BJ'S WHOLESALE CLUB HOLDINGS, INC., 10-K filed on 3/14/2025
Annual Report
v3.25.0.1
Cover - USD ($)
12 Months Ended
Feb. 01, 2025
Mar. 05, 2025
Aug. 03, 2024
Cover [Abstract]      
Document Type 10-K    
Document Annual Report true    
Document Period End Date Feb. 01, 2025    
Current Fiscal Year End Date --02-01    
Document Transition Report false    
Entity File Number 001-38559    
Entity Registrant Name BJ’S WHOLESALE CLUB HOLDINGS, INC.    
Entity Incorporation, State or Country Code DE    
Entity Tax Identification Number 45-2936287    
Entity Address, Address Line One 350 Campus Drive    
Entity Address, City or Town Marlborough    
Entity Address, State or Province MA    
Entity Address, Postal Zip Code 01752    
City Area Code 774    
Local Phone Number 512-7400    
Title of 12(b) Security Common Stock, par value $0.01    
Trading Symbol BJ    
Security Exchange Name NYSE    
Entity Well-known Seasoned Issuer Yes    
Entity Voluntary Filers No    
Entity Current Reporting Status Yes    
Entity Interactive Data Current Yes    
Entity Filer Category Large Accelerated Filer    
Entity Small Business false    
Entity Emerging Growth Company false    
ICFR Auditor Attestation Flag true    
Document Financial Statement Error Correction false    
Entity Shell Company false    
Entity Public Float     $ 11,500,000,000
Entity Common Stock, Shares Outstanding   131,676,982  
Documents Incorporated by Reference
Part III of this Annual Report on Form 10-K incorporates by reference portions of the registrant’s Definitive Proxy Statement for its 2025 Annual Meeting of Shareholders, which the registrant anticipates will be filed with the Securities and Exchange Commission no later than 120 days after the end of its 2024 fiscal year pursuant to Regulation 14A.
   
Entity Central Index Key 0001531152    
Amendment Flag false    
Document Fiscal Period Focus FY    
Document Fiscal Year Focus 2024    
v3.25.0.1
Audit Information
12 Months Ended
Feb. 01, 2025
Audit Information [Abstract]  
Auditor Firm ID 238
Auditor Name PricewaterhouseCoopers LLP
Auditor Location Boston, Massachusetts
v3.25.0.1
CONSOLIDATED BALANCE SHEETS - USD ($)
$ in Thousands
Feb. 01, 2025
Feb. 03, 2024
Current assets:    
Cash and cash equivalents $ 28,272 $ 36,049
Accounts receivable, net 277,326 234,769
Merchandise inventories 1,508,988 1,454,822
Prepaid expenses and other current assets 64,374 68,366
Total current assets 1,878,960 1,794,006
Operating lease right-of-use assets, net 2,100,257 2,140,482
Property and equipment, net 1,897,604 1,578,792
Goodwill 1,008,816 1,008,816
Intangibles, net 101,109 107,632
Deferred income taxes 6,975 4,071
Other assets 71,584 43,823
Total assets 7,065,305 6,677,622
Current liabilities:    
Short-term debt 175,000 319,000
Current portion of operating lease liabilities 192,528 153,631
Accounts payable 1,253,512 1,183,281
Accrued expenses and other current liabilities 913,042 812,136
Total current liabilities 2,534,082 2,468,048
Long-term operating lease liabilities 2,013,962 2,050,883
Long-term debt 398,807 398,432
Deferred income taxes 59,659 74,773
Other non-current liabilities 211,341 226,635
Commitments and contingencies (see Note 10)
STOCKHOLDERS’ EQUITY    
Preferred stock; $0.01 par value; 5,000 shares authorized, no shares issued 0 0
Common stock; $0.01 par value; 300,000 shares authorized, 148,965 shares issued and 131,638 shares outstanding at February 1, 2025; 300,000 shares authorized, 147,544 shares issued and 132,768 shares outstanding at February 3, 2024 1,489 1,475
Additional paid-in capital 1,079,445 1,006,409
Retained earnings 1,702,648 1,168,231
Accumulated other comprehensive income 231 501
Treasury stock, at cost, 17,327 shares at February 1, 2025 and 14,776 shares at February 3, 2024 (936,359) (717,765)
Total stockholders’ equity 1,847,454 1,458,851
Total liabilities and stockholders’ equity $ 7,065,305 $ 6,677,622
v3.25.0.1
CONSOLIDATED BALANCE SHEETS (Parentheticals) - $ / shares
shares in Thousands
Feb. 01, 2025
Feb. 03, 2024
Statement of Financial Position [Abstract]    
Preferred stock, par value (in usd per share) $ 0.01 $ 0.01
Preferred stock, authorized (in shares) 5,000 5,000
Preferred stock, issued (in shares) 0 0
Common stock, par value (in usd per share) $ 0.01 $ 0.01
Common stock, authorized (in shares) 300,000 300,000
Common stock, issued (in shares) 148,965 147,544
Common stock, outstanding (in shares) 131,638 132,768
Treasury stock (in shares) 17,327 14,776
v3.25.0.1
CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME - USD ($)
shares in Thousands, $ in Thousands
12 Months Ended
Feb. 01, 2025
Feb. 03, 2024
Jan. 28, 2023
Total revenues $ 20,501,804 $ 19,968,689 $ 19,315,165
Cost of sales 16,737,378 16,326,129 15,883,677
Selling, general and administrative expenses 2,963,883 2,822,513 2,668,569
Pre-opening expenses 28,337 19,628 24,933
Operating income 772,206 800,419 737,986
Interest expense, net 51,359 64,527 47,462
Income from continuing operations before income taxes 720,847 735,892 690,524
Provision for income taxes 186,430 212,240 176,262
Income from continuing operations 534,417 523,652 514,262
Income (loss) from discontinued operations, net of income taxes 0 89 (1,085)
Net income $ 534,417 $ 523,741 $ 513,177
Income per share attributable to common stockholders—basic:      
Income from continuing operations (in usd per share) $ 4.04 $ 3.94 $ 3.84
Income (loss) from discontinued operations (in usd per share) 0 0 (0.01)
Net income (in usd per share) 4.04 3.94 3.83
Income per share attributable to common stockholders—diluted:      
Income from continuing operations (in usd per share) 4.00 3.88 3.77
Income (loss) from discontinued operations (in usd per share) 0 0 (0.01)
Net income (in usd per share) $ 4.00 $ 3.88 $ 3.76
Weighted-average number of shares outstanding:      
Basic (in shares) 132,150 133,047 134,017
Diluted (in shares) 133,605 135,118 136,473
Other comprehensive (loss) income:      
Postretirement medical plan adjustment, net of income tax (benefit) expense of $(104), $(210) and $26, respectively $ (270) $ (548) $ 78
Amounts reclassified from accumulated other comprehensive income, net of tax 0 (501) (421)
Unrealized gain on cash flow hedge, net of income tax 0 0 588
Total other comprehensive (loss) income (270) (1,049) 245
Total comprehensive income 534,147 522,692 513,422
Net sales      
Total revenues 20,045,329 19,548,011 18,918,435
Membership fee income      
Total revenues $ 456,475 $ 420,678 $ 396,730
v3.25.0.1
CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (Parentheticals) - USD ($)
$ in Thousands
12 Months Ended
Feb. 01, 2025
Feb. 03, 2024
Jan. 28, 2023
Income Statement [Abstract]      
Postretirement medical plan adjustment, income tax $ (104) $ (210) $ 26
v3.25.0.1
CONSOLIDATED STATEMENTS OF STOCKHOLDERS’ EQUITY - USD ($)
shares in Thousands, $ in Thousands
Total
Common Stock
Additional Paid-in Capital
Retained Earnings
Accumulated Other Comprehensive Income
Treasury Stock
Balance at beginning of period (in shares) at Jan. 29, 2022   145,451        
Balance at beginning of period at Jan. 29, 2022 $ 648,108 $ 1,454 $ 902,704 $ 131,313 $ 1,305 $ (388,668)
Treasury stock at beginning of period (in shares) at Jan. 29, 2022           (9,945)
Increase (Decrease) in Stockholders' Equity [Roll Forward]            
Net income 513,177     513,177    
Other comprehensive income (loss), net of tax 245       245  
Dividends paid (25)   (25)      
Common stock issued under stock incentive plans (in shares)   806        
Common stock issued under stock incentive plans 0 $ 8 (8)      
Common stock issued under ESPP (in shares)   90        
Common stock issued under ESPP 4,830 $ 1 4,829      
Stock-based compensation expense 42,617   42,617      
Exercise of stock options 8,438   8,438      
Acquisition of treasury stock (in shares)           (2,499)
Acquisition of treasury stock (170,553)         $ (170,553)
Balance at end of period (in shares) at Jan. 28, 2023   146,347        
Balance at end of period at Jan. 28, 2023 1,046,837 $ 1,463 958,555 644,490 1,550 $ (559,221)
Treasury stock at end of period (in shares) at Jan. 28, 2023           (12,444)
Increase (Decrease) in Stockholders' Equity [Roll Forward]            
Net income 523,741     523,741    
Other comprehensive income (loss), net of tax (1,049)       (1,049)  
Dividends paid (25)   (25)      
Common stock issued under stock incentive plans (in shares)   1,080        
Common stock issued under stock incentive plans 0 $ 11 (11)      
Common stock issued under ESPP (in shares)   117        
Common stock issued under ESPP 6,267 $ 1 6,266      
Stock-based compensation expense 39,021   39,021      
Exercise of stock options 2,603   2,603      
Acquisition of treasury stock (in shares)           (2,332)
Acquisition of treasury stock $ (158,544)         $ (158,544)
Balance at end of period (in shares) at Feb. 03, 2024 132,768 147,544        
Balance at end of period at Feb. 03, 2024 $ 1,458,851 $ 1,475 1,006,409 1,168,231 501 $ (717,765)
Treasury stock at end of period (in shares) at Feb. 03, 2024 (14,776)         (14,776)
Increase (Decrease) in Stockholders' Equity [Roll Forward]            
Net income $ 534,417     534,417    
Other comprehensive income (loss), net of tax (270)       (270)  
Dividends paid (25)   (25)      
Common stock issued under stock incentive plans (in shares)   1,312        
Common stock issued under stock incentive plans 0 $ 13 (13)      
Common stock issued under ESPP (in shares)   109        
Common stock issued under ESPP 7,002 $ 1 7,001      
Stock-based compensation expense 47,798   47,798      
Exercise of stock options 18,275   18,275      
Acquisition of treasury stock (in shares)           (2,551)
Acquisition of treasury stock $ (218,594)         $ (218,594)
Balance at end of period (in shares) at Feb. 01, 2025 131,638 148,965        
Balance at end of period at Feb. 01, 2025 $ 1,847,454 $ 1,489 $ 1,079,445 $ 1,702,648 $ 231 $ (936,359)
Treasury stock at end of period (in shares) at Feb. 01, 2025 (17,327)         (17,327)
v3.25.0.1
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($)
$ in Thousands
12 Months Ended
Feb. 01, 2025
Feb. 03, 2024
Jan. 28, 2023
CASH FLOWS FROM OPERATING ACTIVITIES      
Net income $ 534,417 $ 523,741 $ 513,177
Adjustments to reconcile net income to net cash provided by operating activities:      
Depreciation and amortization 262,068 227,696 200,934
Amortization of debt issuance costs and accretion of original issue discount 1,104 1,243 2,765
Debt extinguishment and refinancing charges 870 1,830 3,256
Stock-based compensation expense 47,798 39,021 42,617
Deferred income tax (benefit) provision (18,493) 25,572 (1,938)
Changes in operating leases and other non-cash items 42,617 (21,655) 27,730
Increase (decrease) in cash due to changes in:      
Accounts receivable, net (51,629) 10,764 (60,967)
Merchandise inventories (54,166) (76,271) (47,544)
Prepaid expenses and other current assets 1,265 (14,607) 4,135
Other assets (10,919) (13,684) (6,580)
Accounts payable 70,231 (12,416) 82,914
Accrued expenses and other current liabilities 94,722 33,380 4,784
Other non-current liabilities (19,013) (5,731) 22,882
Net cash provided by operating activities 900,872 718,883 788,165
CASH FLOWS FROM INVESTING ACTIVITIES      
Additions to property and equipment, net of disposals (587,983) (467,075) (397,803)
Proceeds from sale-leaseback transactions 0 12,310 27,266
Acquisitions 0 0 (376,521)
Other investing activities (1,583) 0 0
Net cash used in investing activities (589,566) (454,765) (747,058)
CASH FLOWS FROM FINANCING ACTIVITIES      
Proceeds from the issuance of long-term debt 27,000 305,041 67,610
Payments on long-term debt (27,000) (355,041) (370,655)
Proceeds from revolving lines of credit 717,000 742,000 1,402,000
Payments on revolving lines of credit (861,000) (828,000) (997,000)
Debt issuance costs paid (800) (1,722) (4,783)
Dividends paid (25) (25) (25)
Net cash received from stock option exercises 18,275 2,603 8,438
Net cash received from ESPP 7,002 6,267 4,830
Acquisition of treasury stock (219,632) (155,180) (172,288)
Proceeds from financing obligations 27,340 26,640 15,388
Other financing activities (7,243) (4,567) (6,143)
Net cash used in financing activities (319,083) (261,984) (52,628)
Net (decrease) increase in cash and cash equivalents (7,777) 2,134 (11,521)
Cash and cash equivalents, beginning of period 36,049 33,915 45,436
Cash and cash equivalents, end of period 28,272 36,049 33,915
Supplemental cash flow information:      
Interest paid 42,538 59,114 36,600
Income taxes paid 191,370 198,559 179,325
Non-cash financing and investing activities:      
Property additions included in accrued expenses 38,400 38,516 37,629
Treasury stock repurchases included in accrued expenses $ 1,561 $ 3,364 $ 0
v3.25.0.1
Description of Business
12 Months Ended
Feb. 01, 2025
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Description of Business Description of Business
BJ’s Wholesale Club Holdings, Inc. and its wholly-owned subsidiaries (the "Company" or "BJ’s") is a leading operator of membership warehouse clubs concentrated primarily in the eastern half of the United States. The Company provides a curated assortment focused on groceries, fresh foods, general merchandise, gasoline, and other ancillary services to deliver a differentiated shopping experience that is further enhanced by the Company's digital capabilities. As of February 1, 2025, BJ’s operated 250 warehouse clubs and 186 gas stations in 21 states.
v3.25.0.1
Summary of Significant Accounting Policies
12 Months Ended
Feb. 01, 2025
Accounting Policies [Abstract]  
Summary of Significant Accounting Policies Summary of Significant Accounting Policies
Basis of Presentation
The consolidated financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America ("GAAP"). The consolidated financial statements include the Company and its subsidiaries. All intercompany balances and transactions have been eliminated in consolidation.
The Company's business, as is common with the business of retailers generally, is subject to seasonal influences. The Company’s sales and operating income have typically been highest in the fourth quarter holiday season and lowest in the first quarter of each fiscal year.
Fiscal Year
The Company follows the National Retail Federation's fiscal calendar and reports financial information on a 52- or 53-week year ending on the Saturday closest to January 31. Fiscal year 2024 ("2024") consists of the 52 weeks ended February 1, 2025, fiscal year 2023 ("2023") consists of the 53 weeks ended February 3, 2024, and fiscal year 2022 ("2022") consists of the 52 weeks ended January 28, 2023. Fiscal year 2025 ("2025") will consist of the 52 weeks ended January 31, 2026.
Estimates Included in Financial Statements
The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities, and stockholders’ equity, and the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. The significant estimates relied upon in preparing these consolidated financial statements, include but are not limited to, estimating workers’ compensation and general liability self-insurance reserves. Actual results could differ from those estimates.
Concentration Risk
The Company's clubs are primarily located in the eastern half of the United States. Sales from the New York metropolitan area comprised approximately 23%, 23%, and 21% of net sales in fiscal years 2024, 2023, and 2022, respectively.
Financial instruments that potentially subject the Company to concentrations of credit risk principally consist of cash held in financial institutions to the extent account balances exceed the amount insured by the Federal Deposit Insurance Corporation ("FDIC"). The Company considers the credit risk associated with these financial instruments to be minimal. Cash is held by financial institutions with high credit ratings and the Company has not historically sustained any credit losses associated with its cash balances.
Cash and Cash Equivalents
Highly liquid investments with a maturity of three months or less at the time of purchase are considered to be cash equivalents. Book overdrafts not subject to offset with other accounts with the same financial institution are classified as accounts payable.
Accounts Receivable
Accounts receivable consists primarily of credit card receivables and receivables from vendors related to rebates and coupons and is stated net of allowances for credit losses of $2.1 million and $2.3 million at February 1, 2025 and February 3,
2024, respectively. The determination of the allowance for credit losses is based on the Company's historical experience applied to an aging of accounts and a review of individual accounts with a known potential for write-off.
Merchandise Inventories
Inventories are stated at the lower of cost, determined under the average cost method, or net realizable value. The Company recognizes the write-down of slow-moving or obsolete inventory in cost of sales when such write-downs are probable and estimable. The Company writes down inventory for estimated shrinkage for the period between physical inventories based on historical results of physical inventories, shrinkage trends, or other judgments management believes to be reasonable under the circumstances.
Property and Equipment
Property and equipment are recorded at cost and depreciated over their estimated useful lives using the straight-line method. Property and equipment which is not ready for its intended use is recorded as construction in progress. Buildings and improvements are generally depreciated over estimated useful lives of 33 years. Capitalizable costs related to the development of buildings is capitalized during the construction period. Leasehold costs and improvements are amortized over the shorter of the remaining lease term, which includes renewal periods that are reasonably assured, or the asset’s estimated useful life. Furniture, fixtures and equipment are depreciated over their estimated useful lives, ranging from three to ten years.
Certain costs incurred in connection with developing or obtaining computer software for internal use are capitalized. Capitalized software costs are included in furniture, fixtures, and equipment and are amortized on a straight-line basis over the estimated useful life of the software, which is generally three years. Software costs not meeting the criteria for capitalization are expensed as incurred.
Expenditures for betterments and major improvements that significantly enhance the value and increase the estimated useful life of the assets are capitalized and depreciated over the new estimated useful life. Repairs and maintenance costs on all assets are expensed as incurred.
Deferred Issuance Costs
The Company defers costs directly associated with acquiring third-party financing. Debt issuance costs related to the Company's term loan are recorded as a direct deduction of the carrying amount of long-term debt, while debt issuance costs associated with the ABL Revolving Facility are recorded within other assets in the consolidated balance sheets. Debt issuance costs are amortized over the respective terms of the related financing arrangements on a straight-line basis, which is materially consistent with the effective interest method. Amortization of deferred debt issuance costs of $1.0 million, $0.9 million, and $1.7 million in fiscal years 2024, 2023, and 2022, respectively, is included in interest expense, net in the consolidated statements of operations and comprehensive income.
Goodwill and Indefinite-Lived Intangible Assets
Goodwill and indefinite-lived trade name intangible assets are not subject to amortization. The Company assesses the recoverability of its goodwill and trade name annually in the fourth quarter or whenever events or changes in circumstances indicate they may be impaired. The Company has determined it has one reporting unit for goodwill impairment testing purposes and assessed the recoverability as of January 4, 2025.
The Company may assess its goodwill for impairment initially using a qualitative approach ("step zero") to determine whether conditions exist to indicate that it is more likely than not that the fair value of a reporting unit is less than its carrying value. If management concludes, based on its assessment of relevant events, facts and circumstances that it is more likely than not that a reporting unit’s carrying value is greater than its fair value, then a quantitative analysis will be performed to determine if there is any impairment. The Company may also elect to initially perform a quantitative analysis instead of starting with step zero. The quantitative assessment for goodwill requires comparing the carrying value of a reporting unit, including goodwill, to its fair value. If the fair value of the reporting unit exceeds its carrying amount, goodwill is not considered to be impaired and no further testing is required. If the carrying amount of the reporting unit exceeds its fair value, an impairment charge is recorded to write down goodwill to its implied fair value and is recorded as a component of selling, general and administrative expenses ("SG&A") in the consolidated statements of operations and comprehensive income. The Company assessed the recoverability of goodwill in fiscal years 2024, 2023 and 2022 and determined that there was no impairment.
The Company assesses the recoverability of its trade name whenever there are indicators of impairment, or at least annually in the fourth quarter. If the recorded carrying value of the trade name exceeds its estimated fair value, the Company records a charge to write the intangible asset down to its estimated fair value as a component of SG&A. The Company assessed
the recoverability of the BJ’s trade name and determined that its estimated fair value exceeded its carrying value and that no impairment was necessary in fiscal years 2024, 2023 or 2022.
Test for Recoverability of Long-Lived Assets
The Company reviews the realizability of long-lived assets whenever a triggering event occurs that indicates an impairment loss may have been incurred. Current and expected operating results, cash flows and other factors are considered in connection with management’s review. For purposes of evaluating the recoverability of long-lived assets, the recoverability test is performed using undiscounted net cash flows of individual clubs and consolidated net cash flows for long-lived assets not identifiable to individual clubs. Impairment losses are measured as the difference between the carrying amount and the estimated fair value of the assets being evaluated. The Company recorded an impairment charge of $1.2 million for a lease asset, which is included in loss from discontinued operations, net of taxes within the consolidated statements of operations and comprehensive income in fiscal year 2022. There were no impairments of lease assets in fiscal years 2024 or 2023.
Asset Retirement Obligations
An asset retirement obligation represents a legal obligation associated with the retirement of a tangible long-lived asset that is incurred upon the acquisition, construction, development or normal operation of that long-lived asset. The Company recognizes asset retirement obligations in the period in which they are placed in service, if a reasonable estimate of fair value can be made. The asset retirement obligation is subsequently adjusted for changes in fair value. The associated estimated asset retirement costs are capitalized in leasehold improvements and depreciated over their useful lives. The Company’s asset retirement obligations primarily relate to the future removal of gasoline tanks, solar panels, and related assets installed at leased clubs. See "Note 15. Asset Retirement Obligations" for further information on the amounts accrued.
Workers’ Compensation and General Liability Self-insurance Reserves
The Company is primarily self-insured for workers’ compensation, general liability claims, and auto liability claims. Amounts in excess of certain levels, which range from $0.3 million to $1.0 million per occurrence for workers' compensation and general liability, and up to $2.0 million per occurrence for auto liability, are insured as a risk reduction strategy to mitigate the financial impact of catastrophic losses. Reported reserves for claims are derived from estimated ultimate costs based upon individual claim file reserves and estimates for incurred but not reported claims. The estimates are developed utilizing actuarial methods and are based on historical claims experience and other actuarial assumptions related to loss development factors. The inherent uncertainty of future loss projections could cause actual claims to differ from the Company's estimates. When historical losses are not a good measure of future liability, the Company bases its estimates of ultimate liability on its interpretation of current law, claims filed to date, and other relevant factors which are subject to change. Accruals for such claims, if any, are included in accrued expenses and other current liabilities and other non-current liabilities in the consolidated balance sheets.
Revenue Recognition - Performance Obligations
The Company identifies each distinct performance obligation to transfer goods (or bundle of goods) or services. The Company recognizes revenue as it satisfies a performance obligation by transferring control of the goods or services to the customer.
Net sales
The Company recognizes net sales at clubs and gas stations when the customer takes possession of the goods and tenders payment. Sales tax is recorded as a liability at the point-of-sale. Revenue is recorded at the point-of-sale based on the transaction price, net of any applicable discounts, sales tax, and expected refunds. For e-commerce sales, the Company recognizes sales when control of the merchandise is transferred to the customer, which is typically at the time of shipment.
Rewards programs
The Company’s BJ’s Perks Rewards membership program which was in place in fiscal 2022 and the first month of fiscal year 2023, allowed participating members to earn 2% cash back, up to a maximum of $500 per year, on qualified purchases made at BJ’s. The Company also offered a co-branded credit card program, the My BJ’s Perks program, which allowed My BJ’s Perks Mastercard credit card holders to earn up to a 10 cent-per-gallon discount on gasoline, up to 5% cash back on eligible purchases made in BJ’s clubs or online at bjs.com, and up to 2% cash back on purchases made with the card outside of BJ’s. Cash back was in the form of electronic awards issued in $10 increments that could be used online or in-club and expired 6 months from the date issued.
In the first quarter of fiscal year 2023, the Company rebranded the rewards program. The former BJ's Perks Rewards membership program is now the Club+ program, whereby participating members earn 2% cash back, up to a maximum of $500 per year, on qualified purchases made at BJ's, a 5 cent-per-gallon discount at BJ's gas locations, and effective January 1, 2025, two free same-day deliveries. Cash back is in the form of electronic awards issued to each member once $10 in rewards have been earned. These rewards do not expire.
The Company's co-branded credit card program is now the BJ's One and BJ's One+ program, which allows cardholders with the opportunity to earn up to 5% cash back on purchases made in BJ's clubs or online at bjs.com and up to a 15 cent-per-gallon discount on gasoline when paying with a BJ's One or BJ's One+ Mastercard at BJ’s gas locations. Effective January 1, 2025, BJ's One+ Mastercard cardholders also receive two free same-day deliveries if such benefit has not already been received under the Club+ program. Cash back is in the form of electronic awards issued to each member monthly on their credit card statement date. Earned rewards do not expire.
The Company accounts for these transactions as multiple-element arrangements and allocates the transaction price to separate performance obligations using their relative fair values. The Company includes the fair value of award dollars earned in deferred revenue at the time the award dollars are earned. Earned awards may be redeemed on future purchases made at the Company. The Company recognizes revenue related to earned awards when customers redeem such awards as part of a purchase at one of the Company’s clubs or on the Company’s website or mobile app. The Company recognizes royalty revenue related to the outstanding Club+ and BJ's One and BJ's One+ credit card programs are based upon actual customer activities, such as reward redemptions. While the Company continues to honor all rewards presented for redemption, the likelihood of redemption is deemed to be remote for certain rewards due to historical experience, including after long periods of inactivity, and rewards being linked to expired or canceled memberships. In these circumstances, the Company recognizes revenue, or breakage, from unredeemed rewards.
Additionally, the Company deferred revenue for funds received related to marketing, integration costs, and other long-term initiatives in connection with the new co-brand credit card program and will recognize these funds into revenue as performance obligations are satisfied.
Membership
The Company charges a membership fee to its customers, which allows customers to shop in the Company’s clubs, shop on the Company’s website or mobile app, and purchase gasoline at the Company’s gas stations for the duration of the membership, which is generally 12 months. In addition, members have access to other ancillary services, coupons, and promotions. As the Company has the obligation to provide access to its clubs, website, mobile app, and gas stations for the duration of the membership term, the Company recognizes membership fees on a straight-line basis over the life of the membership. All membership fees and related membership revenues are recorded as membership fee income in the consolidated statements of operations and comprehensive income.
Gift Card Programs
The Company sells BJ’s gift cards that allow customers to redeem the cards for future purchases equal to the amount of the face value of the gift card. Revenue from gift card sales is recognized upon redemption of the gift cards and control of the purchased goods or services is transferred to the customer.
Warranty Programs
The Company passes on any manufacturers’ warranties to members. In addition, the Company includes an extended warranty on tires sold at the clubs, under which the Company customers receive tire repair services or tire replacement in certain circumstances. This warranty is included in the sale price of the tire and it cannot be declined by the customers. The Company is fully liable for claims under the tire warranty program. As the primary obligor in these arrangements, associated revenue is recognized on the date of sale and an estimated warranty obligation is accrued based on claims experience. The liability for future claims under this program is not material to the financial statements.
Extended warranties are also offered on certain types of products such as electronics and jewelry. These warranties are provided by a third party at fixed prices to the Company. No liability is retained to satisfy warranty claims under these arrangements. The Company is not the primary obligor under these warranties, and as such net revenue is recorded on these arrangements at the time of sale. Revenue from warranty sales is included in net sales in the consolidated statements of operations and comprehensive income.
Determine the Transaction Price
The transaction price is the amount of consideration the Company expects to receive under the arrangement. The Company is required to include estimated variable consideration, if any, in the determination of the transaction price. The Company may offer sales incentives to customers, including discounts. The Company has significant experience with return patterns and relies on this experience to estimate expected returns when determining the transaction price.
Returns and Refunds
The Company’s products are generally sold with a right of return and may provide other credits or incentives, which are accounted for as variable consideration when estimating the amount of revenue to recognize. The Company records an allowance for returns based on current period revenues and historical returns experience. The Company analyzes actual historical returns, current economic trends, changes in sales volume and acceptance of the Company’s products when evaluating the adequacy of the sales returns allowance in any accounting period.
The sales returns reserve, which reduces sales and cost of sales for the estimated impact of returns, was $5.4 million in each of fiscal years 2024 and 2023, respectively, and $6.1 million in fiscal year 2022. Actual sales returns were $221.7 million, $220.7 million, and $228.9 million in fiscal years 2024, 2023 and 2022, respectively.
Customer Discounts
Discounts given to customers are usually in the form of coupons and instant markdowns and are recognized as redeemed and recorded in contra-revenue accounts, as they are part of the transaction price of the merchandise sale. Manufacturer coupons that are available for redemption at all retailers are not reduced from the sale price of merchandise.
Agent Relationships
The Company enters into certain agreements with service providers that offer goods and services to the Company’s members. These service providers sell goods and services including home improvement services, travel, and cell phones to the Company’s customers. In exchange, the Company receives payments in the form of commissions and other fees. The Company evaluates the relevant criteria to determine whether they serve as the principal or agent in these contracts with customers, in determining whether it is appropriate in these arrangements to record the gross amount of merchandise sales and related costs, or the net amount earned as commissions. When the Company is considered the principal in a transaction, revenue is recorded gross; otherwise, revenue is recorded on a net basis. Commissions received from these service providers are considered variable consideration and are constrained until the third-party customer makes a purchase from one of the service providers.
Judgments
Standalone Selling Prices
For arrangements that contain multiple performance obligations, the Company allocates the transaction price to each performance obligation on a relative standalone selling price basis.
Policy Elections
In addition to those previously disclosed, the Company made the following accounting policy elections and practical expedients:
Portfolio Approach
The Company uses the portfolio approach when multiple contracts or performance obligations are involved in the determination of revenue recognition.
Taxes
The Company excludes from the transaction price any taxes collected from customers that are remitted to taxing authorities.
Shipping and Handling Charges
Costs incurred by the Company before the customer obtains control of goods are deemed to be fulfillment costs. Amounts charged to customers by the Company for shipping and handling related to same-day delivery and traditional ship-to-home
service are included in net sales in the consolidated statements of operations and comprehensive income when control of the merchandise is transferred to the customer. Amounts charged to the Company by third parties performing the delivery services are included in cost of sales in the consolidated statements of operations and comprehensive income when the delivery services are performed.
Time Value of Money
The Company’s payment terms are less than one year from the transfer of goods. Therefore, the Company does not adjust promised amounts of consideration for the effects of the time value of money.
Disclosure of Remaining Performance Obligations
The Company does not disclose the aggregate amount of the transaction price allocated to remaining performance obligations for contracts that are one year or less in term. Additionally, the Company does not disclose the aggregate amount of the transaction price allocated to remaining performance obligations when the transaction price is allocated entirely to a wholly unsatisfied performance obligation or to a wholly unsatisfied promise to transfer a good or service that forms part of a series of distinct goods or services.
Cost of Sales
The Company’s cost of sales includes the direct costs of merchandise and gasoline, which includes customs, taxes, duties and inbound shipping costs, inventory shrinkage and adjustments and reserves for excess, aged and obsolete inventory. Cost of goods sold also includes certain distribution center costs and allocations of certain indirect costs, such as occupancy, depreciation, amortization, labor and benefits.
Presentation of Sales Tax Collected from Customers and Remitted to Governmental Authorities
In the ordinary course of business, sales tax is collected on items purchased by the members that are taxable in the jurisdictions when the purchases occur. These taxes are then remitted to the appropriate taxing authority. These taxes collected are excluded from revenues in the financial statements.
Vendor Rebates and Allowances
The Company receives various types of cash consideration from vendors, principally in the form of rebates, based on purchasing or selling certain volumes of product; time-based rebates or allowances, which may include product placement allowances or exclusivity arrangements covering a predetermined period of time; price protection rebates; allowances for retail price reductions on certain merchandise; and salvage allowances for product that is damaged, defective or becomes out-of-date.
Such vendor rebates and allowances are recognized based on a systematic and rational allocation of the cash consideration offered to the underlying transaction that results in progress by the Company toward earning the rebates and allowances, provided the amounts to be earned are probable and reasonably estimable. Otherwise, rebates and allowances are recognized only when predetermined milestones are met. The Company recognizes product placement allowances as a reduction of cost of sales in the period in which the product placement is completed. Time-based rebates or allowances are recognized as a reduction of cost of sales over the performance period on a straight-line basis. All other vendor rebates and allowances are recognized as a reduction of cost of sales when the merchandise is sold or otherwise disposed.
Cash consideration is also received for advertising products in publications presented to BJ’s members. Such cash consideration is recognized as a reduction of SG&A to the extent it represents a reimbursement of specific, incremental and identifiable SG&A costs incurred by the Company to sell the vendors’ products. If the cash consideration exceeds the costs being reimbursed, the excess is characterized as a reduction of cost of sales. Cash consideration for advertising vendors’ products is recognized in the period in which the advertising occurs.
Manufacturers’ Incentives Tendered by Consumers
Consideration from manufacturers’ incentives, such as rebates or coupons, is recorded gross in net sales when the incentive is generic and can be tendered by a consumer at any reseller and the Company receives direct reimbursement from the manufacturer, or clearinghouse authorized by the manufacturer, based on the face value of the incentive. If these conditions are not met, such consideration is recorded as a reduction in cost of sales.
Leases
The Company determines if an arrangement is a lease at inception or modification of a contract and classifies each lease as either an operating or finance lease at commencement. Leases that are economically similar to the purchase of assets are generally classified as finance leases; otherwise, the leases are classified as operating leases. The Company only reassesses lease classification subsequent to commencement upon a change to the expected lease term or modification of the contract.
Right-of-use assets (“lease assets”) represent the right to use an underlying asset for the lease term, and lease liabilities represent the obligation to make lease payments arising from the lease. Operating lease assets and liabilities are recognized at the commencement date based on the present value of lease payments over the lease term, which reflect options to extend or terminate the lease when it is reasonably certain those options will be exercised. Options to extend have varying rates and terms for each lease. Generally, the Company’s leases do not provide a readily determinable implicit rate, and therefore, the Company uses a collateralized incremental borrowing rate ("IBR") as of the lease commencement date to determine the present value of lease payments. The IBR is based on a yield curve that approximates the Company’s credit rating and market risk profile. The lease asset also reflects any prepaid rent, initial direct costs incurred, and lease incentives received.
Lease liabilities are accounted for using the effective interest method, regardless of classification, while the amortization of lease assets varies depending upon classification. Operating lease classification results in a straight-line expense recognition pattern over the lease term and recognizes lease expense as a single expense component, which results in amortization of a lease asset equal to the difference between lease expense and interest expense. Conversely, finance lease classification results in a front-loaded expense recognition pattern over the lease term, which amortizes a lease asset by recognizing interest expense and straight-line amortization expense as separate components of lease expense.
Certain of the Company’s lease agreements provide for lease payments based on future sales volumes at the leased locations, or include rental payments adjusted periodically based on inflation or an index, which are not measurable at lease commencement. The Company recognizes such variable amounts in the period incurred. For leases with lease payments based on future sales volumes, variable lease expense is recognized when it becomes probable that the specified sales target will be achieved. The Company’s lease agreements do not contain any material residual value guarantees or material restrictive covenants.
The Company is generally obligated for the cost of property taxes, insurance, and maintenance relating to its leases, which are often variable lease payments. Such costs for finance and operating leases are included in SG&A in the consolidated statement of operations and comprehensive income.
Leases with an initial term of twelve months or less are not recorded on the consolidated balance sheets and the related lease expense is recognized on a straight-line basis over the lease term.
Pre-opening Expenses
Pre-opening expenses consist of direct incremental costs of opening or relocating a facility and are expensed as incurred.
Selling, General and Administrative ("SG&A") Expenses
SG&A consists of various expenses related to supporting and facilitating the sale of merchandise in the Company's clubs, including the following: payroll and payroll benefits for team members; rent, depreciation, and other occupancy costs for retail and corporate locations; stock-based compensation, advertising expenses; tender costs, including credit and debit card fees; amortization of intangible assets; and consulting, legal, insurance, acquisition and integration costs, and other professional services expenses.
Advertising Expenses
Advertising expenses generally consist of efforts to acquire new members and typically include media advertising (some of which is vendor-funded). The Company expenses advertising as incurred as a component of SG&A. Advertising expenses were $126.6 million, $121.1 million, and $110.2 million in fiscal years 2024, 2023 and 2022, respectively.
Stock-based Compensation
The fair value of service-based employee and non-employee director awards is recognized as compensation expense on a straight-line basis over the requisite service period of the award, which is typically three years and one year, respectively. The fair value of the performance-based awards is recognized as compensation expense ratably over the service period of each performance tranche, which is typically three years.
The Company’s common stock is listed on the NYSE and its value is determined by the market price on the NYSE. See "Note 11. Stock Incentive Plans" for additional description of the accounting for stock-based awards.
Earnings Per Share
Basic income per share is calculated by dividing net income available to common stockholders by the weighted-average number of shares of common stock outstanding for the period. Basic income from continuing operations per share is calculated by dividing income from continuing operations by the weighted-average number of shares of common stock outstanding for the period. Basic income (loss) from discontinued operations per share is calculated by dividing income (loss) from discontinued operations by the weighted-average number of shares of common stock outstanding for the period.
Diluted income per share is calculated by dividing net income available to common stockholders by the diluted weighted-average number of shares of common stock outstanding for the period. Diluted income from continuing operations per share is calculated by dividing income from continuing operations by the diluted weighted-average number of shares of common stock outstanding for the period. Diluted income (loss) from discontinued operations per share is calculated by dividing income (loss) from discontinued operations by the diluted weighted-average number of shares of common stock outstanding for the period.
Income Taxes
The Company accounts for income taxes using the asset and liability method. Under this method, deferred tax assets and liabilities are recognized for the expected future tax consequences of temporary differences between the financial statement carrying values and their respective tax bases, using enacted tax rates expected to be applicable in the years in which the temporary differences are expected to reverse. Changes in deferred tax assets and liabilities are recorded in the provision for income taxes. The Company evaluates the realizability of its deferred tax assets and establishes a valuation allowance when it is more likely than not that all or a portion of the deferred tax assets will not be realized.
The timing and amounts of deductible and taxable items and the probability of sustaining uncertain tax positions requires judgment. The Company records the benefits of uncertain tax positions in its consolidated financial statements only after determining a more-likely-than-not probability that the uncertain tax positions will withstand challenge from tax authorities. The Company periodically reassesses these probabilities and records any changes in the financial statements as appropriate.
Fair Value of Financial Instruments
Certain assets and liabilities are carried at fair value in accordance with GAAP. Fair value is defined as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date.
The Company uses a three-level hierarchy that prioritizes the inputs used to measure fair value. This hierarchy requires entities to maximize the use of observable inputs and minimize the use of unobservable inputs. Financial assets and liabilities carried at fair value are to be classified and disclosed in one of the following three levels of the fair value hierarchy, of which the first two are considered observable and the last is considered unobservable:
Level 1 - Quoted market prices in active markets for identical assets or liabilities.
Level 2 - Observable inputs other than quoted market prices included in Level 1 such as quoted market prices for markets that are not active or other inputs that are observable or can be corroborated by observable market data.
Level 3 - Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities, including certain pricing models, discounted cash flow methodologies and similar techniques that use significant unobservable inputs.
Comprehensive Income
Comprehensive income is a measure of net income and all other changes in equity that result from transactions other than with equity holders, and would normally be recorded in the consolidated statements of stockholders’ equity and the consolidated statements of comprehensive income. Other comprehensive income (loss) consists of postretirement medical plan adjustments and unrealized gains and losses from derivative instruments designated as cash flow hedges.
Treasury Stock
The Company accounts for treasury stock under the cost method based on the fair market value of the shares on the dates of repurchase plus any direct costs incurred. Treasury stock is presented as a reduction to stockholders’ equity and is included in authorized and issued shares but excluded from outstanding shares.
Restructuring Charges
Charges for restructuring programs generally include targeted actions involving employee severance, related benefit costs, and other termination charges, as well as consulting and other third-party fees. Employee severance and related benefit costs for employees with no further service period are accounted for under the Company’s ongoing benefit arrangements. These charges are accrued during the period when management commits to a plan of termination and it becomes probable that employees will be entitled to benefits at amounts that can be reasonably estimated. For employees with a remaining service period, the related costs are accrued over the period if greater than 60 days. Restructuring costs are recorded in SG&A in the consolidated statements of operations and comprehensive income.
Recently Issued Accounting Pronouncements and Policies
In December 2023, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update (ASU) 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures. ASU 2023-09 will require public companies to disclose, on an annual basis, a tabular reconciliation, using both percentages and amounts, broken out into specific categories with certain reconciling items at or above 5% of the statutory tax, further broken out by nature and/or jurisdiction. ASU 2023-09 requires all entities to disclose, on an annual basis, the amount of income taxes paid (net of refunds received), disaggregated between federal, state/local and foreign, and amounts paid to an individual jurisdiction when 5% or more of the total income taxes paid. The new standard is effective for fiscal years beginning after December 15, 2024, on a prospective basis. Early adoption and retrospective application are permitted. The Company is currently evaluating the impact the adoption of this new pronouncement will have on financial statement disclosures.
In November 2024, the FASB issued ASU 2024-03, Income Statement – Reporting Comprehensive Income – Expense Disaggregation Disclosures (Subtopic 220-40): Disaggregation of Income Statement Expenses. ASU 2024-03 requires disclosure of certain costs and expenses on an interim and annual basis in the notes to the financial statements. ASU 2024-03 is effective for fiscal years beginning after December 15, 2026, and interim periods within fiscal years beginning after December 15, 2027. Early adoption is permitted. The disclosures required under the guidance can be applied either prospectively to financial statements issued for reporting periods after the effective date or retrospectively to any or all periods presented in the financial statements. The Company is currently evaluating the impact that this guidance will have on its financial statement disclosures.
Recently Adopted Accounting Pronouncements and Policies
In November 2023, the FASB issued ASU 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures, which expands the segment reporting disclosures and requires disclosure of segment expenses that are regularly provided to the chief operating decision maker ("CODM") and included within each reported measure of segment profit or loss, amounts and description of its composition for other segment items, and interim disclosure of a reportable segment’s profit or loss and assets. Additionally, the amendments require the disclosure of the title and position of the CODM and an explanation of how the CODM uses the reported measure(s) of segment profit or loss in assessing performance and deciding how to allocate resources. The new standard is effective for fiscal years beginning after December 15, 2023, and interim periods within fiscal years beginning after December 15, 2024, on a retrospective basis. The Company adopted this standard in fiscal year 2024. Refer to "Note 21. Segment Reporting" for relevant disclosures.
v3.25.0.1
Related Party Transactions
12 Months Ended
Feb. 01, 2025
Related Party Transactions [Abstract]  
Related Party Transactions Related Party Transactions
One of the Company’s suppliers, Advantage Solutions Inc., was determined to be a related party of the Company through June 17, 2022 in fiscal year 2022. Advantage Solutions Inc. is a provider of in-club product demonstration and sampling services. Currently, the Company engages them from time to time for ancillary support services, including temporary club labor, as needed. The Company incurred approximately $3.1 million of costs payable to Advantage Solutions for services rendered during fiscal year 2022. The demonstration and sampling service fees are fully funded by merchandise vendors who participate in the program.
v3.25.0.1
Revenue Recognition
12 Months Ended
Feb. 01, 2025
Revenue from Contract with Customer [Abstract]  
Revenue Recognition Revenue Recognition
Performance Obligations
The Company identifies each distinct performance obligation to transfer goods (or bundle of goods) or services. Refer to "Note 2. Summary of Significant Accounting Policies" for a description of the Company's performance obligations including net sales, rewards programs, membership and gift card programs.
Contract Balances
The following tables summarizes the Company's deferred revenue balance related to outstanding performance obligations for contracts with customers (in thousands):
February 1, 2025February 3, 2024
Current:
Rewards programs:
Earned award dollars$57,474 $49,135 
Royalty revenue9,972 4,593 
Co-brand initiatives4,082 4,181 
Total rewards programs71,528 57,909 
Membership253,262 231,440 
Gift card program16,778 15,290 
E-commerce sales7,839 6,757 
Long-term:
Rewards programs:
Co-brand initiatives3,139 6,216 
Total deferred revenue$352,546 $317,612 
Current and long-term deferred revenue balances are included within accrued expenses and other current liabilities and other non-current liabilities, respectively, in the consolidated balance sheets.
The following tables summarizes the Company's revenue recognized during the period that was included in the opening deferred balance as of February 3, 2024 and January 28, 2023 (in thousands):
Fiscal Year Ended
February 1, 2025February 3, 2024
Rewards programs:
Earned award dollars$49,135 $34,676 
Royalty revenue4,593 17,877 
Co-brand initiatives3,545 8,213 
Total rewards programs57,273 60,766 
Membership231,440 183,692 
Gift card program5,109 5,367 
E-commerce sales6,757 2,731 
Total revenue$300,579 $252,556 
Performance obligations related to earned award dollars, royalty revenue, and membership fees are typically satisfied over a period of twelve months or less. Funds received related to marketing and other integration costs in connection with our co-brand credit card program are recognized as performance obligations are satisfied. The timing and recognition of gift card redemptions varies depending on consumer behavior and spending patterns.
Disaggregation of Revenue
The following table summarizes the Company’s percentage of net sales disaggregated by category:
Fiscal Year Ended
February 1, 2025February 3, 2024January 28, 2023
Perishables, Grocery, and Sundries71 %70 %67 %
General Merchandise and Services11 %11 %12 %
Gasoline and Other18 %19 %21 %
v3.25.0.1
Property and Equipment, Net
12 Months Ended
Feb. 01, 2025
Property, Plant and Equipment [Abstract]  
Property and Equipment, Net Property and Equipment, Net
The following table summarizes the Company's property and equipment as of February 1, 2025 and February 3, 2024 (in thousands):
Fiscal Year Ended
February 1, 2025February 3, 2024
Land and buildings$1,110,101 871,106 
Leasehold costs and improvements329,401 307,597 
Furniture, fixtures, and equipment1,609,273 1,505,496 
Construction in progress190,263 116,773 
Total property and equipment, gross3,239,038 2,800,972 
Less: accumulated depreciation and amortization(1,341,434)(1,222,180)
Total property and equipment, net$1,897,604 1,578,792 
Depreciation expense was $255.5 million, $219.8 million, and $191.7 million in fiscal years 2024, 2023, and 2022, respectively.
v3.25.0.1
Leases
12 Months Ended
Feb. 01, 2025
Leases [Abstract]  
Leases Leases
The Company has operating and finance leases for certain of the Company's clubs, transportation vehicles, and equipment; and operating leases for certain distribution centers, stand-alone gas stations, and the Club Support Center.
The initial primary term of the Company’s operating leases ranges from 2 to 44 years, with most of these leases having an initial term of 20 years. The initial primary term of the Company’s finance leases ranges from 2 years to 20 years, with most of these leases having an initial term of 7 years.
The following table summarizes the Company’s finance and operating lease assets and lease liabilities as of February 1, 2025 and February 3, 2024 (in thousands):
February 1, 2025February 3, 2024Consolidated Balance Sheet Classification
Assets:
Operating lease assets$2,100,257 $2,140,482 Operating lease right-of-use assets, net
Finance lease assets45,550 44,791 Property and equipment, net
Less: finance lease amortization(17,422)(9,266)Property and equipment, net
Total lease assets$2,128,385 $2,176,007 
Liabilities:
Current:
Operating lease liabilities$192,528 $153,631 Current portion of operating lease liabilities
Finance lease liabilities8,288 7,035 Accrued expenses and other current liabilities
Long-term:
Operating lease liabilities2,013,962 2,050,883 Long-term operating lease liabilities
Finance lease liabilities19,916 27,653 Other non-current liabilities
Total lease liabilities$2,234,694 $2,239,202 
In fiscal year 2022, the Company recorded a lease asset impairment charge of $1.2 million included in income (loss) from discontinued operations, net of taxes within the consolidated statements of operations and comprehensive income. There were no impairments of lease assets in fiscal years 2024 or 2023.
The following table is a summary of the components of net lease costs for fiscal years 2024, 2023, and 2022 (in thousands):
Fiscal Year Ended
February 1, 2025February 3, 2024January 28, 2023
Finance lease cost:
Amortization of lease assets (a)
$8,156 $4,350 $1,849 
Interest on lease liabilities (b)
3,692 3,206 2,745 
Total finance lease costs11,848 7,556 4,594 
Operating lease cost (a)
370,727 360,369 357,284 
Variable lease cost (a)
11,136 6,775 10,129 
Sublease income (a)
(1,244)(2,104)(3,973)
Net lease costs$392,467 $372,596 $368,034 
(a) Amortization of finance lease assets, operating lease cost, variable lease cost, and sublease income are primarily included in SG&A expenses in the consolidated statements of operations and comprehensive income. Variable lease cost primarily consists of increases in rental payments based on an index, and for fiscal year 2022, includes $4.8 million of costs incurred to purchase assets deemed to be owned by the lessor of the Company’s Club Support Center.
(b) Interest recognized on finance lease liabilities is included in interest expense, net in the consolidated statements of operations and comprehensive income.
The weighted-average remaining lease term and weighted-average discount rate for operating and finance leases as of February 1, 2025 and February 3, 2024 were as follows:
February 1, 2025February 3, 2024
Weighted-average remaining lease term (in years) - operating leases11.511.6
Weighted-average remaining lease term (in years) - finance leases7.47.5
Weighted-average discount rate - operating leases8.0 %8.0 %
Weighted-average discount rate - finance leases13.0 %12.7 %
Cash paid for amounts included in the measurement of lease liabilities were as follows (in thousands):
Fiscal Year Ended
February 1, 2025February 3, 2024January 28, 2023
Operating cash flows paid for operating leases$328,239 $380,340 $350,234 
Operating cash flows paid for interest portion of finance leases3,692 3,206 2,745 
Financing cash flows paid for principal portion of finance leases7,242 3,061 1,343 
Supplemental cash flow information related to lease assets and lease liabilities were as follows (in thousands):
Fiscal Year Ended
February 1, 2025February 3, 2024January 28, 2023
Operating lease liabilities arising from obtaining right-of-use assets and other non-cash lease-related operating items$150,035 $177,187 $220,547 
Financing lease liabilities arising from obtaining right-of-use assets758 22,135 7,443 
Future lease commitments to be paid by the Company as of February 1, 2025 were as follows (in thousands):
Fiscal YearOperating LeasesFinance Leases
2025$361,160 $11,295 
2026357,782 5,158 
2027345,589 4,522 
2028329,380 4,336 
2029312,764 4,328 
Thereafter1,777,312 12,839 
Total future minimum lease payments3,483,987 42,478 
Less: imputed interest(1,277,497)(14,274)
Present value of lease liabilities$2,206,490 $28,204 
As of February 1, 2025, the Company had certain executed real estate and gas station leases that have not yet commenced and therefore are not reflected in the tables above. These leases are expected to commence primarily in fiscal year 2025 with lease terms ranging from 6 years to 20 years. We estimate future lease commitments for these leases to be approximately $447.2 million.

Sale-leaseback Transactions
During fiscal year 2023, the Company completed two sale-leaseback transactions for buildings constructed by the Company on land owned by the buyer-lessors. In connection with these transactions, the Company sold assets with a total fair value of $26.2 million and received proceeds of $18.5 million. The difference between the fair value of assets sold and proceeds received was deemed prepaid rent and is included in the operating lease asset at lease commencement. There were no sale-leaseback transactions completed during fiscal year 2024.
Failed Sale-leaseback Transactions
During fiscal years 2024 and 2023, the Company constructed one and three buildings, respectively, on land owned by certain of the Company’s lessors. The associated leases were deemed to be financing leases, resulting in the Company accounting for the transactions as failed sale-leasebacks. In connection with the fiscal year 2024 transactions, the Company recorded a financing obligation totaling $9.3 million, which represented total cash received, of which $3.1 million was received during fiscal year 2024 and the remainder of which was received in prior periods. In connection with the fiscal year 2023 transactions, the Company recorded financing obligations totaling $26.4 million, which represented cash received of $20.6 million and receivables of $5.8 million as of February 3, 2024. The receivables were collected during fiscal year 2024.
Operating cash flows paid for the interest portion of failed sale-leasebacks totaled $3.1 million and $0.9 million for fiscal years 2024 and 2023, respectively.
The net book value of the associated building assets is included in property and equipment, net in the consolidated balance sheets. The current portion of the financing obligations is included in accrued expenses and other current liabilities, while the long-term portion is included in other non-current liabilities in the consolidated balance sheets.
v3.25.0.1
Debt and Credit Arrangements
12 Months Ended
Feb. 01, 2025
Debt Disclosure [Abstract]  
Debt and Credit Arrangements Debt and Credit Arrangements
Debt consisted of the following at February 1, 2025 and February 3, 2024 (in thousands):
February 1, 2025February 3, 2024
ABL Revolving Facility$175,000 $319,000 
First Lien Term Loan400,000 400,000 
Unamortized original issue discount and debt issuance costs(1,193)(1,568)
Less: Short-term debt(175,000)(319,000)
Long-term debt$398,807 $398,432 
ABL Revolving Facility
On July 28, 2022, the Company entered into the ABL Revolving Facility with an ABL Revolving Commitment of $1.2 billion pursuant to that certain credit agreement (the "Credit Agreement") with Bank of America, N.A., as administrative agent and collateral agent, and the other lenders party thereto. The maturity date of the ABL Revolving Facility is July 28, 2027.
Revolving loans under the ABL Revolving Facility are available in an aggregate amount equal to the lesser of the aggregate ABL Revolving Commitment or a borrowing base based on the value of certain inventory, accounts and credit card receivables, subject to specified advance rebates and reserves as set forth in the Credit Agreement. Indebtedness under the ABL Revolving Facility is secured by substantially all of the assets (other than real estate) of the Company and its subsidiaries, subject to customary exceptions. As amended, interest on the ABL Revolving Facility is calculated either at SOFR plus a range of 100 to 125 basis points or a base rate plus 0 to 25 basis points, based on excess availability. The Company will also pay an unused commitment fee of 20 basis points per annum on the unused ABL Revolving Commitment. Each borrowing is for a period of one, three, or six months, as selected by the Company, or for such other period that is twelve months or less requested by the Company and consented to by the lenders and administrative agent.
The ABL Revolving Facility places certain restrictions (i.e., covenants) upon the Borrower’s, and its subsidiaries’, ability to, among other things, incur additional indebtedness, pay dividends and make certain loans, investments and divestitures. The ABL Revolving Facility contains customary events of default (including payment defaults, cross-defaults to certain of our other indebtedness, breach of representations and covenants and change of control). The occurrence of an event of default under the ABL Revolving Facility would permit the lenders to accelerate the indebtedness and terminate the ABL Revolving Facility.
As of February 3, 2024, there was $319.0 million outstanding in loans under the ABL Revolving Facility and $18.2 million in outstanding letters of credit. The interest rate on the revolving credit facility was 6.44%.
As of February 1, 2025, there was $175.0 million outstanding in loans under the ABL Revolving Facility and $11.1 million in outstanding letters of credit. The interest rate on the revolving credit facility was 5.41%, and unused capacity was $1.0 billion.
First Lien Term Loan
On October 12, 2023, the Company entered into an amendment (the "Fourth Amendment") to the First Lien Term Loan Credit Agreement, with Nomura Corporate Funding Americas, LLC, as administrative agent and collateral agent and the lenders party thereto.
The Fourth Amendment, among other things, extended the maturity date with respect to the term loans outstanding under the First Lien Term Loan Credit Agreement from February 3, 2027 to February 3, 2029. In addition, the Fourth Amendment reduced applicable margin in respect of the interest rate from SOFR plus 275 basis points per annum to SOFR plus 200 basis points per annum.
On November 4, 2024, the Company entered into an amendment (the "Fifth Amendment") to the First Lien Term Loan Credit Agreement, with Nomura Corporate Funding Americas, LLC, as administrative agent and collateral agent, and the lenders party thereto.
The Fifth Amendment, among other things, provided for a new tranche of term loans in an aggregate principal amount of $400.0 million, which refinanced and replaced in full the existing Tranche B term loans outstanding under the First Lien Term Loan Credit Agreement immediately prior to the effectiveness of the Fifth Amendment. In addition, the Fifth Amendment reduced applicable margin in respect of the interest rate from SOFR plus 200 basis points per annum to SOFR plus 175 basis points per annum.
Voluntary prepayments are permitted. Principal payments must be made on the First Lien Term Loan pursuant to an annual excess cash flow calculation when the net leverage ratio exceeds 3.50 to 1.00. As of February 1, 2025, the Company's net leverage ratio did not exceed 3.50 to 1.00, and therefore, no incremental principal payments were required. The First Lien Term Loan is subject to certain affirmative and negative covenants but no financial covenants. It is secured on a senior basis by certain "fixed assets" of the Company and on a junior basis by certain "liquid" assets of the Company.
During fiscal year 2022, total fees incurred in connection with the Third Amendment were approximately $3.2 million. The Company expensed $0.6 million of previously capitalized debt issuance costs and original issue discount and expensed $2.0 million of new third-party fees. The Company deferred $1.2 million of new debt issuance costs and original issue discount.
During fiscal year 2023, total fees incurred in connection with the Fourth Amendment were approximately $1.7 million. The Company expensed $1.4 million of previously capitalized debt issuance costs and original issue discount and expensed $0.4 million of new third-party fees. The Company deferred $1.3 million of new debt issuance costs.
As of February 3, 2024, there was $400.0 million outstanding on the First Lien Term Loan, which reflected the Company’s repayment of $50.0 million of the principal amount outstanding under the First Lien Term Loan Credit Agreement during the third quarter of fiscal year 2023 prior to the Fourth Amendment. The interest rate was 7.33%.
During fiscal year 2024, total fees incurred in connection with the Fifth Amendment were approximately $0.8 million. The Company expensed $0.1 million of previously capitalized debt issuance costs and original issue discount and expensed $0.8 million of new third-party fees. The Company deferred an immaterial amount of new debt issuance costs.
As of February 1, 2025, there was $400.0 million outstanding under the First Lien Term Loan. The interest rate was 6.08% as of fiscal year end.
Future minimum payments
Scheduled future minimum principal payments on debt as of February 1, 2025 are as follows (in thousands):
Fiscal Year:Principal Payments
2025$175,000 
2026— 
2027— 
2028400,000 
2029— 
Thereafter— 
Total$575,000 
v3.25.0.1
Interest Expense, Net
12 Months Ended
Feb. 01, 2025
Other Income and Expenses [Abstract]  
Interest Expense, Net Interest Expense, Net
The following details the components of interest expense for the periods presented (in thousands):
Fiscal Year Ended
February 1, 2025February 3, 2024January 28, 2023
Interest on debt$42,723 $58,197 $37,533 
Interest on financing obligations6,826 4,152 4,269 
Amortization of debt issuance costs and accretion of original issue discount1,104 1,243 2,765 
Debt extinguishment and refinancing charges870 1,830 3,256 
Other(164)(895)(361)
Interest expense, net$51,359 $64,527 $47,462 
v3.25.0.1
Goodwill and Intangible Assets
12 Months Ended
Feb. 01, 2025
Goodwill and Intangible Assets Disclosure [Abstract]  
Goodwill and Intangible Assets Goodwill and Intangible Assets
The carrying value of goodwill was $1.0 billion as of February 1, 2025 and February 3, 2024. No impairments were recorded in fiscal years 2024, 2023, and 2022, as a result of the annual goodwill impairment tests performed.
Intangible assets consist of the following (in thousands):
February 1, 2025
Gross Carrying AmountAccumulated AmortizationNet Carrying Amount
Intangible Assets Not Subject to Amortization:
BJ’s trade name$90,500 $— $90,500 
Intangible Assets Subject to Amortization:
Member relationships245,100 (234,491)10,609 
Private label brands8,500 (8,500)— 
Total intangible assets$344,100 $(242,991)$101,109 

February 3, 2024
Gross Carrying AmountAccumulated AmortizationNet Carrying Amount
Intangible Assets Not Subject to Amortization:
BJ’s trade name$90,500 $— $90,500 
Intangible Assets Subject to Amortization:
Member relationships245,100 (227,968)17,132 
Private label brands8,500 (8,500)— 
Total intangible assets$344,100 $(236,468)$107,632 
The Company records amortization expense of intangible assets as a component of SG&A. Member relationships are amortized over 15.3 years and private label brands were amortized over 12 years. Member relationships will primarily be amortized through fiscal year 2026.
The Company recorded amortization expense of $6.5 million, $7.9 million and $9.2 million for fiscal years 2024, 2023, and 2022, respectively. The Company estimates that amortization expense related to intangible assets will be as follows in each of the next five fiscal years (in thousands):
Fiscal YearAmortization Expense
2025$5,646 
20264,894 
2027
2028
2029
Thereafter48
Total$10,609 
v3.25.0.1
Commitments and Contingencies
12 Months Ended
Feb. 01, 2025
Commitments and Contingencies Disclosure [Abstract]  
Commitments and Contingencies Commitments and Contingencies
The Company is involved in various legal proceedings that are typical of a retail business. In accordance with applicable accounting guidance, an accrual will be established for legal proceedings if and when those matters present loss contingencies that are both probable and estimable. The Company does not believe the resolution of any current proceedings will result in a material impact to the consolidated financial statements. Gain contingencies are recognized when they are realized or realizable.
v3.25.0.1
Stock Incentive Plans
12 Months Ended
Feb. 01, 2025
Share-Based Payment Arrangement [Abstract]  
Stock Incentive Plans Stock Incentive Plans
On June 13, 2018, the Company’s board of directors adopted, and its stockholders approved, the BJ’s Wholesale Club Holdings, Inc. 2018 Incentive Award Plan (the "2018 Plan"). The 2018 Plan provides for the grant of stock options, restricted stock, dividend equivalents, stock payments, restricted stock units, performance shares, other incentive awards, stock appreciation rights, and cash awards. Prior to the adoption of the 2018 Plan, the Company granted stock-based compensation to employees and non-employee directors, respectively, under the Fourth Amended and Restated 2011 Stock Option Plan of BJ’s Wholesale Club Holdings, Inc., as amended (the "2011 Plan"), and the 2012 Director Stock Option Plan of BJ’s Wholesale Club Holdings, Inc., as amended (the "2012 Director Plan"). No further grants will be made under 2011 Plan or the 2012 Director Plan.
The 2018 Plan authorizes the issuance of 13,148,058 shares, including 985,369 shares that were reserved but not issued under the 2011 Plan and the 2012 Director Plan. If an award under the 2018 Plan, 2011 Plan, or 2012 Director Plan is forfeited, expires or is settled for cash, any shares subject to such award may, to the extent of such forfeiture, expiration or cash settlement, be used again for new grants under the 2018 Plan. Additionally, shares tendered or withheld to satisfy grant or exercise price, or tax withholding obligations associated with an award under the 2018 Plan, the 2011 Plan, or the 2012 Director Plan will be added to the shares authorized for grant under the 2018 Plan. The following shares may not be used again for grant under the 2018 Plan: (1) shares subject to a stock appreciation right ("SAR"), that are not issued in connection with the stock settlement of the SAR on its exercise and (2) shares purchased on the open market with the cash proceeds from the exercise of options under the 2018 Plan, 2011 Plan, or 2012 Director Plan. As of February 1, 2025, there were 4,518,327 shares available for future issuance under the 2018 Plan.
The Company recognized $47.8 million, $39.0 million, and $42.6 million of total stock-based compensation for fiscal years 2024, 2023, and 2022, respectively, inclusive of expense related to the ESPP. As of February 1, 2025, there was approximately $60.4 million of unrecognized compensation cost, all of which is expected to be recognized over the next three years.
Stock option awards were generally granted with a vesting period of three years. All options have a contractual term of ten years. No options were granted during fiscal years 2024, 2023, or 2022. The fair value of options granted prior to fiscal year 2021 was estimated using the Black-Scholes option pricing model.
Presented below is a summary of the stock option activity and weighted-average exercise prices for the fiscal year ended February 1, 2025:
(Options in thousands)Number of Securities to be Issued Upon Exercise of Outstanding OptionsWeighted- average Exercise PriceWeighted-average Remaining Contractual Life (in years)
Outstanding, beginning of period1,655 $20.53 
Exercised(834)21.91 
Outstanding, vested, and exercisable, end of period821 19.14 3.6
The total intrinsic value of options exercised in fiscal years 2024, 2023 and 2022 was $54.0 million, $7.2 million, and $25.1 million, respectively. The Company received a tax benefit related to these option exercises of approximately $15.1 million, $2.0 million, and $7.0 million in fiscal years 2024, 2023, and 2022, respectively. As of February 1, 2025, the total intrinsic value of options outstanding, vested, and exercisable was $65.6 million.
Presented below is a summary of our non-vested restricted shares, restricted stock units and performance stock and weighted-average grant-date fair values for the fiscal year ended February 1, 2025:
Restricted StockRestricted Stock Units
Performance Stock
(Shares in thousands)SharesWeighted-average Grant-Date Fair ValueSharesWeighted-average Grant-Date Fair Value
Shares (a)
Weighted-average Grant-Date Fair Value
Outstanding, beginning of period621 $67.35 22 $62.13 677 $58.84 
Granted(b)
85.21 379 75.41 432 76.65 
Forfeited(20)72.78 (11)74.64 (10)71.07 
Vested(316)61.78 (22)62.13 (471)44.74 
Outstanding, end of period291 73.78 368 75.43 628 69.53 
(a) Shares outstanding reflect a 100% payout, however, the actual payout for the remaining performance stock awards granted in fiscal year 2021 is expected to be 200%, and the actual payout for performance stock awards granted in fiscal year 2022, which vest in the first quarter of fiscal year 2025, is expected to be 177%. Actual payout for the performance stock awards granted in fiscal year 2023, which vest in fiscal year 2026, could be below 100% or up to 200%, and actual payout for the performance stock awards granted in fiscal year 2024, which vest in fiscal year 2027, could be below 100% or up to 300%.
(b) Includes 236 incremental performance stock awards granted in fiscal year 2021 with a weighted-average grant date fair value of $44.74, that vested in fiscal year 2024 at greater than 100% of target payout based on performance.
The fair value as of the vesting date was $23.7 million, $1.9 million and $35.3 million for restricted stock, restricted stock units, and performance stock, respectively.
2018 Employee Stock Purchase Plan
On June 14, 2018, the Company’s board of directors adopted and and its stockholders approved the BJ's Wholesale Club Holdings, Inc. 2018 ESPP, which became effective the day prior to the first day of public trading of the Company's equity securities. The aggregate number of shares of common stock that was be reserved for issuance under our ESPP was be equal to the sum of (i) 973,014 shares and (ii) an annual increase on the first day of each calendar year beginning in 2019 and ending in 2028 equal to the lesser of (A) 486,507 shares, (B) 0.5% of the shares outstanding (on an as converted basis) on the last day of the immediately preceding fiscal year and (C) such smaller number of shares as determined by the board of directors. The offering under the ESPP commenced on January 1, 2019. The amount of expense recognized in the fiscal years 2024, 2023, and 2022, was $1.6 million, $1.4 million and $1.1 million, respectively. As of February 1, 2025, there were 2,785,722 shares available for issuance under the ESPP.
v3.25.0.1
Treasury Shares and Share Repurchase Programs
12 Months Ended
Feb. 01, 2025
Equity [Abstract]  
Treasury Shares and Share Repurchase Programs Treasury Shares and Share Repurchase Programs
Treasury Shares Acquired on Restricted Stock Awards and Performance Stock Awards
Shares reacquired to satisfy tax withholding obligations upon the vesting of restricted stock awards and performance stock awards in fiscal years 2024, 2023, and 2022 were 369,327 shares, 373,875 shares, and 264,167 shares, respectively. These reacquired shares were recorded as $27.7 million, $28.3 million, and $18.0 million of treasury stock in fiscal years 2024, 2023, and 2022, respectively.
Share Repurchase Programs
On November 16, 2021, the Company’s board of directors approved a share repurchase program (the "2021 Repurchase Program"), that allowed the Company to repurchase up to $500.0 million of its outstanding common stock. The 2021 Repurchase Program expired in January 2025, with the Company utilizing the entire authorization of $500.0 million.
On November 18, 2024, the Company's board of directors approved a new share repurchase program (the "2024 Repurchase Program") that allows the Company to repurchase up to an additional $1.0 billion of its outstanding common stock from time to time as market conditions warrant. The 2024 Repurchase Program was effective on February 1, 2025 and expires in January 2029. The timing and actual number of shares repurchased will depend on a variety of factors including price, corporate requirements, market conditions, and other corporate liquidity requirements and priorities. The Company initiated the 2021 Repurchase Program and the 2024 Repurchase Program to mitigate potentially dilutive effects of stock awards granted by the Company, in addition to enhancing shareholder value.
As of February 1, 2025, $1.0 billion remained available to purchase under the 2024 Repurchase Program. The Company repurchased 2,181,885, 1,958,218, and 2,234,708 shares of common stock totaling $190.9 million, $130.2 million and $152.5 million in fiscal years 2024, 2023, and 2022, respectively, all under the 2021 Repurchase Program. The Company accounts for treasury stock under the cost method based on the fair market value of the shares on the dates of repurchase plus any direct costs incurred.
v3.25.0.1
Income Taxes
12 Months Ended
Feb. 01, 2025
Income Tax Disclosure [Abstract]  
Income Taxes Income Taxes
The provision for income taxes from continuing operations includes the following (in thousands):
Fiscal Year Ended
February 1, 2025February 3, 2024January 28, 2023
Federal:
Current$146,882 $126,805 $115,270 
Deferred(15,603)18,024 4,103 
State:
Current58,041 59,863 62,914 
Deferred(2,890)7,548 (6,025)
Total income tax provision$186,430 $212,240 $176,262 
A reconciliation of the statutory federal income tax rate with the Company’s effective income tax rate is as follows:
Fiscal Year Ended
February 1, 2025February 3, 2024January 28, 2023
Statutory federal income tax rates21.0 %21.0 %21.0 %
State income taxes, net of federal tax benefit6.1 7.2 6.5 
Work opportunity and solar energy tax credit(0.3)(0.5)(0.7)
Charitable contributions(0.3)(0.2)(0.2)
Prior year adjustments— 1.2 — 
Excess tax benefit related to stock-based compensation(1.6)(0.6)(1.3)
Other1.0 0.7 0.2 
Effective income tax rate25.9 %28.8 %25.5 %
Significant components of the Company’s deferred tax assets and liabilities as of February 1, 2025 and February 3, 2024 are as follows (in thousands):
February 1, 2025February 3, 2024
Deferred tax assets:
Operating lease liability$615,385 $611,173 
Self-insurance reserves43,588 42,884 
Compensation and benefits12,968 15,058 
Financing obligations8,193 8,721 
Environment clean up reserve6,574 6,169 
Startup costs1,480 1,957 
Other23,875 22,893 
Total deferred tax assets$712,063 $708,855 
Deferred tax liabilities:
Operating lease right-of-use assets$585,756 $593,421 
Property and equipment134,955 141,443 
Intangible assets32,506 32,554 
Debt costs165 239 
Other11,365 11,900 
Total deferred tax liabilities764,747 779,557 
Net deferred tax liabilities$(52,684)$(70,702)
The ultimate realization of deferred tax assets is dependent upon the Company’s ability to generate sufficient taxable income during the periods in which the temporary differences become deductible. The Company has determined that it is more likely than not that the results of future operations and the reversals of existing taxable temporary differences will generate sufficient taxable income to realize the deferred tax assets. Therefore, no valuation allowance has been recorded. In making this determination, the Company considered historical levels of income as well as projections for future periods.
A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows (in thousands):
Fiscal Year Ended
February 1, 2025February 3, 2024
Balance, beginning of period$2,867 $1,411 
Decreases for tax positions taken during prior years(69)— 
Additions for tax positions taken during the current year136 1,546 
Settlements(245)— 
Lapses in statute of limitations(98)(90)
Balance, end of period$2,591 $2,867 
The total amount of unrecognized tax benefits, reflective of federal tax benefits at February 1, 2025 and February 3, 2024 that, if recognized, would favorably affect the effective tax rate was $2.1 million and $2.3 million, respectively.
As of February 1, 2025, management has determined it is reasonably possible that the total amount of unrecognized tax benefits could decrease within the next twelve months by $0.1 million, due to the expiration of statute of limitations. The Company’s tax years from 2020 forward remain open and are subject to examination by the Internal Revenue Service or various state taxing jurisdictions.
The Company classifies interest expense and any penalties related to income tax uncertainties as a component of income tax expense. The Company recognized an immaterial amount of expense for fiscal year 2024 and $0.1 million of expense for fiscal years 2023 and 2022. As of February 1, 2025 and February 3, 2024, the Company had $0.2 million of accrued interest related to income tax uncertainties.
v3.25.0.1
Retirement Plans
12 Months Ended
Feb. 01, 2025
Retirement Benefits [Abstract]  
Retirement Plans Retirement Plans
Under the Company's 401(k) savings plans, participating employees may make pretax contributions up to 50% of covered compensation subject to federal limits. The Company matches employee contributions at 50% of the first six percent of covered compensation. The Company’s expense under these plans was $14.2 million, $15.2 million and $13.7 million for fiscal years 2024, 2023, and 2022, respectively.
The Company had a non-contributory defined contribution retirement plan for certain key employees, which was terminated in fiscal year 2023. Under this plan, the Company funded annual retirement contributions for the designated participants on an after-tax basis. The Company’s contributions equaled approximately 5% of the participants’ base salary. Historically, participants became fully vested in their contribution accounts at the end of the fiscal year in which they completed four full fiscal years of service. Upon termination of the plan, all remaining contributions became fully vested. Expense under this plan was $0.5 million and $3.7 million in fiscal years 2023 and 2022, respectively. As of February 3, 2024, the remaining $2.2 million due to participants was included in accrued expenses and other current liabilities in the consolidated balance sheets. All amounts due were fully settled with participants during fiscal year 2024.
Effective January 1, 2024, the Company offers certain qualifying individuals the ability to participate in the NQDC Plan. The NQDC Plan allows employees to defer up to 50% of the participant's annual base salary as well as up to 100% of any annual bonus award. Beginning in fiscal year 2025, eligible participants will also be allowed to defer between 0% and 100% of stock incentive awards granted during the fiscal year. The Company may also elect to provide a discretionary contribution to the NQDC Plan to certain executives, which will become 100% vested on the third anniversary of a participant's date of hire. A participant will be 100% vested at all times in their elective deferral account within the NQDC Plan. The Company credits the amounts deferred with earnings and holds investments in company-owned life insurance (“COLI”) policies to offset the Company's liabilities under the NQDC Plan.
Total liabilities related to the NQDC Plan liability and the cash surrender value of COLI investments, included in other non-current liabilities and other assets in the consolidated balance sheets, were $3.0 million and $1.8 million, respectively, as of February 1, 2025. Expense under this plan was $2.4 million for fiscal year 2024. The NQDC Plan liability, investments, and expense under such plan were not material for fiscal year 2023.
v3.25.0.1
Asset Retirement Obligations
12 Months Ended
Feb. 01, 2025
Asset Retirement Obligation Disclosure [Abstract]  
Asset Retirement Obligations Asset Retirement Obligations
The following is a summary of activity relating to the liability for asset retirement obligations, which the Company will incur primarily in connection with the expected future removal of gasoline tanks, solar panels and the related infrastructure. The following is included in other non-current liabilities in the consolidated balance sheets (in thousands):
Fiscal Year Ended
February 1, 2025February 3, 2024January 28, 2023
Balance, beginning of period$26,360 $23,336 $21,378 
Accretion expense, net of reversals797 2,242 1,497 
Liabilities incurred during the year1,798 782 461 
Balance, end of period$28,955 $26,360 $23,336 
v3.25.0.1
Accrued Expenses and Other Current Liabilities
12 Months Ended
Feb. 01, 2025
Payables and Accruals [Abstract]  
Accrued Expenses and Other Current Liabilities Accrued Expenses and Other Current Liabilities
The major components of accrued expenses and other current liabilities are as follows (in thousands):
February 1, 2025February 3, 2024
Deferred membership fee income$253,262 $231,440 
Outstanding payables105,615 113,474 
Employee compensation and benefits110,689 87,765 
Sales, property, use and other taxes74,309 63,294 
Insurance reserves78,894 60,097 
Fixed asset accruals and property-related costs55,824 58,930 
Rewards programs and related deferred revenues71,528 57,909 
Deferred revenues and vendor income44,010 29,396 
Professional services and advertising24,532 21,764 
Legal, sales, and membership fee reserves17,607 17,165 
Gift cards16,778 15,290 
Other59,994 55,612 
Total accrued expenses and other current liabilities$913,042 $812,136 
v3.25.0.1
Other Non-current Liabilities
12 Months Ended
Feb. 01, 2025
Other Liabilities Disclosure [Abstract]  
Other Non-current Liabilities Other Non-current Liabilities
The major components of other non-current liabilities are as follows (in thousands):
February 1, 2025February 3, 2024
Insurance reserves$96,746 $112,273 
Financing obligations (see Note 6)
63,619 62,494 
Asset retirement obligations (see Note 15)
28,955 26,360 
Deferred revenues and vendor income15,487 20,641 
Other6,534 4,867 
Total other non-current liabilities$211,341 $226,635 
v3.25.0.1
Fair Value Measurements
12 Months Ended
Feb. 01, 2025
Fair Value Disclosures [Abstract]  
Fair Value Measurements Fair Value Measurements
Financial Assets and Liabilities
The fair value of the Company's long-term debt is estimated based on current market rates for our specific debt instrument. Judgment is required to develop these estimates. As such, the estimated fair value of long-term debt is classified within Level 2, as defined under U.S. GAAP.
The gross carrying amount and fair value of the Company’s debt at February 1, 2025 are as follows (in thousands):
Carrying AmountFair Value
ABL Revolving Facility$175,000 $175,000 
First Lien Term Loan400,000 402,500 
Total Debt$575,000 $577,500 
The gross carrying amount and fair value of the Company’s debt at February 3, 2024 are as follows (in thousands):
Carrying AmountFair Value
ABL Revolving Facility$319,000 $319,000 
First Lien Term Loan400,000 401,168 
Total Debt$719,000 $720,168 
Assets and Liabilities Measured at Fair Value on a Non-recurring Basis
The Company believes that the carrying amounts of its other financial instruments, including cash, accounts receivable, and accounts payable approximate their fair values due to the short-term maturities of these instruments.
v3.25.0.1
Earnings Per Share
12 Months Ended
Feb. 01, 2025
Earnings Per Share [Abstract]  
Earnings Per Share Earnings Per Share
The table below reconciles basic weighted-average shares of common stock outstanding to diluted weighted-average shares of common stock outstanding for fiscal years 2024, 2023, and 2022 (in thousands):
Fiscal Year Ended
February 1, 2025February 3, 2024January 28, 2023
Weighted-average shares of common stock outstanding, used for basic computation132,150 133,047 134,017 
Plus: Incremental shares of potentially dilutive securities:1,455 2,071 2,456 
Weighted-average shares of common stock and dilutive potential shares of common stock outstanding133,605 135,118 136,473 
The table below summarizes awards that were excluded from the computation of diluted earnings for fiscal years 2024, 2023, and 2022 as their inclusion would have been anti-dilutive (in thousands):
Fiscal Year Ended
February 1, 2025February 3, 2024January 28, 2023
Stock-based awards84 228 75 
v3.25.0.1
Acquisitions
12 Months Ended
Feb. 01, 2025
Business Combination, Asset Acquisition, and Joint Venture Formation [Abstract]  
Acquisitions Acquisitions
On May 2, 2022, the Company completed the Acquisition to bring substantially all of its end-to-end perishable supply chain in-house. The total consideration paid by the Company in connection with the Acquisition was approximately $375.6 million, excluding transaction costs. The Company did not record any transaction costs for the fiscal years ended February 1, 2025 and February 3, 2024. For the fiscal year ended January 28, 2023, the Company recorded transaction and integration costs related to the Acquisition of $12.3 million. These costs are included in SG&A expenses in the consolidated statements of operations and comprehensive income.
For the fiscal year ended January 28, 2023, the Acquisition generated an incremental $66.8 million in revenue. It is impracticable to provide historical supplemental pro forma financial information along with earnings during the period subsequent to the Acquisition due to a variety of factors, including access to historical information and the operations of acquiree being integrated within the Company shortly after closing and not operating as discrete entities within the Company’s organizational structure.
v3.25.0.1
Segment Reporting
12 Months Ended
Feb. 01, 2025
Segment Reporting [Abstract]  
Segment Reporting Segment Reporting
The Company’s operations are primarily retail club and other sales procured from clubs and distribution centers, representing one operating segment. All of the Company’s identifiable assets are located in the United States. The Company does not have significant sales outside the United States, nor does any customer represent more than 10% of total revenues for any period presented.
The CODM is the Company’s chairman and chief executive officer, Robert W. Eddy. The CODM utilizes net income, as reported in the consolidated statements of operations and comprehensive income, in evaluating performance of the retail operations segment and determining how to allocate resources of the Company as a whole, including investing in clubs,
stockholder return programs, and other strategies. The CODM does not review assets when evaluating the results of the segment, and therefore, such information is not presented.
The following table provides the operating financial results of our reportable segment (in thousands):
Fiscal Year Ended
February 1, 2025February 3, 2024January 28, 2023
Total revenues$20,501,804 $19,968,689 $19,315,165 
Less: significant and other segment expenses
Merchandise cost of sales (a)
13,377,543 13,024,569 12,354,954 
Selling, general and administrative expenses (b)
2,992,220 2,842,141 2,693,502 
Other segment expenses (c)
3,597,624 3,578,238 3,753,532 
Net income$534,417 $523,741 $513,177 
(a)
Merchandise cost of sales represents those expenses related to the sales of merchandise including inventory costs and distribution costs, and excludes costs related to gasoline and membership fee income.
(b)
Selling, general and administrative expenses is inclusive of pre-opening expenses and stock-based compensation.
(c)
Other segment expenses primarily consists of other costs of revenues, including gas, interest expense, and income tax expense.
v3.25.0.1
Condensed Financial Information of Registrant (Parent Company Only)
12 Months Ended
Feb. 01, 2025
Condensed Financial Information Disclosure [Abstract]  
Condensed Financial Information of Registrant (Parent Company Only) Condensed Financial Information of Registrant (Parent Company Only)
BJ’S WHOLESALE CLUB HOLDINGS, INC.
(PARENT COMPANY ONLY)
CONDENSED BALANCE SHEETS
(Amounts in thousands)
February 1, 2025February 3, 2024
ASSETS
Investment in subsidiaries$1,847,454 $1,458,851 
STOCKHOLDERS’ EQUITY
Preferred stock; $0.01 par value; 5,000 shares authorized, and no shares issued or outstanding
$— $— 
Common stock; $0.01 par value; 300,000 shares authorized, 148,965 shares issued and 131,638 shares outstanding at February 1, 2025; 300,000 shares authorized, 147,544 shares issued and 132,768 shares outstanding at February 3, 2024
1,489 1,475 
Additional paid-in capital1,079,676 1,006,910 
Retained earnings1,702,648 1,168,231 
Treasury stock, at cost, 17,327 shares at February 1, 2025 and 14,776 shares at February 3, 2024
(936,359)(717,765)
Total stockholders’ equity$1,847,454 $1,458,851 
BJ’S WHOLESALE CLUB HOLDINGS, INC.
(PARENT COMPANY ONLY)
CONDENSED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME
(Amounts in thousands, except per share amounts)
Fiscal Year Ended
February 1, 2025February 3, 2024January 28, 2023
Equity in net income of subsidiaries$534,417 $523,741 $513,177 
Net income534,417 523,741 513,177 
Net income per share:
Basic$4.04 $3.94 $3.83 
Diluted4.00 3.88 3.76 
Weighted-average number of shares outstanding:
Basic132,150 133,047 134,017 
Diluted133,605 135,118 136,473 
A statement of cash flows has not been presented as BJ’s Wholesale Club Holdings, Inc. did not have any cash as of, or for, the years ended February 1, 2025, February 3, 2024, or January 28, 2023. 
Basis of Presentation
These condensed parent company-only financial statements have been prepared in accordance with Rule 12-04, Schedule I of Regulation S-X, as the restricted net assets of the subsidiaries of BJ’s Wholesale Club Holdings, Inc. (as defined in Rule 4-08(e)(3) of Regulation S-X) exceed 25% of the consolidated net assets of the Company. The ability of BJ’s Wholesale Club Holdings, Inc.’s operating subsidiaries to pay dividends may be restricted due to terms of the subsidiaries’ First Lien Term Loan and ABL Revolving Facility, as defined in "Note 7. Debt and Credit Arrangements." For example, the covenants of the ABL Revolving Facility restrict the payment of dividends to, among other exceptions, (i) a greater of $135.0 million or 15.0% of trailing 12 months EBITDA general basket, (ii) a basket for unlimited dividends and distributions if there is no specified event of default and either (x) (A) availability under the ABL Revolving Facility is not less than 17.5% of the lesser of the commitments under the ABL Revolving Facility and the borrowing base under the ABL Revolving Facility for the 30 consecutive day period ending immediately prior to such dividend or distribution and (B) availability under the ABL Revolving Facility is not less than 17.5% of the lesser of the commitments under the ABL Revolving Facility and the borrowing base under the ABL Revolving Facility on the date of such dividend or distribution or (y) (A) availability under the ABL Revolving Facility is not less than 12.5% of the lesser of the commitments under the ABL Revolving Facility and the borrowing base under the ABL Revolving Facility for the 30 consecutive day period ending immediately prior to such dividend or distribution, (B) availability under the ABL Revolving Facility is not less than 12.5% of the lesser of the commitments under the ABL Revolving Facility and the borrowing base under the ABL Revolving Facility on the date of such dividend or distribution and (C) the fixed charge coverage ratio as of the end of the most recently ended fiscal quarter for which financial statements are available is not less than 1.00 to 1.00, and (iii) ) a basket for up to 7.0% per annum of the market capitalization of BJ’s Wholesale Club Holdings, Inc if there is no event of default. The covenants of the First Lien Term Loan restrict the payment of dividends and distributions to, among other exceptions, (i) a $25.0 million general basket, (ii) a basket for unlimited dividends and distributions if no event of default exists and the pro-forma total net leverage ratio is less than or equal to 4.25 to 1.00, (iii) a "growing" basket based on, among other things, retained excess cash flow subject to no event of default and compliance with a pro-forma interest coverage ratio of greater than or equal to 2.00 to 1.00, and (iv) a basket for 6.0% per annum of the net cash proceeds received from such qualified IPO that are contributed to the borrower in cash. As of February 1, 2025, the amount of net income free of such restrictions and available for payment by BJ’s Wholesale Club Holdings, Inc. as dividends, was $534.4 million, and the total amount of restricted net assets of consolidated subsidiaries of BJ’s Wholesale Club Holdings, Inc. was $104.2 million.
All subsidiaries of BJ’s Wholesale Club, Inc. are consolidated. These condensed parent company financial statements have been prepared using the same accounting principles and policies described in the notes to the consolidated financial statements, with the only exception being that the parent company accounts for its subsidiaries using the equity method.
v3.25.0.1
Pay vs Performance Disclosure - USD ($)
$ in Thousands
12 Months Ended
Feb. 01, 2025
Feb. 03, 2024
Jan. 28, 2023
Pay vs Performance Disclosure      
Net income $ 534,417 $ 523,741 $ 513,177
v3.25.0.1
Insider Trading Arrangements
3 Months Ended 12 Months Ended
Feb. 01, 2025
shares
Feb. 01, 2025
shares
Trading Arrangements, by Individual    
Non-Rule 10b5-1 Arrangement Adopted false  
Rule 10b5-1 Arrangement Terminated false  
Non-Rule 10b5-1 Arrangement Terminated false  
Mr. Robert W. Eddy [Member]    
Trading Arrangements, by Individual    
Material Terms of Trading Arrangement   On November 29, 2024, Mr. Robert W. Eddy, president, chief executive officer of the Company, adopted a trading arrangement with respect to the sale of securities of the Company’s common stock that is intended to satisfy the affirmative defense conditions of Securities Exchange Act Rule 10b5-1(c) (a “Rule 10b5-1 Trading Plan”). Mr. Eddy’s Rule 10b5-1 Trading Plan, which expires on December 1, 2025, provides for the sale of up to 405,698 shares of common stock pursuant to the terms of the plan.
Name Mr. Robert W. Eddy  
Title president, chief executive officer  
Rule 10b5-1 Arrangement Adopted true  
Adoption Date November 29, 2024  
Expiration Date December 1, 2025  
Arrangement Duration 367 days  
Aggregate Available 405,698 405,698
Mr. William Werner [Member]    
Trading Arrangements, by Individual    
Material Terms of Trading Arrangement   On December 10, 2024, Mr. William Werner, executive vice president, strategy and development, adopted a Rule 10b5-1 Trading Plan. Mr. Werner’s Rule 10b5-1 Trading Plan, which expires on July 15, 2025, provides for the sale of up to 34,192 shares of common stock pursuant to the terms of the plan.
Name Mr. William Werner  
Title executive vice president, strategy and development  
Rule 10b5-1 Arrangement Adopted true  
Adoption Date December 10, 2024  
Expiration Date July 15, 2025  
Arrangement Duration 217 days  
Aggregate Available 34,192 34,192
Mr. Joseph McGrail [Member]    
Trading Arrangements, by Individual    
Material Terms of Trading Arrangement  
On January 14, 2025, Mr. Joseph McGrail, senior vice president, controller of the company, adopted a Rule 10b5-1 Trading Plan. Mr. McGrail’s Rule 10b5-1 Trading Plan, which expires on December 31, 2025, provides for the sale of up to 2,100 shares of common stock pursuant to the terms of the plan.
Name Mr. Joseph McGrail  
Title senior vice president, controller  
Rule 10b5-1 Arrangement Adopted true  
Adoption Date January 14, 2025  
Expiration Date December 31, 2025  
Arrangement Duration 351 days  
Aggregate Available 2,100 2,100
v3.25.0.1
Insider Trading Policies and Procedures
12 Months Ended
Feb. 01, 2025
Insider Trading Policies and Procedures [Line Items]  
Insider Trading Policies and Procedures Adopted true
v3.25.0.1
Cybersecurity Risk Management and Strategy Disclosure
12 Months Ended
Feb. 01, 2025
Cybersecurity Risk Management, Strategy, and Governance [Line Items]  
Cybersecurity Risk Management Processes for Assessing, Identifying, and Managing Threats [Text Block]
At BJ’s, we recognize the importance of information security practices designed to protect the confidentiality, integrity, and availability of company information and the personal information that our members share with us. We have implemented a cybersecurity program in accordance with our risk profile and business that is informed by recognized industry standards and frameworks, and incorporates elements of the same, including elements of the National Institute of Standards and Technology Cybersecurity Framework (“NIST CSF”), International Organization for Standardization (“ISO”) 27001 and Payment Card Industry Data Security Standard (“PCI DSS”) standards.
Our cybersecurity risk assessment program includes a number of components, including information security program assessments, audits and maturity assessments, that are conducted periodically by both internal and external resources. Additionally, we partner with multiple third-party managed security service providers for enhanced monitoring of our
information technology and data security environment and to perform proactive detection and investigation of malicious activity within our network. Our internal audit function also conducts regular assessments of different systems to provide the audit committee with information on our cybersecurity risk management processes, which processes are integrated into our overall enterprise risk management program.
As part of our cybersecurity risk management program, we take a risk-based approach to the evaluation of third-party vendors, and apply mitigations and processes based on our evaluation of the sensitivity of the data accessed by the vendor and the maturity of the vendor’s programs. Our vendor evaluation procedures include, as appropriate, the completion of a vendor security questionnaire and our implementation of vendor monitoring programs. We have not identified any cybersecurity incidents or threats that have materially affected us or are reasonably likely to materially affect us, including our business strategy, results of operations, or financial condition. However, like other companies in our industry, we and our third-party vendors have from time-to-time experienced threats and security incidents that could affect our information or systems. See “Item 1A. Risk Factors” for additional information on the Company’s cybersecurity-related risks.
Cybersecurity Risk Management Processes Integrated [Flag] true
Cybersecurity Risk Management Processes Integrated [Text Block] At BJ’s, we recognize the importance of information security practices designed to protect the confidentiality, integrity, and availability of company information and the personal information that our members share with us. We have implemented a cybersecurity program in accordance with our risk profile and business that is informed by recognized industry standards and frameworks, and incorporates elements of the same, including elements of the National Institute of Standards and Technology Cybersecurity Framework (“NIST CSF”), International Organization for Standardization (“ISO”) 27001 and Payment Card Industry Data Security Standard (“PCI DSS”) standards.
Cybersecurity Risk Management Third Party Engaged [Flag] true
Cybersecurity Risk Third Party Oversight and Identification Processes [Flag] true
Cybersecurity Risk Materially Affected or Reasonably Likely to Materially Affect Registrant [Flag] false
Cybersecurity Risk Board of Directors Oversight [Text Block]
Our Chief Information Officer (“CIO”) is responsible for the strategic leadership and direction of the Company’s information technology organization. Prior to joining BJ’s in 2023, our current CIO served as global chief information officer at a public healthcare company, where she led information technology, privacy assurance, cyber, digital and data security across key business units. She has also held various chief information officer and technology leadership roles at several other healthcare companies and a multinational pharmaceutical corporation, along with other senior management positions during her career.
The CIO and the VP of IT Security and Compliance regularly report to senior management and the board on the governance aspects of our data security program. The CIO and the VP of IT Security and Compliance are also members of our information security steering committee, which is comprised of executives throughout the Company who oversee areas such as finance, operations, legal, human resources, strategy and development, digital, and commercial. This committee meets regularly to, as relevant, discuss oversight of the Company’s cybersecurity program, program enhancements and new risks or threats that the Company might be facing.
The board of directors has overall responsibility for risk oversight, including, as part of regular board meetings, general oversight of executives’ management of risks relevant to the Company. The VP of IT Security and Compliance provides an annual cybersecurity update to the board. While the full board has overall responsibility for risk oversight, it is supported in this function by various committees, including principally its audit committee.
Cybersecurity Risk Board Committee or Subcommittee Responsible for Oversight [Text Block] The board of directors has overall responsibility for risk oversight, including, as part of regular board meetings, general oversight of executives’ management of risks relevant to the Company. The VP of IT Security and Compliance provides an annual cybersecurity update to the board. While the full board has overall responsibility for risk oversight, it is supported in this function by various committees, including principally its audit committee.
Cybersecurity Risk Process for Informing Board Committee or Subcommittee Responsible for Oversight [Text Block] The CIO and the VP of IT Security and Compliance regularly report to senior management and the board on the governance aspects of our data security program.
Cybersecurity Risk Role of Management [Text Block] The CIO and the VP of IT Security and Compliance regularly report to senior management and the board on the governance aspects of our data security program. The CIO and the VP of IT Security and Compliance are also members of our information security steering committee, which is comprised of executives throughout the Company who oversee areas such as finance, operations, legal, human resources, strategy and development, digital, and commercial. This committee meets regularly to, as relevant, discuss oversight of the Company’s cybersecurity program, program enhancements and new risks or threats that the Company might be facing.
Cybersecurity Risk Management Positions or Committees Responsible [Flag] true
Cybersecurity Risk Management Positions or Committees Responsible [Text Block] Our Chief Information Officer (“CIO”) is responsible for the strategic leadership and direction of the Company’s information technology organization.
Cybersecurity Risk Management Expertise of Management Responsible [Text Block] Prior to joining BJ’s in 2023, our current CIO served as global chief information officer at a public healthcare company, where she led information technology, privacy assurance, cyber, digital and data security across key business units. She has also held various chief information officer and technology leadership roles at several other healthcare companies and a multinational pharmaceutical corporation, along with other senior management positions during her career.
Cybersecurity Risk Process for Informing Management or Committees Responsible [Text Block]
The CIO and the VP of IT Security and Compliance regularly report to senior management and the board on the governance aspects of our data security program. The CIO and the VP of IT Security and Compliance are also members of our information security steering committee, which is comprised of executives throughout the Company who oversee areas such as finance, operations, legal, human resources, strategy and development, digital, and commercial. This committee meets regularly to, as relevant, discuss oversight of the Company’s cybersecurity program, program enhancements and new risks or threats that the Company might be facing.
The board of directors has overall responsibility for risk oversight, including, as part of regular board meetings, general oversight of executives’ management of risks relevant to the Company. The VP of IT Security and Compliance provides an annual cybersecurity update to the board. While the full board has overall responsibility for risk oversight, it is supported in this function by various committees, including principally its audit committee.
The audit committee, pursuant to its charter, is responsible for overseeing risk management processes related to cybersecurity. The audit committee assists the board in fulfilling its risk oversight responsibilities by periodically reviewing our enterprise risk management program. Through its meetings with management, including the compliance and information technology functions, the audit committee reviews and discusses significant areas of our business and summarizes the key areas of risk and relevant mitigating factors for the board.
Cybersecurity Risk Management Positions or Committees Responsible Report to Board [Flag] true
v3.25.0.1
Summary of Significant Accounting Policies (Policies)
12 Months Ended
Feb. 01, 2025
Accounting Policies [Abstract]  
Basis of Presentation
Basis of Presentation
The consolidated financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America ("GAAP"). The consolidated financial statements include the Company and its subsidiaries. All intercompany balances and transactions have been eliminated in consolidation.
The Company's business, as is common with the business of retailers generally, is subject to seasonal influences. The Company’s sales and operating income have typically been highest in the fourth quarter holiday season and lowest in the first quarter of each fiscal year.
Fiscal Year
Fiscal Year
The Company follows the National Retail Federation's fiscal calendar and reports financial information on a 52- or 53-week year ending on the Saturday closest to January 31. Fiscal year 2024 ("2024") consists of the 52 weeks ended February 1, 2025, fiscal year 2023 ("2023") consists of the 53 weeks ended February 3, 2024, and fiscal year 2022 ("2022") consists of the 52 weeks ended January 28, 2023. Fiscal year 2025 ("2025") will consist of the 52 weeks ended January 31, 2026.
Estimates Included in Financial Statements
Estimates Included in Financial Statements
The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities, and stockholders’ equity, and the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. The significant estimates relied upon in preparing these consolidated financial statements, include but are not limited to, estimating workers’ compensation and general liability self-insurance reserves. Actual results could differ from those estimates.
Concentration Risk
Concentration Risk
The Company's clubs are primarily located in the eastern half of the United States. Sales from the New York metropolitan area comprised approximately 23%, 23%, and 21% of net sales in fiscal years 2024, 2023, and 2022, respectively.
Financial instruments that potentially subject the Company to concentrations of credit risk principally consist of cash held in financial institutions to the extent account balances exceed the amount insured by the Federal Deposit Insurance Corporation ("FDIC"). The Company considers the credit risk associated with these financial instruments to be minimal. Cash is held by financial institutions with high credit ratings and the Company has not historically sustained any credit losses associated with its cash balances.
Cash and Cash Equivalents
Cash and Cash Equivalents
Highly liquid investments with a maturity of three months or less at the time of purchase are considered to be cash equivalents. Book overdrafts not subject to offset with other accounts with the same financial institution are classified as accounts payable.
Accounts Receivable
Accounts Receivable
Accounts receivable consists primarily of credit card receivables and receivables from vendors related to rebates and coupons and is stated net of allowances for credit losses of $2.1 million and $2.3 million at February 1, 2025 and February 3,
2024, respectively. The determination of the allowance for credit losses is based on the Company's historical experience applied to an aging of accounts and a review of individual accounts with a known potential for write-off.
Merchandise Inventories
Merchandise Inventories
Inventories are stated at the lower of cost, determined under the average cost method, or net realizable value. The Company recognizes the write-down of slow-moving or obsolete inventory in cost of sales when such write-downs are probable and estimable. The Company writes down inventory for estimated shrinkage for the period between physical inventories based on historical results of physical inventories, shrinkage trends, or other judgments management believes to be reasonable under the circumstances.
Property and Equipment
Property and Equipment
Property and equipment are recorded at cost and depreciated over their estimated useful lives using the straight-line method. Property and equipment which is not ready for its intended use is recorded as construction in progress. Buildings and improvements are generally depreciated over estimated useful lives of 33 years. Capitalizable costs related to the development of buildings is capitalized during the construction period. Leasehold costs and improvements are amortized over the shorter of the remaining lease term, which includes renewal periods that are reasonably assured, or the asset’s estimated useful life. Furniture, fixtures and equipment are depreciated over their estimated useful lives, ranging from three to ten years.
Certain costs incurred in connection with developing or obtaining computer software for internal use are capitalized. Capitalized software costs are included in furniture, fixtures, and equipment and are amortized on a straight-line basis over the estimated useful life of the software, which is generally three years. Software costs not meeting the criteria for capitalization are expensed as incurred.
Expenditures for betterments and major improvements that significantly enhance the value and increase the estimated useful life of the assets are capitalized and depreciated over the new estimated useful life. Repairs and maintenance costs on all assets are expensed as incurred.
Deferred Issuance Costs
Deferred Issuance Costs
The Company defers costs directly associated with acquiring third-party financing. Debt issuance costs related to the Company's term loan are recorded as a direct deduction of the carrying amount of long-term debt, while debt issuance costs associated with the ABL Revolving Facility are recorded within other assets in the consolidated balance sheets. Debt issuance costs are amortized over the respective terms of the related financing arrangements on a straight-line basis, which is materially consistent with the effective interest method. Amortization of deferred debt issuance costs of $1.0 million, $0.9 million, and $1.7 million in fiscal years 2024, 2023, and 2022, respectively, is included in interest expense, net in the consolidated statements of operations and comprehensive income.
Goodwill and Indefinite-Lived Intangible Assets
Goodwill and Indefinite-Lived Intangible Assets
Goodwill and indefinite-lived trade name intangible assets are not subject to amortization. The Company assesses the recoverability of its goodwill and trade name annually in the fourth quarter or whenever events or changes in circumstances indicate they may be impaired. The Company has determined it has one reporting unit for goodwill impairment testing purposes and assessed the recoverability as of January 4, 2025.
The Company may assess its goodwill for impairment initially using a qualitative approach ("step zero") to determine whether conditions exist to indicate that it is more likely than not that the fair value of a reporting unit is less than its carrying value. If management concludes, based on its assessment of relevant events, facts and circumstances that it is more likely than not that a reporting unit’s carrying value is greater than its fair value, then a quantitative analysis will be performed to determine if there is any impairment. The Company may also elect to initially perform a quantitative analysis instead of starting with step zero. The quantitative assessment for goodwill requires comparing the carrying value of a reporting unit, including goodwill, to its fair value. If the fair value of the reporting unit exceeds its carrying amount, goodwill is not considered to be impaired and no further testing is required. If the carrying amount of the reporting unit exceeds its fair value, an impairment charge is recorded to write down goodwill to its implied fair value and is recorded as a component of selling, general and administrative expenses ("SG&A") in the consolidated statements of operations and comprehensive income. The Company assessed the recoverability of goodwill in fiscal years 2024, 2023 and 2022 and determined that there was no impairment.
The Company assesses the recoverability of its trade name whenever there are indicators of impairment, or at least annually in the fourth quarter. If the recorded carrying value of the trade name exceeds its estimated fair value, the Company records a charge to write the intangible asset down to its estimated fair value as a component of SG&A. The Company assessed
the recoverability of the BJ’s trade name and determined that its estimated fair value exceeded its carrying value and that no impairment was necessary in fiscal years 2024, 2023 or 2022.
Test for Recoverability of Long-Lived Assets
Test for Recoverability of Long-Lived Assets
The Company reviews the realizability of long-lived assets whenever a triggering event occurs that indicates an impairment loss may have been incurred. Current and expected operating results, cash flows and other factors are considered in connection with management’s review. For purposes of evaluating the recoverability of long-lived assets, the recoverability test is performed using undiscounted net cash flows of individual clubs and consolidated net cash flows for long-lived assets not identifiable to individual clubs. Impairment losses are measured as the difference between the carrying amount and the estimated fair value of the assets being evaluated.
Asset Retirement Obligations
Asset Retirement Obligations
An asset retirement obligation represents a legal obligation associated with the retirement of a tangible long-lived asset that is incurred upon the acquisition, construction, development or normal operation of that long-lived asset. The Company recognizes asset retirement obligations in the period in which they are placed in service, if a reasonable estimate of fair value can be made. The asset retirement obligation is subsequently adjusted for changes in fair value. The associated estimated asset retirement costs are capitalized in leasehold improvements and depreciated over their useful lives. The Company’s asset retirement obligations primarily relate to the future removal of gasoline tanks, solar panels, and related assets installed at leased clubs.
Workers’ Compensation and General Liability Self-insurance Reserves
Workers’ Compensation and General Liability Self-insurance Reserves
The Company is primarily self-insured for workers’ compensation, general liability claims, and auto liability claims. Amounts in excess of certain levels, which range from $0.3 million to $1.0 million per occurrence for workers' compensation and general liability, and up to $2.0 million per occurrence for auto liability, are insured as a risk reduction strategy to mitigate the financial impact of catastrophic losses. Reported reserves for claims are derived from estimated ultimate costs based upon individual claim file reserves and estimates for incurred but not reported claims. The estimates are developed utilizing actuarial methods and are based on historical claims experience and other actuarial assumptions related to loss development factors. The inherent uncertainty of future loss projections could cause actual claims to differ from the Company's estimates. When historical losses are not a good measure of future liability, the Company bases its estimates of ultimate liability on its interpretation of current law, claims filed to date, and other relevant factors which are subject to change. Accruals for such claims, if any, are included in accrued expenses and other current liabilities and other non-current liabilities in the consolidated balance sheets.
Revenue Recognition
Revenue Recognition - Performance Obligations
The Company identifies each distinct performance obligation to transfer goods (or bundle of goods) or services. The Company recognizes revenue as it satisfies a performance obligation by transferring control of the goods or services to the customer.
Net sales
The Company recognizes net sales at clubs and gas stations when the customer takes possession of the goods and tenders payment. Sales tax is recorded as a liability at the point-of-sale. Revenue is recorded at the point-of-sale based on the transaction price, net of any applicable discounts, sales tax, and expected refunds. For e-commerce sales, the Company recognizes sales when control of the merchandise is transferred to the customer, which is typically at the time of shipment.
Rewards programs
The Company’s BJ’s Perks Rewards membership program which was in place in fiscal 2022 and the first month of fiscal year 2023, allowed participating members to earn 2% cash back, up to a maximum of $500 per year, on qualified purchases made at BJ’s. The Company also offered a co-branded credit card program, the My BJ’s Perks program, which allowed My BJ’s Perks Mastercard credit card holders to earn up to a 10 cent-per-gallon discount on gasoline, up to 5% cash back on eligible purchases made in BJ’s clubs or online at bjs.com, and up to 2% cash back on purchases made with the card outside of BJ’s. Cash back was in the form of electronic awards issued in $10 increments that could be used online or in-club and expired 6 months from the date issued.
In the first quarter of fiscal year 2023, the Company rebranded the rewards program. The former BJ's Perks Rewards membership program is now the Club+ program, whereby participating members earn 2% cash back, up to a maximum of $500 per year, on qualified purchases made at BJ's, a 5 cent-per-gallon discount at BJ's gas locations, and effective January 1, 2025, two free same-day deliveries. Cash back is in the form of electronic awards issued to each member once $10 in rewards have been earned. These rewards do not expire.
The Company's co-branded credit card program is now the BJ's One and BJ's One+ program, which allows cardholders with the opportunity to earn up to 5% cash back on purchases made in BJ's clubs or online at bjs.com and up to a 15 cent-per-gallon discount on gasoline when paying with a BJ's One or BJ's One+ Mastercard at BJ’s gas locations. Effective January 1, 2025, BJ's One+ Mastercard cardholders also receive two free same-day deliveries if such benefit has not already been received under the Club+ program. Cash back is in the form of electronic awards issued to each member monthly on their credit card statement date. Earned rewards do not expire.
The Company accounts for these transactions as multiple-element arrangements and allocates the transaction price to separate performance obligations using their relative fair values. The Company includes the fair value of award dollars earned in deferred revenue at the time the award dollars are earned. Earned awards may be redeemed on future purchases made at the Company. The Company recognizes revenue related to earned awards when customers redeem such awards as part of a purchase at one of the Company’s clubs or on the Company’s website or mobile app. The Company recognizes royalty revenue related to the outstanding Club+ and BJ's One and BJ's One+ credit card programs are based upon actual customer activities, such as reward redemptions. While the Company continues to honor all rewards presented for redemption, the likelihood of redemption is deemed to be remote for certain rewards due to historical experience, including after long periods of inactivity, and rewards being linked to expired or canceled memberships. In these circumstances, the Company recognizes revenue, or breakage, from unredeemed rewards.
Additionally, the Company deferred revenue for funds received related to marketing, integration costs, and other long-term initiatives in connection with the new co-brand credit card program and will recognize these funds into revenue as performance obligations are satisfied.
Membership
The Company charges a membership fee to its customers, which allows customers to shop in the Company’s clubs, shop on the Company’s website or mobile app, and purchase gasoline at the Company’s gas stations for the duration of the membership, which is generally 12 months. In addition, members have access to other ancillary services, coupons, and promotions. As the Company has the obligation to provide access to its clubs, website, mobile app, and gas stations for the duration of the membership term, the Company recognizes membership fees on a straight-line basis over the life of the membership. All membership fees and related membership revenues are recorded as membership fee income in the consolidated statements of operations and comprehensive income.
Gift Card Programs
The Company sells BJ’s gift cards that allow customers to redeem the cards for future purchases equal to the amount of the face value of the gift card. Revenue from gift card sales is recognized upon redemption of the gift cards and control of the purchased goods or services is transferred to the customer.
Warranty Programs
The Company passes on any manufacturers’ warranties to members. In addition, the Company includes an extended warranty on tires sold at the clubs, under which the Company customers receive tire repair services or tire replacement in certain circumstances. This warranty is included in the sale price of the tire and it cannot be declined by the customers. The Company is fully liable for claims under the tire warranty program. As the primary obligor in these arrangements, associated revenue is recognized on the date of sale and an estimated warranty obligation is accrued based on claims experience. The liability for future claims under this program is not material to the financial statements.
Extended warranties are also offered on certain types of products such as electronics and jewelry. These warranties are provided by a third party at fixed prices to the Company. No liability is retained to satisfy warranty claims under these arrangements. The Company is not the primary obligor under these warranties, and as such net revenue is recorded on these arrangements at the time of sale. Revenue from warranty sales is included in net sales in the consolidated statements of operations and comprehensive income.
Determine the Transaction Price
The transaction price is the amount of consideration the Company expects to receive under the arrangement. The Company is required to include estimated variable consideration, if any, in the determination of the transaction price. The Company may offer sales incentives to customers, including discounts. The Company has significant experience with return patterns and relies on this experience to estimate expected returns when determining the transaction price.
Returns and Refunds
The Company’s products are generally sold with a right of return and may provide other credits or incentives, which are accounted for as variable consideration when estimating the amount of revenue to recognize. The Company records an allowance for returns based on current period revenues and historical returns experience. The Company analyzes actual historical returns, current economic trends, changes in sales volume and acceptance of the Company’s products when evaluating the adequacy of the sales returns allowance in any accounting period.
The sales returns reserve, which reduces sales and cost of sales for the estimated impact of returns, was $5.4 million in each of fiscal years 2024 and 2023, respectively, and $6.1 million in fiscal year 2022. Actual sales returns were $221.7 million, $220.7 million, and $228.9 million in fiscal years 2024, 2023 and 2022, respectively.
Customer Discounts
Discounts given to customers are usually in the form of coupons and instant markdowns and are recognized as redeemed and recorded in contra-revenue accounts, as they are part of the transaction price of the merchandise sale. Manufacturer coupons that are available for redemption at all retailers are not reduced from the sale price of merchandise.
Agent Relationships
The Company enters into certain agreements with service providers that offer goods and services to the Company’s members. These service providers sell goods and services including home improvement services, travel, and cell phones to the Company’s customers. In exchange, the Company receives payments in the form of commissions and other fees. The Company evaluates the relevant criteria to determine whether they serve as the principal or agent in these contracts with customers, in determining whether it is appropriate in these arrangements to record the gross amount of merchandise sales and related costs, or the net amount earned as commissions. When the Company is considered the principal in a transaction, revenue is recorded gross; otherwise, revenue is recorded on a net basis. Commissions received from these service providers are considered variable consideration and are constrained until the third-party customer makes a purchase from one of the service providers.
Judgments
Standalone Selling Prices
For arrangements that contain multiple performance obligations, the Company allocates the transaction price to each performance obligation on a relative standalone selling price basis.
Policy Elections
In addition to those previously disclosed, the Company made the following accounting policy elections and practical expedients:
Portfolio Approach
The Company uses the portfolio approach when multiple contracts or performance obligations are involved in the determination of revenue recognition.
Taxes
The Company excludes from the transaction price any taxes collected from customers that are remitted to taxing authorities.
Shipping and Handling Charges
Costs incurred by the Company before the customer obtains control of goods are deemed to be fulfillment costs. Amounts charged to customers by the Company for shipping and handling related to same-day delivery and traditional ship-to-home
service are included in net sales in the consolidated statements of operations and comprehensive income when control of the merchandise is transferred to the customer. Amounts charged to the Company by third parties performing the delivery services are included in cost of sales in the consolidated statements of operations and comprehensive income when the delivery services are performed.
Time Value of Money
The Company’s payment terms are less than one year from the transfer of goods. Therefore, the Company does not adjust promised amounts of consideration for the effects of the time value of money.
Disclosure of Remaining Performance Obligations
The Company does not disclose the aggregate amount of the transaction price allocated to remaining performance obligations for contracts that are one year or less in term. Additionally, the Company does not disclose the aggregate amount of the transaction price allocated to remaining performance obligations when the transaction price is allocated entirely to a wholly unsatisfied performance obligation or to a wholly unsatisfied promise to transfer a good or service that forms part of a series of distinct goods or services.
Cost of Sales
The Company’s cost of sales includes the direct costs of merchandise and gasoline, which includes customs, taxes, duties and inbound shipping costs, inventory shrinkage and adjustments and reserves for excess, aged and obsolete inventory. Cost of goods sold also includes certain distribution center costs and allocations of certain indirect costs, such as occupancy, depreciation, amortization, labor and benefits.
Presentation of Sales Tax Collected from Customers and Remitted to Governmental Authorities
In the ordinary course of business, sales tax is collected on items purchased by the members that are taxable in the jurisdictions when the purchases occur. These taxes are then remitted to the appropriate taxing authority. These taxes collected are excluded from revenues in the financial statements.
Vendor Rebates and Allowances
The Company receives various types of cash consideration from vendors, principally in the form of rebates, based on purchasing or selling certain volumes of product; time-based rebates or allowances, which may include product placement allowances or exclusivity arrangements covering a predetermined period of time; price protection rebates; allowances for retail price reductions on certain merchandise; and salvage allowances for product that is damaged, defective or becomes out-of-date.
Such vendor rebates and allowances are recognized based on a systematic and rational allocation of the cash consideration offered to the underlying transaction that results in progress by the Company toward earning the rebates and allowances, provided the amounts to be earned are probable and reasonably estimable. Otherwise, rebates and allowances are recognized only when predetermined milestones are met. The Company recognizes product placement allowances as a reduction of cost of sales in the period in which the product placement is completed. Time-based rebates or allowances are recognized as a reduction of cost of sales over the performance period on a straight-line basis. All other vendor rebates and allowances are recognized as a reduction of cost of sales when the merchandise is sold or otherwise disposed.
Cash consideration is also received for advertising products in publications presented to BJ’s members. Such cash consideration is recognized as a reduction of SG&A to the extent it represents a reimbursement of specific, incremental and identifiable SG&A costs incurred by the Company to sell the vendors’ products. If the cash consideration exceeds the costs being reimbursed, the excess is characterized as a reduction of cost of sales. Cash consideration for advertising vendors’ products is recognized in the period in which the advertising occurs.
Manufacturers’ Incentives Tendered by Consumers
Consideration from manufacturers’ incentives, such as rebates or coupons, is recorded gross in net sales when the incentive is generic and can be tendered by a consumer at any reseller and the Company receives direct reimbursement from the manufacturer, or clearinghouse authorized by the manufacturer, based on the face value of the incentive. If these conditions are not met, such consideration is recorded as a reduction in cost of sales.
Leases
Leases
The Company determines if an arrangement is a lease at inception or modification of a contract and classifies each lease as either an operating or finance lease at commencement. Leases that are economically similar to the purchase of assets are generally classified as finance leases; otherwise, the leases are classified as operating leases. The Company only reassesses lease classification subsequent to commencement upon a change to the expected lease term or modification of the contract.
Right-of-use assets (“lease assets”) represent the right to use an underlying asset for the lease term, and lease liabilities represent the obligation to make lease payments arising from the lease. Operating lease assets and liabilities are recognized at the commencement date based on the present value of lease payments over the lease term, which reflect options to extend or terminate the lease when it is reasonably certain those options will be exercised. Options to extend have varying rates and terms for each lease. Generally, the Company’s leases do not provide a readily determinable implicit rate, and therefore, the Company uses a collateralized incremental borrowing rate ("IBR") as of the lease commencement date to determine the present value of lease payments. The IBR is based on a yield curve that approximates the Company’s credit rating and market risk profile. The lease asset also reflects any prepaid rent, initial direct costs incurred, and lease incentives received.
Lease liabilities are accounted for using the effective interest method, regardless of classification, while the amortization of lease assets varies depending upon classification. Operating lease classification results in a straight-line expense recognition pattern over the lease term and recognizes lease expense as a single expense component, which results in amortization of a lease asset equal to the difference between lease expense and interest expense. Conversely, finance lease classification results in a front-loaded expense recognition pattern over the lease term, which amortizes a lease asset by recognizing interest expense and straight-line amortization expense as separate components of lease expense.
Certain of the Company’s lease agreements provide for lease payments based on future sales volumes at the leased locations, or include rental payments adjusted periodically based on inflation or an index, which are not measurable at lease commencement. The Company recognizes such variable amounts in the period incurred. For leases with lease payments based on future sales volumes, variable lease expense is recognized when it becomes probable that the specified sales target will be achieved. The Company’s lease agreements do not contain any material residual value guarantees or material restrictive covenants.
The Company is generally obligated for the cost of property taxes, insurance, and maintenance relating to its leases, which are often variable lease payments. Such costs for finance and operating leases are included in SG&A in the consolidated statement of operations and comprehensive income.
Leases with an initial term of twelve months or less are not recorded on the consolidated balance sheets and the related lease expense is recognized on a straight-line basis over the lease term.
Pre-opening Expenses
Pre-opening Expenses
Pre-opening expenses consist of direct incremental costs of opening or relocating a facility and are expensed as incurred.
Selling, General and Administrative ("SG&A") Expenses
Selling, General and Administrative ("SG&A") Expenses
SG&A consists of various expenses related to supporting and facilitating the sale of merchandise in the Company's clubs, including the following: payroll and payroll benefits for team members; rent, depreciation, and other occupancy costs for retail and corporate locations; stock-based compensation, advertising expenses; tender costs, including credit and debit card fees; amortization of intangible assets; and consulting, legal, insurance, acquisition and integration costs, and other professional services expenses.
Advertising Expenses
Advertising Expenses
Advertising expenses generally consist of efforts to acquire new members and typically include media advertising (some of which is vendor-funded). The Company expenses advertising as incurred as a component of SG&A.
Stock-based Compensation
Stock-based Compensation
The fair value of service-based employee and non-employee director awards is recognized as compensation expense on a straight-line basis over the requisite service period of the award, which is typically three years and one year, respectively. The fair value of the performance-based awards is recognized as compensation expense ratably over the service period of each performance tranche, which is typically three years.
The Company’s common stock is listed on the NYSE and its value is determined by the market price on the NYSE.
Earnings Per Share
Earnings Per Share
Basic income per share is calculated by dividing net income available to common stockholders by the weighted-average number of shares of common stock outstanding for the period. Basic income from continuing operations per share is calculated by dividing income from continuing operations by the weighted-average number of shares of common stock outstanding for the period. Basic income (loss) from discontinued operations per share is calculated by dividing income (loss) from discontinued operations by the weighted-average number of shares of common stock outstanding for the period.
Diluted income per share is calculated by dividing net income available to common stockholders by the diluted weighted-average number of shares of common stock outstanding for the period. Diluted income from continuing operations per share is calculated by dividing income from continuing operations by the diluted weighted-average number of shares of common stock outstanding for the period. Diluted income (loss) from discontinued operations per share is calculated by dividing income (loss) from discontinued operations by the diluted weighted-average number of shares of common stock outstanding for the period.
Income Taxes
Income Taxes
The Company accounts for income taxes using the asset and liability method. Under this method, deferred tax assets and liabilities are recognized for the expected future tax consequences of temporary differences between the financial statement carrying values and their respective tax bases, using enacted tax rates expected to be applicable in the years in which the temporary differences are expected to reverse. Changes in deferred tax assets and liabilities are recorded in the provision for income taxes. The Company evaluates the realizability of its deferred tax assets and establishes a valuation allowance when it is more likely than not that all or a portion of the deferred tax assets will not be realized.
The timing and amounts of deductible and taxable items and the probability of sustaining uncertain tax positions requires judgment. The Company records the benefits of uncertain tax positions in its consolidated financial statements only after determining a more-likely-than-not probability that the uncertain tax positions will withstand challenge from tax authorities. The Company periodically reassesses these probabilities and records any changes in the financial statements as appropriate.
Fair Value of Financial Instruments
Fair Value of Financial Instruments
Certain assets and liabilities are carried at fair value in accordance with GAAP. Fair value is defined as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date.
The Company uses a three-level hierarchy that prioritizes the inputs used to measure fair value. This hierarchy requires entities to maximize the use of observable inputs and minimize the use of unobservable inputs. Financial assets and liabilities carried at fair value are to be classified and disclosed in one of the following three levels of the fair value hierarchy, of which the first two are considered observable and the last is considered unobservable:
Level 1 - Quoted market prices in active markets for identical assets or liabilities.
Level 2 - Observable inputs other than quoted market prices included in Level 1 such as quoted market prices for markets that are not active or other inputs that are observable or can be corroborated by observable market data.
Level 3 - Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities, including certain pricing models, discounted cash flow methodologies and similar techniques that use significant unobservable inputs.
Comprehensive Income
Comprehensive Income
Comprehensive income is a measure of net income and all other changes in equity that result from transactions other than with equity holders, and would normally be recorded in the consolidated statements of stockholders’ equity and the consolidated statements of comprehensive income. Other comprehensive income (loss) consists of postretirement medical plan adjustments and unrealized gains and losses from derivative instruments designated as cash flow hedges.
Treasury Stock
Treasury Stock
The Company accounts for treasury stock under the cost method based on the fair market value of the shares on the dates of repurchase plus any direct costs incurred. Treasury stock is presented as a reduction to stockholders’ equity and is included in authorized and issued shares but excluded from outstanding shares.
Restructuring Charges
Restructuring Charges
Charges for restructuring programs generally include targeted actions involving employee severance, related benefit costs, and other termination charges, as well as consulting and other third-party fees. Employee severance and related benefit costs for employees with no further service period are accounted for under the Company’s ongoing benefit arrangements. These charges are accrued during the period when management commits to a plan of termination and it becomes probable that employees will be entitled to benefits at amounts that can be reasonably estimated. For employees with a remaining service period, the related costs are accrued over the period if greater than 60 days. Restructuring costs are recorded in SG&A in the consolidated statements of operations and comprehensive income.
Recently Issued and Recently Adopted Accounting Pronouncements and Policies
Recently Issued Accounting Pronouncements and Policies
In December 2023, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update (ASU) 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures. ASU 2023-09 will require public companies to disclose, on an annual basis, a tabular reconciliation, using both percentages and amounts, broken out into specific categories with certain reconciling items at or above 5% of the statutory tax, further broken out by nature and/or jurisdiction. ASU 2023-09 requires all entities to disclose, on an annual basis, the amount of income taxes paid (net of refunds received), disaggregated between federal, state/local and foreign, and amounts paid to an individual jurisdiction when 5% or more of the total income taxes paid. The new standard is effective for fiscal years beginning after December 15, 2024, on a prospective basis. Early adoption and retrospective application are permitted. The Company is currently evaluating the impact the adoption of this new pronouncement will have on financial statement disclosures.
In November 2024, the FASB issued ASU 2024-03, Income Statement – Reporting Comprehensive Income – Expense Disaggregation Disclosures (Subtopic 220-40): Disaggregation of Income Statement Expenses. ASU 2024-03 requires disclosure of certain costs and expenses on an interim and annual basis in the notes to the financial statements. ASU 2024-03 is effective for fiscal years beginning after December 15, 2026, and interim periods within fiscal years beginning after December 15, 2027. Early adoption is permitted. The disclosures required under the guidance can be applied either prospectively to financial statements issued for reporting periods after the effective date or retrospectively to any or all periods presented in the financial statements. The Company is currently evaluating the impact that this guidance will have on its financial statement disclosures.
Recently Adopted Accounting Pronouncements and Policies
In November 2023, the FASB issued ASU 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures, which expands the segment reporting disclosures and requires disclosure of segment expenses that are regularly provided to the chief operating decision maker ("CODM") and included within each reported measure of segment profit or loss, amounts and description of its composition for other segment items, and interim disclosure of a reportable segment’s profit or loss and assets. Additionally, the amendments require the disclosure of the title and position of the CODM and an explanation of how the CODM uses the reported measure(s) of segment profit or loss in assessing performance and deciding how to allocate resources. The new standard is effective for fiscal years beginning after December 15, 2023, and interim periods within fiscal years beginning after December 15, 2024, on a retrospective basis. The Company adopted this standard in fiscal year 2024. Refer to "Note 21. Segment Reporting" for relevant disclosures.
v3.25.0.1
Revenue Recognition (Tables)
12 Months Ended
Feb. 01, 2025
Revenue from Contract with Customer [Abstract]  
Summary of Deferred Revenue Related to Outstanding Performance Obligations and Revenue Recognized
The following tables summarizes the Company's deferred revenue balance related to outstanding performance obligations for contracts with customers (in thousands):
February 1, 2025February 3, 2024
Current:
Rewards programs:
Earned award dollars$57,474 $49,135 
Royalty revenue9,972 4,593 
Co-brand initiatives4,082 4,181 
Total rewards programs71,528 57,909 
Membership253,262 231,440 
Gift card program16,778 15,290 
E-commerce sales7,839 6,757 
Long-term:
Rewards programs:
Co-brand initiatives3,139 6,216 
Total deferred revenue$352,546 $317,612 
The following tables summarizes the Company's revenue recognized during the period that was included in the opening deferred balance as of February 3, 2024 and January 28, 2023 (in thousands):
Fiscal Year Ended
February 1, 2025February 3, 2024
Rewards programs:
Earned award dollars$49,135 $34,676 
Royalty revenue4,593 17,877 
Co-brand initiatives3,545 8,213 
Total rewards programs57,273 60,766 
Membership231,440 183,692 
Gift card program5,109 5,367 
E-commerce sales6,757 2,731 
Total revenue$300,579 $252,556 
Summary of Disaggregation of Revenue
The following table summarizes the Company’s percentage of net sales disaggregated by category:
Fiscal Year Ended
February 1, 2025February 3, 2024January 28, 2023
Perishables, Grocery, and Sundries71 %70 %67 %
General Merchandise and Services11 %11 %12 %
Gasoline and Other18 %19 %21 %
v3.25.0.1
Property and Equipment, Net (Tables)
12 Months Ended
Feb. 01, 2025
Property, Plant and Equipment [Abstract]  
Summary of Property and Equipment
The following table summarizes the Company's property and equipment as of February 1, 2025 and February 3, 2024 (in thousands):
Fiscal Year Ended
February 1, 2025February 3, 2024
Land and buildings$1,110,101 871,106 
Leasehold costs and improvements329,401 307,597 
Furniture, fixtures, and equipment1,609,273 1,505,496 
Construction in progress190,263 116,773 
Total property and equipment, gross3,239,038 2,800,972 
Less: accumulated depreciation and amortization(1,341,434)(1,222,180)
Total property and equipment, net$1,897,604 1,578,792 
v3.25.0.1
Leases (Tables)
12 Months Ended
Feb. 01, 2025
Leases [Abstract]  
Summary of Finance and Operating Lease Liabilities and ROU Assets
The following table summarizes the Company’s finance and operating lease assets and lease liabilities as of February 1, 2025 and February 3, 2024 (in thousands):
February 1, 2025February 3, 2024Consolidated Balance Sheet Classification
Assets:
Operating lease assets$2,100,257 $2,140,482 Operating lease right-of-use assets, net
Finance lease assets45,550 44,791 Property and equipment, net
Less: finance lease amortization(17,422)(9,266)Property and equipment, net
Total lease assets$2,128,385 $2,176,007 
Liabilities:
Current:
Operating lease liabilities$192,528 $153,631 Current portion of operating lease liabilities
Finance lease liabilities8,288 7,035 Accrued expenses and other current liabilities
Long-term:
Operating lease liabilities2,013,962 2,050,883 Long-term operating lease liabilities
Finance lease liabilities19,916 27,653 Other non-current liabilities
Total lease liabilities$2,234,694 $2,239,202 
Summary of Lease Cost and Other Information
The following table is a summary of the components of net lease costs for fiscal years 2024, 2023, and 2022 (in thousands):
Fiscal Year Ended
February 1, 2025February 3, 2024January 28, 2023
Finance lease cost:
Amortization of lease assets (a)
$8,156 $4,350 $1,849 
Interest on lease liabilities (b)
3,692 3,206 2,745 
Total finance lease costs11,848 7,556 4,594 
Operating lease cost (a)
370,727 360,369 357,284 
Variable lease cost (a)
11,136 6,775 10,129 
Sublease income (a)
(1,244)(2,104)(3,973)
Net lease costs$392,467 $372,596 $368,034 
(a) Amortization of finance lease assets, operating lease cost, variable lease cost, and sublease income are primarily included in SG&A expenses in the consolidated statements of operations and comprehensive income. Variable lease cost primarily consists of increases in rental payments based on an index, and for fiscal year 2022, includes $4.8 million of costs incurred to purchase assets deemed to be owned by the lessor of the Company’s Club Support Center.
(b) Interest recognized on finance lease liabilities is included in interest expense, net in the consolidated statements of operations and comprehensive income.
The weighted-average remaining lease term and weighted-average discount rate for operating and finance leases as of February 1, 2025 and February 3, 2024 were as follows:
February 1, 2025February 3, 2024
Weighted-average remaining lease term (in years) - operating leases11.511.6
Weighted-average remaining lease term (in years) - finance leases7.47.5
Weighted-average discount rate - operating leases8.0 %8.0 %
Weighted-average discount rate - finance leases13.0 %12.7 %
Cash paid for amounts included in the measurement of lease liabilities were as follows (in thousands):
Fiscal Year Ended
February 1, 2025February 3, 2024January 28, 2023
Operating cash flows paid for operating leases$328,239 $380,340 $350,234 
Operating cash flows paid for interest portion of finance leases3,692 3,206 2,745 
Financing cash flows paid for principal portion of finance leases7,242 3,061 1,343 
Supplemental cash flow information related to lease assets and lease liabilities were as follows (in thousands):
Fiscal Year Ended
February 1, 2025February 3, 2024January 28, 2023
Operating lease liabilities arising from obtaining right-of-use assets and other non-cash lease-related operating items$150,035 $177,187 $220,547 
Financing lease liabilities arising from obtaining right-of-use assets758 22,135 7,443 
Summary of Future Lease Commitments
Future lease commitments to be paid by the Company as of February 1, 2025 were as follows (in thousands):
Fiscal YearOperating LeasesFinance Leases
2025$361,160 $11,295 
2026357,782 5,158 
2027345,589 4,522 
2028329,380 4,336 
2029312,764 4,328 
Thereafter1,777,312 12,839 
Total future minimum lease payments3,483,987 42,478 
Less: imputed interest(1,277,497)(14,274)
Present value of lease liabilities$2,206,490 $28,204 
v3.25.0.1
Debt and Credit Arrangements (Tables)
12 Months Ended
Feb. 01, 2025
Debt Disclosure [Abstract]  
Summary of Debt Components
Debt consisted of the following at February 1, 2025 and February 3, 2024 (in thousands):
February 1, 2025February 3, 2024
ABL Revolving Facility$175,000 $319,000 
First Lien Term Loan400,000 400,000 
Unamortized original issue discount and debt issuance costs(1,193)(1,568)
Less: Short-term debt(175,000)(319,000)
Long-term debt$398,807 $398,432 
Summary of Future Minimum Principal Payments
Scheduled future minimum principal payments on debt as of February 1, 2025 are as follows (in thousands):
Fiscal Year:Principal Payments
2025$175,000 
2026— 
2027— 
2028400,000 
2029— 
Thereafter— 
Total$575,000 
v3.25.0.1
Interest Expense, Net (Tables)
12 Months Ended
Feb. 01, 2025
Other Income and Expenses [Abstract]  
Summary of Components of Interest Expense
The following details the components of interest expense for the periods presented (in thousands):
Fiscal Year Ended
February 1, 2025February 3, 2024January 28, 2023
Interest on debt$42,723 $58,197 $37,533 
Interest on financing obligations6,826 4,152 4,269 
Amortization of debt issuance costs and accretion of original issue discount1,104 1,243 2,765 
Debt extinguishment and refinancing charges870 1,830 3,256 
Other(164)(895)(361)
Interest expense, net$51,359 $64,527 $47,462 
v3.25.0.1
Goodwill and Intangible Assets (Tables)
12 Months Ended
Feb. 01, 2025
Goodwill and Intangible Assets Disclosure [Abstract]  
Summary of Intangible Assets
Intangible assets consist of the following (in thousands):
February 1, 2025
Gross Carrying AmountAccumulated AmortizationNet Carrying Amount
Intangible Assets Not Subject to Amortization:
BJ’s trade name$90,500 $— $90,500 
Intangible Assets Subject to Amortization:
Member relationships245,100 (234,491)10,609 
Private label brands8,500 (8,500)— 
Total intangible assets$344,100 $(242,991)$101,109 

February 3, 2024
Gross Carrying AmountAccumulated AmortizationNet Carrying Amount
Intangible Assets Not Subject to Amortization:
BJ’s trade name$90,500 $— $90,500 
Intangible Assets Subject to Amortization:
Member relationships245,100 (227,968)17,132 
Private label brands8,500 (8,500)— 
Total intangible assets$344,100 $(236,468)$107,632 
Summary of Future Amortization Expense The Company estimates that amortization expense related to intangible assets will be as follows in each of the next five fiscal years (in thousands):
Fiscal YearAmortization Expense
2025$5,646 
20264,894 
2027
2028
2029
Thereafter48
Total$10,609 
v3.25.0.1
Stock Incentive Plans (Tables)
12 Months Ended
Feb. 01, 2025
Share-Based Payment Arrangement [Abstract]  
Summary of Stock Option Activity
Presented below is a summary of the stock option activity and weighted-average exercise prices for the fiscal year ended February 1, 2025:
(Options in thousands)Number of Securities to be Issued Upon Exercise of Outstanding OptionsWeighted- average Exercise PriceWeighted-average Remaining Contractual Life (in years)
Outstanding, beginning of period1,655 $20.53 
Exercised(834)21.91 
Outstanding, vested, and exercisable, end of period821 19.14 3.6
Summary of Non-vested Restricted Shares, Restricted Stock Units and Performance Stock Activity
Presented below is a summary of our non-vested restricted shares, restricted stock units and performance stock and weighted-average grant-date fair values for the fiscal year ended February 1, 2025:
Restricted StockRestricted Stock Units
Performance Stock
(Shares in thousands)SharesWeighted-average Grant-Date Fair ValueSharesWeighted-average Grant-Date Fair Value
Shares (a)
Weighted-average Grant-Date Fair Value
Outstanding, beginning of period621 $67.35 22 $62.13 677 $58.84 
Granted(b)
85.21 379 75.41 432 76.65 
Forfeited(20)72.78 (11)74.64 (10)71.07 
Vested(316)61.78 (22)62.13 (471)44.74 
Outstanding, end of period291 73.78 368 75.43 628 69.53 
(a) Shares outstanding reflect a 100% payout, however, the actual payout for the remaining performance stock awards granted in fiscal year 2021 is expected to be 200%, and the actual payout for performance stock awards granted in fiscal year 2022, which vest in the first quarter of fiscal year 2025, is expected to be 177%. Actual payout for the performance stock awards granted in fiscal year 2023, which vest in fiscal year 2026, could be below 100% or up to 200%, and actual payout for the performance stock awards granted in fiscal year 2024, which vest in fiscal year 2027, could be below 100% or up to 300%.
(b) Includes 236 incremental performance stock awards granted in fiscal year 2021 with a weighted-average grant date fair value of $44.74, that vested in fiscal year 2024 at greater than 100% of target payout based on performance.
v3.25.0.1
Income Taxes (Tables)
12 Months Ended
Feb. 01, 2025
Income Tax Disclosure [Abstract]  
Summary of Provision for Income Taxes
The provision for income taxes from continuing operations includes the following (in thousands):
Fiscal Year Ended
February 1, 2025February 3, 2024January 28, 2023
Federal:
Current$146,882 $126,805 $115,270 
Deferred(15,603)18,024 4,103 
State:
Current58,041 59,863 62,914 
Deferred(2,890)7,548 (6,025)
Total income tax provision$186,430 $212,240 $176,262 
Summary of Reconciliation of Statutory Federal Income Tax Rate
A reconciliation of the statutory federal income tax rate with the Company’s effective income tax rate is as follows:
Fiscal Year Ended
February 1, 2025February 3, 2024January 28, 2023
Statutory federal income tax rates21.0 %21.0 %21.0 %
State income taxes, net of federal tax benefit6.1 7.2 6.5 
Work opportunity and solar energy tax credit(0.3)(0.5)(0.7)
Charitable contributions(0.3)(0.2)(0.2)
Prior year adjustments— 1.2 — 
Excess tax benefit related to stock-based compensation(1.6)(0.6)(1.3)
Other1.0 0.7 0.2 
Effective income tax rate25.9 %28.8 %25.5 %
Summary of Significant Components of Deferred Tax Assets and Liabilities
Significant components of the Company’s deferred tax assets and liabilities as of February 1, 2025 and February 3, 2024 are as follows (in thousands):
February 1, 2025February 3, 2024
Deferred tax assets:
Operating lease liability$615,385 $611,173 
Self-insurance reserves43,588 42,884 
Compensation and benefits12,968 15,058 
Financing obligations8,193 8,721 
Environment clean up reserve6,574 6,169 
Startup costs1,480 1,957 
Other23,875 22,893 
Total deferred tax assets$712,063 $708,855 
Deferred tax liabilities:
Operating lease right-of-use assets$585,756 $593,421 
Property and equipment134,955 141,443 
Intangible assets32,506 32,554 
Debt costs165 239 
Other11,365 11,900 
Total deferred tax liabilities764,747 779,557 
Net deferred tax liabilities$(52,684)$(70,702)
Summary of Reconciliation of Unrecognized Tax Benefits
A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows (in thousands):
Fiscal Year Ended
February 1, 2025February 3, 2024
Balance, beginning of period$2,867 $1,411 
Decreases for tax positions taken during prior years(69)— 
Additions for tax positions taken during the current year136 1,546 
Settlements(245)— 
Lapses in statute of limitations(98)(90)
Balance, end of period$2,591 $2,867 
v3.25.0.1
Asset Retirement Obligations (Tables)
12 Months Ended
Feb. 01, 2025
Asset Retirement Obligation Disclosure [Abstract]  
Summary of Asset Retirement Obligations The following is included in other non-current liabilities in the consolidated balance sheets (in thousands):
Fiscal Year Ended
February 1, 2025February 3, 2024January 28, 2023
Balance, beginning of period$26,360 $23,336 $21,378 
Accretion expense, net of reversals797 2,242 1,497 
Liabilities incurred during the year1,798 782 461 
Balance, end of period$28,955 $26,360 $23,336 
v3.25.0.1
Accrued Expenses and Other Current Liabilities (Tables)
12 Months Ended
Feb. 01, 2025
Payables and Accruals [Abstract]  
Summary of Major Components of Accrued Expenses and Other Current Liabilities
The major components of accrued expenses and other current liabilities are as follows (in thousands):
February 1, 2025February 3, 2024
Deferred membership fee income$253,262 $231,440 
Outstanding payables105,615 113,474 
Employee compensation and benefits110,689 87,765 
Sales, property, use and other taxes74,309 63,294 
Insurance reserves78,894 60,097 
Fixed asset accruals and property-related costs55,824 58,930 
Rewards programs and related deferred revenues71,528 57,909 
Deferred revenues and vendor income44,010 29,396 
Professional services and advertising24,532 21,764 
Legal, sales, and membership fee reserves17,607 17,165 
Gift cards16,778 15,290 
Other59,994 55,612 
Total accrued expenses and other current liabilities$913,042 $812,136 
v3.25.0.1
Other Non-current Liabilities (Tables)
12 Months Ended
Feb. 01, 2025
Other Liabilities Disclosure [Abstract]  
Summary of Major Components of Other Non-current Liabilities
The major components of other non-current liabilities are as follows (in thousands):
February 1, 2025February 3, 2024
Insurance reserves$96,746 $112,273 
Financing obligations (see Note 6)
63,619 62,494 
Asset retirement obligations (see Note 15)
28,955 26,360 
Deferred revenues and vendor income15,487 20,641 
Other6,534 4,867 
Total other non-current liabilities$211,341 $226,635 
v3.25.0.1
Fair Value Measurements (Tables)
12 Months Ended
Feb. 01, 2025
Fair Value Disclosures [Abstract]  
Summary of Carrying Amount and Fair Value of Debt
The gross carrying amount and fair value of the Company’s debt at February 1, 2025 are as follows (in thousands):
Carrying AmountFair Value
ABL Revolving Facility$175,000 $175,000 
First Lien Term Loan400,000 402,500 
Total Debt$575,000 $577,500 
The gross carrying amount and fair value of the Company’s debt at February 3, 2024 are as follows (in thousands):
Carrying AmountFair Value
ABL Revolving Facility$319,000 $319,000 
First Lien Term Loan400,000 401,168 
Total Debt$719,000 $720,168 
v3.25.0.1
Earnings Per Share (Tables)
12 Months Ended
Feb. 01, 2025
Earnings Per Share [Abstract]  
Summary of Reconciliation of Basic and Diluted Weighted-average Common Shares Outstanding
The table below reconciles basic weighted-average shares of common stock outstanding to diluted weighted-average shares of common stock outstanding for fiscal years 2024, 2023, and 2022 (in thousands):
Fiscal Year Ended
February 1, 2025February 3, 2024January 28, 2023
Weighted-average shares of common stock outstanding, used for basic computation132,150 133,047 134,017 
Plus: Incremental shares of potentially dilutive securities:1,455 2,071 2,456 
Weighted-average shares of common stock and dilutive potential shares of common stock outstanding133,605 135,118 136,473 
Summary of Awards Excluded from Computation of Diluted Earnings
The table below summarizes awards that were excluded from the computation of diluted earnings for fiscal years 2024, 2023, and 2022 as their inclusion would have been anti-dilutive (in thousands):
Fiscal Year Ended
February 1, 2025February 3, 2024January 28, 2023
Stock-based awards84 228 75 
v3.25.0.1
Segment Reporting (Tables)
12 Months Ended
Feb. 01, 2025
Segment Reporting [Abstract]  
Schedule of Operating Financial Results of Our Reportable Segment
The following table provides the operating financial results of our reportable segment (in thousands):
Fiscal Year Ended
February 1, 2025February 3, 2024January 28, 2023
Total revenues$20,501,804 $19,968,689 $19,315,165 
Less: significant and other segment expenses
Merchandise cost of sales (a)
13,377,543 13,024,569 12,354,954 
Selling, general and administrative expenses (b)
2,992,220 2,842,141 2,693,502 
Other segment expenses (c)
3,597,624 3,578,238 3,753,532 
Net income$534,417 $523,741 $513,177 
(a)
Merchandise cost of sales represents those expenses related to the sales of merchandise including inventory costs and distribution costs, and excludes costs related to gasoline and membership fee income.
(b)
Selling, general and administrative expenses is inclusive of pre-opening expenses and stock-based compensation.
(c)
Other segment expenses primarily consists of other costs of revenues, including gas, interest expense, and income tax expense.
v3.25.0.1
Condensed Financial Information of Registrant (Parent Company Only) (Tables)
12 Months Ended
Feb. 01, 2025
Condensed Financial Information Disclosure [Abstract]  
Summary of Condensed Balance Sheets
BJ’S WHOLESALE CLUB HOLDINGS, INC.
(PARENT COMPANY ONLY)
CONDENSED BALANCE SHEETS
(Amounts in thousands)
February 1, 2025February 3, 2024
ASSETS
Investment in subsidiaries$1,847,454 $1,458,851 
STOCKHOLDERS’ EQUITY
Preferred stock; $0.01 par value; 5,000 shares authorized, and no shares issued or outstanding
$— $— 
Common stock; $0.01 par value; 300,000 shares authorized, 148,965 shares issued and 131,638 shares outstanding at February 1, 2025; 300,000 shares authorized, 147,544 shares issued and 132,768 shares outstanding at February 3, 2024
1,489 1,475 
Additional paid-in capital1,079,676 1,006,910 
Retained earnings1,702,648 1,168,231 
Treasury stock, at cost, 17,327 shares at February 1, 2025 and 14,776 shares at February 3, 2024
(936,359)(717,765)
Total stockholders’ equity$1,847,454 $1,458,851 
Summary of Condensed Statements of Operations and Comprehensive Income
BJ’S WHOLESALE CLUB HOLDINGS, INC.
(PARENT COMPANY ONLY)
CONDENSED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME
(Amounts in thousands, except per share amounts)
Fiscal Year Ended
February 1, 2025February 3, 2024January 28, 2023
Equity in net income of subsidiaries$534,417 $523,741 $513,177 
Net income534,417 523,741 513,177 
Net income per share:
Basic$4.04 $3.94 $3.83 
Diluted4.00 3.88 3.76 
Weighted-average number of shares outstanding:
Basic132,150 133,047 134,017 
Diluted133,605 135,118 136,473 
v3.25.0.1
Description of Business (Details)
Feb. 01, 2025
warehouse_club
gas_station
state
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Number of warehouse clubs | warehouse_club 250
Number of gas stations | gas_station 186
Number of states in which entity operates | state 21
v3.25.0.1
Summary of Significant Accounting Policies (Details)
12 Months Ended 13 Months Ended
Feb. 01, 2025
USD ($)
reporting_unit
$ / gal
Feb. 03, 2024
USD ($)
Jan. 28, 2023
USD ($)
Feb. 28, 2023
USD ($)
$ / gal
Accounting Policies [Line Items]        
Allowance for doubtful accounts $ 2,100,000 $ 2,300,000    
Number of reporting units | reporting_unit 1      
Goodwill impairment $ 0 0 $ 0  
Impairment related to operating lease 0 0 1,200,000  
Sales returns reserve 5,400,000 5,400,000 6,100,000  
Actual sales returns 221,700,000 220,700,000 228,900,000  
Advertising expenses $ 126,600,000 121,100,000 110,200,000  
Service-based awards | Employee        
Accounting Policies [Line Items]        
Requisite service period 3 years      
Service-based awards | Non-employee        
Accounting Policies [Line Items]        
Requisite service period 1 year      
Performance Stock        
Accounting Policies [Line Items]        
Requisite service period 3 years      
BJ's Perks Rewards membership program        
Accounting Policies [Line Items]        
Percentage of cash back earned (as a percent)       2.00%
Maximum annual cash back amount       $ 500
My BJ's Perks program        
Accounting Policies [Line Items]        
Percentage of cash back earned (as a percent)       2.00%
Discount on gasoline (in USD per gallon) | $ / gal       0.10
Percentage cash back earned on eligible purchases (as a percent)       5.00%
Cash back reward, expiration term       6 months
Cash back in the form of electronic awards issued       $ 10
Club+ program        
Accounting Policies [Line Items]        
Percentage of cash back earned (as a percent) 2.00%      
Maximum annual cash back amount $ 500      
Discount on gasoline (in USD per gallon) | $ / gal 0.05      
Cash back in the form of electronic awards issued $ 10      
BJ's One and BJ's One+ program        
Accounting Policies [Line Items]        
Percentage of cash back earned (as a percent) 5.00%      
Discount on gasoline (in USD per gallon) | $ / gal 0.15      
Membership fee income        
Accounting Policies [Line Items]        
Term of membership 12 months      
Auto liability insurance        
Accounting Policies [Line Items]        
Self insurance reserve, per occurrence insured amount $ 2,000,000.0      
BJ’s trade name        
Accounting Policies [Line Items]        
Impairment of intangible assets 0 0 0  
Interest Expense        
Accounting Policies [Line Items]        
Amortization of debt issuance costs 1,000,000.0 $ 900,000 $ 1,700,000  
Minimum | Workers' compensation and general liability insurance        
Accounting Policies [Line Items]        
Self insurance reserve, per occurrence insured amount 300,000      
Maximum | Workers' compensation and general liability insurance        
Accounting Policies [Line Items]        
Self insurance reserve, per occurrence insured amount $ 1,000,000.0      
Building Improvements        
Accounting Policies [Line Items]        
Property and equipment, useful life (in years) 33 years      
Furniture, fixtures, and equipment | Minimum        
Accounting Policies [Line Items]        
Property and equipment, useful life (in years) 3 years      
Furniture, fixtures, and equipment | Maximum        
Accounting Policies [Line Items]        
Property and equipment, useful life (in years) 10 years      
Software and Software Development Costs        
Accounting Policies [Line Items]        
Property and equipment, useful life (in years) 3 years      
New York | Revenue Benchmark | Geographic Concentration Risk        
Accounting Policies [Line Items]        
Concentration risk (as a percent) 23.00% 23.00% 21.00%  
v3.25.0.1
Related Party Transactions (Details)
$ in Millions
12 Months Ended
Jan. 28, 2023
USD ($)
Advantage Solutions Inc.  
Related Party Transaction [Line Items]  
Expenses with related party $ 3.1
v3.25.0.1
Revenue Recognition - Deferred Revenue Relating to Outstanding Performance Obligations (Details) - USD ($)
$ in Thousands
Feb. 01, 2025
Feb. 03, 2024
Disaggregation of Revenue [Line Items]    
Total deferred revenue $ 352,546 $ 317,612
Total rewards programs    
Disaggregation of Revenue [Line Items]    
Deferred revenue, current 71,528 57,909
Earned award dollars    
Disaggregation of Revenue [Line Items]    
Deferred revenue, current 57,474 49,135
Royalty revenue    
Disaggregation of Revenue [Line Items]    
Deferred revenue, current 9,972 4,593
Co-brand initiatives    
Disaggregation of Revenue [Line Items]    
Deferred revenue, current 4,082 4,181
Deferred revenue, non-current 3,139 6,216
Membership    
Disaggregation of Revenue [Line Items]    
Deferred revenue, current 253,262 231,440
Gift card program    
Disaggregation of Revenue [Line Items]    
Deferred revenue, current 16,778 15,290
E-commerce sales    
Disaggregation of Revenue [Line Items]    
Deferred revenue, current $ 7,839 $ 6,757
v3.25.0.1
Revenue Recognition - Revenue Recognized (Details) - USD ($)
$ in Thousands
12 Months Ended
Feb. 01, 2025
Feb. 03, 2024
Disaggregation of Revenue [Line Items]    
Total revenue $ 300,579 $ 252,556
Total rewards programs    
Disaggregation of Revenue [Line Items]    
Total revenue 57,273 60,766
Earned award dollars    
Disaggregation of Revenue [Line Items]    
Total revenue 49,135 34,676
Royalty revenue    
Disaggregation of Revenue [Line Items]    
Total revenue 4,593 17,877
Co-brand initiatives    
Disaggregation of Revenue [Line Items]    
Total revenue 3,545 8,213
Membership    
Disaggregation of Revenue [Line Items]    
Total revenue 231,440 183,692
Gift card program    
Disaggregation of Revenue [Line Items]    
Total revenue 5,109 5,367
E-commerce sales    
Disaggregation of Revenue [Line Items]    
Total revenue $ 6,757 $ 2,731
v3.25.0.1
Revenue Recognition - Percentage of Net Sales Disaggregated by Category (Details)
12 Months Ended
Feb. 01, 2025
Feb. 03, 2024
Jan. 28, 2023
Perishables, Grocery, and Sundries      
Disaggregation of Revenue [Line Items]      
Net sales percentage (as a percent) 71.00% 70.00% 67.00%
General Merchandise and Services      
Disaggregation of Revenue [Line Items]      
Net sales percentage (as a percent) 11.00% 11.00% 12.00%
Gasoline and Other      
Disaggregation of Revenue [Line Items]      
Net sales percentage (as a percent) 18.00% 19.00% 21.00%
v3.25.0.1
Property and Equipment, Net - Property and Equipment (Details) - USD ($)
$ in Thousands
Feb. 01, 2025
Feb. 03, 2024
Property, Plant and Equipment [Line Items]    
Total property and equipment, gross $ 3,239,038 $ 2,800,972
Less: accumulated depreciation and amortization (1,341,434) (1,222,180)
Total property and equipment, net 1,897,604 1,578,792
Land and buildings    
Property, Plant and Equipment [Line Items]    
Total property and equipment, gross 1,110,101 871,106
Leasehold costs and improvements    
Property, Plant and Equipment [Line Items]    
Total property and equipment, gross 329,401 307,597
Furniture, fixtures, and equipment    
Property, Plant and Equipment [Line Items]    
Total property and equipment, gross 1,609,273 1,505,496
Construction in progress    
Property, Plant and Equipment [Line Items]    
Total property and equipment, gross $ 190,263 $ 116,773
v3.25.0.1
Property and Equipment, Net - Narrative (Details) - USD ($)
$ in Millions
12 Months Ended
Feb. 01, 2025
Feb. 03, 2024
Jan. 28, 2023
Property, Plant and Equipment [Abstract]      
Depreciation expense $ 255.5 $ 219.8 $ 191.7
v3.25.0.1
Leases - Narrative (Details)
$ in Millions
12 Months Ended
Feb. 01, 2025
USD ($)
building
Feb. 03, 2024
USD ($)
building
Jan. 28, 2023
USD ($)
Lessee, Lease, Description [Line Items]      
Operating lease initial term (in years) 20 years    
Finance lease term (in years) 7 years    
Lease impairment charges $ 0.0 $ 0.0 $ 1.2
Leases not yet commenced, future lease commitments $ 447.2    
Sale leaseback transaction, number of properties | building   2  
Sale leaseback transaction, fair value   $ 26.2  
Sale leaseback transaction, proceeds from sale   $ 18.5  
Failed sale leaseback transactions, number of properties | building 1 3  
Failed sale leaseback transactions, financing obligation $ 9.3 $ 26.4  
Failed sale leaseback transactions, cash received 3.1 20.6  
Failed sale leaseback transactions, receivable   5.8  
Operating cash flows paid for the interest portion of failed sale-leasebacks $ 3.1 $ 0.9  
Minimum      
Lessee, Lease, Description [Line Items]      
Operating lease term (in years) 2 years    
Finance lease term (in years) 2 years    
Leases not yet commenced, term (in years) 6 years    
Maximum      
Lessee, Lease, Description [Line Items]      
Operating lease term (in years) 44 years    
Finance lease term (in years) 20 years    
Leases not yet commenced, term (in years) 20 years    
v3.25.0.1
Leases - Assets and Liabilities (Details) - USD ($)
$ in Thousands
Feb. 01, 2025
Feb. 03, 2024
Assets:    
Operating lease assets $ 2,100,257 $ 2,140,482
Finance lease assets 45,550 44,791
Less: finance lease amortization (17,422) (9,266)
Total lease assets 2,128,385 2,176,007
Current:    
Operating lease liabilities $ 192,528 $ 153,631
Finance lease liabilities, current, location Accrued expenses and other current liabilities Accrued expenses and other current liabilities
Finance lease liabilities $ 8,288 $ 7,035
Long-term:    
Operating lease liabilities $ 2,013,962 $ 2,050,883
Finance lease liabilities, non-current, location Other non-current liabilities Other non-current liabilities
Finance lease liabilities $ 19,916 $ 27,653
Total lease liabilities $ 2,234,694 $ 2,239,202
v3.25.0.1
Leases - Components of Lease Costs and Other Information (Details) - USD ($)
$ in Thousands
12 Months Ended
Feb. 01, 2025
Feb. 03, 2024
Jan. 28, 2023
Finance lease cost:      
Amortization of lease assets $ 8,156 $ 4,350 $ 1,849
Interest on lease liabilities 3,692 3,206 2,745
Total finance lease costs 11,848 7,556 4,594
Operating lease cost 370,727 360,369 357,284
Variable lease cost 11,136 6,775 10,129
Sublease income (1,244) (2,104) (3,973)
Net lease costs $ 392,467 $ 372,596 368,034
Variable lease cost, purchase of assets and increases in rental payments     4,800
Weighted-average remaining lease term (in years) - operating leases 11 years 6 months 11 years 7 months 6 days  
Weighted-average remaining lease term (in years) - finance leases 7 years 4 months 24 days 7 years 6 months  
Weighted-average discount rate - operating leases 8.00% 8.00%  
Weighted-average discount rate - finance leases 13.00% 12.70%  
Operating cash flows paid for operating leases $ 328,239 $ 380,340 350,234
Operating cash flows paid for interest portion of finance leases 3,692 3,206 2,745
Financing cash flows paid for principal portion of finance leases 7,242 3,061 1,343
Operating lease liabilities arising from obtaining right-of-use assets and other non-cash lease-related operating items 150,035 177,187 220,547
Financing lease liabilities arising from obtaining right-of-use assets $ 758 $ 22,135 $ 7,443
v3.25.0.1
Leases - Future Lease Commitments (Details)
$ in Thousands
Feb. 01, 2025
USD ($)
Operating Leases  
2025 $ 361,160
2026 357,782
2027 345,589
2028 329,380
2029 312,764
Thereafter 1,777,312
Total future minimum lease payments 3,483,987
Less: imputed interest (1,277,497)
Present value of lease liabilities 2,206,490
Finance Leases  
2025 11,295
2026 5,158
2027 4,522
2028 4,336
2029 4,328
Thereafter 12,839
Total future minimum lease payments 42,478
Less: imputed interest (14,274)
Present value of lease liabilities $ 28,204
v3.25.0.1
Debt and Credit Arrangements - Debt Components (Details) - USD ($)
$ in Thousands
Feb. 01, 2025
Feb. 03, 2024
Debt Instrument [Line Items]    
Carrying Amount $ 575,000 $ 719,000
Unamortized original issue discount and debt issuance costs (1,193) (1,568)
Less: Short-term debt (175,000) (319,000)
Long-term debt 398,807 398,432
ABL Revolving Facility    
Debt Instrument [Line Items]    
Carrying Amount 175,000 319,000
First Lien Term Loan    
Debt Instrument [Line Items]    
Carrying Amount $ 400,000 $ 400,000
v3.25.0.1
Debt and Credit Arrangements - Narrative (Details)
$ in Thousands
3 Months Ended 12 Months Ended
Nov. 04, 2024
USD ($)
Oct. 12, 2023
Oct. 11, 2023
Jul. 28, 2022
USD ($)
Oct. 28, 2023
USD ($)
Feb. 01, 2025
USD ($)
Feb. 03, 2024
USD ($)
Jan. 28, 2023
USD ($)
Debt Instrument [Line Items]                
Amount outstanding           $ 575,000 $ 719,000  
Amortization of debt issuance costs and accretion of original issue discount           1,104 1,243 $ 2,765
Debt issuance costs and original issue discount           1,193 1,568  
ABL Revolving Facility                
Debt Instrument [Line Items]                
Amount outstanding           175,000 319,000  
First Lien Term Loan                
Debt Instrument [Line Items]                
Amount outstanding           400,000 400,000  
Revolving Credit Facility | ABL Revolving Facility                
Debt Instrument [Line Items]                
Maximum borrowing capacity       $ 1,200,000        
Unused commitment fee rate       0.20%        
Amount outstanding           $ 175,000 $ 319,000  
Interest rate, credit facility (as a percent)           5.41% 6.44%  
Unused capacity           $ 1,000,000    
Revolving Credit Facility | ABL Revolving Facility | Debt Instrument, Term One                
Debt Instrument [Line Items]                
Borrowing period       1 month        
Revolving Credit Facility | ABL Revolving Facility | Debt Instrument, Term Two                
Debt Instrument [Line Items]                
Borrowing period       3 months        
Revolving Credit Facility | ABL Revolving Facility | Debt Instrument, Term Three                
Debt Instrument [Line Items]                
Borrowing period       6 months        
Revolving Credit Facility | ABL Revolving Facility | Debt Instrument, Term Four                
Debt Instrument [Line Items]                
Borrowing period       12 months        
Revolving Credit Facility | ABL Revolving Facility | Minimum | Secured Overnight Financing Rate (SOFR)                
Debt Instrument [Line Items]                
Basis spread on variable rate       1.00%        
Revolving Credit Facility | ABL Revolving Facility | Minimum | Base Rate                
Debt Instrument [Line Items]                
Basis spread on variable rate       0.00%        
Revolving Credit Facility | ABL Revolving Facility | Maximum | Secured Overnight Financing Rate (SOFR)                
Debt Instrument [Line Items]                
Basis spread on variable rate       1.25%        
Revolving Credit Facility | ABL Revolving Facility | Maximum | Base Rate                
Debt Instrument [Line Items]                
Basis spread on variable rate       0.25%        
Letter of Credit | ABL Revolving Facility                
Debt Instrument [Line Items]                
Amount outstanding           11,100 $ 18,200  
Secured Debt | First Lien Term Loan | Line of Credit                
Debt Instrument [Line Items]                
Basis spread on variable rate 1.75% 2.00% 2.75%          
Amount outstanding           $ 400,000 400,000  
Principal amount $ 400,000              
Net leverage ratio   3.50            
Net leverage ratio, actual (did not exceed)           3.50    
Fees associated with refinancing           $ 800 1,700 3,200
Amortization of debt issuance costs and accretion of original issue discount           100 1,400 600
Third-party fees           $ 800 400 2,000
Debt issuance costs and original issue discount             $ 1,300 $ 1,200
Repayments of debt         $ 50,000      
Effective interest rate (as a percent)           6.08% 7.33%  
v3.25.0.1
Debt and Credit Arrangements - Future Minimum Principal Payment on Debt (Details) - USD ($)
$ in Thousands
Feb. 01, 2025
Feb. 03, 2024
Debt Disclosure [Abstract]    
2025 $ 175,000  
2026 0  
2027 0  
2028 400,000  
2029 0  
Thereafter 0  
Total $ 575,000 $ 719,000
v3.25.0.1
Interest Expense, Net (Details) - USD ($)
$ in Thousands
12 Months Ended
Feb. 01, 2025
Feb. 03, 2024
Jan. 28, 2023
Other Income and Expenses [Abstract]      
Interest on debt $ 42,723 $ 58,197 $ 37,533
Interest on financing obligations 6,826 4,152 4,269
Amortization of debt issuance costs and accretion of original issue discount 1,104 1,243 2,765
Debt extinguishment and refinancing charges 870 1,830 3,256
Other (164) (895) (361)
Interest expense, net $ 51,359 $ 64,527 $ 47,462
v3.25.0.1
Goodwill and Intangible Assets - Narrative (Details) - USD ($)
12 Months Ended
Feb. 01, 2025
Feb. 03, 2024
Jan. 28, 2023
Goodwill and Intangible Assets Disclosure [Abstract]      
Goodwill $ 1,008,816,000 $ 1,008,816,000  
Goodwill impairment 0 0 $ 0
SG&A      
Finite-Lived Intangible Assets [Line Items]      
Amortization expenses $ 6,500,000 $ 7,900,000 $ 9,200,000
Member relationships      
Finite-Lived Intangible Assets [Line Items]      
Intangible assets useful life (in years) 15 years 3 months 18 days    
Private label brands      
Finite-Lived Intangible Assets [Line Items]      
Intangible assets useful life (in years) 12 years    
v3.25.0.1
Goodwill and Intangible Assets - Intangible Assets (Details) - USD ($)
$ in Thousands
Feb. 01, 2025
Feb. 03, 2024
Indefinite-lived Intangible Assets [Line Items]    
Intangible assets subject to amortization, accumulated amortization $ (242,991) $ (236,468)
Total 10,609  
Total intangible assets, gross carrying amount 344,100 344,100
Total intangible assets, net carrying amount 101,109 107,632
Member relationships    
Indefinite-lived Intangible Assets [Line Items]    
Intangible assets subject to amortization, gross carrying amount 245,100 245,100
Intangible assets subject to amortization, accumulated amortization (234,491) (227,968)
Total 10,609 17,132
Private label brands    
Indefinite-lived Intangible Assets [Line Items]    
Intangible assets subject to amortization, gross carrying amount 8,500 8,500
Intangible assets subject to amortization, accumulated amortization (8,500) (8,500)
Total 0 0
BJ’s trade name    
Indefinite-lived Intangible Assets [Line Items]    
Intangible assets not subject to amortization, carrying amount $ 90,500 $ 90,500
v3.25.0.1
Goodwill and Intangible Assets - Estimates That Amortization Expense Related to Intangible Assets (Details)
$ in Thousands
Feb. 01, 2025
USD ($)
Goodwill and Intangible Assets Disclosure [Abstract]  
2025 $ 5,646
2026 4,894
2027 7
2028 7
2029 7
Thereafter 48
Total $ 10,609
v3.25.0.1
Stock Incentive Plans - Narrative (Details) - USD ($)
$ in Millions
12 Months Ended
Feb. 01, 2025
Feb. 03, 2024
Jan. 28, 2023
Jun. 14, 2018
Jun. 13, 2018
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]          
Stock-based compensation $ 47.8 $ 39.0 $ 42.6    
Unrecognized compensation cost $ 60.4        
Unrecognized compensation cost, period to be recognized (in years) 3 years        
Number of options granted (in shares) 0 0 0    
Intrinsic value of options exercised $ 54.0 $ 7.2 $ 25.1    
Tax benefit related to option exercises 15.1 2.0 7.0    
Intrinsic value of options outstanding 65.6        
Intrinsic value of options vested 65.6        
Intrinsic value of options exercisable $ 65.6        
Stock options          
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]          
Vesting period (in years) 3 years        
Contractual term (in years) 10 years        
Restricted Stock          
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]          
Fair value as of vesting date $ 23.7        
Restricted Stock Units          
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]          
Fair value as of vesting date 1.9        
Performance Stock          
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]          
Fair value as of vesting date $ 35.3        
The 2018 Plan          
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]          
Shares authorized (in shares)         13,148,058
Shares available for issuance (in shares) 4,518,327        
The 2011 Plan and 2012 Director Plan          
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]          
Shares reserved (in shares)         985,369
Employee Stock Purchase Plan          
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]          
Shares available for issuance (in shares) 2,785,722        
Stock-based compensation $ 1.6 $ 1.4 $ 1.1    
ESPP, allocated shares (in shares)       973,014  
ESPP, annual increase on first day of calendar year (in shares)       486,507  
ESPP, annual increase on first day of calendar year (as a percent)       0.50%  
v3.25.0.1
Stock Incentive Plans - Stock Option Activity (Details)
shares in Thousands
12 Months Ended
Feb. 01, 2025
$ / shares
shares
Number of Securities to be Issued Upon Exercise of Outstanding Options  
Outstanding, beginning of period (in shares) | shares 1,655
Exercised (in shares) | shares (834)
Outstanding, end of period (in shares) | shares 821
Vested, end of period (in shares) | shares 821
Exercisable, end of period (in shares) | shares 821
Weighted- average Exercise Price  
Outstanding, beginning of period (in usd per share) | $ / shares $ 20.53
Exercised (in usd per share) | $ / shares 21.91
Outstanding, end of period (in usd per share) | $ / shares 19.14
Vested, end of period (in usd per share) | $ / shares 19.14
Exercisable, end of period (in usd per share) | $ / shares $ 19.14
Weighted-average Remaining Contractual Life (in years)  
Outstanding, end of period 3 years 7 months 6 days
Vested, end of period 3 years 7 months 6 days
Exercisable, end of period 3 years 7 months 6 days
v3.25.0.1
Stock Incentive Plans - Non-vested Restricted Shares, Restricted Stock Units and Performance Stock (Details)
shares in Thousands
12 Months Ended
Feb. 01, 2025
$ / shares
shares
Restricted Stock  
Shares  
Outstanding, beginning of period (in shares) | shares 621
Granted (in shares) | shares 6
Forfeited (in shares) | shares (20)
Vested (in shares) | shares (316)
Outstanding, end of period (in shares) | shares 291
Weighted-average Grant-Date Fair Value  
Outstanding, beginning of period (in usd per share) | $ / shares $ 67.35
Granted (in usd per share) | $ / shares 85.21
Forfeited (in usd per share) | $ / shares 72.78
Vested (in usd per share) | $ / shares 61.78
Outstanding, end of period (in usd per share) | $ / shares $ 73.78
Restricted Stock Units  
Shares  
Outstanding, beginning of period (in shares) | shares 22
Granted (in shares) | shares 379
Forfeited (in shares) | shares (11)
Vested (in shares) | shares (22)
Outstanding, end of period (in shares) | shares 368
Weighted-average Grant-Date Fair Value  
Outstanding, beginning of period (in usd per share) | $ / shares $ 62.13
Granted (in usd per share) | $ / shares 75.41
Forfeited (in usd per share) | $ / shares 74.64
Vested (in usd per share) | $ / shares 62.13
Outstanding, end of period (in usd per share) | $ / shares $ 75.43
Performance Stock  
Shares  
Outstanding, beginning of period (in shares) | shares 677
Granted (in shares) | shares 432
Forfeited (in shares) | shares (10)
Vested (in shares) | shares (471)
Outstanding, end of period (in shares) | shares 628
Weighted-average Grant-Date Fair Value  
Outstanding, beginning of period (in usd per share) | $ / shares $ 58.84
Granted (in usd per share) | $ / shares 76.65
Forfeited (in usd per share) | $ / shares 71.07
Vested (in usd per share) | $ / shares 44.74
Outstanding, end of period (in usd per share) | $ / shares $ 69.53
Estimated payout (as a percent) 100.00%
Performance Stock | 2021 grants  
Weighted-average Grant-Date Fair Value  
Actual payout (as a percent) 200.00%
Performance Stock | 2022 grants  
Weighted-average Grant-Date Fair Value  
Actual payout (as a percent) 177.00%
Performance Stock | 2023 grants | Minimum  
Weighted-average Grant-Date Fair Value  
Actual payout (as a percent) 100.00%
Performance Stock | 2023 grants | Maximum  
Weighted-average Grant-Date Fair Value  
Actual payout (as a percent) 200.00%
Performance Stock | 2024 grants | Minimum  
Weighted-average Grant-Date Fair Value  
Actual payout (as a percent) 100.00%
Performance Stock | 2024 grants | Maximum  
Weighted-average Grant-Date Fair Value  
Actual payout (as a percent) 300.00%
Performance Stock, vested at greater than 100% of target payout  
Shares  
Granted (in shares) | shares 236
Weighted-average Grant-Date Fair Value  
Granted (in usd per share) | $ / shares $ 44.74
Performance target (greater than) (as a percent) 100.00%
v3.25.0.1
Treasury Shares and Share Repurchase Programs (Details) - USD ($)
$ in Thousands
12 Months Ended
Feb. 01, 2025
Feb. 03, 2024
Jan. 28, 2023
Nov. 18, 2024
Nov. 16, 2021
Equity, Class of Treasury Stock [Line Items]          
Shares reacquired to satisfy employees' tax withholding obligations upon vesting (in shares) 369,327 373,875 264,167    
Shares reacquired to satisfy employees' tax withholding obligations upon vesting, value $ 27,700 $ 28,300 $ 18,000    
Repurchase of common stock 218,594 $ 158,544 $ 170,553    
2021 Repurchase Program          
Equity, Class of Treasury Stock [Line Items]          
Share repurchase program, authorized amount         $ 500,000
2024 Repurchase Program          
Equity, Class of Treasury Stock [Line Items]          
Share repurchase program, authorized amount       $ 1,000,000  
Share repurchase program, available amount $ 1,000,000        
Repurchase of common stock (in shares) 2,181,885 1,958,218 2,234,708    
Repurchase of common stock $ 190,900 $ 130,200 $ 152,500    
v3.25.0.1
Income Taxes - Provision for Income Taxes (Details) - USD ($)
$ in Thousands
12 Months Ended
Feb. 01, 2025
Feb. 03, 2024
Jan. 28, 2023
Federal:      
Current $ 146,882 $ 126,805 $ 115,270
Deferred (15,603) 18,024 4,103
State:      
Current 58,041 59,863 62,914
Deferred (2,890) 7,548 (6,025)
Total income tax provision $ 186,430 $ 212,240 $ 176,262
v3.25.0.1
Income Taxes - Reconciliation of Statutory Federal Income Tax Rate (Details)
12 Months Ended
Feb. 01, 2025
Feb. 03, 2024
Jan. 28, 2023
Income Tax Disclosure [Abstract]      
Statutory federal income tax rates 21.00% 21.00% 21.00%
State income taxes, net of federal tax benefit 6.10% 7.20% 6.50%
Work opportunity and solar energy tax credit (0.30%) (0.50%) (0.70%)
Charitable contributions (0.30%) (0.20%) (0.20%)
Prior year adjustments 0.00% 1.20% 0.00%
Excess tax benefit related to stock-based compensation (1.60%) (0.60%) (1.30%)
Other 1.00% 0.70% 0.20%
Effective income tax rate 25.90% 28.80% 25.50%
v3.25.0.1
Income Taxes - Deferred Tax Assets and Liabilities Component (Details) - USD ($)
$ in Thousands
Feb. 01, 2025
Feb. 03, 2024
Deferred tax assets:    
Operating lease liability $ 615,385 $ 611,173
Self-insurance reserves 43,588 42,884
Compensation and benefits 12,968 15,058
Financing obligations 8,193 8,721
Environment clean up reserve 6,574 6,169
Startup costs 1,480 1,957
Other 23,875 22,893
Total deferred tax assets 712,063 708,855
Deferred tax liabilities:    
Operating lease right-of-use assets 585,756 593,421
Property and equipment 134,955 141,443
Intangible assets 32,506 32,554
Debt costs 165 239
Other 11,365 11,900
Total deferred tax liabilities 764,747 779,557
Net deferred tax liabilities $ (52,684) $ (70,702)
v3.25.0.1
Income Taxes - Unrecognized Tax Benefits (Details) - USD ($)
$ in Thousands
12 Months Ended
Feb. 01, 2025
Feb. 03, 2024
Unrecognized Tax Benefits [Roll Forward]    
Balance, beginning of period $ 2,867 $ 1,411
Decreases for tax positions taken during prior years (69) 0
Additions for tax positions taken during the current year 136 1,546
Settlements (245) 0
Lapses in statute of limitations (98) (90)
Balance, end of period $ 2,591 $ 2,867
v3.25.0.1
Income Taxes - Narrative (Details) - USD ($)
$ in Millions
12 Months Ended
Feb. 01, 2025
Feb. 03, 2024
Jan. 28, 2023
Income Tax Disclosure [Abstract]      
Unrecognized tax benefits that would favorably affect the effective tax rate $ 2.1 $ 2.3  
Amount by which unrecognized tax benefits could decrease within the next twelve months 0.1    
Unrecognized tax benefits, interest expense (income) 0.0 0.1 $ 0.1
Unrecognized tax benefits, accrued interest $ 0.2 $ 0.2  
v3.25.0.1
Retirement Plans (Details) - USD ($)
$ in Millions
12 Months Ended
Jan. 01, 2024
Feb. 01, 2025
Feb. 03, 2024
Jan. 28, 2023
401(k) savings plan        
Defined Contribution Plan Disclosure [Line Items]        
Allowed contribution/deferral percentage   50.00%    
Employer match percent   50.00%    
Employer matching contribution, percent of covered compensation   6.00%    
Expense   $ 14.2 $ 15.2 $ 13.7
Non-contributory defined contribution retirement plan        
Defined Contribution Plan Disclosure [Line Items]        
Employer match percent   5.00%    
Expense     0.5 $ 3.7
Service period for full vesting of contribution accounts   4 years    
Due to participants     2.2  
NQDC Plan        
Defined Contribution Plan Disclosure [Line Items]        
Expense   $ 2.4 0.0  
Service period for full vesting of contribution accounts 3 years      
Vesting percentage 100.00%      
Other liabilities, noncurrent   3.0 0.0  
Other assets   $ 1.8 $ 0.0  
NQDC Plan | Annual base salary        
Defined Contribution Plan Disclosure [Line Items]        
Allowed contribution/deferral percentage   50.00%    
NQDC Plan | Annual bonus        
Defined Contribution Plan Disclosure [Line Items]        
Allowed contribution/deferral percentage   100.00%    
NQDC Plan | Minimum | Stock incentive awards        
Defined Contribution Plan Disclosure [Line Items]        
Allowed contribution/deferral percentage   0.00%    
NQDC Plan | Maximum | Stock incentive awards        
Defined Contribution Plan Disclosure [Line Items]        
Allowed contribution/deferral percentage   100.00%    
v3.25.0.1
Asset Retirement Obligations (Details) - USD ($)
$ in Thousands
12 Months Ended
Feb. 01, 2025
Feb. 03, 2024
Jan. 28, 2023
Asset Retirement Obligation, Roll Forward Analysis [Roll Forward]      
Balance, beginning of period $ 26,360 $ 23,336 $ 21,378
Accretion expense, net of reversals 797 2,242 1,497
Liabilities incurred during the year 1,798 782 461
Balance, end of period $ 28,955 $ 26,360 $ 23,336
v3.25.0.1
Accrued Expenses and Other Current Liabilities (Details) - USD ($)
$ in Thousands
Feb. 01, 2025
Feb. 03, 2024
Contract With Customer, Liability [Line Items]    
Outstanding payables $ 105,615 $ 113,474
Employee compensation and benefits 110,689 87,765
Sales, property, use and other taxes 74,309 63,294
Insurance reserves 78,894 60,097
Fixed asset accruals and property-related costs 55,824 58,930
Professional services and advertising 24,532 21,764
Legal, sales, and membership fee reserves 17,607 17,165
Gift cards 16,778 15,290
Other 59,994 55,612
Total accrued expenses and other current liabilities 913,042 812,136
Membership fee income    
Contract With Customer, Liability [Line Items]    
Deferred revenue 253,262 231,440
Rewards programs and related deferred revenues    
Contract With Customer, Liability [Line Items]    
Deferred revenue 71,528 57,909
Deferred revenues and vendor income    
Contract With Customer, Liability [Line Items]    
Deferred revenue $ 44,010 $ 29,396
v3.25.0.1
Other Non-current Liabilities (Details) - USD ($)
$ in Thousands
Feb. 01, 2025
Feb. 03, 2024
Other Liabilities Disclosure [Abstract]    
Insurance reserves $ 96,746 $ 112,273
Financing obligations (see Note 6) 63,619 62,494
Asset retirement obligations (see Note 15) 28,955 26,360
Deferred revenues and vendor income 15,487 20,641
Other 6,534 4,867
Total other non-current liabilities $ 211,341 $ 226,635
v3.25.0.1
Fair Value Measurements (Details) - USD ($)
$ in Thousands
Feb. 01, 2025
Feb. 03, 2024
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Carrying Amount $ 575,000 $ 719,000
Fair Value 577,500 720,168
ABL Revolving Facility    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Carrying Amount 175,000 319,000
Fair Value 175,000 319,000
First Lien Term Loan    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Carrying Amount 400,000 400,000
Fair Value $ 402,500 $ 401,168
v3.25.0.1
Earnings Per Share - Basic and Diluted Weighted-Average Shares of Common Stock Outstanding (Details) - shares
shares in Thousands
12 Months Ended
Feb. 01, 2025
Feb. 03, 2024
Jan. 28, 2023
Earnings Per Share [Abstract]      
Weighted-average shares of common stock outstanding, used for basic calculation (in shares) 132,150 133,047 134,017
Plus: Incremental shares of potentially dilutive securities (in shares) 1,455 2,071 2,456
Weighted-average shares of common stock and dilutive potential shares of common stock outstanding (in shares) 133,605 135,118 136,473
v3.25.0.1
Earnings Per Share - Awards Excluded from Computation of Diluted Earnings (Details) - shares
shares in Thousands
12 Months Ended
Feb. 01, 2025
Feb. 03, 2024
Jan. 28, 2023
Stock-based awards      
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]      
Awards excluded from computation of diluted earnings per share (in shares) 84 228 75
v3.25.0.1
Acquisitions (Details) - Burris Logistics - USD ($)
$ in Millions
12 Months Ended
May 02, 2022
Feb. 01, 2025
Feb. 03, 2024
Jan. 28, 2023
Business Acquisition [Line Items]        
Consideration paid $ 375.6      
Transaction and integration costs   $ 0.0 $ 0.0 $ 12.3
Revenue of acquiree       $ 66.8
v3.25.0.1
Segment Reporting (Details)
$ in Thousands
12 Months Ended
Feb. 01, 2025
USD ($)
segment
Feb. 03, 2024
USD ($)
Jan. 28, 2023
USD ($)
Segment Reporting [Abstract]      
Number of operating segments | segment 1    
Segment Reporting Information [Line Items]      
Total revenues $ 20,501,804 $ 19,968,689 $ 19,315,165
Less: significant and other segment expenses      
Net income 534,417 523,741 513,177
Retail Operations      
Segment Reporting Information [Line Items]      
Total revenues 20,501,804 19,968,689 19,315,165
Less: significant and other segment expenses      
Merchandise cost of sales 13,377,543 13,024,569 12,354,954
Selling, general & administrative expenses 2,992,220 2,842,141 2,693,502
Other segment expenses 3,597,624 3,578,238 3,753,532
Net income $ 534,417 $ 523,741 $ 513,177
v3.25.0.1
Condensed Financial Information of Registrant (Parent Company Only) - Balance Sheet (Details) - USD ($)
$ / shares in Units, $ in Thousands
Feb. 01, 2025
Feb. 03, 2024
Jan. 28, 2023
Jan. 29, 2022
STOCKHOLDERS’ EQUITY        
Preferred stock; $0.01 par value; 5,000 shares authorized, and no shares issued or outstanding $ 0 $ 0    
Common stock; $0.01 par value; 300,000 shares authorized, 148,965 shares issued and 131,638 shares outstanding at February 1, 2025; 300,000 shares authorized, 147,544 shares issued and 132,768 shares outstanding at February 3, 2024 1,489 1,475    
Retained earnings 1,702,648 1,168,231    
Treasury stock, at cost, 17,327 shares at February 1, 2025 and 14,776 shares at February 3, 2024 (936,359) (717,765)    
Total stockholders’ equity $ 1,847,454 $ 1,458,851 $ 1,046,837 $ 648,108
Balance Sheet Parenthetical        
Preferred stock, par value (in usd per share) $ 0.01 $ 0.01    
Preferred stock, authorized (in shares) 5,000,000 5,000,000    
Preferred stock, issued (in shares) 0 0    
Common stock, par value (in usd per share) $ 0.01 $ 0.01    
Common stock, authorized (in shares) 300,000,000 300,000,000    
Common stock, issued (in shares) 148,965,000 147,544,000    
Common stock, outstanding (in shares) 131,638,000 132,768,000    
Treasury stock (in shares) 17,327,000 14,776,000    
Parent Company        
ASSETS        
Investment in subsidiaries $ 1,847,454 $ 1,458,851    
STOCKHOLDERS’ EQUITY        
Preferred stock; $0.01 par value; 5,000 shares authorized, and no shares issued or outstanding 0 0    
Common stock; $0.01 par value; 300,000 shares authorized, 148,965 shares issued and 131,638 shares outstanding at February 1, 2025; 300,000 shares authorized, 147,544 shares issued and 132,768 shares outstanding at February 3, 2024 1,489 1,475    
Additional paid-in capital 1,079,676 1,006,910    
Retained earnings 1,702,648 1,168,231    
Treasury stock, at cost, 17,327 shares at February 1, 2025 and 14,776 shares at February 3, 2024 (936,359) (717,765)    
Total stockholders’ equity $ 1,847,454 $ 1,458,851    
Balance Sheet Parenthetical        
Preferred stock, par value (in usd per share) $ 0.01 $ 0.01    
Preferred stock, authorized (in shares) 5,000 5,000    
Preferred stock, issued (in shares) 0 0    
Preferred stock, outstanding (in shares) 0 0    
Common stock, par value (in usd per share) $ 0.01 $ 0.01    
Common stock, authorized (in shares) 300,000,000 300,000,000    
Common stock, issued (in shares) 148,965,000 147,544,000    
Common stock, outstanding (in shares) 131,638,000 132,768,000    
Treasury stock (in shares) 17,327,000 14,776,000    
v3.25.0.1
Condensed Financial Information of Registrant (Parent Company Only) - Income Statement (Details) - USD ($)
$ / shares in Units, shares in Thousands, $ in Thousands
12 Months Ended
Feb. 01, 2025
Feb. 03, 2024
Jan. 28, 2023
Condensed Statement of Income Captions [Line Items]      
Net income $ 534,417 $ 523,741 $ 513,177
Net income per share:      
Basic (in usd per share) $ 4.04 $ 3.94 $ 3.83
Diluted (in usd per share) $ 4.00 $ 3.88 $ 3.76
Weighted-average number of shares outstanding:      
Basic (in shares) 132,150 133,047 134,017
Diluted (in shares) 133,605 135,118 136,473
Parent Company      
Condensed Statement of Income Captions [Line Items]      
Equity in net income of subsidiaries $ 534,417 $ 523,741 $ 513,177
Net income $ 534,417 $ 523,741 $ 513,177
Net income per share:      
Basic (in usd per share) $ 4.04 $ 3.94 $ 3.83
Diluted (in usd per share) $ 4.00 $ 3.88 $ 3.76
Weighted-average number of shares outstanding:      
Basic (in shares) 132,150 133,047 134,017
Diluted (in shares) 133,605 135,118 136,473
v3.25.0.1
Condensed Financial Information of Registrant (Parent Company Only) - Narrative (Details)
$ in Millions
12 Months Ended
Feb. 01, 2025
USD ($)
Debt Instrument [Line Items]  
Net income available for payment of dividends to Parent $ 534.4
Amount of restricted net assets of consolidated subsidiaries 104.2
First Lien Term Loan  
Debt Instrument [Line Items]  
Restriction on payment of dividends, general basket $ 25.0
Restriction on payment of dividends, percentage of net proceeds from stock offering (as a percent) 6.00%
Restriction on payment of dividends, maximum net leverage ratio 4.25
Restriction on payment of dividends, minimum interest coverage ratio 2.00
Revolving Credit Facility | ABL Facility  
Debt Instrument [Line Items]  
Restriction on payment of dividends, general basket $ 135.0
Restriction on payment of dividends, percentage of trailing 12 months EBITDA (as a percent) 15.00%
Restriction on payment of dividends, availability threshold percentage (as a percent) 17.50%
Restriction on payment of dividends, availability percentage (as a percent) 12.50%
Restriction on payment of dividends, minimum fixed charge coverage ratio 1.00
Restriction on payment of dividends, percentage of net proceeds from stock offering (as a percent) 7.00%