Five-Year Financial Summary

 202520242023(a)
20222021
Financial Results (in millions)

    
Net Sales$104,780$106,566$107,412$109,120$106,005
Cost of sales
75,511
76,502
77,828
82,306
74,963
Selling, general and administrative expenses (SG&A)
21,535
21,969
21,462
20,581
19,752
Depreciation and amortization (exclusive of depreciation included in cost of sales)
2,617
2,529
2,415
2,385
2,344
Operating income5,117
5,566
5,707
3,848
8,946
Net interest expense445
411
502
478
421
Net other income(95)(106)(92)(48)(382)
Earnings before income taxes4,767
5,261
5,297
3,418
8,907
Provision for income taxes1,062
1,1701,159
638
1,961
Net earnings$3,705$4,091$4,138$2,780$6,946
Per Share

    
Basic earnings per share$8.16$8.89$8.96$6.02$14.23
Diluted earnings per share$8.13$8.86$8.94$5.98$14.10
Cash dividends declared$4.54$4.46$4.38$4.14$3.38
FINANCIAL POSITION (in millions)
    
Total assets$59,490$57,769$55,356$53,335$53,811
Long-term debt and other borrowings, including current portion$16,456$15,940$16,038$16,139$13,720
Less: Short-term investments
4,611
3,893
2,897
1,343
4,985
Net debt (b)$11,845$12,047$13,141$14,796$8,735
Shareholders’ investment$16,165$14,666$13,432$11,232$12,827
FINANCIAL RATIOS
    
Comparable sales change (c) (2.6)%0.1% (3.7)%2.2%12.7%
Gross margin (% of net sales)27.9%28.2%27.5%24.6%29.3%
SG&A expenses (% of net sales)20.6%20.6%20.0%18.9%18.6%
Operating income margin (% of net sales)4.9%5.2%5.3%3.5%8.4%
OTHER
    
Common shares outstanding (in millions)452.8455.6461.7460.3471.3
Operating cash flow (in millions)$6,562$7,367$8,621$4,018$8,625
Capital expenditures (in millions)$3,727$2,891$4,806$5,528$3,544
Net sales per square foot (d)$420$431$438$447$437
Retail square feet (in thousands)250,518
248,278
245,939
244,584
243,284
Square footage growth0.9%1.0%0.6%0.5%0.7%
Total number of stores1,995
1,978
1,956
1,948
1,926
Total number of supply chain facilities7066595649

(a) 2023 consisted of 53 weeks compared with 52 weeks in all other periods presented. The extra week in 2023 contributed $1.7 billion to Net Sales.

(b) We calculate Net Debt, a non-GAAP measure, as Long-Term Debt and Other Borrowings, Including Current Portion, net of Short-Term Investments. We believe Net Debt is a useful indicator of our level of financial leverage because short-term investments are available to pay debt maturity obligations. A reconciliation to the most comparable GAAP measure, Long-Term Debt and Other Borrowings, Including Current Portion, is provided above. Other companies may calculate Net Debt differently than we do, limiting the usefulness of the measure for comparisons with other companies.

(c) See definition of comparable sales in Form 10-K, Item 7, Management's Discussion and Analysis of Financial Condition and Results of Operations.

(d) Represents Net Sales per retail square foot which is calculated using rolling four quarters average retail square feet.