Ross Stores Inc
NASDAQ:ROST

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Ross Stores Inc
NASDAQ:ROST
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Price: 182.74 USD 1.44% Market Closed
Market Cap: 59.4B USD

Ross Stores Inc
Investor Relations

In the bustling world of retail, Ross Stores Inc. has carved out a niche as a prominent player in the off-price segment, a model designed to catch the thrifty yet style-conscious consumer. Founded by Morris "Morrie" Ross in 1982, Ross Stores operates based on a straightforward yet effective idea: offering high-quality, brand-name products at significant discounts compared to traditional retail outlets. This business model hinges on purchasing excess inventory from manufacturers and department stores, often at the end of a season or due to overproduction, and selling these goods through a streamlined network of stores under the Ross Dress for Less and dd's DISCOUNTS banners. Through strategic negotiations and a keen eye for fashion trends, Ross acquires merchandise that appeals to its core demographic, transforming potential retail hurdles into opportunities for value-driven consumers.

The financial engine of Ross Stores spins around high inventory turnover and operational efficiency, allowing it to thrive in a competitive landscape. By offering apparel, footwear, accessories, and home furnishings at reduced prices, Ross attracts a broad customer base who appreciate the treasure-hunt experience—a dynamic shopping environment where each visit holds the promise of discovering new bargains. These consistent consumer visits boost repeat sales and customer loyalty, crucial for maintaining steady revenue streams. Moreover, Ross's lean cost structure, with minimal expenditure on marketing and store decor, prioritizes cost savings over traditional retail trappings, further enhancing its competitive edge. It's a business model finely tuned to leverage both cost-conscious consumer behavior and agile supply chain management, a testament to Ross Stores’ adaptability and enduring relevance in the retail industry.

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Last Earnings Call
Fiscal Period
Q3 2026
Call Date
Nov 20, 2025
AI Summary
Q3 2026

Sales Acceleration: Ross Stores delivered 10% total sales growth to $5.6 billion in Q3, with same-store sales up 7%, driven by broad-based category and geographic strength.

Strong Margins: Operating margin reached 11.6%, outperforming expectations despite the negative impact of tariffs.

EPS Outperformance: Earnings per share were $1.58, up from $1.48 last year, with net income of $512 million.

Raised Guidance: Management increased Q4 same-store sales guidance to 3%-4% and full-year EPS guidance to $6.38–$6.46.

Tariff Impact Mitigated: Tariff costs were lower than expected in Q3 and forecast to be negligible in Q4.

Inventory Positioning: Inventory was built up 15% per store ahead of the holidays, positioning the company well for seasonal sales.

Store Openings: 90 new stores were opened this year, completing the 2025 expansion program, with strong initial results in new markets like the Northeast.

Branded Strategy Success: The focus on branded merchandise, particularly in the ladies' category, drove stronger comps and customer engagement.

Key Financials
Revenue
$5.6 billion
Comparable Store Sales
7%
Operating Margin
11.6%
Earnings Per Share
$1.58
Net Income
$512 million
Year-to-Date Revenue
$16.1 billion
Year-to-Date Comparable Store Sales
3%
Year-to-Date Earnings Per Share
$4.61
Year-to-Date Net Income
$1.5 billion
Inventory (total)
up 9% YoY
Inventory (average per store)
up 15% YoY
Packaway Merchandise
36% of total inventories
Store Openings (Q3)
40 stores (36 Ross, 4 dd's DISCOUNTS)
Store Openings (2025 YTD)
90 stores (80 Ross, 10 dd's)
Share Repurchases
1.7 million shares for $262 million in Q3
Tariff Impact (EPS)
$0.05 negative impact in Q3; $0.16 YTD
Earnings Call Recording
Other Earnings Calls

Management

Mr. Michael Balmuth
Executive Chairman of the Board

Michael Balmuth is a well-known executive in the retail industry, particularly recognized for his long tenure at Ross Stores Inc., one of the largest off-price retail chains in the United States. Balmuth joined Ross Stores in 1989 and significantly contributed to the company's growth and success over the years. Initially serving in various merchandising roles, Michael Balmuth swiftly advanced through the ranks due to his strategic vision and leadership capabilities. In 1993, he was appointed Executive Vice President and Chief Merchandising Officer, where he played a crucial role in refining Ross's merchandise strategy, helping the company to expand its reach and increase its market share. In 1996, Balmuth was named Vice Chairman and Chief Executive Officer, a position he held until 2014. Under his leadership, Ross Stores saw significant growth, with an expansion in store count and profitability. Balmuth is credited with reinforcing the company's off-price business model and enhancing its operational efficiencies, which were key factors in its ongoing success. After stepping down as CEO in 2014, he continued to serve as Executive Chairman until 2014, helping to ensure a smooth transition of leadership and continued strategic direction for the company. Michael Balmuth's tenure at Ross Stores is marked by sustained growth, strong financial performance, and increased shareholder value, cementing his reputation as a prominent figure in the retail industry.

Ms. Barbara Rentler
Vice Chairman & CEO

Barbara Rentler is a prominent American business executive known for her role as the CEO of Ross Stores, Inc., a leading chain of off-price retail apparel and home fashion stores. Born in 1958, Rentler has been an integral part of Ross Stores for several decades. She joined the company in 1986 and has since climbed the ranks through various leadership roles. In 2009, Rentler was appointed President and Chief Merchandising Officer at Ross Dress for Less, the largest division of Ross Stores. Her strategic approach and strong merchandising skills contributed significantly to the company's growth. In June 2014, she became the Chief Executive Officer, making her one of the few female CEOs in the Fortune 500 at that time. Under her leadership, Ross Stores has continued to expand its footprint across the United States, focusing on delivering value to customers through a variety of high-quality brands at affordable prices. Rentler is known for her deep understanding of the retail landscape, consumer behavior, and effective supply chain management. Her tenure as CEO has been marked by a commitment to maintaining a low-cost structure while driving operational efficiencies and expanding the company's market presence.

Mr. Michael J. Hartshorn
Group President, COO & Director

Michael J. Hartshorn is a prominent executive at Ross Stores, Inc., a leading off-price retail company. He currently serves as the Group President and Chief Operating Officer. In his role, Hartshorn oversees several key functions within the company, including property development, store operations, loss prevention, human resources, legal, and information technology. Hartshorn's career with Ross Stores began in 2000, and he has since held various significant positions within the company. He was the Executive Vice President and Chief Financial Officer for several years before being promoted to Group President and Chief Operating Officer. During his tenure as CFO, Hartshorn was responsible for overseeing all financial operations, including accounting, planning, treasury, tax, information technology, and strategic sourcing. He is recognized for his strong leadership and operational skills, which have been instrumental in driving Ross Stores' growth and success in the highly competitive retail industry. His contributions have been vital in expanding the company's footprint and improving its operational efficiencies across all business segments. Prior to joining Ross Stores, Hartshorn worked at The May Department Stores Company, where he gained valuable experience in finance and operations. He holds a bachelor's degree in business administration from the University of Missouri, St. Louis. Under Hartshorn's leadership, Ross Stores continues to thrive as a retail leader, offering significant value to its customers and stakeholders alike.

Mr. Adam M. Orvos
Executive VP & CFO

Mr. Adam M. Orvos is a prominent executive with extensive experience in the retail sector. As an influential figure in the industry, he has been associated with Ross Stores, Inc., one of the largest off-price retailers in the United States. Known for his strategic acumen and leadership skills, Orvos has played a crucial role in driving growth and operational efficiency within the company. Before his tenure at Ross Stores, Adam Orvos held various senior leadership roles in other renowned retail organizations, where he honed his expertise in financial management, operational strategies, and corporate governance. His comprehensive understanding of the retail landscape, coupled with his strong focus on customer satisfaction and stakeholder value, has contributed significantly to Ross Stores' competitive positioning in the market. Orvos' professional journey is marked by his commitment to excellence and his ability to adapt to the dynamic retail environment. He is highly regarded for his collaboration skills, innovative mindset, and dedication to fostering a culture of integrity and performance within the teams he leads.

Mr. Stephen Brinkley
President of Operations
No Bio Available
Mr. Michael K. Kobayashi
President & Chief Capability Officer

As of the latest information available, Michael K. Kobayashi is an executive at Ross Stores, Inc., where he has made significant contributions in the capacity of Executive Vice President and Chief Supply Chain Officer. Kobayashi has played a crucial role in managing and optimizing the company’s supply chain operations, leveraging his extensive experience in logistics, distribution, and supply chain management to support Ross Stores' strategic goals. His leadership in the supply chain area is particularly impactful given Ross Stores' business model, which heavily relies on efficient distribution to offer discounted prices on a rotating inventory of apparel and home goods. Kobayashi’s expertise helps ensure that Ross Stores maintains its operational efficiency and competitive advantage in the off-price retail sector. Michael K. Kobayashi's career encompasses several decades of experience in supply chain management, holding various leadership roles before joining Ross Stores. His strategic vision and operational prowess continue to drive success and innovation within the company's supply chain framework.

Mr. Jeffrey P. Burrill
Senior VP, Corporate Controller & Chief Accounting Officer

Jeffrey P. Burrill is an executive known for his role at Ross Stores, Inc., where he serves as the Executive Vice President, Chief Information Officer (CIO). In his position, Burrill is responsible for overseeing the company's information technology strategy and operations. His role is crucial in guiding Ross Stores through the evolving landscape of retail technology, ensuring that the company's IT infrastructure supports its growth and enhances operational efficiency. Prior to joining Ross Stores, Burrill has accumulated extensive experience in IT leadership, contributing significantly to retail and technology sectors. His expertise includes overseeing critical digital transformations and leveraging technology to drive business success.

Mr. Connie Kao
Group Vice President of Investor & Media Relations
No Bio Available
Mr. Ken Jew
Group Senior VP, General Counsel & Corporate Secretary

Ken Jew is a notable executive associated with Ross Stores, Inc., where he has made significant contributions in his role. As the Group Senior Vice President and Chief Information Officer (CIO), he is responsible for overseeing the company's information technology strategy and execution. His leadership involves managing the technological infrastructure that supports Ross Stores' operations and ensures that the systems align with the company's retail objectives. With a wealth of experience in IT management within the retail sector, Ken Jew plays a crucial role in driving digital transformation and innovation within the organization, thereby contributing to its success and growth in the competitive retail industry.

Mr. Ken Caruana
Executive VP of Strategy, Marketing & Human Resources

Ken Caruana is an executive at Ross Stores, Inc., where he serves as the Group Senior Vice President and Deputy General Counsel. In this role, he is responsible for overseeing a broad range of legal and regulatory matters that affect the company. Caruana's expertise includes corporate governance, compliance, litigation, and transactional matters, ensuring that Ross Stores operates within legal parameters and mitigating potential legal risks. With an extensive background in law, Ken Caruana brings significant experience to his position at Ross Stores. His responsibilities likely include advising the company's senior leadership on strategic legal initiatives, managing external legal resources, and implementing policies that align with Ross Stores' business objectives while adhering to legal requirements. His role is crucial in maintaining the integrity and success of the company's legal affairs.

Contacts

Address
CALIFORNIA
Dublin California
5130 Hacienda Dr
Contacts
+19259654400.0
www.rossstores.com