TJX Cos. beat Wall Street’s expectations for revenue and profit in its fiscal third quarter and raised its guidance for the current quarter and full year.
The off-price retailer behind the T.J. Maxx, Marshalls and HomeGoods banners said sales rose 7% to $15.1 billion in the three months to November 1. Net income came in at $1.4 billion, or $1.28 per share.
“Sales, pretax profit margin, and earnings per share all exceeded our expectations,” said TJX CEO Ernie Herrman. “Overall comp sales grew 5%, with strength at every division. We believe this is a testament to our value proposition and treasure-hunt shopping experience, which continue to draw consumers to our retail banners worldwide.”
Framingham, Mass.based TJX Cos. attracts bargain hunters with an assortment of fashionable, brand name, and designer merchandise at prices 20% to 60% lower than regular prices on comparable merchandise at full-price competitors.
“The availability of merchandise continues to be outstanding, and we are excited about the deals we are seeing in the marketplace,” Herrman said, adding that the company’s brands are “strongly positioned as gifting destinations for value-conscious shoppers this holiday season.”
The company expects earnings per share for fiscal 2026 to be between $4.63 and $4.66, compared with its previous forecast of $4.52 to $4.57.
"TJX's sourcing model works in its favor right now: department-store softness means more excess merchandise to buy, and TJX can turn those opportunistic finds into margin wins even with ongoing tariff pressure," said Suzy Davidkhanian, an analyst for Emarketer.
The company’s buying process cushions the impact of cost volatility an gives TJX “one of the most flexible business models in retail,” Herrman has said. The process provides the ability for the retailer to prioritize margin or volume, depending on competitive and consumer tendencies.
