DILLARD'S, INC.
For the period ended Aug 2, 2025. Filed Sep 5, 2025.
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A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Aug 2, 2025 · Filed Sep 5, 2025
DDS$602.38-3.2%Stored close · as of Nov 6, 2026
What changed in Management’s Discussion and Analysis?
Read the current filingPrevious report: 10-Q
Period ended 2025-05-03; filed 2025-06-06.
0000028917-25-000019
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsCurrent report: 10-Q
Period ended 2025-08-02; filed 2025-09-05.
0000028917-25-000025
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsThe baseline is this issuer’s latest earlier reporting period of the same form that was filed before the current report. A previous 10-Q is a different quarter, not a year-over-year comparison. Amendments are excluded.
Compared 76 previous paragraphs and 93 current paragraphs.
45 unchanged; 25 reworded; 16 added; 6 removed; 0 previous and 7 current paragraphs rearranged.
Tables are not compared: 12 previous and 15 current tables excluded. Dates, whitespace, punctuation and numbering changes are ignored; changes to financial figures remain significant.
A changed paragraph is not evidence that risk increased or decreased. An unchanged paragraph does not establish that risk stayed the same.
Added paragraphs (16)
Current report
Management was encouraged to report a sales increase for the second quarter of 2025 compared to the second quarter of 2024 as well as by strengthening sales trends in July. The Company noted its focus on inventory control in a rapidly changing operating environment during the quarter.
Current report
Selling, general and administrative expenses for the three months ended August 2, 2025 increased $0.5 million to $434.2 million (28.7% of sales) from $433.7 million (29.1% of sales) for the prior year second quarter as savings in payroll expense was offset by increases in various other expense categories.
Current report
Net cash provided by operating activities was $319.4 million for the six months ended August 2, 2025 compared to $176.0 million for the prior year six-month period, with the increase primarily due to changes in income taxes payable following a federal disaster declaration which allowed the postponement of certain income tax payments.
Current report
*Cash flow from operations data is for the six months ended August 2, 2025 and August 3, 2024.
Current report
Net sales from the retail operations segment decreased $4.3 million during the six months ended August 2, 2025 compared to the six months ended August 3, 2024, remaining essentially flat as a percentage of the prior period sales in both total and comparable stores. Sales in home and furniture, cosmetics and shoes decreased moderately, while sales in ladies’ apparel decreased slightly. Sales in men’s apparel and accessories remained essentially flat, while sales in ladies’ accessories and lingerie and juniors’ and children’s apparel increased moderately.
Current report
Storewide sales penetration of exclusive brand merchandise for the six months ended August 2, 2025 and August 3, 2024 was 23.4%.
Current report
Gross margin, as a percentage of sales, decreased to 40.3% from 41.2% during the six months ended August 2, 2025 compared to the six months ended August 3, 2024.
Current report
Gross margin from retail operations, as a percentage of sales, decreased to 41.8% from 42.7% during the six months ended August 2, 2025 compared to the six months ended August 3, 2024. Gross margin decreased moderately in ladies’ apparel and decreased slightly in men’s apparel and accessories and juniors’ and children’s apparel. Gross margin was essentially unchanged in all other product categories.
Current report
SG&A decreased to 28.7% of sales during the three months ended August 2, 2025 from 29.1% of sales during the three months ended August 3, 2024, while increasing $0.5 million in total dollars. SG&A from retail operations decreased to 29.8% of sales for the three months ended August 2, 2025 from 30.2% of sales for the three months ended August 3, 2024, while increasing $0.9 million in total dollars.
Current report
During the three months ended August 2, 2025 and August 3, 2024, payroll and payroll-related expenses were $303.5 million and $304.3 million, respectively, decreasing $0.8 million. This decrease was offset by increases in various other expense categories.
Current report
SG&A decreased to 28.1% of sales during the six months ended August 2, 2025 from 28.3% of sales during the six months ended August 3, 2024, a decrease of $4.5 million in total dollars. SG&A from retail operations decreased to 29.2% of sales for the six months ended August 2, 2025 from 29.3% of sales for the six months ended August 3, 2024, a decrease of $3.6 million in total dollars.
Current report
Gain on Disposal of Assets
Current report
During the three months ended August 2, 2025, the Company received proceeds of $6.0 million primarily from the sale of three properties, resulting in a gain of $4.8 million that was recorded in gain on disposal of assets.
Current report
On July 4, 2025, H.R.1 - One Big Beautiful Bill Act (Public Law No. 119-21) was signed into law. Notable provisions include restoration of 100% bonus depreciation, full expensing of domestic research expenditures, and modifications to interest expense limitations and charitable contribution deduction thresholds. Accounting Standards Codification §740,Accounting for Income Taxes, requires recognition of the effects of changes in tax law during the period of enactment. The effects of these provisions did not have, and are not expected to have, a material impact on the Company’s financial results.
Current report
Net cash flows from operations increased $143.4 million during the six months ended August 2, 2025 compared to the six months ended August 3, 2024. This increase was primarily due to changes in working capital items, notably changes in income taxes payable. Following the disaster declaration issued by the Federal Emergency Management Agency related to the severe storms, tornadoes and flooding that began on April 2, 2025 in the state of Arkansas, the Internal Revenue Service was permitted to and did postpone certain tax-filing and tax-payment deadlines for taxpayers who reside or have a business in the disaster area. As a result, the Company’s tax payment deadline was extended to November 3, 2025.
Current report
During the six months ended August 2, 2025, the Company received proceeds of $6.0 million primarily from the sale of three properties, resulting in a gain of $4.9 million that was recorded in gain on disposal of assets.
Removed paragraphs (6)
Previous report
The Company reported a relatively good first quarter performance in light of the prevailing economic uncertainty. We noted continued execution of expense control as well as strong gross margin performance as highlights of the quarter.
Previous report
Selling, general and administrative expenses for the three months ended May 3, 2025 declined $5.0 million to $421.7 million (27.6% of sales) from $426.7 million (27.5% of sales) for the prior year first quarter primarily due to lower payroll and payroll-related expenses.
Previous report
Net cash provided by operating activities was $232.6 million for the three months ended May 3, 2025 compared to $244.4 million for the prior year first quarter.
Previous report
SG&A increased to 27.6% of sales during the three months ended May 3, 2025 from 27.5% of sales during the three months ended May 4, 2024, while decreasing $5.0 million. SG&A from retail operations increased to 28.6% of
Previous report
sales for the three months ended May 3, 2025 from 28.4% of sales for the three months ended May 4, 2024, while decreasing $4.5 million.
Previous report
Net cash flows from operations decreased $11.7 million during the three months ended May 3, 2025 compared to the three months ended May 4, 2024. This decrease was primarily due to lower sales.
Reworded paragraphs (25)
Previous wording
Compared to the prior year first quarter, total retail sales (which exclude construction sales) declined 2% and sales in comparable stores declined 1%. Retail gross margin was 45.5% of sales compared to 46.2%. Inventory increased 6% at May 3, 2025 compared to May 4, 2024.
Current wording
Compared to the prior year second quarter, total retail sales (which exclude construction sales) increased 1% and sales in comparable stores increased 1%. Retail gross margin was 38.1% of sales compared to 39.1%. Inventory increased 2% at August 2, 2025 compared to August 3, 2024.
Previous wording
For the three months ended May 3, 2025, the Company reported net income of $163.8 million ($10.39 per share) compared to net income of $180.0 million ($11.09 per share) for the three months ended May 4, 2024.
Current wording
For the three months ended August 2, 2025, the Company reported net income of $72.8 million ($4.66 per share) compared to net income of $74.5 million ($4.59 per share) for the three months ended August 3, 2024. Included in net income for the three months ended August 2, 2025, is a pretax gain of $4.8 million ($3.7 million after tax or $0.24 per share) primarily related to the sale of three properties.
Previous wording
As of May 3, 2025, the Company had working capital of $1,621.3 million (including cash and cash equivalents of $900.5 million and short-term investments of $258.5 million) and $521.6 million of total debt outstanding, including $321.6 million of long-term debt and $200.0 million of subordinated debentures.
Current wording
As of August 2, 2025, the Company had working capital of $1.613 billion (including cash and cash equivalents of $1.012 billion and short-term investments of $199.8 million) and $521.6 million of total debt outstanding, including one scheduled debt maturity of $96.0 million due July 2026, $225.6 million of long-term debt and $200.0 million of subordinated debentures.
Previous wording
Net sales from the retail operations segment decreased $24.7 million, or approximately 2%, and sales in comparable stores decreased approximately 1% during the three months ended May 3, 2025 compared to the three months ended
Current wording
Net sales from the retail operations segment increased $20.4 million, or approximately 1%, and sales in comparable stores increased approximately 1% during the three months ended August 2, 2025 compared to the three months ended
Previous wording
May 4, 2024. Sales in home and furniture decreased significantly, while sales in shoes, ladies’ apparel and cosmetics decreased moderately. Sales in ladies’ accessories and lingerie and men’s apparel and accessories remained essentially flat. Sales in juniors’ and children’s apparel increased moderately.
Current wording
August 3, 2024. Sales in juniors’ and children’s apparel increased significantly. Sales in ladies’ accessories and lingerie and ladies’ apparel increased moderately. Sales in shoes and men’s apparel and accessories increased slightly. Sales in cosmetics decreased slightly while sales in home and furniture decreased moderately.
Previous wording
The number of sales transactions decreased 3% for the three months ended May 3, 2025 compared to the three months ended May 4, 2024, while the average dollars per sales transaction increased 2%.
Current wording
The number of sales transactions decreased 2% for the three months ended August 2, 2025 compared to the three months ended August 3, 2024, while the average dollars per sales transaction increased 3%.
Previous wording
We recorded a return asset of $13.9 million and $13.5 million and an allowance for sales returns of $27.4 million and $27.2 million as of May 3, 2025 and May 4, 2024, respectively.
Current wording
We recorded a return asset of $11.0 million and $11.5 million and an allowance for sales returns of $18.8 million and $20.1 million as of August 2, 2025 and August 3, 2024, respectively.
Previous wording
During the three months ended May 3, 2025, net sales from the construction segment increased $4.5 million, or approximately 8%, compared to the three months ended May 4, 2024 due to an increase in construction activity. The remaining performance obligations related to executed construction contracts totaled $173.9 million as of May 3, 2025, decreasing approximately 14% from February 1, 2025 and decreasing approximately 7% from May 4, 2024, respectively. We expect these remaining performance obligations to be satisfied over the next nine to eighteen months.
Current wording
During the three months ended August 2, 2025, net sales from the construction segment increased $3.5 million, or approximately 5%, compared to the three months ended August 3, 2024 due to an increase in construction activity. The remaining performance obligations related to executed construction contracts totaled $129.5 million as of August 2, 2025, decreasing approximately 36% from February 1, 2025 and decreasing approximately 45% from August 3, 2024. We expect these remaining performance obligations to be satisfied over the next nine to eighteen months.
Previous wording
Service charges and other income includes the income from the Citibank Alliance and former Wells Fargo Alliance. Income from the alliances decreased $5.8 million for the three months ended May 3, 2025 compared to the three months ended May 4, 2024, primarily from (a) decreases in finance charges and late fees mainly resulting from lower average net receivables and (b) increases in credit losses.
Current wording
Service charges and other income includes the income from the Citibank Alliance and former Wells Fargo Alliance. Income from the alliances decreased $1.4 million for the three months ended August 2, 2025 compared to August 3, 2024, primarily from decreases in finance charges and late fees mainly resulting from lower average net receivables. Income from the alliances decreased $7.2 million for the six months ended August 2, 2025 compared to August 3, 2024, primarily from (a) decreases in finance charges and late fees mainly resulting from lower average net receivables and (b) increases in credit losses.
Previous wording
Gross margin, as a percentage of sales, decreased to 43.9% from 44.6% during the three months ended May 3, 2025 compared to the three months ended May 4, 2024.
Current wording
Gross margin, as a percentage of sales, decreased to 36.6% from 37.6% during the three months ended August 2, 2025 compared to the three months ended August 3, 2024.
Previous wording
Gross margin from retail operations, as a percentage of sales, decreased to 45.5% from 46.2% during the three months ended May 3, 2025 compared to the three months ended May 4, 2024. Gross margin decreased moderately in ladies’ apparel, while gross margin decreased slightly in shoes, home and furniture, men’s apparel and accessories, juniors’ and children’s apparel and cosmetics. Gross margin remained essentially flat in ladies’ accessories and lingerie.
Current wording
Gross margin from retail operations, as a percentage of sales, decreased to 38.1% from 39.1% during the three months ended August 2, 2025 compared to the three months ended August 3, 2024. Gross margin decreased significantly in ladies’ apparel and decreased slightly in men’s apparel and accessories. Gross margin was essentially flat in juniors’ and children’s apparel, cosmetics and home and furniture. Gross margin increased slightly in ladies’ accessories and lingerie and increased moderately in shoes.
Previous wording
Total inventory increased 6% at May 3, 2025 compared to May 4, 2024. A 1% change in the dollar amount of markdowns would have impacted net income by approximately $1 million for the three months ended May 3, 2025.
Current wording
Total inventory increased 2% at August 2, 2025 compared to August 3, 2024. A 1% change in the dollar amount of markdowns would have impacted net income by approximately $2 million and $4 million for the three and six months ended August 2, 2025, respectively.
Previous wording
During the three months ended May 3, 2025 and May 4, 2024, payroll and payroll-related expenses were $297.9 million and $302.2 million, respectively, decreasing $4.3 million. The Company plans to continue its focus of aligning expenses with sales performance.
Current wording
During the six months ended August 2, 2025 and August 3, 2024, payroll and payroll-related expenses were $601.4 million and $606.5 million, respectively, decreasing $5.1 million.
Previous wording
Net interest and debt income decreased $2.7 million during the three months ended May 3, 2025 compared to the three months ended May 4, 2024, primarily due to a decrease in interest income. Interest income was $11.2 million and $13.6 million for the three months ended May 3, 2025 and May 4, 2024, respectively.
Current wording
Net interest and debt income decreased $2.5 million and $5.2 million during the three and six months ended August 2, 2025 compared to the three and six months ended August 3, 2024, primarily due to a decrease in interest income. Interest income was $11.5 million and $13.7 million for the three months ended August 2, 2025 and August 3, 2024, respectively. Interest income was $22.7 million and $27.3 million for the six months ended August 2, 2025 and August 3, 2024, respectively.
Previous wording
Other expense decreased $0.5 million during the three months ended May 3, 2025 compared to the three months ended May 4, 2024 primarily due to a decrease in the amortization of the net actuarial loss related to the Company’s Pension Plan.
Current wording
Other expense decreased $1.1 million and $1.6 million during the three and six months ended August 2, 2025 compared to the three and six months ended August 3, 2024, respectively, primarily due to a decrease in the amortization of the net actuarial loss related to the Company’s Pension Plan.
Previous wording
The Company’s estimated federal and state effective income tax rate was approximately 23.3% for the three months ended May 3, 2025 and May 4, 2024. During the three months ended May 3, 2025 and May 4, 2024, income tax expense differed from what would be computed using the statutory federal income tax rate primarily due to the effects of state and local income taxes.
Current wording
The Company’s estimated federal and state effective income tax rate was approximately 23.0% and 23.3% for the three months ended August 2, 2025 and August 3, 2024, respectively. The Company’s estimated federal and state effective income tax rate was approximately 23.2% and 23.3% for the six months ended August 2, 2025 and August 3, 2024, respectively. During the three and six months ended August 2, 2025 and August 3, 2024, income tax expense differed from what would be computed using the statutory federal income tax rate primarily due to the effects of state and local income taxes.
Previous wording
A summary of net cash flows for the three months ended May 3, 2025 and May 4, 2024 follows:
Current wording
A summary of net cash flows for the six months ended August 2, 2025 and August 3, 2024 follows:
Previous wording
Wells Fargo Bank, N.A. (“Wells Fargo”) previously owned and managed Dillard’s private label credit cards, including credit cards co-branded with American Express under the Wells Fargo Alliance. In January 2024, the Company announced that it entered into a new agreement with Citibank, N.A. (“Citi”) to provide the private label credit card program for Dillard’s customers under the Citibank Alliance, replacing the existing credit card program under the Wells Fargo Alliance upon its termination in September 2024. The new program launched on August 19, 2024 for new Dillard’s credit applicants. Existing accounts transferred from Wells Fargo to Citi on September 16, 2024. The term of the new Citi agreement is 10 years with automatic extensions for successive two-year terms unless the agreement is terminated by either party in accordance with the terms and conditions of the agreement.
Current wording
Wells Fargo Bank, N.A. (“Wells Fargo”) previously owned and managed Dillard’s private label credit cards, including credit cards co-branded with American Express under the Wells Fargo Alliance. In January 2024, the Company announced that it entered into a new agreement with Citibank, N.A. (“Citi”) to provide the private label credit card program for Dillard’s customers under the Citibank Alliance, replacing the existing credit card program under the Wells Fargo Alliance upon its termination in September 2024. The new program launched on August 19, 2024 for new Dillard’s credit applicants. Existing accounts transferred from Wells Fargo to Citi on September 16, 2024. The term of
Previous wording
Pursuant to the Citibank Alliance, we receive on-going cash compensation from Citi based upon the portfolio’s earnings. The compensation received from the portfolio is determined monthly and has no recourse provisions. The Company recognized income of $5.9 million and $11.6 million from the Citibank Alliance and the former Wells Fargo Alliance during the three months ended May 3, 2025 and May 4, 2024, respectively.
Current wording
Pursuant to the Citibank Alliance, we receive on-going cash compensation from Citi based upon the portfolio’s earnings. The compensation received from the portfolio is determined monthly and has no recourse provisions. The Company recognized income of $17.2 million and $24.4 million from the Citibank Alliance and the former Wells Fargo Alliance during the six months ended August 2, 2025 and August 3, 2024, respectively.
Previous wording
Capital expenditures were $16.9 million and $35.2 million for the three months ended May 3, 2025 and May 4, 2024, respectively. The capital expenditures were primarily related to equipment purchases, the continued construction of new stores and the remodeling of existing stores. During the three months ended May 4, 2024, the Company opened a new location at The Empire Mall in Sioux Falls, South Dakota (140,000 square feet) marking its 30th state of operation.
Current wording
Capital expenditures were $43.5 million and $61.1 million for the six months ended August 2, 2025 and August 3, 2024, respectively. The capital expenditures were primarily related to equipment purchases, the continued construction of new stores and the remodeling of existing stores. During the six months ended August 3, 2024, the Company opened a new location at The Empire Mall in Sioux Falls, South Dakota (140,000 square feet) marking its 30th state of operation.
Previous wording
During the three months ended May 3, 2025 and May 4, 2024, the Company purchased certain treasury bills for $212.4 million and $245.9 million, respectively, that are classified as short-term investments. During the three months ended May 3, 2025 and May 4, 2024, the Company received proceeds of $282.8 million and $50.0 million, respectively, related to maturities of these short-term investments.
Current wording
During the six months ended August 2, 2025 and August 3, 2024, the Company purchased certain treasury bills for $273.5 million and $319.5 million, respectively, that are classified as short-term investments. During the six months ended August 2, 2025 and August 3, 2024, the Company received proceeds of $405.0 million and $350.9 million, respectively, related to maturities of these short-term investments.
Previous wording
The Company had cash and cash equivalents of $900.5 million as of May 3, 2025. The Company maintains a credit facility (“credit agreement”) for general corporate purposes including, among other uses, working capital financing, the issuance of letters of credit, capital expenditures and, subject to certain restrictions, the repayment of existing indebtedness and share repurchases. The credit agreement is secured by certain deposit accounts of the Company and certain inventory of certain subsidiaries and provides a borrowing capacity of $800 million, subject to certain limitations as outlined in the credit agreement, with a $200 million expansion option.
Current wording
The Company had cash and cash equivalents of $1.012 billion as of August 2, 2025. The Company maintains a credit facility (“credit agreement”) for general corporate purposes including, among other uses, working capital financing, the issuance of letters of credit, capital expenditures and, subject to certain restrictions, the repayment of existing indebtedness and share repurchases. The credit agreement is secured by certain deposit accounts of the Company and certain inventory of certain subsidiaries and provides a borrowing capacity of $800 million, subject to certain limitations as outlined in the credit agreement, with a $200 million expansion option.
Previous wording
In March 2025, the Company amended the credit agreement (the “2025 amendment”). See Note 7,Revolving Credit Agreement, in the “Notes to Condensed Consolidated Financial Statements,” in Part I, Item 1 hereof for additional information. During the three months ended May 3, 2025, the Company paid $3.3 million in issuance costs related to the 2025 amendment, which were recorded in other assets on the condensed consolidated balance sheet. At May 3, 2025, no borrowings were outstanding, and letters of credit totaling $25.3 million were issued under the credit agreement leaving unutilized availability of $774.7 million.
Current wording
In March 2025, the Company amended the credit agreement (the “2025 amendment”). See Note 7,Revolving Credit Agreement, in the “Notes to Condensed Consolidated Financial Statements,” in Part I, Item 1 hereof for additional information. During the six months ended August 2, 2025, the Company paid $3.3 million in issuance costs related to the 2025 amendment, which were recorded in other assets on the condensed consolidated balance sheet. At August 2, 2025, no borrowings were outstanding, and letters of credit totaling $25.3 million were issued under the credit agreement leaving unutilized availability of $774.7 million.
Previous wording
During the three months ended May 3, 2025, the Company repurchased 0.3 million shares of Class A Common Stock at an average price of $355.65 per share for $98.0 million under the Company’s stock repurchase plan. During the three months ended May 4, 2024, no share repurchases were made under the Company’s stock repurchase plan. As of May 3, 2025, $175.0 million of authorization remained under the Company’s open stock repurchase plan. The ultimate disposition of the repurchased stock has not been determined. See Note 8,Stock Repurchase Programs, in the “Notes to Condensed Consolidated Financial Statements,” in Part I, Item 1 hereof for additional information. During the three months ended May 3, 2025, the Company also accrued $1.0 million of excise tax related to its share repurchase program as an additional cost of treasury shares.
Current wording
During the six months ended August 2, 2025, the Company repurchased 0.3 million shares of Class A Common Stock at an average price of $359.16 per share for $107.8 million under the Company’s stock repurchase plan. During the six months ended August 3, 2024, no share repurchases were made under the Company’s stock repurchase plan. As of August 2, 2025, $165.2 million of authorization remained under the Company’s open stock repurchase plan. The
Previous wording
This report contains certain forward-looking statements. The following are or may constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995: (a) statements including words such as “may,” “will,” “could,” “should,” “believe,” “expect,” “future,” “potential,” “anticipate,” “intend,” “plan,” “estimate,” “continue,” or the negative or other variations thereof; (b) statements regarding matters that are not historical facts; and (c) statements about the Company’s future occurrences, plans and objectives, including statements regarding management’s expectations and forecasts for the remainder of fiscal 2025 and beyond, statements regarding future income and cash flows from our new credit program with Citi, statements concerning the opening of new stores or the closing of existing stores, statements concerning sources of liquidity, statements concerning share repurchases, statements concerning pension contributions, statements regarding the impacts of inflation, trade restrictions, including tariffs, and the effectiveness of our ongoing initiatives to manage such costs, statements regarding expense management and statements concerning estimated taxes. The Company cautions that forward-looking statements contained in this report are based on estimates, projections, beliefs and assumptions of management and information available to management at the time of such statements and are not guarantees of future performance. The Company disclaims any obligation to update or revise any forward-looking statements based on the occurrence of future events, the receipt of new information or otherwise. Forward-looking statements of the Company involve risks and uncertainties and are subject to change based on various important factors. Actual future performance, outcomes and results may differ materially from those expressed in forward-looking statements made by the Company and its management as a result of a number of risks, uncertainties and assumptions. Representative examples of those factors include (without limitation) general retail industry conditions and macro-economic conditions including inflation, economic recession and changes in traffic at malls and shopping centers; economic and weather conditions for regions in which the Company’s stores are located and the effect of these factors on the buying patterns of the Company’s customers, including the effect of changes in prices and availability of oil and natural gas; the availability of and interest rates on consumer credit; the impact of competitive pressures in the department store industry and other retail channels including specialty, off-price, discount and Internet retailers; changes in the Company’s ability to meet labor needs amid nationwide labor shortages and an intense competition for talent; changes in consumer spending patterns, debt levels and their ability to meet credit obligations; high levels of unemployment; changes in tax legislation;…
Excerpt shortened here; the source contains the full paragraph.
Current wording
report are based on estimates, projections, beliefs and assumptions of management and information available to management at the time of such statements and are not guarantees of future performance. The Company disclaims any obligation to update or revise any forward-looking statements based on the occurrence of future events, the receipt of new information or otherwise. Forward-looking statements of the Company involve risks and uncertainties and are subject to change based on various important factors. Actual future performance, outcomes and results may differ materially from those expressed in forward-looking statements made by the Company and its management as a result of a number of risks, uncertainties and assumptions. Representative examples of those factors include (without limitation) general retail industry conditions and macro-economic conditions including inflation, economic recession and changes in traffic at malls and shopping centers; economic and weather conditions for regions in which the Company’s stores are located and the effect of these factors on the buying patterns of the Company’s customers, including the effect of changes in prices and availability of oil and natural gas; the availability of and interest rates on consumer credit; the impact of competitive pressures in the department store industry and other retail channels including specialty, off-price, discount and Internet retailers; changes in the Company’s ability to meet labor needs amid nationwide labor shortages and an intense competition for talent; changes in consumer spending patterns, debt levels and their ability to meet credit obligations; high levels of unemployment; changes in tax legislation; trade disputes and changes in trade policies including the imposition (or threat) of new or increased duties, taxes, tariffs and other charges impacting our products or supply chain; changes in legislation and governmental regulations; adequate and stable availability and pricing of materials, production facilities and labor from which the Company sources its merchandise; changes in operating expenses, including employee wages, commission structures and related benefits; system failures or data security breaches; possible future acquisitions of store properties from other department store operators; the continued availability of financing in amounts and at the terms necessary to support the Company’s future business; fluctuations in SOFR and other base borrowing rates; potential disruption from terrorist activity and the effect on ongoing consumer confidence; epidemic, pandemic or public health issues and their effects on public health, our supply chain, the health and well-being of our employees and customers and the retail industry in general; potential disruption of international trade and supply chain efficiencies; global conflicts (including the ongoing conflicts in the Middle East and Ukraine) and the possible impact on consumer spending patterns and other econ…
Excerpt shortened here; the source contains the full paragraph.
Rearranged current paragraphs (7)
Current report — wording carried from elsewhere
The percent change by segment and product category in the Company’s sales for the six months ended August 2, 2025 compared to the six months ended August 3, 2024 as well as the sales percentage by segment and product category to total net sales for the six months ended August 2, 2025 are as follows:
Current report — wording carried from elsewhere
The number of sales transactions decreased 2% for the six months ended August 2, 2025 compared to the six months ended August 3, 2024, while the average dollars per sales transaction increased 2%.
Current report — wording carried from elsewhere
During the six months ended August 2, 2025, net sales from the construction segment increased $8.0 million, or approximately 7%, compared to the six months ended August 3, 2024 due to an increase in construction activity.
Current report — wording carried from elsewhere
The Company plans to continue its focus of aligning expenses with sales performance.
Current report — wording carried from elsewhere
the new Citi agreement is 10 years with automatic extensions for successive two-year terms unless the agreement is terminated by either party in accordance with the terms and conditions of the agreement.
Current report — wording carried from elsewhere
ultimate disposition of the repurchased stock has not been determined. See Note 8,Stock Repurchase Programs, in the “Notes to Condensed Consolidated Financial Statements,” in Part I, Item 1 hereof for additional information. During the six months ended August 2, 2025, the Company also accrued $1.1 million of excise tax related to its share repurchase program as an additional cost of treasury shares.
Current report — wording carried from elsewhere
This report contains certain forward-looking statements. The following are or may constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995: (a) statements including words such as “may,” “will,” “could,” “should,” “believe,” “expect,” “future,” “potential,” “anticipate,” “intend,” “plan,” “estimate,” “continue,” or the negative or other variations thereof; (b) statements regarding matters that are not historical facts; and (c) statements about the Company’s future occurrences, plans and objectives, including statements regarding management’s expectations and forecasts for the remainder of fiscal 2025 and beyond, statements regarding future income and cash flows from our new credit program with Citi, statements concerning the opening of new stores or the closing of existing stores, statements concerning sources of liquidity, statements concerning share repurchases, statements concerning pension contributions, statements regarding the impacts of inflation, trade restrictions, including tariffs, and the effectiveness of our ongoing initiatives to manage such costs, statements regarding expense management and statements concerning estimated taxes. The Company cautions that forward-looking statements contained in this