Ross Stores Pumps 19 Percent Increase in Q4 Net

PLEASANTON, Calif.-Fourth-quarter net income for Ross Stores totaled $192 million, up 19 percent from the fourth quarter of last year.

For the fiscal year that ended Jan. 28, Ross Stores posted an 18.5 percent increase in net income, to $657.2 million. Michael Balmuth, vice chairman and CEO, attributed Ross Stores' improved bottom line a combination of higher merchandise gross margin, reduced shortage costs and leverage on operating expenses from strong sales gains for both the quarter and the year.

Net sales in the quarter increased 12 percent to $2.4 billion, including a gain of 7 percent in same-store sales. For the fiscal year, net sales rose 9.4 percent to $8.6 billion, with a same-store sales pickup of 5 percent.

While selling, general and administrative expenses increased 6.9 percent in the quarter, they fell 65 basis points as a percentage of sales to 14.3 percent. Gross margin rose six basis points to 27.2 percent.

Looking ahead, Balmuth predicted "respectable increases" in revenues and earnings per share, based on Ross Stores' ability to offer "terrific name-brand bargains" while running its stores on much lower inventories.

HFN Staff | News & Commentary

HFN provides detailed information on the key home classifications: Housewares, Tabletop, Floor Covering & Rugs, Furniture, Home Textiles, Lighting, Home Decor, Mattresses & Bedding, Gifts, Major Appliances and Consumer Electronics as well as Business, Finance and Retail.


  • Patti Carpenter Talks Color and its Importance in the Home

    Camera Icon   More Videos

Subscribe to
HFN Omnichannel
Receive the news you need to know about the trends in the industry delivered right to your inbox.

Current Issue

  • HFN August 2017 cover


    August 2017

    COVER STORY: Sharpening the Focus on Millennials

    Find out what makes Millennials tick when it comes to home decorating, shopping and at-home entertaining with HFN's annual consumer study. Turns out, Millennials favor the in-store shopping experience.


    • Power of the People - Crowdfunding campaigns provide needed capital, feedback for home and housewares product launches.
    •  Omnichannel Retailing: Visual Search Takes Off - Learn how voice and visual search are revolutionizing product discovery.