TJX Q1 earnings up 41%, boosts FY outlook

FRAMINGHAM, Mass. — The TJX Companies reported that net sales for the first quarter of fiscal 2013 increased 11% to $5.8 billion and consolidated comparable-store sales increased 8%. Net income for the first quarter was $419 million and diluted earnings per share were 55 cents.

Carol Meyrowitz, CEO., stated, “We are extremely pleased that our strong momentum continued in the first quarter. Consolidated comparable-store sales increased 8% and earnings per share were up 41% over last year’s adjusted EPS. We are particularly pleased that our performance was so strong across the board, with our U.S., Canadian and European businesses all delivering outstanding results. We saw significant increases in customer traffic across all divisions in the first quarter over last year, which we believe points to the strength of our values and our brand content. We are convinced that we will continue to grow our customer base with our compelling values, more powerful marketing and upgraded shopping experience. May is off to a strong start and we begin the second quarter in an excellent inventory position to buy into current opportunities in the marketplace and continue shipping great fashions and brands at great prices to our stores. We are excited about our prospects for the remainder of 2012 and beyond and our ability to continue achieving profitable growth and excellent financial returns in the short and long term.”

For the second quarter of fiscal 2013, the company expects diluted earnings per share to be in the range of 47 cents to 50 cents, which represents a 4% to 11% increase more than 45 cents per share last year.

For the fiscal year ending Feb. 2, 2013, on a GAAP basis, the company is raising its guidance for diluted earnings per share to be in the range of $2.27 to $2.37, compared with $1.93 in earnings per share in fiscal 2012. This guidance represents a 14% to 19% increase over the prior year’s adjusted earnings per share from continuing operations of $1.99 and is now based upon estimated consolidated comparable-store sales growth of 2% to 3%.