LEASES (Tables)

6 Months Ended

Aug. 01, 2026

LEASES

Summary of lease costs-net


			THREE MONTHS ENDED						SIX MONTHS ENDED
			AUGUST 1,			AUGUST 2,			AUGUST 1,			AUGUST 2,
			2026			2025			2026			2025

			(in thousands)
Operating lease costs⁽¹⁾			$	42,130		$	36,447		$	82,304		$	71,893
Finance lease costs
Amortization of leased assets⁽¹⁾				18,723			14,875			35,929			29,548
Interest on lease liabilities⁽²⁾				12,874			9,248			24,152			18,193
Variable lease costs⁽³⁾				6,958			6,442			14,032			13,629
Sublease income⁽⁴⁾				(1,133)			(1,189)			(2,309)			(2,371)
Total lease costs—net			$	79,552		$	65,823		$	154,108		$	130,892

(1)	Operating lease costs and amortization of finance lease right-of-use assets are included in cost of goods sold or selling, general and administrative expenses on the condensed consolidated statements of income based on our accounting policy.

(2)

Included in interest expense—net on the condensed consolidated statements of income. Amounts include lease cost related to variable lease payments based on an index or rate that were not included in the measurement of the initial lease liability and right-of-use asset for finance leases, which were not material in either period presented.

(3)

Represents variable lease payments under operating and finance lease agreements, primarily associated with contingent rent based on a percentage of retail sales over contractual levels of $3.8 million and $4.0 million for the three months ended August 1, 2026 and August 2, 2025, respectively, and $7.5 million and $8.1 million for the six months ended August 1, 2026 and August 2, 2025, respectively, as well as charges associated with common area maintenance of $3.2 million and $2.4 million for the three months ended August 1, 2026 and August 2, 2025, respectively, and $6.6 million and $5.5 million for the six months ended August 1, 2026 and August 2, 2025, respectively. Other variable costs, which include single lease cost related to variable lease payments based on an index or rate that were not included in the measurement of the initial lease liability and right-of-use asset, were not material in any period presented.

(4)	Included in selling, general and administrative expenses on the condensed consolidated statements of income.

Summary of lease right-of-use assets and lease liabilities


				AUGUST 1,			JANUARY 31,
		BALANCE SHEET CLASSIFICATION		2026			2026

				(in thousands)
ASSETS
Operating leases⁽¹⁾		Operating lease right-of-use assets		$	864,669		$	795,352
Finance leases^(2)(3)(4)		Property and equipment—net			1,527,833			1,181,339
Total lease right-of-use assets				$	2,392,502		$	1,976,691
LIABILITIES
Current⁽⁵⁾
Operating leases		Operating lease liabilities		$	113,332		$	110,280
Finance leases		Other current liabilities			23,726			21,249
Total lease liabilities—current					137,058			131,529
Non-current
Operating leases		Non-current operating lease liabilities			749,376			705,084
Finance leases		Non-current finance lease liabilities			837,192			718,837
Total lease liabilities—non-current					1,586,568			1,423,921
Total lease liabilities				$	1,723,626		$	1,555,450

(1)	Includes $41 million as of both August 1, 2026 and January 31, 2026 related to a future RH Design Gallery lease where the landlord is one of the Aspen LLCs. Refer to Note 6—Variable Interest Entities.

(2)	Includes capitalized amounts related to our completed construction activities to design and build leased assets, which are reclassified from other non-current assets upon lease commencement.

(3)	Includes accumulated amortization of $419 million and $384 million as of August 1, 2026 and January 31, 2026, respectively.

(4)	Includes $32 million and $33 million as of August 1, 2026 and January 31, 2026, respectively, related to an RH Design Gallery lease with a landlord that is an affiliate of the managing member of the Aspen LLCs. Refer to Note 6—Variable Interest Entities.

(5)	Current portion of lease liabilities represents the reduction of the related lease liability over the next 12 months.

Summary of maturities of lease liabilities

The maturities of lease liabilities were as follows as of August 1, 2026:


				OPERATING			FINANCE
FISCAL YEAR				LEASES			LEASES			TOTAL

				(in thousands)
Remainder of fiscal 2026				$	82,094		$	36,878		$	118,972
2027					156,304			74,378			230,682
2028					125,538			73,479			199,017
2029					113,663			73,140			186,803
2030					104,701			74,178			178,879
2031					85,200			71,220			156,420
Thereafter					676,785			1,393,062			2,069,847
Total lease payments⁽¹⁾⁽²⁾					1,344,285			1,796,335			3,140,620
Less—imputed interest⁽³⁾					(481,577)			(935,417)			(1,416,994)
Present value of lease liabilities				$	862,708		$	860,918		$	1,723,626

(1)

Total lease payments include future obligations for renewal options that are reasonably certain to be exercised and are included in the measurement of the lease liability. Total lease payments exclude $256 million of legally binding payments under the non-cancellable term for leases signed but not yet commenced under our accounting policy as of August 1, 2026, of which $4.0 million, $11 million, $14 million, $16 million, $17 million and $17 million will be paid in the remainder of fiscal 2026, fiscal 2027, fiscal 2028, fiscal 2029, fiscal 2030 and fiscal 2031, respectively, and $177 million will be paid subsequent to fiscal 2031.

(2)	Excludes an immaterial amount of future commitments under short-term lease agreements.

(3)	Calculated using the discount rate for each lease at lease commencement.

Summary of supplemental information related to leases


					SIX MONTHS ENDED
					AUGUST 1,					AUGUST 2,
					2026					2025
Weighted-average remaining lease term (years)
Operating leases						12.0				9.2
Finance leases						22.5				20.0
Weighted-average discount rate
Operating leases						6.8	%			6.1	%
Finance leases						6.7	%			5.9	%

Summary of other information related to leases


			SIX MONTHS ENDED
			AUGUST 1,			AUGUST 2,
			2026			2025

			(in thousands)
Cash paid for amounts included in the measurement of lease liabilities
Operating cash flows from operating leases			$	(81,906)		$	(70,984)
Operating cash flows from finance leases				(24,152)			(18,193)
Financing cash flows from finance leases—net⁽¹⁾				(10,099)			(8,031)
Total cash outflows from leases			$	(116,157)		$	(97,208)
Non-cash transactions
Lease right-of-use assets obtained in exchange for lease obligations—net of lease terminations
Operating leases⁽²⁾			$	106,185		$	61,737
Finance leases				130,492			37,947
Reclassification from other non-current assets to finance lease right-of-use assets				260,040			37,502
Reclassification from other non-current assets to operating lease right-of-use assets				24,552			—

(1)	Presented net of tenant allowances received subsequent to lease commencement of $6.2 million in the six months ended August 2, 2025. No such amounts were received from landlords in the six months ended August 1, 2026.

(2)	Right-of-use assets obtained in exchange for new operating lease liabilities exclude the impact from acquisitions of $4.3 million for the six months ended August 2, 2025. Refer to Note 3—Business Combination.