“Sure. First of all, our long-term store target hasn't changed, and that's 2,900 Ross Stores and 700 for dd's.”

In context

“later this year on our next distribution center. So 40% of that capital this year is on increased DC capacity. AI, I would say there's two parts of AI. We already use AI in some of the automated parts of our business. I think generative AI will be a journey for us like it is for others, but it is something we'll be looking at to find efficiencies in the business. Operator: And the next question comes from the line of John Kernan with TD Cowen & Co. John Kernan: Great job on the holiday quarter. Just going back to stores. Ross Stores banner grew 4% this year. I think that was the fastest store growth since pre-COVID, dd's is up over 7%. How do we think about store growth not just for fiscal '24, but also beyond that and how that fits into your long-term store targets? Michael Hartshorn: Sure. First of all, our long-term store target hasn't changed, and that's 2,900 Ross Stores and 700 for dd's. I think you'd expect about 100 stores a year, depending on how the dd's plays out beyond this. But I think we're comfortable with the 75 Ross stores annually. That's a good fit for us, and we'll see where the dd's roll out after we get through our strategy. John Kernan: You haven't seen any long-term change in terms of competition for real estate, your peers in off-price are growing a lot of stores, too. I think there's been concerns about some of the availability out there, but it doesn't sound like you have any concerns? Michael Hartshorn: Well, there is -- I would say there's a lot of -- there's a lot of competition for our locations. But I'd say overall, we feel good about the real estate landscape and have a healthy pipeline. Operator: The next question comes from the line of Laur”