Ross Stores, Inc. stock research
FY2025 Q4
Ross Stores (ROST) Gross Margin — Quarter Ended Jan 31, 2026
Revenue and gross profit both increased compared to the prior quarter and the same quarter last year, while cost of revenue also rose. Gross margin weakened slightly from the prior quarter but improved relative to the same quarter a year ago.
Gross margin takeaway
Quarter ended Jan 31, 2026 · FY2025 Q4
Revenue and gross profit both increased compared to the prior quarter and the same quarter last year, while cost of revenue also rose. Gross margin weakened slightly from the prior quarter but improved relative to the same quarter a year ago.
- The strongest observable driver is the relationship between revenue and cost of revenue: revenue grew faster than cost of revenue compared to the same quarter last year, supporting gross margin improvement. Compared to the prior quarter, cost of revenue increased at a slightly higher rate than revenue, leading to a marginal gross margin decline.
- Gross margin was lower than the immediately preceding quarter but higher than the same quarter one year earlier. Revenue and gross profit were higher in both comparisons.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
27.2%
Gross profit
$1.8B
Revenue
$6.6B
Cost of revenue
$4.8B
Quarter-over-quarter change
-0.8 pts
Year-over-year change
+0.7 pts
Quarterly gross margin trend
A four-quarter view of the revenue and direct-cost bridge behind gross margin.
| Period | Revenue | Gross profit | Cost of revenue | Gross margin |
|---|---|---|---|---|
| May 3, 2025 | $5.0B | $1.4B | $3.6B | 28.2% |
| Aug 2, 2025 | $5.5B | $1.5B | $4.0B | 27.6% |
| Nov 1, 2025 | $5.6B | $1.6B | $4.0B | 28.0% |
| Jan 31, 2026 | $6.6B | $1.8B | $4.8B | 27.2% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Nov 1, 2025
-0.8 pts
Year-over-year change
Feb 1, 2025
+0.7 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The strongest observable driver is the relationship between revenue and cost of revenue: revenue grew faster than cost of revenue compared to the same quarter last year, supporting gross margin improvement. Compared to the prior quarter, cost of revenue increased at a slightly higher rate than revenue, leading to a marginal gross margin decline.
Gross margin was lower than the immediately preceding quarter but higher than the same quarter one year earlier. Revenue and gross profit were higher in both comparisons.
Monitor the trajectory of cost of revenue relative to revenue, as a shift in this relationship could affect gross margin stability.