Ross Stores sees a slight uptick in home sales

Dublin, Calif. – With no discernable sign that trade-down shoppers are walking through the door, Ross Stores remains reliant on core lower- to moderate-income shoppers.

Home comp during Q4 were slightly above the company-wide 1% comp increase, which layered onto a 9% total comp gain in the year-ago quarter. Home sales primarily got a lift from the penetration of gifting purchases, according to CEO Barbara Rentler. The top performing category was shoes.

Although Q4 sales and earnings exceeded guidance, the off-pricer is planning conservatively for 2023.

““As we enter 2023, the macroeconomic and geopolitical environments remain highly uncertain,” she said.

For the new fiscal year, Ross is expecting comp sales to be relative flat versus a 4% decline in the recent fiscal year and a 13% gain in fiscal 2021.

Sales for the fourth quarter ended Jan. 29 rose 4% to $5.2 billion. Full-year sales slipped 1% to $18.7 billion.

See also:

• Ross’ store count gaining steadily on TJMaxx and Marshalls footprints