TJX Cos. (TJX) Q4 2025 earnings | Global News Avenue

TJX Company The release of a more than expected holiday quarter driven entirely by customer transactions suggests that the low-price giant is still taking market share from department stores and other discounts as price-conscious consumers are looking for deals.

The discounts behind TJ Maxx, Marshall’s and Home Goods beat Wall Street’s expectations on the top and bottom line, but provide careful guidance for guidance in the current fiscal year and quarter.

According to StreetAccount, TJX’s 2026 plan saw comparable sales increase by 2% to 3%, lower than Wall Street’s forecast of 3.4%. According to LSEG, its fiscal 2026 earnings guide is between $4.34 and $4.43 per share, well below the estimate of $4.59 per share, and its current quarter forecast also looks weaker than expected.

TJX expects comparable sales to climb between 2% and 3%, lagging behind StreetAccount estimates, with earnings per share expected to be between 87 and 89 cents. According to LSEG, analysts are looking for 99 cents per share.

The company said in a press release that it expects earnings to grow by 3% in fiscal 2026, with strong dollar and adverse exchange rates expected. These conditions are Influenced other retailers For example Levi Strauss. Wall Street doesn’t seem to punish TJX for its prospects as stocks rose more than 3% in listing trading.

According to an LSEG survey of analysts, how TJX performed in the fourth quarter of its fiscal 2025 compared to Wall Street expectations.

• Earnings per share: $1.23 vs. $1.16 Expected
• income: $16.35 billion vs. $16.2 billion expected

The company reported net income at the end of three months at $140 billion, or $1.23 per share, about the same period last year, compared with $140 billion, or $1.22 per share a year ago.

Sales were basically unchanged at $16.35 billion, compared with $16.41 billion in the same period last year. During the same period last year, TJX benefited from additional sales weeks that were not available in fiscal 2025.

While sales remained flat for the quarter, TJX had nearly the same revenue in the 13 weeks of fiscal 2025, the same revenue in the 14 weeks of fiscal 2024. Comparable sales, which is a key industry metric that excludes new stores and online sales, also grew by 5. In its fourth quarter, the percentage was estimated at 3.1%, according to StreetAccount data.

TJX sales rose 4% to $56.4 billion throughout the fiscal year, while selling for less than the same period last year.

“Our fourth quarter sales, profitability and EPS all exceeded our expectations. I’m particularly pleased that the overall competitive store sales growth in the quarter was due to Comp sales and customers in each division. The result is strong growth in the deal,” CEO Ernie Herrman said in a press release.

“Long-term, we have seen many opportunities to successfully grow our business and bring value to more consumers around the world,” he added.

TJX has said before High theft rate and other forms of stock loss, called contraction, In its storebut these trends seem to be slowing down. The company said its pre-tax margin and gross margin benefited from “lower-than-expected inventory shrinkage charges.”

For fiscal 2025, lower contraction fees increased TJX’s gross profit margin by 0.2 percentage points.

Last year, TJX said it had deployed body cameras in some of its stores and said the devices effectively reduced shrinkage. Executives say cameras are an effective downgrade tool and people are unlikely to behave when they know they are being videotaped.

In December, CNBC reported Walmart have Deploy similar programs.

The torture behind TJ Maxx, Marshall’s and Homegoods has been on a heavy growth path over the past few years as consumers look for cheaper options in the face of ongoing inflation, high interest rates and a continuing option Uncertain economic prospects.

Shoppers who have been to department stores Macy’s Department Store,,,,, Cole’s Even a inventory Target Hope to buy not only clothes, but also household items and other discretionary items they want, but are reluctant to pay the full price for it.

This trade effect has been a boon for TJX, and even as its growth begins to slow, it is one of a handful of retailers that will benefit from President Donald Trump’s tariff policies. Avoid high tariffs for imports from China and Potential Mexico and CanadaSome companies have been in stock and over-ordered delivery.

If they can’t end up selling through that inventory and eventually need to liquidate it in a low-priced channel, this could be beneficial to TJX, who has long benefited from supply chain disruptions and other “chaotic” in the market, Herrman, Herrman Tell analysts in November When the company reports third-quarter earnings.

As TJX’s growth slows in the United States, the plate begins to expand overseas. It is a stake in a brand that is a low-priced store chain based in Dubai and plans to enter Spain early next year.

Comparable sales of Canada TJX increased by 10% in the quarter, and more than 6% in the previous year. Comparable sales of TJX International, including Europe and Australia, rose 7% after a 3% increase last year.

Comparable sales growth for Marmaxx, including TJ Maxx, Marshall’s and Sierra fell slightly to 4%, compared to 5% before the year. Homegoods and Homesense also saw a lower sales growth rate of 5%, compared with 7% a year ago.

Neil Saunders, managing director of GlobalData, said in a research note that the TJX home goods brand does manage to outperform the entire market, suggesting that the company is in an environment that is particularly difficult for furniture and home retailers. share.

“The location here is helpful because the consumer’s focus is on minor updates to decor and refreshing things, such as soft furniture or lighting in the room,” Sanders said. “This involves the strongest family.” Categories of habits and family history. As ever, a good new level (especially in seasonal decor) is very helpful in attracting flows to the store.”