The TJ Maxx logo is displayed at a TJ Maxx store on August 20, 2025 in Pasadena, California.
Mario Tama | Getty Images
The CEO of TJX Cos. said Wednesday that the Christmas shopping season is off to a “strong start,” as the discounter behind TJ Maxx, Home Goods and Marshalls reported fiscal third-quarter results that beat expectations for revenue and bottom line.
“Merchandise availability continues to be exceptional and we are excited about the offerings we are seeing in the marketplace,” CEO Ernie Herrman said in a press release. He said TJX’s brands are “strongly positioned as gifting destinations for value-conscious shoppers this holiday season.”
Still, the retailer’s holiday forecast fell short of Wall Street’s expectations. Assuming current pricing levels remain in effect, the company expects comparable sales to grow between 2% and 3% in the current quarter, lower than growth expectations of 3.1%, according to StreetAccount. TJX expects earnings per share to be between $1.33 and $1.36, which is also just below expectations of $1.37, according to LSEG.
The company’s shares were up less than 1% in afternoon trading.
Here’s how TJX performed in the quarter compared to what Wall Street expected, based on a survey of analysts by LSEG:
- Earnings per share: $1.28 versus $1.22 expected
- Income: $15.12 billion versus $14.85 billion expected
The company’s reported net income for the three months ended Nov. 1 was $1.44 billion, or $1.28 per share, compared with $1.30 billion, or $1.14 per share, a year earlier.
Sales reached $15.12 billion, up 7% from $14.06 billion a year earlier.
During the third quarter, comparable sales rose 5%, well above expectations for 3.7% growth, according to StreetAccount.
TJX raised its guidance after better-than-expected third-quarter results. Although the forecast for the current quarter was weaker than Wall Street expected, its outlook for the full year turned out to be stronger.
For fiscal 2026, TJX now expects comparable sales to increase 4%, better than the 3.4% growth expected by analysts, according to StreetAccount. He expects earnings per share to be between $4.63 and $4.66, better than the $4.61 analysts expected, according to LSEG.
The off-price retailer has grown faster than expected in recent years thanks to value-seeking consumers who are still willing to buy new clothes, but looking for an impressive discount. Although uncertain economic times pose a challenge for most businesses, they tend to help low-cost retailers due to a knock-down effect from wealthier shoppers.
Even higher rates have been seen as a positive for TJX, because if they force price increases elsewhere, it’s all the more reason to shop at a low-cost store, the company has said previously.