TJX Q3 Net Profit Down; Revises FY EPS View - Quick Facts

(RTTNews) - Off-price retailer TJX Companies Inc. (TJX) reported that its third-quarter net income declined to $595 million from last year's $622.66 million, with earnings per share edging down year-over-year to $0.85 from $0.86, which included a tax benefit of $0.11. Excluding this benefit, earnings per share increased 13% on an adjusted basis over last year's adjusted $0.75 per share. The impact of foreign currency exchange rates to this year's third quarter earnings per share was neutral versus the company's expectation of a $.01 per share benefit.

Net sales for the third quarter of Fiscal 2015 increased 6% to $7.4 billion from $6.98 billion in the year-ago quarter, and consolidated comparable store sales increased 2% over last year's 5% growth.

For the fourth quarter of fiscal 2015, the company is updating its earnings per share guidance to be in the range of $.86 to $.90, which would represent a 6% to 11% increase over last year's $.81 per share. Also, it is maintaining its outlook for estimated consolidated comparable store sales growth to be 1% to 2% and merchandise margins to be up. Analysts expect the company to report earnings of $0.94 per share for the fourth quarter.

The Company is updating its annual guidance range to reflect its third quarter results and fourth quarter guidance. On a reported basis, for the fiscal year ending January 31, 2015, the firm now sees earnings per share to be in the range of $3.07 to $3.11. On an adjusted basis, excluding the second quarter debt extinguishment charge of an estimated $.02 per share, this guidance would be $3.09 to $3.13. Analysts project annual earnings per share of $3.17.