount | 16 |
Accumulated Amortization | $ (11) |
Summary of Significant Accou_10
Summary of Significant Accounting Policies (Estimated Future Amortization Expense) (Details) - HD Holdings Inc $ in Millions | Jan. 31, 2021USD ($) |
Business Acquisition [Line Items] | |
Fiscal 2021 | $ 176 |
Fiscal 2022 | 176 |
Fiscal 2023 | 174 |
Fiscal 2024 | 174 |
Fiscal 2025 | 174 |
Thereafter | 2,089 |
Total | $ 2,963 |
Net Sales and Segment Reporti_3
Net Sales and Segment Reporting (Disclosure of Entity's Reportable Segments) (Narrative) (Details) | 12 Months Ended |
Jan. 31, 2021 | |
Segment Reporting [Abstract] | |
Number of operating segments | 3 |
Number of reportable segments | 1 |
Net Sales and Segment Reporti_4
Net Sales and Segment Reporting (Schedule of Revenue from External Customers and Long-Lived Assets, by Geographical Areas) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 31, 2021 | Feb. 02, 2020 | Feb. 03, 2019 | |
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Net property and equipment | $ 24,705 | $ 22,770 | $ 22,375 |
Net sales | 132,110 | 110,225 | 108,203 |
Inside the U.S. | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Net property and equipment | 22,205 | 20,302 | 19,930 |
Net sales | 122,158 | 101,333 | 99,386 |
Outside the U.S. | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Net property and equipment | 2,500 | 2,468 | 2,445 |
Net sales | $ 9,952 | $ 8,892 | $ 8,817 |
Net Sales and Segment Reporti_5
Net Sales and Segment Reporting (Revenue from External Customers by Products and Services) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 31, 2021 | Feb. 02, 2020 | Feb. 03, 2019 | |
Revenue from External Customer [Line Items] | |||
Net Sales | $ 132,110 | $ 110,225 | $ 108,203 |
% of Net Sales | 100.00% | 100.00% | 100.00% |
Product | |||
Revenue from External Customer [Line Items] | |||
Net Sales | $ 127,671 | $ 105,194 | $ 102,933 |
Service | |||
Revenue from External Customer [Line Items] | |||
Net Sales | 4,439 | 5,031 | 5,270 |
Major Product Line - Building Materials | |||
Revenue from External Customer [Line Items] | |||
Net Sales | 46,536 | 39,338 | 39,883 |
Major Product Line - Decor | |||
Revenue from External Customer [Line Items] | |||
Net Sales | 43,409 | 37,390 | 36,273 |
Major Product Line - Hardlines | |||
Revenue from External Customer [Line Items] | |||
Net Sales | 42,165 | 33,497 | 32,047 |
Appliances | |||
Revenue from External Customer [Line Items] | |||
Net Sales | $ 11,860 | $ 9,852 | $ 9,027 |
% of Net Sales | 9.00% | 8.90% | 8.30% |
Building Materials | |||
Revenue from External Customer [Line Items] | |||
Net Sales | $ 8,682 | $ 7,712 | $ 7,770 |
% of Net Sales | 6.60% | 7.00% | 7.20% |
Décor/Storage | |||
Revenue from External Customer [Line Items] | |||
Net Sales | $ 4,872 | $ 3,758 | $ 3,583 |
% of Net Sales | 3.70% | 3.40% | 3.30% |
Electrical/Lighting | |||
Revenue from External Customer [Line Items] | |||
Net Sales | $ 11,173 | $ 9,844 | $ 9,941 |
% of Net Sales | 8.50% | 8.90% | 9.20% |
Flooring | |||
Revenue from External Customer [Line Items] | |||
Net Sales | $ 8,155 | $ 7,443 | $ 7,494 |
% of Net Sales | 6.20% | 6.80% | 6.90% |
Hardware | |||
Revenue from External Customer [Line Items] | |||
Net Sales | $ 7,656 | $ 6,381 | $ 6,203 |
% of Net Sales | 5.80% | 5.80% | 5.70% |
Indoor Garden | |||
Revenue from External Customer [Line Items] | |||
Net Sales | $ 14,296 | $ 10,989 | $ 10,450 |
% of Net Sales | 10.80% | 10.00% | 9.70% |
Kitchen and Bath | |||
Revenue from External Customer [Line Items] | |||
Net Sales | $ 8,465 | $ 7,717 | $ 7,728 |
% of Net Sales | 6.40% | 7.00% | 7.10% |
Lumber | |||
Revenue from External Customer [Line Items] | |||
Net Sales | $ 11,310 | $ 7,894 | $ 8,393 |
% of Net Sales | 8.60% | 7.20% | 7.80% |
Millwork | |||
Revenue from External Customer [Line Items] | |||
Net Sales | $ 6,460 | $ 5,757 | $ 5,757 |
% of Net Sales | 4.90% | 5.20% | 5.30% |
Outdoor Garden | |||
Revenue from External Customer [Line Items] | |||
Net Sales | $ 9,600 | $ 7,564 | $ 7,259 |
% of Net Sales | 7.30% | 6.90% | 6.70% |
Paint | |||
Revenue from External Customer [Line Items] | |||
Net Sales | $ 10,057 | $ 8,620 | $ 8,441 |
% of Net Sales | 7.60% | 7.80% | 7.80% |
Plumbing | |||
Revenue from External Customer [Line Items] | |||
Net Sales | $ 8,911 | $ 8,131 | $ 8,022 |
% of Net Sales | 6.70% | 7.40% | 7.40% |
Tools | |||
Revenue from External Customer [Line Items] | |||
Net Sales | $ 10,613 | $ 8,563 | $ 8,135 |
% of Net Sales | 8.00% | 7.80% | 7.50% |
Property and Leases (Net Proper
Property and Leases (Net Property and Equipment) (Details) - USD ($) $ in Millions | Jan. 31, 2021 | Feb. 02, 2020 |
Property, Plant and Equipment [Line Items] | ||
Property and equipment, at cost | $ 48,801 | $ 44,860 |
Less accumulated depreciation and finance lease amortization | 24,096 | 22,090 |
Net property and equipment | 24,705 | 22,770 |
Land | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, at cost | 8,543 | 8,390 |
Buildings | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, at cost | 18,838 | 18,432 |
Furniture, fixtures, and equipment | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, at cost | 15,119 | 13,666 |
Leasehold improvements | ||
Property, Plant and Equipment [Line Items] | ||
Finance lease, right-of-use assets | 1,925 | 1,789 |
Construction in progress | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, at cost | 1,068 | 1,005 |
Finance leases | ||
Property, Plant and Equipment [Line Items] | ||
Finance lease, right-of-use assets | $ 3,308 | $ 1,578 |
Property and Leases (Depreciati
Property and Leases (Depreciation and Finance Lease Amortization Expense) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 31, 2021 | Feb. 02, 2020 | Feb. 03, 2019 | |
Property and Leases [Abstract] | |||
Depreciation and finance lease amortization expense | $ 2,425 | $ 2,223 | $ 2,076 |
Property and Leases (Schedule o
Property and Leases (Schedule of Assets and Liabilities Related to Operating and Finance Leases) (Details) - USD ($) $ in Millions | Jan. 31, 2021 | Feb. 02, 2020 |
Assets: | ||
Operating lease assets | $ 5,962 | $ 5,595 |
Finance leases | 2,493 | 934 |
Total lease assets | 8,455 | 6,529 |
Current: | ||
Operating lease liabilities | 828 | 828 |
Finance lease liabilities | 66 | 84 |
Long-term: | ||
Operating lease liabilities | 5,356 | 5,066 |
Finance lease liabilities | 2,700 | 1,081 |
Total lease liabilities | 8,950 | 7,059 |
Finance lease assets, net of accumulated amortization | $ 815 | $ 644 |
Property and Leases (Components
Property and Leases (Components of Lease Costs) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 31, 2021 | Feb. 02, 2020 | Feb. 03, 2019 | |
Property and Leases [Abstract] | |||
Operating lease cost | $ 782 | $ 827 | |
Finance lease cost: | |||
Amortization of leased assets | 167 | 86 | |
Interest on lease liabilities | 112 | 92 | |
Short-term lease cost | 75 | 98 | |
Variable lease cost | 277 | 241 | |
Sublease income | (13) | (14) | |
Net lease cost | $ 1,400 | $ 1,330 | |
Operating lease rent expense | $ 1,100 |
Property and Leases (Schedule_2
Property and Leases (Schedule of Lease Terms and Discount Rates) (Details) | Jan. 31, 2021 | Feb. 02, 2020 |
Weighted Average Remaining Lease Term (Years): | ||
Operating leases | 10 years | 10 years |
Finance leases | 15 years | 12 years |
Weighted Average Discount Rate: | ||
Operating leases | 2.90% | 3.10% |
Finance leases | 5.60% | 10.40% |
Property and Leases (Schedule_3
Property and Leases (Schedule of Future Minimum Lease Payments Under Operating and Finance Leases) (Details) - USD ($) $ in Millions | 12 Months Ended | |
Jan. 31, 2021 | Feb. 02, 2020 | |
Operating Leases | ||
Fiscal 2021 | $ 955 | |
Fiscal 2022 | 960 | |
Fiscal 2023 | 854 | |
Fiscal 2024 | 738 | |
Fiscal 2025 | 614 | |
Thereafter | 3,001 | |
Total lease payments | 7,122 | |
Less: imputed interest | 938 | |
Present value of lease liabilities | 6,184 | |
Finance Leases | ||
Fiscal 2021 | 272 | |
Fiscal 2022 | 285 | |
Fiscal 2023 | 280 | |
Fiscal 2024 | 273 | |
Fiscal 2025 | 317 | |
Thereafter | 2,266 | |
Total lease payments | 3,693 | |
Less: imputed interest | 927 | |
Present value of lease liabilities | 2,766 | $ 1,165 |
Property, Plant and Equipment [Line Items] | ||
Leases that have not yet commenced | $ 833 | |
Maximum | ||
Property, Plant and Equipment [Line Items] | ||
Terms of contract | 20 years |
Property and Leases (Other Leas
Property and Leases (Other Lease Information) (Details) - USD ($) $ in Millions | 12 Months Ended | |
Jan. 31, 2021 | Feb. 02, 2020 | |
Cash paid for amounts included in the measurement of lease liabilities: | ||
Operating cash flows – operating leases | $ 1,022 | $ 1,003 |
Operating cash flows – finance leases | 112 | 92 |
Financing cash flows – finance leases | 122 | 70 |
Lease assets obtained in exchange for new operating lease liabilities | 969 | 748 |
Lease assets obtained in exchange for new finance lease liabilities | $ 1,730 | $ 186 |
Debt and Derivative Instrumen_3
Debt and Derivative Instruments (Short-term Commercial Paper Programs and Line of Credit Facility) (Details) - USD ($) | Jan. 29, 2021 | Dec. 31, 2020 | Jan. 31, 2021 | Feb. 02, 2020 | Mar. 31, 2020 | Feb. 29, 2020 |
Short-term Line of Credit and Commercial Paper Programs [Abstract] | ||||||
Balance outstanding at fiscal year-end | $ 0 | $ 974,000,000 | ||||
Commercial Paper | ||||||
Short-term Line of Credit and Commercial Paper Programs [Abstract] | ||||||
Maximum borrowing capacity of credit facility | $ 3,000,000,000 | $ 6,000,000,000 | $ 3,000,000,000 | |||
Weighted average interest rate | 0.00% | 1.56% | ||||
Maximum amount outstanding at any month-end | $ 11,000,000 | $ 2,097,000,000 | ||||
Average daily short-term borrowings | 11,000,000 | $ 624,000,000 | ||||
Revolving Credit Facility | ||||||
Short-term Line of Credit and Commercial Paper Programs [Abstract] | ||||||
Maximum borrowing capacity of credit facility | 6,500,000,000 | |||||
Revolving Credit Facility | 5-year Back-up Credit Facility | ||||||
Short-term Line of Credit and Commercial Paper Programs [Abstract] | ||||||
Maximum borrowing capacity of credit facility | $ 2,000,000,000 | $ 2,000,000,000 | ||||
Expiration period | 5 years | 5 years | ||||
Revolving Credit Facility | 364-day Back-up Credit Facility | ||||||
Short-term Line of Credit and Commercial Paper Programs [Abstract] | ||||||
Maximum borrowing capacity of credit facility | $ 1,000,000,000 | $ 1,000,000,000 | ||||
Expiration period | 364 days | 364 days | ||||
Revolving Credit Facility | March 2020 Back-up Credit Facility | ||||||
Short-term Line of Credit and Commercial Paper Programs [Abstract] | ||||||
Maximum borrowing capacity of credit facility | $ 3,500,000,000 | |||||
Expiration period | 364 days | 364 days |
Debt and Derivative Instrumen_4
Debt and Derivative Instruments (Long-term Debt) (Details) - USD ($) | Jan. 31, 2021 | Feb. 02, 2020 |
Debt Instrument [Line Items] | ||
Debt instrument, face amount | $ 34,750,000,000 | |
Senior notes | 34,472,000,000 | $ 29,344,000,000 |
Finance lease obligations; payable in varying installments through January 31, 2055 | 2,766,000,000 | 1,165,000,000 |
Total long-term debt | 37,238,000,000 | 30,509,000,000 |
Less current installments | 1,416,000,000 | 1,839,000,000 |
Long-term debt, excluding current installments | 35,822,000,000 | 28,670,000,000 |
Floating rate senior notes due June 2020 | ||
Debt Instrument [Line Items] | ||
Debt instrument, face amount | 0 | |
Senior notes | $ 0 | 500,000,000 |
1.80% Senior notes due June 2020 | ||
Debt Instrument [Line Items] | ||
Debt instrument, interest rate, stated percentage | 1.80% | |
Debt instrument, face amount | $ 0 | |
Senior notes | $ 0 | 750,000,000 |
3.95% Senior notes due September 2020 | ||
Debt Instrument [Line Items] | ||
Debt instrument, interest rate, stated percentage | 3.95% | |
Debt instrument, face amount | $ 0 | |
Senior notes | $ 0 | 506,000,000 |
4.40% Senior notes due April 2021 | ||
Debt Instrument [Line Items] | ||
Debt instrument, interest rate, stated percentage | 4.40% | |
Debt instrument, face amount | $ 0 | |
Senior notes | $ 0 | 999,000,000 |
2.00% Senior notes due April 2021 | ||
Debt Instrument [Line Items] | ||
Debt instrument, interest rate, stated percentage | 2.00% | |
Debt instrument, face amount | $ 1,350,000,000 | |
Senior notes | 1,350,000,000 | 1,348,000,000 |
Floating rate senior notes due March 2022 | ||
Debt Instrument [Line Items] | ||
Debt instrument, face amount | 300,000,000 | |
Senior notes | $ 300,000,000 | 299,000,000 |
3.25% Senior notes due March 2022 | ||
Debt Instrument [Line Items] | ||
Debt instrument, interest rate, stated percentage | 3.25% | |
Debt instrument, face amount | $ 700,000,000 | |
Senior notes | $ 699,000,000 | 698,000,000 |
2.625% Senior notes due June 2022 | ||
Debt Instrument [Line Items] | ||
Debt instrument, interest rate, stated percentage | 2.625% | |
Debt instrument, face amount | $ 1,250,000,000 | |
Senior notes | $ 1,248,000,000 | 1,246,000,000 |
2.70% Senior notes due April 2023 | ||
Debt Instrument [Line Items] | ||
Debt instrument, interest rate, stated percentage | 2.70% | |
Debt instrument, face amount | $ 1,000,000,000 | |
Senior notes | $ 998,000,000 | 998,000,000 |
3.75% Senior notes due February 2024 | ||
Debt Instrument [Line Items] | ||
Debt instrument, interest rate, stated percentage | 3.75% | |
Debt instrument, face amount | $ 1,100,000,000 | |
Senior notes | $ 1,096,000,000 | 1,095,000,000 |
3.35% Senior notes due September 2025 | ||
Debt Instrument [Line Items] | ||
Debt instrument, interest rate, stated percentage | 3.35% | |
Debt instrument, face amount | $ 1,000,000,000 | |
Senior notes | $ 997,000,000 | 996,000,000 |
3.00% Senior notes due April 2026 | ||
Debt Instrument [Line Items] | ||
Debt instrument, interest rate, stated percentage | 3.00% | |
Debt instrument, face amount | $ 1,300,000,000 | |
Senior notes | $ 1,291,000,000 | 1,290,000,000 |
2.125% Senior notes due September 2026 | ||
Debt Instrument [Line Items] | ||
Debt instrument, interest rate, stated percentage | 2.125% | |
Debt instrument, face amount | $ 1,000,000,000 | |
Senior notes | $ 990,000,000 | 989,000,000 |
2.50% Senior notes due April 2027 | ||
Debt Instrument [Line Items] | ||
Debt instrument, interest rate, stated percentage | 2.50% | |
Debt instrument, face amount | $ 750,000,000 | |
Senior notes | $ 743,000,000 | 0 |
2.80% Senior notes due September 2027 | ||
Debt Instrument [Line Items] | ||
Debt instrument, interest rate, stated percentage | 2.80% | |
Debt instrument, face amount | $ 1,000,000,000 | |
Senior notes | $ 1,017,000,000 | 1,007,000,000 |
0.90% Senior notes due March 2028 | ||
Debt Instrument [Line Items] | ||
Debt instrument, interest rate, stated percentage | 0.90% | |
Debt instrument, face amount | $ 500,000,000 | |
Senior notes | $ 494,000,000 | 0 |
3.90% Senior notes due December 2028 | ||
Debt Instrument [Line Items] | ||
Debt instrument, interest rate, stated percentage | 3.90% | |
Debt instrument, face amount | $ 1,000,000,000 | |
Senior notes | $ 1,075,000,000 | 1,059,000,000 |
2.95% Senior notes due June 2029 | ||
Debt Instrument [Line Items] | ||
Debt instrument, interest rate, stated percentage | 2.95% | |
Debt instrument, face amount | $ 1,750,000,000 | |
Senior notes | $ 1,828,000,000 | 1,797,000,000 |
2.70% Senior notes due April 2030 | ||
Debt Instrument [Line Items] | ||
Debt instrument, interest rate, stated percentage | 2.70% | |
Debt instrument, face amount | $ 1,500,000,000 | |
Senior notes | $ 1,464,000,000 | 0 |
1.375% Senior notes due March 2031 | ||
Debt Instrument [Line Items] | ||
Debt instrument, interest rate, stated percentage | 1.375% | |
Debt instrument, face amount | $ 1,250,000,000 | |
Senior notes | $ 1,229,000,000 | 0 |
5.875% Senior notes due December 2036 | ||
Debt Instrument [Line Items] | ||
Debt instrument, interest rate, stated percentage | 5.875% | |
Debt instrument, face amount | $ 3,000,000,000 | |
Senior notes | $ 2,935,000,000 | 2,953,000,000 |
3.30% Senior notes due April 2040 | ||
Debt Instrument [Line Items] | ||
Debt instrument, interest rate, stated percentage | 3.30% | |
Debt instrument, face amount | $ 1,250,000,000 | |
Senior notes | $ 1,207,000,000 | 0 |
5.40% Senior notes due September 2040 | ||
Debt Instrument [Line Items] | ||
Debt instrument, interest rate, stated percentage | 5.40% | |
Debt instrument, face amount | $ 500,000,000 | |
Senior notes | $ 496,000,000 | 495,000,000 |
5.95% Senior notes due April 2041 | ||
Debt Instrument [Line Items] | ||
Debt instrument, interest rate, stated percentage | 5.95% | |
Debt instrument, face amount | $ 1,000,000,000 | |
Senior notes | $ 990,000,000 | 989,000,000 |
4.20% Senior notes due April 2043 | ||
Debt Instrument [Line Items] | ||
Debt instrument, interest rate, stated percentage | 4.20% | |
Debt instrument, face amount | $ 1,000,000,000 | |
Senior notes | $ 989,000,000 | 989,000,000 |
4.875% Senior notes due February 2044 | ||
Debt Instrument [Line Items] | ||
Debt instrument, interest rate, stated percentage | 4.875% | |
Debt instrument, face amount | $ 1,000,000,000 | |
Senior notes | $ 980,000,000 | 979,000,000 |
4.40% Senior notes due March 2045 | ||
Debt Instrument [Line Items] | ||
Debt instrument, interest rate, stated percentage | 4.40% | |
Debt instrument, face amount | $ 1,000,000,000 | |
Senior notes | $ 979,000,000 | 978,000,000 |
4.25% Senior notes due April 2046 | ||
Debt Instrument [Line Items] | ||
Debt instrument, interest rate, stated percentage | 4.25% | |
Debt instrument, face amount | $ 1,600,000,000 | |
Senior notes | $ 1,585,000,000 | 1,585,000,000 |
3.90% Senior notes due June 2047 | ||
Debt Instrument [Line Items] | ||
Debt instrument, interest rate, stated percentage | 3.90% | |
Debt instrument, face amount | $ 1,150,000,000 | |
Senior notes | $ 1,144,000,000 | 1,144,000,000 |
4.50% Senior notes due December 2048 | ||
Debt Instrument [Line Items] | ||
Debt instrument, interest rate, stated percentage | 4.50% | |
Debt instrument, face amount | $ 1,500,000,000 | |
Senior notes | $ 1,463,000,000 | 1,462,000,000 |
3.125% Senior notes due December 2049 | ||
Debt Instrument [Line Items] | ||
Debt instrument, interest rate, stated percentage | 3.125% | |
Debt instrument, face amount | $ 1,250,000,000 | |
Senior notes | $ 1,222,000,000 | 1,221,000,000 |
3.35% Senior notes due April 2050 | ||
Debt Instrument [Line Items] | ||
Debt instrument, interest rate, stated percentage | 3.35% | |
Debt instrument, face amount | $ 1,500,000,000 | |
Senior notes | $ 1,470,000,000 | 0 |
2.375% Senior notes due March 2051 | ||
Debt Instrument [Line Items] | ||
Debt instrument, interest rate, stated percentage | 2.375% | |
Debt instrument, face amount | $ 1,250,000,000 | |
Senior notes | $ 1,220,000,000 | 0 |
3.50% Senior notes due September 2056 | ||
Debt Instrument [Line Items] | ||
Debt instrument, interest rate, stated percentage | 3.50% | |
Debt instrument, face amount | $ 1,000,000,000 | |
Senior notes | $ 973,000,000 | $ 972,000,000 |
Debt and Derivative Instrumen_5
Debt and Derivative Instruments (Narrative) (Details) | 1 Months Ended | 12 Months Ended | |||
Mar. 24, 2021USD ($) | Jan. 31, 2021USD ($)tranche | Mar. 31, 2020USD ($)tranche | Jan. 31, 2021USD ($) | Dec. 31, 2020USD ($) | |
Debt Instrument [Line Items] | |||||
Debt instrument, face amount | $ 34,750,000,000 | $ 34,750,000,000 | |||
Debt instrument, redemption price, percentage | 100.00% | ||||
Debt instrument, change of control, redemption price, percent | 101.00% | ||||
Revolving Credit Facility | |||||
Debt Instrument [Line Items] | |||||
Maximum borrowing capacity of credit facility | 6,500,000,000 | $ 6,500,000,000 | |||
5-year Back-up Credit Facility | Revolving Credit Facility | |||||
Debt Instrument [Line Items] | |||||
Maximum borrowing capacity of credit facility | 2,000,000,000 | 2,000,000,000 | $ 2,000,000,000 | ||
Floating rate senior notes due March 2022 | |||||
Debt Instrument [Line Items] | |||||
Debt instrument, face amount | $ 300,000,000 | 300,000,000 | |||
Senior Notes | |||||
Debt Instrument [Line Items] | |||||
Number of tranches | tranche | 3 | 4 | |||
Debt issuance costs | $ 21,000,000 | $ 36,000,000 | |||
Senior Notes | 0.90% Senior notes due March 2028 | |||||
Debt Instrument [Line Items] | |||||
Debt instrument, face amount | $ 500,000,000 | $ 500,000,000 | |||
Debt instrument, interest rate, stated percentage | 0.90% | 0.90% | |||
Unamortized discount | $ 3,000,000 | $ 3,000,000 | |||
Senior Notes | 1.375% Senior notes due March 2031 | |||||
Debt Instrument [Line Items] | |||||
Debt instrument, face amount | $ 1,250,000,000 | $ 1,250,000,000 | |||
Debt instrument, interest rate, stated percentage | 1.375% | 1.375% | |||
Unamortized discount | $ 7,000,000 | $ 7,000,000 | |||
Senior Notes | 2.375% Senior notes due March 2051 | |||||
Debt Instrument [Line Items] | |||||
Debt instrument, face amount | $ 1,250,000,000 | $ 1,250,000,000 | |||
Debt instrument, interest rate, stated percentage | 2.375% | 2.375% | |||
Unamortized discount | $ 17,000,000 | $ 17,000,000 | |||
Senior Notes | 2.50% Senior notes due April 2027 | |||||
Debt Instrument [Line Items] | |||||
Debt instrument, face amount | $ 750,000,000 | ||||
Debt instrument, interest rate, stated percentage | 2.50% | ||||
Unamortized discount | $ 4,000,000 | ||||
Senior Notes | 2.70% Senior notes due April 2030 | |||||
Debt Instrument [Line Items] | |||||
Debt instrument, face amount | $ 1,500,000,000 | ||||
Debt instrument, interest rate, stated percentage | 2.70% | ||||
Unamortized discount | $ 8,000,000 | ||||
Senior Notes | 3.30% Senior notes due April 2040 | |||||
Debt Instrument [Line Items] | |||||
Debt instrument, face amount | $ 1,250,000,000 | ||||
Debt instrument, interest rate, stated percentage | 3.30% | ||||
Unamortized discount | $ 11,000,000 | ||||
Senior Notes | 3.35% Senior notes due April 2050 | |||||
Debt Instrument [Line Items] | |||||
Debt instrument, face amount | $ 1,500,000,000 | ||||
Debt instrument, interest rate, stated percentage | 3.35% | ||||
Unamortized discount | $ 17,000,000 | ||||
Senior Notes | 3.25% Senior notes due March 2022 | |||||
Debt Instrument [Line Items] | |||||
Debt instrument, interest rate, stated percentage | 3.25% | 3.25% | |||
Senior Notes | 5.875% Senior notes due December 2036 | |||||
Debt Instrument [Line Items] | |||||
Debt instrument, interest rate, stated percentage | 5.875% | 5.875% | |||
Senior Notes | 4.40% Senior notes due April 2021 | |||||
Debt Instrument [Line Items] | |||||
Debt instrument, interest rate, stated percentage | 4.40% | 4.40% | |||
Repayments of debt | $ 1,000,000,000 | ||||
Senior Notes | 2.00% Senior notes due April 2021 | Subsequent event | |||||
Debt Instrument [Line Items] | |||||
Debt instrument, interest rate, stated percentage | 2.00% | ||||
Repayments of debt | $ 1,350,000,000 |
Debt and Derivative Instrumen_6
Debt and Derivative Instruments (Schedules of Maturities of Long-term Debt) (Details) $ in Millions | Jan. 31, 2021USD ($) |
Debt Disclosure [Abstract] | |
Fiscal 2021 | $ 1,350 |
Fiscal 2022 | 2,250 |
Fiscal 2023 | 1,000 |
Fiscal 2024 | 1,100 |
Fiscal 2025 | 1,000 |
Thereafter | 28,050 |
Total | $ 34,750 |
Debt and Derivative Instrumen_7
Debt and Derivative Instruments (Derivatives Instruments) (Details) - USD ($) $ in Millions | 12 Months Ended | |
Feb. 02, 2020 | Jan. 31, 2021 | |
Other Accrued Expenses | ||
Derivative [Line Items] | ||
Cash collateral received | $ 103 | |
Cross Currency Swap | ||
Derivative [Line Items] | ||
Gain on cross currency swap agreement | $ 118 | |
Net Investment Hedging [Member] | Forward Contracts [Member] | ||
Derivative [Line Items] | ||
Notional amount | 1,200 | 141 |
Fair Value Hedging [Member] | Interest Rate Swap | ||
Derivative [Line Items] | ||
Notional amount | 2,100 | 4,400 |
Fair value of agreements | 101 | |
Fair Value Hedging [Member] | Interest Rate Swap | Other Assets | ||
Derivative [Line Items] | ||
Fair value of agreements | $ 120 | 172 |
Fair Value Hedging [Member] | Interest Rate Swap | Other Long-term Liabilities | ||
Derivative [Line Items] | ||
Fair value of agreements | $ 71 |
Income Taxes (Narrative) (Detai
Income Taxes (Narrative) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 31, 2021 | Feb. 02, 2020 | Feb. 03, 2019 | |
Income Tax Disclosure [Abstract] | |||
Federal statutory rate | 21.00% | ||
Net operating losses | $ 144 | $ 70 | |
Undistributed earnings of foreign subsidiaries | 3,000 | ||
Unrecognized tax benefits that would impact effective tax rate | $ 458 | $ 407 | $ 398 |
Income Taxes (Components of Ear
Income Taxes (Components of Earnings before Provision for Income Taxes) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 31, 2021 | Feb. 02, 2020 | Feb. 03, 2019 | |
Income Tax Disclosure [Abstract] | |||
United States | $ 16,013 | $ 13,770 | $ 13,456 |
Foreign | 965 | 945 | 1,100 |
Total | $ 16,978 | $ 14,715 | $ 14,556 |
Income Taxes (Provision for Inc
Income Taxes (Provision for Income Taxes) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 31, 2021 | Feb. 02, 2020 | Feb. 03, 2019 | |
Current: | |||
Federal | $ 3,462 | $ 2,370 | $ 2,495 |
State | 928 | 572 | 544 |
Foreign | 329 | 340 | 372 |
Total current | 4,719 | 3,282 | 3,411 |
Deferred: | |||
Federal | (404) | 259 | 67 |
State | (209) | (72) | 1 |
Foreign | 6 | 4 | (44) |
Total deferred | (607) | 191 | 24 |
Total | $ 4,112 | $ 3,473 | $ 3,435 |
Income Taxes (Effective Income
Income Taxes (Effective Income Tax Rate Reconciliation) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 31, 2021 | Feb. 02, 2020 | Feb. 03, 2019 | |
Effective Income Tax Rate Reconciliation, Percent [Abstract] | |||
Combined federal, state, and foreign effective tax rates | 24.20% | 23.60% | 23.60% |
Reconciliation of the Provision for Income Taxes: | |||
Income taxes at federal statutory rate | $ 3,565 | $ 3,090 | $ 3,057 |
State income taxes, net of federal income tax benefit | 568 | 395 | 443 |
Tax on mandatory deemed repatriation | (62) | ||
Tax on mandatory deemed repatriation | 0 | 0 | |
Other, net | (21) | (12) | (3) |
Total | $ 4,112 | $ 3,473 | $ 3,435 |
Income Taxes (Tax Effects of Te
Income Taxes (Tax Effects of Temporary Differences) (Details) - USD ($) $ in Millions | Jan. 31, 2021 | Feb. 02, 2020 |
Assets: | ||
Deferred compensation | $ 472 | $ 169 |
Accrued self-insurance liabilities | 291 | 285 |
State income taxes | 117 | 100 |
Merchandise inventories | 41 | 0 |
Non-deductible reserves | 199 | 156 |
Net operating losses | 144 | 70 |
Lease liabilities | 1,605 | 1,536 |
Other | 155 | 135 |
Total deferred tax assets | 3,024 | 2,451 |
Valuation allowance | (8) | 0 |
Total deferred tax assets, net of valuation allowance | 3,016 | 2,451 |
Liabilities: | ||
Merchandise inventories | 0 | (26) |
Property and equipment | (1,061) | (1,107) |
Goodwill and other intangibles | (1,030) | (195) |
Lease right-of-use assets | (1,555) | (1,458) |
Tax on unremitted earnings | (119) | (100) |
Other | (77) | (132) |
Total deferred tax liabilities | (3,842) | (3,018) |
Net deferred tax liabilities | $ (826) | $ (567) |
Income Taxes (Balance Sheet Acc
Income Taxes (Balance Sheet Accounts) (Details) - USD ($) $ in Millions | Jan. 31, 2021 | Feb. 02, 2020 |
Income Tax Disclosure [Abstract] | ||
Other assets | $ 305 | $ 139 |
Deferred income taxes | (1,131) | (706) |
Net deferred tax liabilities | $ (826) | $ (567) |
Income Taxes (Unrecognized Tax
Income Taxes (Unrecognized Tax Benefits) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 31, 2021 | Feb. 02, 2020 | Feb. 03, 2019 | |
Reconciliation of gross unrecognized tax benefits: | |||
Unrecognized tax benefits balance at beginning of fiscal year | $ 473 | $ 494 | $ 637 |
Additions based on tax positions related to the current year | 75 | 96 | 91 |
Additions for tax positions of prior years | 72 | 82 | 100 |
Reductions for tax positions of prior years | (53) | (147) | (245) |
Reductions due to settlements | (22) | (13) | (66) |
Reductions due to lapse of statute of limitations | (5) | (39) | (23) |
Unrecognized tax benefits balance at end of fiscal year | $ 540 | $ 473 | $ 494 |
Income Taxes (Accrued Interest
Income Taxes (Accrued Interest and Penalties) (Details) - USD ($) $ in Millions | Jan. 31, 2021 | Feb. 02, 2020 |
Income Tax Disclosure [Abstract] | ||
Total accrued interest and penalties | $ 97 | $ 87 |
Stockholders' Equity (Stock Rol
Stockholders' Equity (Stock Rollforward) (Details) - $ / shares shares in Millions | 12 Months Ended | ||
Jan. 31, 2021 | Feb. 02, 2020 | Feb. 03, 2019 | |
Equity [Abstract] | |||
Common Stock, issued (in shares) | 1,786 | 1,782 | 1,780 |
Shares issued under employee stock plans (in shares) | 3 | 4 | 2 |
Common Stock, issued (in shares) | 1,789 | 1,786 | 1,782 |
Treasury Stock, shares (in shares) | (709) | (677) | (622) |
Repurchases of common stock (in shares) | (3) | (32) | (55) |
Treasury Stock, shares (in shares) | (712) | (709) | (677) |
Common Stock, shares outstanding (in shares) | 1,077 | 1,077 | 1,105 |
Cash dividends, per share (in dollars per share) | $ 6 | $ 5.44 | $ 4.12 |
Stockholders' Equity (Accelerat
Stockholders' Equity (Accelerated Share Repurchases) (Details) - USD ($) shares in Millions, $ in Millions | Aug. 15, 2018 | May 17, 2018 | Jan. 29, 2019 | Nov. 18, 2019 | Nov. 03, 2019 | Jul. 29, 2018 | Apr. 29, 2018 | Aug. 15, 2018 | May 17, 2018 | Jan. 31, 2021 | Feb. 02, 2020 | Feb. 03, 2019 |
Accelerated Share Repurchases [Line Items] | ||||||||||||
Cash paid for repurchases of common stock | $ 791 | $ 6,965 | $ 9,963 | |||||||||
Repurchases of common stock through accelerated share agreements (in shares) | 3 | 32 | 55 | |||||||||
Q2 Accelerated Share Repurchase Agreement | ||||||||||||
Accelerated Share Repurchases [Line Items] | ||||||||||||
Cash paid for repurchases of common stock | $ 1,600 | |||||||||||
Repurchases of common stock through accelerated share agreements (in shares) | 1 | 7.1 | 8.1 | |||||||||
Q3 Accelerated Share Repurchase Agreement | ||||||||||||
Accelerated Share Repurchases [Line Items] | ||||||||||||
Cash paid for repurchases of common stock | $ 820 | |||||||||||
Repurchases of common stock through accelerated share agreements (in shares) | 0.4 | 3.6 | 3.2 | |||||||||
Q1 Accelerated Share Repurchase Agreement | ||||||||||||
Accelerated Share Repurchases [Line Items] | ||||||||||||
Cash paid for repurchases of common stock | $ 750 | |||||||||||
Repurchases of common stock through accelerated share agreements (in shares) | 0.8 | 3.4 | 4.2 |
Fair Value Measurements (Assets
Fair Value Measurements (Assets and Liabilities Measured at Fair Value on a Recurring Basis) (Details) - Fair Value, Recurring - USD ($) $ in Millions | Jan. 31, 2021 | Feb. 02, 2020 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis[Line Items] | ||
Derivative agreements – assets | $ 0 | $ 0 |
Derivative agreements – liabilities | 0 | 0 |
Total | 0 | 0 |
Significant Observable Inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis[Line Items] | ||
Derivative agreements – assets | 172 | 133 |
Derivative agreements – liabilities | (71) | 0 |
Total | 101 | 133 |
Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis[Line Items] | ||
Derivative agreements – assets | 0 | 0 |
Derivative agreements – liabilities | 0 | 0 |
Total | $ 0 | $ 0 |
Fair Value Measurements (Liabil
Fair Value Measurements (Liabilities Measured at Fair Value on a Recurring and Nonrecurring Basis) (Details) - USD ($) $ in Millions | Jan. 31, 2021 | Feb. 02, 2020 |
Fair Value, Assets and Liabilities Measured on Non-Recurring Basis[Line Items] | ||
Carrying value of senior notes | $ 34,472 | $ 29,344 |
Fair Value, Nonrecurring | Fair Value (Level 1) | Senior Loans | ||
Fair Value, Assets and Liabilities Measured on Non-Recurring Basis[Line Items] | ||
Fair value of senior notes | $ 41,289 | $ 34,102 |
Stock-based Compensation (Narra
Stock-based Compensation (Narrative) (Details) $ in Millions | 12 Months Ended | ||
Jan. 31, 2021USD ($)yearOldshares | Feb. 02, 2020USD ($)shares | Feb. 03, 2019USD ($) | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Number of employee stock purchase plans | 2 | ||
Weighted average period over which unrecognized compensation will be recognized | 2 years | ||
2005 Plan | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Common stock authorized (in shares) | 255,000,000 | ||
Reduction in number of shares available for Issuance (in shares) | 2.11 | ||
Shares available for future grants | 120,000,000 | ||
Stock Options | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Award vesting rights, percentage | 25.00% | ||
Age at which award becomes non-forfeitable | yearOld | 60 | ||
Award requisite service period | 5 years | ||
Intrinsic value of option exercises in period | $ | $ 217 | $ 241 | $ 138 |
Share-based compensation arrangement by share-based payment award, number of options outstanding | 4,350,000 | 5,212,000 | |
Restricted Stock | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Age at which award becomes non-forfeitable | yearOld | 60 | ||
Share-based compensation arrangement by share-based payment award, maximum period of restrictions lapse | 5 years | ||
Percentage at which restricted stock lapse upon third and sixth anniversaries of date of issuance | 25.00% | ||
Remaining percentage of the restricted stock lapsing upon the associate's attainment of age sixty two | 50.00% | ||
Age when remaining stock lapses | yearOld | 62 | ||
Award requisite service period | 5 years | ||
Share-based compensation performance cycle period | 3 years | ||
Restricted Stock Units (RSUs) | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Conversion of Stock, Shares Converted | 1 |
Stock-based Compensation (Stock
Stock-based Compensation (Stock Options) (Details) - Stock Options - USD ($) $ / shares in Units, shares in Thousands, $ in Millions | 12 Months Ended | ||
Jan. 31, 2021 | Feb. 02, 2020 | Feb. 03, 2019 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Intrinsic value of option exercises in period | $ 217 | $ 241 | $ 138 |
Stock options exercisable | 2,677 | ||
Intrinsic value of options outstanding | $ 615 | ||
Intrinsic value of options exercisable | $ 454 | ||
Weighted average remaining life of stock options outstanding | 5 years | ||
Weighted average remaining life of stock options exercisable | 4 years | ||
Weighted average exercise price of options exercisable | $ 101.08 | ||
Stock options outstanding: | |||
Number of shares, beginning balance | 5,212 | ||
Granted | 422 | ||
Exercised | (1,258) | ||
Forfeited | (26) | ||
Number of shares, ending balance | 4,350 | 5,212 | |
Weighted average exercise price, beginning balance | $ 111.54 | ||
Weighted average exercise price, grants | 193.84 | ||
Weighted average exercise price, exercised | 75.83 | ||
Weighted average exercise price, forfeited | 169.40 | ||
Weighted average exercise price, ending balance | $ 129.50 | $ 111.54 |
Stock-based Compensation (Fair
Stock-based Compensation (Fair Value Assumptions and Methodology) (Details) - $ / shares | 12 Months Ended | ||
Jan. 31, 2021 | Feb. 02, 2020 | Feb. 03, 2019 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Per share weighted average fair value | $ 36.77 | $ 27.33 | $ 32.28 |
Risk-free interest rate | 0.60% | 2.20% | 2.70% |
Assumed volatility | 29.90% | 19.80% | 21.30% |
Assumed dividend yield | 3.10% | 2.90% | 2.30% |
Assumed lives of options | 6 years | 5 years | 5 years |
Stock-based Compensation (Restr
Stock-based Compensation (Restricted Stock and Performance Shares) (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Millions | 12 Months Ended | ||
Jan. 31, 2021 | Feb. 02, 2020 | Feb. 03, 2019 | |
Restricted stock and performance shares outstanding: | |||
Number of shares, beginning balance | 3,975 | ||
Granted | 1,803 | ||
Vested | (1,506) | ||
Forfeited | (174) | ||
Number of shares, ending balance | 4,098 | 3,975 | |
Weighted average grant date fair value, beginning balance | $ 170.58 | ||
Weighted average grant date fair value, granted | 181.75 | ||
Weighted average grant date fair value, vested | 155.14 | ||
Weighted average grant date fair value, forfeited | 177.71 | ||
Weighted average grant date fair value, ending balance | $ 180.87 | $ 170.58 | |
Pre-tax stock-based compensation expense | $ 310 | $ 251 | $ 282 |
Income tax benefit | (58) | (49) | (49) |
After-tax stock-based compensation expense | 252 | 202 | 233 |
Share-based compensation arrangement by share-based payment award, equity instruments other than options, vested in period, fair value | 271 | $ 303 | $ 367 |
Share-based payment arrangement, nonvested award, excluding option, cost not yet recognized, amount | $ 427 | ||
Weighted average period over which unrecognized compensation will be recognized | 2 years |
Stock-based Compensation (Defer
Stock-based Compensation (Deferred Compensation Arrangements) (Narrative) (Details) | 12 Months Ended |
Jan. 31, 2021yearOldshares | |
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | |
Number of shares of common stock each deferred share entitled to | shares | 1 |
Restricted Stock Units (RSUs) | |
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | |
Age at which award becomes non-forfeitable | yearOld | 60 |
Award requisite service period | 5 years |
Stock-based Compensation (Def_2
Stock-based Compensation (Deferred Compensation Arrangements) (Details) - shares | 12 Months Ended | ||
Jan. 31, 2021 | Feb. 02, 2020 | Feb. 03, 2019 | |
Deferred Compensation, Share-based Payments | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Deferred shares granted to non-employee directors | 18,000 | 22,000 | 26,000 |
Stock-based Compensation (Emplo
Stock-based Compensation (Employee Stock Purchase Plan) (Narrative) (Details) $ / shares in Units, shares in Millions, $ in Millions | 12 Months Ended |
Jan. 31, 2021USD ($)$ / sharesshares | |
ESPP Disclosures [Line Items] | |
Number of employee stock purchase plans | 2 |
Purchase price of shares under ESPP in relation to FMV of stock | 85.00% |
Purchase period | 6 months |
Shares purchased | 1 |
Employee stock purchase plan (ESPP), weighted average purchase price of shares purchased | $ / shares | $ 219.49 |
Employee stock purchase plan (ESPP), cash contributions to ESPP | $ | $ 21 |
Non U.S. ESPP Plan | |
ESPP Disclosures [Line Items] | |
Shares available for future grants | 19 |
U.S. ESPP Plan | |
ESPP Disclosures [Line Items] | |
Shares available for future grants | 17 |
Employee Benefit Plans (Details
Employee Benefit Plans (Details) - USD ($) shares in Millions, $ in Millions | 12 Months Ended | ||
Jan. 31, 2021 | Feb. 02, 2020 | Feb. 03, 2019 | |
Retirement Benefits [Abstract] | |||
Defined contribution plan, cost | $ 267 | $ 213 | $ 211 |
Common stock shares held in trust for plan participants | 5.8 |
Weighted Average Common Share_2
Weighted Average Common Shares (Reconciliation of Basic to Diluted Weighted Average Common Shares) (Details) - shares shares in Millions | 12 Months Ended | ||
Jan. 31, 2021 | Feb. 02, 2020 | Feb. 03, 2019 | |
Reconciliation of Basic to Diluted Weighted Average Common Shares: | |||
Basic weighted average common shares | 1,074 | 1,093 | 1,137 |
Effect of potentially dilutive securities | 4 | 4 | 6 |
Diluted weighted average common shares | 1,078 | 1,097 | 1,143 |
Weighted Average Common Share_3
Weighted Average Common Shares (Schedule of Antidilutive Securities From Computation Of Earnings Per Share) (Details) - shares shares in Millions | 12 Months Ended | ||
Jan. 31, 2021 | Feb. 02, 2020 | Feb. 03, 2019 | |
Stock Options | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Effect of anti-dilutive securities excluded from diluted weighted average common shares | 0 | 0 | 0 |
Commitments and Contingencies (
Commitments and Contingencies (Letters of Credit) (Narrative) (Details) $ in Millions | Jan. 31, 2021USD ($) |
Other Liabilities, Unclassified [Abstract] | |
Outstanding letters of credit | $ 510 |
HD Supply Acquisition - Narrati
HD Supply Acquisition - Narrative (Details) - HD Holdings Inc - USD ($) $ / shares in Units, $ in Millions | Dec. 24, 2020 | Nov. 16, 2020 |
Business Acquisition [Line Items] | ||
Share price (in usd per share) | $ 56 | |
Acquisition-related costs | $ 110 | |
Remaining post-combination expense | $ 56 |
HD Supply Acquisition - Purchas
HD Supply Acquisition - Purchase Price Consideration (Details) - HD Holdings Inc $ in Millions | Dec. 24, 2020USD ($) |
Business Acquisition [Line Items] | |
Total cash consideration for outstanding shares | $ 8,637 |
Value of share-based awards attributed to services already rendered | 55 |
Total purchase consideration | 8,692 |
Cash settlements of awards | 111 |
Remaining post-combination expense | 56 |
Selling, General and Administrative Expenses | |
Business Acquisition [Line Items] | |
Remaining post-combination expense | $ 56 |
HD Supply Acquisition - Fair Va
HD Supply Acquisition - Fair Values of Assets and Liabilities Acquired (Details) - USD ($) $ in Millions | Jan. 31, 2021 | Dec. 24, 2020 | Feb. 02, 2020 | Feb. 03, 2019 |
Business Acquisition [Line Items] | ||||
Goodwill | $ 7,126 | $ 2,254 | $ 2,252 | |
HD Holdings Inc | ||||
Business Acquisition [Line Items] | ||||
Cash | $ 912 | |||
Other current assets | 879 | |||
Goodwill | 4,870 | |||
Other assets | 3,943 | |||
Total assets acquired | 10,604 | |||
Current liabilities | 801 | |||
Long-term liabilities | 1,111 | |||
Total liabilities assumed | 1,912 | |||
Intangible assets | 3,300 | |||
Deferred tax liabilities | $ 836 |
HD Supply Acquisition - Estimat
HD Supply Acquisition - Estimated Fair value and Estimated Remaining Useful Life of Identifiable Intangible Assets (Details) - HD Holdings Inc $ in Millions | Dec. 24, 2020USD ($) |
Acquired Finite and Indefinite-Lived Intangible Assets [Line Items] | |
Identifiable intangible assets | $ 3,300 |
Trade Names | |
Acquired Finite and Indefinite-Lived Intangible Assets [Line Items] | |
Preliminary Fair Value | $ 520 |
Customer Relationships | |
Acquired Finite and Indefinite-Lived Intangible Assets [Line Items] | |
Useful Life (Years) | 19 years |
Preliminary Fair Value | $ 2,630 |
Trade Names | |
Acquired Finite and Indefinite-Lived Intangible Assets [Line Items] | |
Useful Life (Years) | 20 years |
Preliminary Fair Value | $ 150 |