TJX shares rise after earnings beat, guidance raised
Shares of off-price retailer TJX Cos. rose as much as 2% in Tuesday premarket trading after it reported first-quarter earnings that beat expectations and raised its outlook. Net income of $700.2 million, or 57 cents per share, was down from $716.4 million, or 56 cents per share, last year, but beat the 55-cent FactSet EPS consensus. Revenue totaled $9.28 billion, up from $8.69 billion last year and ahead of the $9.22 billion FactSet guidance. Same-store sales rose 5%, led by TJX International (up 8%) and Marmaxx (up 6%). The FactSet expectation was for 3.6% growth. "With our above-plan first quarter results, we are raising our full-year earnings per share outlook," said Chief Executive Ernie Herrman in a statement. For the second quarter, TJX expects EPS of 61 cents to 62 cents and same-store sales growth of 2% to 3%. FactSet expects EPS of 62 cents and same-store sales growth of 2.7%. For the year, TJX now expects EPS in the range of $2.56 to $2.61, up 5% to 7% from last year. Prior guidance was for an increase in the range of 4% to 7%. TJX stock has rallied 18.4% for the year to date while the S&P 500 index has gained 13.3% for the period.
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