Revenue Recognition

12 Months Ended

Jan. 31, 2026

Revenue from Contract with Customer [Abstract]

Revenue Recognition

Revenue Recognition

Accounts receivable, net from revenue-generating activities were $66 million as of January 31, 2026 and $81 million as of February 1, 2025. These accounts receivable primarily relate to amounts due from the Company’s franchise, license and wholesale partners. Under these arrangements, payment terms are typically 45 to 75 days.

The Company records deferred revenue when cash payments are received in advance of transfer of control of goods or services. Deferred revenue primarily relates to gift cards, loyalty points and rewards, and direct channel shipments not received by the customer, which are all impacted by seasonal and holiday-related sales patterns. Deferred revenue, which is recorded within Accrued Expenses and Other on the Consolidated Balance Sheets, was $223 million as of January 31, 2026 and $197 million as

of February 1, 2025. The Company recognized $125 million as revenue in 2025 from amounts recorded as deferred revenue at the beginning of the Company’s fiscal year.

The following table provides a disaggregation of Net Sales for 2025, 2024 and 2023:

	2025		2024		2023
	(in millions)
Stores - U.S. and Canada (a)	$	5,582	$	5,534	$	5,507
Direct - U.S. and Canada	1,395		1,474		1,582
International (b)	314		299		340
Total Net Sales	$	7,291	$	7,307	$	7,429

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(a)Results include fulfilled buy online pick up in store orders.

(b)Results include royalties associated with franchised stores and wholesale sales.

The Company’s Net Sales outside of the U.S. include sales from Company-operated stores and its e-commerce site in Canada, royalties associated with franchised stores and wholesale sales. Certain of these sales are subject to the impact of fluctuations in foreign currency. The Company’s Net Sales outside of the U.S. totaled $707 million in 2025, $691 million in 2024 and $723 million in 2023.