TJX starts new financial year with turnover increase

US retail group TJX Companies Inc. increased its turnover again in the first quarter of the 2025/26 financial year. Although profits fell short of the level of the previous year, they exceeded management's forecast. This is according to current figures presented on Wednesday by the off-price specialist, which is represented in Europe by its TK Maxx and Homesense chains.

Ernie Herrman, the chief executive officer and president of the group, drew a positive conclusion in view of the latest developments. He explained in a statement: “I am very pleased with our results in the first quarter. Total turnover rose by 3 percent on a like-for-like (LFL) basis, putting it at the upper end of our plans, and both profitability and earnings per share were above our expectations.”

In the opening quarter, which ended on May 3, group turnover reached 13.1 billion dollars. This represented an increase of 5 percent compared to the same period last year. On a like-for-like basis, revenues grew by 3 percent.

Group confirms its annual forecasts

Due to a slightly lower gross margin and higher operating costs, however, earnings fell. Net profit was 1.04 billion dollars, around 3 percent below the level of the same quarter last year. Diluted earnings per share decreased from 0.93 to 0.92 dollars.

The management stuck to its annual forecasts for 2025/26. Assuming that tariffs remain the same, it continues to expect a LFL turnover increase in the range of 2 to 3 percent and a pre-tax profit margin of between 11.3 and 11.4 percent. Diluted earnings per share, which totalled 4.26 dollars last year, are expected to increase to between 4.34 and 4.43 dollars.