Segment Reporting (Tables)

12 Months Ended

Feb. 03, 2024

SEGMENT REPORTING

Schedule of Segment Operating Income and Income Before Income Taxes and Equity Method Investments

	YEAR ENDED
	FEBRUARY 3,		JANUARY 28,		JANUARY 29,
	2024		2023		2022
	(in thousands)
Operating income:
RH Segment	$	369,458	$	761,544	$	944,881
Waterworks		24,329		28,282		17,747
Total segment operating income		393,787		789,826		962,628
Non-cash compensation		(9,640)		(18,072)		(23,428)
Legal settlements		(8,500)		4,188		—
Reorganization related costs		(7,621)		—		(449)
Asset impairments		(3,531)		(24,186)		(9,630)
Recall accrual		1,576		(560)		(1,940)
Employer payroll taxes on option exercises		—		(14,392)		—
Professional fees		—		(7,469)		—
Non-cash compensation related to consolidated VIEs		—		(4,470)		—
Compensation settlements		—		(3,483)		—
Gain on sale of building and land		—		775		—
Income from operations		366,071		722,157		927,181
Interest expense—net		198,296		113,210		64,947
Loss on extinguishment of debt		—		169,578		29,138
Other expense—net		1,078		30		2,778
Income before taxes and equity method investments	$	166,697	$	439,339	$	830,318

Summary of Statements of Income Metrics Reviewed by CODM to Evaluate Performance Internally or As required under ASC 280 - Segment Reporting

	YEAR ENDED
	FEBRUARY 3,						JANUARY 28,						JANUARY 29,
	2024						2023						2022
	RH SEGMENT			WATERWORKS		TOTAL	RH SEGMENT			WATERWORKS		TOTAL	RH SEGMENT			WATERWORKS		TOTAL
	(in thousands)
Net revenues	$	2,835,617	$	193,509	$	3,029,126	$	3,398,638	$	191,839	$	3,590,477	$	3,593,842	$	164,978	$	3,758,820
Gross profit		1,286,107		102,912		1,389,019		1,708,444		103,541		1,811,985		1,772,668		82,743		1,855,411
Depreciation and amortization		113,695		5,294		118,989		103,221		5,367		108,588		91,252		4,770		96,022

Summary of Balance Sheet Metrics as Required Under ASC 280 - Segment Reporting

	FEBRUARY 3,								JANUARY 28,
	2024								2023
	RH SEGMENT		WATERWORKS		REAL ESTATE		TOTAL		RH SEGMENT		WATERWORKS		REAL ESTATE		TOTAL
	(in thousands)
Goodwill(1)	$	141,033	$	—	$	—	$	141,033	$	141,048	$	—	$	—	$	141,048
Tradenames, trademarks and other intangible assets(2)		58,927		17,000		—		75,927		57,633		17,000		—		74,633
Equity method investments(3)		—		3,609		125,059		128,668		—		623		100,845		101,468
Total assets		3,798,572		183,804		161,521		4,143,897		4,953,610		217,228		138,451		5,309,289

(1) The Waterworks reporting unit goodwill of $51 million recognized upon acquisition in fiscal 2016 was fully impaired as of fiscal 2018.

(2) The Waterworks reporting unit tradename is presented net of an impairment charge of $35 million recognized in prior fiscal years.

(3) The Waterworks segment balance represents membership interests in two European entities, whereby we hold a 50 percent membership interest in one entity and an approximately 25 percent membership interest in the other, and we are not the primary beneficiary of these VIEs. Refer to Note 7—Variable Interest Entities related to the Real Estate segment equity method investments.

Summary of net revenues

	YEAR ENDED
	FEBRUARY 3,		JANUARY 28,		JANUARY 29,
	2024		2023		2022
	(in thousands)
Furniture	$	2,039,902	$	2,492,514	$	2,599,540
Non-furniture		989,224		1,097,963		1,159,280
Total net revenues	$	3,029,126	$	3,590,477	$	3,758,820

Summary of long-lived assets by geography information

	FEBRUARY 3,		JANUARY 28,
	2024		2023
	(in thousands)
North America	$	2,359,839	$	2,261,615
All other countries		313,134		184,414
Total long-lived assets	$	2,672,973	$	2,446,029