Frugal shoppers boost T.J. Maxx parent's results
(Reuters) - TJX Cos Inc (TJX.N), the owner of the low-price T.J. Maxx and Marshalls chains, reported better-than-expected quarterly sales, bucking a trend of weak results at a host of retailers.
TJX shares rose 4 percent to $52.74 in premarket trading.
Many retailers across the price spectrum, from Macy's Inc (M.N) to Wal-Mart Stores Inc (WMT.N), have reported disappointing comparable-store sales, as consumers face higher payroll taxes, more expensive gasoline and a slow job market.
TJX said same-store sales rose 4 percent in the quarter as more customers walked through its doors. This beat the average analyst estimate of a 3 percent increase.
The company said it expects same-store sales to rise 2 to 3 percent in the current quarter.
TJX, whose chains sells fashion and home goods at big discounts to department store prices, forecast current-quarter earnings of 69 to 72 cents per share, in line with Wall Street estimates.
Second-quarter net income rose to $479.6 million, or 66 cents per share, in the quarter ended August 3, from $421 million, or 56 cents per share, a year earlier.
Net sales rose 8 percent to $6.44 billion.
Analysts on average had expected earnings of 63 cents per share on revenue of $6.37 billion according to Thomson Reuters I/B/E/S.
(Reporting by Siddharth Cavale in Bangalore; Editing by Saumyadeb Chakrabarty)