v3.25.1
SUPPLEMENTAL CONSOLIDATED FINANCIAL INFORMATION (Tables)
 3 Months Ended
May 02, 2025
Condensed Financial Information Disclosure [Abstract]  
Schedule of Information on Selected Assets
The following table presents additional information on selected assets included in the Condensed Consolidated Statements of Financial Position as of the dates indicated:
 May 2, 2025January 31, 2025
 (in millions)
Cash, cash equivalents, and restricted cash:
Cash and cash equivalents$7,700 $3,633 
Cash and cash equivalents — held for sale (a)— 62 
Restricted cash (b)153 124 
Total cash, cash equivalents, and restricted cash$7,853 $3,819 
Inventories:
Production materials$5,245 $4,432 
Work-in-process1,229 1,128 
Finished goods941 1,156 
Total inventories$7,415 $6,716 
Deferred costs:
Total deferred costs, current (c)$3,854 $4,129 
Contract manufacturers' receivables:
Total contract manufacturers' receivables (d)$3,850 $731 
Property, plant, and equipment, net:
Assets in a customer contract$5,559 $5,204 
Computer and other equipment3,744 3,651 
Land and buildings2,894 2,838 
Internal use software2,451 2,403 
Total property, plant, and equipment14,648 14,096 
Accumulated depreciation and amortization(8,265)(7,760)
Total property, plant, and equipment, net$6,383 $6,336 
____________________
(a)Held for sale represents the reclassification of Secureworks cash and cash equivalents to assets held for sale as of January 31, 2025. See Note 1 of the Notes to the Condensed Consolidated Financial Statements for more information about the sale of Secureworks.
(b)Restricted cash is primarily classified as other current assets in the Condensed Consolidated Statements of Financial Position and consists predominantly of cash required to be held in escrow pursuant to DFS securitization arrangements.
(c)Deferred costs are included in other current assets in the Condensed Consolidated Statements of Financial Position. Amounts classified as long-term deferred costs are included in other non-current assets and are not disclosed above.
(d)Contract manufacturers’ receivables are classified as other current assets in the Condensed Consolidated Statements of Financial Position and consist of sales of components to contract manufacturers to manufacture or assemble the Company’s products. The Company has agreements with the majority of contract manufacturers that permit net settlement mitigating the credit risk wholly or in part. During the three months ended May 2, 2025, the portion of receivables not offset increased primarily due to the timing of the sale of components to one contract manufacturer and the corresponding purchase of assembled products.
Schedule of Changes in Liability for Standard Limited Warranties
The following table presents changes in the Company’s liability for standard limited warranties for the periods indicated:
Three Months Ended
May 2, 2025May 3, 2024
(in millions)
Warranty liability:
Warranty liability at beginning of period$424 $426 
Costs accrued for new warranty contracts and changes in estimates for pre-existing warranties (a)211 229 
Service obligations honored(220)(229)
Warranty liability at end of period (b)$415 $426 
____________________
(a)Changes in cost estimates related to pre-existing warranties are aggregated with accruals for new standard warranty contracts. The Company’s warranty liability process does not differentiate between estimates made for pre-existing warranties and those made for new warranty obligations.
(b)The liabilities for standard warranties are included in accrued and other and in non-current liabilities in the Condensed Consolidated Statements of Financial Position.
Schedule of Activity Related to Severance Liability
The following table presents the activity related to the Company’s severance liability for the periods indicated:
Three Months Ended
 May 2, 2025May 3, 2024
(in millions)
Severance liability:
Severance liability at beginning of period$238 $352 
Severance charges130 92 
Cash paid and other(217)(250)
Severance liability at end of period$151 $194 
Schedule of Severance Charges
The following table presents severance charges as included in the Condensed Consolidated Statements of Income for the periods indicated:
Three Months Ended
 May 2, 2025May 3, 2024
(in millions)
Severance charges:
Cost of net revenue$30 $29 
Selling, general, and administrative67 43 
Research and development33 20 
Total severance charges$130 $92 
Schedule of Interest and Other, Net
The following table presents information regarding interest and other, net as included in the Condensed Consolidated Statements of Income for the periods indicated:
Three Months Ended
May 2, 2025May 3, 2024
(in millions)
Interest and other, net:
Investment income, primarily interest$31 $54 
Gain (loss) on investments, net17 (30)
Interest expense(354)(343)
Foreign exchange(5)(38)
Gain on disposition of businesses and assets236 — 
Other(7)(16)
Total interest and other, net$(82)$(373)