10.Segment reporting

The Company manages its business on the basis of one reportable operating segment. See Note 1 for a brief description of the Company’s business. As of January 30, 2026, the Company’s retail store operations were primarily located within the United States. Certain product sourcing and other operations are located outside the United States, which collectively are not material with regard to assets, results of operations or otherwise to the consolidated financial statements. The following net sales data is presented in accordance with accounting standards related to disclosures about segments of an enterprise.

(in thousands)

  ​ ​ ​

2025

  ​ ​ ​

2024

  ​ ​ ​

2023

 

Classes of similar products:

Consumables

$

35,053,180

$

33,370,910

$

31,342,595

Seasonal

 

4,327,364

 

4,073,317

 

4,083,790

Home products

 

2,213,521

 

2,074,379

 

2,163,806

Apparel

 

1,130,304

 

1,093,702

 

1,101,418

Net sales

$

42,724,369

$

40,612,308

$

38,691,609

The Company’s Chief Operating Decision maker (“CODM”) is the Chief Executive Officer. The measure of profit or loss utilized by the CODM in assessing segment performance and allocating resources is net income as presented on the Company’s consolidated statements of income. The measure of segment assets is reported on the balance sheet as total consolidated assets. Net income is used to evaluate income generated from the use of segment assets which aids in the determination of the allocation of Company resources. Net income is also utilized to monitor budget versus actual results. The following is a reconciliation of segment revenue and significant segment expenses to net income, the measure of profit or loss:

(in thousands)

2025

  ​ ​ ​

2024

  ​ ​ ​

2023

 

Net sales

$

42,724,369

$

40,612,308

$

38,691,609

Less:

Shrink included in cost of goods sold

 

634,293

 

928,896

 

910,674

Cost of goods sold, excluding shrink(b)

 

28,990,387

 

27,665,915

 

26,061,911

Interest expense, net

230,567

274,320

326,781

Income tax expense

452,281

314,501

458,245

Other segment items (a)(b)

 

10,904,530

 

10,303,423

 

9,272,724

Consolidated net income

$

1,512,311

$

1,125,253

$

1,661,274

(a)Other segment items include all remaining SG&A expenses and other (income) expense as disclosed in the consolidated statements of income which were not deemed individually significant for disclosure. These expense items include rent expense as disclosed in Note 4 as well as advertising costs and impairment expense as disclosed in Note 1.
(b)Depreciation and amortization expense included in cost of goods sold, SG&A expenses and interest expense, net was approximately $1.04 billion, $971.7 million and $848.8 million for 2025, 2024 and 2023.

Historical Timeline

Fiscal YearFiled
2026Mar 20, 2026Showing above
2025Mar 21, 2025
2024Mar 25, 2024
2023Mar 24, 2023
2022Mar 18, 2022
2021Mar 19, 2021
2020Mar 19, 2020
2019Mar 22, 2019
2018Mar 23, 2018
2017Mar 24, 2017
2016Mar 22, 2016

About Segments Disclosures

Segment disclosures break a company into its reportable operating units, revealing revenue, profit, and asset allocation that consolidated financial statements obscure. Under ASC 280, segments must match how the chief operating decision maker views the business, providing a window into internal management structure and resource allocation priorities.

Key signals: compare segment margins to identify which units drive profitability and which destroy value. Watch for changes in the number of reportable segments — segment aggregation or disaggregation often coincides with strategic shifts or attempts to obscure declining performance. Intersegment elimination patterns reveal internal pricing practices. The reconciliation between segment totals and consolidated figures exposes corporate overhead allocation and unallocated items. Geographic revenue concentration highlights regulatory and currency exposure. Compare segment-level capital expenditure against segment revenue to assess where management is investing for future growth versus harvesting existing assets.