Net Sales and Segment Reporting

12 Months Ended

Feb. 02, 2020

NET SALES AND SEGMENT REPORTING

We currently conduct our retail operations in the U.S., Canada, and Mexico, each of which represents one of our three operating segments. Our operating segments reflect the way in which internally-reported financial information is used to make decisions and allocate resources. For disclosure purposes, we aggregate these three operating segments into one reportable segment due to their similar operating and financial characteristics and how the business is managed.

The assets of each of our operating segments primarily consist of net property and equipment and merchandise inventories. Long-lived assets, classified by geography, follow:



in millions	February 2, 2020		February 3, 2019		January 28, 2018
Long-lived assets – in the U.S.	$	20,302	$	19,930	$	19,526
Long-lived assets – outside the U.S.	2,468		2,445		2,549
Total long-lived assets	$	22,770	$	22,375	$	22,075

No sales to an individual customer accounted for more than 10% of revenue during any of the last three fiscal years. Net sales, classified by geography, follow:



	Fiscal		Fiscal		Fiscal
in millions	2019		2018		2017
Net sales – in the U.S.	$	101,333	$	99,386	$	92,413
Net sales – outside the U.S.	8,892		8,817		8,491
Net sales	$	110,225	$	108,203	$	100,904

Net sales by products and services follow:



	Fiscal		Fiscal		Fiscal
in millions	2019		2018		2017
Net sales – products	$	105,194	$	102,933	$	95,956
Net sales – services	5,031		5,270		4,948
Net sales	$	110,225	$	108,203	$	100,904

Major product lines and the related merchandising departments (and related services) follow:



Major Product Line		Merchandising Departments
Building Materials		Building Materials, Electrical/Lighting, Lumber, Millwork, and Plumbing
Décor		Appliances, Décor/Storage, Flooring, Kitchen and Bath, and Paint
Hardlines		Hardware, Indoor Garden, Outdoor Garden, and Tools

During the first quarter of fiscal 2019, we combined the Electrical and Lighting merchandising departments into one department, Electrical/Lighting, and we renamed the Décor merchandising department to Décor/Storage. These changes had no impact on our net sales presentations.

Net sales by major product lines (and related services) follow:



	Fiscal		Fiscal		Fiscal
in millions	2019		2018		2017
Building Materials	$	39,338	$	39,883	$	37,296
Décor	37,390		36,273		33,593
Hardlines	33,497		32,047		30,015
Net sales	$	110,225	$	108,203	$	100,904

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Note: Net sales for certain merchandising departments were reclassified in the first quarter of fiscal 2019. As a result, prior-year amounts have been reclassified to conform with the current-year presentation.

Net sales by merchandising department (and related services) follow:



	Fiscal				Fiscal				Fiscal
	2019				2018				2017
dollars in millions	Net Sales		% of Net Sales		Net Sales		% of Net Sales		Net Sales		% of Net Sales
Appliances	$	9,852	8.9	%	$	9,027	8.3	%	$	8,167	8.1	%
Building Materials	7,712		7.0		7,770		7.2		7,266		7.2
Décor/Storage	3,758		3.4		3,583		3.3		3,175		3.1
Electrical/Lighting	9,844		8.9		9,941		9.2		9,441		9.4
Flooring	7,443		6.8		7,494		6.9		6,992		6.9
Hardware	6,381		5.8		6,203		5.7		5,878		5.8
Indoor Garden	10,989		10.0		10,450		9.7		9,785		9.7
Kitchen and Bath	7,717		7.0		7,728		7.1		7,275		7.2
Lumber	7,894		7.2		8,393		7.8		7,797		7.7
Millwork	5,757		5.2		5,757		5.3		5,382		5.3
Outdoor Garden	7,564		6.9		7,259		6.7		6,984		6.9
Paint	8,620		7.8		8,441		7.8		7,984		7.9
Plumbing	8,131		7.4		8,022		7.4		7,410		7.3
Tools	8,563		7.8		8,135		7.5		7,368		7.3
Total	$	110,225	100.0	%	$	108,203	100.0	%	$	100,904	100.0	%

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Note: Certain percentages may not sum to totals due to rounding. Net sales for certain merchandising departments were reclassified in fiscal 2019. As a result, prior year net sales have been reclassified to conform with the current year presentation. Prior year percent of net sales data also reflects the new classifications.