HOME DEPOT, INC.HD
HOME DEPOT, INC. Debt Disclosure
DEBT AND DERIVATIVE INSTRUMENTS
Short-Term Debt
At the beginning of fiscal 2025, we had a commercial paper program that allowed for an aggregate of $7.0 billion in borrowings, and was supported by $7.0 billion of back-up credit facilities. These back-up credit facilities consisted of a five-year $3.5 billion credit facility scheduled to expire in July 2027, a 364-day $2.0 billion credit facility scheduled to expire in May 2025, and a 364-day $1.5 billion credit facility scheduled to expire in July 2025.
In May 2025, we terminated all three back-up credit facility agreements and simultaneously entered into a new five-year $3.5 billion credit facility scheduled to expire in May 2030 and a new 364-day $3.5 billion credit facility scheduled to expire in May 2026.
In July 2025, we increased our commercial paper program by $4.0 billion in connection with the anticipated financing of the GMS acquisition (see Note 13). In July 2025, in connection with the increase in the commercial paper program, we also entered into a new three-year $3.0 billion back-up credit facility scheduled to expire in July 2028, and a new 364-day $1.0 billion back-up credit facility scheduled to expire in July 2026, as well as amended and restated our existing 364-day $3.5 billion credit facility to extend the maturity from May 2026 to July 2026. In the aggregate, as of February 1, 2026, our commercial paper program allows for borrowings up to $11.0 billion and is supported by $11.0 billion of back-up credit facilities.
During fiscal 2025, all of our short-term borrowings were under our commercial paper program, and the maximum amount outstanding during that period was $5.8 billion. At February 1, 2026, we had $4.5 billion of outstanding borrowings under our commercial paper program with a weighted average interest rate of 3.7% and no outstanding borrowings under back-up credit facilities. At February 2, 2025, we had $316 million of outstanding borrowings under our commercial paper program with a weighted-average interest rate of 4.4% and no outstanding borrowings under back-up credit facilities.
Long-Term Debt
The following table presents details of the components of our long-term debt:
Carrying Amount (1) | |||||||||||||||||||||||
| in millions | Interest Payable | Principal Amount | February 1, 2026 | February 2, 2025 | |||||||||||||||||||
2.70% Senior notes due April 2025 | Semi-annually | $ | — | $ | — | $ | 500 | ||||||||||||||||
5.125% Senior notes due April 2025 | Semi-annually | — | — | 500 | |||||||||||||||||||
3.35% Senior notes due September 2025 | Semi-annually | — | — | 999 | |||||||||||||||||||
4.00% Senior notes due September 2025 | Semi-annually | — | — | 749 | |||||||||||||||||||
| Floating rate Senior notes due December 2025 | Quarterly | — | — | 599 | |||||||||||||||||||
5.10% Senior notes due December 2025 | Semi-annually | — | — | 898 | |||||||||||||||||||
3.00% Senior notes due April 2026 | Semi-annually | 1,300 | 1,299 | 1,297 | |||||||||||||||||||
5.15% Senior notes due June 2026 | Semi-annually | 1,500 | 1,499 | 1,496 | |||||||||||||||||||
2.125% Senior notes due September 2026 | Semi-annually | 1,000 | 999 | 997 | |||||||||||||||||||
4.95% Senior notes due September 2026 | Semi-annually | 750 | 749 | 747 | |||||||||||||||||||
2.875% Senior notes due April 2027 | Semi-annually | 750 | 748 | 747 | |||||||||||||||||||
2.50% Senior notes due April 2027 | Semi-annually | 750 | 749 | 747 | |||||||||||||||||||
4.875% Senior notes due June 2027 | Semi-annually | 1,000 | 997 | 995 | |||||||||||||||||||
2.80% Senior notes due September 2027 | Semi-annually | 1,000 | 993 | 984 | |||||||||||||||||||
0.90% Senior notes due March 2028 | Semi-annually | 500 | 498 | 497 | |||||||||||||||||||
1.50% Senior notes due September 2028 | Semi-annually | 1,000 | 997 | 995 | |||||||||||||||||||
3.75% Senior notes due September 2028 | Semi-annually | 500 | 498 | — | |||||||||||||||||||
3.90% Senior notes due December 2028 | Semi-annually | 1,000 | 987 | 972 | |||||||||||||||||||
4.90% Senior notes due April 2029 | Semi-annually | 750 | 745 | 744 | |||||||||||||||||||
2.95% Senior notes due June 2029 | Semi-annually | 1,750 | 1,704 | 1,672 | |||||||||||||||||||
4.75% Senior notes due June 2029 | Semi-annually | 1,250 | 1,241 | 1,239 | |||||||||||||||||||
2.70% Senior notes due April 2030 | Semi-annually | 1,500 | 1,401 | 1,359 | |||||||||||||||||||
3.95% Senior notes due September 2030 | Semi-annually | 500 | 496 | — | |||||||||||||||||||
1.375% Senior notes due March 2031 | Semi-annually | 1,250 | 1,192 | 1,173 | |||||||||||||||||||
4.85% Senior notes due June 2031 | Semi-annually | 1,000 | 991 | 989 | |||||||||||||||||||
1.875% Senior notes due September 2031 | Semi-annually | 1,000 | 955 | 939 | |||||||||||||||||||
3.25% Senior notes due April 2032 | Semi-annually | 1,250 | 1,241 | 1,240 | |||||||||||||||||||
4.50% Senior notes due September 2032 | Semi-annually | 1,250 | 1,244 | 1,244 | |||||||||||||||||||
4.95% Senior notes due June 2034 | Semi-annually | 1,750 | 1,727 | 1,725 | |||||||||||||||||||
4.65% Senior notes due September 2035 | Semi-annually | 1,000 | 993 | — | |||||||||||||||||||
5.875% Senior notes due December 2036 | Semi-annually | 3,000 | 2,901 | 2,879 | |||||||||||||||||||
3.30% Senior notes due April 2040 | Semi-annually | 1,250 | 1,111 | 1,071 | |||||||||||||||||||
5.40% Senior notes due September 2040 | Semi-annually | 500 | 496 | 496 | |||||||||||||||||||
5.95% Senior notes due April 2041 | Semi-annually | 1,000 | 991 | 991 | |||||||||||||||||||
4.20% Senior notes due April 2043 | Semi-annually | 1,000 | 953 | 937 | |||||||||||||||||||
4.875% Senior notes due February 2044 | Semi-annually | 1,000 | 983 | 982 | |||||||||||||||||||
4.40% Senior notes due March 2045 | Semi-annually | 1,000 | 981 | 981 | |||||||||||||||||||
4.25% Senior notes due April 2046 | Semi-annually | 1,600 | 1,587 | 1,587 | |||||||||||||||||||
3.90% Senior notes due June 2047 | Semi-annually | 1,150 | 1,145 | 1,145 | |||||||||||||||||||
4.50% Senior notes due December 2048 | Semi-annually | 1,500 | 1,467 | 1,466 | |||||||||||||||||||
3.125% Senior notes due December 2049 | Semi-annually | 1,250 | 1,191 | 1,176 | |||||||||||||||||||
3.35% Senior notes due April 2050 | Semi-annually | 1,500 | 1,473 | 1,473 | |||||||||||||||||||
2.375% Senior notes due March 2051 | Semi-annually | 1,250 | 1,171 | 1,152 | |||||||||||||||||||
2.75% Senior notes due September 2051 | Semi-annually | 1,000 | 984 | 984 | |||||||||||||||||||
3.625% Senior notes due April 2052 | Semi-annually | 1,500 | 1,460 | 1,459 | |||||||||||||||||||
4.95% Senior notes due September 2052 | Semi-annually | 1,000 | 981 | 980 | |||||||||||||||||||
5.30% Senior notes due June 2054 | Semi-annually | 1,500 | 1,467 | 1,466 | |||||||||||||||||||
3.50% Senior notes due September 2056 | Semi-annually | 1,000 | 975 | 974 | |||||||||||||||||||
5.40% Senior notes due June 2064 | Semi-annually | 500 | 488 | 489 | |||||||||||||||||||
| Total senior notes | $ | 48,800 | $ | 47,748 | $ | 49,731 | |||||||||||||||||
Finance lease obligations; payable in varying installments through July 31, 2075 | 2,963 | 3,021 | |||||||||||||||||||||
Other long-term debt | 597 | 315 | |||||||||||||||||||||
| Total long-term debt | 51,308 | 53,067 | |||||||||||||||||||||
Less: current installments of long-term debt | 4,967 | 4,582 | |||||||||||||||||||||
| Long-term debt, excluding current installments | $ | 46,341 | $ | 48,485 | |||||||||||||||||||
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(1) Includes unamortized discounts, premiums, debt issuance costs, and the effects of fair value hedges.
September 2025 Senior Notes Issuance. In September 2025, we issued three tranches of senior notes.
•The first tranche consisted of $500 million of 3.75% senior notes due September 15, 2028 (the “2028 notes”) at a discount of $0.3 million. Interest on the 2028 notes is due semi-annually on March 15 and September 15 of each year, beginning on March 15, 2026.
•The second tranche consisted of $500 million of 3.95% senior notes due September 15, 2030 (the “2030 notes”) at a discount of $1.8 million. Interest on the 2030 notes is due semi-annually on March 15 and September 15 of each year, beginning on March 15, 2026.
•The third tranche consisted of $1.0 billion of 4.65% senior notes due September 15, 2035 (the “2035 notes”) at a discount of $3.1 million. Interest on the 2035 notes is due semi-annually on March 15 and September 15 of each year, beginning on March 15, 2026.
•Issuance costs for the September 2025 issuance totaled $10 million.
Senior Notes Redemption. All of our fixed rate notes may be redeemed by us at any time, in whole or in part, at the redemption price plus accrued and unpaid interest up to the redemption date. With respect to the 5.15% 2026 notes and 5.875% 2036 notes, the redemption price is equal to the greater of (1) 100% of the principal amount of the notes to be redeemed and (2) the sum of the present values of the remaining scheduled payments of principal and interest on the notes that would be due after the related redemption date. With respect to all other fixed rate notes, prior to the relevant Par Call Date, as defined in the respective notes, the redemption price is equal to the greater of (1) 100% of the principal amount of the notes to be redeemed and (2) the sum of the present values of the remaining scheduled payments of principal and interest to the Par Call Date. On or after the relevant Par Call Date, the redemption price is equal to 100% of the principal amount of such notes. Additionally, if a Change in Control Triggering Event occurs, as defined in the applicable notes, holders of such applicable notes have the right to require us to offer payment, in cash, for those notes equal to 101% of the aggregate principal amount of such notes plus accrued and unpaid interest up to the date of purchase.
The indentures governing our senior notes do not generally limit our ability to incur additional indebtedness or require us to maintain financial ratios or specified levels of net worth or liquidity. The indentures governing these notes contain various covenants, none of which are expected to impact our liquidity or capital resources.
Senior Notes Repayments. In December 2025, we repaid our $900 million 5.10% senior notes and $600 million floating rate senior notes at maturity. In September 2025, we repaid our $1.0 billion 3.35% and $750 million 4.00% senior notes at maturity. In April 2025, we repaid our $500 million 2.70% and $500 million 5.125% senior notes at maturity.
Maturities of Long-Term Debt. The following table presents our long-term debt maturities, excluding finance leases, as of February 1, 2026:
| in millions | Principal | ||||
| Fiscal 2026 | $ | 4,684 | |||
| Fiscal 2027 | 3,625 | ||||
| Fiscal 2028 | 3,115 | ||||
| Fiscal 2029 | 3,852 | ||||
| Fiscal 2030 | 2,072 | ||||
| Thereafter | 32,049 | ||||
| Total | $ | 49,397 | |||
Derivative Instruments and Hedging Activities
We use derivative instruments as part of our normal business operations in the management of our exposure to fluctuations in foreign currency exchange rates and interest rates on certain debt. Our objective in managing these exposures is to decrease the volatility of cash flows affected by changes in the underlying rates and minimize the risk of changes in the fair value of our senior notes.
Fair Value Hedges. We had outstanding interest rate swap agreements with combined notional amounts of $5.4 billion at both February 1, 2026 and February 2, 2025. These agreements are accounted for as fair value hedges that swap fixed for variable rate interest to hedge changes in the fair values of certain senior notes. At February 1, 2026 and February 2, 2025, the fair values of these agreements totaled $558 million and $795 million, respectively, all of which are recognized in other long-term liabilities on our consolidated balance sheets. All of our interest rate swap agreements designated as fair value hedges meet the shortcut method requirements under GAAP. Accordingly, the changes in the fair values of these agreements offset the changes in the fair value of the hedged long-term debt. At February 1, 2026 and February 2, 2025, the carrying amount of long-term debt, excluding current installments, subject to fair value hedges was $14.6 billion and $14.3 billion, respectively.
Cash Flow Hedges. At February 1, 2026 and February 2, 2025, we had outstanding foreign currency forward contracts accounted for as cash flow hedges, which hedge the variability of forecasted cash flows associated with certain payments made in our foreign operations. At February 1, 2026 and February 2, 2025, the notional amounts and the fair values of these contracts were not material. Additionally, the realized and unrealized gains and losses on these instruments were not material during fiscal 2025, fiscal 2024, and fiscal 2023.
From time to time, we also use treasury locks or forward-starting interest rate swap agreements to hedge the variability in future interest payments attributable to changing interest rates on forecasted debt issuances. There were no such instruments outstanding as of February 1, 2026 or February 2, 2025. All previously settled arrangements were designated as cash flow hedges and thus, the corresponding losses were initially recognized in accumulated other comprehensive loss and are being amortized to interest expense over the life of the respective notes. Unamortized losses remaining in accumulated other comprehensive loss were immaterial as of February 1, 2026 and February 2, 2025, as were the losses recognized within interest expense for fiscal 2025, fiscal 2024, and fiscal 2023.
We expect an immaterial amount of losses related to cash flow hedges recorded in accumulated other comprehensive loss as of February 1, 2026 to be reclassified into earnings within the next 12 months.
Collateral. We generally enter into master netting arrangements, which are designed to reduce credit risk by permitting net settlement of transactions with the same counterparty. To further limit our credit risk, we enter into collateral security arrangements that provide for collateral to be received or posted when the net fair value of certain derivative instruments exceeds or falls below contractually established thresholds. The cash collateral posted by the Company related to derivative instruments under our collateral security arrangements was $459 million and $668 million as of February 1, 2026 and February 2, 2025, respectively, which was recorded in other current assets on our consolidated balance sheets. We did not hold any cash collateral from counterparties as of February 1, 2026 or February 2, 2025.
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2026 | Mar 18, 2026 | Showing above |
| 2025 | Mar 21, 2025 | |
| 2024 | Mar 13, 2024 | |
| 2023 | Mar 15, 2023 | |
| 2022 | Mar 23, 2022 | |
| 2021 | Mar 24, 2021 | |
| 2020 | Mar 25, 2020 | |
| 2019 | Mar 28, 2019 | |
| 2018 | Mar 22, 2018 | |
| 2017 | Mar 23, 2017 | |
| 2016 | Mar 24, 2016 | |
About Debt Disclosures
Debt disclosures detail a company's borrowing structure — the types of instruments, interest rates, maturity schedule, and covenant restrictions that define its financial obligations and flexibility. This section is essential for assessing refinancing risk, interest rate exposure, and the margin of safety against financial distress.
Key signals: the maturity schedule reveals concentration risk — large maturities within 1-2 years during tight credit markets can force dilutive refinancing or asset sales. Compare the fair value of debt against carrying amount to gauge whether the market views the company's credit risk differently than the balance sheet suggests. Watch covenant compliance disclosures for tightening cushions, especially leverage and interest coverage ratios. Variable-rate debt exposure quantifies sensitivity to interest rate changes. Secured versus unsecured mix affects recovery rates and future borrowing capacity. Compare net debt-to-EBITDA against industry peers and covenant limits to assess financial health.