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03/06/2023

Ross Stores to open 100 new stores in 2023

Marianne Wilson
Editor-in-Chief
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Ross Stores opened 19 stores in February and March.

Ross Stores continues to grow both its store banners.

The off-price retailer opened 11 Ross Dress for Less stores and eight DD's Discounts locations across 13 states in February and March as it expanded into existing markets including California, Texas, and Florida.  DD's growth also included the chain’s first store in the state of Wisconsin.

The February and March openings are part of 100 new stores that Ross plans to open in fiscal 2023. The openings will include 75 Ross locations and 25 DD’s outposts.

"These recent openings reflect our ongoing plans to continue the expansion of our two chains," said Gregg McGillis, group executive VP, property development, Ross Stores.

Currently, the company operates 1,704 Ross stores in 40 states and 330 DD's Discounts locations in 22 states.

“As we look out over the long term, we remain confident that Ross can grow to 2,900 locations and DD's Discounts can become a chain of 700 stores given consumers' ongoing focus on value and convenience,” said McGillis.

Ross reported sales of $5.2 billion for its fourth quarter, ended Jan. 28, with comparable store sales up 1% on top of a 9% increase for the same period in 2021. Earnings per share for the quarter were $1.31 on net income of $447 million.

For the full year, Ross reported sales of $18.7 billion, versus $18.9 billion in fiscal 2021, with comparable store sales down 4%, versus a 13% increase in the prior year.

Similar to many other retailers, Ross provided a cautious full-year outlook.

“As we enter 2023, the macroeconomic and geopolitical environments remain highly uncertain,” said CEO Barbara Rentler. “As a result, we believe it is prudent to remain conservative when planning our business.”

Ross is planning comparable store sales to be relatively flat in its current fiscal year versus a 4% decline and a 13% gain in fiscal 2022 and 2021, respectively.

“If sales perform in line with this plan, we expect earnings per share for the 53 weeks ending February 3, 2024 to be $4.65 to $4.95 compared to $4.38 in fiscal 2022,” Rentler said.