UNITED STATES SECURITIES AND EXCHANGE COMMISSION |
Title of each class | Trading Symbol(s) | Name of each exchange on which registered | ||||||||||||
☒ | Accelerated filer | ☐ | ||||||||||||||||||||||||||||||
Non-accelerated filer | ☐ | Smaller reporting company | ||||||||||||||||||||||||||||||
Emerging growth company |
FINANCIAL STATEMENTS | ||||||||
Consolidated Statements of Operations | |||||||||||
Three Months Ended | |||||||||||
(millions, except per share data) (unaudited) | May 4, 2024 | April 29, 2023 | |||||||||
Sales | $ | $ | |||||||||
Other revenue | |||||||||||
Total revenue | |||||||||||
Cost of sales | |||||||||||
Selling, general and administrative expenses | |||||||||||
Depreciation and amortization (exclusive of depreciation included in cost of sales) | |||||||||||
Operating income | |||||||||||
Net interest expense | |||||||||||
Net other income | ( | ( | |||||||||
Earnings before income taxes | |||||||||||
Provision for income taxes | |||||||||||
Net earnings | $ | $ | |||||||||
Basic earnings per share | $ | $ | |||||||||
Diluted earnings per share | $ | $ | |||||||||
Weighted average common shares outstanding | |||||||||||
Basic | |||||||||||
Diluted | |||||||||||
Antidilutive shares |
TARGET CORPORATION | ![]() | Q1 2024 Form 10-Q | 1 |
FINANCIAL STATEMENTS | ||||||||
Consolidated Statements of Comprehensive Income | |||||||||||
Three Months Ended | |||||||||||
(millions) (unaudited) | May 4, 2024 | April 29, 2023 | |||||||||
Net earnings | $ | $ | |||||||||
Other comprehensive (loss) / income, net of tax | |||||||||||
Pension benefit liabilities | |||||||||||
Cash flow hedges and currency translation adjustment | ( | ( | |||||||||
Other comprehensive loss | ( | ( | |||||||||
Comprehensive income | $ | $ |
TARGET CORPORATION | ![]() | Q1 2024 Form 10-Q | 2 |
FINANCIAL STATEMENTS | ||||||||
Consolidated Statements of Financial Position | |||||||||||||||||
(millions, except footnotes) (unaudited) | May 4, 2024 | February 3, 2024 | April 29, 2023 | ||||||||||||||
Assets | |||||||||||||||||
Cash and cash equivalents | $ | $ | $ | ||||||||||||||
Inventory | |||||||||||||||||
Other current assets | |||||||||||||||||
Total current assets | |||||||||||||||||
Property and equipment | |||||||||||||||||
Land | |||||||||||||||||
Buildings and improvements | |||||||||||||||||
Fixtures and equipment | |||||||||||||||||
Computer hardware and software | |||||||||||||||||
Construction-in-progress | |||||||||||||||||
Accumulated depreciation | ( | ( | ( | ||||||||||||||
Property and equipment, net | |||||||||||||||||
Operating lease assets | |||||||||||||||||
Other noncurrent assets | |||||||||||||||||
Total assets | $ | $ | $ | ||||||||||||||
Liabilities and shareholders’ investment | |||||||||||||||||
Accounts payable | $ | $ | $ | ||||||||||||||
Accrued and other current liabilities | |||||||||||||||||
Current portion of long-term debt and other borrowings | |||||||||||||||||
Total current liabilities | |||||||||||||||||
Long-term debt and other borrowings | |||||||||||||||||
Noncurrent operating lease liabilities | |||||||||||||||||
Deferred income taxes | |||||||||||||||||
Other noncurrent liabilities | |||||||||||||||||
Total noncurrent liabilities | |||||||||||||||||
Shareholders’ investment | |||||||||||||||||
Common stock | |||||||||||||||||
Additional paid-in capital | |||||||||||||||||
Retained earnings | |||||||||||||||||
Accumulated other comprehensive loss | ( | ( | ( | ||||||||||||||
Total shareholders’ investment | |||||||||||||||||
Total liabilities and shareholders’ investment | $ | $ | $ |
TARGET CORPORATION | ![]() | Q1 2024 Form 10-Q | 3 |
FINANCIAL STATEMENTS | ||||||||
Consolidated Statements of Cash Flows | |||||||||||
Three Months Ended | |||||||||||
(millions) (unaudited) | May 4, 2024 | April 29, 2023 | |||||||||
Operating activities | |||||||||||
Net earnings | $ | $ | |||||||||
Adjustments to reconcile net earnings to cash provided by operating activities: | |||||||||||
Depreciation and amortization | |||||||||||
Share-based compensation expense | |||||||||||
Deferred income taxes | |||||||||||
Noncash (gains) / losses and other, net | ( | ( | |||||||||
Changes in operating accounts: | |||||||||||
Inventory | |||||||||||
Other assets | |||||||||||
Accounts payable | ( | ( | |||||||||
Accrued and other liabilities | ( | ||||||||||
Cash provided by operating activities | |||||||||||
Investing activities | |||||||||||
Expenditures for property and equipment | ( | ( | |||||||||
Proceeds from disposal of property and equipment | |||||||||||
Other investments | |||||||||||
Cash required for investing activities | ( | ( | |||||||||
Financing activities | |||||||||||
Change in commercial paper, net | |||||||||||
Reductions of long-term debt | ( | ( | |||||||||
Dividends paid | ( | ( | |||||||||
Shares withheld for taxes on share-based compensation | ( | ( | |||||||||
Cash required for financing activities | ( | ( | |||||||||
Net decrease in cash and cash equivalents | ( | ( | |||||||||
Cash and cash equivalents at beginning of period | |||||||||||
Cash and cash equivalents at end of period | $ | $ | |||||||||
Supplemental information | |||||||||||
Leased assets obtained in exchange for new finance lease liabilities | $ | $ | |||||||||
Leased assets obtained in exchange for new operating lease liabilities |
TARGET CORPORATION | ![]() | Q1 2024 Form 10-Q | 4 |
FINANCIAL STATEMENTS | ||||||||
Consolidated Statements of Shareholders’ Investment | |||||||||||||||||||||||||||||||||||
Common | Stock | Additional | Accumulated Other | ||||||||||||||||||||||||||||||||
Stock | Par | Paid-in | Retained | Comprehensive | |||||||||||||||||||||||||||||||
(millions) (unaudited) | Shares | Value | Capital | Earnings | (Loss) / Income | Total | |||||||||||||||||||||||||||||
January 28, 2023 | $ | $ | $ | $ | ( | $ | |||||||||||||||||||||||||||||
Net earnings | — | — | — | — | |||||||||||||||||||||||||||||||
Other comprehensive loss | — | — | — | — | ( | ( | |||||||||||||||||||||||||||||
Dividends declared | — | — | — | ( | — | ( | |||||||||||||||||||||||||||||
Stock options and awards | — | ( | — | — | ( | ||||||||||||||||||||||||||||||
April 29, 2023 | $ | $ | $ | $ | ( | $ | |||||||||||||||||||||||||||||
Net earnings | — | — | — | — | |||||||||||||||||||||||||||||||
Other comprehensive loss | — | — | — | — | ( | ( | |||||||||||||||||||||||||||||
Dividends declared | — | — | — | ( | — | ( | |||||||||||||||||||||||||||||
Stock options and awards | — | — | — | — | |||||||||||||||||||||||||||||||
July 29, 2023 | $ | $ | $ | $ | ( | $ | |||||||||||||||||||||||||||||
Net earnings | — | — | — | — | |||||||||||||||||||||||||||||||
Other comprehensive loss | — | — | — | — | ( | ( | |||||||||||||||||||||||||||||
Dividends declared | — | — | — | ( | — | ( | |||||||||||||||||||||||||||||
Stock options and awards | — | — | — | ||||||||||||||||||||||||||||||||
October 28, 2023 | $ | $ | $ | $ | ( | $ | |||||||||||||||||||||||||||||
Net earnings | — | — | — | — | |||||||||||||||||||||||||||||||
Other comprehensive loss | — | — | — | — | ( | ( | |||||||||||||||||||||||||||||
Dividends declared | — | — | — | ( | — | ( | |||||||||||||||||||||||||||||
Stock options and awards | — | — | — | — | |||||||||||||||||||||||||||||||
February 3, 2024 | $ | $ | $ | $ | ( | $ |
TARGET CORPORATION | ![]() | Q1 2024 Form 10-Q | 5 |
FINANCIAL STATEMENTS | ||||||||
Consolidated Statements of Shareholders’ Investment | |||||||||||||||||||||||||||||||||||
Common | Stock | Additional | Accumulated Other | ||||||||||||||||||||||||||||||||
Stock | Par | Paid-in | Retained | Comprehensive | |||||||||||||||||||||||||||||||
(millions) (unaudited) | Shares | Value | Capital | Earnings | (Loss) / Income | Total | |||||||||||||||||||||||||||||
February 3, 2024 | $ | $ | $ | $ | ( | $ | |||||||||||||||||||||||||||||
Net earnings | — | — | — | — | |||||||||||||||||||||||||||||||
Other comprehensive loss | — | — | — | — | ( | ( | |||||||||||||||||||||||||||||
Dividends declared | — | — | — | ( | — | ( | |||||||||||||||||||||||||||||
Stock options and awards | ( | — | — | ( | |||||||||||||||||||||||||||||||
May 4, 2024 | $ | $ | $ | $ | ( | $ | |||||||||||||||||||||||||||||
TARGET CORPORATION | ![]() | Q1 2024 Form 10-Q | 6 |
FINANCIAL STATEMENTS | ||||||||
INDEX |
INDEX TO NOTES | |||||||||||
TARGET CORPORATION | ![]() | Q1 2024 Form 10-Q | 7 |
FINANCIAL STATEMENTS | ||||||||
NOTES |
TARGET CORPORATION | ![]() | Q1 2024 Form 10-Q | 8 |
FINANCIAL STATEMENTS | ||||||||
NOTES |
Revenue | Three Months Ended | ||||||||||
(millions) | May 4, 2024 | April 29, 2023 | |||||||||
Apparel & accessories (a) | $ | $ | |||||||||
Beauty (b) | |||||||||||
Food & beverage (c) | |||||||||||
Hardlines (d) | |||||||||||
Home furnishings & décor (e) | |||||||||||
Household essentials (f) | |||||||||||
Other | |||||||||||
Sales | |||||||||||
Credit card profit sharing | |||||||||||
Other | |||||||||||
Other revenue | |||||||||||
Total revenue | $ | $ |
Gift Card Liability Activity | February 3, 2024 | Gift Cards Issued During Current Period But Not Redeemed (b) | Revenue Recognized From Beginning Liability | May 4, 2024 | |||||||||||||||||||
(millions) | |||||||||||||||||||||||
Gift card liability (a) | $ | $ | $ | ( | $ |
TARGET CORPORATION | ![]() | Q1 2024 Form 10-Q | 9 |
FINANCIAL STATEMENTS | ||||||||
NOTES |
Financial Instruments Measured On a Recurring Basis | Fair Value | ||||||||||||||||||||||
(millions) | Classification | Measurement Level | May 4, 2024 | February 3, 2024 | April 29, 2023 | ||||||||||||||||||
Assets | |||||||||||||||||||||||
Short-term investments | Cash and Cash Equivalents | Level 1 | $ | $ | $ | ||||||||||||||||||
Prepaid forward contracts | Other Current Assets | Level 1 | |||||||||||||||||||||
Interest rate swaps | Other Noncurrent Assets | Level 2 | |||||||||||||||||||||
Liabilities | |||||||||||||||||||||||
Interest rate swaps | Other Current Liabilities | Level 2 | |||||||||||||||||||||
Interest rate swaps | Other Noncurrent Liabilities | Level 2 | |||||||||||||||||||||
Significant Financial Instruments Not Measured at Fair Value (a) (millions) | May 4, 2024 | February 3, 2024 | April 29, 2023 | |||||||||||||||||||||||
Carrying Amount | Fair Value | Carrying Amount | Fair Value | Carrying Amount | Fair Value | |||||||||||||||||||||
Long-term debt, including current portion (b) | $ | $ | $ | $ | $ | $ |
TARGET CORPORATION | ![]() | Q1 2024 Form 10-Q | 10 |
FINANCIAL STATEMENTS | ||||||||
NOTES |
Effect of Hedges on Debt (millions) | May 4, 2024 | February 3, 2024 | April 29, 2023 | |||||||||||||||||
Long-term debt and other borrowings | ||||||||||||||||||||
$ | $ | $ | ||||||||||||||||||
Cumulative hedging adjustments, included in carrying amount | ( | ( | ( |
Effect of Hedges on Net Interest Expense | Three Months Ended | ||||||||||
(millions) | May 4, 2024 | April 29, 2023 | |||||||||
Gain (loss) on fair value hedges recognized in Net Interest Expense | |||||||||||
Interest rate swaps designated as fair value hedges | $ | ( | $ | ||||||||
Hedged debt | ( | ||||||||||
Gain on cash flow hedges recognized in Net Interest Expense | |||||||||||
Total | $ | $ |
Net Pension Benefits Expense | Three Months Ended | |||||||||||||
(millions) | Classification | May 4, 2024 | April 29, 2023 | |||||||||||
Service cost benefits earned | Selling, General, and Administrative (SG&A) Expenses | $ | $ | |||||||||||
Interest cost on projected benefit obligation | Net Other Income | |||||||||||||
Expected return on assets | Net Other Income | ( | ( | |||||||||||
Prior service cost | Net Other Income | |||||||||||||
Total | $ | ( | $ | ( |
TARGET CORPORATION | ![]() | Q1 2024 Form 10-Q | 11 |
FINANCIAL STATEMENTS | ||||||||
NOTES |
Change in Accumulated Other Comprehensive Income (Loss) | Cash Flow Hedges | Currency Translation Adjustment | Pension | Total | |||||||||||||||||||
(millions) | |||||||||||||||||||||||
February 3, 2024 | $ | $ | ( | $ | ( | $ | ( | ||||||||||||||||
Amounts reclassified from AOCI, net of tax | ( | ( | |||||||||||||||||||||
May 4, 2024 | $ | $ | ( | $ | ( | $ | ( |
TARGET CORPORATION | ![]() | Q1 2024 Form 10-Q | 12 |
MANAGEMENT'S DISCUSSION AND ANALYSIS | ||||||||
FINANCIAL SUMMARY |
Earnings Per Share | Three Months Ended | ||||||||||||||||
May 4, 2024 | April 29, 2023 | Change | |||||||||||||||
GAAP and adjusted diluted earnings per share | $ | 2.03 | $ | 2.05 | (1.0) | % |
TARGET CORPORATION | ![]() | Q1 2024 Form 10-Q | 13 |
MANAGEMENT'S DISCUSSION AND ANALYSIS | ||||||||
ANALYSIS OF RESULTS OF OPERATIONS |
Summary of Operating Income | Three Months Ended | ||||||||||||||||
(dollars in millions) | May 4, 2024 | April 29, 2023 | Change | ||||||||||||||
Sales | $ | 24,143 | $ | 24,948 | (3.2) | % | |||||||||||
Other revenue | 388 | 374 | 3.9 | ||||||||||||||
Total revenue | 24,531 | 25,322 | (3.1) | ||||||||||||||
Cost of sales | 17,449 | 18,386 | (5.1) | ||||||||||||||
SG&A expenses | 5,168 | 5,025 | 2.8 | ||||||||||||||
Depreciation and amortization (exclusive of depreciation included in cost of sales) | 618 | 583 | 6.2 | ||||||||||||||
Operating income | $ | 1,296 | $ | 1,328 | (2.4) | % |
Rate Analysis | Three Months Ended | ||||||||||
May 4, 2024 | April 29, 2023 | ||||||||||
Gross margin rate | 27.7 | % | 26.3 | % | |||||||
SG&A expense rate | 21.1 | 19.8 | |||||||||
Depreciation and amortization expense rate (exclusive of depreciation included in cost of sales) | 2.5 | 2.3 | |||||||||
Operating income margin rate | 5.3 | 5.2 |
Comparable Sales | Three Months Ended | ||||||||||
May 4, 2024 | April 29, 2023 | ||||||||||
Comparable sales change | (3.7) | % | 0.0 | % | |||||||
Drivers of change in comparable sales | |||||||||||
Number of transactions (traffic) | (1.9) | 0.9 | |||||||||
Average transaction amount | (1.9) | (0.9) | |||||||||
TARGET CORPORATION | ![]() | Q1 2024 Form 10-Q | 14 |
MANAGEMENT'S DISCUSSION AND ANALYSIS | ||||||||
ANALYSIS OF RESULTS OF OPERATIONS |
Comparable Sales by Channel | Three Months Ended | ||||||||||
May 4, 2024 | April 29, 2023 | ||||||||||
Stores originated comparable sales change | (4.8) | % | 0.7 | % | |||||||
Digitally originated comparable sales change | 1.4 | (3.4) |
Sales by Channel | Three Months Ended | ||||||||||
May 4, 2024 | April 29, 2023 | ||||||||||
Stores originated | 81.7 | % | 82.5 | % | |||||||
Digitally originated | 18.3 | 17.5 | |||||||||
Total | 100 | % | 100 | % |
Sales by Fulfillment Channel | Three Months Ended | ||||||||||
May 4, 2024 | April 29, 2023 | ||||||||||
Stores | 97.7 | % | 97.2 | % | |||||||
Other | 2.3 | 2.8 | |||||||||
Total | 100 | % | 100 | % |
Sales by Product Category | Three Months Ended | ||||||||||
May 4, 2024 | April 29, 2023 | ||||||||||
Apparel & accessories | 16 | % | 16 | % | |||||||
Beauty | 13 | 12 | |||||||||
Food & beverage | 24 | 24 | |||||||||
Hardlines | 13 | 14 | |||||||||
Home furnishings & décor | 15 | 15 | |||||||||
Household essentials | 19 | 19 | |||||||||
Total | 100 | % | 100 | % |
TARGET CORPORATION | ![]() | Q1 2024 Form 10-Q | 15 |
MANAGEMENT'S DISCUSSION AND ANALYSIS | ||||||||
ANALYSIS OF RESULTS OF OPERATIONS |
Change in Number of Stores | Three Months Ended | ||||||||||
May 4, 2024 | April 29, 2023 | ||||||||||
Beginning store count | 1,956 | 1,948 | |||||||||
Opened | 7 | 6 | |||||||||
Closed | — | — | |||||||||
Ending store count | 1,963 | 1,954 | |||||||||
Number of Stores and | Number of Stores | Retail Square Feet (a) | |||||||||||||||||||||
Retail Square Feet | May 4, 2024 | February 3, 2024 | April 29, 2023 | May 4, 2024 | February 3, 2024 | April 29, 2023 | |||||||||||||||||
170,000 or more sq. ft. | 273 | 273 | 274 | 48,824 | 48,824 | 48,985 | |||||||||||||||||
50,000 to 169,999 sq. ft. | 1,547 | 1,542 | 1,530 | 193,529 | 192,908 | 191,543 | |||||||||||||||||
49,999 or less sq. ft. | 143 | 141 | 150 | 4,301 | 4,207 | 4,465 | |||||||||||||||||
Total | 1,963 | 1,956 | 1,954 | 246,654 | 245,939 | 244,993 |
TARGET CORPORATION | ![]() | Q1 2024 Form 10-Q | 16 |
MANAGEMENT'S DISCUSSION AND ANALYSIS | ||||||||
OTHER PERFORMANCE FACTORS |
TARGET CORPORATION | ![]() | Q1 2024 Form 10-Q | 17 |
MANAGEMENT'S DISCUSSION AND ANALYSIS | ||||||||
RECONCILIATION OF NON-GAAP FINANCIAL MEASURES |
Reconciliation of Non-GAAP Adjusted EPS | Three Months Ended | |||||||||||||
May 4, 2024 | April 29, 2023 | |||||||||||||
GAAP and adjusted diluted earnings per share | $ | 2.03 | $ | 2.05 | ||||||||||
EBIT and EBITDA | Three Months Ended | |||||||||||||||||||
(dollars in millions) | May 4, 2024 | April 29, 2023 | Change | |||||||||||||||||
Net earnings | $ | 942 | $ | 950 | (0.8) | % | ||||||||||||||
+ Provision for income taxes | 277 | 254 | 9.0 | |||||||||||||||||
+ Net interest expense | 106 | 147 | (27.8) | |||||||||||||||||
EBIT | $ | 1,325 | $ | 1,351 | (1.9) | % | ||||||||||||||
+ Total depreciation and amortization (a) | 718 | 667 | 7.7 | |||||||||||||||||
EBITDA | $ | 2,043 | $ | 2,018 | 1.3 | % |
TARGET CORPORATION | ![]() | Q1 2024 Form 10-Q | 18 |
MANAGEMENT'S DISCUSSION AND ANALYSIS | ||||||||
RECONCILIATION OF NON-GAAP FINANCIAL MEASURES |
After-Tax Return on Invested Capital | ||||||||||||||||||||||||||
(dollars in millions) | ||||||||||||||||||||||||||
Trailing Twelve Months | ||||||||||||||||||||||||||
Numerator | May 4, 2024 (a) | April 29, 2023 | ||||||||||||||||||||||||
Operating income | $ | 5,675 | $ | 3,830 | ||||||||||||||||||||||
+ Net other income | 99 | 57 | ||||||||||||||||||||||||
EBIT | 5,774 | 3,887 | ||||||||||||||||||||||||
+ Operating lease interest (b) | 133 | 96 | ||||||||||||||||||||||||
- Income taxes (c) | 1,314 | 770 | ||||||||||||||||||||||||
Net operating profit after taxes | $ | 4,593 | $ | 3,213 |
Denominator | May 4, 2024 | April 29, 2023 | April 30, 2022 | |||||||||||||||||
Current portion of long-term debt and other borrowings | $ | 2,614 | $ | 200 | $ | 1,089 | ||||||||||||||
+ Noncurrent portion of long-term debt | 13,487 | 16,010 | 13,379 | |||||||||||||||||
+ Shareholders' investment | 13,840 | 11,605 | 10,774 | |||||||||||||||||
+ Operating lease liabilities (d) | 3,723 | 2,921 | 2,854 | |||||||||||||||||
- Cash and cash equivalents | 3,604 | 1,321 | 1,112 | |||||||||||||||||
Invested capital | $ | 30,060 | $ | 29,415 | $ | 26,984 | ||||||||||||||
Average invested capital (e) | $ | 29,737 | $ | 28,199 | ||||||||||||||||
After-tax return on invested capital | 15.4 | % | 11.4 | % |
TARGET CORPORATION | ![]() | Q1 2024 Form 10-Q | 19 |
MANAGEMENT'S DISCUSSION AND ANALYSIS | ||||||||
ANALYSIS OF FINANCIAL CONDITION |
TARGET CORPORATION | ![]() | Q1 2024 Form 10-Q | 20 |
MANAGEMENT'S DISCUSSION AND ANALYSIS | ||||||||
ANALYSIS OF FINANCIAL CONDITION |
Credit Ratings | Moody’s | Standard and Poor’s | Fitch | ||||||||
Long-term debt | A2 | A | A | ||||||||
Commercial paper | P-1 | A-1 | F1 |
TARGET CORPORATION | ![]() | Q1 2024 Form 10-Q | 21 |
MANAGEMENT'S DISCUSSION AND ANALYSIS & SUPPLEMENTAL INFORMATION | ||||||||
FORWARD LOOKING STATEMENTS & CONTROLS AND PROCEDURES |
TARGET CORPORATION | ![]() | Q1 2024 Form 10-Q | 22 |
SUPPLEMENTAL INFORMATION | ||||||||
TARGET CORPORATION | ![]() | Q1 2024 Form 10-Q | 23 |
SUPPLEMENTAL INFORMATION | ||||||||
3.1 | ||||||||
3.2 | ||||||||
31.1 | ** | |||||||
31.2 | ** | |||||||
32.1 | *** | |||||||
32.2 | *** | |||||||
101.INS | ** | Inline XBRL Instance Document | ||||||
101.SCH | ** | Inline XBRL Taxonomy Extension Schema Document | ||||||
101.CAL | ** | Inline XBRL Taxonomy Extension Calculation Linkbase Document | ||||||
101.DEF | ** | Inline XBRL Taxonomy Extension Definition Linkbase Document | ||||||
101.LAB | ** | Inline XBRL Taxonomy Extension Label Linkbase Document | ||||||
101.PRE | ** | Inline XBRL Taxonomy Extension Presentation Linkbase Document | ||||||
104 | ** | Cover Page Interactive Data File (formatted as Inline XBRL and contained in Exhibit 101) |
** | Filed herewith. | ||||
*** | Furnished herewith. | ||||
TARGET CORPORATION | ![]() | Q1 2024 Form 10-Q | 24 |
SUPPLEMENTAL INFORMATION | ||||||||
TARGET CORPORATION | |||||||||||
Dated: May 31, 2024 | By: | /s/ Michael J. Fiddelke | |||||||||
Michael J. Fiddelke | |||||||||||
Executive Vice President and | |||||||||||
Chief Operating Officer and Chief Financial Officer | |||||||||||
(Duly Authorized Officer and | |||||||||||
Principal Financial Officer) | |||||||||||
/s/ Matthew A. Liegel | |||||||||||
Matthew A. Liegel | |||||||||||
Senior Vice President, Chief Accounting Officer | |||||||||||
and Controller | |||||||||||
TARGET CORPORATION | ![]() | Q1 2024 Form 10-Q | 25 |
Dated: May 31, 2024 | ||
/s/ Brian C. Cornell | ||
Brian C. Cornell | ||
Chair of the Board and Chief Executive Officer |
Dated: May 31, 2024 | ||
/s/ Michael J. Fiddelke | ||
Michael J. Fiddelke | ||
Executive Vice President and Chief Operating Officer and Chief Financial Officer |
Dated: May 31, 2024 | ||
/s/ Brian C. Cornell | ||
Brian C. Cornell | ||
Chair of the Board and Chief Executive Officer |
Dated: May 31, 2024 | ||
/s/ Michael J. Fiddelke | ||
Michael J. Fiddelke | ||
Executive Vice President and Chief Operating Officer and Chief Financial Officer |
6'+
M!3^^C3.=K=,]*ZL%Q;PKF6*CAL)CZ%2I+:,*M.4G97=DI-NR3>BV5S2EF675
MZBA3K0E)[)23?W)G<4445]"=H4444 %%%% !1110 4444 %%%% !1110 444
M4 ?FZ? W_!3[6/VT]>_:H^/G_!.JP^)K^&]?NX/@=I;?&[3+#2?".E?ZM+R.
MR>"3?JEPF6EO)&+HKB*(1(IW?3?Q"_9U^)OQ/_X*7_#/]H'Q/I-LWP_^&'PP
MU[^PG^VH94\4ZG<6ENSF+[Q":=#<('Q@?:G /)S]#T4 B^*_&6E:9>:W=?9=%M-0U&*&74)\9\J!78&5\<[5!/M0!^='_!1S_@H
MI\,?BE^TCXD_X)Q>.?C'K/PI^&>BV%O%\7?&UCX6U6ZU3Q0MS$)'T'2)+2VE
M2VB,+!;J]8[P)3#"H;?*N_X0^.?[,?[#G[;VI?M!:]#N48/% '6Z-I5I
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M %%%% !1110 4444 %%%% !1110 4444 %%1W=W::?:2W]_
M="O\ X=^!?@CK.I>%K;1I
M-=ATPPW?BUX8X(M26*;>Y5_+6Z'D+$X&XY_BS]IO]HC]A+XQ?MV?'[2_'T7C
M#4)/C/X,\->$O#
Consolidated Statements of Operations - USD ($) shares in Millions, $ in Millions |
3 Months Ended | |
---|---|---|
May 04, 2024 |
Apr. 29, 2023 |
|
Revenue | $ 24,531 | $ 25,322 |
Cost of sales | 17,449 | 18,386 |
Selling, general and administrative expenses | 5,168 | 5,025 |
Depreciation and amortization (exclusive of depreciation included in cost of sales) | 618 | 583 |
Operating income | 1,296 | 1,328 |
Net interest expense | 106 | 147 |
Net other income | (29) | (23) |
Earnings before income taxes | 1,219 | 1,204 |
Provision for income taxes | 277 | 254 |
Net earnings | $ 942 | $ 950 |
Basic earnings per share (in dollars per share) | $ 2.04 | $ 2.06 |
Diluted earnings per share (in dollars per share) | $ 2.03 | $ 2.05 |
Weighted average common shares outstanding | ||
Basic (in shares) | 462.2 | 460.9 |
Diluted (in shares) | 463.9 | 462.9 |
Antidilutive shares (in shares) | 1.6 | 1.2 |
Sales | ||
Revenue | $ 24,143 | $ 24,948 |
Other revenue | ||
Revenue | $ 388 | $ 374 |
Consolidated Statements of Comprehensive Income - USD ($) $ in Millions |
3 Months Ended | |
---|---|---|
May 04, 2024 |
Apr. 29, 2023 |
|
Statement of Comprehensive Income [Abstract] | ||
Net earnings | $ 942 | $ 950 |
Other comprehensive (loss) / income, net of tax | ||
Pension benefit liabilities | 0 | 2 |
Cash flow hedges and currency translation adjustment | (5) | (5) |
Other comprehensive loss | (5) | (3) |
Comprehensive income | $ 937 | $ 947 |
Consolidated Statements of Financial Position (Parenthetical) - $ / shares |
May 04, 2024 |
Feb. 03, 2024 |
Apr. 29, 2023 |
---|---|---|---|
Statement of Financial Position [Abstract] | |||
Common stock, shares authorized (in shares) | 6,000,000,000 | 6,000,000,000 | 6,000,000,000 |
Common stock, par value (in dollars per share) | $ 0.0833 | $ 0.0833 | $ 0.0833 |
Common stock, shares issued (in shares) | 462,635,539 | 461,675,441 | 461,552,843 |
Common stock, shares outstanding (in shares) | 462,635,539 | 461,675,441 | 461,552,843 |
Preferred stock, shares authorized (in shares) | 5,000,000 | 5,000,000 | 5,000,000 |
Preferred stock, par value (in dollars per share) | $ 0.01 | $ 0.01 | $ 0.01 |
Preferred stock, shares issued (in shares) | 0 | 0 | 0 |
Preferred stock, shares outstanding (in shares) | 0 | 0 | 0 |
Consolidated Statements of Shareholders' Investment - USD ($) $ in Millions |
3 Months Ended | ||||
---|---|---|---|---|---|
May 04, 2024 |
Feb. 03, 2024 |
Oct. 28, 2023 |
Jul. 29, 2023 |
Apr. 29, 2023 |
|
Increase (Decrease) in Shareholders' Investment | |||||
Beginning balance (in shares) | 461,675,441 | 461,552,843 | |||
Beginning balance | $ 13,432 | $ 12,514 | $ 11,990 | $ 11,605 | $ 11,232 |
Net earnings | 942 | 1,382 | 971 | 835 | 950 |
Other comprehensive income (loss) | (5) | (30) | (5) | (3) | (3) |
Dividends declared | (516) | (514) | (513) | (516) | (507) |
Stock options and awards | $ (13) | $ 80 | 71 | 69 | $ (67) |
Ending balance (in shares) | 462,635,539 | 461,675,441 | 461,552,843 | ||
Ending balance | $ 13,840 | $ 13,432 | $ 12,514 | $ 11,990 | $ 11,605 |
Common Stock | |||||
Increase (Decrease) in Shareholders' Investment | |||||
Beginning balance (in shares) | 461,700,000 | 461,700,000 | 461,600,000 | 461,600,000 | 460,300,000 |
Beginning balance | $ 38 | $ 38 | $ 38 | $ 38 | $ 38 |
Stock options and awards (in shares) | 900,000 | 100,000 | 1,300,000 | ||
Stock options and awards | $ 1 | ||||
Ending balance (in shares) | 462,600,000 | 461,700,000 | 461,700,000 | 461,600,000 | 461,600,000 |
Ending balance | $ 39 | $ 38 | $ 38 | $ 38 | $ 38 |
Additional Paid-in Capital | |||||
Increase (Decrease) in Shareholders' Investment | |||||
Beginning balance | 6,761 | 6,681 | 6,610 | 6,541 | 6,608 |
Stock options and awards | (14) | 80 | 71 | 69 | (67) |
Ending balance | 6,747 | 6,761 | 6,681 | 6,610 | 6,541 |
Retained Earnings | |||||
Increase (Decrease) in Shareholders' Investment | |||||
Beginning balance | 7,093 | 6,225 | 5,767 | 5,448 | 5,005 |
Net earnings | 942 | 1,382 | 971 | 835 | 950 |
Dividends declared | (516) | (514) | (513) | (516) | (507) |
Ending balance | 7,519 | 7,093 | 6,225 | 5,767 | 5,448 |
Accumulated Other Comprehensive (Loss)/Income | |||||
Increase (Decrease) in Shareholders' Investment | |||||
Beginning balance | (460) | (430) | (425) | (422) | (419) |
Other comprehensive income (loss) | (5) | (30) | (5) | (3) | (3) |
Ending balance | $ (465) | $ (460) | $ (430) | $ (425) | $ (422) |
Consolidated Statements of Shareholders' Investment (Parenthetical) - $ / shares |
3 Months Ended | 12 Months Ended | |
---|---|---|---|
May 04, 2024 |
Apr. 29, 2023 |
Feb. 03, 2024 |
|
Statement of Stockholders' Equity [Abstract] | |||
Dividends declared per share (in dollars per share) | $ 1.10 | $ 1.08 | $ 4.38 |
Accounting Policies |
3 Months Ended |
---|---|
May 04, 2024 | |
Accounting Policies [Abstract] | |
Accounting Policies | Accounting Policies These unaudited condensed consolidated financial statements are prepared in accordance with the rules and regulations of the Securities and Exchange Commission applicable to interim financial statements. While these statements reflect all normal recurring adjustments that are, in the opinion of management, necessary for fair presentation of the results of the interim period, they do not include all of the information and footnotes required by United States generally accepted accounting principles (U.S. GAAP) for complete financial statements. These condensed consolidated financial statements should be read in conjunction with the financial statement disclosures in our most recent Form 10-K. We use the same accounting policies in preparing quarterly and annual financial statements. We operate as a single segment that is designed to enable guests to purchase products seamlessly in stores or through our digital channels. Nearly all of our revenues are generated in the U.S. The vast majority of our long-lived assets are located within the U.S. Due to the seasonal nature of our business, quarterly revenues, expenses, earnings, and cash flows are not necessarily indicative of the results that may be expected for the full year.
|
Revenue |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
May 04, 2024 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Revenue from Contract with Customer [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Revenue | Revenue Merchandise sales represent the vast majority of our revenues. We also earn revenues from a variety of other sources, most notably credit card profit-sharing income from our arrangement with TD Bank Group (TD).
(a)Includes apparel for women, men, young adults, kids, toddlers, and babies, as well as jewelry, accessories, and shoes. (b)Includes skin and bath care, cosmetics, hair care, oral care, deodorant, and shaving products. (c)Includes dry and perishable grocery, including snacks, candy, beverages, deli, bakery, meat, produce and food service (primarily Starbucks) in our stores. (d)Includes electronics, including video games and consoles, toys, sporting goods, entertainment, and luggage. (e)Includes bed and bath, home décor, school/office supplies, storage, small appliances, kitchenware, greeting cards, party supplies, furniture, lighting, home improvement, and seasonal merchandise. (f)Includes household cleaning, paper products, over-the-counter healthcare, vitamins and supplements, baby gear, and pet supplies. Merchandise sales — We record almost all retail store revenues at the point of sale. Digitally originated sales may include shipping revenue and are recorded upon delivery to the guest or upon guest pickup at the store. Sales are recognized net of expected returns, which we estimate using historical return patterns and our expectation of future returns. As of May 4, 2024, February 3, 2024, and April 29, 2023, the accrual for estimated returns was $198 million, $170 million, and $206 million, respectively. Revenue from Target gift card sales is recognized upon gift card redemption, which is typically within one year of issuance.
(a)Included in Accrued and Other Current Liabilities. (b)Net of estimated breakage. Other Revenue Credit card profit sharing — We receive payments under a credit card program agreement with TD. Under the agreement, we receive a percentage of the profits generated by the Target Credit Card and Target MasterCard receivables in exchange for performing account servicing and primary marketing functions. TD underwrites, funds, and owns Target Credit Card and Target MasterCard receivables, controls risk management policies, and oversees regulatory compliance. Other — Includes advertising revenue, commissions earned on third-party sales through Target.com, Shipt membership and service revenues, rental income, and other miscellaneous revenues.
|
Fair Value Measurements |
3 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
May 04, 2024 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Fair Value Disclosures [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Fair Value Measurements | Fair Value Measurements Fair value measurements are reported in one of three levels reflecting the significant inputs used to determine fair value.
(a)The carrying amounts of certain other current assets, commercial paper, accounts payable, and certain accrued and other current liabilities approximate fair value due to their short-term nature. (b)The fair value of debt is generally measured using a discounted cash flow analysis based on current market interest rates for the same or similar types of financial instruments and would be classified as Level 2. These amounts exclude commercial paper, fair value hedge adjustments, and lease liabilities.
|
Supplier Finance Programs |
3 Months Ended |
---|---|
May 04, 2024 | |
Payables and Accruals [Abstract] | |
Supplier Finance Programs | Supplier Finance Programs We have arrangements with several financial institutions to act as our paying agents to certain vendors. The arrangements also permit the financial institutions to provide vendors with an option, at our vendors' sole discretion, to sell their receivables from Target to the financial institutions. A vendor’s election to receive early payment at a discounted amount from the financial institutions does not change the amount that we must remit to the financial institutions or our payment date, which is up to 120 days from the invoice date. We do not pay any fees or pledge any security to these financial institutions under these arrangements. The arrangements can be terminated by either party with notice ranging up to 120 days. Our outstanding vendor obligations eligible for early payment under these arrangements totaled $3.3 billion, $3.4 billion, and $3.3 billion as of May 4, 2024, February 3, 2024, and April 29, 2023, respectively, and are included within Accounts Payable on our Consolidated Statements of Financial Position. Our outstanding vendor obligations do not represent actual receivables sold by our vendors to the financial institutions, which have historically been lower.
|
Commercial Paper and Long-Term Debt |
3 Months Ended |
---|---|
May 04, 2024 | |
Debt Disclosure [Abstract] | |
Commercial Paper and Long-Term Debt | Commercial Paper and Long-Term Debt We obtain short-term financing from time to time under our commercial paper program. There was no commercial paper outstanding at any time during the three months ended May 4, 2024, For the three months ended April 29, 2023, the maximum amount outstanding was $90 million, and the average daily amount outstanding was $2 million, at a weighted average annual interest rate of 4.8 percent. As of April 29, 2023, $90 million was outstanding and is classified within Current Portion of Long-Term Debt and Other Borrowings on our Consolidated Statements of Financial Position.
|
Derivative Financial Instruments |
3 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
May 04, 2024 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Derivative Financial Instruments | Derivative Financial Instruments Our derivative instruments consist of interest rate swaps used to mitigate interest rate risk. As a result, we have counterparty credit exposure to large global financial institutions, which we monitor on an ongoing basis. Note 3 to the Consolidated Financial Statements provides the fair value and classification of these instruments. We were party to interest rate swaps with notional amounts totaling $2.45 billion as of May 4, 2024, February 3, 2024, and April 29, 2023. We pay a floating rate and receive a fixed rate under each of these agreements. All of the agreements are designated as fair value hedges, and all were considered to be perfectly effective under the shortcut method during the three months ended May 4, 2024 and April 29, 2023.
|
Pension Benefits |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
May 04, 2024 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Retirement Benefits [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Pension Benefits | Pension Benefits We provide pension plan benefits to eligible team members.
|
Accumulated Other Comprehensive Income (Loss) |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
May 04, 2024 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Accumulated Other Comprehensive Income (Loss) | Accumulated Other Comprehensive Income (Loss)
|
Accounting Policies (Policies) |
3 Months Ended |
---|---|
May 04, 2024 | |
Accounting Policies [Abstract] | |
Revenues | Merchandise sales — We record almost all retail store revenues at the point of sale. Digitally originated sales may include shipping revenue and are recorded upon delivery to the guest or upon guest pickup at the store. Sales are recognized net of expected returns, which we estimate using historical return patterns and our expectation of future returns. Credit card profit sharing — We receive payments under a credit card program agreement with TD. Under the agreement, we receive a percentage of the profits generated by the Target Credit Card and Target MasterCard receivables in exchange for performing account servicing and primary marketing functions. TD underwrites, funds, and owns Target Credit Card and Target MasterCard receivables, controls risk management policies, and oversees regulatory compliance. Other — Includes advertising revenue, commissions earned on third-party sales through Target.com, Shipt membership and service revenues, rental income, and other miscellaneous revenues.
|
Revenue (Tables) |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
May 04, 2024 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Revenue from Contract with Customer [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Revenue |
(a)Includes apparel for women, men, young adults, kids, toddlers, and babies, as well as jewelry, accessories, and shoes. (b)Includes skin and bath care, cosmetics, hair care, oral care, deodorant, and shaving products. (c)Includes dry and perishable grocery, including snacks, candy, beverages, deli, bakery, meat, produce and food service (primarily Starbucks) in our stores. (d)Includes electronics, including video games and consoles, toys, sporting goods, entertainment, and luggage. (e)Includes bed and bath, home décor, school/office supplies, storage, small appliances, kitchenware, greeting cards, party supplies, furniture, lighting, home improvement, and seasonal merchandise. (f)Includes household cleaning, paper products, over-the-counter healthcare, vitamins and supplements, baby gear, and pet supplies
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Gift Card Liability | Revenue from Target gift card sales is recognized upon gift card redemption, which is typically within one year of issuance.
(a)Included in Accrued and Other Current Liabilities. (b)Net of estimated breakage.
|
Fair Value Measurements (Tables) |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
May 04, 2024 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Fair Value Disclosures [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Financial Instruments Measured on a Recurring Basis | Fair value measurements are reported in one of three levels reflecting the significant inputs used to determine fair value.
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Significant Financial Instruments Not Measured at Fair Value |
(a)The carrying amounts of certain other current assets, commercial paper, accounts payable, and certain accrued and other current liabilities approximate fair value due to their short-term nature. (b)The fair value of debt is generally measured using a discounted cash flow analysis based on current market interest rates for the same or similar types of financial instruments and would be classified as Level 2. These amounts exclude commercial paper, fair value hedge adjustments, and lease liabilities.
|
Derivative Financial Instruments (Tables) |
3 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
May 04, 2024 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Effect of Hedges on Debt and Net Interest Expense |
|
Pension Benefits (Tables) |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
May 04, 2024 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Retirement Benefits [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Pension Plan Benefits |
|
Accumulated Other Comprehensive Income (Loss) (Tables) |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
May 04, 2024 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Summary of the Changes in Accumulated Other Comprehensive Income (Loss) |
|
Revenue - Disaggregation of Revenue (Details) - USD ($) $ in Millions |
3 Months Ended | |
---|---|---|
May 04, 2024 |
Apr. 29, 2023 |
|
Disaggregation of Revenue [Line Items] | ||
Revenue | $ 24,531 | $ 25,322 |
Apparel & accessories | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 3,897 | 3,967 |
Beauty | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 3,119 | 3,016 |
Food & beverage | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 5,853 | 5,997 |
Hardlines | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 3,160 | 3,391 |
Home furnishings & decor | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 3,519 | 3,855 |
Household essentials | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 4,549 | 4,666 |
Other | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 46 | 56 |
Sales | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 24,143 | 24,948 |
Credit card profit sharing | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 142 | 174 |
Other | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 246 | 200 |
Other revenue | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | $ 388 | $ 374 |
Revenue - Narrative (Details) - USD ($) $ in Millions |
May 04, 2024 |
Feb. 03, 2024 |
Apr. 29, 2023 |
---|---|---|---|
Revenue from Contract with Customer [Abstract] | |||
Accrual for estimated returns | $ 198 | $ 170 | $ 206 |
Revenue - Gift Card Liability (Details) $ in Millions |
3 Months Ended |
---|---|
May 04, 2024
USD ($)
| |
Change in Contract with Customer, Liability [Roll Forward] | |
Beginning balance | $ 1,162 |
Gift Cards Issued During Current Period But Not Redeemed | 318 |
Revenue Recognized From Beginning Liability | (413) |
Ending balance | $ 1,067 |
Fair Value Measurements - Schedule of Significant Financial Instruments not Measured at Fair Value (Details) - USD ($) $ in Millions |
May 04, 2024 |
Feb. 03, 2024 |
Apr. 29, 2023 |
---|---|---|---|
Carrying Amount | |||
Financial Instruments, Balance Sheet Groupings | |||
Long-term debt, including current portion | $ 14,155 | $ 14,151 | $ 14,144 |
Fair Value | |||
Financial Instruments, Balance Sheet Groupings | |||
Long-term debt, including current portion | $ 13,123 | $ 13,467 | $ 13,672 |
Supplier Finance Programs (Details) - USD ($) $ in Billions |
3 Months Ended | ||
---|---|---|---|
May 04, 2024 |
Feb. 03, 2024 |
Apr. 29, 2023 |
|
Payables and Accruals [Abstract] | |||
Payment timing (in days) | 120 days | ||
Maximum days for termination notice (in days) | 120 days | ||
Outstanding obligation | $ 3.3 | $ 3.4 | $ 3.3 |
Commercial Paper and Long-Term Debt (Details) - USD ($) |
3 Months Ended | |
---|---|---|
Apr. 29, 2023 |
May 04, 2024 |
|
Debt Instrument [Line Items] | ||
Maximum amount outstanding during period | $ 90,000,000 | |
Average daily amount outstanding | $ 2,000,000 | |
Weighted average interest rate (in percent) | 4.80% | |
Commercial Paper | ||
Debt Instrument [Line Items] | ||
Amount outstanding of short term debt | $ 0 | |
Long-term debt, current maturity | $ 90,000,000 |
Derivative Financial Instruments - Narrative (Details) - USD ($) $ in Millions |
May 04, 2024 |
Feb. 03, 2024 |
Apr. 29, 2023 |
---|---|---|---|
Designated as Hedging Instrument | Interest Rate Swaps | |||
Derivative Contracts - Effect on Results of Operations (millions) | |||
Notional amount | $ 2,450 | $ 2,450 | $ 2,450 |
Derivative Financial Instruments - Effect of Hedges on Debt (Details) - USD ($) $ in Millions |
May 04, 2024 |
Feb. 03, 2024 |
Apr. 29, 2023 |
---|---|---|---|
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |||
Carrying amount of hedged debt | $ 2,285 | $ 2,316 | $ 2,376 |
Cumulative hedging adjustments, included in carrying amount | $ (157) | $ (126) | $ (65) |
Hedged Liability, Statement of Financial Position [Extensible Enumeration] | Long-term debt and other borrowings | Long-term debt and other borrowings | Long-term debt and other borrowings |
Derivative Financial Instruments - Effect of Hedges on Net Interest Expense (Details) - USD ($) $ in Millions |
3 Months Ended | |
---|---|---|
May 04, 2024 |
Apr. 29, 2023 |
|
Gain (loss) on fair value hedges recognized in Net Interest Expense | ||
Interest rate swaps designated as fair value hedges | $ (31) | $ 9 |
Hedged debt | 31 | (9) |
Gain on cash flow hedges recognized in Net Interest Expense | 6 | 6 |
Total | $ 6 | $ 6 |
Pension Benefits (Details) - Pension Plan - USD ($) $ in Millions |
3 Months Ended | |
---|---|---|
May 04, 2024 |
Apr. 29, 2023 |
|
Net Pension Benefits Expense | ||
Service cost benefits earned | $ 20 | $ 20 |
Interest cost on projected benefit obligation | 41 | 41 |
Expected return on assets | (70) | (67) |
Prior service cost | 0 | 3 |
Total | $ (9) | $ (3) |
Accumulated Other Comprehensive Income (Loss) (Details) $ in Millions |
3 Months Ended |
---|---|
May 04, 2024
USD ($)
| |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | |
Beginning balance | $ 13,432 |
Amounts reclassified from AOCI, net of tax | (5) |
Ending balance | 13,840 |
Total | |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | |
Beginning balance | (460) |
Ending balance | (465) |
Cash Flow Hedges | |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | |
Beginning balance | 283 |
Amounts reclassified from AOCI, net of tax | (5) |
Ending balance | 278 |
Currency Translation Adjustment | |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | |
Beginning balance | (24) |
Amounts reclassified from AOCI, net of tax | 0 |
Ending balance | (24) |
Pension | |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | |
Beginning balance | (719) |
Amounts reclassified from AOCI, net of tax | 0 |
Ending balance | $ (719) |
" 9.\T=Z%PNO-#M3NH+[F*VQUNR(O+K_IFK,[>)DM*<%(*R
M G"RF3OW\&Z)D'8H+?ZFY"0ZQT"G\LK8=WWR9SIW/$U$,K*6.@16?T>R)%FF
M(RF.?^J@3O-,[=@]OD3_O4Q>)?.*!5FR[!M-Y6[N) Y(R08?,OG"3G^0.J%0
MQUNS3)2_X%3;>@Y8'X1D>>VL"'):5/_X7 ]$QT'%,3N@V@'U'8(1![]V\,M$
M*[(RK4EQ(S)$BQK5X_(@@V
M3E&%,C&CJ,QTQ4N4X)N13#TV";7J9*JT3^1 PY?7(O_ %!+ P04
M" !&7K]8Z^I.WK\' "7$ &0 'AL+W=O
I%,
M>/K>\8;8I4*;1"%_6&S*G^_3/4%+:H+/AH*[&3DW-4EP&5$0&]2,&
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M&0\&[S