TJX Companies Inc (NYSE:TJX) reported better-than-expected sales in the third quarter as more shoppers visited its stores.
The retailer said third-quarter comparable store sales increased 6%, well above its expectations, and were entirely driven by customer traffic.
Comparable store sales increased 7% at Marmaxx and increased 9% at HomeGoods with the third-quarter pre-tax profit margin 12.0%, up 0.8 percentage points versus last year and above the company’s plan
Net sales were $13.3 billion, up 9% from a year ago, with net income $1.2 billion and diluted EPS of $1.03, up 13% versus from $0.91 last year.
Ernie Herrman, chief executive officer and president, said: “I am extremely pleased with our third-quarter performance and strong execution of our teams as our comp store sales, pre-tax profit margin, and earnings per share all exceeded our expectations.”
“I am particularly pleased with the results at our Marmaxx and HomeGoods divisions, which delivered terrific comp sales increases entirely driven by customer traffic.
“Customer traffic was up across all divisions, our overall apparel sales remained very strong, and home sales were outstanding and accelerated sequentially versus the second quarter.
“Going forward, we continue to see excellent opportunities to grow sales and customer traffic, capture market share, and drive the profitability of our company,” he said.