Document And Entity Information
Document And Entity Information - USD ($) | 12 Months Ended | ||
Feb. 01, 2020 | Mar. 09, 2020 | Aug. 03, 2019 | |
Cover [Abstract] | |||
Document Type | 10-K | ||
Document Annual Report | true | ||
Document Transition Report | false | ||
Entity File Number | 0-14678 | ||
Entity Registrant Name | Ross Stores, Inc. | ||
Entity Incorporation, State or Country Code | DE | ||
Entity Tax Identification Number | 94-1390387 | ||
Entity Address, Postal Zip Code | 94568-7579 | ||
City Area Code | (925) | ||
Local Phone Number | 965-4400 | ||
Title of 12(b) Security | Common stock, par value $.01 | ||
Trading Symbol | ROST | ||
Security Exchange Name | NASDAQ | ||
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 | ||
Entity Shell Company | false | ||
Entity Public Float | $ 36,753,366,881 | ||
Entity Common Stock, Shares Outstanding (in shares) | 355,896,821 | ||
Document Fiscal Year Focus | 2019 | ||
Document Fiscal Period Focus | FY | ||
Document Period End Date | Feb. 1, 2020 | ||
Current Fiscal Year End Date | --02-01 | ||
Entity Central Index Key | 0000745732 | ||
Amendment Flag | false | ||
Entity Address, Address Line One | 5130 Hacienda Drive | ||
Entity Address, City or Town | Dublin | ||
Entity Address, State or Province | CA |
Consolidated Statements of Earn
Consolidated Statements of Earnings - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 12 Months Ended | ||||||||||
Feb. 01, 2020 | Nov. 02, 2019 | Aug. 03, 2019 | May 04, 2019 | Feb. 02, 2019 | Nov. 03, 2018 | Aug. 04, 2018 | May 05, 2018 | Feb. 01, 2020 | Feb. 02, 2019 | Feb. 03, 2018 | ||
Income Statement [Abstract] | ||||||||||||
Sales | $ 4,413,445 | $ 3,849,117 | $ 3,979,869 | $ 3,796,642 | $ 4,107,388 | $ 3,549,608 | $ 3,737,926 | $ 3,588,619 | $ 16,039,073 | $ 14,983,541 | $ 14,134,732 | |
Costs and Expenses | ||||||||||||
Cost of goods sold | 3,224,237 | 2,766,432 | 2,843,850 | 2,701,668 | 2,989,744 | 2,547,331 | 2,666,983 | 2,522,219 | 11,536,187 | 10,726,277 | 10,042,638 | |
Selling, general and administrative | 601,879 | 604,605 | 591,970 | 558,250 | 575,969 | 561,577 | 554,581 | 524,423 | 2,356,704 | 2,216,550 | 2,043,698 | |
Interest (income) expense, net | (3,287) | (4,402) | (4,782) | (5,635) | (5,313) | (2,953) | (1,393) | (503) | (18,106) | (10,162) | 7,676 | |
Total costs and expenses | 3,822,829 | 3,366,635 | 3,431,038 | 3,254,283 | 3,560,400 | 3,105,955 | 3,220,171 | 3,046,139 | 13,874,785 | 12,932,665 | 12,094,012 | |
Earnings before taxes | 590,616 | 482,482 | 548,831 | 542,359 | 546,988 | 443,653 | 517,755 | 542,480 | 2,164,288 | 2,050,876 | 2,040,720 | |
Provision for taxes on earnings | 134,483 | 111,550 | 136,110 | 121,217 | 105,295 | 105,545 | 128,351 | 124,228 | 503,360 | 463,419 | 677,967 | |
Net earnings | $ 456,133 | $ 370,932 | $ 412,721 | $ 421,142 | $ 441,693 | $ 338,108 | $ 389,404 | $ 418,252 | $ 1,660,928 | $ 1,587,457 | $ 1,362,753 | [1] |
Earnings per share | ||||||||||||
Basic (in dollars per share) | $ 1.29 | $ 1.04 | $ 1.15 | $ 1.16 | $ 1.21 | $ 0.92 | $ 1.05 | $ 1.12 | $ 4.63 | $ 4.30 | $ 3.58 | |
Diluted (in dollars per share) | $ 1.28 | $ 1.03 | $ 1.14 | $ 1.15 | $ 1.20 | $ 0.91 | $ 1.04 | $ 1.11 | $ 4.60 | $ 4.26 | $ 3.55 | |
Weighted average shares outstanding | ||||||||||||
Basic (in shares) | 358,462 | 369,533 | 381,174 | |||||||||
Diluted (in shares) | 361,182 | 372,678 | 384,329 | |||||||||
[1] | As the result of the adoption of ASU 2016-18, Statement of Cash Flow (Topic 230): Restricted Cash, in fiscal 2018, the prior year amounts were retrospectively adjusted to include restricted cash and cash equivalents. See Note A. |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 12 Months Ended | |||
Feb. 01, 2020 | Feb. 02, 2019 | Feb. 03, 2018 | ||
Statement of Comprehensive Income [Abstract] | ||||
Net earnings | $ 1,660,928 | $ 1,587,457 | $ 1,362,753 | [1] |
Other comprehensive income (loss): | ||||
Change in unrealized gain (loss) on investments, net of tax | 0 | (27) | (64) | |
Comprehensive income | $ 1,660,928 | $ 1,587,430 | $ 1,362,689 | |
[1] | As the result of the adoption of ASU 2016-18, Statement of Cash Flow (Topic 230): Restricted Cash, in fiscal 2018, the prior year amounts were retrospectively adjusted to include restricted cash and cash equivalents. See Note A. |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Feb. 01, 2020 | Feb. 02, 2019 |
Current Assets | ||
Cash and cash equivalents | $ 1,351,205 | $ 1,412,912 |
Accounts receivable | 102,236 | 96,711 |
Merchandise inventory | 1,832,339 | 1,750,442 |
Prepaid expenses and other | 147,048 | 143,954 |
Total current assets | 3,432,828 | 3,404,019 |
Property and Equipment | ||
Land and buildings | 1,177,262 | 1,126,051 |
Fixtures and equipment | 3,115,003 | 2,783,198 |
Leasehold improvements | 1,219,736 | 1,175,921 |
Construction-in-progress | 189,536 | 171,538 |
Property and equipment, gross | 5,701,537 | 5,256,708 |
Less accumulated depreciation and amortization | 3,048,101 | 2,781,507 |
Property and equipment, net | 2,653,436 | 2,475,201 |
Operating lease assets | 3,053,782 | |
Other long-term assets | 208,321 | 194,471 |
Total assets | 9,348,367 | 6,073,691 |
Current Liabilities | ||
Accounts payable | 1,296,482 | 1,177,104 |
Accrued expenses and other | 462,111 | 431,596 |
Less: current operating lease liabilities | 564,481 | |
Accrued payroll and benefits | 364,435 | 363,035 |
Income taxes payable | 14,425 | 37,749 |
Total current liabilities | 2,701,934 | 2,009,484 |
Long-term debt | 312,891 | 312,440 |
Non-current operating lease liabilities | 2,610,528 | |
Other long-term liabilities | 214,086 | 321,713 |
Deferred income taxes | 149,679 | 124,308 |
Commitments and contingencies | ||
Stockholders’ Equity | ||
Common stock, par value $.01 per share, Authorized 1,000,000,000 shares, issued and outstanding 368,242,000 and 379,618,000 shares, respectively | 3,568 | 3,682 |
Additional paid-in capital | 1,458,307 | 1,375,965 |
Treasury stock | (433,328) | (372,663) |
Retained earnings | 2,330,702 | 2,298,762 |
Total stockholders’ equity | 3,359,249 | 3,305,746 |
Total liabilities and stockholders’ equity | $ 9,348,367 | $ 6,073,691 |
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in shares) | 1,000,000,000 | 1,000,000,000 |
Common stock, shares issued (in shares) | 356,775,000 | 368,242,000 |
Common stock, shares outstanding (in shares) | 356,775,000 | 368,242,000 |
Consolidated Statements of Stoc
Consolidated Statements of Stockholders' Equity - USD ($) shares in Thousands, $ in Thousands | Total | Common stock | Additional paid-in capital | Treasury stock | Accumulated other comprehensive income (loss) | Retained earnings | |
Beginning balance (in shares) at Jan. 28, 2017 | 391,893 | ||||||
Beginning balance, value at Jan. 28, 2017 | $ 2,748,017 | $ 3,919 | $ 1,215,715 | $ (272,846) | $ 91 | $ 1,801,138 | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Net earnings | 1,362,753 | [1] | 1,362,753 | ||||
Unrealized investment loss, net | (64) | (64) | |||||
Common stock issued under stock plans, net of shares used for tax withholding (in shares) | 1,214 | ||||||
Common stock issued under stock plans, net of shares used for tax withholding, value | (26,965) | $ 12 | 18,456 | (45,433) | |||
Stock-based compensation | $ 87,417 | 87,417 | |||||
Common stock repurchased (in shares) | (13,500) | (13,489) | |||||
Common stock repurchased | $ (875,000) | $ (135) | (31,013) | (843,852) | |||
Dividends declared | (247,526) | (247,526) | |||||
Ending balance (in shares) at Feb. 03, 2018 | 379,618 | ||||||
Ending balance, value at Feb. 03, 2018 | $ 3,049,308 | $ 3,796 | 1,292,364 | (318,279) | 27 | 2,071,400 | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Cash dividends declared per share (in dollars per share) | $ 0.64 | ||||||
Net earnings | $ 1,587,457 | 1,587,457 | |||||
Unrealized investment loss, net | (27) | (27) | |||||
Common stock issued under stock plans, net of shares used for tax withholding (in shares) | 1,097 | ||||||
Common stock issued under stock plans, net of shares used for tax withholding, value | (34,272) | $ 11 | 20,101 | (54,384) | |||
Stock-based compensation | $ 95,585 | 95,585 | |||||
Common stock repurchased (in shares) | (12,500) | (12,473) | |||||
Common stock repurchased | $ (1,075,000) | $ (125) | (32,085) | (1,042,790) | |||
Dividends declared | (337,189) | (337,189) | |||||
Ending balance (in shares) at Feb. 02, 2019 | 368,242 | ||||||
Ending balance, value at Feb. 02, 2019 | $ 3,305,746 | $ 3,682 | 1,375,965 | (372,663) | 0 | 2,298,762 | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Cash dividends declared per share (in dollars per share) | $ 0.90 | ||||||
Net earnings | $ 1,660,928 | 1,660,928 | |||||
Unrealized investment loss, net | 0 | ||||||
Common stock issued under stock plans, net of shares used for tax withholding (in shares) | 793 | ||||||
Common stock issued under stock plans, net of shares used for tax withholding, value | (38,456) | $ 8 | 22,201 | (60,665) | |||
Stock-based compensation | $ 95,438 | 95,438 | |||||
Common stock repurchased (in shares) | (12,300) | (12,260) | |||||
Common stock repurchased | $ (1,275,000) | $ (122) | (35,297) | (1,239,581) | |||
Dividends declared | (369,793) | (369,793) | |||||
Ending balance (in shares) at Feb. 01, 2020 | 356,775 | ||||||
Ending balance, value at Feb. 01, 2020 | $ 3,359,249 | $ 3,568 | $ 1,458,307 | $ (433,328) | $ 0 | $ 2,330,702 | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Cash dividends declared per share (in dollars per share) | $ 1.02 | ||||||
[1] | As the result of the adoption of ASU 2016-18, Statement of Cash Flow (Topic 230): Restricted Cash, in fiscal 2018, the prior year amounts were retrospectively adjusted to include restricted cash and cash equivalents. See Note A. |
Consolidated Statements of St_2
Consolidated Statements of Stockholders' Equity (Parenthetical) - $ / shares | 1 Months Ended | 3 Months Ended | 12 Months Ended | ||||||||||||||||||||
Nov. 30, 2019 | Aug. 31, 2019 | May 31, 2019 | Mar. 31, 2019 | Nov. 30, 2018 | Aug. 31, 2018 | May 31, 2018 | Mar. 31, 2018 | Nov. 30, 2017 | Aug. 31, 2017 | May 30, 2017 | Feb. 28, 2017 | Feb. 01, 2020 | Nov. 02, 2019 | Aug. 03, 2019 | May 04, 2019 | Feb. 02, 2019 | Nov. 03, 2018 | Aug. 04, 2018 | May 05, 2018 | Feb. 01, 2020 | Feb. 02, 2019 | Feb. 03, 2018 | |
Statement of Stockholders' Equity [Abstract] | |||||||||||||||||||||||
Cash dividends declared per share (in dollars per share) | $ 0.255 | $ 0.255 | $ 0.255 | $ 0.255 | $ 0.225 | $ 0.225 | $ 0.225 | $ 0.225 | $ 0.160 | $ 0.160 | $ 0.160 | $ 0.160 | $ 0.255 | $ 0.255 | $ 0.255 | $ 0.255 | $ 0.225 | $ 0.225 | $ 0.225 | $ 0.225 | $ 1.02 | $ 0.90 | $ 0.64 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | |||
Feb. 01, 2020 | Feb. 02, 2019 | Feb. 03, 2018 | ||
Cash Flows From Operating Activities | ||||
Net earnings | $ 1,660,928 | $ 1,587,457 | $ 1,362,753 | [1] |
Adjustments to reconcile net earnings to net cash provided by operating activities: | ||||
Depreciation and amortization | 350,892 | 330,357 | 313,163 | [1] |
Stock-based compensation | 95,438 | 95,585 | 87,417 | |
Gain on sale of assets | 0 | 0 | (6,328) | |
Deferred income taxes | 32,009 | 31,777 | (34,903) | |
Change in assets and liabilities: | ||||
Merchandise inventory | (81,897) | (108,707) | (128,849) | [1] |
Other current assets | (10,315) | (30,789) | (23,051) | |
Accounts payable | 114,153 | 110,483 | 41,322 | |
Other current liabilities | 30,513 | 37,080 | 65,221 | |
Income taxes | (35,239) | 3,706 | (1,740) | |
Operating lease assets and liabilities, net | 15,631 | 0 | 0 | |
Other long-term, net | (567) | 9,728 | 6,333 | |
Net cash provided by operating activities | 2,171,546 | 2,066,677 | 1,681,338 | |
Cash Flows From Investing Activities | ||||
Additions to property and equipment | (555,483) | (413,898) | (371,423) | [1] |
Proceeds from sale of property and equipment | 0 | 0 | 15,981 | |
Proceeds from investments | 517 | 3,489 | 687 | |
Net cash used in investing activities | (554,966) | (410,409) | (354,755) | |
Cash Flows From Financing Activities | ||||
Payment of long-term debt | 0 | (85,000) | 0 | |
Issuance of common stock related to stock plans | 22,209 | 20,112 | 18,468 | |
Treasury stock purchased | (60,665) | (54,384) | (45,433) | |
Repurchase of common stock | (1,275,000) | (1,075,000) | (875,000) | |
Dividends paid | (369,793) | (337,189) | (247,526) | |
Net cash used in financing activities | (1,683,249) | (1,531,461) | (1,149,491) | |
Net (decrease) increase in cash, cash equivalents, and restricted cash and cash equivalents | (66,669) | 124,807 | 177,092 | |
Cash and cash equivalents, and restricted cash and cash equivalents: | ||||
Beginning of year | 1,478,079 | 1,353,272 | 1,176,180 | |
End of year | 1,411,410 | 1,478,079 | 1,353,272 | |
Supplemental Cash Flow Disclosures | ||||
Interest paid | 12,682 | 18,105 | 18,105 | |
Income taxes paid | $ 506,591 | $ 427,930 | $ 714,566 | |
[1] | As the result of the adoption of ASU 2016-18, Statement of Cash Flow (Topic 230): Restricted Cash, in fiscal 2018, the prior year amounts were retrospectively adjusted to include restricted cash and cash equivalents. See Note A. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Feb. 01, 2020 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Summary of Significant Accounting Policies Business. Ross Stores, Inc. and its subsidiaries (the “Company”) is an off-price retailer of first-quality, in-season, name brand and designer apparel, accessories, footwear, and home fashions for the entire family. At the end of fiscal 2019, the Company operated 1,546 Ross Dress for Less ® (“Ross”) locations in 39 states, the District of Columbia, and Guam, and 259 dd’s DISCOUNTS ® stores in 19 states. The Ross and dd’s DISCOUNTS stores are supported by the Company’s headquarters, buying offices, and its network of distribution centers/warehouses. Segment reporting. The Company has one reportable segment. The Company’s operations include only activities related to off-price retailing in stores throughout the United States. Basis of presentation and fiscal year. The consolidated financial statements include the accounts of the Company and its subsidiaries, all of which are wholly-owned. Intercompany transactions and accounts have been eliminated. The Company follows the National Retail Federation fiscal calendar and utilizes a 52-53 week fiscal year whereby the fiscal year ends on the Saturday nearest to January 31. The fiscal years ended February 1, 2020, February 2, 2019 and February 3, 2018 are referred to as fiscal 2019, fiscal 2018, and fiscal 2017, respectively. Fiscal 2017 was a 53-week year. Fiscal 2019 and 2018 were each 52-week years. Use of accounting estimates. The preparation of consolidated financial statements in conformity with Generally Accepted Accounting Principles in the United States of America (“GAAP”) requires the Company to make estimates and assumptions that affect the reported amounts of assets, liabilities, and disclosures of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates. The Company’s significant accounting estimates include valuation reserves for inventory shortage, packaway inventory costs, useful lives of fixed assets, insurance reserves, reserves for uncertain tax positions, and legal claims. Purchase obligations. As of February 1, 2020, the Company had purchase obligations of approximately $2.7 billion. These purchase obligations primarily consist of merchandise inventory purchase orders, commitments related to construction projects, store fixtures and supplies, and information technology services, transportation, and maintenance contracts. Cash and cash equivalents. Cash equivalents consist of highly liquid, fixed income instruments purchased with an original maturity of three months or less. Restricted cash, cash equivalents, and investments. Restricted cash, cash equivalents, and investments serve as collateral for certain insurance obligations of the Company. These restricted funds are invested in bank deposits, money market mutual funds, U.S. Government and agency securities, and corporate securities and cannot be withdrawn from the Company’s account without the prior written consent of the secured parties. The classification between current and long-term is based on the timing of expected payments of the insurance obligations. The following table provides a reconciliation of cash, cash equivalents, restricted cash and cash equivalents in the Consolidated Balance Sheets that reconcile to the amounts shown on the Consolidated Statements of Cash Flows: ($000) 2019 2018 2017 Cash and cash equivalents $ 1,351,205 $ 1,412,912 $ 1,290,294 Restricted cash and cash equivalents included in: Prepaid expenses and other 10,235 11,402 9,412 Other long-term assets 49,970 53,765 53,566 Total restricted cash and cash equivalents 60,205 65,167 62,978 Total cash, cash equivalents and restricted cash and equivalents $ 1,411,410 $ 1,478,079 $ 1,353,272 In addition to the restricted cash and cash equivalents in the table above, the Company had restricted investments of $0.4 million as of February 2, 2019 included in Prepaid expenses and other in the Consolidated Balance Sheets. The Company had no restricted investments as of February 1, 2020. Estimated fair value of financial instruments. The carrying value of cash and cash equivalents, short- and long-term investments, restricted cash and cash equivalents, restricted investments, accounts receivable, other long-term assets, accounts payable, and other long-term liabilities approximates their estimated fair value. See Note B and Note D for additional fair value information. Cash and cash equivalents were $1,351.2 million and $1,412.9 million, at February 1, 2020 and February 2, 2019, respectively, and include bank deposits and money market funds for which the fair value was determined using quoted prices for identical assets in active markets, which are considered to be Level 1 inputs under the fair value measurements and disclosures guidance. Investments. The Company’s investments are comprised of various debt securities. At February 1, 2020 and February 2, 2019, these investments were classified as available-for-sale and are stated at fair value. Investments are classified as either short- or long-term based on their maturity dates and the Company’s intent. Investments with a maturity of less than one year are classified as short-term. See Note B for additional information. Merchandise inventory. Merchandise inventory is stated at the lower of cost (determined using a weighted-average basis) or net realizable value. The Company purchases inventory that can either be shipped to stores or processed as packaway merchandise with the intent that it will be warehoused and released to stores at a later date. The timing of the release of packaway inventory to the stores is principally driven by the product mix and seasonality of the merchandise, and its relation to the Company’s store merchandise assortment plans. As such, the aging of packaway varies by merchandise category and seasonality of purchase, but typically packaway remains in storage less than six months. Merchandise inventory includes acquisition, processing, and storage costs related to packaway inventory. The cost of the Company’s merchandise inventory is reduced by valuation reserves for shortage based on historical shortage experience from the Company’s physical merchandise inventory counts and cycle counts. Cost of goods sold. In addition to product costs, the Company includes in cost of goods sold its buying, distribution, and freight expenses as well as occupancy costs, and depreciation and amortization related to the Company’s retail stores, buying, and distribution facilities. Buying expenses include costs to procure merchandise inventories. Distribution expenses include the cost of operating the Company’s distribution centers, warehouses, and cross-dock facilities. Property and equipment. Property and equipment are stated at cost, less accumulated depreciation and amortization. Depreciation is calculated using the straight-line method over the estimated useful life of the asset, typically ranging from three three Other long-term assets. Other long-term assets as of February 1, 2020 and February 2, 2019 consisted of the following: ($000) 2019 2018 Deferred compensation (Note B) $ 141,443 $ 124,558 Restricted cash and investments 49,970 53,765 Other 16,908 16,148 Total $ 208,321 $ 194,471 Impairment of long-lived assets. Property and other long-term assets that are subject to depreciation and amortization are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable based on estimated undiscounted future cash flows. For stores that are closed, the Company records an impairment charge, if appropriate, or accelerates depreciation over the revised useful life of the asset. Intangible assets that are not subject to amortization, including goodwill, are tested for impairment annually or more frequently if events or changes in circumstances indicate that the asset may be impaired. Based on the Company’s evaluation during fiscal 2019, 2018, and 2017, no impairment charges were recorded. Accounts payable. Accounts payable represents amounts owed to third parties at the end of the period. Accounts payable includes book cash overdrafts (checks issued under zero balance accounts not yet presented for payment) in excess of cash balances in such accounts of approximately $138.8 million and $83.2 million at February 1, 2020 and February 2, 2019, respectively. The Company includes the change in book cash overdrafts in operating cash flows. Insurance obligations. The Company uses a combination of insurance and self-insurance for a number of risk management activities, including workers’ compensation, general liability, and employee-related health care benefits. The self-insurance and deductible liability is determined actuarially, based on claims filed and an estimate of claims incurred but not yet reported. Self-insurance and deductible reserves as of February 1, 2020 and February 2, 2019 consisted of the following: ($000) 2019 2018 Workers’ compensation $ 87,063 $ 89,993 General liability 44,371 42,877 Medical plans 6,430 6,515 Total $ 137,864 $ 139,385 Workers’ compensation and self-insured medical plan liabilities are included in Accrued payroll and benefits and accruals for general liability are included in Accrued expenses and other in the accompanying Consolidated Balance Sheets. Other long-term liabilities. Other long-term liabilities as of February 1, 2020 and February 2, 2019 consisted of the following: ($000) 2019 2018 Income taxes (Note F) $ 65,956 $ 77,872 Deferred compensation (Note G) 141,443 124,558 Deferred rent — 1 81,442 Tenant improvement allowances — 1 25,418 Other 6,687 12,423 Total $ 214,086 $ 321,713 1 Fiscal 2019 reflects the impact of adoption of ASU 2016-02, Leases (Accounting Standards Codification "ASC" 842) on a modified retrospective basis; fiscal 2018 was not restated. Lease accounting. As the Company’s leases generally do not provide an implicit discount rate, the Company uses the estimated collateralized incremental borrowing rate based on information available at the lease commencement date in determining the present value of lease payments for use in the calculation of the operating lease liabilities and right-of-use assets. This rate is determined using a portfolio approach based on the risk-adjusted rate of interest and requires estimates and assumptions including credit rating, credit spread, and adjustments for the impact of collateral. The Company believes that this is the rate it would have to pay to borrow an amount equal to the lease payments on a collateralized basis over a similar lease term. Operating lease liabilities and corresponding right-of-use assets include options to extend lease terms that are reasonably certain of being exercised. The Company does not record a lease liability and corresponding right-of-use asset for leases with terms of 12 months or less, and accounts for lease and non-lease components as a single lease component. The Company's lease portfolio is comprised of operating leases with the lease cost recorded on a straight-line basis over the lease term. Prior to the adoption of Accounting Standards Codification "ASC" 842 in the beginning of fiscal 2019, when a lease contained “rent holidays” or required fixed escalations of the minimum lease payments, the Company recorded rental expense on a straight-line basis over the term of the lease and the difference between the average rental amount was charged to expense and the amount payable under the lease was recorded as deferred rent. The Company began recording rent expense on the lease possession date. Tenant improvement allowances were amortized over the lease term. Changes in deferred rent and tenant improvement allowances were included as a component of operating activities in the Consolidated Statements of Cash Flows. Revenue recognition. The Company recognizes revenue at the point of sale, net of sales taxes collected and an allowance for estimated future returns as required by ASU No. 2014-09, Revenue from Contracts with Customers (ASC 606). The Company recognizes allowances for estimated sales returns on a gross basis as a reduction to sales. The asset recorded for the expected recovery of merchandise inventory was $10.7 million and $10.2 million and the liability recorded for the refund due to the customer was $20.9 million and $19.8 million as of February 1, 2020 and February 2, 2019, respectively. Prior to the adoption of ASC 606, the Company recognized allowances for sales returns on a net margin basis, which was $9.9 million as of February 3, 2018. Sales taxes collected that are outstanding and the allowance for estimated future returns are included in Accrued expenses and other and the asset for expected recovery of merchandise is included in Prepaid expenses and other in the Consolidated Balance Sheets. Sales of stored value cards are deferred until they are redeemed for the purchase of Company merchandise. The Company’s stored value cards do not have expiration dates. Based upon historical redemption rates, a small percentage of stored value cards will never be redeemed, which represents breakage. As a result of adopting ASC 606, breakage is estimated and recognized as revenue based upon the historical pattern of customer redemptions. In prior periods, breakage was recorded as a reduction of operating expense when customer redemption was considered remote. Breakage was not material to the consolidated financial statements in fiscal 2019, 2018, and 2017. The following sales mix table disaggregates revenue by merchandise category for fiscal 2019, 2018, and 2017: 2019 2018 2017 Ladies 26 % 26 % 27 % Home Accents and Bed and Bath 25 % 26 % 26 % Men’s 14 % 14 % 13 % Accessories, Lingerie, Fine Jewelry, and Fragrances 13 % 13 % 13 % Shoes 13 % 13 % 13 % Children’s 9 % 8 % 8 % Total 100 % 100 % 100 % Store pre-opening. Store pre-opening costs are expensed in the period incurred. Advertising. Advertising costs are expensed in the period incurred and are included in Selling, general and administrative expenses. Advertising costs for fiscal 2019, 2018, and 2017 were $74.0 million, $79.9 million, and $76.4 million, respectively. Stock-based compensation. The Company recognizes compensation expense based upon the grant date fair value of all stock-based awards, typically over the vesting period. See Note C for more information on the Company’s stock-based compensation plans. Taxes on earnings. The Company accounts for income taxes in accordance with ASC 740, “Accounting for Income Taxes,” which requires the recognition of deferred tax assets and liabilities for the expected future tax consequences of events that have been recognized in the Company’s consolidated financial statements or tax returns. In estimating future tax consequences, the Company generally considers all expected future events other than changes in the tax law or tax rates. ASC 740 clarifies the criteria that an individual tax position must satisfy for some or all of the benefits of that position to be recognized in a company’s consolidated financial statements. ASC 740 prescribes a recognition threshold of more-likely-than-not, and a measurement standard for all tax positions taken or expected to be taken on a tax return, in order for those tax positions to be recognized in the consolidated financial statements. See Note F. Treasury stock. The Company records treasury stock at cost. Treasury stock includes shares purchased from employees for tax withholding purposes related to vesting of restricted stock grants. Earnings per share (“EPS”). The Company computes and reports both basic EPS and diluted EPS. Basic EPS is computed by dividing net earnings by the weighted-average number of common shares outstanding for the period. Diluted EPS is computed by dividing net earnings by the sum of the weighted-average number of common shares and dilutive common stock equivalents outstanding during the period. Diluted EPS reflects the total potential dilution that could occur from outstanding equity plan awards, including unexercised stock options and unvested shares of both performance and non-performance based awards of restricted stock. In fiscal 2019, 2018, and 2017 there were 27,400, 23,700, and 2,800 weighted-average shares, respectively, that were excluded from the calculation of diluted EPS because their effect would have been anti-dilutive for those years. The following is a reconciliation of the number of shares (denominator) used in the basic and diluted EPS computations: Shares in (000s) Basic EPS Effect of dilutive Diluted 2019 Shares 358,462 2,720 361,182 Amount $ 4.63 $ (0.03) $ 4.60 2018 Shares 369,533 3,145 372,678 Amount $ 4.30 $ (0.04) $ 4.26 2017 Shares 381,174 3,155 384,329 Amount $ 3.58 $ (0.03) $ 3.55 Comprehensive income. Comprehensive income includes net earnings and components of other comprehensive income (loss), net of tax, consisting of unrealized investment gains or losses. Recently issued accounting standards. The Company considers the applicability and impact of all Accounting Standards Updates (“ASU”) issued by the FASB. ASUs not listed below were assessed and determined to be either not applicable or are expected to have minimal impact on the Company's consolidated financial results. Recently adopted accounting standards. In February 2016, the FASB issued ASU 2016-02, Leases (ASC 842), which along with subsequent amendments, supersedes the lease accounting requirements in ASC 840, Leases. The updated guidance requires balance sheet recognition for all leases with lease terms greater than one year including a lease liability, which is a lessee’s obligation to make lease payments arising from a lease, measured on a discounted basis; and a right-of-use asset, which is an asset that represents the lessee’s right to use, or control the use of, a specified asset for the lease term. The Company adopted ASC 842 as of February 3, 2019 (the "effective date"), using the optional transition method on a modified retrospective basis. The Company did not elect the transitional package of practical expedients or the use of hindsight upon adoption of the ASC. The Company elected to not record a lease liability and corresponding right-of-use asset for leases with terms of 12 months or less, and to account for lease and non-lease components as a single lease component. Upon adoption, the Company recorded lease liabilities based on the present value of the remaining minimum rental payments, using incremental borrowing rates as of the effective date, of $2.9 billion, and the corresponding right-of-use assets of $2.9 billion. The Company also recorded a cumulative-effect adjustment to decrease beginning retained earnings of $19.6 million, primarily related to the write-off of previously capitalized initial direct costs that are no longer capitalized under ASC 842, partially offset by the write-off of the deferred gain on a previous sale-leaseback transaction that meets the sale definition under ASC 842. Reporting periods beginning on or after February 3, 2019 are presented under ASC 842, while prior period amounts and disclosures were not adjusted and continue to be reported under ASC 840. Adoption of ASC 842 did not have a significant impact to the Company’s consolidated statements of earnings or to the consolidated statements of cash flows. In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers (ASC 606) which, along with subsequent amendments, supersedes the revenue recognition requirements in “Revenue Recognition (ASC 605).” This guidance provides a five-step analysis of transactions to determine when and how revenue is recognized and requires entities to recognize revenue when the customer obtains control of promised goods or services in an amount that reflects the consideration the entity expects to receive in exchange for those goods or services. The Company adopted ASC 606 as of February 4, 2018, using the modified retrospective method. Results for reporting periods beginning on or after February 4, 2018 are presented under ASC 606, while prior period amounts were not adjusted and continue to be reported in accordance with ASC 605. Upon adoption of ASC 606, the Company recorded a cumulative-effect adjustment to increase beginning retained earnings by $20 million as of February 4, 2018, primarily due to the change in the timing of the recognition of stored value card breakage. The impact of applying ASC 606 was not material to the Company's consolidated financial statements for the year ended February 2, 2019. In November 2016, the FASB issued ASU 2016-18, Statement of Cash Flows (Topic 230): Restricted Cash . ASU 2016-18 requires restricted cash and restricted cash equivalents be included with cash and cash equivalents when reconciling the total beginning and ending amounts on the statement of cash flows. The standard also requires companies who report cash and restricted cash separately on the balance sheet to reconcile those amounts to the statement of cash flows. The Company adopted ASU 2016-18 as of February 4, 2018, using the retrospective method. In March 2016, the FASB issued ASU 2016-09, Compensation - Stock Compensation (Topic 718) - Improvements to Employee Share-Based Payment Accounting . ASU 2016-09 provides for changes to accounting for stock compensation including 1) excess tax benefits and tax deficiencies related to share-based payment awards will be recognized as income tax benefit or expense in the reporting period in which they occur (previously such amounts were recognized in additional paid-in capital); 2) excess tax benefits will be classified as an operating activity in the statement of cash flows; and 3) the option to elect to estimate forfeitures or account for them when they occur. The impact of recording excess tax benefits in income taxes in the Company's consolidated statement of earnings may be material, depending upon the Company's future stock price on vest date in relation to the fair value of awards on grant date and the future grants of stock-based compensation. The Company adopted ASU 2016-09 in the first quarter of fiscal 2017, and elected to apply this adoption prospectively, except for forfeitures which it adopted on a modified retrospective basis. Accordingly, prior periods have not been adjusted. As a result of adoption, for the fiscal year ended February 3, 2018, the Company recognized $16.3 million of excess tax benefits related to stock-based payments as a reduction to its provision for income taxes. These items were historically recorded in additional paid-in capital. The Company also presented cash flows related to excess tax benefits as an operating activity in the Consolidated Statement of Cash Flows and elected to account for forfeitures as incurred beginning on January 29, 2017. The impact of this accounting policy election for forfeitures was a cumulative-effect adjustment to decrease retained earnings by $1.1 million as of January 29, 2017. Reclassifications. Certain items related to income taxes in the prior year’s consolidated statements of cash flows have been reclassified to conform to the current year's presentation. |
Investments and Restricted Inve
Investments and Restricted Investments | 12 Months Ended |
Feb. 01, 2020 | |
Fair Value Disclosures [Abstract] | |
Investments And Restricted Investments | Investments and Restricted Investments Accounting standards pertaining to fair value measurements establish a three-tier fair value hierarchy which prioritizes the inputs used in measuring fair value. The inputs used to measure fair value include: Level 1, observable inputs such as quoted prices in active markets; Level 2, inputs other than quoted prices in active markets that are either directly or indirectly observable; and Level 3, unobservable inputs in which little or no market data exists. This fair value hierarchy requires the Company to develop its own assumptions and maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. Corporate, U.S. government and agency, and mortgage-backed securities are classified within Level 1 or Level 2 because these securities are valued using quoted market prices or alternative pricing sources and models utilizing market observable inputs. There were no transfers between Level 1 and Level 2 categories during the fiscal year ended February 1, 2020. The fair value of the Company’s financial instruments as of February 1, 2020 and February 2, 2019 are as follows: ($000) 2019 2018 Cash and cash equivalents (Level 1) $ 1,351,205 $ 1,412,912 Investments (Level 2) $ 8 $ 125 Restricted cash and cash equivalents (Level 1) $ 60,205 $ 65,167 Restricted investments (Level 2) $ — $ 400 The underlying assets in the Company’s non-qualified deferred compensation program as of February 1, 2020 and February 2, 2019 (included in Other long-term assets and in Other long-term liabilities) primarily consist of participant-directed money market, stable value, stock, and bond funds. The fair value measurement for funds with quoted market prices in active markets (Level 1) and for funds without quoted market prices in active markets (Level 2) are as follows: ($000) 2019 2018 Level 1 $ 134,440 $ 114,181 Level 2 7,003 10,377 Total $ 141,443 $ 124,558 |
Stock-Based Compensation
Stock-Based Compensation | 12 Months Ended |
Feb. 01, 2020 | |
Share-based Payment Arrangement, Noncash Expense [Abstract] | |
Stock-Based Compensation | Stock-Based Compensation For fiscal 2019, 2018, and 2017, the Company recognized stock-based compensation expense as follows: ($000) 2019 2018 2017 Restricted stock $ 54,975 $ 48,585 $ 44,356 Performance awards 36,542 43,450 39,871 ESPP 3,921 3,550 3,190 Total $ 95,438 $ 95,585 $ 87,417 Capitalized stock-based compensation cost was not significant in any year. At February 1, 2020, the Company had one active stock-based compensation plan, which is further described in Note H. The Company recognizes expense for ESPP purchase rights equal to the value of the 15% discount given on the purchase date. Total stock-based compensation recognized in the Company’s Consolidated Statements of Earnings for fiscal 2019, 2018, and 2017 is as follows: Statements of Earnings Classification ($000) 2019 2018 2017 Cost of goods sold $ 54,265 $ 45,052 $ 41,067 Selling, general and administrative 41,173 50,533 46,350 Total $ 95,438 $ 95,585 $ 87,417 The tax benefits related to stock-based compensation expense for fiscal 2019, 2018, and 2017 |
Debt
Debt | 12 Months Ended |
Feb. 01, 2020 | |
Debt Disclosure [Abstract] | |
Debt | Debt Senior notes. Unsecured senior debt, net of unamortized discounts and debt issuance costs, as of February 1, 2020 and February 2, 2019 consisted of the following: ($000) 2019 2018 6.53% Series B Senior Notes due 2021 $ 64,963 $ 64,942 3.375% Senior Notes due 2024 247,928 247,498 Total long-term debt $ 312,891 $ 312,440 As of February 1, 2020, the Company had outstanding Series B unsecured Senior Notes in the aggregate principal amount of $65 million, held by various institutional investors. The Series B notes are due in December 2021 and bear interest at a rate of 6.53%. Borrowings under these Senior Notes are subject to certain financial covenants, including interest coverage and other financial ratios. As of February 1, 2020, the Company was in compliance with these covenants. As of February 1, 2020, the Company also had outstanding unsecured 3.375% Senior Notes due September 2024 (the “2024 Notes”) with an aggregate principal amount of $250 million. Interest on the 2024 Notes is payable semi-annually. On December 13, 2018, the Company repaid at maturity the $85 million principal amount of the Series A 6.38% unsecured Senior Notes. As of February 1, 2020 and February 2, 2019, total unamortized discount and debt issuance costs were $2.1 million and $2.6 million, respectively, and were classified as a reduction of long-term debt. The 2024 Notes, and the Series B Senior Notes are subject to prepayment penalties for early payment of principal. The aggregate fair value of the two outstanding series of Senior Notes was approximately $335 million and $316 million as of February 1, 2020 and February 2, 2019, respectively. The fair value is estimated by obtaining comparable market quotes which are considered to be Level 1 inputs under the fair value measurements and disclosures guidance. The following table shows scheduled annual principal payments on long-term debt: ($000) 2020 $ — 2021 $ 65,000 2022 $ — 2023 $ — 2024 $ 250,000 Thereafter $ — The table below shows the components of interest expense and income for fiscal 2019, 2018, and 2017: ($000) 2019 2018 2017 Interest expense on long-term debt $ 13,139 $ 17,900 $ 18,578 Other interest expense 968 1,004 979 Capitalized interest (4,367) (2,497) (710) Interest income (27,846) (26,569) (11,171) Interest (income) expense, net $ (18,106) $ (10,162) $ 7,676 Revolving credit facility. In July 2019, the Company entered into a new $800 million unsecured revolving credit facility, which replaced the Company's previous $600 million unsecured revolving credit facility. This new credit facility expires in July 2024, and contains a $300 million sublimit for issuance of standby letters of credit. The facility also contains an option allowing the Company to increase the size of its credit facility by up to an additional $300 million, with the agreement of the lenders. Interest on borrowings under this facility is based on LIBOR (or an alternate benchmark rate, if LIBOR is no longer available) plus an applicable margin (currently 75 basis points) and is payable quarterly and upon maturity. As of February 1, 2020, the Company had no borrowings or standby letters of credit outstanding under this facility and the $800 million credit facility remained in place and available. Subsequent to year end, in March 2020, the Company borrowed $800 million from its revolving credit facility, which bears interest at LIBOR plus 0.75% (currently 1.61%), to add to its cash balances in order to provide enhanced financial flexibility due to uncertain market conditions arising from the impact of the COVID-19 pandemic. The revolving credit facility is subject to a financial leverage ratio covenant. As of February 1, 2020, the Company was in compliance with this covenant. Standby letters of credit and collateral trust. The Company uses standby letters of credit outside of its revolving credit facility in addition to a funded trust to collateralize its insurance obligations. As of February 1, 2020 and February 2, 2019, the Company had $4.2 million and $7.3 million, respectively, in standby letters of credit and $56.0 million and $58.3 million, respectively, in a collateral trust. The standby letters of credit are collateralized by restricted cash and the collateral trust consists of restricted cash, cash equivalents, and investments. Trade letters of credit. The Company had $11.2 million and $13.3 million in trade letters of credit outstanding at February 1, 2020 and February 2, 2019, respectively. |
Leases
Leases | 12 Months Ended |
Feb. 01, 2020 | |
Leases [Abstract] | |
Leases | Leases The Company currently leases all but two of its store locations with original, non-cancelable terms that in general range from three ten five In November 2017, the Company entered into a sale-leaseback transaction on one of its previously owned stores. The Company received net cash proceeds of $16.0 million, recognized a gain on sale of $6.3 million, and deferred the residual $7.5 million gain over the remaining ten The Company leases nine distribution centers/warehouses. All of these contain renewal provisions, except for the third-party warehouse in Fort Mill, South Carolina. The following table summarizes the location and expiration date of the Company's leased warehouses: Location Lease Expiration Date Leased Distribution Centers/Warehouses Moreno Valley, California 1 2023 Moreno Valley, California 1 2029 Shafter, California 2029 Shafter, California 1 2020 Carlisle, Pennsylvania 2022 Carlisle, Pennsylvania 2021 Fort Mill, South Carolina 2024 Fort Mill, South Carolina 1 2020 Rock Hill, South Carolina 2028 1 Operated by a third party. The Company leases approximately 103,000 and 5,000 square feet of office space for its Los Angeles and Boston buying offices, respectively. The lease term for both of these facilities expire in 2022, and contain renewal provisions. In addition, the Company has a ground lease related to its New York buying office. The following table presents net operating lease costs included in the Consolidated Statement of Earnings for fiscal 2019: ($000) 2019 Operating lease cost 1 $ 639,545 Variable lease costs 2 174,438 Net lease cost 3 $ 813,983 1 Net of sublease income which was immaterial. 2 Includes property and rent taxes, insurance, common area maintenance, and percentage rent. 3 Excludes short-term lease costs which were immaterial. The maturity of operating lease liabilities, including the ground lease related to the New York buying office as of February 1, 2020, are as follows: ($000) Operating Leases 1 2020 $ 607,490 2021 633,846 2022 557,484 2023 469,211 2024 359,101 Thereafter 1,613,176 Total lease payments $ 4,240,308 Less: interest 1,065,299 Present value of lease liabilities $ 3,175,009 Less: current operating lease liabilities 564,481 Non-current operating lease liabilities $ 2,610,528 1 Operating leases exclude $266.8 million of minimum lease payments for leases signed that have not yet commenced. At February 1, 2020, the weighted-average remaining lease term and the weighted-average discount rate for operating leases is 10.7 years and 3.5%, respectively. The weighted-average remaining lease term and the weighted-average discount rate, excluding the long-term ground lease related to the New York buying office, were 6.1 years and 3.1%, respectively. Cash paid for amounts included in the measurement of operating lease liabilities was $608.6 million for fiscal 2019 and is included in Net cash provided by operating activities in the Consolidated Statements of Cash Flows. Operating lease assets obtained in exchange for new operating lease liabilities (includes new leases and remeasurements or modifications of existing leases) during fiscal 2019 was $739.3 million. In accordance with ASC 840, the aggregate undiscounted future minimum annual lease payments under leases, including the ground lease related to the New York buying office, in effect at February 2, 2019 are as follows: ($000) Total operating leases 2020 $ 555,812 2021 580,712 2022 499,678 2023 424,695 2024 339,340 Thereafter 1,575,673 Total minimum lease payments $ 3,975,910 Rent expense under ASC 840, including contingent rent and net of sublease income, was $569.8 million and $532.4 million in fiscal 2018 and 2017, respectively. Contingent rent and sublease income was not significant in any year. |
Taxes on Earnings
Taxes on Earnings | 12 Months Ended |
Feb. 01, 2020 | |
Income Tax Disclosure [Abstract] | |
Taxes on Earnings | Taxes on Earnings The provision for income taxes consisted of the following: ($000) 2019 2018 2017 Current Federal $ 414,823 $ 357,170 $ 660,017 State 56,528 74,472 52,853 471,351 431,642 712,870 Deferred Federal 28,244 33,913 (40,468) State 3,765 (2,136) 5,565 32,009 31,777 (34,903) Total $ 503,360 $ 463,419 $ 677,967 The provision for taxes for financial reporting purposes is different from the tax provision computed by applying the statutory federal income tax rate. The differences are reconciled below: 2019 2018 2017 Federal income taxes at the statutory rate 21 % 21 % 34 % State income taxes (net of federal benefit) and other, net 2 3 2 Tax audit settlements — (1) — Impact of the Tax Act on deferred taxes — — (3) Total 23 % 23 % 33 % In November 2019, the Company resolved uncertain tax positions with a state tax authority. As a result, the Company recognized a tax benefit of approximately $10.0 million in the Consolidated Statement of Earnings. In fiscal 2018, the Company resolved uncertain tax positions related to fiscal 2015 with the Internal Revenue Service. As a result, the Company recognized a tax benefit of approximately $26.0 million in the Consolidated Statement of Earnings. In fiscal 2017, The Tax Cuts and Jobs Act (the “Tax Act” or "tax reform") was signed into law. The Tax Act made significant changes to U.S. corporate taxation including reducing the U.S. federal corporate income tax rate from 35% to 21% effective January 1, 2018, the last month of fiscal 2017. U.S. GAAP requires that the impact of tax legislation be recognized in the period in which the law was enacted. The Company applied a blended U.S. federal income tax rate of approximately 34% for fiscal 2017. This reduced tax rate resulted in a tax benefit of $24.9 million in fiscal 2017. The Company recorded an additional tax benefit of $55.2 million due to the remeasurement of its deferred tax assets and liabilities in fiscal 2017. Also, in fiscal 2017, the Company adopted ASU 2016-09. Prior to adoption of ASU 2016-09, the Company recorded tax benefits related to employee equity programs in additional paid-in capital. As a result of adopting ASU 2016-09, the Company recorded tax benefits of $13.3 million, $12.6 million and $16.3 million in 2019, 2018 and 2017, respectively, as a reduction to its provision for income taxes. The components of deferred taxes at February 1, 2020 and February 2, 2019 are as follows: ($000) 2019 2018 Deferred Tax Assets Accrued liabilities $ 35,242 $ 38,367 Deferred compensation 33,108 30,886 Stock-based compensation 35,290 36,118 Deferred rent — 19,824 State taxes and credits 20,178 20,310 Employee benefits 18,425 18,845 Operating lease liabilities 797,467 1 — Other 3,353 1,412 Gross Deferred Tax Assets 943,063 165,762 Less: Valuation allowance (4,590) (4,639) Deferred Tax Assets 938,473 161,123 Deferred Tax Liabilities Depreciation (273,255) (238,631) Merchandise inventory (26,376) (25,686) Supplies (10,972) (10,308) Operating lease assets (766,874) 1 — Other (10,675) (10,806) Deferred Tax Liabilities (1,088,152) (285,431) Net Deferred Tax Liabilities $ (149,679) $ (124,308) 1 Fiscal 2019 reflects the impact of adoption of ASU 2016-02, Leases (ASC 842) on a modified retrospective basis; fiscal 2018 was not restated. At the end of fiscal 2019 and 2018, the Company’s state tax credit carryforwards for income tax purposes were approximately $12.8 million and $13.6 million, respectively. The state tax credit carryforwards will begin to expire in fiscal 2020. The Company has provided a valuation allowance of $4.6 million as of the end of fiscal 2019 for deferred tax assets related to state tax credits that are not expected to be realized. The changes in amounts of unrecognized tax benefits (gross of federal tax benefits and excluding interest and penalties) at fiscal 2019, 2018, and 2017 are as follows: ($000) 2019 2018 2017 Unrecognized tax benefits - beginning of year $ 65,787 $ 98,666 $ 81,122 Gross increases: Tax positions in current period 13,864 14,722 26,837 Tax positions in prior period 2,672 1,843 — Gross decreases: Tax positions in prior periods (9,559) (40,600) (2,755) Lapse of statutes of limitations (8,653) (8,584) (6,068) Settlements (4,224) (260) (470) Unrecognized tax benefits - end of year $ 59,887 $ 65,787 $ 98,666 At the end of fiscal 2019, 2018, and 2017, the reserves for unrecognized tax benefits were $67.1 million, $78.8 million, and $121.3 million inclusive of $7.2 million, $13.0 million, and $22.6 million of related reserves for interest and penalties, respectively. In November 2019, the Company resolved uncertain tax positions with a state tax authority. As a result, the Company recognized a decrease in reserves for tax positions in prior periods of $16.2 million, inclusive of $6.6 million of related reserves for interest and penalties. In fiscal 2018, the Company resolved uncertain tax positions related to fiscal 2015 with the Internal Revenue Service. As a result, the Company recognized a decrease in reserves for tax positions in prior periods of $52.4 million, inclusive of $12.6 million of related reserves for interest and penalties. The Company accounts for interest and penalties related to unrecognized tax benefits as a part of its provision for taxes on earnings. If recognized, $53.3 million would impact the Company’s effective tax rate. The difference between the total amount of unrecognized tax benefits and the amounts that would impact the effective tax rate relates to amounts attributable to deferred tax assets and liabilities. These amounts are net of federal and state income taxes. It is reasonably possible that certain state tax matters may be concluded or statutes of limitations may lapse during the next twelve months. Accordingly, the total amount of unrecognized tax benefits may decrease by up to $10.3 million. The Company is open to audit by the Internal Revenue Service under the statute of limitations for fiscal years 2016 through 2019. The Company’s state income tax returns are generally open to audit under the various statutes of limitations for fiscal years 2015 through 2019. Certain state tax returns are currently under audit by various tax authorities. The Company does not expect the results of these audits to have a material impact on the consolidated financial statements. |
Employee Benefit Plans
Employee Benefit Plans | 12 Months Ended |
Feb. 01, 2020 | |
Defined Contribution Plan [Abstract] | |
Employee Benefit Plans | Employee Benefit Plans The Company has a defined contribution plan that is available to certain employees. Under the plan, employee and Company contributions and accumulated plan earnings qualify for favorable tax treatment under Section 401(k) of the Internal Revenue Code. This plan permits employees to make contributions up to the maximum limits allowable under the Internal Revenue Code. The Company matches up to 4% of the employee’s salary up to the plan limits. Company matching contributions to the 401(k) plan were $19.2 million, $17.1 million, and $15.4 million in fiscal 2019, 2018, and 2017, respectively. The Company also has an Incentive Compensation Plan which provides cash awards to key management and employees based on Company and individual performance. The Company also makes available to management a Non-qualified Deferred Compensation Plan which allows management to make payroll contributions on a pre-tax basis in addition to the 401(k) plan. Other long-term assets include $141.4 million and $124.6 million at February 1, 2020 and February 2, 2019, respectively, of long-term plan investments, at market value, set aside or designated for the Non-qualified Deferred Compensation Plan (See Note B). Plan investments are designated by the participants, and investment returns are not guaranteed by the Company. The Company has a corresponding liability to participants of $141.4 million and $124.6 million at February 1, 2020 and February 2, 2019, respectively, included in Other long-term liabilities in the Consolidated Balance Sheets. |
Stockholders' Equity
Stockholders' Equity | 12 Months Ended |
Feb. 01, 2020 | |
Stockholders' Equity Note [Abstract] | |
Stockholders' Equity | Stockholders’ Equity Common stock. In March 2019, the Company's Board of Directors approved a two two The following table summarizes the Company’s stock repurchase activity in fiscal 2019, 2018, and 2017: Fiscal Year Shares repurchased Average repurchase Repurchased 2019 12.3 $103.99 $1,275 2018 12.5 $86.19 $1,075 2017 13.5 $64.87 $875 Preferred stock. The Company has 4.0 million shares of preferred stock authorized, with a par value of $.01 per share. No preferred stock is issued or outstanding. Dividends. On March 3, 2020, the Company’s Board of Directors declared a quarterly cash dividend of $0.285 per common share, payable on March 31, 2020. The Company’s Board of Directors declared cash dividends of $0.255 per common share in March, May, August, and November 2019, cash dividends of $0.225 per common share in March, May, August, and November 2018, and cash dividends of $0.160 per common share in February, May, August, and November 2017. 2017 Equity Incentive Plan. On May 17, 2017, the Company’s stockholders approved the Ross Stores, Inc. 2017 Equity Incentive Plan (the “2017 Plan”) which replaced the Company’s 2008 Equity Incentive Plan (“Predecessor Plan”). The 2017 Plan, which was authorized to issue a maximum of 12.0 million shares, was immediately effective upon approval and no further awards were granted under the Predecessor Plan, which was terminated. The 2017 Plan has an initial share reserve of 12.0 million shares of the Company’s common stock which can be increased by a maximum of 5.5 million shares from certain expired, withheld, or forfeited shares from the 2017 Plan or the Predecessor Plan. The 2017 Plan provides for various types of incentive awards, which may potentially include the grant of stock options, stock appreciation rights, restricted stock purchase rights, restricted stock bonuses, restricted stock units, performance shares, performance units, and deferred compensation awards. As of February 1, 2020, there were 10.7 million shares available for grant under the 2017 Plan. A summary of restricted stock and performance share award activity for fiscal 2019 is presented below: Number of Weighted-average Unvested at February 2, 2019 5,130 $62.50 Awarded 1,422 95.25 Released (1,782) 53.14 Forfeited (376) 70.90 Unvested at February 1, 2020 4,394 $76.20 The market value of shares of restricted stock and performance shares at the date of grant is amortized to expense over the vesting period of generally three five and 2017, respectively. During fiscal 2019, 2018, and 2017, shares purchased by the Company for tax withholding totaled 0.6 million, 0.7 million, and 0.7 million shares, respectively, and are considered treasury shares which are available for reissuance. As of February 1, 2020 and February 2, 2019, the Company held 13.8 million and 13.2 million shares of treasury stock, respectively. Performance share awards. The Company has a performance share award program for senior executives. A performance share award represents a right to receive shares of restricted stock on a specified settlement date based on the Company’s attainment of a profitability-based performance goal during the performance period, which is the Company’s fiscal year. If attained, the restricted stock then vests over a service period, generally two three Employee Stock Purchase Plan. Under the Employee Stock Purchase Plan (“ESPP”), eligible employees participating in the quarterly offering period can choose to have up to the lesser of 10% of their annual base earnings or the IRS annual share purchase limit of $25,000 in aggregate market value to purchase the Company’s common stock. The purchase price of the stock is 85% of the closing market price on the date of purchase. Purchases occur on a quarterly basis (on the last trading day of each calendar quarter). The Company recognizes expense for ESPP purchase rights equal to the value of the 15% discount given on the purchase date. During fiscal 2019, 2018, and 2017, employees purchased approximately 0.3 million, 0.3 million, and 0.3 million shares, respectively, of the Company’s common stock under the plan at weighted-average per share prices of $88.45, $72.89, and $56.42, respectively. Through February 1, 2020, approximately 40.2 million shares had been issued under this plan and 4.8 million shares remained available for future issuance. |
Related Party Transactions
Related Party Transactions | 12 Months Ended |
Feb. 01, 2020 | |
Related Party Transaction, Due from (to) Related Party [Abstract] | |
Related Party Transactions | Related Party Transactions The Company has a consulting agreement with Norman Ferber, its Chairman Emeritus of the Board of Directors, under which the Company paid him $2.1 million, $1.9 million, and $1.6 million in fiscal 2019, 2018, and 2017, respectively. In addition, the agreement provides for administrative support and health and other benefits for him and his dependents, which totaled approximately $0.4 million, $0.4 million, and $0.4 million in fiscal 2019, 2018, and 2017, respectively, along with amounts to cover premiums through May 2021 on a life insurance policy with a death benefit of $2.0 million. Mr. Ferber's current consulting agreement pays him an annual consulting fee of $2.3 million through May 2021. On termination of Mr. Ferber’s consultancy with the Company, the Company will pay Mr. Ferber $75,000 per year for a period of 10 years. Robert Ferber, the son of Norman Ferber, is a buyer with the Company. The Company paid Robert Ferber compensation including salary and bonus of approximately $209,000, $180,000, and $159,000 in fiscal 2019, 2018, and 2017, respectively. |
Litigation, Claims, and Assessm
Litigation, Claims, and Assessments | 12 Months Ended |
Feb. 01, 2020 | |
Commitments and Contingencies Disclosure [Abstract] | |
Litigation, Claims, and Assessments | Litigation, Claims, and Assessments Like many retailers, the Company has been named in class/representative action lawsuits, primarily in California, alleging violation of wage and hour laws and consumer protection laws. Class/representative action litigation remains pending as of February 1, 2020. The Company is also party to various other legal and regulatory proceedings arising in the normal course of business. Actions filed against the Company may include commercial, product and product safety, consumer, intellectual property, environmental, and labor and employment-related claims, including lawsuits in which private plaintiffs or governmental agencies allege that the Company violated federal, state, and/or local laws. Actions against the Company are in various procedural stages. Many of these proceedings raise factual and legal issues and are subject to uncertainties. In the opinion of management, the resolution of pending class/representative action litigation and other currently pending legal and regulatory proceedings will not have a material adverse effect on the Company’s financial condition, results of operations, or cash flows. |
Quarterly Financial Data (Unaud
Quarterly Financial Data (Unaudited) | 12 Months Ended |
Feb. 01, 2020 | |
Quarterly Financial Data [Abstract] | |
Quarterly Financial Data (Unaudited) | Quarterly Financial Data (Unaudited) Summarized quarterly financial information for fiscal 2019 and 2018 is presented in the tables below. Year ended February 1, 2020: Quarter Ended ($000, except per share data) May 4, 2019 August 3, 2019 November 2, 2019 February 1, 2020 Sales $ 3,796,642 $ 3,979,869 $ 3,849,117 $ 4,413,445 Cost of goods sold 2,701,668 2,843,850 2,766,432 3,224,237 Selling, general and administrative 558,250 591,970 604,605 601,879 Interest income, net (5,635) (4,782) (4,402) (3,287) Total costs and expenses 3,254,283 3,431,038 3,366,635 3,822,829 Earnings before taxes 542,359 548,831 482,482 590,616 Provision for taxes on earnings 121,217 136,110 111,550 134,483 Net earnings $ 421,142 $ 412,721 $ 370,932 $ 456,133 Earnings per share – basic 1 $ 1.16 $ 1.15 $ 1.04 $ 1.29 ² Earnings per share – diluted 1 $ 1.15 $ 1.14 $ 1.03 $ 1.28 ² Cash dividends declared per share on common stock $ 0.255 $ 0.255 $ 0.255 $ 0.255 ¹ EPS is computed independently for each of the quarters presented. The sum of the quarters may not equal the total year amount due to the impact of changes in average quarterly shares outstanding. ² Includes a per share benefit of approximately $0.02 primarily related to the favorable resolution of a tax matter. Year ended February 2, 2019: Quarter Ended ($000, except per share data) May 5, 2018 August 4, 2018 November 3, 2018 February 2, 2019 Sales $ 3,588,619 $ 3,737,926 $ 3,549,608 $ 4,107,388 Cost of goods sold 2,522,219 2,666,983 2,547,331 2,989,744 Selling, general and administrative 524,423 554,581 561,577 575,969 Interest income, net (503) (1,393) (2,953) (5,313) Total costs and expenses 3,046,139 3,220,171 3,105,955 3,560,400 Earnings before taxes 542,480 517,755 443,653 546,988 Provision for taxes on earnings 124,228 128,351 105,545 105,295 Net earnings $ 418,252 $ 389,404 $ 338,108 $ 441,693 Earnings per share – basic 1 $ 1.12 $ 1.05 $ 0.92 $ 1.21 ² Earnings per share – diluted 1 $ 1.11 $ 1.04 $ 0.91 $ 1.20 ² Cash dividends declared per share on common stock $ 0.225 $ 0.225 $ 0.225 $ 0.225 ¹ EPS is computed independently for each of the quarters presented. The sum of the quarters may not equal the total year amount due to the impact of changes in average quarterly shares outstanding. ² Includes a per share benefit of approximately $0.07 from the favorable resolution of a tax matter. |
Subsequent Events
Subsequent Events | 1 Months Ended |
Mar. 25, 2020 | |
Subsequent Events [Abstract] | |
Subsequent Events | Subsequent Events The United States and other countries are experiencing a major global health pandemic related to the outbreak of a novel strain of coronavirus, COVID-19. Governmental authorities in affected regions are taking increasingly dramatic action in an effort to slow down the spread of the disease. As part of a growing number of retailers across the country, the Company has temporarily closed all store locations effective March 20, 2020 through April 3, 2020. The Company has closed its buying and corporate offices, and its distribution centers, for the same period. The Company is monitoring the situation and will reopen stores as conditions permit; however, extended or further closures may be required nationally, regionally, or in specific locations. Given the unprecedented uncertainty of this situation, including the unknown duration and severity of the pandemic and the unknown overall impact on consumer demand, the Company is unable to forecast the full impact on its business; however, the Company now expects that impacts from the COVID-19 pandemic and the related economic disruption will have a material adverse impact on its consolidated results of operations, consolidated financial position, and consolidated cash flows in fiscal 2020. Due to the current economic uncertainty stemming from the severe impact of the COVID-19 pandemic, and to provide enhanced financial flexibility, the Company borrowed $800 million from its revolving credit facility in March 2020, which bears interest at LIBOR plus 0.75% (currently 1.61%), and is temporarily suspending its stock repurchase program. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Feb. 01, 2020 | |
Accounting Policies [Abstract] | |
Business | Business. Ross Stores, Inc. and its subsidiaries (the “Company”) is an off-price retailer of first-quality, in-season, name brand and designer apparel, accessories, footwear, and home fashions for the entire family. At the end of fiscal 2019, the Company operated 1,546 Ross Dress for Less ® (“Ross”) locations in 39 states, the District of Columbia, and Guam, and 259 dd’s DISCOUNTS ® |
Segment reporting | Segment reporting. The Company has one reportable segment. The Company’s operations include only activities related to off-price retailing in stores throughout the United States. |
Basis of presentation and fiscal year | Basis of presentation and fiscal year. |
Use of accounting estimates | Use of accounting estimates. The preparation of consolidated financial statements in conformity with Generally Accepted Accounting Principles in the United States of America (“GAAP”) requires the Company to make estimates and assumptions that affect the reported amounts of assets, liabilities, and disclosures of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates. The Company’s significant accounting estimates include valuation reserves for inventory shortage, packaway inventory costs, useful lives of fixed assets, insurance reserves, reserves for uncertain tax positions, and legal claims. Purchase obligations. As of February 1, 2020, the Company had purchase obligations of approximately $2.7 billion. These purchase obligations primarily consist of merchandise inventory purchase orders, commitments related to construction projects, store fixtures and supplies, and information technology services, transportation, and maintenance contracts. |
Cash and cash equivalents | Cash and cash equivalents. Cash equivalents consist of highly liquid, fixed income instruments purchased with an original maturity of three months or less. |
Restricted cash, cash equivalents, and investments | Restricted cash, cash equivalents, and investments. Restricted cash, cash equivalents, and investments serve as collateral for certain insurance obligations of the Company. These restricted funds are invested in bank deposits, money market mutual funds, U.S. Government and agency securities, and corporate securities and cannot be withdrawn from the Company’s account without the prior written consent of the secured parties. The classification between current and long-term is based on the timing of expected payments of the insurance obligations. |
Estimated fair value of financial instruments | Estimated fair value of financial instruments. The carrying value of cash and cash equivalents, short- and long-term investments, restricted cash and cash equivalents, restricted investments, accounts receivable, other long-term assets, accounts payable, and other long-term liabilities approximates their estimated fair value. See Note B and Note D for additional fair value information. Cash and cash equivalents were $1,351.2 million and $1,412.9 million, at February 1, 2020 and February 2, 2019, respectively, and include bank deposits and money market funds for which the fair value was determined using quoted prices for identical assets in active markets, which are considered to be Level 1 inputs under the fair value measurements and disclosures guidance. |
Investments | Investments. |
Merchandise inventory | Merchandise inventory. Merchandise inventory is stated at the lower of cost (determined using a weighted-average basis) or net realizable value. The Company purchases inventory that can either be shipped to stores or processed as packaway merchandise with the intent that it will be warehoused and released to stores at a later date. The timing of the release of packaway inventory to the stores is principally driven by the product mix and seasonality of the merchandise, and its relation to the Company’s store merchandise assortment plans. As such, the aging of packaway varies by merchandise category and seasonality of purchase, but typically packaway remains in storage less than six months. Merchandise inventory includes acquisition, processing, and storage costs related to packaway inventory. The cost of the Company’s merchandise inventory is reduced by valuation reserves for shortage based on historical shortage experience from the Company’s physical merchandise inventory counts and cycle counts. |
Cost of goods sold and Revenue recognition | Cost of goods sold. In addition to product costs, the Company includes in cost of goods sold its buying, distribution, and freight expenses as well as occupancy costs, and depreciation and amortization related to the Company’s retail stores, buying, and distribution facilities. Buying expenses include costs to procure merchandise inventories. Distribution expenses include the cost of operating the Company’s distribution centers, warehouses, and cross-dock facilities. Revenue recognition. The Company recognizes revenue at the point of sale, net of sales taxes collected and an allowance for estimated future returns as required by ASU No. 2014-09, Revenue from Contracts with Customers (ASC 606). The Company recognizes allowances for estimated sales returns on a gross basis as a reduction to sales. The asset recorded for the expected recovery of merchandise inventory was $10.7 million and $10.2 million and the liability recorded for the refund due to the customer was $20.9 million and $19.8 million as of February 1, 2020 and February 2, 2019, respectively. Prior to the adoption of ASC 606, the Company recognized allowances for sales returns on a net margin basis, which was $9.9 million as of February 3, 2018. Sales taxes collected that are outstanding and the allowance for estimated future returns are included in Accrued expenses and other and the asset for expected recovery of merchandise is included in Prepaid expenses and other in the Consolidated Balance Sheets. Sales of stored value cards are deferred until they are redeemed for the purchase of Company merchandise. The Company’s stored value cards do not have expiration dates. Based upon historical redemption rates, a small percentage of stored value cards will never be redeemed, which represents breakage. As a result of adopting ASC 606, breakage is estimated and recognized as revenue based upon the historical pattern of customer redemptions. In prior periods, breakage was recorded as a reduction of operating expense when customer redemption was considered remote. Breakage was not material to the consolidated financial statements in fiscal 2019, 2018, and 2017. |
Property and equipment | Property and equipment. three three |
Impairment of long-lived assets | Impairment of long-lived assets. Property and other long-term assets that are subject to depreciation and amortization are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable based on estimated undiscounted future cash flows. For stores that are closed, the Company records an impairment charge, if appropriate, or accelerates depreciation over the revised useful life of the asset. Intangible assets that are not subject to amortization, including goodwill, are tested for impairment annually or more frequently if events or changes in circumstances indicate that the asset may be impaired. |
Accounts payable | Accounts payable. Accounts payable represents amounts owed to third parties at the end of the period. Accounts payable includes book cash overdrafts (checks issued under zero balance accounts not yet presented for payment) in excess of cash balances in such accounts of approximately $138.8 million and $83.2 million at February 1, 2020 and February 2, 2019, respectively. The Company includes the change in book cash overdrafts in operating cash flows. |
Insurance obligations | Insurance obligations. |
Lease accounting | Lease accounting. As the Company’s leases generally do not provide an implicit discount rate, the Company uses the estimated collateralized incremental borrowing rate based on information available at the lease commencement date in determining the present value of lease payments for use in the calculation of the operating lease liabilities and right-of-use assets. This rate is determined using a portfolio approach based on the risk-adjusted rate of interest and requires estimates and assumptions including credit rating, credit spread, and adjustments for the impact of collateral. The Company believes that this is the rate it would have to pay to borrow an amount equal to the lease payments on a collateralized basis over a similar lease term. Operating lease liabilities and corresponding right-of-use assets include options to extend lease terms that are reasonably certain of being exercised. The Company does not record a lease liability and corresponding right-of-use asset for leases with terms of 12 months or less, and accounts for lease and non-lease components as a single lease component. The Company's lease portfolio is comprised of operating leases with the lease cost recorded on a straight-line basis over the lease term. Prior to the adoption of Accounting Standards Codification "ASC" 842 in the beginning of fiscal 2019, when a lease contained “rent holidays” or required fixed escalations of the minimum lease payments, the Company recorded rental expense on a straight-line basis over the term of the lease and the difference between the average rental amount was charged to expense and the amount payable under the lease was recorded as deferred rent. The Company began recording rent expense on the lease possession date. Tenant improvement allowances were amortized over the lease term. Changes in deferred rent and tenant improvement allowances were included as a component of operating activities in the Consolidated Statements of Cash Flows. |
Store pre-opening | Store pre-opening. Store pre-opening costs are expensed in the period incurred. |
Advertising | Advertising. |
Share-based compensation | Stock-based compensation. |
Taxes on earnings | Taxes on earnings. |
Treasury stock | Treasury stock. The Company records treasury stock at cost. Treasury stock includes shares purchased from employees for tax withholding purposes related to vesting of restricted stock grants. |
Earnings per share (EPS) | Earnings per share (“EPS”). The Company computes and reports both basic EPS and diluted EPS. Basic EPS is computed by dividing net earnings by the weighted-average number of common shares outstanding for the period. Diluted EPS is computed by dividing net earnings by the sum of the weighted-average number of common shares and dilutive common stock equivalents outstanding during the period. Diluted EPS reflects the total potential dilution that could occur from outstanding equity plan awards, including unexercised stock options and unvested shares of both performance and non-performance based awards of restricted stock. |
Comprehensive income | Comprehensive income. Comprehensive income includes net earnings and components of other comprehensive income (loss), net of tax, consisting of unrealized investment gains or losses. |
Recently issued and adopted accounting standards | Recently issued accounting standards. The Company considers the applicability and impact of all Accounting Standards Updates (“ASU”) issued by the FASB. ASUs not listed below were assessed and determined to be either not applicable or are expected to have minimal impact on the Company's consolidated financial results. Recently adopted accounting standards. In February 2016, the FASB issued ASU 2016-02, Leases (ASC 842), which along with subsequent amendments, supersedes the lease accounting requirements in ASC 840, Leases. The updated guidance requires balance sheet recognition for all leases with lease terms greater than one year including a lease liability, which is a lessee’s obligation to make lease payments arising from a lease, measured on a discounted basis; and a right-of-use asset, which is an asset that represents the lessee’s right to use, or control the use of, a specified asset for the lease term. The Company adopted ASC 842 as of February 3, 2019 (the "effective date"), using the optional transition method on a modified retrospective basis. The Company did not elect the transitional package of practical expedients or the use of hindsight upon adoption of the ASC. The Company elected to not record a lease liability and corresponding right-of-use asset for leases with terms of 12 months or less, and to account for lease and non-lease components as a single lease component. Upon adoption, the Company recorded lease liabilities based on the present value of the remaining minimum rental payments, using incremental borrowing rates as of the effective date, of $2.9 billion, and the corresponding right-of-use assets of $2.9 billion. The Company also recorded a cumulative-effect adjustment to decrease beginning retained earnings of $19.6 million, primarily related to the write-off of previously capitalized initial direct costs that are no longer capitalized under ASC 842, partially offset by the write-off of the deferred gain on a previous sale-leaseback transaction that meets the sale definition under ASC 842. Reporting periods beginning on or after February 3, 2019 are presented under ASC 842, while prior period amounts and disclosures were not adjusted and continue to be reported under ASC 840. Adoption of ASC 842 did not have a significant impact to the Company’s consolidated statements of earnings or to the consolidated statements of cash flows. In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers (ASC 606) which, along with subsequent amendments, supersedes the revenue recognition requirements in “Revenue Recognition (ASC 605).” This guidance provides a five-step analysis of transactions to determine when and how revenue is recognized and requires entities to recognize revenue when the customer obtains control of promised goods or services in an amount that reflects the consideration the entity expects to receive in exchange for those goods or services. The Company adopted ASC 606 as of February 4, 2018, using the modified retrospective method. Results for reporting periods beginning on or after February 4, 2018 are presented under ASC 606, while prior period amounts were not adjusted and continue to be reported in accordance with ASC 605. Upon adoption of ASC 606, the Company recorded a cumulative-effect adjustment to increase beginning retained earnings by $20 million as of February 4, 2018, primarily due to the change in the timing of the recognition of stored value card breakage. The impact of applying ASC 606 was not material to the Company's consolidated financial statements for the year ended February 2, 2019. In November 2016, the FASB issued ASU 2016-18, Statement of Cash Flows (Topic 230): Restricted Cash . ASU 2016-18 requires restricted cash and restricted cash equivalents be included with cash and cash equivalents when reconciling the total beginning and ending amounts on the statement of cash flows. The standard also requires companies who report cash and restricted cash separately on the balance sheet to reconcile those amounts to the statement of cash flows. The Company adopted ASU 2016-18 as of February 4, 2018, using the retrospective method. In March 2016, the FASB issued ASU 2016-09, Compensation - Stock Compensation (Topic 718) - Improvements to Employee Share-Based Payment Accounting . ASU 2016-09 provides for changes to accounting for stock compensation including 1) excess tax benefits and tax deficiencies related to share-based payment awards will be recognized as income tax benefit or expense in the reporting period in which they occur (previously such amounts were recognized in additional paid-in capital); 2) excess tax benefits will be classified as an operating activity in the statement of cash flows; and 3) the option to elect to estimate forfeitures or account for them when they occur. The impact of recording excess tax benefits in income taxes in the Company's consolidated statement of earnings may be material, depending upon the Company's future stock price on vest date in relation to the fair value of awards on grant date and the future grants of stock-based compensation. The Company adopted ASU 2016-09 in the first quarter of fiscal 2017, and elected to apply this adoption prospectively, except for forfeitures which it adopted on a modified retrospective basis. Accordingly, prior periods have not been adjusted. As a result of adoption, for the fiscal year ended February 3, 2018, the Company recognized $16.3 million of excess tax benefits related to stock-based payments as a reduction to its provision for income taxes. These items were historically recorded in additional paid-in capital. The Company also presented cash flows related to excess tax benefits as an operating activity in the Consolidated Statement of Cash Flows and elected to account for forfeitures as incurred beginning on January 29, 2017. The impact of this accounting policy |
Reclassifications | Reclassifications. Certain items related to income taxes in the prior year’s consolidated statements of cash flows have been reclassified to conform to the current year's presentation. |
Fair value measurement | Accounting standards pertaining to fair value measurements establish a three-tier fair value hierarchy which prioritizes the inputs used in measuring fair value. The inputs used to measure fair value include: Level 1, observable inputs such as quoted prices in active markets; Level 2, inputs other than quoted prices in active markets that are either directly or indirectly observable; and Level 3, unobservable inputs in which little or no market data exists. This fair value hierarchy requires the Company to develop its own assumptions and maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. Corporate, U.S. government and agency, and mortgage-backed securities are classified within Level 1 or Level 2 because these securities are valued using quoted market prices or alternative pricing sources and models utilizing market observable inputs. |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Feb. 01, 2020 | |
Accounting Policies [Abstract] | |
Schedule of Restricted Cash Reconciliation | The following table provides a reconciliation of cash, cash equivalents, restricted cash and cash equivalents in the Consolidated Balance Sheets that reconcile to the amounts shown on the Consolidated Statements of Cash Flows: ($000) 2019 2018 2017 Cash and cash equivalents $ 1,351,205 $ 1,412,912 $ 1,290,294 Restricted cash and cash equivalents included in: Prepaid expenses and other 10,235 11,402 9,412 Other long-term assets 49,970 53,765 53,566 Total restricted cash and cash equivalents 60,205 65,167 62,978 Total cash, cash equivalents and restricted cash and equivalents $ 1,411,410 $ 1,478,079 $ 1,353,272 |
Schedule Of Other Long-Term Assets | Other long-term assets as of February 1, 2020 and February 2, 2019 consisted of the following: ($000) 2019 2018 Deferred compensation (Note B) $ 141,443 $ 124,558 Restricted cash and investments 49,970 53,765 Other 16,908 16,148 Total $ 208,321 $ 194,471 |
Summary Of Insurance Obligations | Self-insurance and deductible reserves as of February 1, 2020 and February 2, 2019 consisted of the following: ($000) 2019 2018 Workers’ compensation $ 87,063 $ 89,993 General liability 44,371 42,877 Medical plans 6,430 6,515 Total $ 137,864 $ 139,385 |
Schedule Of Other Long-Term Liabilities | Other long-term liabilities as of February 1, 2020 and February 2, 2019 consisted of the following: ($000) 2019 2018 Income taxes (Note F) $ 65,956 $ 77,872 Deferred compensation (Note G) 141,443 124,558 Deferred rent — 1 81,442 Tenant improvement allowances — 1 25,418 Other 6,687 12,423 Total $ 214,086 $ 321,713 1 Fiscal 2019 reflects the impact of adoption of ASU 2016-02, Leases (Accounting Standards Codification "ASC" 842) on a modified retrospective basis; fiscal 2018 was not restated. |
Schedule of Disaggregation of Revenue | The following sales mix table disaggregates revenue by merchandise category for fiscal 2019, 2018, and 2017: 2019 2018 2017 Ladies 26 % 26 % 27 % Home Accents and Bed and Bath 25 % 26 % 26 % Men’s 14 % 14 % 13 % Accessories, Lingerie, Fine Jewelry, and Fragrances 13 % 13 % 13 % Shoes 13 % 13 % 13 % Children’s 9 % 8 % 8 % Total 100 % 100 % 100 % |
Schedule Of Basic And Diluted EPS | The following is a reconciliation of the number of shares (denominator) used in the basic and diluted EPS computations: Shares in (000s) Basic EPS Effect of dilutive Diluted 2019 Shares 358,462 2,720 361,182 Amount $ 4.63 $ (0.03) $ 4.60 2018 Shares 369,533 3,145 372,678 Amount $ 4.30 $ (0.04) $ 4.26 2017 Shares 381,174 3,155 384,329 Amount $ 3.58 $ (0.03) $ 3.55 |
Investments and Restricted In_2
Investments and Restricted Investments (Tables) | 12 Months Ended |
Feb. 01, 2020 | |
Fair Value Disclosures [Abstract] | |
Fair Value, By Balance Sheet Grouping | The fair value of the Company’s financial instruments as of February 1, 2020 and February 2, 2019 are as follows: ($000) 2019 2018 Cash and cash equivalents (Level 1) $ 1,351,205 $ 1,412,912 Investments (Level 2) $ 8 $ 125 Restricted cash and cash equivalents (Level 1) $ 60,205 $ 65,167 Restricted investments (Level 2) $ — $ 400 |
Schedule Of Fair Value, Assets And Liabilities Measured on Recurring Basis | The fair value measurement for funds with quoted market prices in active markets (Level 1) and for funds without quoted market prices in active markets (Level 2) are as follows: ($000) 2019 2018 Level 1 $ 134,440 $ 114,181 Level 2 7,003 10,377 Total $ 141,443 $ 124,558 |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 12 Months Ended |
Feb. 01, 2020 | |
Share-based Payment Arrangement, Noncash Expense [Abstract] | |
Recognized Stock-Based Compensation | For fiscal 2019, 2018, and 2017, the Company recognized stock-based compensation expense as follows: ($000) 2019 2018 2017 Restricted stock $ 54,975 $ 48,585 $ 44,356 Performance awards 36,542 43,450 39,871 ESPP 3,921 3,550 3,190 Total $ 95,438 $ 95,585 $ 87,417 |
Total Stock-Based Compensation Recognized In The Consolidated Statements Of Earnings | Total stock-based compensation recognized in the Company’s Consolidated Statements of Earnings for fiscal 2019, 2018, and 2017 is as follows: Statements of Earnings Classification ($000) 2019 2018 2017 Cost of goods sold $ 54,265 $ 45,052 $ 41,067 Selling, general and administrative 41,173 50,533 46,350 Total $ 95,438 $ 95,585 $ 87,417 |
Debt (Tables)
Debt (Tables) | 12 Months Ended |
Feb. 01, 2020 | |
Debt Disclosure [Abstract] | |
Schedule of Long-term Debt Instruments | Unsecured senior debt, net of unamortized discounts and debt issuance costs, as of February 1, 2020 and February 2, 2019 consisted of the following: ($000) 2019 2018 6.53% Series B Senior Notes due 2021 $ 64,963 $ 64,942 3.375% Senior Notes due 2024 247,928 247,498 Total long-term debt $ 312,891 $ 312,440 |
Schedule of Maturities of Long-term Debt | The following table shows scheduled annual principal payments on long-term debt: ($000) 2020 $ — 2021 $ 65,000 2022 $ — 2023 $ — 2024 $ 250,000 Thereafter $ — |
Interest Income and Interest Expense Disclosure | The table below shows the components of interest expense and income for fiscal 2019, 2018, and 2017: ($000) 2019 2018 2017 Interest expense on long-term debt $ 13,139 $ 17,900 $ 18,578 Other interest expense 968 1,004 979 Capitalized interest (4,367) (2,497) (710) Interest income (27,846) (26,569) (11,171) Interest (income) expense, net $ (18,106) $ (10,162) $ 7,676 |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Feb. 01, 2020 | |
Leases [Abstract] | |
Summary of Locations and Expiration Dates of Leased Warehouses | The following table summarizes the location and expiration date of the Company's leased warehouses: Location Lease Expiration Date Leased Distribution Centers/Warehouses Moreno Valley, California 1 2023 Moreno Valley, California 1 2029 Shafter, California 2029 Shafter, California 1 2020 Carlisle, Pennsylvania 2022 Carlisle, Pennsylvania 2021 Fort Mill, South Carolina 2024 Fort Mill, South Carolina 1 2020 Rock Hill, South Carolina 2028 1 Operated by a third party. |
Schedule of Net Operating Lease Costs | The following table presents net operating lease costs included in the Consolidated Statement of Earnings for fiscal 2019: ($000) 2019 Operating lease cost 1 $ 639,545 Variable lease costs 2 174,438 Net lease cost 3 $ 813,983 1 Net of sublease income which was immaterial. 2 Includes property and rent taxes, insurance, common area maintenance, and percentage rent. 3 Excludes short-term lease costs which were immaterial. |
Schedule of Maturities of Operating Lease Liabilities | The maturity of operating lease liabilities, including the ground lease related to the New York buying office as of February 1, 2020, are as follows: ($000) Operating Leases 1 2020 $ 607,490 2021 633,846 2022 557,484 2023 469,211 2024 359,101 Thereafter 1,613,176 Total lease payments $ 4,240,308 Less: interest 1,065,299 Present value of lease liabilities $ 3,175,009 Less: current operating lease liabilities 564,481 Non-current operating lease liabilities $ 2,610,528 1 Operating leases exclude $266.8 million of minimum lease payments for leases signed that have not yet commenced. |
Future Minimum Annual Lease Payments | In accordance with ASC 840, the aggregate undiscounted future minimum annual lease payments under leases, including the ground lease related to the New York buying office, in effect at February 2, 2019 are as follows: ($000) Total operating leases 2020 $ 555,812 2021 580,712 2022 499,678 2023 424,695 2024 339,340 Thereafter 1,575,673 Total minimum lease payments $ 3,975,910 |
Taxes on Earnings (Tables)
Taxes on Earnings (Tables) | 12 Months Ended |
Feb. 01, 2020 | |
Income Tax Disclosure [Abstract] | |
Schedule for Income Tax Provision | The provision for income taxes consisted of the following: ($000) 2019 2018 2017 Current Federal $ 414,823 $ 357,170 $ 660,017 State 56,528 74,472 52,853 471,351 431,642 712,870 Deferred Federal 28,244 33,913 (40,468) State 3,765 (2,136) 5,565 32,009 31,777 (34,903) Total $ 503,360 $ 463,419 $ 677,967 |
Provision for Taxes Effective Rate | The provision for taxes for financial reporting purposes is different from the tax provision computed by applying the statutory federal income tax rate. The differences are reconciled below: 2019 2018 2017 Federal income taxes at the statutory rate 21 % 21 % 34 % State income taxes (net of federal benefit) and other, net 2 3 2 Tax audit settlements — (1) — Impact of the Tax Act on deferred taxes — — (3) Total 23 % 23 % 33 % |
Components of Deferred Income Taxes | The components of deferred taxes at February 1, 2020 and February 2, 2019 are as follows: ($000) 2019 2018 Deferred Tax Assets Accrued liabilities $ 35,242 $ 38,367 Deferred compensation 33,108 30,886 Stock-based compensation 35,290 36,118 Deferred rent — 19,824 State taxes and credits 20,178 20,310 Employee benefits 18,425 18,845 Operating lease liabilities 797,467 1 — Other 3,353 1,412 Gross Deferred Tax Assets 943,063 165,762 Less: Valuation allowance (4,590) (4,639) Deferred Tax Assets 938,473 161,123 Deferred Tax Liabilities Depreciation (273,255) (238,631) Merchandise inventory (26,376) (25,686) Supplies (10,972) (10,308) Operating lease assets (766,874) 1 — Other (10,675) (10,806) Deferred Tax Liabilities (1,088,152) (285,431) Net Deferred Tax Liabilities $ (149,679) $ (124,308) 1 Fiscal 2019 reflects the impact of adoption of ASU 2016-02, Leases (ASC 842) on a modified retrospective basis; fiscal 2018 was not restated. |
Unrecognized Tax Benefits | The changes in amounts of unrecognized tax benefits (gross of federal tax benefits and excluding interest and penalties) at fiscal 2019, 2018, and 2017 are as follows: ($000) 2019 2018 2017 Unrecognized tax benefits - beginning of year $ 65,787 $ 98,666 $ 81,122 Gross increases: Tax positions in current period 13,864 14,722 26,837 Tax positions in prior period 2,672 1,843 — Gross decreases: Tax positions in prior periods (9,559) (40,600) (2,755) Lapse of statutes of limitations (8,653) (8,584) (6,068) Settlements (4,224) (260) (470) Unrecognized tax benefits - end of year $ 59,887 $ 65,787 $ 98,666 |
Stockholders' Equity (Tables)
Stockholders' Equity (Tables) | 12 Months Ended |
Feb. 01, 2020 | |
Stockholders' Equity Note [Abstract] | |
Schedule of Stock Repurchase Activity | The following table summarizes the Company’s stock repurchase activity in fiscal 2019, 2018, and 2017: Fiscal Year Shares repurchased Average repurchase Repurchased 2019 12.3 $103.99 $1,275 2018 12.5 $86.19 $1,075 2017 13.5 $64.87 $875 |
Summary of Unvested Restricted Stock Activity | A summary of restricted stock and performance share award activity for fiscal 2019 is presented below: Number of Weighted-average Unvested at February 2, 2019 5,130 $62.50 Awarded 1,422 95.25 Released (1,782) 53.14 Forfeited (376) 70.90 Unvested at February 1, 2020 4,394 $76.20 |
Quarterly Financial Data (Una_2
Quarterly Financial Data (Unaudited) (Tables) | 12 Months Ended |
Feb. 01, 2020 | |
Quarterly Financial Data [Abstract] | |
Schedule of Quarterly Financial Data | Summarized quarterly financial information for fiscal 2019 and 2018 is presented in the tables below. Year ended February 1, 2020: Quarter Ended ($000, except per share data) May 4, 2019 August 3, 2019 November 2, 2019 February 1, 2020 Sales $ 3,796,642 $ 3,979,869 $ 3,849,117 $ 4,413,445 Cost of goods sold 2,701,668 2,843,850 2,766,432 3,224,237 Selling, general and administrative 558,250 591,970 604,605 601,879 Interest income, net (5,635) (4,782) (4,402) (3,287) Total costs and expenses 3,254,283 3,431,038 3,366,635 3,822,829 Earnings before taxes 542,359 548,831 482,482 590,616 Provision for taxes on earnings 121,217 136,110 111,550 134,483 Net earnings $ 421,142 $ 412,721 $ 370,932 $ 456,133 Earnings per share – basic 1 $ 1.16 $ 1.15 $ 1.04 $ 1.29 ² Earnings per share – diluted 1 $ 1.15 $ 1.14 $ 1.03 $ 1.28 ² Cash dividends declared per share on common stock $ 0.255 $ 0.255 $ 0.255 $ 0.255 ¹ EPS is computed independently for each of the quarters presented. The sum of the quarters may not equal the total year amount due to the impact of changes in average quarterly shares outstanding. ² Includes a per share benefit of approximately $0.02 primarily related to the favorable resolution of a tax matter. Year ended February 2, 2019: Quarter Ended ($000, except per share data) May 5, 2018 August 4, 2018 November 3, 2018 February 2, 2019 Sales $ 3,588,619 $ 3,737,926 $ 3,549,608 $ 4,107,388 Cost of goods sold 2,522,219 2,666,983 2,547,331 2,989,744 Selling, general and administrative 524,423 554,581 561,577 575,969 Interest income, net (503) (1,393) (2,953) (5,313) Total costs and expenses 3,046,139 3,220,171 3,105,955 3,560,400 Earnings before taxes 542,480 517,755 443,653 546,988 Provision for taxes on earnings 124,228 128,351 105,545 105,295 Net earnings $ 418,252 $ 389,404 $ 338,108 $ 441,693 Earnings per share – basic 1 $ 1.12 $ 1.05 $ 0.92 $ 1.21 ² Earnings per share – diluted 1 $ 1.11 $ 1.04 $ 0.91 $ 1.20 ² Cash dividends declared per share on common stock $ 0.225 $ 0.225 $ 0.225 $ 0.225 ¹ EPS is computed independently for each of the quarters presented. The sum of the quarters may not equal the total year amount due to the impact of changes in average quarterly shares outstanding. ² Includes a per share benefit of approximately $0.07 from the favorable resolution of a tax matter. |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies (Narrative) (Details) | 12 Months Ended | ||||||
Feb. 01, 2020USD ($)statesegmentstoresstoreshares | Feb. 02, 2019USD ($)shares | Feb. 03, 2018USD ($)shares | Feb. 03, 2019USD ($) | Feb. 04, 2018USD ($) | Jan. 29, 2017USD ($) | ||
Summary Of Significant Accounting Policies [Line Items] | |||||||
Number of reportable segments | segment | 1 | ||||||
Restricted investments | $ 400,000 | ||||||
Cash and cash equivalents | $ 1,351,205,000 | 1,412,912,000 | $ 1,290,294,000 | ||||
Packaway inventory, storage period, less than | 6 months | ||||||
Depreciation and amortization expense on property and equipment | $ 350,892,000 | 330,357,000 | 313,163,000 | [1] | |||
Capitalized interest | 4,367,000 | 2,497,000 | 710,000 | ||||
Asset impairment charges | 0 | 0 | 0 | ||||
Book cash overdrafts | 138,800,000 | 83,200,000 | |||||
Expected recovery of merchandise inventory | 10,700,000 | 10,200,000 | |||||
Refund due to customers | 20,900,000 | 19,800,000 | |||||
Allowance for sales return | 9,900,000 | ||||||
Advertising costs | $ 74,000,000 | $ 79,900,000 | $ 76,400,000 | ||||
Anti-dilutive weighted average shares excluded from EPS calculation (in shares) | shares | 27,400 | 23,700 | 2,800 | ||||
Operating lease liability | $ 3,175,009,000 | ||||||
Operating lease assets | 3,053,782,000 | ||||||
Accounting Standards Update 2016-02 | |||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||
Operating lease liability | $ 2,900,000,000 | ||||||
Operating lease assets | 2,900,000,000 | ||||||
Cumulative effect of adoption of accounting standard | 19,614,000 | ||||||
Accounting Standards Update 2016-02 | Retained earnings | |||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||
Cumulative effect of adoption of accounting standard | $ 19,614,000 | $ 20,000,000 | |||||
Accounting Standards Update 2016-09 | |||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||
Cumulative effect of adoption of accounting standard | $ (676,000) | ||||||
Tax benefits related to employee equity programs | 13,300,000 | $ 12,600,000 | $ 16,300,000 | ||||
Accounting Standards Update 2016-09 | Retained earnings | |||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||
Cumulative effect of adoption of accounting standard | $ 1,113,000 | ||||||
Property, Plant and Equipment | |||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||
Property and equipment purchased but not yet paid | $ 40,300,000 | $ 33,700,000 | $ 24,300,000 | ||||
Minimum | Equipment | |||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||
Property and equipment estimated useful life, straight-line method | 3 years | ||||||
Minimum | Land Improvements and Buildings | |||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||
Property and equipment estimated useful life, straight-line method | 20 years | ||||||
Minimum | Computer Software | |||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||
Property and equipment estimated useful life, straight-line method | 3 years | ||||||
Maximum | Equipment | |||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||
Property and equipment estimated useful life, straight-line method | 12 years | ||||||
Maximum | Land Improvements and Buildings | |||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||
Property and equipment estimated useful life, straight-line method | 40 years | ||||||
Maximum | Computer Software | |||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||
Property and equipment estimated useful life, straight-line method | 7 years | ||||||
Ross Dress For Less | |||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||
Number of stores | stores | 1,546 | ||||||
Number of states company operates in | state | 39 | ||||||
dd's Discounts | |||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||
Number of stores | store | 259 | ||||||
Number of states company operates in | state | 19 | ||||||
[1] | As the result of the adoption of ASU 2016-18, Statement of Cash Flow (Topic 230): Restricted Cash, in fiscal 2018, the prior year amounts were retrospectively adjusted to include restricted cash and cash equivalents. See Note A. |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies (Schedule of Restricted Cash Reconciliation) (Details) - USD ($) $ in Thousands | Feb. 01, 2020 | Feb. 02, 2019 | Feb. 03, 2018 | Jan. 28, 2017 |
Accounting Policies [Abstract] | ||||
Cash and cash equivalents | $ 1,351,205 | $ 1,412,912 | $ 1,290,294 | |
Restricted cash and cash equivalents included in: | ||||
Prepaid expenses and other | 10,235 | 11,402 | 9,412 | |
Other long-term assets | 49,970 | 53,765 | 53,566 | |
Total restricted cash and cash equivalents | 60,205 | 65,167 | 62,978 | |
Total cash, cash equivalents and restricted cash and equivalents | $ 1,411,410 | $ 1,478,079 | $ 1,353,272 | $ 1,176,180 |
Summary of Significant Accoun_6
Summary of Significant Accounting Policies (Schedule Of Other Long-Term Assets) (Details) - USD ($) $ in Thousands | Feb. 01, 2020 | Feb. 02, 2019 |
Accounting Policies [Abstract] | ||
Deferred compensation (Note B) | $ 141,443 | $ 124,558 |
Restricted cash and investments | 49,970 | 53,765 |
Other | 16,908 | 16,148 |
Total | $ 208,321 | $ 194,471 |
Summary of Significant Accoun_7
Summary of Significant Accounting Policies (Summary Of Insurance Obligations) (Details) - USD ($) $ in Thousands | Feb. 01, 2020 | Feb. 02, 2019 |
Accounting Policies [Abstract] | ||
Workers’ compensation | $ 87,063 | $ 89,993 |
General liability | 44,371 | 42,877 |
Medical plans | 6,430 | 6,515 |
Total | $ 137,864 | $ 139,385 |
Summary of Significant Accoun_8
Summary of Significant Accounting Policies (Schedule Of Other Long-Term Liabilities) (Details) - USD ($) $ in Thousands | Feb. 01, 2020 | Feb. 02, 2019 |
Accounting Policies [Abstract] | ||
Income taxes (Note F) | $ 65,956 | $ 77,872 |
Deferred compensation (Note G) | 141,443 | 124,558 |
Deferred rent | 81,442 | |
Tenant improvement allowances | 0 | 25,418 |
Other | 6,687 | 12,423 |
Total | $ 214,086 | $ 321,713 |
Summary of Significant Accoun_9
Summary of Significant Accounting Policies (Schedule of Disaggregation of Revenue) (Details) | 12 Months Ended | ||
Feb. 01, 2020 | Feb. 02, 2019 | Feb. 03, 2018 | |
Disaggregation of Revenue [Line Items] | |||
Revenue as percentage | 100.00% | 100.00% | 100.00% |
Ladies | |||
Disaggregation of Revenue [Line Items] | |||
Revenue as percentage | 26.00% | 26.00% | 27.00% |
Home Accents and Bed and Bath | |||
Disaggregation of Revenue [Line Items] | |||
Revenue as percentage | 25.00% | 26.00% | 26.00% |
Men’s | |||
Disaggregation of Revenue [Line Items] | |||
Revenue as percentage | 14.00% | 14.00% | 13.00% |
Accessories, Lingerie, Fine Jewelry, and Fragrances | |||
Disaggregation of Revenue [Line Items] | |||
Revenue as percentage | 13.00% | 13.00% | 13.00% |
Shoes | |||
Disaggregation of Revenue [Line Items] | |||
Revenue as percentage | 13.00% | 13.00% | 13.00% |
Childrens [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenue as percentage | 9.00% | 8.00% | 8.00% |
Summary of Significant Accou_10
Summary of Significant Accounting Policies (Schedule Of Basic And Diluted EPS) (Details) - $ / shares shares in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Feb. 01, 2020 | Nov. 02, 2019 | Aug. 03, 2019 | May 04, 2019 | Feb. 02, 2019 | Nov. 03, 2018 | Aug. 04, 2018 | May 05, 2018 | Feb. 01, 2020 | Feb. 02, 2019 | Feb. 03, 2018 | |
Accounting Policies [Abstract] | |||||||||||
Basic (in shares) | 358,462 | 369,533 | 381,174 | ||||||||
Basic (in dollars per share) | $ 1.29 | $ 1.04 | $ 1.15 | $ 1.16 | $ 1.21 | $ 0.92 | $ 1.05 | $ 1.12 | $ 4.63 | $ 4.30 | $ 3.58 |
Effect of dilutive common stock equivalents (in shares) | 2,720 | 3,145 | 3,155 | ||||||||
Effect of dilutive common stock equivalents (in dollars per share) | $ (0.03) | $ (0.04) | $ (0.03) | ||||||||
Diluted (in shares) | 361,182 | 372,678 | 384,329 | ||||||||
Diluted (in dollars per share) | $ 1.28 | $ 1.03 | $ 1.14 | $ 1.15 | $ 1.20 | $ 0.91 | $ 1.04 | $ 1.11 | $ 4.60 | $ 4.26 | $ 3.55 |
Investments and Restricted In_3
Investments and Restricted Investments (Balance Sheet Items) (Details) - USD ($) $ in Thousands | Feb. 01, 2020 | Feb. 02, 2019 | Feb. 03, 2018 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Restricted cash and cash equivalents (Level 1) | $ 60,205 | $ 65,167 | $ 62,978 |
Level 1 | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Cash and cash equivalents (Level 1) | 1,351,205 | 1,412,912 | |
Restricted cash and cash equivalents (Level 1) | 60,205 | 65,167 | |
Level 2 | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Investments (Level 2) | 8 | 125 | |
Restricted investments (Level 2) | $ 0 | $ 400 |
Investments and Restricted In_4
Investments and Restricted Investments (Underlying Assets in Deferred Compensation Program) (Details) - USD ($) $ in Thousands | Feb. 01, 2020 | Feb. 02, 2019 |
Defined Benefit Plan Disclosure [Line Items] | ||
Other long-term assets of long-term plan investments | $ 141,443 | $ 124,558 |
Level 1 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Other long-term assets of long-term plan investments | 134,440 | 114,181 |
Level 2 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Other long-term assets of long-term plan investments | $ 7,003 | $ 10,377 |
Stock-Based Compensation (Recog
Stock-Based Compensation (Recognized stock-based compensation expense) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Feb. 01, 2020 | Feb. 02, 2019 | Feb. 03, 2018 | |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||
Stock-based compensation | $ 95,438 | $ 95,585 | $ 87,417 |
Restricted stock | |||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||
Stock-based compensation | 54,975 | 48,585 | 44,356 |
Performance awards | |||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||
Stock-based compensation | 36,542 | 43,450 | 39,871 |
ESPP | |||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||
Stock-based compensation | $ 3,921 | $ 3,550 | $ 3,190 |
Stock-Based Compensation (Narra
Stock-Based Compensation (Narrative) (Details) $ in Millions | 12 Months Ended | ||
Feb. 01, 2020USD ($)plan | Feb. 02, 2019USD ($) | Feb. 03, 2018USD ($) | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Discount rate under the ESPP (in percentage) | 15.00% | ||
Tax benefit related to stock-based compensation | $ | $ 18.5 | $ 19.6 | $ 29.5 |
Stock Compensation Plan | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Number of stock-based compensation plans | plan | 1 |
Stock-Based Compensation (Total
Stock-Based Compensation (Total Stock-Based Compensation Recognized In The Consolidated Statements Of Earnings) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Feb. 01, 2020 | Feb. 02, 2019 | Feb. 03, 2018 | |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||
Stock-based compensation | $ 95,438 | $ 95,585 | $ 87,417 |
Cost of goods sold | |||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||
Stock-based compensation | 54,265 | 45,052 | 41,067 |
Selling, general and administrative | |||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||
Stock-based compensation | $ 41,173 | $ 50,533 | $ 46,350 |
Debt (Unsecured Senior Notes, N
Debt (Unsecured Senior Notes, Net of Unamortized Discounts and Issuance Costs) (Details) - USD ($) $ in Thousands | Feb. 01, 2020 | Feb. 02, 2019 |
Debt Instrument [Line Items] | ||
Long-term Debt | $ 312,891 | $ 312,440 |
6.53% Series B Senior Notes due 2021 | ||
Debt Instrument [Line Items] | ||
Long-term Debt | 64,963 | 64,942 |
3.375% Senior Notes due 2024 | ||
Debt Instrument [Line Items] | ||
Long-term Debt | $ 247,928 | $ 247,498 |
Debt (Narrative) (Details)
Debt (Narrative) (Details) - USD ($) | Dec. 13, 2018 | Mar. 31, 2020 | Feb. 01, 2020 | Jul. 31, 2019 | Jun. 30, 2019 | Feb. 02, 2019 |
Debt Instrument [Line Items] | ||||||
Unamortized discount and debt issuance costs | $ 2,100,000 | $ 2,600,000 | ||||
Amount of borrowings outstanding | 0 | |||||
Collateral trust | 56,000,000 | 58,300,000 | ||||
Unsecured Series A and B Senior Notes | ||||||
Debt Instrument [Line Items] | ||||||
Aggregate principal amount of unsecured senior notes | 65,000,000 | |||||
Unsecured Revolving Credit Facility | ||||||
Debt Instrument [Line Items] | ||||||
Current borrowing capacity | $ 800,000,000 | $ 800,000,000 | $ 600,000,000 | |||
Sublimit for issuance of standby letters of credit | 300,000,000 | |||||
Maximum borrowing capacity for revolving credit facility (up to) | $ 300,000,000 | |||||
Interest rate, margin in addition to LIBOR (percent) | 7500.00% | |||||
Unsecured Revolving Credit Facility | Subsequent Event | ||||||
Debt Instrument [Line Items] | ||||||
Interest rate, margin in addition to LIBOR (percent) | 0.75% | |||||
Amount borrowed from revolving credit facility | $ 800,000,000 | |||||
Current interest rate for revolving credit facility borrowings (percent) | 1.61% | |||||
Standby Letters of Credit | ||||||
Debt Instrument [Line Items] | ||||||
Letters of credit | $ 4,200,000 | 7,300,000 | ||||
Trade Letters Of Credit | ||||||
Debt Instrument [Line Items] | ||||||
Letters of credit | $ 11,200,000 | 13,300,000 | ||||
Senior Notes due 2021 | 6.53% Series B Senior Notes due 2021 | ||||||
Debt Instrument [Line Items] | ||||||
Unsecured senior notes interest rate (in percentage) | 6.53% | |||||
Senior Notes due 2024 | 3.375% Senior Notes due 2024 | ||||||
Debt Instrument [Line Items] | ||||||
Aggregate principal amount of unsecured senior notes | $ 250,000,000 | |||||
Unsecured senior notes interest rate (in percentage) | 3.375% | |||||
Senior Notes due 2018 | ||||||
Debt Instrument [Line Items] | ||||||
Unsecured senior notes interest rate (in percentage) | 6.38% | |||||
Senior Notes due 2018 | Series A Unsecured Senior Notes | ||||||
Debt Instrument [Line Items] | ||||||
Extinguishment of debt | $ 85,000,000 | |||||
Level 1 | ||||||
Debt Instrument [Line Items] | ||||||
Unsecured senior notes estimated fair value | $ 335,000,000 | $ 316,000,000 |
Debt (Schedule of Maturities of
Debt (Schedule of Maturities of Long-term Debt) (Details) $ in Thousands | Feb. 01, 2020USD ($) |
Debt Disclosure [Abstract] | |
2020 | $ 0 |
2021 | 65,000 |
2022 | 0 |
2023 | 0 |
2024 | 250,000 |
Thereafter | $ 0 |
Debt (Interest Expense_Income,
Debt (Interest Expense/Income, Net) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Feb. 01, 2020 | Nov. 02, 2019 | Aug. 03, 2019 | May 04, 2019 | Feb. 02, 2019 | Nov. 03, 2018 | Aug. 04, 2018 | May 05, 2018 | Feb. 01, 2020 | Feb. 02, 2019 | Feb. 03, 2018 | |
Debt Disclosure [Abstract] | |||||||||||
Interest expense on long-term debt | $ 13,139 | $ 17,900 | $ 18,578 | ||||||||
Other interest expense | 968 | 1,004 | 979 | ||||||||
Capitalized interest | (4,367) | (2,497) | (710) | ||||||||
Interest income | (27,846) | (26,569) | (11,171) | ||||||||
Interest (income) expense, net | $ (3,287) | $ (4,402) | $ (4,782) | $ (5,635) | $ (5,313) | $ (2,953) | $ (1,393) | $ (503) | $ (18,106) | $ (10,162) | $ 7,676 |
Leases (Narrative) (Details)
Leases (Narrative) (Details) ft² in Thousands, $ in Thousands | Feb. 03, 2019USD ($) | Nov. 30, 2017USD ($) | Feb. 01, 2020USD ($)ft²warehousestoresoption | Feb. 02, 2019USD ($) | Feb. 03, 2018USD ($) |
Operating Leased Assets [Line Items] | |||||
Number of store sites owned | stores | 2 | ||||
Non-cancelable lease term | 10 years | ||||
Renewal option term of leases | 5 years | ||||
Proceeds from sale of property and equipment | $ 16,000 | $ 0 | $ 0 | $ 15,981 | |
Gain on sale of leaseback transaction | 6,300 | $ 0 | 0 | 6,328 | |
Deferred gain on sale of leaseback transaction | $ 7,500 | ||||
Operating lease, weighted average remaining lease term | 10 years 8 months 12 days | ||||
Operating lease, weighted average discount rate (percent) | 3.50% | ||||
Operating lease, weighted average remaining lease term, excluding ground leases | 6 years 1 month 6 days | ||||
Operating lease, weighted average discount rate, excluding ground leases (percent) | 0.031 | ||||
Payments for operating lease liabilities | $ 608,600 | ||||
Right-of-use assets obtained in exchange for operating lease liabilities | $ 739,300 | ||||
Operating leases, rent expense | $ 569,800 | $ 532,400 | |||
Warehouse | |||||
Operating Leased Assets [Line Items] | |||||
Number of leased distribution centers/warehouses | warehouse | 9 | ||||
Accounting Standards Update 2016-02 | |||||
Operating Leased Assets [Line Items] | |||||
Write off of deferred gain related to sale leaseback transaction | $ 6,500 | ||||
Los Angeles | |||||
Operating Leased Assets [Line Items] | |||||
Square feet of office space leased | ft² | 103 | ||||
Boston | |||||
Operating Leased Assets [Line Items] | |||||
Square feet of office space leased | ft² | 5 | ||||
Minimum | |||||
Operating Leased Assets [Line Items] | |||||
Non-cancelable lease term | 3 years | ||||
Number of options to renew store lease for five year period | option | 3 | ||||
Maximum | |||||
Operating Leased Assets [Line Items] | |||||
Non-cancelable lease term | 10 years | ||||
Number of options to renew store lease for five year period | option | 4 |
Leases (Lease Costs) (Details)
Leases (Lease Costs) (Details) $ in Thousands | 12 Months Ended |
Feb. 01, 2020USD ($) | |
Leases [Abstract] | |
Operating Lease cost | $ 639,545 |
Variable lease costs | 174,438 |
Net lease cost | $ 813,983 |
Leases (Maturities Of Operating
Leases (Maturities Of Operating Lease Liabilities) (Details) $ in Thousands | Feb. 01, 2020USD ($) |
Leases [Abstract] | |
2020 | $ 607,490 |
2021 | 633,846 |
2022 | 557,484 |
2023 | 469,211 |
2024 | 359,101 |
Thereafter | 1,613,176 |
Total lease payments | 4,240,308 |
Less: interest | 1,065,299 |
Present value of lease liabilities | 3,175,009 |
Less: current operating lease liabilities | 564,481 |
Non-current operating lease liabilities | 2,610,528 |
Minimum lease payments for leases signed that have not yet commenced | $ 266,800 |
Lease (Future Minimum Annual Le
Lease (Future Minimum Annual Lease Payments) (Details) $ in Thousands | Feb. 01, 2020USD ($) |
Leases [Abstract] | |
2020 | $ 555,812 |
2021 | 580,712 |
2022 | 499,678 |
2023 | 424,695 |
2024 | 339,340 |
Thereafter | 1,575,673 |
Total minimum lease payments | $ 3,975,910 |
Taxes on Earnings (Provision Fo
Taxes on Earnings (Provision For Income Taxes) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Feb. 01, 2020 | Nov. 02, 2019 | Aug. 03, 2019 | May 04, 2019 | Feb. 02, 2019 | Nov. 03, 2018 | Aug. 04, 2018 | May 05, 2018 | Feb. 01, 2020 | Feb. 02, 2019 | Feb. 03, 2018 | |
Current | |||||||||||
Federal | $ 414,823 | $ 357,170 | $ 660,017 | ||||||||
State | 56,528 | 74,472 | 52,853 | ||||||||
Current income taxes | 471,351 | 431,642 | 712,870 | ||||||||
Deferred | |||||||||||
Federal | 28,244 | 33,913 | (40,468) | ||||||||
State | 3,765 | (2,136) | 5,565 | ||||||||
Deferred income taxes | 32,009 | 31,777 | (34,903) | ||||||||
Total | $ 134,483 | $ 111,550 | $ 136,110 | $ 121,217 | $ 105,295 | $ 105,545 | $ 128,351 | $ 124,228 | $ 503,360 | $ 463,419 | $ 677,967 |
Taxes on Earnings (Provision _2
Taxes on Earnings (Provision For Taxes Effective Rate) (Details) | 12 Months Ended | ||
Feb. 01, 2020 | Feb. 02, 2019 | Feb. 03, 2018 | |
Income Tax Disclosure [Abstract] | |||
Federal income taxes at the statutory rate (percent) | 21.00% | 21.00% | 34.00% |
State income taxes (net of federal benefit) and other, net (percent) | 2.00% | 3.00% | 2.00% |
Tax audit settlements (percent) | 0.00% | (1.00%) | 0.00% |
Impact of the Tax Act on deferred taxes (percent) | 0.00% | 0.00% | (3.00%) |
Total (percent) | 23.00% | 23.00% | 33.00% |
Taxes on Earnings (Narrative) (
Taxes on Earnings (Narrative) (Details) - USD ($) $ in Thousands | 1 Months Ended | 12 Months Ended | ||
Nov. 30, 2019 | Feb. 01, 2020 | Feb. 02, 2019 | Feb. 03, 2018 | |
Income Tax Contingency [Line Items] | ||||
Tax benefit from resolution of uncertain tax positions | $ 10,000 | |||
Tax benefit recognized from tax settlement | $ 26,000 | |||
Blended tax rate | 21.00% | 21.00% | 34.00% | |
Tax Cuts and Jobs Act of 2017, current income tax benefit | $ 24,900 | |||
Tax Cuts and Jobs Act of 2017, remeasurement of deferred tax assets and liabilities, income tax benefit | 55,200 | |||
Valuation allowance for deferred tax asset | $ (4,590) | $ (4,639) | ||
Reserves for unrecognized tax benefits | 67,100 | 78,800 | 121,300 | |
Interest related to the reserve for unrecognized tax benefits | 7,200 | 13,000 | 22,600 | |
Decrease in reserves for tax positions in prior periods | 16,200 | 4,224 | 260 | 470 |
Unrecognized tax benefits reserve, income tax penalties and interest expense | $ 6,600 | 12,600 | ||
Unrecognized tax benefits reserve, decrease | 52,400 | |||
Impact of recognizing taxes and interest related to unrecognized tax benefits | 53,300 | |||
Unrecognized tax benefits reduction resulting from lapse of applicable statute of limitations | 10,300 | |||
State | ||||
Income Tax Contingency [Line Items] | ||||
Tax credit carryforward | 12,800 | 13,600 | ||
Accounting Standards Update 2016-09 | ||||
Income Tax Contingency [Line Items] | ||||
Tax benefits related to employee equity programs | $ 13,300 | $ 12,600 | $ 16,300 |
Taxes on Earnings (Components O
Taxes on Earnings (Components Of Deferred Income Taxes) (Details) - USD ($) $ in Thousands | Feb. 01, 2020 | Feb. 02, 2019 |
Deferred Tax Assets | ||
Accrued liabilities | $ 35,242 | $ 38,367 |
Deferred compensation | 33,108 | 30,886 |
Stock-based compensation | 35,290 | 36,118 |
Deferred rent | 0 | 19,824 |
State taxes and credits | 20,178 | 20,310 |
Employee benefits | 18,425 | 18,845 |
Operating lease liabilities | 797,467 | |
Other | 3,353 | 1,412 |
Gross Deferred Tax Assets | 943,063 | 165,762 |
Less: Valuation allowance | (4,590) | (4,639) |
Deferred Tax Assets | 938,473 | 161,123 |
Deferred Tax Liabilities | ||
Depreciation | (273,255) | (238,631) |
Merchandise inventory | (26,376) | (25,686) |
Supplies | (10,972) | (10,308) |
Operating lease assets | (766,874) | |
Other | (10,675) | (10,806) |
Deferred Tax Liabilities | (1,088,152) | (285,431) |
Net Deferred Tax Liabilities | $ (149,679) | $ (124,308) |
Taxes on Earnings (Unrecognized
Taxes on Earnings (Unrecognized Tax Benefits) (Details) - USD ($) $ in Thousands | 1 Months Ended | 12 Months Ended | ||
Nov. 30, 2019 | Feb. 01, 2020 | Feb. 02, 2019 | Feb. 03, 2018 | |
Reconciliation of Unrecognized Tax Benefits [Roll Forward] | ||||
Unrecognized tax benefits - beginning of year | $ 65,787 | $ 98,666 | $ 81,122 | |
Gross increases: | ||||
Tax positions in current period | 13,864 | 14,722 | 26,837 | |
Tax positions in prior period | 2,672 | 1,843 | 0 | |
Gross decreases: | ||||
Tax positions in prior periods | (9,559) | (40,600) | (2,755) | |
Lapse of statutes of limitations | (8,653) | (8,584) | (6,068) | |
Settlements | $ (16,200) | (4,224) | (260) | (470) |
Unrecognized tax benefits - end of year | $ 59,887 | $ 65,787 | $ 98,666 |
Employee Benefit Plans (Narrati
Employee Benefit Plans (Narrative) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Feb. 01, 2020 | Feb. 02, 2019 | Feb. 03, 2018 | |
Defined Contribution Plan [Abstract] | |||
Employer match as a percentage of employee's salary (percent) | 4.00% | ||
Company contributions | $ 19,200 | $ 17,100 | $ 15,400 |
Other long-term assets of long-term plan investments | 141,443 | 124,558 | |
Liability to participants | 141,443 | 124,558 | |
Estimated liability for post-employment medical benefits | $ 8,200 | $ 6,700 |
Stockholders' Equity (Common St
Stockholders' Equity (Common Stock) (Details) - USD ($) $ / shares in Units, shares in Millions | 1 Months Ended | 12 Months Ended | |||||
Feb. 28, 2017 | Feb. 01, 2020 | Feb. 02, 2019 | Feb. 03, 2018 | Mar. 31, 2019 | Mar. 31, 2018 | Feb. 28, 2018 | |
Stockholders' Equity Note [Abstract] | |||||||
Stock repurchased program period | 2 years | ||||||
Stock repurchase program, approved amount | $ 1,750,000,000 | $ 2,550,000,000 | |||||
Stock repurchase program, authorized increase | $ 200,000,000 | ||||||
Stock repurchase program, remaining amount | $ 1,275,000,000 | $ 1,075,000,000 | $ 875,000,000 | ||||
Shares repurchased (in shares) | 12.3 | 12.5 | 13.5 | ||||
Average repurchase price (in dollars per share) | $ 103.99 | $ 86.19 | $ 64.87 | ||||
Common stock repurchased, value | $ 1,275,000,000 | $ 1,075,000,000 | $ 875,000,000 |
Stockholders' Equity (Preferred
Stockholders' Equity (Preferred Stock) (Details) | Feb. 01, 2020$ / sharesshares |
Stockholders' Equity Note [Abstract] | |
Preferred stock, shares authorized (in shares) | 4,000,000 |
Preferred stock, par value (in dollars per share) | $ / shares | $ 0.01 |
Preferred stock, shares issued (in shares) | 0 |
Preferred stock, shares outstanding (in shares) | 0 |
Stockholders' Equity (Dividends
Stockholders' Equity (Dividends) (Details) - $ / shares | Mar. 03, 2020 | Nov. 30, 2019 | Aug. 31, 2019 | May 31, 2019 | Mar. 31, 2019 | Nov. 30, 2018 | Aug. 31, 2018 | May 31, 2018 | Mar. 31, 2018 | Nov. 30, 2017 | Aug. 31, 2017 | May 30, 2017 | Feb. 28, 2017 | Feb. 01, 2020 | Nov. 02, 2019 | Aug. 03, 2019 | May 04, 2019 | Feb. 02, 2019 | Nov. 03, 2018 | Aug. 04, 2018 | May 05, 2018 | Feb. 01, 2020 | Feb. 02, 2019 | Feb. 03, 2018 |
Stockholders' Equity Note [Abstract] | ||||||||||||||||||||||||
Cash dividends declared per share (in dollars per share) | $ 0.255 | $ 0.255 | $ 0.255 | $ 0.255 | $ 0.225 | $ 0.225 | $ 0.225 | $ 0.225 | $ 0.160 | $ 0.160 | $ 0.160 | $ 0.160 | $ 0.255 | $ 0.255 | $ 0.255 | $ 0.255 | $ 0.225 | $ 0.225 | $ 0.225 | $ 0.225 | $ 1.02 | $ 0.90 | $ 0.64 | |
Class of Stock [Line Items] | ||||||||||||||||||||||||
Cash dividends declared per share (in dollars per share) | $ 0.255 | $ 0.255 | $ 0.255 | $ 0.255 | $ 0.225 | $ 0.225 | $ 0.225 | $ 0.225 | $ 0.160 | $ 0.160 | $ 0.160 | $ 0.160 | $ 0.255 | $ 0.255 | $ 0.255 | $ 0.255 | $ 0.225 | $ 0.225 | $ 0.225 | $ 0.225 | $ 1.02 | $ 0.90 | $ 0.64 | |
Subsequent Event | ||||||||||||||||||||||||
Stockholders' Equity Note [Abstract] | ||||||||||||||||||||||||
Cash dividends declared per share (in dollars per share) | $ 0.285 | |||||||||||||||||||||||
Class of Stock [Line Items] | ||||||||||||||||||||||||
Cash dividends declared per share (in dollars per share) | $ 0.285 |
Stockholders' Equity (2017 Equi
Stockholders' Equity (2017 Equity Incentive Plan) (Details) - shares shares in Millions | May 17, 2017 | Feb. 01, 2020 |
2017 Equity Incentive Plan | ||
Class of Stock [Line Items] | ||
Initial share reserve (in shares) | 12 | |
Shares available for new restricted stock awards (in shares) | 10.7 | |
2008 and 2017 Equity Plan | ||
Class of Stock [Line Items] | ||
Share increase for equity plan (in shares) | 5.5 |
Stockholders' Equity (Restricte
Stockholders' Equity (Restricted Stock Activity) (Details) - Restricted stock shares in Thousands | 12 Months Ended |
Feb. 01, 2020$ / sharesshares | |
Number of shares | |
Unvested at beginning of period (in shares) | shares | 5,130 |
Awarded (in shares) | shares | 1,422 |
Released (in shares) | shares | (1,782) |
Forfeited (in shares) | shares | (376) |
Unvested at end of period (in shares) | shares | 4,394 |
Weighted-average grant date fair value | |
Unvested at beginning of period, Weighted average grant date fair value (in dollars per share) | $ / shares | $ 62.50 |
Awarded, Weighted average grant date fair value (in dollars per share) | $ / shares | 95.25 |
Released, Weighted average grant date fair value (in dollars per share) | $ / shares | 53.14 |
Forfeited, Weighted average grant date fair value (in dollars per share) | $ / shares | 70.90 |
Unvested at end of period, Weighted average grant date fair value (in dollars per share) | $ / shares | $ 76.20 |
Stockholders' Equity (Restric_2
Stockholders' Equity (Restricted Stock Activity, Narrative) (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 12 Months Ended | ||
Feb. 01, 2020 | Feb. 02, 2019 | Feb. 03, 2018 | |
Restricted stock | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Unamortized compensation expense | $ 158.4 | $ 138.1 | |
Weighted average remaining period of unrecognized compensation expense | 2 years | ||
Intrinsic value per share, end of period (in dollars per share) | $ 112.19 | ||
Intrinsic value, end of period | $ 493 | ||
Treasury stock shares acquired (in shares) | 0.6 | 0.7 | 0.7 |
Treasury stock, number of shares held (in shares) | 13.8 | 13.2 | |
Restricted stock | Minimum | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Restricted stock vesting period | 3 years | ||
Restricted stock | Maximum | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Restricted stock vesting period | 5 years | ||
2017 Equity Incentive Plan | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Shares available for new restricted stock awards (in shares) | 10.7 | ||
2017 Equity Incentive Plan | Restricted stock | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Shares available for new restricted stock awards (in shares) | 10.7 | ||
2008 Equity Incentive Plan | Restricted stock | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Shares available for new restricted stock awards (in shares) | 11.2 | 11.9 |
Stockholders' Equity (Performan
Stockholders' Equity (Performance Share Awards) (Details) - Performance Shares - shares shares in Thousands | 12 Months Ended | ||
Feb. 01, 2020 | Feb. 02, 2019 | Feb. 03, 2018 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Restricted stock issued in settlement of performance share awards (in shares) | 414 | 556 | 655 |
Minimum | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Vesting period | 2 years | ||
Maximum | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Vesting period | 3 years |
Stockholders' Equity (Employee
Stockholders' Equity (Employee Stock Purchase Plan) (Details) - USD ($) $ / shares in Units, shares in Millions | 12 Months Ended | ||
Feb. 01, 2020 | Feb. 02, 2019 | Feb. 03, 2018 | |
Stockholders' Equity Note [Abstract] | |||
Plan participant's annual percentage ceiling for ESPP (in percentage) | 10.00% | ||
Plan participant's annual dollar amount ceiling for ESPP | $ 25,000 | ||
Purchase price for shares under ESPP (in percentage) | 85.00% | ||
Discount rate under the ESPP (in percentage) | 15.00% | ||
Shares purchased by employees (in shares) | 0.3 | 0.3 | 0.3 |
Shares purchased by employees, average price per share (in dollars per share) | $ 88.45 | $ 72.89 | $ 56.42 |
Shares issued under plan during period (in shares) | 40.2 | ||
Shares remaining for future issuance (in shares) | 4.8 |
Related Party Transactions (Det
Related Party Transactions (Details) - USD ($) | 12 Months Ended | ||
Feb. 01, 2020 | Feb. 02, 2019 | Feb. 03, 2018 | |
Chairman Emeritus of the Board of Directors | Consulting Agreement | |||
Related Party Transaction [Line Items] | |||
Related party transaction amount | $ 2,100,000 | $ 1,900,000 | $ 1,600,000 |
Chairman Emeritus of the Board of Directors, administrative support, health, other benefits | 400,000 | 400,000 | 400,000 |
Chairman Emeritus of the Board of Directors, life insurance death benefit | 2,000,000 | ||
Chairman Emeritus of the Board of Directors, consulting fee | 2,300,000 | ||
Chairman Emeritus of the Board of Directors, severance pay | $ 75,000 | ||
Chairman Emeritus of the Board of Directors, severance term | 10 years | ||
Immediate Family Member of Management or Principal Owner | Buyer | |||
Related Party Transaction [Line Items] | |||
Son of Chairman Emeritus of the Board of Directors, compensation expense | $ 209,000 | $ 180,000 | $ 159,000 |
Quarterly Financial Data (Una_3
Quarterly Financial Data (Unaudited) (Details) - USD ($) $ / shares in Units, $ in Thousands | 1 Months Ended | 3 Months Ended | 12 Months Ended | |||||||||||||||||||||
Nov. 30, 2019 | Aug. 31, 2019 | May 31, 2019 | Mar. 31, 2019 | Nov. 30, 2018 | Aug. 31, 2018 | May 31, 2018 | Mar. 31, 2018 | Nov. 30, 2017 | Aug. 31, 2017 | May 30, 2017 | Feb. 28, 2017 | Feb. 01, 2020 | Nov. 02, 2019 | Aug. 03, 2019 | May 04, 2019 | Feb. 02, 2019 | Nov. 03, 2018 | Aug. 04, 2018 | May 05, 2018 | Feb. 01, 2020 | Feb. 02, 2019 | Feb. 03, 2018 | ||
Quarterly Financial Data [Abstract] | ||||||||||||||||||||||||
Sales | $ 4,413,445 | $ 3,849,117 | $ 3,979,869 | $ 3,796,642 | $ 4,107,388 | $ 3,549,608 | $ 3,737,926 | $ 3,588,619 | $ 16,039,073 | $ 14,983,541 | $ 14,134,732 | |||||||||||||
Cost of goods sold | 3,224,237 | 2,766,432 | 2,843,850 | 2,701,668 | 2,989,744 | 2,547,331 | 2,666,983 | 2,522,219 | 11,536,187 | 10,726,277 | 10,042,638 | |||||||||||||
Selling, general and administrative | 601,879 | 604,605 | 591,970 | 558,250 | 575,969 | 561,577 | 554,581 | 524,423 | 2,356,704 | 2,216,550 | 2,043,698 | |||||||||||||
Interest income, net | (3,287) | (4,402) | (4,782) | (5,635) | (5,313) | (2,953) | (1,393) | (503) | (18,106) | (10,162) | 7,676 | |||||||||||||
Total costs and expenses | 3,822,829 | 3,366,635 | 3,431,038 | 3,254,283 | 3,560,400 | 3,105,955 | 3,220,171 | 3,046,139 | 13,874,785 | 12,932,665 | 12,094,012 | |||||||||||||
Earnings before taxes | 590,616 | 482,482 | 548,831 | 542,359 | 546,988 | 443,653 | 517,755 | 542,480 | 2,164,288 | 2,050,876 | 2,040,720 | |||||||||||||
Provision for taxes on earnings | 134,483 | 111,550 | 136,110 | 121,217 | 105,295 | 105,545 | 128,351 | 124,228 | 503,360 | 463,419 | 677,967 | |||||||||||||
Net earnings | $ 456,133 | $ 370,932 | $ 412,721 | $ 421,142 | $ 441,693 | $ 338,108 | $ 389,404 | $ 418,252 | $ 1,660,928 | $ 1,587,457 | $ 1,362,753 | [1] | ||||||||||||
Earnings per share - basic (in dollars per share) | $ 1.29 | $ 1.04 | $ 1.15 | $ 1.16 | $ 1.21 | $ 0.92 | $ 1.05 | $ 1.12 | $ 4.63 | $ 4.30 | $ 3.58 | |||||||||||||
Earnings per share - diluted (in dollars per share) | 1.28 | 1.03 | 1.14 | 1.15 | 1.20 | 0.91 | 1.04 | 1.11 | 4.60 | 4.26 | 3.55 | |||||||||||||
Cash dividends declared per share on common stock (in dollars per share) | $ 0.255 | $ 0.255 | $ 0.255 | $ 0.255 | $ 0.225 | $ 0.225 | $ 0.225 | $ 0.225 | $ 0.160 | $ 0.160 | $ 0.160 | $ 0.160 | $ 0.255 | $ 0.255 | $ 0.255 | $ 0.255 | $ 0.225 | $ 0.225 | $ 0.225 | $ 0.225 | 1.02 | 0.90 | $ 0.64 | |
Tax resolution benefit (usd per share) | $ 0.02 | $ 0.07 | ||||||||||||||||||||||
[1] | As the result of the adoption of ASU 2016-18, Statement of Cash Flow (Topic 230): Restricted Cash, in fiscal 2018, the prior year amounts were retrospectively adjusted to include restricted cash and cash equivalents. See Note A. |
Subsequent Events (Details)
Subsequent Events (Details) - Unsecured Revolving Credit Facility - USD ($) $ in Millions | 1 Months Ended | 12 Months Ended |
Mar. 31, 2020 | Feb. 01, 2020 | |
Subsequent Event [Line Items] | ||
Interest rate, margin in addition to LIBOR (percent) | 7500.00% | |
Subsequent Event | ||
Subsequent Event [Line Items] | ||
Amount borrowed from revolving credit facility | $ 800 | |
Interest rate, margin in addition to LIBOR (percent) | 0.75% | |
Current interest rate for revolving credit facility borrowings (percent) | 1.61% |
Uncategorized Items - rost-2020
Label | Element | Value |
Accounting Standards Update 2016-09 [Member] | Additional Paid-in Capital [Member] | ||
Cumulative Effect of New Accounting Principle in Period of Adoption | us-gaap_CumulativeEffectOfNewAccountingPrincipleInPeriodOfAdoption | $ 1,789,000 |
Accounting Standards Update 2014-09 [Member] | ||
Cumulative Effect of New Accounting Principle in Period of Adoption | us-gaap_CumulativeEffectOfNewAccountingPrincipleInPeriodOfAdoption | 19,884,000 |
Accounting Standards Update 2014-09 [Member] | Additional Paid-in Capital [Member] | ||
Cumulative Effect of New Accounting Principle in Period of Adoption | us-gaap_CumulativeEffectOfNewAccountingPrincipleInPeriodOfAdoption | 0 |
Accounting Standards Update 2014-09 [Member] | Retained Earnings [Member] | ||
Cumulative Effect of New Accounting Principle in Period of Adoption | us-gaap_CumulativeEffectOfNewAccountingPrincipleInPeriodOfAdoption | 19,884,000 |
Accounting Standards Update 2016-02 [Member] | Additional Paid-in Capital [Member] | ||
Cumulative Effect of New Accounting Principle in Period of Adoption | us-gaap_CumulativeEffectOfNewAccountingPrincipleInPeriodOfAdoption | $ 0 |