TJX tops Street 3Q forecasts for earnings, revenue
FRAMINGHAM, Mass. (AP) — The TJX Cos. topped analyst expectations for its fiscal third quarter, helped by better-than-expected sales from established locations of the parent of T.J. Maxx, Marshalls and other stores.
Shares of the Framingham, Massachusetts, company jumped 2 percent in morning trading Tuesday.
TJX said that its net income slipped about 1 percent to $587.3 million in the third quarter.
But per-share results of 86 cents topped analyst expectations by two cents, according to Zacks Investment Research.
TJX revenue rose 5 percent to $7.75 billion, beating the average Street forecast for $7.68 billion
The retailer operated 3,594 stores in nine countries and three e-commerce sites as of Oct. 31. That included 1,149 T.J. Maxx locations and 1,001 Marshalls stores.
The company said sales from its established stores rose 5 percent in the quarter, which "significantly exceeded" its expectations. Sales from established stores are an important retail metric because they exclude the impact of stores that have opened or closed.
TJX forecast fiscal fourth-quarter earnings of between 91 and 93 cents per share and full-year earnings of $3.26 to $3.28 per share, both of which fall short of analyst expectations.
Analysts forecast, on average, earnings of 98 cents per share in the quarter and $3.32 for the full year, according to FactSet.
Company shares jumped $1.61, or 2.4 percent, to $67.26 in morning trading while the Standard & Poor's 500 index rose slightly.
TJX shares had slipped more than 4 percent since the beginning of the year, as of Monday's market close, while the S&P 500 index has stayed nearly flat.
Elements of this story were generated by Automated Insights (http://automatedinsights.com/ap) using data from Zacks Investment Research. Access a Zacks stock report on TJX at http://www.zacks.com/ap/TJX
Keywords: TJX, Earnings Report