US’ TJX Companies’ net sales climb 9% to $54.2 bn in FY24

TJX Companies, a US-based leading off-price apparel and home fashions retailer, has recorded a 9 per cent increase in net sales, reaching $54.2 billion for fiscal 2024 (FY24), compared to fiscal 2023. The consolidated comparable store sales saw a healthy 5 per cent increase, contributing significantly to the company’s success.

Net income for the fiscal soared to $4.5 billion, with diluted earnings per share jumping 30 per cent to $3.86, up from $2.97 in the previous fiscal. Adjusted diluted earnings per share also saw a noteworthy rise, increasing by 21 per cent to $3.76 from the FY23’s $3.11, the company said in a press release.

TJX Companies reported a 9 per cent sales increase to $54.2 billion in FY24, with net income rising to $4.5 billion.
EPS jumped 30 per cent to $3.86.
The company’s pretax profit margin reached 11 per cent, and gross profit margin was 30 per cent.
Q4 FY24 saw sales of $16.4 billion, up 13 per cent, with a net income of $1.4 billion and EPS of $1.22.

TJX Companies’ pretax profit margin climbed to 11 per cent, up 1.7 percentage points from the previous year’s 9.3 per cent. The gross profit margin for the fiscal was reported at 30 per cent, marking a 2.4 percentage point increase from the last fiscal’s 27.6 per cent. Even after adjusting for the extra week in fiscal 2024, the adjusted gross profit margin stood at 29.9 per cent, up 2.3 percentage points compared to the previous year.

However, the company also saw an increase in selling, general, and administrative costs, which accounted for 19.3 per cent of sales for the year, up 1.4 percentage points from FY23.

In the fourth quarter of fiscal 2024 (Q4 FY24), TJX Companies reported net sales of $16.4 billion, a 13 per cent increase over Q4 FY24. Comparable store sales remained consistent with the annual trend, increasing by 5 per cent. Net income for the quarter stood at $1.4 billion, with diluted earnings per share up 37 per cent to $1.22 compared to $.89 in the corresponding quarter of the previous fiscal. Adjusted diluted earnings per share on a 13-week basis increased by 26 per cent to $1.12.

The gross profit margin for the quarter improved significantly to 29.8 per cent, a 3.7 percentage point increase from the previous year’s quarter. Adjusted gross profit margin also showed a strong performance at 29.5 per cent, up 3.4 percentage points. Selling, general, and administrative costs as a percent of sales rose to 18.9 per cent, reflecting a 1.9 percentage point increase from the last year’s quarter.

“We saw comp sales growth at every division driven by customer transactions, which underscores our confidence in our ability to gain market share across all of our geographies. We had a very strong finish to 2023 and start the new year in a position of strength with the first quarter off to a good start. Longer term, we are excited about the potential we see to strategically grow our business, capture additional market share, and increase the profitability of our company,” said Ernie Herrman, chief executive officer and president of the TJX Companies.

Fibre2Fashion News Desk (DP)