$ROST Ross Stores Inc | Understand Stock

What Do They Do?

Operates off-price stores selling apparel, footwear, and home fashions to value-driven shoppers from middle-income and lower- to moderate-income households.

How Do They Make Money?

Shoppers pay for merchandise at checkout, and sales are recorded at the point of sale.

FY2025 revenue

Who Are Their Customers?

Ross targets shoppers primarily from middle-income households, while dd’s DISCOUNTS targets households with lower to more moderate incomes. Both brands serve value-driven customers in their stores.

Do Revenues Turn Into Profits?

Yes. It kept 9 cents of every revenue dollar as net income in FY2025 and turned 10 cents into free cash flow.

Operating income, FY2025

12% of revenue

▲ +5% vs FY2024 ($2.6B, 12%)

Net income, FY2025

9% of revenue

▲ +3% vs FY2024 ($2.1B, 10%)

Free cash flow, FY2025

10% of revenue

▲ +35% vs FY2024 ($1.6B, 8%)

How Are They Changing?

Since the FY2025 annual report

Latest quarter: Q2 FY2026, the three months to Aug 1, 2026

Revenue: ▲ +13%; vs $5.5B in Q2 FY2025
Net income: ▲ +68%; vs $508M in Q2 FY2025

Growing. Revenue grew 20% in 4 years, from $18.9B in FY2021 to $22.8B in FY2025, about 5% a year.

Marketing channels The latest report describes a shift toward digital channels, while the earlier report describes growing digital media alongside television and radio.