Document And Entity Information
Document And Entity Information - shares | 3 Months Ended | |
Apr. 30, 2022 | May 13, 2022 | |
Document And Entity Information [Abstract] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Apr. 30, 2022 | |
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, Address Line One | 5130 Hacienda Drive, | |
Entity Address, City or Town | Dublin, | |
Entity Address, State or Province | CA | |
Entity Address, Postal Zip Code | 94568-7579 | |
City Area Code | (925) | |
Local Phone Number | 965-4400 | |
Title of 12(b) Security | Common stock, | |
Trading Symbol | ROST | |
Security Exchange Name | NASDAQ | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding (in shares) | 349,926,401 | |
Amendment Flag | false | |
Document Fiscal Year Focus | 2022 | |
Document Fiscal Period Focus | Q1 | |
Entity Central Index Key | 0000745732 | |
Current Fiscal Year End Date | --01-28 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Earnings shares in Thousands, $ in Thousands | 3 Months Ended | |
Apr. 30, 2022USD ($)number_of_store$ / sharesshares | May 01, 2021USD ($)number_of_store$ / sharesshares | |
Income Statement [Abstract] | ||
Sales | $ 4,333,100 | $ 4,516,080 |
Costs and Expenses | ||
Cost of goods sold | 3,196,446 | 3,198,396 |
Selling, general and administrative | 669,496 | 675,053 |
Interest expense, net | 17,696 | 19,049 |
Total costs and expenses | 3,883,638 | 3,892,498 |
Earnings before taxes | 449,462 | 623,582 |
Provision for taxes on earnings | 111,017 | 147,103 |
Net earnings | $ 338,445 | $ 476,479 |
Earnings per share | ||
Basic (in dollars per share) | $ / shares | $ 0.98 | $ 1.35 |
Diluted (in dollars per share) | $ / shares | $ 0.97 | $ 1.34 |
Weighted-average shares outstanding (000) | ||
Basic (in shares) | shares | 347,053 | 352,988 |
Diluted (in shares) | shares | 348,820 | 355,367 |
Store count at end of period (in number of stores) | number_of_store | 1,951 | 1,866 |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 3 Months Ended | |
Apr. 30, 2022 | May 01, 2021 | |
Statement of Comprehensive Income [Abstract] | ||
Net earnings | $ 338,445 | $ 476,479 |
Other comprehensive income | 0 | 0 |
Comprehensive income | $ 338,445 | $ 476,479 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) $ in Thousands | Apr. 30, 2022 | Jan. 29, 2022 | May 01, 2021 |
Current Assets | |||
Cash and cash equivalents | $ 4,015,567 | $ 4,922,365 | $ 5,367,006 |
Accounts receivable | 164,071 | 119,247 | 167,139 |
Merchandise inventory | 2,673,551 | 2,262,273 | 1,697,992 |
Prepaid expenses and other | 194,813 | 169,291 | 199,391 |
Total current assets | 7,048,002 | 7,473,176 | 7,431,528 |
Property and Equipment | |||
Land and buildings | 1,481,622 | 1,240,246 | 1,186,579 |
Fixtures and equipment | 3,547,318 | 3,425,762 | 3,242,681 |
Leasehold improvements | 1,353,940 | 1,332,687 | 1,271,518 |
Construction-in-progress | 255,329 | 574,333 | 449,166 |
Property and equipment, gross | 6,638,209 | 6,573,028 | 6,149,944 |
Less accumulated depreciation and amortization | 3,750,283 | 3,674,501 | 3,436,071 |
Property and equipment, net | 2,887,926 | 2,898,527 | 2,713,873 |
Operating lease assets | 3,057,641 | 3,027,272 | 3,004,747 |
Other long-term assets | 240,129 | 241,281 | 245,715 |
Total assets | 13,233,698 | 13,640,256 | 13,395,863 |
Current Liabilities | |||
Accounts payable | 2,175,350 | 2,372,302 | 2,574,780 |
Accrued expenses and other | 582,792 | 613,089 | 583,399 |
Current operating lease liabilities | 635,799 | 630,517 | 599,838 |
Accrued payroll and benefits | 272,760 | 588,772 | 323,165 |
Income taxes payable | 89,361 | 10,249 | 172,276 |
Current portion of long-term debt | 0 | 0 | 64,937 |
Total current liabilities | 3,756,062 | 4,214,929 | 4,318,395 |
Long-term debt | 2,453,367 | 2,452,325 | 2,449,208 |
Non-current operating lease liabilities | 2,567,286 | 2,539,297 | 2,542,358 |
Other long-term liabilities | 236,211 | 236,013 | 285,762 |
Deferred income taxes | 166,875 | 137,642 | 147,319 |
Commitments and contingencies | |||
Stockholders’ Equity | |||
Common stock, par value $.01 per share Authorized 1,000,000,000 shares Issued and outstanding 350,327,000, 351,720,000 and 357,117,000 shares, respectively | 3,503 | 3,517 | 3,571 |
Additional paid-in capital | 1,749,241 | 1,717,530 | 1,614,555 |
Treasury stock | (574,008) | (535,895) | (525,928) |
Retained earnings | 2,875,161 | 2,874,898 | 2,560,623 |
Total stockholders’ equity | 4,053,897 | 4,060,050 | 3,652,821 |
Total liabilities and stockholders’ equity | $ 13,233,698 | $ 13,640,256 | $ 13,395,863 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares | Apr. 30, 2022 | Jan. 29, 2022 | May 01, 2021 |
Statement of Financial Position [Abstract] | |||
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in shares) | 1,000,000,000 | 1,000,000,000 | 1,000,000,000 |
Common stock, shares issued (in shares) | 350,327,000 | 351,720,000 | 357,117,000 |
Common stock, shares outstanding (in shares) | 350,327,000 | 351,720,000 | 357,117,000 |
Condensed Consolidated Statem_3
Condensed Consolidated Statements of Stockholders' Equity - USD ($) $ in Thousands | Total | Common stock | Additional paid-in capital | Treasury stock | Retained earnings |
Beginning balance (in shares) at Jan. 30, 2021 | 356,503,000 | ||||
Beginning balance at Jan. 30, 2021 | $ 3,290,640 | $ 3,565 | $ 1,579,824 | $ (478,550) | $ 2,185,801 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Net earnings | 476,479 | 476,479 | |||
Common stock issued under stock plans, net of shares used for tax withholding (in shares) | 614,000 | ||||
Common stock issued under stock plans, net of shares used for tax withholding | (41,315) | $ 6 | 6,057 | (47,378) | |
Stock-based compensation | $ 28,674 | 28,674 | |||
Common stock repurchased (in shares) | 0 | ||||
Dividends declared | $ (101,657) | (101,657) | |||
Ending balance (in shares) at May. 01, 2021 | 357,117,000 | ||||
Ending balance at May. 01, 2021 | 3,652,821 | $ 3,571 | 1,614,555 | (525,928) | 2,560,623 |
Beginning balance (in shares) at Jan. 29, 2022 | 351,720,000 | ||||
Beginning balance at Jan. 29, 2022 | 4,060,050 | $ 3,517 | 1,717,530 | (535,895) | 2,874,898 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Net earnings | 338,445 | 338,445 | |||
Common stock issued under stock plans, net of shares used for tax withholding (in shares) | 1,131,000 | ||||
Common stock issued under stock plans, net of shares used for tax withholding | (32,196) | $ 11 | 5,906 | (38,113) | |
Stock-based compensation | $ 36,071 | 36,071 | |||
Common stock repurchased (in shares) | (2,500,000) | (2,524,000) | |||
Common stock repurchased | $ (239,565) | $ (25) | (10,266) | (229,274) | |
Dividends declared | (108,908) | (108,908) | |||
Ending balance (in shares) at Apr. 30, 2022 | 350,327,000 | ||||
Ending balance at Apr. 30, 2022 | $ 4,053,897 | $ 3,503 | $ 1,749,241 | $ (574,008) | $ 2,875,161 |
Condensed Consolidated Statem_4
Condensed Consolidated Statements of Stockholders' Equity (Parenthetical) - $ / shares | Mar. 01, 2022 | Nov. 30, 2021 | Aug. 31, 2021 | May 31, 2021 | Mar. 31, 2021 | Apr. 30, 2022 | May 01, 2021 |
Statement of Stockholders' Equity [Abstract] | |||||||
Dividends declared (in dollars per share) | $ 0.310 | $ 0.285 | $ 0.285 | $ 0.285 | $ 0.285 | $ 0.310 | $ 0.285 |
Condensed Consolidated Statem_5
Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 3 Months Ended | |
Apr. 30, 2022 | May 01, 2021 | |
Cash Flows From Operating Activities | ||
Net earnings | $ 338,445 | $ 476,479 |
Adjustments to reconcile net earnings to net cash (used in) provided by operating activities: | ||
Depreciation and amortization | 92,108 | 87,510 |
Stock-based compensation | 36,071 | 28,674 |
Deferred income taxes | 29,233 | 25,452 |
Change in assets and liabilities: | ||
Merchandise inventory | (411,278) | (189,010) |
Other current assets | (70,331) | (77,246) |
Accounts payable | (189,888) | 349,540 |
Other current liabilities | (325,075) | (71,623) |
Income taxes | 81,625 | 121,255 |
Operating lease assets and liabilities, net | 2,902 | 2,554 |
Other long-term, net | (79) | (765) |
Net cash (used in) provided by operating activities | (416,267) | 752,820 |
Cash Flows From Investing Activities | ||
Additions to property and equipment | (109,848) | (136,937) |
Net cash used in investing activities | (109,848) | (136,937) |
Cash Flows From Financing Activities | ||
Issuance of common stock related to stock plans | 5,917 | 6,063 |
Treasury stock purchased | (38,113) | (47,378) |
Repurchase of common stock | (239,565) | 0 |
Dividends paid | (108,908) | (101,519) |
Net cash used in financing activities | (380,669) | (142,834) |
Net (decrease) increase in cash, cash equivalents, and restricted cash and cash equivalents | (906,784) | 473,049 |
Cash, cash equivalents, and restricted cash and cash equivalents: | ||
Beginning of period | 4,982,382 | 4,953,769 |
End of period | 4,075,598 | 5,426,818 |
Supplemental Cash Flow Disclosures | ||
Interest paid | 40,158 | 39,929 |
Income taxes paid | $ 160 | $ 396 |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 3 Months Ended |
Apr. 30, 2022 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Summary of Significant Accounting Policies Basis of presentation. The accompanying unaudited interim condensed consolidated financial statements have been prepared from the records of Ross Stores, Inc. and subsidiaries (the “Company”) without audit and, in the opinion of management, include all adjustments (consisting of only normal, recurring adjustments) necessary to present fairly the Company’s financial position as of April 30, 2022 and May 1, 2021, the results of operations, comprehensive income, stockholders’ equity, and cash flows for the three month periods ended April 30, 2022 and May 1, 2021. The Condensed Consolidated Balance Sheet as of January 29, 2022, presented herein, has been derived from the Company’s audited consolidated financial statements for the fiscal year then ended. Certain information and disclosures normally included in the notes to annual consolidated financial statements prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) have been condensed or omitted for purposes of these interim condensed consolidated financial statements. The interim condensed consolidated financial statements should be read in conjunction with the audited consolidated financial statements, including notes thereto, contained in the Company’s Annual Report on Form 10-K for the year ended January 29, 2022. The results of operations, comprehensive income, stockholders’ equity, and cash flows for the three month periods ended April 30, 2022 and May 1, 2021 pr esented herein are not necessarily indicative of the results to be expected for the full fiscal year. Use of accounting estimates. The preparation of financial statements in conformity with 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 condensed consolidated financial statements, and the reported amounts of revenue and expenses during the reporting period. The Company’s significant accounting estimates include valuation reserves for inventory, packaway and other inventory carrying costs, useful lives of fixed assets, insurance reserves, reserves for uncertain tax positions, employee retention credits under the Coronavirus Aid, Relief, and Economic Security Act (the “CARES Act”), and legal claims. The uncertainties and impacts from inflation, the Russia-Ukraine conflict, and the ongoing COVID-19 pandemic increase the challenge of making these estimates; actual results could differ materially from the Company’s estimates. Revenue recognition. The following sales mix table disaggregates revenue by merchandise category for the three month periods ended April 30, 2022 and May 1, 2021: Three Months Ended April 30, 2022 May 1, 2021 Home Accents and Bed and Bath 26 % 27 % Ladies 24 % 24 % Accessories, Lingerie, Fine Jewelry, and Cosmetics 14 % 14 % Men’s 14 % 13 % Shoes 13 % 13 % Children’s 9 % 9 % Total 100 % 100 % 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. 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 obligations. The following table provides a reconciliation of cash, cash equivalents, and restricted cash and cash equivalents in the Condensed Consolidated Balance Sheets that reconcile to the amounts shown on the Condensed Consolidated Statements of Cash Flows: ($000) April 30, 2022 January 29, 2022 May 1, 2021 Cash and cash equivalents $ 4,015,567 $ 4,922,365 $ 5,367,006 Restricted cash and cash equivalents included in: Prepaid expenses and other 11,406 11,403 10,766 Other long-term assets 48,625 48,614 49,046 Total restricted cash and cash equivalents 60,031 60,017 59,812 Total cash and cash equivalents, and restricted cash and cash equivalents $ 4,075,598 $ 4,982,382 $ 5,426,818 Property and equipment. As of April 30, 2022 and May 1, 2021, the Company had $19.0 million and $10.2 million, respectively, of property and equipment purchased but not yet paid. These purchases are included in Property and equipment, Accounts payable, and Accrued expenses and other in the accompanying Condensed Consolidated Balance Sheets. Operating leases. Supplemental cash flow disclosures related to leases for operating lease assets obtained in exchange for new operating lease liabilities (includes new leases and remeasurements or modifications of existing leases) were as follows: Three Months Ended ($000) April 30, 2022 May 1, 2021 Operating lease assets obtained in exchange for new operating lease liabilities $ 187,845 $ 69,170 Cash dividends. On May 18, 2022, the Company’s Board of Directors declared a quarterly cash dividend of $0.310 per common share, payable on June 30, 2022. On March 1, 2022, the Company’s Board of Directors declared a quarterly cash dividend of $0.310 per common share, payable on March 31, 2022. The Company’s Board of Directors also declared cash dividends of $0.285 per common share in March, May, August, and November 2021, respectively. Stock repurchase program. In March 2022, the Company's Board of Directors approved a new two-year program to repurchase up to $1.9 billion of the Company's common stock through fiscal 2023. This new program replaces the previous $1.5 billion stock repurchase program, effective at the end of fiscal 2021 (at which time the Company had repurchased $650 million of stock under the $1.5 billion program). The Company repurchased 2.5 million shares of common stock for approximately $239.6 million during the three month period ended April 30, 2022. The Company did not repurchase any shares of common stock for the three month period ended May 1, 2021. 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/employment laws and consumer protection laws. Class/representative action litigation remains pending as of April 30, 2022. 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. Recently issued accounting standards. In November 2021, the FASB issued Accounting Standards Update (ASU) 2021-10, Government Assistance (Topic 832): Disclosures by Business Entities about Government Assistance, to increase the transparency of government assistance including the disclosure of the types of assistance an entity receives, an entity’s method of accounting for government assistance, and the effect of government assistance on an entity’s financial statements. The guidance in this ASU will be effective for the Company for its fiscal 2022 Form 10-K. The Company is currently evaluating the impact of this guidance on its disclosures in the consolidated financial statements. |
Fair Value Measurements
Fair Value Measurements | 3 Months Ended |
Apr. 30, 2022 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Fair Value Measurements 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, 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. The fair value of the Company’s financial instruments are as follows: ($000) April 30, 2022 January 29, 2022 May 1, 2021 Cash and cash equivalents (Level 1) $ 4,015,567 $ 4,922,365 $ 5,367,006 Restricted cash and cash equivalents (Level 1) $ 60,031 $ 60,017 $ 59,812 The underlying assets in the Company’s non-qualified deferred compensation program as of April 30, 2022, January 29, 2022, and May 1, 2021 (included in Other long-term assets and in Other long-term liabilities) primarily consist of participant-directed money market, stock, and bond funds. The fair value measurement for funds with quoted market prices in active markets (Level 1) are as follows: ($000) April 30, 2022 January 29, 2022 May 1, 2021 Level 1 $ 161,603 $ 163,891 $ 172,999 |
Management Incentive Plan and S
Management Incentive Plan and Stock-Based Compensation | 3 Months Ended |
Apr. 30, 2022 | |
Share-based Payment Arrangement, Noncash Expense [Abstract] | |
Management Incentive Plan and Stock-Based Compensation | Management Incentive Plan and Stock-Based Compensation The Company has incentive compensation programs which provide cash incentive bonuses and performance share awards to key management and employees based on Company and individual performance. For fiscal 2022, the Compensation Committee of the Board of Directors established the performance measures for determining cash incentive bonuses and performance share awards based on profitability-based performance goals. As of April 30, 2022, the Company has established an accrual for this incentive compensation based on its forecasted attainment of the profitability-based performance goals. For fiscal 2021, the Compensation Committee of the Board of Directors established the performance measures for determining cash incentive bonuses and performance share awards based on profitability-based performance goals and the attainment of specific management priorities related to business challenges from the COVID-19 pandemic, as measured and approved by the Compensation Committee. Stock-based compensation. For the three month periods ended April 30, 2022 and May 1, 2021, the Company recognized stock-based compensation expense as follows: Three Months Ended ($000) April 30, 2022 May 1, 2021 Restricted stock $ 20,213 $ 18,589 Performance awards 14,813 9,014 Employee stock purchase plan 1,045 1,071 Total $ 36,071 $ 28,674 Total stock-based compensation expense recognized in the Company’s Condensed Consolidated Statements of Earnings for the three month periods ended April 30, 2022 and May 1, 2021, is as follows: Three Months Ended Statements of Earnings Classification ($000) April 30, 2022 May 1, 2021 Cost of goods sold $ 18,546 $ 14,672 Selling, general and administrative 17,525 14,002 Total $ 36,071 $ 28,674 The tax benefits related to stock-based compensation expense for the three month periods ended April 30, 2022 and May 1, 2021 we re $7.4 million an d $5.3 million , respectively. Restricted stock awards. The Company grants shares of restricted stock or restricted stock units to directors, officers, and key employees. The market value of shares of restricted stock and restricted stock units at the date of grant is amortized to expense over the vesting period of generally three During the three month periods ended April 30, 2022 and May 1, 2021, shares purchased by the Company for tax withholding totaled 408,465 and 386,966 respectively, and are considered treasury shares which are available for reissuance. 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 performance goals during the performance period, which is the Company’s fiscal year. If attained, the restricted stock then vests over a service period, generally two As of April 30, 2022, shares related to unvested restricted stock, restricted stock units, and performance share awards totaled 4.6 million shares. A summary of restricted stock, restricted stock units, and performance share award activity for the three month period ended April 30, 2022, is presented below: (000, except per share data) Number of Weighted-average Unvested at January 29, 2022 4,378 $ 99.58 Awarded 1,335 89.00 Released (1,072) 89.63 Forfeited (25) 102.89 Unvested at April 30, 2022 4,616 98.82 The unamortized compensation expense at April 30, 2022 was $261.6 million, which is expected to be recognized over a weighted-average remaining period of 2.4 years. The unamortized compensation expense at May 1, 2021, was $223.1 million, which was expected to be recognized over a weighted-average remaining period of 2.4 years. 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. |
Earnings Per Share
Earnings Per Share | 3 Months Ended |
Apr. 30, 2022 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | Earnings Per Share The Company computes and reports both basic earnings per share (“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, except in cases where the effect of the common stock equivalents would be anti-dilutive. Diluted EPS reflects the total potential dilution that could occur from outstanding equity plan awards and unvested shares of both performance and non-performance based awards of restricted stock and restricted stock units. For the three month periods ended April 30, 2022 and May 1, 2021, approximately 677,000 and 17,400 weighted-average shares were excluded from the calculation of diluted EPS, respectively, because their effect would have been anti-dilutive for the periods presented. The following is a reconciliation of the number of shares (denominator) used in the basic and diluted EPS computations: Three Months Ended Shares in (000s) Basic EPS Effect of Diluted April 30, 2022 Shares 347,053 1,767 348,820 Amount $ 0.98 $ (0.01) $ 0.97 May 1, 2021 Shares 352,988 2,379 355,367 Amount $ 1.35 $ (0.01) $ 1.34 |
Debt
Debt | 3 Months Ended |
Apr. 30, 2022 | |
Debt Disclosure [Abstract] | |
Debt | Debt Long-term debt. Unsecured senior debt, net of unamortized discounts and debt issuance costs, consisted of the following: ($000) April 30, 2022 January 29, 2022 May 1, 2021 6.530% Series B Senior Notes due 2021 $ — $ — $ 64,937 3.375% Senior Notes due 2024 248,920 248,808 248,476 4.600% Senior Notes due 2025 696,205 695,888 694,940 0.875% Senior Notes due 2026 495,119 494,814 493,898 4.700% Senior Notes due 2027 239,577 239,470 239,153 4.800% Senior Notes due 2030 132,473 132,431 132,304 1.875% Senior Notes due 2031 494,831 494,691 494,271 5.450% Senior Notes due 2050 146,242 146,223 146,166 Total long-term debt $ 2,453,367 $ 2,452,325 $ 2,514,145 Less: current portion — — 64,937 Total due beyond one year $ 2,453,367 $ 2,452,325 $ 2,449,208 As of April 30, 2022, January 29, 2022, and May 1, 2021, total unamortized discount and debt issuance costs were $21.6 million , $22.7 million, and $25.8 million, respectively, and were classified as a reduction of Long-term debt. As of April 30, 2022 and January 29, 2022 the aggregate fair value of the seven outstanding series of Senior Notes was approximately $2.4 billion and $2.6 billion, respectively. As of May 1, 2021 the aggregate fair value of the eight then outstanding series of Senior Notes was approximately $2.7 billion. 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. See Note E: Debt, in the Notes to Consolidated Financial Statements included in our Annual Report on Form 10-K for the fiscal year ended January 29, 2022, for additional information regarding the terms of our unsecured senior notes. Revolving credit facilities. In February 2022, the Company entered into a new, $1.3 billion senior unsecured revolving Credit Agreement (the “2022 Credit Facility”), which replaced its previous $800 million unsecured revolving credit facility. The 2022 Credit Facility expires in February 2027, and may be extended, at the Company's request and with the consent of the lenders, for up to two additional one year periods, subject to customary conditions. The new facility contains a $300 million sublimit for issuance of standby letters of credit. It also contains an option allowing the Company to increase the size of its credit facility by up to an additional $700 million, with the agreement of the committing lenders. The interest rate on borrowings under the 2022 Credit Facility is a term rate based on the Secured Overnight Financing Rate (“Term SOFR”) (or an alternate benchmark rate, if Term SOFR is no longer available) plus an applicable margin, and is payable quarterly and upon maturity. The 2022 Credit Facility is subject to a quarterly Consolidated Adjusted Debt to Consolidated EBITDAR financial leverage ratio covenant, effective the first quarter of fiscal 2022. As of April 30, 2022, the Company was in compliance with this financial covenant. As of April 30, 2022, the Company has no borrowings or standby letters of credit outstanding under the 2022 Credit Facility and t he $1.3 billion credit facility remains in place and available. The table below shows the components of interest expense and income for the three month periods ended April 30, 2022 and May 1, 2021: Three Months Ended ($000) April 30, 2022 May 1, 2021 Interest expense on long-term debt $ 21,154 $ 22,194 Other interest expense 388 330 Capitalized interest (2,651) (3,239) Interest income (1,195) (236) Interest expense, net $ 17,696 $ 19,049 |
Taxes on Earnings
Taxes on Earnings | 3 Months Ended |
Apr. 30, 2022 | |
Income Tax Disclosure [Abstract] | |
Taxes on Earnings | Taxes on Earnings The Company’s effective tax rates for the three month periods ended April 30, 2022 and May 1, 2021, were approximately 25% and 24%, respectively. The increase in the effective tax rate of 1% for the three month period ended April 30, 2022 compared to the three month period ended May 1, 2021 was primarily due to the tax effects associated with stock-based compensation. The Company's effective tax rate is impacted by changes in tax law and accounting guidance, location of new stores, level of earnings, tax effects associated with stock-based compensation, and uncertain tax positions. As of April 30, 2022, January 29, 2022, and May 1, 2021, the reserves for unrecognized tax benefits were $70.7 million , $68.1 million , and $71.7 million , inclusive of $8.2 million , $7.6 million , and $8.7 million of related interest and penalties, respectively. The Company accounts for interest and penalties related to unrecognized tax benefits as a part of its provision for taxes on earnings. If recognized, $56.6 million would impact the Company’s effective tax rate. It is reasonably possible that certain state tax matters may be concluded or statutes of limitations may lapse during the next 12 months. Accordingly, the total amount of unrecognized tax benefits may decrease by up to $15.8 million. 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 income tax assets and liabilities. These amounts are net of federal and state income taxes. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 3 Months Ended |
Apr. 30, 2022 | |
Accounting Policies [Abstract] | |
Basis of presentation | Basis of presentation. The accompanying unaudited interim condensed consolidated financial statements have been prepared from the records of Ross Stores, Inc. and subsidiaries (the “Company”) without audit and, in the opinion of management, include all adjustments (consisting of only normal, recurring adjustments) necessary to present fairly the Company’s financial position as of April 30, 2022 and May 1, 2021, the results of operations, comprehensive income, stockholders’ equity, and cash flows for the three month periods ended April 30, 2022 and May 1, 2021. The Condensed Consolidated Balance Sheet as of January 29, 2022, presented herein, has been derived from the Company’s audited consolidated financial statements for the fiscal year then ended. Certain information and disclosures normally included in the notes to annual consolidated financial statements prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) have been condensed or omitted for purposes of these interim condensed consolidated financial statements. The interim condensed consolidated financial statements should be read in conjunction with the audited consolidated financial statements, including notes thereto, contained in the Company’s Annual Report on Form 10-K for the year ended January 29, 2022. The results of operations, comprehensive income, stockholders’ equity, and cash flows for the three month periods ended April 30, 2022 and May 1, 2021 pr esented herein are not necessarily indicative of the results to be expected for the full fiscal year. |
Use of accounting estimates | Use of accounting estimates. The preparation of financial statements in conformity with 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 condensed consolidated financial statements, and the reported amounts of revenue and expenses during the reporting period. The Company’s significant accounting estimates include valuation reserves for inventory, packaway and other inventory carrying costs, useful lives of fixed assets, insurance reserves, reserves for uncertain tax positions, employee retention credits under the Coronavirus Aid, Relief, and Economic Security Act (the “CARES Act”), and legal claims. The uncertainties and impacts from inflation, the Russia-Ukraine conflict, and the ongoing COVID-19 pandemic increase the challenge of making these estimates; actual results could differ materially from the Company’s estimates. |
Cash and cash equivalents and Restricted cash, cash equivalents, and investments | Cash and cash equivalents. Cash equivalents consist of highly liquid, fixed income instruments purchased with an original maturity of three months or less. |
Property and equipment | Property and equipment. As of April 30, 2022 and May 1, 2021, the Company had $19.0 million and $10.2 million, respectively, of property and equipment purchased but not yet paid. These purchases are included in Property and equipment, Accounts payable, and Accrued expenses and other in the accompanying Condensed Consolidated Balance Sheets. |
Recently issued accounting standards | Recently issued accounting standards. In November 2021, the FASB issued Accounting Standards Update (ASU) 2021-10, Government Assistance (Topic 832): Disclosures by Business Entities about Government Assistance, to increase the transparency of government assistance including the disclosure of the types of assistance an entity receives, an entity’s method of accounting for government assistance, and the effect of government assistance on an entity’s financial statements. The guidance in this ASU will be effective for the Company for its fiscal 2022 Form 10-K. The Company is currently evaluating the impact of this guidance on its disclosures in the consolidated financial statements. |
Fair Value Measurements | Fair Value MeasurementsAccounting 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, 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. |
Earnings Per Share | Earnings Per ShareThe Company computes and reports both basic earnings per share (“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, except in cases where the effect of the common stock equivalents would be anti-dilutive. Diluted EPS reflects the total potential dilution that could occur from outstanding equity plan awards and unvested shares of both performance and non-performance based awards of restricted stock and restricted stock units. |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 3 Months Ended |
Apr. 30, 2022 | |
Accounting Policies [Abstract] | |
Disaggregation of revenue | The following sales mix table disaggregates revenue by merchandise category for the three month periods ended April 30, 2022 and May 1, 2021: Three Months Ended April 30, 2022 May 1, 2021 Home Accents and Bed and Bath 26 % 27 % Ladies 24 % 24 % Accessories, Lingerie, Fine Jewelry, and Cosmetics 14 % 14 % Men’s 14 % 13 % Shoes 13 % 13 % Children’s 9 % 9 % Total 100 % 100 % |
Schedule of cash and cash equivalents reconciliation | The following table provides a reconciliation of cash, cash equivalents, and restricted cash and cash equivalents in the Condensed Consolidated Balance Sheets that reconcile to the amounts shown on the Condensed Consolidated Statements of Cash Flows: ($000) April 30, 2022 January 29, 2022 May 1, 2021 Cash and cash equivalents $ 4,015,567 $ 4,922,365 $ 5,367,006 Restricted cash and cash equivalents included in: Prepaid expenses and other 11,406 11,403 10,766 Other long-term assets 48,625 48,614 49,046 Total restricted cash and cash equivalents 60,031 60,017 59,812 Total cash and cash equivalents, and restricted cash and cash equivalents $ 4,075,598 $ 4,982,382 $ 5,426,818 |
Schedule of restricted cash reconciliation | The following table provides a reconciliation of cash, cash equivalents, and restricted cash and cash equivalents in the Condensed Consolidated Balance Sheets that reconcile to the amounts shown on the Condensed Consolidated Statements of Cash Flows: ($000) April 30, 2022 January 29, 2022 May 1, 2021 Cash and cash equivalents $ 4,015,567 $ 4,922,365 $ 5,367,006 Restricted cash and cash equivalents included in: Prepaid expenses and other 11,406 11,403 10,766 Other long-term assets 48,625 48,614 49,046 Total restricted cash and cash equivalents 60,031 60,017 59,812 Total cash and cash equivalents, and restricted cash and cash equivalents $ 4,075,598 $ 4,982,382 $ 5,426,818 |
Supplemental cash flow disclosures related to leases | Supplemental cash flow disclosures related to leases for operating lease assets obtained in exchange for new operating lease liabilities (includes new leases and remeasurements or modifications of existing leases) were as follows: Three Months Ended ($000) April 30, 2022 May 1, 2021 Operating lease assets obtained in exchange for new operating lease liabilities $ 187,845 $ 69,170 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 3 Months Ended |
Apr. 30, 2022 | |
Fair Value Disclosures [Abstract] | |
Schedule of fair values of financial instruments | The fair value of the Company’s financial instruments are as follows: ($000) April 30, 2022 January 29, 2022 May 1, 2021 Cash and cash equivalents (Level 1) $ 4,015,567 $ 4,922,365 $ 5,367,006 Restricted cash and cash equivalents (Level 1) $ 60,031 $ 60,017 $ 59,812 |
Schedule of fair value of assets and liabilities | The fair value measurement for funds with quoted market prices in active markets (Level 1) are as follows: ($000) April 30, 2022 January 29, 2022 May 1, 2021 Level 1 $ 161,603 $ 163,891 $ 172,999 |
Management Incentive Plan and_2
Management Incentive Plan and Stock-Based Compensation (Tables) | 3 Months Ended |
Apr. 30, 2022 | |
Share-based Payment Arrangement, Noncash Expense [Abstract] | |
Schedule of stock-based compensation expense by award type | For the three month periods ended April 30, 2022 and May 1, 2021, the Company recognized stock-based compensation expense as follows: Three Months Ended ($000) April 30, 2022 May 1, 2021 Restricted stock $ 20,213 $ 18,589 Performance awards 14,813 9,014 Employee stock purchase plan 1,045 1,071 Total $ 36,071 $ 28,674 |
Schedule of stock-based compensation recognized in Consolidated Statements of Operations | Total stock-based compensation expense recognized in the Company’s Condensed Consolidated Statements of Earnings for the three month periods ended April 30, 2022 and May 1, 2021, is as follows: Three Months Ended Statements of Earnings Classification ($000) April 30, 2022 May 1, 2021 Cost of goods sold $ 18,546 $ 14,672 Selling, general and administrative 17,525 14,002 Total $ 36,071 $ 28,674 |
Schedule of restricted stock, restricted stock units, and performance share award activity | A summary of restricted stock, restricted stock units, and performance share award activity for the three month period ended April 30, 2022, is presented below: (000, except per share data) Number of Weighted-average Unvested at January 29, 2022 4,378 $ 99.58 Awarded 1,335 89.00 Released (1,072) 89.63 Forfeited (25) 102.89 Unvested at April 30, 2022 4,616 98.82 |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 3 Months Ended |
Apr. 30, 2022 | |
Earnings Per Share [Abstract] | |
Reconciliation of the number of shares (denominator) used in the basic and diluted EPS computations | The following is a reconciliation of the number of shares (denominator) used in the basic and diluted EPS computations: Three Months Ended Shares in (000s) Basic EPS Effect of Diluted April 30, 2022 Shares 347,053 1,767 348,820 Amount $ 0.98 $ (0.01) $ 0.97 May 1, 2021 Shares 352,988 2,379 355,367 Amount $ 1.35 $ (0.01) $ 1.34 |
Debt (Tables)
Debt (Tables) | 3 Months Ended |
Apr. 30, 2022 | |
Debt Disclosure [Abstract] | |
Schedule of long-term debt | Unsecured senior debt, net of unamortized discounts and debt issuance costs, consisted of the following: ($000) April 30, 2022 January 29, 2022 May 1, 2021 6.530% Series B Senior Notes due 2021 $ — $ — $ 64,937 3.375% Senior Notes due 2024 248,920 248,808 248,476 4.600% Senior Notes due 2025 696,205 695,888 694,940 0.875% Senior Notes due 2026 495,119 494,814 493,898 4.700% Senior Notes due 2027 239,577 239,470 239,153 4.800% Senior Notes due 2030 132,473 132,431 132,304 1.875% Senior Notes due 2031 494,831 494,691 494,271 5.450% Senior Notes due 2050 146,242 146,223 146,166 Total long-term debt $ 2,453,367 $ 2,452,325 $ 2,514,145 Less: current portion — — 64,937 Total due beyond one year $ 2,453,367 $ 2,452,325 $ 2,449,208 |
Schedule of components of interest expense and income | The table below shows the components of interest expense and income for the three month periods ended April 30, 2022 and May 1, 2021: Three Months Ended ($000) April 30, 2022 May 1, 2021 Interest expense on long-term debt $ 21,154 $ 22,194 Other interest expense 388 330 Capitalized interest (2,651) (3,239) Interest income (1,195) (236) Interest expense, net $ 17,696 $ 19,049 |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies (Disaggregation of Revenue) (Details) | 3 Months Ended | |
Apr. 30, 2022 | May 01, 2021 | |
Disaggregation of Revenue [Line Items] | ||
Total | 100.00% | 100.00% |
Home Accents and Bed and Bath | ||
Disaggregation of Revenue [Line Items] | ||
Total | 26.00% | 27.00% |
Ladies | ||
Disaggregation of Revenue [Line Items] | ||
Total | 24.00% | 24.00% |
Accessories, Lingerie, Fine Jewelry, and Cosmetics | ||
Disaggregation of Revenue [Line Items] | ||
Total | 14.00% | 14.00% |
Men’s | ||
Disaggregation of Revenue [Line Items] | ||
Total | 14.00% | 13.00% |
Shoes | ||
Disaggregation of Revenue [Line Items] | ||
Total | 13.00% | 13.00% |
Children’s | ||
Disaggregation of Revenue [Line Items] | ||
Total | 9.00% | 9.00% |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies (Cash, Cash Equivalents, Restricted Cash Reconciliation) (Details) - USD ($) $ in Thousands | Apr. 30, 2022 | Jan. 29, 2022 | May 01, 2021 | Jan. 30, 2021 |
Accounting Policies [Abstract] | ||||
Cash and cash equivalents | $ 4,015,567 | $ 4,922,365 | $ 5,367,006 | |
Restricted cash and cash equivalents included in: | ||||
Prepaid expenses and other | 11,406 | 11,403 | 10,766 | |
Other long-term assets | 48,625 | 48,614 | 49,046 | |
Total restricted cash and cash equivalents | 60,031 | 60,017 | 59,812 | |
Total cash and cash equivalents, and restricted cash and cash equivalents | $ 4,075,598 | $ 4,982,382 | $ 5,426,818 | $ 4,953,769 |
Summary of Significant Accoun_6
Summary of Significant Accounting Policies (Narrative) (Details) - USD ($) | May 18, 2022 | Mar. 01, 2022 | Mar. 31, 2022 | Nov. 30, 2021 | Aug. 31, 2021 | May 31, 2021 | Mar. 31, 2021 | Apr. 30, 2022 | May 01, 2021 | Jan. 29, 2022 |
Summary of Significant Accounting Policies [Line Items] | ||||||||||
Cash dividends declared per share (in dollars per share) | $ 0.310 | $ 0.285 | $ 0.285 | $ 0.285 | $ 0.285 | $ 0.310 | $ 0.285 | |||
Stock repurchased program period | 2 years | |||||||||
Stock repurchase program, amount authorized | $ 1,900,000,000 | $ 1,500,000,000 | ||||||||
Stock repurchased, amount | $ 239,600,000 | $ 650,000,000 | ||||||||
Stock repurchased during period, shares (in shares) | 2,500,000 | 0 | ||||||||
Subsequent Event | ||||||||||
Summary of Significant Accounting Policies [Line Items] | ||||||||||
Cash dividends declared per share (in dollars per share) | $ 0.310 | |||||||||
Property, Plant and Equipment | ||||||||||
Summary of Significant Accounting Policies [Line Items] | ||||||||||
Property and equipment purchased but not yet paid | $ 19,000,000 | $ 10,200,000 |
Summary of Significant Accoun_7
Summary of Significant Accounting Policies (Leases) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Apr. 30, 2022 | May 01, 2021 | |
Accounting Policies [Abstract] | ||
Operating lease assets obtained in exchange for new operating lease liabilities | $ 187,845 | $ 69,170 |
Fair Value Measurements (Balanc
Fair Value Measurements (Balance Sheet Items) (Details) - Level 1 - USD ($) $ in Thousands | Apr. 30, 2022 | Jan. 29, 2022 | May 01, 2021 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Cash and cash equivalents (Level 1) | $ 4,015,567 | $ 4,922,365 | $ 5,367,006 |
Restricted cash and cash equivalents (Level 1) | $ 60,031 | $ 60,017 | $ 59,812 |
Fair Value Measurements (Underl
Fair Value Measurements (Underlying Asset Value) (Details) - USD ($) $ in Thousands | Apr. 30, 2022 | Jan. 29, 2022 | May 01, 2021 |
Level 1 | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Total | $ 161,603 | $ 163,891 | $ 172,999 |
Management Incentive Plan and_3
Management Incentive Plan and Stock-Based Compensation (Recognized Stock-Based Compensation) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Apr. 30, 2022 | May 01, 2021 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Total | $ 36,071 | $ 28,674 |
Restricted stock | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Total | 20,213 | 18,589 |
Performance awards | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Total | 14,813 | 9,014 |
Employee stock purchase plan | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Total | $ 1,045 | $ 1,071 |
Management Incentive Plan and_4
Management Incentive Plan and Stock-Based Compensation (Total Stock-Based Compensation Recognized in the Consolidated Statements of Earnings) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Apr. 30, 2022 | May 01, 2021 | |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||
Total | $ 36,071 | $ 28,674 |
Cost of goods sold | ||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||
Total | 18,546 | 14,672 |
Selling, general and administrative | ||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||
Total | $ 17,525 | $ 14,002 |
Management Incentive Plan and_5
Management Incentive Plan and Stock-Based Compensation (Narrative) (Details) - USD ($) | 3 Months Ended | ||
Apr. 30, 2022 | May 01, 2021 | Jan. 29, 2022 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Tax benefit related to stock-based compensation | $ 7,400,000 | $ 5,300,000 | |
Plan participant's annual percentage ceiling for ESPP (up to, as a percentage) | 10.00% | ||
Plan participant's annual dollar amount ceiling for ESPP | $ 25,000 | ||
Purchase price for shares under the ESPP (as a percentage) | 85.00% | ||
Discount rate under the ESPP (as a percentage) | 15.00% | ||
Restricted stock | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Treasury shares purchased for tax withholding and available for reissuance (in shares) | 408,465 | 386,966 | |
Restricted Stock, Restricted Stock Units, and Performance Shares | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Unvested restricted stock and performance shares (in shares) | 4,616,000 | 4,378,000 | |
Unamortized compensation expense | $ 261,600,000 | $ 223,100,000 | |
Unamortized compensation expense, remaining weighted-average period of recognition | 2 years 4 months 24 days | 2 years 4 months 24 days | |
Minimum | Restricted stock | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Restricted stock vesting period | 3 years | ||
Minimum | Restricted Stock Units (RSUs) | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Restricted stock vesting period | 3 years | ||
Minimum | Performance Shares | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Requisite service period | 2 years | ||
Maximum | Restricted stock | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Restricted stock vesting period | 5 years | ||
Maximum | Restricted Stock Units (RSUs) | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Restricted stock vesting period | 5 years | ||
Maximum | Performance Shares | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Requisite service period | 3 years |
Management Incentive Plan and_6
Management Incentive Plan and Stock-Based Compensation (Unvested Restricted Stock, RSU, and Performance Shares Activity) (Details) - Restricted Stock, Restricted Stock Units, and Performance Shares shares in Thousands | 3 Months Ended |
Apr. 30, 2022$ / sharesshares | |
Number of shares | |
Beginning balance (in shares) | shares | 4,378 |
Awarded (in shares) | shares | 1,335 |
Released (in shares) | shares | (1,072) |
Forfeited (in shares) | shares | (25) |
Ending balance (in shares) | shares | 4,616 |
Weighted-average grant date fair value | |
Beginning balance (in dollars per share) | $ / shares | $ 99.58 |
Awarded (in dollars per share) | $ / shares | 89 |
Released (in dollars per share) | $ / shares | 89.63 |
Forfeited (in dollars per share) | $ / shares | 102.89 |
Ending balance (in dollars per share) | $ / shares | $ 98.82 |
Earnings Per Share (Narrative)
Earnings Per Share (Narrative) (Details) - shares | 3 Months Ended | |
Apr. 30, 2022 | May 01, 2021 | |
Earnings Per Share [Abstract] | ||
Weighted average shares excluded from calculation of diluted EPS (in shares) | 677,000 | 17,400 |
Earnings Per Share (Schedule of
Earnings Per Share (Schedule of Basic and Diluted EPS Computations) (Details) - $ / shares shares in Thousands | 3 Months Ended | |
Apr. 30, 2022 | May 01, 2021 | |
Earnings Per Share [Abstract] | ||
Basic EPS, Shares (in shares) | 347,053 | 352,988 |
Basic EPS , Amount (in dollars per share) | $ 0.98 | $ 1.35 |
Effect of dilutive common stock equivalents, Shares (in shares) | 1,767 | 2,379 |
Effect of dilutive common stock equivalents, Amount (in dollars per share) | $ (0.01) | $ (0.01) |
Diluted EPS, Shares (in shares) | 348,820 | 355,367 |
Diluted EPS, Amount (in dollars per share) | $ 0.97 | $ 1.34 |
Debt (Schedule of Short-Term an
Debt (Schedule of Short-Term and Long-Term Debt) (Details) - USD ($) $ in Thousands | Apr. 30, 2022 | Jan. 29, 2022 | Dec. 31, 2021 | May 01, 2021 |
Debt Instrument [Line Items] | ||||
Total long-term debt | $ 2,453,367 | $ 2,452,325 | $ 2,514,145 | |
Current portion of long-term debt | 0 | 0 | 64,937 | |
Total due beyond one year | 2,453,367 | 2,452,325 | 2,449,208 | |
6.530% Series B Senior Notes due 2021 | 6.530% Series B Senior Notes due 2021 | ||||
Debt Instrument [Line Items] | ||||
Total long-term debt | 0 | 0 | 64,937 | |
Stated interest rate (percent) | 6.53% | |||
Senior Notes | 3.375% Senior Notes due 2024 | ||||
Debt Instrument [Line Items] | ||||
Total long-term debt | $ 248,920 | 248,808 | 248,476 | |
Stated interest rate (percent) | 3.375% | |||
Senior Notes | 4.600% Senior Notes due 2025 | ||||
Debt Instrument [Line Items] | ||||
Total long-term debt | $ 696,205 | 695,888 | 694,940 | |
Stated interest rate (percent) | 4.60% | |||
Senior Notes | 0.875% Senior Notes due 2026 | ||||
Debt Instrument [Line Items] | ||||
Total long-term debt | $ 495,119 | 494,814 | 493,898 | |
Stated interest rate (percent) | 0.875% | |||
Senior Notes | 4.700% Senior Notes due 2027 | ||||
Debt Instrument [Line Items] | ||||
Total long-term debt | $ 239,577 | 239,470 | 239,153 | |
Stated interest rate (percent) | 4.70% | |||
Senior Notes | 4.800% Senior Notes due 2030 | ||||
Debt Instrument [Line Items] | ||||
Total long-term debt | $ 132,473 | 132,431 | 132,304 | |
Stated interest rate (percent) | 4.80% | |||
Senior Notes | 1.875% Senior Notes due 2031 | ||||
Debt Instrument [Line Items] | ||||
Total long-term debt | $ 494,831 | 494,691 | 494,271 | |
Stated interest rate (percent) | 1.875% | |||
Senior Notes | 5.450% Senior Notes due 2050 | ||||
Debt Instrument [Line Items] | ||||
Total long-term debt | $ 146,242 | $ 146,223 | $ 146,166 | |
Stated interest rate (percent) | 5.45% |
Debt (Narrative) (Details)
Debt (Narrative) (Details) | 1 Months Ended | ||||
Feb. 28, 2022USD ($)renewal_option | Apr. 30, 2022USD ($)note | Jan. 31, 2022USD ($) | Jan. 29, 2022USD ($)note | May 01, 2021USD ($)note | |
Senior Notes | |||||
Debt Instrument [Line Items] | |||||
Total unamortized discount and debt issuance costs | $ 21,600,000 | $ 22,700,000 | $ 25,800,000 | ||
Number of series notes | note | 7 | 7 | 8 | ||
Senior Notes | Level 1 | |||||
Debt Instrument [Line Items] | |||||
Unsecured senior notes estimated fair value | $ 2,400,000,000 | $ 2,600,000,000 | $ 2,700,000,000 | ||
Senior Unsecured Revolving Credit Facility | |||||
Debt Instrument [Line Items] | |||||
Maximum borrowing capacity | $ 1,300,000,000 | ||||
Number of renewal options | renewal_option | 2 | ||||
Renewal option, term | 1 year | ||||
Option to increase credit facility, additional amount (up to) | $ 700,000,000 | ||||
Senior Unsecured Revolving Credit Facility | Standby Letters of Credit | |||||
Debt Instrument [Line Items] | |||||
Maximum borrowing capacity | $ 300,000,000 | ||||
$800 million revolving credit facility | |||||
Debt Instrument [Line Items] | |||||
Maximum borrowing capacity | $ 800,000,000 | ||||
Amount outstanding under the revolving credit facility | 0 | ||||
Standby Letters of Credit | |||||
Debt Instrument [Line Items] | |||||
Amount outstanding under the revolving credit facility | $ 0 |
Debt (Interest Expense, Net) (D
Debt (Interest Expense, Net) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Apr. 30, 2022 | May 01, 2021 | |
Debt Disclosure [Abstract] | ||
Interest expense on long-term debt | $ 21,154 | $ 22,194 |
Other interest expense | 388 | 330 |
Capitalized interest | (2,651) | (3,239) |
Interest income | (1,195) | (236) |
Interest expense, net | $ 17,696 | $ 19,049 |
Taxes on Earnings (Narrative) (
Taxes on Earnings (Narrative) (Details) - USD ($) $ in Millions | 3 Months Ended | ||
Apr. 30, 2022 | May 01, 2021 | Jan. 29, 2022 | |
Income Tax Disclosure [Abstract] | |||
Effective income tax rate (percent) | 25.00% | 24.00% | |
Effective income tax rate, increase (decrease) from prior year (percent) | 0.01 | ||
Unrecognized tax benefits | $ 70.7 | $ 71.7 | $ 68.1 |
Income tax penalties and interest accrued | 8.2 | $ 8.7 | $ 7.6 |
Impact of recognizing taxes and interest related to unrecognized tax benefits | 56.6 | ||
Unrecognized tax benefits reduction resulting from conclusion of certain state tax matters or lapse of applicable statute of limitations (up to) | $ 15.8 |