The off-price retailer posted full-year sales of $22.8 billion, marking 8% growth from $21.1 billion last year.
During the fiscal year, the retailer recorded comparable sales growth of 5%, up from the 3% growth recorded in fiscal 2024.
Ross Stores CEO Jim Conroy attributed the improved performance to strong merchandising, enhanced marketing initiatives, and an enhanced shopping experience.
Operating income rose to $2.7 billion from $2.6 billion a year ago.
Earnings per share (EPS) for the year came in at $6.61, up from $6.32 last year and the company’s own guidance range of $6.38 to $6.46.
“For the full year, we delivered an excellent performance. While the first half presented challenges amid a dynamic macroeconomic environment, including the impact of tariffs and widespread consumer uncertainty, we remained focused on executing our strategy and managing the business with discipline,” Conroy said.
Ross Store Performance in Q4 FY25
In the fourth quarter, the retailer reported total sales of $6.6 billion, up 12% from $5.9 billion in the same period last year, driven by a strong holiday season.
Comparable store sales increased 9%, well ahead of expectations for a 3% to 4% increase.
Net income for the 13 weeks ended Jan. 31, 2026, was $646 million, up from $587 million last year. Its EPS rose to $2.00, better than guidance of $1.77 to $1.85 and up from $1.79 in the year-ago quarter.
Ross Stores’ operating margin also exceeded estimates at 12.3%, compared to the planned range of 11.5% to 11.8%.
Conroy said: “We are pleased to report that the pace of business has accelerated further in the fourth quarter, with both sales and earnings significantly higher than our expectations.
“During the holiday season, we introduced a compelling assortment of merchandise to our stores, capitalized on higher customer engagement through our new marketing campaigns, and implemented in-store innovations that improved the customer experience.”
Optimistic guidance for fiscal year 2026
Looking ahead, Ross Stores projects continued growth in fiscal 2026. For the first quarter ending May 2, 2026, management expects comparable store sales to rise between 7% and 8%, citing both a strong start to the spring season and the fourth quarter as drivers of this outlook.
If it maintains top-line trends, first-quarter EPS is estimated at $1.60 to $1.67, an improvement over last year’s $1.47 for the comparable period.
For the full fiscal year ending January 30, 2027, Ross Stores estimates same-store sales growth of 3% to 4%, building on this year’s strong performance. Full-year EPS is estimated between $7.02 and $7.36.
