TJX Companies Inc. (TJX) announced its financial results for the third quarter above consensus forecast, sending its shares up more than 6 percent on Wednesday morning.
The Framingham, Massachusetts-based off-price retailer posted earnings of $866.7 million, or 71 cents per share, for the three-month period ended October 31, slightly higher than $828.3 million, or 68 cents per share, in the comparable period last year. Analysts on average were looking for earnings of 40 cents per share.
Revenue for the quarter came in at $10.12 billion, just shy of $10.45 billion in the year-ago quarter. Analysts surveyed by FactSet had projected revenue of $9.38 billion for the quarter.
Chief Executive Officer at TJX, Ernie Herrman said “our third quarter results significantly exceeded our plans on both the top and bottom lines as consumers were drawn to our compelling brands and values. This is such a great testament to our global Associates. I am particularly proud of their dedication to our health and safety protocols for Associates and customers, and grateful to our store, distribution and fulfillment center Associates who are physically coming into work to keep our business open.”
TJX revealed a new scale, called open-only comp store sales, for reporting comparable store sales for the days when its stores were operating. The company said the usual definition of comp-store sales in not valid for the third quarter, as many of its stores stayed closed due to the pandemic. The company said it open-only comparable stores sales decreased 5 percent in the quarter.
The company did not offer any financial outlook due to the growing uncertainty amid the Covid-19 pandemic. However, TJX said its open-only comp store sales fell 7 percent during the first two weeks of the current quarter.
TJX (NYSE: TJX) shares hit a new 52-week high of $65.14 this morning following the results.
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