Cover Page
Cover Page - shares | 3 Months Ended | |
May 02, 2021 | May 18, 2021 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | May 2, 2021 | |
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, $0.05 Par Value Per Share | |
Trading Symbol | HD | |
Security Exchange Name | NYSE | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 1,063,258,434 | |
Entity Central Index Key | 0000354950 | |
Current Fiscal Year End Date | --01-30 | |
Document Fiscal Year Focus | 2021 | |
Document Fiscal Period Focus | Q1 | |
Amendment Flag | false |
Consolidated Balance Sheets (Un
Consolidated Balance Sheets (Unaudited) - USD ($) $ in Millions | May 02, 2021 | Jan. 31, 2021 |
Current assets: | ||
Cash and cash equivalents | $ 6,648 | $ 7,895 |
Receivables, net | 3,624 | 2,992 |
Merchandise inventories | 19,178 | 16,627 |
Other current assets | 1,222 | 963 |
Total current assets | 30,672 | 28,477 |
Net property and equipment | 24,673 | 24,705 |
Operating lease right-of-use assets | 5,864 | 5,962 |
Goodwill | 7,137 | 7,126 |
Other assets | 4,221 | 4,311 |
Total assets | 72,567 | 70,581 |
Current liabilities: | ||
Accounts payable | 14,494 | 11,606 |
Accrued salaries and related expenses | 2,167 | 2,463 |
Sales taxes payable | 1,149 | 774 |
Deferred revenue | 3,415 | 2,823 |
Current installments of long-term debt | 1,164 | 1,416 |
Current operating lease liabilities | 803 | 828 |
Other accrued expenses | 4,566 | 3,256 |
Total current liabilities | 27,758 | 23,166 |
Long-term debt, excluding current installments | 34,697 | 35,822 |
Long-term operating lease liabilities | 5,279 | 5,356 |
Other long-term liabilities | 3,085 | 2,938 |
Total liabilities | 70,819 | 67,282 |
Common stock, par value $0.05; authorized: 10,000 shares; issued: 1,790 shares at May 2, 2021 and 1,789 shares at January 31, 2021; outstanding: 1,065 shares at May 2, 2021 and 1,077 shares at January 31, 2021 | 90 | 89 |
Paid-in capital | 11,555 | 11,540 |
Retained earnings | 60,504 | 58,134 |
Accumulated other comprehensive loss | (608) | (671) |
Treasury stock, at cost, 725 shares at May 2, 2021 and 712 shares at January 31, 2021 | (69,793) | (65,793) |
Total stockholders’ equity | 1,748 | 3,299 |
Total liabilities and stockholders’ equity | $ 72,567 | $ 70,581 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - $ / shares shares in Millions | May 02, 2021 | Jan. 31, 2021 |
Statement of Financial Position [Abstract] | ||
Common stock, par value (in dollars per share) | $ 0.05 | $ 0.05 |
Common stock, shares authorized (in shares) | 10,000 | 10,000 |
Common stock, shares, issued (in shares) | 1,790 | 1,789 |
Common stock, shares outstanding (in shares) | 1,065 | 1,077 |
Treasury stock, shares (in shares) | 725 | 712 |
Consolidated Statements of Earn
Consolidated Statements of Earnings (Unaudited) - USD ($) shares in Millions, $ in Millions | 3 Months Ended | |
May 02, 2021 | May 03, 2020 | |
Income Statement [Abstract] | ||
Net sales | $ 37,500 | $ 28,260 |
Cost of sales | 24,758 | 18,635 |
Gross profit | 12,742 | 9,625 |
Operating expenses: | ||
Selling, general and administrative | 6,374 | 5,829 |
Depreciation and amortization | 587 | 520 |
Total operating expenses | 6,961 | 6,349 |
Operating income | 5,781 | 3,276 |
Interest and other (income) expense: | ||
Interest and investment income | (6) | (17) |
Interest expense | 339 | 324 |
Interest and other, net | 333 | 307 |
Earnings before provision for income taxes | 5,448 | 2,969 |
Provision for income taxes | 1,303 | 724 |
Net earnings | $ 4,145 | $ 2,245 |
Basic weighted average common shares (in shares) | 1,071 | 1,073 |
Basic earnings per share (in dollars per share) | $ 3.87 | $ 2.09 |
Diluted weighted average common shares (in shares) | 1,075 | 1,077 |
Diluted earnings per share (in dollars per share) | $ 3.86 | $ 2.08 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income (Unaudited) - USD ($) $ in Millions | 3 Months Ended | |
May 02, 2021 | May 03, 2020 | |
Statement of Comprehensive Income [Abstract] | ||
Net earnings | $ 4,145 | $ 2,245 |
Other comprehensive income (loss), net of tax: | ||
Foreign currency translation adjustments | 34 | (419) |
Cash flow hedges | 2 | 0 |
Other | 27 | 10 |
Total other comprehensive income (loss) | 63 | (409) |
Comprehensive income | $ 4,208 | $ 1,836 |
Consolidated Statements of Stoc
Consolidated Statements of Stockholders' Equity (Unaudited) - USD ($) $ in Millions | Total | Common Stock | Paid-in Capital | Retained Earnings | Accumulated Other Comprehensive Income (Loss) | Treasury Stock |
Balance at beginning of period at Feb. 02, 2020 | $ 89 | $ 11,001 | $ 51,729 | $ (739) | $ (65,196) | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Shares issued under employee stock plans | (71) | |||||
Stock-based compensation expense | 78 | |||||
Net earnings | $ 2,245 | 2,245 | ||||
Cash dividends | (1,611) | |||||
Other | (9) | |||||
Foreign currency translation adjustments, net of tax | (419) | |||||
Cash flow hedges, net of tax | 0 | |||||
Other, net of tax | 10 | 10 | ||||
Repurchases of common stock | (597) | |||||
Balance at end of period at May. 03, 2020 | (3,490) | 89 | 11,008 | 52,354 | (1,148) | (65,793) |
Balance at beginning of period at Jan. 31, 2021 | 3,299 | 89 | 11,540 | 58,134 | (671) | (65,793) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Shares issued under employee stock plans | 1 | (117) | ||||
Stock-based compensation expense | 132 | |||||
Net earnings | 4,145 | 4,145 | ||||
Cash dividends | (1,775) | |||||
Foreign currency translation adjustments, net of tax | 34 | |||||
Cash flow hedges, net of tax | 2 | 2 | ||||
Other, net of tax | 27 | 27 | ||||
Repurchases of common stock | (4,000) | |||||
Balance at end of period at May. 02, 2021 | $ 1,748 | $ 90 | $ 11,555 | $ 60,504 | $ (608) | $ (69,793) |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Millions | 3 Months Ended | |
May 02, 2021 | May 03, 2020 | |
Cash Flows from Operating Activities: | ||
Net earnings | $ 4,145 | $ 2,245 |
Reconciliation of net earnings to net cash provided by operating activities: | ||
Depreciation and amortization | 703 | 607 |
Stock-based compensation expense | 146 | 88 |
Changes in receivables, net | (640) | (534) |
Changes in merchandise inventories | (2,519) | (633) |
Changes in other current assets | (277) | 62 |
Changes in accounts payable and accrued expenses | 3,013 | 3,274 |
Changes in deferred revenue | 586 | 71 |
Changes in income taxes payable | 1,138 | 594 |
Changes in deferred income taxes | (87) | (68) |
Other operating activities | 102 | 31 |
Net cash provided by operating activities | 6,310 | 5,737 |
Cash Flows from Investing Activities: | ||
Capital expenditures | (524) | (586) |
Other investing activities | (4) | 8 |
Net cash used in investing activities | (528) | (578) |
Cash Flows from Financing Activities: | ||
Repayments of short-term debt, net | 0 | (974) |
Proceeds from long-term debt, net of discounts and premiums | 0 | 4,960 |
Repayments of long-term debt | (1,390) | (27) |
Repurchases of common stock | (3,788) | (791) |
Proceeds from sales of common stock | 13 | 18 |
Cash dividends | (1,775) | (1,611) |
Other financing activities | (130) | (125) |
Net cash (used in) provided by financing activities | (7,070) | 1,450 |
Change in cash and cash equivalents | (1,288) | 6,609 |
Effect of exchange rate changes on cash and cash equivalents | 41 | (46) |
Cash and cash equivalents at beginning of period | 7,895 | 2,133 |
Cash and cash equivalents at end of period | 6,648 | 8,696 |
Supplemental Disclosures: | ||
Cash paid for interest, net of interest capitalized | 382 | 338 |
Cash paid for income taxes | $ 226 | $ 59 |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 3 Months Ended |
May 02, 2021 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Basis of Presentation The accompanying consolidated financial statements of The Home Depot, Inc. and its subsidiaries (the "Company," "Home Depot," "we," "our" or "us") have been prepared in accordance with the instructions to Form 10-Q and do not include all of the information and footnotes required by GAAP for complete financial statements. In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation have been included. Results of operations for interim periods are not necessarily indicative of results for the entire year. As a result, these consolidated financial statements should be read in conjunction with the consolidated financial statements and notes thereto included in our 2020 Form 10-K. There were no significant changes to our significant accounting policies as disclosed in the 2020 Form 10-K. Recently Adopted Accounting Pronouncements 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. On February 1, 2021, we adopted ASU No. 2019-12 with no material impact to our consolidated financial condition, results of operations or cash flows. Recently Issued Accounting Pronouncements Recent accounting pronouncements pending adoption not discussed above or in the 2020 Form 10-K are either not applicable or will not have or are not expected to have a material impact on our consolidated financial condition, results of operations or cash flows. |
Net Sales
Net Sales | 3 Months Ended |
May 02, 2021 | |
Revenue from Contract with Customer [Abstract] | |
Net Sales | NET SALES Net Sales No sales to an individual customer accounted for more than 10% of our net sales during the three months ended May 2, 2021 or May 3, 2020. The following table presents net sales, classified by geography: Three Months Ended in millions May 2, May 3, Net sales – in the U.S. $ 34,717 $ 26,418 Net sales – outside the U.S. 2,783 1,842 Net sales $ 37,500 $ 28,260 The following table presents net sales by products and services: Three Months Ended in millions May 2, May 3, Net sales – products $ 36,271 $ 27,305 Net sales – services 1,229 955 Net sales $ 37,500 $ 28,260 The following table presents major product lines and the related merchandising departments (and related services): 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 The following table presents net sales by major product lines (and related services): Three Months Ended in millions May 2, May 3, Building Materials $ 13,660 $ 9,816 Décor 11,882 9,306 Hardlines 11,958 9,138 Net sales $ 37,500 $ 28,260 Deferred Revenue 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 May 2, 2021 and January 31, 2021, deferred revenue for products and services was $2.5 billion and $1.9 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 May 2, 2021 and January 31, 2021, our performance obligations for unredeemed gift cards were $793 million and $839 million, respectively. Gift card breakage income, which is our estimate of the portion of our gift card balance not expected to be redeemed, was immaterial during the three months ended May 2, 2021 and May 3, 2020. |
Property and Leases
Property and Leases | 3 Months Ended |
May 02, 2021 | |
Leases [Abstract] | |
Property and Leases | PROPERTY AND LEASES Net Property and Equipment Net property and equipment includes accumulated depreciation and amortization of $24.7 billion as of May 2, 2021 and $24.1 billion as of January 31, 2021. Leases The following table presents the consolidated balance sheet location of assets and liabilities related to operating and finance leases: in millions Consolidated Balance Sheet Caption May 2, January 31, Assets: Operating lease assets Operating lease right-of-use assets $ 5,864 $ 5,962 Finance lease assets (1) Net property and equipment 2,636 2,493 Total lease assets $ 8,500 $ 8,455 Liabilities: Current: Operating lease liabilities Current operating lease liabilities $ 803 $ 828 Finance lease liabilities Current installments of long-term debt 165 66 Long-term: Operating lease liabilities Long-term operating lease liabilities 5,279 5,356 Finance lease liabilities Long-term debt, excluding current installments 2,753 2,700 Total lease liabilities $ 9,000 $ 8,950 ————— (1) Finance lease assets are recorded net of accumulated amortization of $871 million as of May 2, 2021 and $815 million as of January 31, 2021. The following table presents supplemental non-cash information related to leases: Three Months Ended in millions May 2, May 3, Lease assets obtained in exchange for new operating lease liabilities $ 164 $ 294 Lease assets obtained in exchange for new finance lease liabilities 200 306 |
Property and Leases | PROPERTY AND LEASES Net Property and Equipment Net property and equipment includes accumulated depreciation and amortization of $24.7 billion as of May 2, 2021 and $24.1 billion as of January 31, 2021. Leases The following table presents the consolidated balance sheet location of assets and liabilities related to operating and finance leases: in millions Consolidated Balance Sheet Caption May 2, January 31, Assets: Operating lease assets Operating lease right-of-use assets $ 5,864 $ 5,962 Finance lease assets (1) Net property and equipment 2,636 2,493 Total lease assets $ 8,500 $ 8,455 Liabilities: Current: Operating lease liabilities Current operating lease liabilities $ 803 $ 828 Finance lease liabilities Current installments of long-term debt 165 66 Long-term: Operating lease liabilities Long-term operating lease liabilities 5,279 5,356 Finance lease liabilities Long-term debt, excluding current installments 2,753 2,700 Total lease liabilities $ 9,000 $ 8,950 ————— (1) Finance lease assets are recorded net of accumulated amortization of $871 million as of May 2, 2021 and $815 million as of January 31, 2021. The following table presents supplemental non-cash information related to leases: Three Months Ended in millions May 2, May 3, Lease assets obtained in exchange for new operating lease liabilities $ 164 $ 294 Lease assets obtained in exchange for new finance lease liabilities 200 306 |
Stockholders' Equity
Stockholders' Equity | 3 Months Ended |
May 02, 2021 | |
Equity [Abstract] | |
Stockholders' Equity | STOCKHOLDERS' EQUITY Stock Rollforward The following table presents a reconciliation of the number of shares of our common stock and cash dividends per share: shares in millions Three Months Ended May 2, May 3, Common stock: Balance at beginning of period 1,789 1,786 Shares issued under employee stock plans 1 2 Balance at end of period 1,790 1,788 Treasury stock: Balance at beginning of period (712) (709) Repurchases of common stock (13) (3) Balance at end of period (725) (712) Shares outstanding at end of period 1,065 1,076 Cash dividends per share $ 1.65 $ 1.50 Share Repurchases In February 2019, our Board of Directors authorized $15.0 billion in share repurchases, of which approximately $3.7 billion remained available as of May 2, 2021. In May 2021, our Board of Directors approved a $20.0 billion share repurchase authorization that replaced the February 2019 authorization. This new authorization does not have a prescribed expiration date. In March 2020, we suspended our share repurchases to enhance our liquidity position during the COVID-19 pandemic. We resumed share repurchases in the first quarter of fiscal 2021 and repurchased 13 million shares of our common stock for $4.0 billion through open market purchases. In the first quarter of fiscal 2020, we repurchased 3 million shares of our common stock for $597 million through open market purchases prior to the suspension of share repurchases. These amounts may differ from the repurchases of common stock amounts in the consolidated statements of cash flows due to unsettled share repurchases at the end of a period. |
Fair Value Measurements
Fair Value Measurements | 3 Months Ended |
May 02, 2021 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | FAIR VALUE MEASUREMENTS The 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 The following table presents the assets and liabilities that are measured at fair value on a recurring basis: Fair Value at May 2, 2021 Using Fair Value at January 31, 2021 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 $ — $ 117 $ — $ — $ 172 $ — Derivative agreements – liabilities — (200) — — (71) — Total $ — $ (83) $ — $ — $ 101 $ — 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 Long-lived assets, goodwill, and other intangible assets are subject to nonrecurring fair value measurement for the assessment of impairment. We did not have any material assets or liabilities that were measured at fair value on a nonrecurring basis as of May 2, 2021 or January 31, 2021. Other Fair Value Disclosures The carrying amounts of cash and cash equivalents, receivables, and accounts payable approximate fair value due to the short-term maturities of these financial instruments. The following table presents the aggregate fair values and carrying values of our senior notes: May 2, January 31, in millions Fair Value Carrying Fair Value Carrying Senior notes $ 37,864 $ 32,943 $ 41,289 $ 34,472 |
Weighted Average Common Shares
Weighted Average Common Shares | 3 Months Ended |
May 02, 2021 | |
Earnings Per Share [Abstract] | |
Weighted Average Common Shares | WEIGHTED AVERAGE COMMON SHARES The following table presents the reconciliation of our basic to diluted weighted average common shares: Three Months Ended in millions May 2, May 3, Basic weighted average common shares 1,071 1,073 Effect of potentially dilutive securities 4 4 Diluted weighted average common shares 1,075 1,077 Anti-dilutive securities excluded from diluted weighted average common shares — — |
Commitments and Contingencies
Commitments and Contingencies | 3 Months Ended |
May 02, 2021 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | COMMITMENTS AND CONTINGENCIESWe 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 | 3 Months Ended |
May 02, 2021 | |
Business Combinations [Abstract] | |
HD Supply Acquisition | HD SUPPLY ACQUISITION On December 24, 2020, we completed the acquisition of HD Supply for total purchase consideration of $8.7 billion. HD Supply is a leading national distributor of MRO products in the multifamily and hospitality end markets. The acquisition was funded through cash on hand, a portion of which was replaced with the proceeds from our issuance of $3.0 billion of senior notes in January 2021. 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. There were no material adjustments to our preliminary purchase price allocation recognized during the first quarter of fiscal 2021. 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 to one year from the acquisition date as permitted under GAAP. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 3 Months Ended |
May 02, 2021 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation The accompanying consolidated financial statements of The Home Depot, Inc. and its subsidiaries (the "Company," "Home Depot," "we," "our" or "us") have been prepared in accordance with the instructions to Form 10-Q and do not include all of the information and footnotes required by GAAP for complete financial statements. In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation have been included. Results of operations for interim periods are not necessarily indicative of results for the entire year. As a result, these consolidated financial statements should be read in conjunction with the consolidated financial statements and notes thereto included in our 2020 Form 10-K. |
Recently Adopted and Issued Accounting Pronouncements | Recently Adopted Accounting Pronouncements 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. On February 1, 2021, we adopted ASU No. 2019-12 with no material impact to our consolidated financial condition, results of operations or cash flows. Recently Issued Accounting Pronouncements Recent accounting pronouncements pending adoption not discussed above or in the 2020 Form 10-K are either not applicable or will not have or are not expected to have a material impact on our consolidated financial condition, results of operations or cash flows. |
Net Sales (Tables)
Net Sales (Tables) | 3 Months Ended |
May 02, 2021 | |
Revenue from Contract with Customer [Abstract] | |
Summary of net sales, classified by geography | The following table presents net sales, classified by geography: Three Months Ended in millions May 2, May 3, Net sales – in the U.S. $ 34,717 $ 26,418 Net sales – outside the U.S. 2,783 1,842 Net sales $ 37,500 $ 28,260 |
Summary of net sales by products and services | The following table presents net sales by products and services: Three Months Ended in millions May 2, May 3, Net sales – products $ 36,271 $ 27,305 Net sales – services 1,229 955 Net sales $ 37,500 $ 28,260 |
Summary of net sales by major product line | The following table presents major product lines and the related merchandising departments (and related services): 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 The following table presents net sales by major product lines (and related services): Three Months Ended in millions May 2, May 3, Building Materials $ 13,660 $ 9,816 Décor 11,882 9,306 Hardlines 11,958 9,138 Net sales $ 37,500 $ 28,260 |
Property and Leases (Tables)
Property and Leases (Tables) | 3 Months Ended |
May 02, 2021 | |
Leases [Abstract] | |
Schedule of assets and liabilities related to operating and finance leases | The following table presents the consolidated balance sheet location of assets and liabilities related to operating and finance leases: in millions Consolidated Balance Sheet Caption May 2, January 31, Assets: Operating lease assets Operating lease right-of-use assets $ 5,864 $ 5,962 Finance lease assets (1) Net property and equipment 2,636 2,493 Total lease assets $ 8,500 $ 8,455 Liabilities: Current: Operating lease liabilities Current operating lease liabilities $ 803 $ 828 Finance lease liabilities Current installments of long-term debt 165 66 Long-term: Operating lease liabilities Long-term operating lease liabilities 5,279 5,356 Finance lease liabilities Long-term debt, excluding current installments 2,753 2,700 Total lease liabilities $ 9,000 $ 8,950 ————— |
Schedule of Cash Flow, Supplemental Disclosures | The following table presents supplemental non-cash information related to leases: Three Months Ended in millions May 2, May 3, Lease assets obtained in exchange for new operating lease liabilities $ 164 $ 294 Lease assets obtained in exchange for new finance lease liabilities 200 306 |
Stockholders' Equity (Tables)
Stockholders' Equity (Tables) | 3 Months Ended |
May 02, 2021 | |
Equity [Abstract] | |
Reconciliation of the number of shares of common stock and dividends per share | The following table presents a reconciliation of the number of shares of our common stock and cash dividends per share: shares in millions Three Months Ended May 2, May 3, Common stock: Balance at beginning of period 1,789 1,786 Shares issued under employee stock plans 1 2 Balance at end of period 1,790 1,788 Treasury stock: Balance at beginning of period (712) (709) Repurchases of common stock (13) (3) Balance at end of period (725) (712) Shares outstanding at end of period 1,065 1,076 Cash dividends per share $ 1.65 $ 1.50 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 3 Months Ended |
May 02, 2021 | |
Fair Value Disclosures [Abstract] | |
Assets and liabilities measured at fair value on a recurring basis | The following table presents the assets and liabilities that are measured at fair value on a recurring basis: Fair Value at May 2, 2021 Using Fair Value at January 31, 2021 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 $ — $ 117 $ — $ — $ 172 $ — Derivative agreements – liabilities — (200) — — (71) — Total $ — $ (83) $ — $ — $ 101 $ — |
Assets and liabilities measured at fair value on a nonrecurring basis | The following table presents the aggregate fair values and carrying values of our senior notes: May 2, January 31, in millions Fair Value Carrying Fair Value Carrying Senior notes $ 37,864 $ 32,943 $ 41,289 $ 34,472 |
Weighted Average Common Shares
Weighted Average Common Shares (Tables) | 3 Months Ended |
May 02, 2021 | |
Earnings Per Share [Abstract] | |
Schedule of weighted average number of shares | The following table presents the reconciliation of our basic to diluted weighted average common shares: Three Months Ended in millions May 2, May 3, Basic weighted average common shares 1,071 1,073 Effect of potentially dilutive securities 4 4 Diluted weighted average common shares 1,075 1,077 Anti-dilutive securities excluded from diluted weighted average common shares — — |
Net Sales (Details)
Net Sales (Details) - USD ($) $ in Millions | 3 Months Ended | |
May 02, 2021 | May 03, 2020 | |
Disaggregation of Revenue [Line Items] | ||
Net sales | $ 37,500 | $ 28,260 |
Products | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 36,271 | 27,305 |
Services | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 1,229 | 955 |
Building Materials | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 13,660 | 9,816 |
Décor | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 11,882 | 9,306 |
Hardlines | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 11,958 | 9,138 |
In the U.S. | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 34,717 | 26,418 |
Outside the U.S. | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | $ 2,783 | $ 1,842 |
Net Sales - Narrative (Details)
Net Sales - Narrative (Details) - USD ($) $ in Millions | 3 Months Ended | |
May 02, 2021 | Jan. 31, 2021 | |
Revenue from Contract with Customer [Abstract] | ||
Deferred revenue | $ 2,500 | $ 1,900 |
General redemption period | 6 months | |
Gift card performance obligations | $ 793 | $ 839 |
Property and Leases - Narrative
Property and Leases - Narrative (Details) - USD ($) $ in Billions | May 02, 2021 | Jan. 31, 2021 |
Leases [Abstract] | ||
Accumulated depreciation and amortization | $ 24.7 | $ 24.1 |
Property and Leases - Schedule
Property and Leases - Schedule of assets and liabilities related to operating and finance leases (Details) - USD ($) $ in Millions | May 02, 2021 | Jan. 31, 2021 |
Assets | ||
Operating lease assets | $ 5,864 | $ 5,962 |
Finance lease assets | 2,636 | 2,493 |
Total lease assets | 8,500 | 8,455 |
Current: | ||
Operating lease liabilities | 803 | 828 |
Finance lease liabilities | 165 | 66 |
Long-term: | ||
Operating lease liabilities | 5,279 | 5,356 |
Finance lease liabilities | 2,753 | 2,700 |
Total lease liabilities | 9,000 | 8,950 |
Finance lease asset accumulated amortization | $ 871 | $ 815 |
Property and Leases - Other Lea
Property and Leases - Other Lease Information (Details) - USD ($) $ in Millions | 3 Months Ended | |
May 02, 2021 | May 03, 2020 | |
Leases [Abstract] | ||
Lease assets obtained in exchange for new operating lease liabilities | $ 164 | $ 294 |
Lease assets obtained in exchange for new finance lease liabilities | $ 200 | $ 306 |
Stockholders' Equity - Schedule
Stockholders' Equity - Schedule of Reconciliation of the Number of Shares of Common Stock and Dividends Per Share (Details) - $ / shares shares in Millions | 3 Months Ended | ||
May 02, 2021 | May 03, 2020 | Jan. 31, 2021 | |
Common stock: | |||
Balance at beginning of period (in shares) | 1,789 | 1,786 | |
Shares issued under employee stock plans (in shares) | 1 | 2 | |
Balance at end of period (in shares) | 1,790 | 1,788 | |
Treasury stock: | |||
Balance at beginning of period (in shares) | (712) | (709) | |
Repurchases of common stock (in shares) | (13) | (3) | |
Balance at end of period (in shares) | (725) | (712) | |
Shares outstanding at end of period (in shares) | 1,065 | 1,076 | 1,077 |
Cash dividends per share (in usd per share) | $ 1.65 | $ 1.50 |
Stockholders' Equity - Narrativ
Stockholders' Equity - Narrative (Details) - USD ($) shares in Millions, $ in Millions | 3 Months Ended | |||
May 02, 2021 | May 03, 2020 | May 20, 2021 | Feb. 28, 2019 | |
2019 Share Repurchase Program | ||||
Equity, Class of Treasury Stock [Line Items] | ||||
Share repurchase amount | $ 15,000 | |||
Remaining authorized repurchase amount | $ 3,700 | |||
Shares repurchased | 13 | 3 | ||
Treasury stock value | $ 4,000 | $ 597 | ||
2021 Share Repurchase Program | Subsequent Event | ||||
Equity, Class of Treasury Stock [Line Items] | ||||
Share repurchase amount | $ 20,000 |
Fair Value Measurements - Asset
Fair Value Measurements - Assets and Liabilities Measured at Fair Value on a Recurring Basis (Details) - Fair value measurements recurring - USD ($) $ in Millions | May 02, 2021 | Jan. 31, 2021 |
Fair value inputs level 1 | ||
Fair Value, Assets and Liabilities Measured on a Recurring Basis [Line Items] | ||
Derivative agreements – assets | $ 0 | $ 0 |
Derivative agreements – liabilities | 0 | 0 |
Total | 0 | 0 |
Fair value inputs level 2 | ||
Fair Value, Assets and Liabilities Measured on a Recurring Basis [Line Items] | ||
Derivative agreements – assets | 117 | 172 |
Derivative agreements – liabilities | (200) | (71) |
Total | (83) | 101 |
Fair value inputs level 3 | ||
Fair Value, Assets and Liabilities Measured on a Recurring Basis [Line Items] | ||
Derivative agreements – assets | 0 | 0 |
Derivative agreements – liabilities | 0 | 0 |
Total | $ 0 | $ 0 |
Fair Value Measurements - Ass_2
Fair Value Measurements - Assets and Liabilities Measured at Fair Value on a Nonrecurring Basis (Details) - USD ($) $ in Millions | May 02, 2021 | Jan. 31, 2021 |
Fair Value, Assets and Liabilities Measured on a Nonrecurring Basis [Line Items] | ||
Carrying value of senior notes | $ 32,943 | $ 34,472 |
Senior notes | Fair Value measurements nonrecurring | Fair value inputs level 1 | ||
Fair Value, Assets and Liabilities Measured on a Nonrecurring Basis [Line Items] | ||
Fair value of senior notes | $ 37,864 | $ 41,289 |
Weighted Average Common Share_2
Weighted Average Common Shares - Reconciliation of Basic to Diluted Weighted Average Common Shares (Details) - shares shares in Millions | 3 Months Ended | |
May 02, 2021 | May 03, 2020 | |
Reconciliation of Basic to Diluted Weighted Average Common Shares: | ||
Basic weighted average common shares (in shares) | 1,071 | 1,073 |
Effect of potentially dilutive securities (in shares) | 4 | 4 |
Diluted weighted average common shares (in shares) | 1,075 | 1,077 |
Anti-dilutive securities excluded from diluted weighted average common shares (in shares) | 0 | 0 |
HD Supply Acquisition (Details)
HD Supply Acquisition (Details) - USD ($) $ in Billions | Dec. 24, 2020 | Jan. 31, 2021 |
Senior notes | ||
Business Acquisition [Line Items] | ||
Proceeds from issuance of long-term debt | $ 3 | |
HD Holdings Inc | ||
Business Acquisition [Line Items] | ||
Consideration transferred | $ 8.7 |