TJX raises full-year earnings forecast
FRAMINGHAM, Mass. (AP) — TJX, parent company of TJ Maxx and Marshalls clothing stores, reported third-quarter revenue that topped analysts' expectations and raised its full-year earnings forecast on Tuesday.
But the discount retailer's earnings outlook for the fourth quarter, which includes the critical holiday period, and the full year are still below Wall Street's view.
TJX Cos. shares rose 71 cents, or 1.7 percent, to $41.68 in morning trading.
The Framingham, Mass.-based company, which also runs HomeGoods and other stores, reported net income of $461.6 million, or 62 cents per share, for the quarter ended Oct. 27. That was up 14 percent from earnings of $406.5 million, or 53 cents per share, a year ago.
The latest earnings matched expectations of analysts surveyed by FactSet.
Revenue climbed 11 percent to $6.41 billion from $5.79 billion. Analysts forecast $6.36 billion.
Revenue at stores open at least a year, a key gauge of a retailer's health, rose 7 percent in the quarter. This metric excludes results from stores recently opened or closed.
CEO Carol Meyrowitz said in a statement that traffic improved across all divisions in the U.S., Canada and Europe.
For the fiscal year, the company anticipates earnings of $2.45 to $2.48 per share. It previously predicted earnings of $2.44 to $2.47 per share. The latest figures are still below analysts' expectations for earnings of $2.49 per share.
In the fourth quarter, TJX foresees adjusted earnings between 65 cents and 68 cents per share. Wall Street predicts earnings of 76 cents per share.
Revenue at stores open at least a year is expected to be flat to up 2 percent.
TJX has 1,030 T.J. Maxx, 911 Marshalls and 414 HomeGoods stores in the U.S.; 222 Winners, 88 HomeSense and 14 Marshalls stores in Canada and 343 T.K. Maxx and 24 HomeSense stores in Europe.
