TJX Raises FY 2027 EPS Guidance to $5.08–$5.15 After Q1 Beat
TJX reported Q1 net sales of $14.3 billion, net income of $1.3 billion and EPS of $1.19 versus $0.92 last year, with consolidated comps up 6%. The company raised FY 2027 comparable sales outlook to 4% and EPS guidance to $5.08–$5.15, citing margin gains from favorable inventory and fuel hedges.
1. Q1 Financial Results
TJX generated $14.3 billion in net sales for Q1, delivering $1.3 billion in net income and diluted EPS of $1.19, up from $0.92 year-over-year. Consolidated comparable store sales rose 6%, driven by increased customer transactions across its banners.
2. Division Performance
HomeGoods led with a 9% comparable sales gain, followed by TJX Canada at 7% and the Marmaxx division at 6%, while international operations achieved 4% growth. Net sales climbed 7% to $8.65 billion for Marmaxx, 11% to $2.51 billion for HomeGoods, 12% to $1.29 billion for TJX Canada, and 13% to $1.88 billion for TJX International.
3. Margin Improvement
Gross profit margin improved to 31.3%, up 1.8 percentage points year-over-year, driven by higher merchandise margins, favorable inventory conditions, fuel hedges, and expense leverage on sales. Leadership attributed the margin expansion to strong branded merchandise availability at lower costs.
4. Fiscal 2027 Outlook
For Q2, TJX expects consolidated comparable sales growth of 2%–3%, pretax profit margin of 11.4%–11.5%, and EPS of $1.15–$1.17. Full-year guidance has been raised to 4% comparable sales growth, pretax margins of 11.9%–12.0%, and EPS of $5.08–$5.15, while anticipating a headwind from higher fuel costs.