TJX Companies Q2 Sales Reach $15.2B

By Hao Liu • Wednesday, August 19 10:51 • Permanent Link

The TJX Companies reported second-quarter fiscal 2027 net sales of $15.2 billion, up 5% from $14.4 billion a year earlier, as consolidated comparable sales rose 4%.

Diluted earnings per share climbed to $1.36 from $1.10, a 24% increase. Excluding tariff-refund benefits, adjusted diluted EPS was $1.22, up 11% from the prior year.

Pretax profit margin widened to 13.3% from 11.4%, a gain of 1.9 percentage points. Adjusted pretax profit margin rose to 11.9% from 11.4%, up 0.5 percentage points.

Gross profit margin increased to 33.4% from 30.7%, while SG&A costs as a percent of sales rose to 20.3% from 19.5%.

By division, comparable sales were mixed: Marmaxx rose 1%, down from 3% growth a year ago; HomeGoods increased 7%, up from 5%; TJX Canada rose 6%, down from 9%; and TJX International increased 7%, up from 5%.

Second-quarter net sales by division were: Marmaxx: $9.109 billion, up from $8.841 billion HomeGoods: $2.507 billion, up from $2.286 billion TJX Canada: $1.470 billion, up from $1.381 billion TJX International: $2.094 billion, up from $1.893 billion

For the first half, net sales reached $29.5 billion, up 7% from $27.7 billion. Comparable sales increased 5%, and diluted EPS rose to $2.55 from $2.02, a 26% increase. Adjusted diluted EPS was $2.41, up 19% from $2.02.

TJX returned $1.3 billion to shareholders in the quarter, including $798 million through repurchasing 5.1 million shares and $529 million in dividends. In the first half, it returned $2.4 billion, including $1.4 billion in buybacks and $1.0 billion in dividends.

Inventories at quarter-end were $7.9 billion, up from $7.4 billion a year earlier. The store base increased to 5,285 locations from 5,262 at the start of the quarter, a gain of 23 stores.

For the third quarter, TJX is planning comparable sales growth of 2% to 3%, pretax profit margin of 12.8% to 12.9%, and diluted EPS of $1.36 to $1.38.

For full-year fiscal 2027, the company raised its pretax profit margin outlook to 12.3% to 12.4% from its prior range, and increased diluted EPS guidance to $5.31 to $5.36. It also raised its long-term store target to 7,500 locations from 7,000 and plans to accelerate store-opening growth to 4% beginning in fiscal 2028. Today the company's shares have moved -0.76% to a price of $149.70. For the full picture, make sure to review TJX COMPANIES INC /DE/'s 8-K report.

The above analysis is intended for educational purposes only and was performed on the basis of publicly available data. It is not to be construed as a recommendation to buy or sell any security. Any buy, sell, or other recommendations mentioned in the article are direct quotations of consensus recommendations from the analysts covering the stock, and do not represent the opinions of Market Inference or its writers. Past performance, accounting data, and inferences about market position and corporate valuation are not reliable indicators of future price movements. Market Inference does not provide financial advice. Investors should conduct their own review and analysis of any company of interest before making an investment decision.