Leases

12 Months Ended

Feb. 01, 2025

Leases [Abstract]

Leases

6.   Leases

Supplemental balance sheet information related to our leases was as follows ($ in millions):

	Balance Sheet Location	February 1, 2025		February 3, 2024
Assets
Operating leases	Operating lease assets	$	2,833	$	2,758
Finance leases	Property under finance leases, net(1)		34		43
Total lease assets		$	2,867	$	2,801
Liabilities
Current:
Operating leases	Current portion of operating lease liabilities	$	617	$	618
Finance leases	Current portion of long-term debt		10		13
Non-current:
Operating leases	Long-term operating lease liabilities		2,282		2,199
Finance leases	Long-term debt		15		21
Total lease liabilities		$	2,924	$	2,851

(1)Finance leases were recorded net of accumulated depreciation of $54 million and $54 million as of February 1, 2025 and February 3, 2024, respectively.

Costs and cash flow impacts associated with our finance leases were immaterial in the periods presented. Components of our total operating lease cost were as follows ($ in millions):

	Statement of Earnings Location	2025		2024		2023
Operating lease cost(1)	Cost of sales and SG&A(2)	$	784	$	777	$	780
Variable lease cost	Cost of sales and SG&A(2)		236		239		233
Sublease income	SG&A		(13)		(11)		(12)
Total operating lease cost		$	1,007	$	1,005	$	1,001

(1)Includes short-term leases, which are immaterial.

(2)Supply chain-related amounts are included in Cost of sales.

Other information related to our operating leases was as follows ($ in millions):

	2025			2024
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows	$	781		$	772
Lease assets obtained in exchange for new lease liabilities	$	771		$	717
Weighted average remaining lease term (in years)		5.4			5.2
Weighted average discount rate		4.1	%		3.6	%

Future lease payments under our non-cancellable operating leases as of February 1, 2025, were as follows ($ in millions):

	Operating Leases(1)
Fiscal 2026	$	723
Fiscal 2027		703
Fiscal 2028		574
Fiscal 2029		429
Fiscal 2030		312
Thereafter		522
Total future undiscounted lease payments		3,263
Less imputed interest		364
Total reported lease liability	$	2,899

(1)Lease payments exclude $19 million of legally binding fixed costs for leases signed but not yet commenced.