Revenue

12 Months Ended

Feb. 01, 2025

Revenue [Abstract]

Revenue

9.   Revenue

We generate substantially all of our revenue from contracts with customers from the sale of products and services. Contract balances primarily relate to unfulfilled membership benefits and services not yet completed, product merchandise not yet delivered to customers, unredeemed gift cards and deferred revenue from our private label and co-branded credit card arrangement. Contract balances were as follows ($ in millions):

	February 1, 2025		February 3, 2024
Receivables(1)	$	504	$	512
Short-term contract liabilities included in:
Unredeemed gift cards		253		253
Deferred revenue		951		1,000
Accrued liabilities		50		53
Long-term contract liabilities included in:
Long-term liabilities		229		245

(1)Receivables are recorded net of allowances for expected credit losses of $20 million and $23 million as of February 1, 2025, and February 3, 2024, respectively.

During fiscal 2025 and fiscal 2024, $1.1 billion and $1.3 billion of revenue was recognized, respectively, that was included in the contract liabilities at the beginning of the respective periods.

Estimated revenue from our contract liability balances expected to be recognized in future periods if the performance of the contract is expected to have an initial duration of more than one year is as follows ($ in millions):

Fiscal Year		Amount
Fiscal 2026	$	32
Fiscal 2027		33
Fiscal 2028		29
Fiscal 2029		26
Fiscal 2030		26
Thereafter		115

See Note 13, Segment and Geographic Information, for information on our revenue by segment and category.