Ross Stores (ROST) FY2025 10-K Annual Report

Filed: Apr 1, 2025
Consumer Discretionary
Retail-Family Clothing StoresSEC EDGAR

Ross Stores (ROST) 10-K annual report for fiscal year 2025, filed with SEC EDGAR on Apr 1, 2025. This page provides AI-powered analysis including business overview, management discussion & analysis (MD&A), risk factors, and key financial data such as revenue, net income, gross margin, operating margin, and return on equity (ROE) extracted from XBRL.

Ross Stores FY2025 10-K Analysis

Business Overview

  • Core business model: Off-price apparel and home fashion retail with 2,186 stores in 39 states/territories as of Feb 2025, up from 2,109 stores in Feb 2024
  • Store expansion in FY25: Net increase of 77 stores, notable growth in Michigan (+8), Minnesota (+3), and New York (+3)
  • Distribution network: 26 distribution/warehouse facilities with over 15 million sq ft ground floor area, includes new construction near completion
  • Lease strategy: Majority leased stores with original lease terms 3-10 years plus multiple 5-year renewal options
  • Operating footprint: Office space includes 414,000 sq ft in Dublin, CA and 572,000 sq ft in NYC; NYC buying office under 99-year ground lease

Management Discussion & Analysis

  • Revenue $21.13B, up 3.7% YoY with $752.3M increase driven by 3% comparable store sales and 77 net new stores
  • Operating margin 12.2% vs 11.3%; net margin 9.9% vs 9.2% led by lower COGS and SG&A as % of sales
  • Best segment Ross Dress for Less: 1,831 stores (+67 YoY); worst dd’s DISCOUNTS: 355 stores (+10 YoY) with slower store growth
  • Cash from operations $2.36B vs $2.51B; capex $720M vs $763M; share repurchases $1.05B vs $950M; dividends $489M vs $455M
  • Management expects ~90 new stores in 2025; projects higher operating costs and sales deleverage; risks from inflation, interest rates, weather, geopolitical events

Risk Factors

  • Cybersecurity risk oversight by Audit Committee with quarterly reports including incident response and recovery protocols
  • CIO and CISO lead cybersecurity risk mitigation with expertise in retail and decades of experience
  • Cybersecurity program subject to internal and third-party audits with results reported to Audit Committee

Ross Stores FY2025 Key Financial Metrics
XBRL

Revenue

$21.1B

+3.7% YoY

Net Income

$2.1B

+11.5% YoY

Operating Margin

12.2%

+91bp YoY

Net Margin

9.9%

+70bp YoY

ROE

37.9%

-53bp YoY

Total Assets

$14.9B

+4.2% YoY

EPS (Diluted)

$6.32

+13.7% YoY

Operating Cash Flow

$2.4B

-6.3% YoY

Source: XBRL data from Ross Stores FY2025 10-K filing on SEC EDGAR. All figures in USD.

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