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TJX(TJX) - 2026 Q1 - Quarterly Results
TJXTJX(TJX)2025-05-21 13:16
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Financial Performance - Q1 FY26 net sales reached 13.1billion,a513.1 billion, a 5% increase compared to Q1 FY25[2] - Consolidated comparable sales increased by 3%, driven by an increase in customer transactions[4] - Q1 pretax profit margin was 10.3%, above the company's plan but down from 11.1% in the previous year[7] - Q1 diluted earnings per share were 0.92, slightly below 0.93inQ1FY25[2]−NetsalesforthethirteenweeksendedMay3,2025,were0.93 in Q1 FY25[2] - Net sales for the thirteen weeks ended May 3, 2025, were 13,111 million, an increase of 5.1% from 12,479millionforthesameperiodin2024[28]−Netincomeforthesameperiodwas12,479 million for the same period in 2024[28] - Net income for the same period was 1,036 million, a decrease of 3.2% compared to 1,070millionintheprioryear[28]−Dilutedearningspersharewere1,070 million in the prior year[28] - Diluted earnings per share were 0.92, down from 0.93inthepreviousyear[28]−TotalsegmentprofitforthethirteenweeksendedMay3,2025,was0.93 in the previous year[28] - Total segment profit for the thirteen weeks ended May 3, 2025, was 1,531 million, compared to 1,493millioninthesameperiodlastyear,markinga2.51,493 million in the same period last year, marking a 2.5% increase[36] Shareholder Returns - The company returned 1.0 billion to shareholders in Q1 through share repurchases and dividends[10] - The company returned 1billiontoshareholders,repurchasing5.1millionsharesatacostof1 billion to shareholders, repurchasing 5.1 million shares at a cost of 613 million and paying 420millionindividendsduringthefirstquarter[37]−Thecompanyannouncedanewstockrepurchaseprogramauthorizingtherepurchaseofuptoanadditional420 million in dividends during the first quarter[37] - The company announced a new stock repurchase program authorizing the repurchase of up to an additional 2.5 billion of common stock[37] Inventory and Assets - Total inventories as of May 3, 2025, were 7.1billion,upfrom7.1 billion, up from 6.2 billion a year earlier[9] - Merchandise inventories increased to 7,127millionfrom7,127 million from 6,218 million year-over-year, reflecting a rise of 14.6%[30] - Total assets grew to 31,858million,upfrom31,858 million, up from 29,679 million, representing an increase of 7.3%[30] Future Guidance - For Q2 FY26, the company expects consolidated comparable sales to increase by 2% to 3%[13] - Full year FY26 guidance maintains expectations for comparable sales growth of 2% to 3% and diluted EPS in the range of 4.34to4.34 to 4.43[14] Currency Impact - The impact of foreign currency exchange rates had a neutral effect on net sales growth but negatively impacted diluted EPS by 0.02[18]StoreExpansion−Thecompanyincreaseditsstorecountby36toatotalof5,121storesduringthequarter[15]CashFlow−Cashandcashequivalentsattheendoftheperiodwere0.02[18] Store Expansion - The company increased its store count by 36 to a total of 5,121 stores during the quarter[15] Cash Flow - Cash and cash equivalents at the end of the period were 4,255 million, down from 5,059million,adecreaseof15.85,059 million, a decrease of 15.8%[34] - The company reported a net cash provided by operating activities of 394 million, significantly lower than $737 million in the prior year[34]