TJX beats Street with Q1 profit

Framingham, Mass. – The TJX Cos. enjoyed a successful first quarter of fiscal 2016 that included profit results surpassing Wall Street expectations. TJX reported net income of $474.6 million, up 4% from $454.32 million a year earlier.



Growth in expenses and cost of sales did not keep pace with revenue growth, resulting in higher pretax income that fueled the profit increase. Net sales rose 6% to $6.86 billion from $6.49 billion. Total same-store sales growth of 5%, driven by increased customer traffic, helped boost revenue.



“Our outstanding values and exciting mix of apparel and home fashions continue to resonate with shoppers across all of our geographies,” said Carol Meyrowitz, CEO of TJX. “It was great to see that, similar to last quarter, comp sales were almost entirely driven by customer traffic and we had a significant increase in units sold. At the same time, we also saw a strong increase in our merchandise margins.”