Companies /Consumer Cyclical

Ross Stores Inc

NASDAQ: ROST Apparel Retail
$228.54
▼ $0.01 (−0.00%) today
Markets closed · 12:32am ET

Q2 2027 Earnings

Reported Aug 20, 2026, 4:11pm ET · SEC source
$2.66
Beat +37.17%
EPS · est. $1.94 GAAP

Includes approximately $253 million ($0.60 per share) benefit from IEEPA tariff refunds

$6.3B
Beat +1.81%
Revenue · est. $6.2B
6 quarters
Consecutive EPS beats

Market Reaction

% change · around the report
−3%0+3%Aug 20Aug 21report 4:11pm ETearnings+0.5%−0.4%
−3%0+3%Aug 20Aug 21earnings+0.5%−0.4%
ROST −0.4%S&P 500 +0.5%
−3%0+3%Aug 20Aug 21report 4:11pm ETearnings+0.4%−0.4%
−3%0+3%Aug 20Aug 21earnings+0.4%−0.4%
ROST −0.4%NASDAQ +0.4%
−6%−3%0Aug 19Aug 28report 4:11pm ETearnings+0.8%−6.9%
−6%−3%0Aug 19Aug 28earnings+0.8%−6.9%
ROST −6.9%S&P 500 +0.8%
−6%−3%0Aug 19Aug 28report 4:11pm ETearnings+0.7%−6.9%
−6%−3%0Aug 19Aug 28earnings+0.7%−6.9%
ROST −6.9%NASDAQ +0.7%
−2.43%
Day of report
+4.39%
Next session
+0.38%
One week

Did ROST Beat Earnings? Q2 2027 Results

Ross Stores delivered a blowout second quarter of fiscal 2026, with GAAP earnings per share of $2.66 beating the $1.94 consensus by 37.17%, extending the off-price retailer's streak to five consecutive quarters of topping Wall Street estimates. Revenue climbed 13.3% year over year to $6.26 billion, edging past the $6.15 billion consensus by 1.81%, as a 10% comparable store sales surge, fueled primarily by stronger customer traffic, powered the top line. The quarter's results were materially lifted by approximately $253 million, or $0.60 per share, in IEEPA tariff refunds recognized during the period, a one-time benefit that amplified an already strong operational showing. <a href="https://247wallst.com/investing/2026/08/20/live-will-ross-crush-q2-earnings-tonight-after-its-record-q1/">Expectations were already elevated</a> heading into the print following a record first quarter, and Ross again delivered. Management responded by raising full-year EPS guidance to $8.61 to $8.77, inclusive of that tariff benefit, while expanding its store opening plan to 115 new locations for fiscal 2026, signaling continued confidence in the company's growth trajectory. A freshly declared quarterly dividend of $0.45 per share added further evidence of balance sheet strength.

Key Takeaways
  • Comparable store sales up 10%, primarily driven by customer traffic
  • Both new customer acquisition and higher engagement from existing customers contributed to growth
  • Compelling merchandise offerings and engaging marketing initiatives
  • Continued enhancements to in-store experience
  • Approximately $253 million in IEEPA tariff refunds boosted operating profits
  • Operating margin expanded 205 basis points excluding tariff refunds, above plan of 130-150 bps

“We achieved stellar sales and earnings growth in the second quarter. I am incredibly proud of our teams across the Company, whose dedication and strong execution drove these outstanding results. Our performance was fueled by our compelling merchandise offerings, engaging marketing initiatives, and continued enhancements to the in-store experience. We were pleased to see strength throughout the quarter, with comparable store sales growth once again primarily driven by customer traffic. Importantly, that growth was supported by both an increase in new customers and higher engagement from existing customers.”

Ross Stores CEO, on the earnings call

Forward Guidance & Outlook

Management raised its second-half and full-year fiscal 2026 outlook. Comparable store sales are now expected to increase 6% to 7% in Q3 and 4% to 5% in Q4. Q3 EPS is projected at $1.75 to $1.83 and Q4 EPS at $2.17 to $2.26. Full-year fiscal 2026 EPS guidance was raised to $8.61 to $8.77, which includes an approximate $0.60 per share benefit from IEEPA tariff refunds recognized in Q2. Store opening plans were increased to 115 new locations for fiscal 2026, consisting of approximately 90 Ross Dress for Less and 25 dd's DISCOUNTS stores.

ROST YoY Financials

Q2 2027 vs Q2 2026 · SEC filings Q2 2026 Q2 2027
$0$2.0B$4.0B$6.0B$5.5B$6.3BRevenue$1.5B$2.1BGross Profit$638.3M$1.1BOperating Income$508.0M$851.3MNet Income
$0$2.0B$4.0B$6.0BRevenueGross ProfitOperating IncomeNet Income

Figures from SEC filings and company reports. Not investment advice.