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Executive James Conroy stated that price elasticity will be strategically evaluated by category and item, considering its end-use and competitive pricing. He noted that since they expect broad-based inflation across all of retail, Ross should be able to maintain its value proposition. He added that such market disruptions have historically benefited the off-price sector.

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Executive James Conroy explained that price elasticity will be strategic and depend on the category and specific item, considering its end use. He noted that since all retailers will face similar pressures, he expects broad-based inflation, which historically creates disruptions that benefit the off-price sector.

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Group President and COO Michael Hartshorn stated they are comfortable with their own inventory levels, as the year-end increase was a planned build of packaway merchandise. CEO James Conroy added that non-apparel outperformed apparel in Q4, and specifically noted that the footwear business was a comp drag for the quarter.

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Group President & COO Michael Hartshorn reported that Q3 comps were strongest early in the quarter before slowing due to severe weather. He specified that the comparable sales increase was driven by customer traffic, while other components like average ticket were relatively neutral.

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Group President and COO Michael Hartshorn stated that Q2 comparable sales were strongest mid-quarter but declined to comment on Q3 trends. He reported that cosmetics and children's were the strongest merchandise areas, with home performing in line with the chain average. Shoes were slightly below the average due to tough comparisons, and overall apparel was also in line with the chain.

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EVP of Merchandising William Bastek noted there was no significant pull-forward of demand, with customer engagement on smaller projects remaining consistent with late 2024. EVP and CFO Richard McPhail stated that while the company is making great headway on shrink reduction, they are not yet where they want to be. He declined to provide 2026 guidance for SRS but reiterated its potential as a growth engine for the company.

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EVP of Merchandising William Bastek reported no significant demand pull-forward and noted customer engagement remains focused on smaller projects. CFO Richard McPhail declined to comment on 2026 but stated that on shrink, the company has seen improvement for six consecutive quarters but is not yet satisfied. He also clarified the SRS operating margin headwind is 15 basis points for fiscal 2025, with a 40 basis point annualized impact.

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CEO Ted Decker reported that the SRS integration is proceeding as planned, with early success in cross-selling opportunities. EVP and CFO Richard McPhail specified that SRS contributed $2.9 billion in Q3 sales. McPhail clarified that SRS had an 80 basis point negative impact on gross margin, which was offset by core business strength, including lower shrink. He reiterated that the long-term model assumes a permanent 70 basis point downward shift in the gross margin profile due to the SRS mix.

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CEO Tom Taylor asserted that innovation comes from around the world, not just one country, so he does not believe moving from China will hinder their ability to bring new and fashionable products to market. Regarding pricing, he explained that historically, lowering prices on core flooring has not been effective and can lead to internal trade-down. However, he acknowledged the current environment is a share-taking opportunity and said the company will be aggressive where it makes sense, particularly with installation materials.

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CEO Tom Taylor confirmed they are seeing anecdotal evidence of competitor closures and believes the prolonged challenging environment benefits Floor & Decor. He cited the wood category as an example where they are likely capturing share from a competitor that closed stores. He expressed confidence in their strong competitive position due to superior inventory, new products, and store execution.

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CEO Tom Taylor highlighted several innovation efforts, including an outdoor product pilot, ongoing product line reviews, and a new adjacent category pilot planned for Q1. An executive added that the expansion of porcelain slabs and new acoustic wood panels are also contributing. President Trevor Lang attributed the success in installation materials to a multi-year strategic decision to adopt a 'supply house' strategy, adding key pro-focused brands to become a one-stop shop for professionals.

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CEO Mike Creedon explained the comp lift variance was due to the mix of stores being converted, with later conversions moving from 2.0 to 3.0 formats, which yields a smaller incremental lift. CFO Stewart Glendinning addressed SG&A, explaining the deleverage is caused by the Dollar Tree segment now bearing the full corporate cost burden, with offsetting TSA income only arriving in the second half of the year, alongside new IT investments.

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CEO Michael Creedon explained the multi-price lift variance was due to the changing mix of conversions, with more recent conversions moving from 2.0 to 3.0 formats rather than 1.0 to 3.0. Chief Transformation Officer Stewart Glendinning addressed SG&A, noting that post-sale, the Dollar Tree segment bears all corporate costs, which are only partially offset by the TSA in the second half of the year, causing deleverage.

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CFO Jeff Davis explained that while a specific breakdown for those stores wasn't provided, overall growth is being driven by traffic, with average ticket remaining relatively flat. He confirmed that the SG&A increase was primarily due to third-party labor for the multi-price conversions and higher depreciation from ongoing investments, noting that these investment costs are beginning to level off.

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CFO Jeff Davis explained that while a specific breakdown wasn't provided, the comp lift in converted stores is 'really being driven by traffic.' He acknowledged the SG&A pressure from using third-party labor for the multi-price rollout, which was previously disclosed as a significant headwind for the year. He also identified rising depreciation from cumulative investments in stores, supply chain, and IT as another key driver of higher SG&A.

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CEO Winnie Park described Five Beyond as a key part of the store's flexibility, used to feature 'big WOW items' while ensuring any product over $5 delivers exceptional value and relevance. CFO Kristy Chipman confirmed that the current shrink accrual rate is approximately 100 basis points higher than it was in 2019.

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Interim CEO Ken Bull explained that the return to the office has enhanced collaboration, innovation, and speed, particularly in merchandising, by reinstituting physical 'pods' for teams to work together. Regarding store growth, he confirmed the target for next year is 150-180 stores but will likely be at the lower end of that range due to stringent site selection and landlord-related delays. A more detailed outlook will be provided on the Q4 call.

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Executive Chairman Thomas Vellios affirmed his belief in the Five Beyond opportunity, stating that while the $1-$5 price points are critical, extreme value can also be delivered at higher price points. He stressed the focus is on applying the same disciplined merchandising principles to Five Beyond. Interim President and CEO Kenneth Bull added that they will also re-evaluate the in-store presentation and prototype for Five Beyond.

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Executive Robert Helm explained the Big Lots liquidation impact was complex due to weather, but a positive step-change in momentum has occurred since. Executive Eric van der Valk noted success in recruiting former Big Lots talent and that converting the stores has been faster and more economical than expected. Regarding the credit card, it will be chain-wide by the end of Q1 and is showing promisingly higher basket sizes.

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CEO-elect Eric van der Valk confirmed a key promotional flyer was still to come during a meaningful holiday week and expressed confidence in their positioning. He attributed the success in attracting younger customers (18-45 age segment) to sustained investments in digital marketing and relevant product assortments, noting that sales to Ollie's Army members exceed 80% of total sales.

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CFO Steve Bramlage indicated the ~$0.02 fuel CPG drag is a reasonable ongoing assumption, while the prepared food margin drag will take 3-4 years to resolve as it requires kitchen remodels. CEO Darren Rebelez noted positive consumer trade from candy to higher-margin bakery items and significant mix shifts within tobacco and from tobacco to beverages, which are helping boost overall grocery margins.

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CEO Ashley Buchanan explained that the first step to winning back customers is to fix the value proposition by restoring proprietary brands, key categories, and coupon accessibility. Only then will the company leverage its large customer database to communicate these changes, avoiding significant incremental marketing costs. CFO Jill Timm addressed the store fleet, stating that the 27 closures are routine 'hygiene' as the vast majority of stores are profitable and cash-flow positive. She confirmed there are no limitations from the Sephora deal on closures and noted that future opportunities lie more in optimizing or relocating stores as leases come due, and potentially expanding with smaller formats.

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CFO Jill Timm outlined a plan to recapture customers through increased Q4 marketing investment, including direct mail and targeted offers, to highlight the return of key categories like jewelry and petites. CEO Tom Kingsbury confirmed that warm weather negatively impacted Q3 seasonal sales, but noted that colder Q4 weather and a higher penetration of non-apparel categories like home and gifts should provide a tailwind.

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CEO Thomas Kingsbury reported a stable cross-shop rate, with about 35% of Sephora baskets containing another Kohl's item, typically from women's, juniors, or accessories. CFO Jill Timm added that these customers shop more frequently, driving positive transaction growth. Regarding Babies "R" Us, Kingsbury noted it's early, but initial top-sellers are high-ticket items like baby gear and furniture. Timm projected that back-half sales would build as initiatives like Babies "R" Us, new impulse lines, and expanded holiday gifting assortments ramp up, while margins would be relatively consistent between Q3 and Q4.

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Executive Ron Vachris explained that the digital MVM is incremental to the mailed version and offers greater flexibility for promotions, reaching about 40 million members. Executive Gary Millerchip added that they have just begun personalizing the digital MVM based on member shopping history, with encouraging early results in engagement.

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Executive Ron Vachris affirmed that Costco absolutely has the right to earn more wallet share from affluent customers by continuing to offer high-quality brands and excellent value through Kirkland Signature. Executive Gary Millerchip explained that the favorable 2% reward impact was a Q1 true-up. The company accrues conservatively for the reward throughout the year, and the adjustment in Q1 reflects the actual spend, effectively offsetting some of the accrual increases from the latter half of the prior year.

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Ron Vachris, an executive, confirmed that about 350 U.S. warehouses have the scanners, with positive reactions from members and operators leading to a lift in both new sign-ups and renewals. Gary Millerchip, an executive, explained that the margin improvement in 'other businesses' was driven by relatively similar impacts from both e-commerce, which benefited from strong sales and fulfillment efficiency, and gas margins, which saw a tailwind while cycling a weaker prior-year quarter.

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CEO Ernie Herrman stated that while both apparel and home were up, the home and accessories businesses were stronger, a trend they expect to continue. He emphasized the unique strength of the home business, particularly with goods sourced from Europe. CFO John Klinger declined to disclose the specific shrink rate but confirmed they see an opportunity for continued improvement.

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Walmart U.S. CEO John Furner reported consistent growth in Walmart+ and a strong start for same-day pharmacy delivery. He stated the company plans for a normalized inflation year of 1-2%. Sam's Club CEO Chris Nicholas added that Sam's Club membership and renewal rates are at all-time highs. Walmart International CEO Kath McLay noted strong membership income growth in China.

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CEO Todd Vasos stated that while they are focused on improving the rate, he does not believe a large investment in store labor hours is necessary. CFO Kelly Dilts reiterated the long-term goal of double-digit EPS growth, supported by numerous drivers including shrink reduction, supply chain efficiencies, and the DG Media Network.

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CEO Robert Eddy highlighted the significant opportunity to grow membership density, attributing recent progress to improved renewal rates (near 90%) and effective digital acquisition strategies. CFO Laura Felice defended the flat full-year margin guidance, explaining that while Q3 was strong, the outlook accounts for ongoing investments in the fresh and CMP initiatives.

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CFO Laura Felice attributed the decision to maintain guidance to the dynamic and fluid macroeconomic environment. She declined to quantify the Q1 beat against internal plans or comment on current sales trends for May, but reiterated that the company was very pleased with the 3.9% comparable sales growth achieved in the first quarter.

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CFO Laura Felice stated that while the company was very pleased with the 3.9% Q1 comp, she would not comment on current-quarter trends or quantify the performance against internal plans. She cited the dynamic and fluid macro environment as the reason for maintaining the full-year guidance despite the strong start to the year.

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CEO Robert Eddy described 'Fresh 2.0' as an 'unmitigated success,' driving traffic across the entire club, not just in produce. He noted that members who shop fresh visit more often, have larger baskets, and renew at higher rates. CFO Laura Felice advised that for modeling purposes, the lowest tax rate is expected in Q1 and that Q3 will lap a prior-year legal settlement benefit of approximately $0.10 per share.

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CFO Jeff Howie stated that a large portion of the margin improvement is sticky and sustainable. He credited the gains to a high e-commerce mix, retail fleet optimization, significant pricing power (which contributed ~390 basis points), and durable supply chain efficiencies, where the team continues to find new savings opportunities.

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CEO Laura Alber stated that intra-quarter sales cadence is not a relevant predictor but highlighted that the back-to-school season, particularly the dorm category, was a significant success showing positive growth and high margins. CFO Jeff Howie added that the impact of the shorter holiday season is embedded in their guidance, which anticipates a continuation of first-half trends at its midpoint, with a wide range to account for macroeconomic uncertainty.

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Chairman and CEO Marvin Ellison described the PPI opportunity as being in the 'early innings,' calling it a 'gift that keeps on giving' driven by technology and process improvements, with more details to come at the investor conference. He also stated that, excluding hurricane impacts, regional performance was relatively consistent across the country.

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CEO Hal Lawton outlined plans to increase new store openings from 80 to 90 in the upcoming year while maintaining a consistent remodel pace. He stated that a return to the long-term comp algorithm is dependent on two primary macro factors: the normalization of inflation/deflation and the consumer spending shift between goods and services.

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