TJX key revenue figure rose 6 pct in September
FRAMINGHAM, Mass. -- The owner of the TJ Maxx and Marshalls clothing store chains said Thursday that revenue in shops open at least a year rose 6 percent in September, beating Wall Street predictions.
Analysts polled by Thomson Reuters expected an increase of 4.5 percent for TJX Cos. The metric is a key measure of a retailer's health, because it excludes sales at stores that recently opened or closed. Those stores can skew business trends.
More customers visited stores, lifting sales, said TJX CEO Carol Meyrowitz. She also noted strength in the company's European business despite the weakening economy there. Discounters like TJX have benefited as consumers look for bargains and keep a close eye on their spending in the modest economic recovery from the recession.
The company, which is based in Framingham, Mass., and also operates HomeGoods stores, said total revenue for the five weeks through Sept. 29 rose 10 percent to $2.5 billion a year ago.
The company said it would have raised its earnings outlook for the third quarter because of its strong September, but is leaving its guidance at 56 to 59 cents per share because it is taking a 2-cent charge related to pension costs.
It expects earnings to come in at the high end of that range. Analysts polled by FactSet expect a profit of 56 cents per share for the quarter, which ends in October.
In the year through September, revenue at stores open at least a year increased 8 percent, while total revenue rose 10 percent to $16.1 billion.
TJX shares rose 29 cents to $45.50 in morning trading. Shares are up 41 percent this year.