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The TJX Companies, Inc. Reports Q2 FY25 Results; Comp Store Sales Growth of 4%, Pretax Profit Margin of 10.9%, and Diluted EPS of $.96 All Above Plan; Raises FY25 Pretax Profit Margin and EPS Guidance

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The TJX Companies, Inc. reported strong Q2 FY25 results, exceeding expectations. Highlights include:

- Comparable store sales increased 4%, driven by higher customer transactions
- Pretax profit margin rose to 10.9%, up 0.5 percentage points year-over-year
- Diluted EPS reached $.96, a 13% increase from last year
- Net sales grew 6% to $13.5 billion
- Returned $982 million to shareholders through repurchases and dividends
- Opened 5,000th store worldwide

TJX raised its FY25 outlook for pretax profit margin and EPS. The company also announced a $360 million investment for a 35% stake in Brands For Less, expanding its presence in the Middle East.

Le TJX Companies, Inc. hanno riportato risultati solidi per il Q2 FY25, superando le aspettative. I punti salienti includono:

- Le vendite nei negozi comparabili sono aumentate del 4%, sostenute da un numero maggiore di transazioni da parte dei clienti
- Il margine di profitto ante imposte è salito al 10,9%, con un incremento di 0,5 punti percentuali rispetto all'anno precedente
- L'utile per azione diluito ha raggiunto 0,96 dollari, con un aumento del 13% rispetto all'anno scorso
- Le vendite nette sono cresciute del 6% raggiungendo 13,5 miliardi di dollari
- Sono stati restituiti 982 milioni di dollari agli azionisti attraverso riacquisti e dividendi
- È stato aperto il 5.000° negozio in tutto il mondo

TJX ha rivisto al rialzo le previsioni per FY25 riguardo il margine di profitto ante imposte e l'EPS. L'azienda ha inoltre annunciato un investimento di 360 milioni di dollari per una quota del 35% in Brands For Less, espandendo la sua presenza in Medio Oriente.

Las empresas TJX, Inc. reportaron resultados sólidos para el segundo trimestre del año fiscal 25, superando las expectativas. Los puntos destacados incluyen:

- Las ventas en tiendas comparables aumentaron un 4%, impulsadas por un mayor número de transacciones de clientes
- El margen de beneficio antes de impuestos aumentó al 10.9%, un incremento de 0.5 puntos porcentuales respecto al año anterior
- Las ganancias por acción diluida alcanzaron $0.96, un aumento del 13% en comparación con el año pasado
- Las ventas netas crecieron un 6% hasta llegar a $13.5 mil millones
- Se devolvieron $982 millones a los accionistas a través de recompras y dividendos
- Se abrió la tienda número 5,000 en todo el mundo

TJX elevó su pronóstico para el año fiscal 25 en cuanto al margen de beneficio antes de impuestos y las ganancias por acción. La empresa también anunció una inversión de $360 millones por una participación del 35% en Brands For Less, ampliando su presencia en el Medio Oriente.

TJX 컴퍼니즈, Inc.는 FY25 2분기 실적을 보고하며 예상치를 초과 달성했다고 발표했습니다. 주요 사항은:

- 동Comparable 매장 매출이 4% 증가했으며, 이는 고객 거래 증가에 따른 것입니다.
- 세전 이익률이 10.9%로 상승했으며, 이는 전년 대비 0.5%포인트 증가한 수치입니다.
- 희석 주당 순이익(EPS)는 $0.96에 달해, 작년 대비 13% 증가했습니다.
- 순매출이 6% 증가하여 135억 달러에 달했습니다.
- 9억 8200만 달러를 자사주 매입 및 배당금을 통해 주주들에게 환원했습니다.
- 전 세계적으로 5,000번째 매장이 오픈했습니다.

TJX는 FY25에 대한 세전 이익률 및 EPS 전망을 상향 조정하였습니다. 회사는 또한 중동에서 존재감을 확장하기 위해 Brands For Less에서 35%의 지분을 확보하기 위해 3억 6천만 달러를 투자한다고 발표했습니다.

Les entreprises TJX, Inc. ont annoncé des résultats solides pour le deuxième trimestre de l'exercice 25, dépassant les attentes. Les points forts comprennent :

- Les ventes comparables en magasin ont augmenté de 4 %, soutenues par une augmentation des transactions clients
- La marge bénéficiaire avant impôts a augmenté à 10,9 %, soit une hausse de 0,5 point de pourcentage par rapport à l'année précédente
- Le bénéfice par action dilué a atteint 0,96 $, soit une augmentation de 13 % par rapport à l'année dernière
- Les ventes nettes ont progressé de 6 % pour atteindre 13,5 milliards de dollars
- 982 millions de dollars ont été restitués aux actionnaires par le biais de rachats et de dividendes
- Le 5.000ème magasin a été ouvert dans le monde entier

TJX a relevé ses prévisions pour l'exercice 25 concernant la marge bénéficiaire avant impôts et le BPA. L'entreprise a également annoncé un investissement de 360 millions de dollars pour une participation de 35 % dans Brands For Less, élargissant ainsi sa présence au Moyen-Orient.

Die TJX Companies, Inc. berichteten über starke Ergebnisse im 2. Quartal des Geschäftsjahres 25, die die Erwartungen übertrafen. Die Highlights umfassen:

- Die vergleichbaren Ladenverkaufszahlen stiegen um 4%, was auf eine höhere Kundenanzahl zurückzuführen ist.
- Die Gewinnmarge vor Steuern stieg auf 10,9%, ein Anstieg von 0,5 Prozentpunkten im Vergleich zum Vorjahr
- Der verwässerte Gewinn pro Aktie erreichte 0,96 $, was einem Anstieg von 13 % gegenüber dem Vorjahr entspricht.
- Der Nettoumsatz wuchs um 6 % auf 13,5 Milliarden US-Dollar
- Es wurden 982 Millionen US-Dollar an die Aktionäre durch Rückkäufe und Dividenden zurückgegeben
- Der 5.000. Laden wurde weltweit eröffnet

TJX hob seine Prognose für das Geschäftsjahr 25 bezüglich der Gewinnmarge vor Steuern und des Gewinns pro Aktie an. Das Unternehmen gab außerdem eine Investition von 360 Millionen US-Dollar für eine 35%ige Beteiligung an Brands For Less bekannt, um seine Präsenz im Nahen Osten auszubauen.

Positive
  • Comparable store sales increased 4%, driven by higher customer transactions
  • Pretax profit margin rose to 10.9%, up 0.5 percentage points year-over-year
  • Diluted EPS reached $.96, a 13% increase from last year
  • Net sales grew 6% to $13.5 billion
  • Returned $982 million to shareholders through repurchases and dividends
  • Raised FY25 outlook for pretax profit margin and EPS
  • $360 million investment for a 35% stake in Brands For Less, expanding presence in the Middle East
Negative
  • None.

Insights

TJX's Q2 FY25 results demonstrate strong performance and resilience in the off-price retail sector. The 4% increase in comparable store sales, driven entirely by increased customer transactions, indicates robust consumer demand. The pretax profit margin of 10.9%, up 0.5 percentage points year-over-year, showcases effective cost management and operational efficiency.

The 13% increase in diluted EPS to $0.96 is particularly impressive, surpassing expectations. This, coupled with the company's decision to raise its FY25 pretax profit margin and EPS guidance, signals confidence in sustained growth. The planned investment of $360 million for a 35% stake in Brands For Less indicates a strategic move to expand TJX's global footprint, potentially opening new growth avenues in the Middle East.

Investors should note the company's strong cash position of $5.3 billion and continued commitment to shareholder returns, with $982 million returned through share repurchases and dividends in Q2. The positive outlook for Q3 and the full year further reinforces TJX's strong market position in the off-price retail segment.

TJX's Q2 results underscore the resilience of the off-price retail model in a challenging economic environment. The 5% comparable sales growth at Marmaxx, TJX's largest division, is particularly noteworthy, indicating strong consumer preference for value-oriented shopping experiences. The company's ability to drive growth through increased customer transactions rather than higher prices is a testament to its effective merchandising strategy and value proposition.

The expansion to 5,000 stores worldwide marks a significant milestone, highlighting TJX's successful global expansion strategy. The planned investment in Brands For Less demonstrates a savvy approach to entering new markets, leveraging local expertise while expanding the off-price model internationally.

The 2% decrease in per-store inventory on a constant currency basis suggests improved inventory management, important for maintaining margins in the off-price sector. This, combined with the company's optimistic outlook on buying opportunities, positions TJX well for the upcoming holiday season.

TJX's Q2 performance reflects broader trends in consumer behavior, with shoppers increasingly seeking value in an inflationary environment. The company's ability to grow customer transactions across all divisions indicates a successful adaptation to changing consumer preferences. The 4% growth in HomeGoods suggests resilience in home-related spending, despite broader industry challenges in this category.

The planned investment in Brands For Less is strategically significant, potentially giving TJX a foothold in the rapidly growing Middle Eastern retail market. This move could diversify TJX's revenue streams and provide valuable insights into regional consumer behaviors.

The company's e-commerce growth, though not explicitly quantified, appears to be complementing rather than cannibalizing store sales. This omnichannel approach, combined with TJX's strong store expansion, positions the company well to capture market share across various consumer segments and shopping preferences.

  • Q2 consolidated comparable store sales increased 4%, above the Company’s plan, and were entirely driven by an increase in customer transactions
  • Q2 pretax profit margin of 10.9%, up 0.5 percentage points versus last year and well above the Company’s plan
  • Q2 diluted earnings per share of $.96, up 13% versus last year and well above the Company’s plan
  • Returned $982 million to shareholders in Q2 through share repurchases and dividends
  • Opened 5,000th store worldwide
  • Signed definitive agreement to invest approximately $360 million for a 35% ownership stake in privately held Brands For Less (see below)
  • Increases outlook for FY25 pretax profit margin and earnings per share

FRAMINGHAM, Mass.--(BUSINESS WIRE)-- The TJX Companies, Inc. (NYSE: TJX), the leading off-price apparel and home fashions retailer in the U.S. and worldwide, today announced sales and operating results for the second quarter ended August 3, 2024. Net sales for the second quarter of Fiscal 2025 were $13.5 billion, an increase of 6% versus the second quarter of Fiscal 2024. Second quarter Fiscal 2025 consolidated comparable store sales increased 4%. Net income for the second quarter of Fiscal 2025 was $1.1 billion and diluted earnings per share were $.96, up 13% versus $.85 in the second quarter of Fiscal 2024.

For the first half of Fiscal 2025, net sales were $25.9 billion, an increase of 6% versus the first half of Fiscal 2024. First half Fiscal 2025 consolidated comparable store sales increased 3%. Net income for the first half of Fiscal 2025 was $2.2 billion. First half Fiscal 2025 diluted earnings per share were $1.89, up 17% versus $1.62 in the first half of Fiscal 2024.

CEO and President Comments

Ernie Herrman, Chief Executive Officer and President of The TJX Companies, Inc., stated, “I am extremely pleased with our second quarter performance. Our comparable store sales increase of 4%, pretax profit margin, and earnings per share all exceeded our plans. Our teams sharply executed on our mission to deliver great value to consumers every day. Our overall comp sales growth was entirely driven by customer transactions, which increased at every division. The performance of Marmaxx, our largest division, was outstanding, with a comp sales increase of 5%. With our strong second quarter results, we are raising our full-year guidance for both pretax profit margin and earnings per share. The third quarter is off to a strong start. We see excellent buying opportunities in the marketplace and are strongly positioned to ship fresh and compelling merchandise to our stores and online throughout the fall and holiday selling seasons. We marked a milestone for our Company in the second quarter by opening our 5,000th store! Longer term, we are excited about our potential to capture additional market share in all of our geographies and to continue our global growth, while delivering great value to more consumers around the world and driving the profitability of TJX.”

Comparable Store Sales by Division

The Company’s comparable store sales by division for the second quarter of Fiscal 2025 and Fiscal 2024 were as follows:

 

Second Quarter
C
omparable Store Sales1

 

FY2025

FY2024

 

 

 

Marmaxx (U.S.)2

+5%

+8%

HomeGoods (U.S.)3

+2%

+4%

TJX Canada

+2%

+1%

TJX International (Europe & Australia)

+1%

+3%

 

 

 

TJX

+4%

+6%

1Comparable store sales excludes e-commerce. 2Includes TJ Maxx, Marshalls, and Sierra stores. 3Includes HomeGoods and Homesense stores.

Net Sales by Division

The Company’s net sales by division for the second quarter of Fiscal 2025 and Fiscal 2024 were as follows:

 

Second Quarter Net Sales
($ in millions)1

Second Quarter
FY2025
Reported Sales
Growth

Second Quarter
FY2025
Sales Growth on a
Constant
Currency Basis
2

 

FY2025

FY2024

 

 

 

 

 

Marmaxx (U.S.)3

$8,445

$7,903

+7%

N.A.

HomeGoods (U.S.)4

$2,101

$2,011

+4%

N.A.

TJX Canada

$1,244

$1,223

+2%

+4%

TJX International (Europe & Australia)5

$1,678

$1,621

+4%

+3%

 

 

 

 

 

TJX

$13,468

$12,758

+6%

+6%

1Net sales in TJX Canada and TJX International include the impact of foreign currency exchange rates. 2Reflects net sales adjusted for the impact of foreign currency; see Impact of Foreign Currency Exchange Rates, below. 3Includes TJ Maxx, Marshalls, and Sierra stores as well as their e-commerce sites. 4Includes HomeGoods and Homesense stores (and homegoods.com for FY2024 only). 5Includes TK Maxx and Homesense stores, as well as TK Maxx e-commerce sites in Europe.

Margins

For the second quarter of Fiscal 2025, the Company’s pretax profit margin was 10.9%, up 0.5 percentage points versus last year’s second quarter pretax profit margin of 10.4%.

The Company’s second quarter Fiscal 2025 pretax profit margin was above the high-end of its plan by 0.4 percentage points primarily due to a benefit from lower freight costs and stronger sales, partially offset by higher incentive compensation accruals and a contribution to the TJX Foundation.

Gross profit margin for the second quarter of Fiscal 2025 was 30.4%, a 0.2 percentage point increase versus the second quarter of Fiscal 2024. Selling, general and administrative (SG&A) costs as a percent of sales for the second quarter of Fiscal 2025 were 19.8%, a 0.3 percentage point decrease versus the second quarter of Fiscal 2024.

Impact of Foreign Currency Exchange Rates

Changes in foreign currency exchange rates affect the translation of sales and earnings of the Company’s international businesses into U.S. dollars for financial reporting purposes. In addition, ordinary course, inventory-related hedging instruments are marked to market at the end of each quarter. Changes in currency exchange rates can have a material effect on the magnitude of these translations and adjustments when there is significant volatility in currency exchange rates. Given the global operations of the Company, to facilitate comparability, the Company has provided sales growth and inventory on a constant currency basis, which assumes a constant exchange rate between periods for translation based on the rate in effect for the prior period.

The movement in foreign currency exchange rates had a neutral impact on the Company’s net sales growth in the second quarter and the first half of Fiscal 2025 versus the prior year. The overall net impact of foreign currency exchange rates was neutral for the Company’s second quarter and first half Fiscal 2025 diluted earnings per share.

A table detailing the impact of foreign currency on TJX’s net sales and pretax margins, as well as those of its international businesses, can be found in the Investors section of TJX.com.

The foreign currency exchange rate impact to diluted earnings per share does not include the impact currency exchange rates have on various transactions, which the Company refers to as “transactional foreign exchange.”

Inventory

Total inventories as of August 3, 2024 were $6.5 billion, compared to $6.6 billion at the end of the second quarter of Fiscal 2024. Consolidated inventories on a per-store basis as of August 3, 2024, including distribution centers, but excluding inventory in transit, the Company’s e-commerce sites, and Sierra stores, were down 2% on both a reported and constant currency basis versus last year. Inventory on a constant currency basis reflects inventory adjusted for the impact of foreign currency exchange rates, if any, as described above. The Company is pleased with its inventory levels and is confident it is well-positioned to take advantage of the excellent availability of quality, branded merchandise in the marketplace and flow exciting goods to its stores and online throughout the fall and holiday season.

Cash and Shareholder Distributions

For the second quarter of Fiscal 2025, the Company generated $1.6 billion of operating cash flow and ended the quarter with $5.3 billion of cash.

During the second quarter of Fiscal 2025, the Company returned a total of $982 million to shareholders. The Company repurchased $559 million of TJX stock, retiring 5.1 million shares, and paid $423 million in shareholder dividends during the quarter.

During the first half of Fiscal 2025, the Company returned a total of $1.9 billion to shareholders. The Company repurchased a total of $1.1 billion of TJX stock, retiring 10.4 million shares, and paid $800 million in shareholder dividends.

The Company continues to expect to repurchase approximately $2.0 to $2.5 billion of TJX stock during the fiscal year ending February 1, 2025. The Company may adjust the amount purchased under this plan up or down depending on various factors. The Company remains committed to returning cash to its shareholders while continuing to invest in the business to support the near- and long-term growth of TJX.

Third Quarter and Full Year Fiscal 2025 Outlook

For the third quarter of Fiscal 2025, the Company is planning consolidated comparable store sales to be up 2% to 3%, pretax profit margin to be in the range of 11.8% to 11.9%, and diluted earnings per share to be in the range of $1.06 to $1.08.

For the full year Fiscal 2025, the Company is now planning consolidated comparable store sales to be up approximately 3%. The Company is increasing its outlook for pretax profit margin to be approximately 11.2% and increasing its diluted earnings per share outlook to be in the range of $4.09 to $4.13. As a reminder, last year’s full year and fourth quarter pretax profit margin and earnings per share benefited from an extra week in the Company’s fiscal calendar.

Investment in Brands for Less

The Company announced today that it has signed a definitive agreement to make an investment of approximately $360 million, subject to customary working capital adjustments, for a 35% ownership stake in privately held Brands for Less (BFL). BFL is based in Dubai and is the region’s only major off-price branded apparel, toys, and home fashions retailer. The transaction is expected to close later this fiscal year, and TJX’s investment represents a non-controlling, minority position in BFL. BFL currently operates over 100 stores, primarily in the UAE and Saudi Arabia, as well as an e-commerce business. As TJX seeks to continue its global growth, this transaction gives the Company an opportunity to invest in an established, off-price retailer with significant growth potential. The Company’s ownership in BFL is expected to be slightly accretive to earnings per share beginning in Fiscal 2026. The Company will record this investment using the equity method of accounting from the date of the investment. Further, TJX will report its share of BFL’s financial results on a one quarter delay. BofA Securities acted as financial advisor and Ropes & Gray LLP provided legal counsel to the Company in connection with this transaction.

Stores by Concept

During the fiscal quarter ended August 3, 2024, the Company increased its store count by 29 stores overall to a total of 5,001 stores and increased square footage by 0.5% versus the prior quarter.

 

Store Locations1
Second Quarter FY2025

Gross Square Feet
Second Quarter FY2025
(in millions)

 

Beginning

End

Beginning

End

 

 

 

 

 

In the U.S.:

 

 

 

 

TJ Maxx

1,322

1,326

35.7

35.9

Marshalls

1,201

1,204

33.8

33.8

HomeGoods

922

930

21.5

21.7

Sierra

97

101

2.0

2.1

Homesense

59

62

1.6

1.7

In Canada:

 

 

 

 

Winners

303

304

8.3

8.3

HomeSense

158

160

3.7

3.8

Marshalls

106

108

2.8

2.9

In Europe:

 

 

 

 

TK Maxx

644

645

17.9

17.9

Homesense

78

77

1.5

1.4

In Australia:

 

 

 

 

TK Maxx

82

84

1.7

1.7

 

 

 

 

 

TJX

4,972

5,001

130.5

131.2

1Store counts above include both banners within a combo or a superstore.

About The TJX Companies, Inc.

The TJX Companies, Inc., a Fortune 100 company, is the leading off-price retailer of apparel and home fashions in the U.S. and worldwide. Our mission is to deliver great value to customers every day. We do this by offering a rapidly changing assortment of quality, fashionable, brand name, and designer merchandise at prices generally 20% to 60% below full-price retailers’ regular prices on comparable merchandise. We operate over 5,000 stores across nine countries, including TJ Maxx, Marshalls, HomeGoods, Homesense, and Sierra in the U.S.; Winners, HomeSense, and Marshalls in Canada; TK Maxx and Homesense in Europe, and TK Maxx in Australia. We also operate e-commerce sites for TJ Maxx, Marshalls, and Sierra in the U.S. and three sites for TK Maxx in Europe. Our value mission extends to our corporate responsibility efforts, which are focused on supporting our Associates, giving back in the communities we serve, the environment, and operating responsibly. Additional information about TJX’s press releases, financial information, and corporate responsibility are available at TJX.com.

Second Quarter Fiscal 2025 Earnings Conference Call

At 11:00 a.m. ET today, Ernie Herrman, Chief Executive Officer and President of TJX, will hold a conference call to discuss the Company’s second quarter Fiscal 2025 results, operations, and business trends. A real-time webcast of the call will be available to the public at TJX.com. A replay of the call will also be available by dialing (866) 367-5577 (toll free) or (203) 369-0233 through Tuesday, August 27, 2024, or at TJX.com.

Non-GAAP Financial Information

The Company reports its financial results in accordance with generally accepted accounting principles in the U.S. (GAAP). However, management believes that certain non-GAAP financial measures may provide users of this financial information additional meaningful comparisons between current results and results in prior operating periods and between results in prior periods and expectations for future periods. Management believes that these non-GAAP financial measures can provide additional meaningful reflection of underlying trends of the business because they provide a comparison of historical information that excludes certain items that affect overall comparability. Non-GAAP financial measures used in this press release include sales growth on a constant currency basis and inventory on a constant currency basis. The Company uses these non-GAAP financial measures in making financial, operating and planning decisions and in evaluating the Company’s performance, including relative to others in the market. Management also uses these non-GAAP measures to consider underlying trends of the Company’s business and believes presenting these measures also provides information to investors and others for understanding and evaluating trends in the Company’s operating results or measuring performance in the same manner as the Company’s management. Non-GAAP financial measures should be considered in addition to, and not as an alternative for, the Company’s reported results prepared in accordance with GAAP. The use of these non-GAAP financial measures may differ from similar measures reported by other companies and may not be comparable to other similarly titled measures.

Important Information at Website

Archived versions of the Company’s conference calls are available in the Investors section of TJX.com after they are no longer available by telephone, as are reconciliations of non-GAAP financial measures to GAAP financial measures and other financial information. The Company routinely posts information that may be important to investors in the Investors section at TJX.com. The Company encourages investors to consult that section of its website regularly.

Forward-looking Statement

Various statements made in this release are forward-looking, and are inherently subject to a number of risks and uncertainties. All statements that address activities, events or developments that we intend, expect or believe may occur in the future are forward-looking statements, including, among others, statements regarding the Company’s anticipated operating and financial performance, business plans and prospects, dividends and share repurchases, third quarter, fourth quarter, and full-year Fiscal 2025 outlook. These statements are typically accompanied by the words “aim,” “anticipate,” “aspire,” “believe,” “continue,” “could,” “should,” “estimate,” “expect,” “forecast,” “goal,” “hope,” “intend,” “may,” “plan,” “project,” “potential,” “seek,” “strive,” “target,” “will,” “would,” or similar words, although not all forward-looking statements contain these identifying words. Each forward-looking statement contained in this press release is inherently subject to risks, uncertainties and potentially inaccurate assumptions that could cause actual results to differ materially from those expressed or implied by such statement. We cannot guarantee that the results and other expectations expressed, anticipated or implied in any forward-looking statement will be realized. Applicable risks and uncertainties include, among others, execution of buying strategy and inventory management; customer trends and preferences; competition; various marketing efforts; operational and business expansion; management of large size and scale; merchandise sourcing and transport; data security and maintenance and development of information technology systems; labor costs and workforce challenges; personnel recruitment, training and retention; corporate and retail banner reputation; evolving corporate governance and public disclosure regulations and expectations with respect to environmental, social and governance matters; expanding international operations; fluctuations in quarterly operating results and market expectations; inventory or asset loss; cash flow; mergers, acquisitions, or business investments and divestitures, closings or business consolidations; real estate activities; economic conditions and consumer spending; market instability; severe weather, serious disruptions or catastrophic events; disproportionate impact of disruptions during this fiscal year; commodity availability and pricing; fluctuations in currency exchange rates; compliance with laws, regulations and orders and changes in laws, regulations and applicable accounting standards; outcomes of litigation, legal proceedings and other legal or regulatory matters; quality, safety and other issues with our merchandise; tax matters; and other factors set forth under Item 1A of our most recent Annual Report on Form 10-K, as well as other information we file with the Securities and Exchange Commission ( “SEC”).

We caution investors, potential investors and others not to place considerable reliance on the forward-looking statements contained in this release. You are encouraged to read any further disclosures we may make in our future reports to the SEC, available at www.sec.gov, on our website, or otherwise. Our forward-looking statements in this release speak only as of the date of this release, and we undertake no obligation to update or revise any of these statements, unless required by law, even if experience or future changes make it clear that any projected results expressed or implied in such statements will not be realized. Our business is subject to substantial risks and uncertainties, including those referenced above. Investors, potential investors, and others should give careful consideration to these risks and uncertainties.

 

The TJX Companies, Inc. and Consolidated Subsidiaries

Financial Summary

(Unaudited)

(In Millions Except Per Share Amounts)

 

 

Thirteen Weeks Ended

Twenty-Six Weeks Ended

 

August 3,
2024

July 29,
2023

August 3,
2024

July 29,
2023

 

 

 

 

 

Net sales

$

13,468

$

12,758

$

25,947

$

24,541

 

 

 

 

 

Cost of sales, including buying and occupancy costs

 

9,380

 

8,910

 

18,119

 

17,284

Selling, general and administrative expenses

 

2,666

 

2,559

 

5,066

 

4,797

Interest (income) expense, net

 

(46)

 

(38)

 

(96)

 

(75)

 

 

 

 

 

Income before income taxes

 

1,468

 

1,327

 

2,858

 

2,535

Provision for income taxes

 

369

 

338

 

689

 

655

 

 

 

 

 

Net income

$

1,099

$

989

$

2,169

$

1,880

 

 

 

 

 

Diluted earnings per share

$

0.96

$

0.85

$

1.89

$

1.62

 

 

 

 

 

Cash dividends declared per share

$

0.375

$

0.3325

$

0.75

$

0.665

 

 

 

 

 

Weighted average common shares – diluted

 

1,144

 

1,161

 

1,145

 

1,163

 

The TJX Companies, Inc. and Consolidated Subsidiaries

Condensed Balance Sheets

(Unaudited)

(In Millions)

 

 

August 3,
2024

July 29,
2023

 

 

 

Assets:

 

 

Current assets:

 

 

Cash and cash equivalents

$

5,250

$

4,550

Accounts receivable and other current assets

 

1,170

 

1,203

Merchandise inventories

 

6,470

 

6,585

 

 

 

Total current assets

 

12,890

 

12,338

 

 

 

Net property at cost

 

6,968

 

6,166

 

 

 

Operating lease right of use assets

 

9,513

 

9,406

Goodwill

 

95

 

95

Other assets

 

1,089

 

917

 

 

 

Total assets

$

30,555

$

28,922

 

 

 

Liabilities and shareholders' equity:

 

 

Current liabilities:

 

 

Accounts payable

$

4,503

$

4,438

Accrued expenses and other current liabilities

 

4,497

 

4,261

Current portion of operating lease liabilities

 

1,621

 

1,618

 

 

 

Total current liabilities

 

10,621

 

10,317

 

 

 

Other long-term liabilities

 

960

 

915

Non-current deferred income taxes, net

 

162

 

132

Long-term operating lease liabilities

 

8,166

 

8,089

Long-term debt

 

2,864

 

2,861

 

 

 

Shareholders’ equity

 

7,782

 

6,608

 

 

 

Total liabilities and shareholders' equity

$

30,555

$

28,922

 

 

 

The TJX Companies, Inc. and Consolidated Subsidiaries

Condensed Statements of Cash Flows

(Unaudited)

(In Millions)

 

 

Twenty-Six Weeks Ended

 

August 3,
2024

July 29,
2023

Cash flows from operating activities:

 

 

Net income

$

2,169

$

1,880

Adjustments to reconcile net income to net cash provided by operating activities:

Depreciation and amortization

 

529

 

467

Deferred income tax provision

 

43

 

16

Share-based compensation

 

84

 

70

Changes in assets and liabilities:

 

 

(Increase) in accounts receivable and other assets

 

(14)

 

(15)

(Increase) in merchandise inventories

 

(512)

 

(734)

(Increase) in income taxes recoverable

 

(54)

 

(28)

Increase in accounts payable

 

648

 

619

(Decrease) in accrued expenses and other liabilities

 

(449)

 

(206)

(Decrease) increase in net operating lease liabilities

 

(11)

 

0

Other, net

 

(67)

 

17

Net cash provided by operating activities

 

2,366

 

2,086

 

 

 

Cash flows from investing activities:

 

 

Property additions

 

(982)

 

(820)

Purchase of investments

 

(23)

 

(17)

Sales and maturities of investments

 

15

 

18

Net cash (used in) investing activities

 

(990)

 

(819)

 

 

 

Cash flows from financing activities:

 

 

Repayment of debt

 

 

(500)

Payments for repurchase of common stock

 

(1,068)

 

(1,041)

Cash dividends paid

 

(803)

 

(725)

Proceeds from issuance of common stock

 

191

 

81

Other

 

(42)

 

(29)

Net cash (used in) financing activities

 

(1,722)

 

(2,214)

 

 

 

Effect of exchange rate changes on cash

 

(4)

 

20

 

 

 

Net (decrease) in cash and cash equivalents

 

(350)

 

(927)

Cash and cash equivalents at beginning of year

 

5,600

 

5,477

 

 

 

Cash and cash equivalents at end of period

$

5,250

$

4,550

 

The TJX Companies, Inc. and Consolidated Subsidiaries

Selected Information by Major Business Segment

(Unaudited)

(In Millions)

 

 

Thirteen Weeks Ended

Twenty-Six Weeks Ended

 

August 3,
2024

July 29,
2023

August 3,
2024

July 29,
2023

Net sales:

 

 

 

 

In the United States:

 

 

 

 

Marmaxx

$

8,445

$

7,903

$

16,195

$

15,269

HomeGoods

 

2,101

 

2,011

 

4,180

 

3,977

TJX Canada

 

1,244

 

1,223

 

2,357

 

2,261

TJX International

 

1,678

 

1,621

 

3,215

 

3,034

Total net sales

$

13,468

$

12,758

$

25,947

$

24,541

Segment profit:

 

 

 

 

In the United States:

 

 

 

 

Marmaxx

$

1,191

$

1,084

$

2,288

$

2,112

HomeGoods

 

191

 

175

 

389

 

319

TJX Canada

 

187

 

192

 

324

 

309

TJX International

 

73

 

32

 

134

 

70

Total segment profit

 

1,642

 

1,483

 

3,135

 

2,810

General corporate expense

 

220

 

194

 

373

 

350

Interest (income) expense, net

 

(46)

 

(38)

 

(96)

 

(75)

Income before income taxes

$

1,468

$

1,327

$

2,858

$

2,535

 

The TJX Companies, Inc. and Consolidated Subsidiaries

Notes to Consolidated Condensed Statements

  1. During the second quarter ended August 3, 2024, the Company returned $982 million to shareholders, repurchasing and retiring 5.1 million shares of its common stock at a cost of $559 million and paid $423 million in shareholder dividends. During the six months ended August 3, 2024, the Company returned $1.9 billion to shareholders, repurchasing and retiring 10.4 million shares of its common stock at a cost of $1.1 billion and paid $800 million in shareholder dividends. During the second quarter of Fiscal 2025, the Company completed the $1.0 billion that remained as of February 3, 2024 from the previously announced stock repurchase program. In February 2024, the Company announced that the Board of Directors had approved a new stock repurchase program that authorizes the repurchase of up to an additional $2.5 billion of TJX common stock from time to time. Under this program, TJX had approximately $2.5 billion available for repurchase as of August 3, 2024.

 

Debra McConnell

Global Communications

(508) 390-2323

Source: The TJX Companies, Inc.

FAQ

What was TJX's comparable store sales growth in Q2 FY25?

TJX reported a 4% increase in comparable store sales for Q2 FY25.

How much did TJX's diluted earnings per share (EPS) grow in Q2 FY25?

TJX's diluted EPS grew by 13% to $.96 in Q2 FY25 compared to $.85 in Q2 FY24.

What was TJX's pretax profit margin in Q2 FY25?

TJX's pretax profit margin for Q2 FY25 was 10.9%, up 0.5 percentage points from the previous year.

How many stores does TJX now operate worldwide?

TJX opened its 5,000th store worldwide during Q2 FY25.

What investment did TJX announce in Brands For Less?

TJX announced a $360 million investment for a 35% ownership stake in Brands For Less, a Middle Eastern off-price retailer.

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