TJX, Ross continue discounter dominance
FRAMINGHAM, Mass. and PLEASANTON, Calif. — Fashion discounters continue to thrive in this economy, with TJX and Ross Stores continuing to report impressive monthly sales results.
TJX reported June sales of $2.3 billion, an increase of 9% over the $2.1 billion achieved during the same period last year. Consolidated comparable-store sales for the five-week period increased 7% over last year.
Carol Meyrowitz, CEO of TJX., stated, “We are very pleased our strong trends continued in June. Our 7% consolidated comparable store sales increase significantly exceeded our expectations and was achieved over 5% growth last year. It is great to see such consistent, strong performance across the Company, with all of our businesses in the U.S., Canada and Europe continuing to deliver excellent results. Customer traffic during the month increased substantially at every division which speaks to the tremendous appeal of our values, brands and fashions for consumers.”
Based on its strong performance in June, TJX is now expecting its quarterly earnings per share to be in the range of 52 cents to 53 cents, which would represent double-digit growth on top of double-digit growth in last year’s second quarter. The company is also raising its full year EPS guidance to $2.31 to $2.39.
Ross Stores monthly sales rose 12% to $886 million, up from $793 million for the same period last year. Comparable-store sales for the month grew 7% on top of a 5% increase last year.
Michael Balmuth, vice chairman and CEO, commented, "We are pleased with our better-than-expected June sales. Our ongoing ability to deliver terrific name brand bargains to today's value-focused shoppers drove broad-based merchandise and geographic sales gains during the month."
Ross has raised its EPS guidance for the second quarter to range of 77 cents to 78 cents from its previous guidance of 72 cents to 75 cents.