TJX Companies Inc. reports 5% increase in net sales for Q1 fiscal 2026

By Hao Liu • Friday, May 30 15:30 • Permanent Link

TJX Companies Inc. has reported its financial performance for the first quarter of fiscal 2026, ending May 3, 2025, compared to the first quarter of fiscal 2025. The company operates over 5,100 stores through its segments in the U.S., Canada, and internationally, along with e-commerce sites. Here are the key financial highlights:

Net Sales: Net sales increased by 5% to $13.1 billion for the first quarter of fiscal 2026, up from $12.5 billion in the first quarter of fiscal 2025. This increase was driven by a 3% growth in comparable sales (comp sales) and a 2% increase from non-comp sales.
Comparable Sales: Consolidated comp sales increased by 3% for the first quarter of fiscal 2026. Both home comp sales growth and apparel comp sales growth performed in line with the overall comp sales increase. Comp sales were primarily driven by an increase in customer transactions.
Diluted Earnings Per Share: Diluted earnings per share for the first quarter of fiscal 2026 were reported at $0.92, slightly lower than $0.93 in the first quarter of fiscal 2025.
Pre-Tax Profit Margin: The pre-tax profit margin for the first quarter of fiscal 2026 was 10.3%, a decrease from 11.1% in the first quarter of fiscal 2025.
Shareholder Returns: During the first quarter of fiscal 2026, the company returned $1 billion to its shareholders through share repurchases and dividends.
Operating Results: The cost of sales, including buying and occupancy costs, as a percentage of net sales, increased to 70.5% for the first quarter of fiscal 2026, compared to 70.0% in the first quarter of fiscal 2025. Selling, general and administrative expenses also increased to 19.4% of net sales for the first quarter of fiscal 2026, up from 19.2% in the first quarter of fiscal 2025.
Segment Performance: The Marmaxx segment, which includes TJ Maxx, Marshalls, and Sierra, reported net sales of $8.1 billion for the first quarter of fiscal 2026, with a segment profit margin of 13.7%.
Global Economic Conditions and Tariffs: The company highlighted the impact of tariffs on imports from China and other countries, which has led to significant volatility in the global economy. TJX is closely monitoring changes in international trade relations and implementing measures to mitigate the impact of tariffs.
Foreign Currency Exchange Rates: The company's operating results are affected by changes in foreign currency exchange rates, which have a significant impact on assets, liabilities, net sales, and net income.

Following these announcements, the company's shares moved -0.14%, and are now trading at a price of $126.89. Check out the company's full 10-Q submission here.

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