Debra McConnell FOR IMMEDIATE RELEASE
TJX REPORTS Q2 FY27 RESULTS; ABOVE-PLAN COMP SALES GROWTH OF 4%; PRETAX PROFIT MARGIN AND DILUTED EPS BOTH WELL ABOVE PLAN; INCREASES FULL YEAR FY27 PRETAX PROFIT MARGIN AND EPS GUIDANCE
Adjusted results throughout this press release exclude a benefit from International Emergency Economic Powers Act (“IEEPA”) tariff refunds that are partially offset by related incremental compensation expense accruals (see below)
Q2 consolidated comparable sales increased 4%, which was above the Company’s plan
Q2 pretax profit margin of 13.3%, up 1.9 percentage points versus last year and well above the Company’s plan
Q2 adjusted pretax profit margin of 11.9%, up 0.5 percentage points versus last year and well above the Company’s plan
Q2 diluted earnings per share of $1.36, up 24% versus last year and well above the Company’s plan
Q2 adjusted diluted earnings per share of $1.22, up 11% versus last year and well above the Company’s plan
Returned $1.3 billion to shareholders in Q2 through share repurchases and dividends
Increases full year FY27 pretax profit margin and diluted earnings per share guidance
Plans to increase store growth to 4% beginning in FY28 and increases long-term global store target to 7,500 stores
Framingham, MA – The TJX Companies, Inc. (NYSE: TJX), the leading off-price apparel and home fashions retailer in the U.S. and worldwide, today announced sales and operating results for the second quarter ended August 1, 2026. Net sales for the second quarter of Fiscal 2027 were $15.2 billion, an increase of 5% versus the second quarter of Fiscal 2026. Second quarter Fiscal 2027 consolidated comparable sales increased 4%. Net income for the second quarter of Fiscal 2027 was $1.5 billion. Second quarter Fiscal 2027 diluted earnings per share were $1.36, up 24% versus $1.10 in the second quarter of Fiscal 2026. Excluding a $.14 net benefit from tariff refunds, second quarter Fiscal 2027 adjusted diluted earnings per share were $1.22, up 11% versus the prior year.
For the first half of Fiscal 2027, net sales were $29.5 billion, an increase of 7% versus the first half of Fiscal 2026. First half Fiscal 2027 consolidated comparable sales increased 5%. Net income for the first half of Fiscal 2027 was $2.9 billion. First half Fiscal 2027 diluted earnings per share were $2.55, up 26% versus $2.02 in the first half of Fiscal 2026. Excluding a $.14 net benefit from tariff refunds, adjusted diluted earnings per share for the first half of Fiscal 2027 were $2.41, up 19% versus the prior year.
Ernie Herrman, Chief Executive Officer and President of The TJX Companies, Inc., stated, “I am very pleased with our above-plan consolidated results in the second quarter. Overall comparable sales increased 4%, above our plan, and both profitability and earnings per share well exceeded our expectations. While sales at Marmaxx were below our expectations, HomeGoods, TJX Canada, and TJX International all delivered terrific comp sales increases of 6% to 7%, which underscores the strength of our global diversified business. With our strong second quarter profit results, we are raising our pretax profit margin and earnings per share outlook for the full year. Looking ahead, the third quarter is off to a strong start, and we are seeing improvement at our Marmaxx division to start the quarter. Availability of branded, quality merchandise continues to be outstanding, and we have many initiatives in place to drive sales and traffic in the upcoming fall and holiday shopping seasons. Further, we are pleased to share that we are planning to accelerate our store openings to 4% starting next year and now believe we can grow our overall global store base to a total of 7,500 stores in our existing retail banners in our current countries over the long term. We remain very confident in the long runway for growth ahead for TJX and we are excited about the opportunities we see to bring great values to even more consumers around the world.”
The Company’s comparable sales by division for the second quarter of Fiscal 2027 and Fiscal 2026 were as follows:
Second Quarter Comparable Sales FY2027 FY2026 Marmaxx (U.S.)1 +1% +3% HomeGoods (U.S.)2 +7% +5% TJX Canada3 +6% +9% TJX International (Europe & Australia)4 +7% +5% TJX +4% +4%
1 Includes TJ Maxx, Marshalls, and Sierra stores as well as their e-commerce sites. 2 Includes HomeGoods and Homesense stores. 3 Includes Winners, HomeSense, and Marshalls stores in Canada. 4 Includes TK Maxx and Homesense stores, as well as TK Maxx e-commerce sites in Europe.
The Company’s net sales by division for the second quarter of Fiscal 2027 and Fiscal 2026 were as follows:
1 Net sales in TJX Canada and TJX International include the impact of foreign currency. 2 Reflects net sales adjusted for the impact of foreign currency; see Impact of Foreign Currency, below. 3 Includes TJ Maxx, Marshalls, and Sierra stores as well as their e-commerce sites. 4 Includes HomeGoods and Homesense stores. 5 Includes Winners, HomeSense, and Marshalls stores in Canada. 6 Includes TK Maxx and Homesense stores, as well as TK Maxx e-commerce sites in Europe. 2
For the second quarter of Fiscal 2027, the Company’s pretax profit margin was 13.3%, up 1.9 percentage points versus last year’s 11.4%. Excluding a 1.4 percentage point net benefit from tariff refunds, adjusted pretax profit margin was 11.9%, up 0.5 percentage points versus the prior year.
Gross profit margin for the second quarter of Fiscal 2027 was 33.4%, up 2.7 percentage points versus last year’s 30.7%. Excluding a 2.0 percentage point net benefit from tariff refunds, adjusted gross profit margin was 31.4%, up 0.7 percentage points versus the prior year. This was driven by an increase in merchandise margin.
SG&A costs as a percent of sales for the second quarter of Fiscal 2027 were 20.3%, up 0.8 percentage points versus last year’s 19.5%. Excluding a 0.6 percentage point negative impact from tariff refund related incremental compensation expense accruals, adjusted SG&A costs as a percent of sales were 19.7%, up 0.2 percentage points versus the prior year. This was driven by incremental store wage and payroll costs.
Net interest income had a neutral impact to second quarter Fiscal 2027 pretax profit margin versus the prior year.
Total inventories as of August 1, 2026 were $7.9 billion, compared to $7.4 billion at the end of the second quarter of Fiscal 2026. Consolidated inventories on a per-store basis as of August 1, 2026, including distribution centers, but excluding inventory in transit and the Company’s e-commerce sites, were up 2% on a reported basis, and up 3% on a constant currency basis, versus last year. The Company is well positioned to take advantage of the outstanding availability in the marketplace and flow fresh assortments to its stores and online this fall. Inventory on a constant currency basis reflects inventory adjusted for the impact of foreign currency, if any, as described below.
For the second quarter of Fiscal 2027, the Company generated $2.2 billion of operating cash flow and ended the quarter with $6.0 billion of cash.
During the second quarter of Fiscal 2027, the Company returned a total of $1.3 billion to shareholders. The Company repurchased 5.1 million shares of TJX stock for a total of $798 million and paid $529 million in shareholder dividends.
During the first half of Fiscal 2027, the Company returned a total of $2.4 billion to shareholders. The Company repurchased 8.9 million shares of TJX stock for a total of $1.4 billion and paid $1.0 billion in shareholder dividends.
The Company continues to expect to repurchase approximately $2.75 to $3.0 billion of TJX stock during Fiscal 2027. The Company may adjust the amount purchased under this plan up or down depending on various factors. The Company remains committed to returning cash to its shareholders while continuing to invest in the business to support the near- and long-term growth of TJX. 3
During the second quarter of Fiscal 2027, the Company received aggregate refunds of $331 million for a portion of the IEEPA tariffs it previously paid. As a result, these tariff refunds benefitted the Company’s second quarter Fiscal 2027 cost of sales. Due to these tariff refunds, the Company accrued incremental expenses of $112 million for year-end incentive compensation and discretionary bonuses for eligible Associates globally which impact both the Company’s second quarter Fiscal 2027 cost of sales and SG&A costs. The net benefit of tariff refunds was $219 million for the Company’s second quarter Fiscal 2027 pretax profit. The impact of tariff refunds and related incremental compensation expense accruals to the Company’s second quarter Fiscal 2027 gross profit margin, SG&A costs, pretax profit margin, and diluted earnings per share were as follows:
FY2027 Second Quarter First Half Gross profit margin 33.4% 32.4% Net benefit from tariff refunds1 -2.0% -1.1% Adjusted gross profit margin 31.4% 31.3% SG&A costs as a percent of sales 20.3% 19.9% Impact from tariff refund related incremental compensation expense -0.6% -0.3% accruals2 Adjusted SG&A costs as a percent of 19.7% 19.6% sales Pretax profit margin 13.3% 12.7% Net benefit from tariff refunds -1.4% -0.8% Adjusted pretax profit margin 11.9% 11.9% Diluted earnings per share $1.36 $2.55 Net benefit from tariff refunds -$.14 -$.14 Adjusted diluted earnings per share $1.22 $2.41
1 Includes the gain from tariff refunds and a portion of the related incremental expense accruals for year-end incentive compensation and discretionary bonuses. 2 Includes a portion of the tariff refund related incremental expense accruals for year-end incentive compensation and discretionary bonuses. 4 Additionally, tariff refunds benefit the segment profit of the Company’s U.S. segments and the related incremental expense accruals for year-end incentive compensation and discretionary bonuses impact the segment profit of each of the Company’s segments. The impact to the segment profit margin of each of the Company’s segments for the second quarter of Fiscal 2027 were as follows:
FY2027 Second Quarter First Half Marmaxx (U.S.) Segment profit margin 15.6% 15.2% Net benefit from tariff refunds1 -1.4% -0.8% Adjusted segment profit margin 14.2% 14.4% HomeGoods (U.S.) Segment profit margin 17.6% 15.2% Net benefit from tariff refunds1 -5.2% -2.5% Adjusted segment profit margin 12.4% 12.7% TJX Canada Segment profit margin 15.6% 13.8% Impact from tariff refund related incremental compensation expense 0.7% 0.3% accruals2 Adjusted segment profit margin 16.3% 14.1% Impact from foreign currency3 0.0% 0.1% Adjusted segment profit margin on a 16.3% 14.2% constant currency basis3 TJX International (Europe & Australia) Segment profit margin 6.4% 5.6% Impact from tariff refund related incremental compensation expense 0.9% 0.4% accruals2 Adjusted segment profit margin 7.3% 6.0% Impact from foreign currency3 0.0% 0.1% Adjusted segment profit margin on a 7.3% 6.1% constant currency basis3
1 Includes the gain from tariff refunds and the related incremental year-end compensation expense accruals for the segment. 2 Includes tariff refund related incremental year-end compensation expense accruals for the segment. 3 Reflects segment profit margin adjusted for the impact of foreign currency; see Impact of Foreign Currency, below.
Reconciliations detailing the benefit of tariff refunds and related incremental compensation expense accruals on the Company’s second quarter Fiscal 2027 results and forward guidance can also be found in the Investors section of TJX.com. 5 Third Quarter, Full Year Fiscal 2027, and Store Growth Outlook
In the third quarter of Fiscal 2027, the Company expects to receive additional IEEPA tariff refunds, which it expects to benefit the Company’s third quarter Fiscal 2027 cost of sales. Due to these expected tariff refunds, the Company expects to accrue incremental expense for year-end incentive compensation and discretionary bonuses that will impact the Company’s third quarter Fiscal 2027 cost of sales and SG&A costs. The amount, timing and likelihood of additional tariff refund recovery remain uncertain. The total amount of refunds received may not equal the full amount of IEEPA related tariffs paid, and additional refunds remain subject to further legal, regulatory or administrative developments.
For the third quarter of Fiscal 2027, the Company is planning consolidated comparable sales to be up 2% to 3%. The Company expects pretax profit margin to be in the range of 12.8% to 12.9%. Excluding an expected net benefit of 0.5 percentage points from tariff refunds, the Company expects adjusted pretax profit margin to be in the range of 12.3% to 12.4%. The Company expects diluted earnings per share to be in the range of $1.36 to $1.38. Excluding an expected net benefit of $.06 from tariff refunds, the Company expects adjusted diluted earnings per share to be in the range of $1.30 to $1.32.
For the full year Fiscal 2027, the Company continues to expect consolidated comparable sales to be up 3% to 4%. The Company is increasing its full-year pretax profit margin outlook to be in the range of 12.3% to 12.4%. Excluding an expected net benefit of 0.3 percentage points from tariff refunds, the Company is increasing its full-year adjusted pretax profit margin outlook to be in the range of 12.0% to 12.1%. The Company is increasing its full-year diluted earnings per share outlook to be in the range of $5.31 to $5.36. Excluding an expected net benefit of $.16 from tariff refunds, the Company is increasing its full year outlook for adjusted diluted earnings per share to be in the range of $5.15 to $5.20.
Beginning in Fiscal 2028, the Company is planning to accelerate its store opening growth to 4%. The Company is also increasing its long-term global store target by an additional 500 stores to a total of 7,500 stores for its existing retail banners in its current countries. 6
During the fiscal quarter ended August 1, 2026, the Company increased its store count by 23 stores overall to a total of 5,285 stores and increased total square footage by 0.4% versus the prior quarter.
Changes in foreign currency exchange rates affect the translation of sales and earnings of the Company’s international businesses into U.S. dollars for financial reporting purposes. In addition, ordinary course, inventory-related hedging instruments are marked to market at the end of each quarter. Changes in currency exchange rates can have a material effect on the magnitude of these translations and adjustments when there is significant volatility in currency exchange rates. Given the global operations of the Company, to facilitate comparability, the Company has provided sales growth and inventory on a constant currency basis, which assumes a constant exchange rate between periods for translation based on the rate in effect for the prior period.
The movement in foreign currency exchange rates had a one percentage point negative impact on the Company’s net sales growth in the second quarter of Fiscal 2027 versus the prior year. The overall net impact of foreign currency exchange rates had a $.01 positive impact on second quarter Fiscal 2027 diluted earnings per share.
The movement in foreign currency exchange rates had a neutral impact on the Company’s net sales growth in the first half of Fiscal 2027 versus the prior year. The overall net impact of foreign currency exchange rates had a $.02 positive impact on the first half Fiscal 2027 diluted earnings per share.
The foreign currency exchange rate impact to diluted earnings per share does not include the impact currency exchange rates have on various transactions, which the Company refers to as “transactional foreign exchange.”
Additionally, a table detailing the impact of foreign currency on TJX’s net sales and pretax profit margin, as well as those of its international businesses, can be found in the Investors section of TJX.com. 7
The TJX Companies, Inc., a Fortune 100 company, is the leading off-price retailer of apparel and home fashions in the U.S. and worldwide. Our mission is to deliver great value to customers every day. We do this by offering a rapidly changing assortment of quality, fashionable, brand name, and designer merchandise at prices generally 20% to 60% below full-price retailers’ regular prices on comparable merchandise. We operate over 5,200 stores across ten countries, including TJ Maxx, Marshalls, HomeGoods, Homesense, and Sierra in the U.S.; Winners, HomeSense, and Marshalls in Canada; TK Maxx and Homesense in Europe; and TK Maxx in Australia. We also operate e-commerce sites for TJ Maxx, Marshalls, and Sierra in the U.S. and three sites for TK Maxx in Europe. Our value mission extends to our corporate responsibility efforts, which are focused on supporting our Associates, giving back in the communities we serve, the environment, and operating responsibly. Additional information about TJX’s press releases, financial information, and corporate responsibility are available at TJX.com.
At 11:00 a.m. ET today, Ernie Herrman, Chief Executive Officer and President of TJX, will hold a conference call to discuss the Company’s second quarter Fiscal 2027 results, operations, and business trends. A real-time webcast of the call will be available to the public at TJX.com. A replay of the call will also be available by dialing (866) 367-5577 (toll free) or (203) 369-0233 through Wednesday, August 26, 2026, or at TJX.com.
The Company reports its financial results in accordance with generally accepted accounting principles in the U.S. (GAAP). However, management believes that certain non-GAAP financial measures may provide users of this financial information additional meaningful comparisons between current results and results in prior operating periods and between results in prior periods and expectations for future periods. Management believes that these non-GAAP financial measures can provide additional meaningful reflection of underlying trends of the business because they provide a comparison of historical information that excludes certain items that affect overall comparability. The Company uses these non-GAAP financial measures in making financial, operating, and planning decisions and in evaluating the Company’s performance, including relative to others in the market. Management also uses these non-GAAP measures to consider underlying trends of the Company’s business and believes presenting these measures also provides information to investors and others to assist them in understanding and evaluating trends in the Company’s operating results or measure performance in the same manner as the Company’s management. Non-GAAP financial measures should be considered in addition to, and not as an alternative to, the Company’s reported results prepared in accordance with GAAP. The use of these non-GAAP financial measures may differ from similar measures reported by other companies and may not be comparable to other similarly titled measures.
Archived versions of the Company’s conference calls are available in the Investors section of TJX.com after they are no longer available by telephone, as are reconciliations of non-GAAP financial measures to GAAP financial measures and other financial information. The Company routinely posts information that may be important to investors in the Investors section at TJX.com. The Company encourages investors to consult that section of its website regularly. 8 Cautionary Note Regarding Forward-Looking Statements
This release contains “forward-looking statements.” These forward-looking statements generally can be identified by the use of words such as “aim,” “anticipate,” “approximately,” “believe,” “continue,” “could,” “estimate,” “expect,” “forecast,” “goal,” “intend,” “may,” “plan,” “potential,” “project,” “seek,” “should,” “strive,” “target,” “will,” and “would,” or any variations of these words or other words with similar meanings. These forward-looking statements address various matters that we intend, expect or believe may occur in the future, including, among others, statements regarding the Company’s anticipated operating and financial performance, business plans and prospects, dividends and share repurchases, tariff refunds and third quarter, full year Fiscal 2027 and store growth outlook. Each forward-looking statement contained in this press release is inherently subject to risks, uncertainties and potentially inaccurate assumptions that could cause actual results to differ materially from those expressed or implied by such statement.
We cannot guarantee that the results and other expectations expressed, anticipated or implied in any forward-looking statement will be realized. Applicable risks and uncertainties include, among others, execution of buying strategy and inventory management; customer trends and preferences; competition; various marketing efforts; operational and business expansion; management of large size and scale; merchandise sourcing and transport; international trade and tariff policies; data security and maintenance and development of information technology systems; labor costs and workforce challenges; personnel recruitment, training and retention; corporate and retail banner reputation; evolving corporate governance and public disclosure regulations and expectations with respect to environmental, social and governance matters; expanding international operations; fluctuations in anticipated quarterly and annual operating results, financial performance, business plan prospects, investments and market expectations; inventory or asset loss; cash flow and plans with respect to long-term indebtedness; mergers, acquisitions, or business investments and divestitures, closings or business consolidations; real estate activities; economic conditions and consumer spending; market instability; severe weather, serious disruptions or catastrophic events; disproportionate impact of disruptions during certain seasons of the fiscal year; commodity availability and pricing; fluctuations in currency exchange rates; fluctuations in fuel prices; compliance with laws, regulations and orders and changes in laws, regulations and applicable accounting standards; outcomes of litigation, legal proceedings and other legal or regulatory matters; quality, safety and other issues with our merchandise; tax matters; and other factors set forth under Item 1A of our most recent Annual Report on Form 10-K for the fiscal year ended January 31, 2026, as well as the other information we file with the U.S. Securities and Exchange Commission (“SEC”).
We caution investors, potential investors and others not to place considerable reliance on the forward-looking statements contained in this release. You are encouraged to read our filings with the SEC and any further disclosures we may make in our future reports to the SEC, available at www.sec.gov, on our website, or otherwise, for a discussion of these and other risks and uncertainties. Our forward-looking statements in this release speak only as of the date of this release, and we undertake no obligation to update or revise any of these statements, even if experience or future changes make it clear that any projected results expressed or implied in such statements will not be realized. Our business is subject to substantial risks and uncertainties, including those referenced above. Investors, potential investors, and others should give careful consideration to these risks and uncertainties. 9
August 1, August 2, 2026 2025 ──────────────────────────────────────────────────────────────────────── Assets Current assets: Cash and cash equivalents $ 6,004 $ 4,639 Accounts receivable and other current 1,463 1,267 assets Merchandise inventories 7,862 7,372 Total current assets 15,329 13,278 Net property at cost 8,567 7,775 Operating lease right of use assets 11,154 9,978 Goodwill 97 95 Other assets 1,968 1,759 Total assets $ 37,115 $ 32,885 Liabilities and shareholders' equity Current liabilities: Accounts payable $ 5,024 $ 4,698 Accrued expenses and other current 5,622 4,941 liabilities Current portion of operating lease 1,714 1,669 liabilities Current portion of long-term debt 1,000 — Total current liabilities 13,360 11,308 Other long-term liabilities 1,168 1,042 Non-current deferred income taxes, net 333 217 Long-term operating lease liabilities 9,732 8,585 Long-term debt 1,871 2,867 Shareholders’ equity 10,651 8,866 Total liabilities and shareholders' $ 37,115 $ 32,885 equity
Twenty-Six Weeks August 1, August 2, Ended 2026 2025 ────────────────────────────────────────────────────────────────────────────── Cash flows from operating activities: Net income $ 2,852 $ 2,279 Adjustments to reconcile net income to net cash provided by operating activities: Depreciation and amortization 676 604 Deferred income tax provision 64 71 Share-based compensation 85 76 Changes in assets and liabilities: Decrease (increase) in accounts 324 -25 receivable and other assets (Increase) in merchandise -603 -845 inventories (Increase) in income taxes -60 -36 recoverable Increase in accounts payable 470 388 (Decrease) in accrued expenses and other -349 -289 liabilities Increase (decrease) in net operating 5 -5 lease liabilities Other, net -119 -33 Net cash provided by operating 3,345 2,185 activities Cash flows from investing activities: Property additions -1,159 -958 Purchase of equity -5 -5 investments Purchases of investments -28 -21 Sales and maturities of 24 15 investments Net cash (used in) investing -1,168 -969 activities Cash flows from financing activities: Payments for repurchase of -1,418 -1,144 common stock Cash dividends paid -1,005 -898 Proceeds from issuance of 134 104 common stock Other -73 -64 Net cash (used in) financing -2,362 -2,002 activities Effect of exchange rate -41 90 changes on cash Net (decrease) in cash and cash -226 -696 equivalents Cash and cash equivalents at beginning 6,230 5,335 of year Cash and cash equivalents at end of $ 6,004 $ 4,639 period
Notes to Consolidated Condensed Statements 1. During the second quarter of Fiscal 2027, the Company received aggregate refunds of $331 million for a portion of the IEEPA tariffs it previously paid. As a result, this tariff refund benefitted the Company’s second quarter Fiscal 2027 cost of sales. Due to this tariff refund, the Company accrued incremental expense for year-end incentive compensation and discretionary bonuses for eligible Associates globally which impact both the Company’s second quarter Fiscal 2027 cost of sales and SG&A costs. The net benefit of this tariff refund was $219 million for the Company’s second quarter Fiscal 2027 pretax profit.
2. During the second quarter ended August 1, 2026, the Company returned $1.3 billion to shareholders, repurchasing and retiring 5.1 million shares of its common stock at a cost of $798 million and paid $529 million in shareholder dividends. During the six months ended August 1, 2026, the Company returned $2.4 billion to shareholders, repurchasing and retiring 8.9 million shares of its common stock at a cost of $1.4 billion and paid $1.0 billion in shareholder dividends. During the second quarter of Fiscal 2027, the Company completed the $1.1 billion that remained as of January 31, 2026 from the previously announced stock repurchase program. In February 2026, the Company announced that the Board of Directors had approved a new stock repurchase program that authorizes the repurchase of up to an additional $3.0 billion of TJX common stock from time to time. Under this program, TJX had approximately $2.7 billion available for repurchase as of August 1, 2026. 14
Full text with the tables
Exhibit 99.1
CONTACT:
Debra McConnell FOR IMMEDIATE RELEASE
Global Communications Wednesday, August 19, 2026
─────────────────────────────────────────────────────
(508) 390-2323
TJX REPORTS Q2 FY27 RESULTS; ABOVE-PLAN COMP SALES GROWTH OF 4%; PRETAX PROFIT
MARGIN AND DILUTED EPS BOTH WELL ABOVE PLAN; INCREASES FULL YEAR FY27 PRETAX
PROFIT MARGIN AND EPS GUIDANCE
Adjusted results throughout this press release exclude a benefit from
International Emergency Economic Powers Act (“IEEPA”) tariff refunds that are
partially offset by related incremental compensation expense accruals (see
below)
•
Q2 consolidated comparable sales increased 4%, which was above the Company’s
plan
•
Q2 pretax profit margin of 13.3%, up 1.9 percentage points versus last year and
well above the Company’s plan
•
Q2 adjusted pretax profit margin of 11.9%, up 0.5 percentage points versus last
year and well above the Company’s plan
•
Q2 diluted earnings per share of $1.36, up 24% versus last year and well above
the Company’s plan
•
Q2 adjusted diluted earnings per share of $1.22, up 11% versus last year and
well above the Company’s plan
•
Returned $1.3 billion to shareholders in Q2 through share repurchases and
dividends
•
Increases full year FY27 pretax profit margin and diluted earnings per share
guidance
•
Plans to increase store growth to 4% beginning in FY28 and increases long-term
global store target to 7,500 stores
Framingham, MA – The TJX Companies, Inc. (NYSE: TJX), the leading off-price
apparel and home fashions retailer in the U.S. and worldwide, today announced
sales and operating results for the second quarter ended August 1, 2026. Net
sales for the second quarter of Fiscal 2027 were $15.2 billion, an increase of
5% versus the second quarter of Fiscal 2026. Second quarter Fiscal 2027
consolidated comparable sales increased 4%. Net income for the second quarter of
Fiscal 2027 was $1.5 billion. Second quarter Fiscal 2027 diluted earnings per
share were $1.36, up 24% versus $1.10 in the second quarter of Fiscal 2026.
Excluding a $.14 net benefit from tariff refunds, second quarter Fiscal 2027
adjusted diluted earnings per share were $1.22, up 11% versus the prior year.
For the first half of Fiscal 2027, net sales were $29.5 billion, an increase of
7% versus the first half of Fiscal 2026. First half Fiscal 2027 consolidated
comparable sales increased 5%. Net income for the first half of Fiscal 2027 was
$2.9 billion. First half Fiscal 2027 diluted earnings per share were $2.55, up
26% versus $2.02 in the first half of Fiscal 2026. Excluding a $.14 net benefit
from tariff refunds, adjusted diluted earnings per share for the first half of
Fiscal 2027 were $2.41, up 19% versus the prior year.
CEO and President Comments
Ernie Herrman, Chief Executive Officer and President of The TJX Companies, Inc.,
stated, “I am very pleased with our above-plan consolidated results in the
second quarter. Overall comparable sales increased 4%, above our plan, and both
profitability and earnings per share well exceeded our expectations. While sales
at Marmaxx were below our expectations, HomeGoods, TJX Canada, and TJX
International all delivered terrific comp sales increases of 6% to 7%, which
underscores the strength of our global diversified business. With our strong
second quarter profit results, we are raising our pretax profit margin and
earnings per share outlook for the full year. Looking ahead, the third quarter
is off to a strong start, and we are seeing improvement at our Marmaxx division
to start the quarter. Availability of branded, quality merchandise continues to
be outstanding, and we have many initiatives in place to drive sales and traffic
in the upcoming fall and holiday shopping seasons. Further, we are pleased to
share that we are planning to accelerate our store openings to 4% starting next
year and now believe we can grow our overall global store base to a total of
7,500 stores in our existing retail banners in our current countries over the
long term. We remain very confident in the long runway for growth ahead for TJX
and we are excited about the opportunities we see to bring great values to even
more consumers around the world.”
Comparable Sales by Division
The Company’s comparable sales by division for the second quarter of Fiscal 2027
and Fiscal 2026 were as follows:
Second Quarter
Comparable Sales
FY2027 FY2026
Marmaxx (U.S.)1 +1% +3%
HomeGoods (U.S.)2 +7% +5%
TJX Canada3 +6% +9%
TJX International (Europe & Australia)4 +7% +5%
TJX +4% +4%
1 Includes TJ Maxx, Marshalls, and Sierra stores as well as their e-commerce
sites. 2 Includes HomeGoods and Homesense stores. 3 Includes Winners, HomeSense,
and Marshalls stores in Canada. 4 Includes TK Maxx and Homesense stores, as well
as TK Maxx e-commerce sites in Europe.
Net Sales by Division
The Company’s net sales by division for the second quarter of Fiscal 2027 and
Fiscal 2026 were as follows:
Second Second Quarter
Second Quarter Quarter FY2027
Net Sales FY2027 Sales Growth
($ in Reported on a Constant
millions)1 Sales Growth Currency
Basis2
FY2027 FY2026
Marmaxx $9,109 $8,841 +3% N.A.
(U.S.)3
HomeGoods $2,507 $2,286 +10% N.A.
(U.S.)4
TJX Canada5 $1,470 $1,381 +6% +8%
TJX
Internation… $2,094 $1,893 +11% +10%
(Europe &
Australia)6
TJX $15,180 $14,401 +5% +6%
1 Net sales in TJX Canada and TJX International include the impact of foreign
currency. 2 Reflects net sales adjusted for the impact of foreign currency; see
Impact of Foreign Currency, below. 3 Includes TJ Maxx, Marshalls, and Sierra
stores as well as their e-commerce sites. 4 Includes HomeGoods and Homesense
stores. 5 Includes Winners, HomeSense, and Marshalls stores in Canada. 6
Includes TK Maxx and Homesense stores, as well as TK Maxx e-commerce sites in
Europe.
2
Margins
For the second quarter of Fiscal 2027, the Company’s pretax profit margin was
13.3%, up 1.9 percentage points versus last year’s 11.4%. Excluding a 1.4
percentage point net benefit from tariff refunds, adjusted pretax profit margin
was 11.9%, up 0.5 percentage points versus the prior year.
Gross profit margin for the second quarter of Fiscal 2027 was 33.4%, up 2.7
percentage points versus last year’s 30.7%. Excluding a 2.0 percentage point net
benefit from tariff refunds, adjusted gross profit margin was 31.4%, up 0.7
percentage points versus the prior year. This was driven by an increase in
merchandise margin.
SG&A costs as a percent of sales for the second quarter of Fiscal 2027 were
20.3%, up 0.8 percentage points versus last year’s 19.5%. Excluding a 0.6
percentage point negative impact from tariff refund related incremental
compensation expense accruals, adjusted SG&A costs as a percent of sales were
19.7%, up 0.2 percentage points versus the prior year. This was driven by
incremental store wage and payroll costs.
Net interest income had a neutral impact to second quarter Fiscal 2027 pretax
profit margin versus the prior year.
Inventory
Total inventories as of August 1, 2026 were $7.9 billion, compared to $7.4
billion at the end of the second quarter of Fiscal 2026. Consolidated
inventories on a per-store basis as of August 1, 2026, including distribution
centers, but excluding inventory in transit and the Company’s e-commerce sites,
were up 2% on a reported basis, and up 3% on a constant currency basis, versus
last year. The Company is well positioned to take advantage of the outstanding
availability in the marketplace and flow fresh assortments to its stores and
online this fall. Inventory on a constant currency basis reflects inventory
adjusted for the impact of foreign currency, if any, as described below.
Cash and Shareholder Distributions
For the second quarter of Fiscal 2027, the Company generated $2.2 billion of
operating cash flow and ended the quarter with $6.0 billion of cash.
During the second quarter of Fiscal 2027, the Company returned a total of $1.3
billion to shareholders. The Company repurchased 5.1 million shares of TJX stock
for a total of $798 million and paid $529 million in shareholder dividends.
During the first half of Fiscal 2027, the Company returned a total of $2.4
billion to shareholders. The Company repurchased 8.9 million shares of TJX stock
for a total of $1.4 billion and paid $1.0 billion in shareholder dividends.
The Company continues to expect to repurchase approximately $2.75 to $3.0
billion of TJX stock during Fiscal 2027. The Company may adjust the amount
purchased under this plan up or down depending on various factors. The Company
remains committed to returning cash to its shareholders while continuing to
invest in the business to support the near- and long-term growth of TJX.
3
IEEPA Tariff Refunds and Related Expense Accruals
During the second quarter of Fiscal 2027, the Company received aggregate refunds
of $331 million for a portion of the IEEPA tariffs it previously paid. As a
result, these tariff refunds benefitted the Company’s second quarter Fiscal 2027
cost of sales. Due to these tariff refunds, the Company accrued incremental
expenses of $112 million for year-end incentive compensation and discretionary
bonuses for eligible Associates globally which impact both the Company’s second
quarter Fiscal 2027 cost of sales and SG&A costs. The net benefit of tariff
refunds was $219 million for the Company’s second quarter Fiscal 2027 pretax
profit. The impact of tariff refunds and related incremental compensation
expense accruals to the Company’s second quarter Fiscal 2027 gross profit
margin, SG&A costs, pretax profit margin, and diluted earnings per share were as
follows:
FY2027
Second Quarter First Half
Gross profit margin 33.4% 32.4%
Net benefit from tariff refunds1 -2.0% -1.1%
Adjusted gross profit margin 31.4% 31.3%
SG&A costs as a percent of sales 20.3% 19.9%
Impact from tariff refund related
incremental compensation expense -0.6% -0.3%
accruals2
Adjusted SG&A costs as a percent of 19.7% 19.6%
sales
Pretax profit margin 13.3% 12.7%
Net benefit from tariff refunds -1.4% -0.8%
Adjusted pretax profit margin 11.9% 11.9%
Diluted earnings per share $1.36 $2.55
Net benefit from tariff refunds -$.14 -$.14
Adjusted diluted earnings per share $1.22 $2.41
1 Includes the gain from tariff refunds and a portion of the related incremental
expense accruals for year-end incentive compensation and discretionary bonuses.
2 Includes a portion of the tariff refund related incremental expense accruals
for year-end incentive compensation and discretionary bonuses.
4
Additionally, tariff refunds benefit the segment profit of the Company’s U.S.
segments and the related incremental expense accruals for year-end incentive
compensation and discretionary bonuses impact the segment profit of each of the
Company’s segments. The impact to the segment profit margin of each of the
Company’s segments for the second quarter of Fiscal 2027 were as follows:
FY2027
Second Quarter First Half
Marmaxx (U.S.)
Segment profit margin 15.6% 15.2%
Net benefit from tariff refunds1 -1.4% -0.8%
Adjusted segment profit margin 14.2% 14.4%
HomeGoods (U.S.)
Segment profit margin 17.6% 15.2%
Net benefit from tariff refunds1 -5.2% -2.5%
Adjusted segment profit margin 12.4% 12.7%
TJX Canada
Segment profit margin 15.6% 13.8%
Impact from tariff refund related
incremental compensation expense 0.7% 0.3%
accruals2
Adjusted segment profit margin 16.3% 14.1%
Impact from foreign currency3 0.0% 0.1%
Adjusted segment profit margin on a 16.3% 14.2%
constant currency basis3
TJX International (Europe & Australia)
Segment profit margin 6.4% 5.6%
Impact from tariff refund related
incremental compensation expense 0.9% 0.4%
accruals2
Adjusted segment profit margin 7.3% 6.0%
Impact from foreign currency3 0.0% 0.1%
Adjusted segment profit margin on a 7.3% 6.1%
constant currency basis3
1 Includes the gain from tariff refunds and the related incremental year-end
compensation expense accruals for the segment. 2 Includes tariff refund related
incremental year-end compensation expense accruals for the segment. 3 Reflects
segment profit margin adjusted for the impact of foreign currency; see Impact of
Foreign Currency, below.
Reconciliations detailing the benefit of tariff refunds and related incremental
compensation expense accruals on the Company’s second quarter Fiscal 2027
results and forward guidance can also be found in the Investors section of
TJX.com.
5
Third Quarter, Full Year Fiscal 2027, and Store Growth Outlook
In the third quarter of Fiscal 2027, the Company expects to receive additional
IEEPA tariff refunds, which it expects to benefit the Company’s third quarter
Fiscal 2027 cost of sales. Due to these expected tariff refunds, the Company
expects to accrue incremental expense for year-end incentive compensation and
discretionary bonuses that will impact the Company’s third quarter Fiscal 2027
cost of sales and SG&A costs. The amount, timing and likelihood of additional
tariff refund recovery remain uncertain. The total amount of refunds received
may not equal the full amount of IEEPA related tariffs paid, and additional
refunds remain subject to further legal, regulatory or administrative
developments.
For the third quarter of Fiscal 2027, the Company is planning consolidated
comparable sales to be up 2% to 3%. The Company expects pretax profit margin to
be in the range of 12.8% to 12.9%. Excluding an expected net benefit of 0.5
percentage points from tariff refunds, the Company expects adjusted pretax
profit margin to be in the range of 12.3% to 12.4%. The Company expects diluted
earnings per share to be in the range of $1.36 to $1.38. Excluding an expected
net benefit of $.06 from tariff refunds, the Company expects adjusted diluted
earnings per share to be in the range of $1.30 to $1.32.
For the full year Fiscal 2027, the Company continues to expect consolidated
comparable sales to be up 3% to 4%. The Company is increasing its full-year
pretax profit margin outlook to be in the range of 12.3% to 12.4%. Excluding an
expected net benefit of 0.3 percentage points from tariff refunds, the Company
is increasing its full-year adjusted pretax profit margin outlook to be in the
range of 12.0% to 12.1%. The Company is increasing its full-year diluted
earnings per share outlook to be in the range of $5.31 to $5.36. Excluding an
expected net benefit of $.16 from tariff refunds, the Company is increasing its
full year outlook for adjusted diluted earnings per share to be in the range of
$5.15 to $5.20.
Beginning in Fiscal 2028, the Company is planning to accelerate its store
opening growth to 4%. The Company is also increasing its long-term global store
target by an additional 500 stores to a total of 7,500 stores for its existing
retail banners in its current countries.
6
Stores by Concept
During the fiscal quarter ended August 1, 2026, the Company increased its store
count by 23 stores overall to a total of 5,285 stores and increased total square
footage by 0.4% versus the prior quarter.
Store Locations1 Gross Square Feet
Second Quarter Second Quarter
FY2027 FY2027
(in millions)
Beginning End Beginning End
In the U.S.:
TJ Maxx 1,354 1,359 36.5 36.6
Marshalls 1,265 1,267 35.1 35.1
HomeGoods 969 973 22.8 22.9
Sierra 153 156 3.1 3.2
Homesense 84 86 2.3 2.4
In Canada:
Winners 319 320 8.8 8.8
HomeSense 162 162 3.8 3.8
Marshalls 112 112 3.0 3.0
In Europe:
TK Maxx 679 685 18.7 18.8
Homesense 74 74 1.4 1.4
In Australia:
TK Maxx 91 91 1.9 1.9
TJX 5,262 5,285 137.4 137.9
1 Store counts above include both banners within a combo or a superstore.
Impact of Foreign Currency
Changes in foreign currency exchange rates affect the translation of sales and
earnings of the Company’s international businesses into U.S. dollars for
financial reporting purposes. In addition, ordinary course, inventory-related
hedging instruments are marked to market at the end of each quarter. Changes in
currency exchange rates can have a material effect on the magnitude of these
translations and adjustments when there is significant volatility in currency
exchange rates. Given the global operations of the Company, to facilitate
comparability, the Company has provided sales growth and inventory on a constant
currency basis, which assumes a constant exchange rate between periods for
translation based on the rate in effect for the prior period.
The movement in foreign currency exchange rates had a one percentage point
negative impact on the Company’s net sales growth in the second quarter of
Fiscal 2027 versus the prior year. The overall net impact of foreign currency
exchange rates had a $.01 positive impact on second quarter Fiscal 2027 diluted
earnings per share.
The movement in foreign currency exchange rates had a neutral impact on the
Company’s net sales growth in the first half of Fiscal 2027 versus the prior
year. The overall net impact of foreign currency exchange rates had a $.02
positive impact on the first half Fiscal 2027 diluted earnings per share.
The foreign currency exchange rate impact to diluted earnings per share does not
include the impact currency exchange rates have on various transactions, which
the Company refers to as “transactional foreign exchange.”
Additionally, a table detailing the impact of foreign currency on TJX’s net
sales and pretax profit margin, as well as those of its international
businesses, can be found in the Investors section of TJX.com.
7
About The TJX Companies, Inc.
The TJX Companies, Inc., a Fortune 100 company, is the leading off-price
retailer of apparel and home fashions in the U.S. and worldwide. Our mission is
to deliver great value to customers every day. We do this by offering a rapidly
changing assortment of quality, fashionable, brand name, and designer
merchandise at prices generally 20% to 60% below full-price retailers’ regular
prices on comparable merchandise. We operate over 5,200 stores across ten
countries, including TJ Maxx, Marshalls, HomeGoods, Homesense, and Sierra in the
U.S.; Winners, HomeSense, and Marshalls in Canada; TK Maxx and Homesense in
Europe; and TK Maxx in Australia. We also operate e-commerce sites for TJ Maxx,
Marshalls, and Sierra in the U.S. and three sites for TK Maxx in Europe. Our
value mission extends to our corporate responsibility efforts, which are focused
on supporting our Associates, giving back in the communities we serve, the
environment, and operating responsibly. Additional information about TJX’s press
releases, financial information, and corporate responsibility are available at
TJX.com.
Second Quarter Fiscal 2027 Earnings Conference Call
At 11:00 a.m. ET today, Ernie Herrman, Chief Executive Officer and President of
TJX, will hold a conference call to discuss the Company’s second quarter Fiscal
2027 results, operations, and business trends. A real-time webcast of the call
will be available to the public at TJX.com. A replay of the call will also be
available by dialing (866) 367-5577 (toll free) or (203) 369-0233 through
Wednesday, August 26, 2026, or at TJX.com.
Non-GAAP Financial Information
The Company reports its financial results in accordance with generally accepted
accounting principles in the U.S. (GAAP). However, management believes that
certain non-GAAP financial measures may provide users of this financial
information additional meaningful comparisons between current results and
results in prior operating periods and between results in prior periods and
expectations for future periods. Management believes that these non-GAAP
financial measures can provide additional meaningful reflection of underlying
trends of the business because they provide a comparison of historical
information that excludes certain items that affect overall comparability. The
Company uses these non-GAAP financial measures in making financial, operating,
and planning decisions and in evaluating the Company’s performance, including
relative to others in the market. Management also uses these non-GAAP measures
to consider underlying trends of the Company’s business and believes presenting
these measures also provides information to investors and others to assist them
in understanding and evaluating trends in the Company’s operating results or
measure performance in the same manner as the Company’s management. Non-GAAP
financial measures should be considered in addition to, and not as an
alternative to, the Company’s reported results prepared in accordance with GAAP.
The use of these non-GAAP financial measures may differ from similar measures
reported by other companies and may not be comparable to other similarly titled
measures.
Important Information at Website
Archived versions of the Company’s conference calls are available in the
Investors section of TJX.com after they are no longer available by telephone, as
are reconciliations of non-GAAP financial measures to GAAP financial measures
and other financial information. The Company routinely posts information that
may be important to investors in the Investors section at TJX.com. The Company
encourages investors to consult that section of its website regularly.
8
Cautionary Note Regarding Forward-Looking Statements
This release contains “forward-looking statements.” These forward-looking
statements generally can be identified by the use of words such as “aim,”
“anticipate,” “approximately,” “believe,” “continue,” “could,” “estimate,”
“expect,” “forecast,” “goal,” “intend,” “may,” “plan,” “potential,” “project,”
“seek,” “should,” “strive,” “target,” “will,” and “would,” or any variations of
these words or other words with similar meanings. These forward-looking
statements address various matters that we intend, expect or believe may occur
in the future, including, among others, statements regarding the Company’s
anticipated operating and financial performance, business plans and prospects,
dividends and share repurchases, tariff refunds and third quarter, full year
Fiscal 2027 and store growth outlook. Each forward-looking statement contained
in this press release is inherently subject to risks, uncertainties and
potentially inaccurate assumptions that could cause actual results to differ
materially from those expressed or implied by such statement.
We cannot guarantee that the results and other expectations expressed,
anticipated or implied in any forward-looking statement will be realized.
Applicable risks and uncertainties include, among others, execution of buying
strategy and inventory management; customer trends and preferences; competition;
various marketing efforts; operational and business expansion; management of
large size and scale; merchandise sourcing and transport; international trade
and tariff policies; data security and maintenance and development of
information technology systems; labor costs and workforce challenges; personnel
recruitment, training and retention; corporate and retail banner reputation;
evolving corporate governance and public disclosure regulations and expectations
with respect to environmental, social and governance matters; expanding
international operations; fluctuations in anticipated quarterly and annual
operating results, financial performance, business plan prospects, investments
and market expectations; inventory or asset loss; cash flow and plans with
respect to long-term indebtedness; mergers, acquisitions, or business
investments and divestitures, closings or business consolidations; real estate
activities; economic conditions and consumer spending; market instability;
severe weather, serious disruptions or catastrophic events; disproportionate
impact of disruptions during certain seasons of the fiscal year; commodity
availability and pricing; fluctuations in currency exchange rates; fluctuations
in fuel prices; compliance with laws, regulations and orders and changes in
laws, regulations and applicable accounting standards; outcomes of litigation,
legal proceedings and other legal or regulatory matters; quality, safety and
other issues with our merchandise; tax matters; and other factors set forth
under Item 1A of our most recent Annual Report on Form 10-K for the fiscal year
ended January 31, 2026, as well as the other information we file with the U.S.
Securities and Exchange Commission (“SEC”).
We caution investors, potential investors and others not to place considerable
reliance on the forward-looking statements contained in this release. You are
encouraged to read our filings with the SEC and any further disclosures we may
make in our future reports to the SEC, available at www.sec.gov, on our website,
or otherwise, for a discussion of these and other risks and uncertainties. Our
forward-looking statements in this release speak only as of the date of this
release, and we undertake no obligation to update or revise any of these
statements, even if experience or future changes make it clear that any
projected results expressed or implied in such statements will not be realized.
Our business is subject to substantial risks and uncertainties, including those
referenced above. Investors, potential investors, and others should give careful
consideration to these risks and uncertainties.
9
The TJX Companies, Inc. and Consolidated Subsidiaries
Financial Summary
(Unaudited)
(In Millions Except Per Share Amounts)
Thirte… August August Twenty-… August August
Weeks 1, 2, Weeks 1, 2,
Ended 2026 2025 Ended 2026 2025
──────────────────────────────────────────────────────────────────────────────
Net $ 15,180 $ 14,401 $ 29,503 $ 27,512
sales
Cost
of
sales,
inclu… 10,108 9,976 19,951 19,222
buying
and
occup…
costs
Selli…
gener…
and 3,085 2,805 5,879 5,354
admin…
expen…
Inter…
(inco… -31 -27 -66 -57
expen…
net
Income
before 2,018 1,647 3,739 2,993
income
taxes
Provi…
for 498 404 887 714
income
taxes
Net $ 1,520 $ 1,243 $ 2,852 $ 2,279
income
Dilut…
earni… $ 1.36 $ 1.10 $ 2.55 $ 2.02
per
share
Cash
divid…
decla… $ 0.480 $ 0.425 $ 0.960 $ 0.850
per
share
Weigh…
avera…
common 1,117 1,128 1,118 1,130
shares
–
dilut…
10
The TJX Companies, Inc. and Consolidated Subsidiaries
Condensed Balance Sheets
(Unaudited)
(In Millions)
August 1, August 2,
2026 2025
────────────────────────────────────────────────────────────────────────
Assets
Current assets:
Cash and cash equivalents $ 6,004 $ 4,639
Accounts receivable and other current 1,463 1,267
assets
Merchandise inventories 7,862 7,372
Total current assets 15,329 13,278
Net property at cost 8,567 7,775
Operating lease right of use assets 11,154 9,978
Goodwill 97 95
Other assets 1,968 1,759
Total assets $ 37,115 $ 32,885
Liabilities and shareholders' equity
Current liabilities:
Accounts payable $ 5,024 $ 4,698
Accrued expenses and other current 5,622 4,941
liabilities
Current portion of operating lease 1,714 1,669
liabilities
Current portion of long-term debt 1,000 —
Total current liabilities 13,360 11,308
Other long-term liabilities 1,168 1,042
Non-current deferred income taxes, net 333 217
Long-term operating lease liabilities 9,732 8,585
Long-term debt 1,871 2,867
Shareholders’ equity 10,651 8,866
Total liabilities and shareholders' $ 37,115 $ 32,885
equity
11
The TJX Companies, Inc. and Consolidated Subsidiaries
Condensed Statements of Cash Flows
(Unaudited)
(In Millions)
Twenty-Six Weeks August 1, August 2,
Ended 2026 2025
──────────────────────────────────────────────────────────────────────────────
Cash flows from operating
activities:
Net income $ 2,852 $ 2,279
Adjustments to reconcile net
income to
net cash provided by
operating
activities:
Depreciation and amortization 676 604
Deferred income tax provision 64 71
Share-based compensation 85 76
Changes in assets and
liabilities:
Decrease (increase) in
accounts 324 -25
receivable and other assets
(Increase) in merchandise -603 -845
inventories
(Increase) in income taxes -60 -36
recoverable
Increase in accounts payable 470 388
(Decrease) in accrued
expenses and other -349 -289
liabilities
Increase (decrease) in net
operating 5 -5
lease liabilities
Other, net -119 -33
Net cash provided by
operating 3,345 2,185
activities
Cash flows from investing
activities:
Property additions -1,159 -958
Purchase of equity -5 -5
investments
Purchases of investments -28 -21
Sales and maturities of 24 15
investments
Net cash (used in) investing -1,168 -969
activities
Cash flows from financing
activities:
Payments for repurchase of -1,418 -1,144
common stock
Cash dividends paid -1,005 -898
Proceeds from issuance of 134 104
common stock
Other -73 -64
Net cash (used in) financing -2,362 -2,002
activities
Effect of exchange rate -41 90
changes on cash
Net (decrease) in cash and
cash -226 -696
equivalents
Cash and cash equivalents at
beginning 6,230 5,335
of year
Cash and cash equivalents at
end of $ 6,004 $ 4,639
period
12
The TJX Companies, Inc. and Consolidated Subsidiaries
Selected Information by Major Business Segment
(Unaudited)
(In Millions)
Thirte… August August Twenty-… August August
Weeks 1, 2, Weeks 1, 2,
Ended 2026 2025 Ended 2026 2025
──────────────────────────────────────────────────────────────────────────────
Net
sales:
United
State…
Marma… $ 9,109 $ 8,841 $ 17,759 $ 16,893
HomeG… 2,507 2,286 5,013 4,540
TJX 1,470 1,381 2,755 2,525
Canada
TJX 2,094 1,893 3,976 3,554
Inter…
Total
net $ 15,180 $ 14,401 $ 29,503 $ 27,512
sales
Segme…
profi…
United
State…
Marma… $ 1,424 $ 1,254 $ 2,693 $ 2,361
HomeG… 441 228 764 458
TJX 229 221 379 343
Canada
TJX 135 99 222 171
Inter…
Total
segme… $ 2,229 $ 1,802 $ 4,058 $ 3,333
profit
Gener…
corpo… 242 182 385 397
expen…
Inter…
(inco… -31 -27 -66 -57
expen…
net
Income
before $ 2,018 $ 1,647 $ 3,739 $ 2,993
income
taxes
13
The TJX Companies, Inc. and Consolidated Subsidiaries
Notes to Consolidated Condensed Statements
1. During the second quarter of Fiscal 2027, the Company received aggregate
refunds of $331 million for a portion of the IEEPA tariffs it previously paid.
As a result, this tariff refund benefitted the Company’s second quarter Fiscal
2027 cost of sales. Due to this tariff refund, the Company accrued incremental
expense for year-end incentive compensation and discretionary bonuses for
eligible Associates globally which impact both the Company’s second quarter
Fiscal 2027 cost of sales and SG&A costs. The net benefit of this tariff refund
was $219 million for the Company’s second quarter Fiscal 2027 pretax profit.
2. During the second quarter ended August 1, 2026, the Company returned $1.3
billion to shareholders, repurchasing and retiring 5.1 million shares of its
common stock at a cost of $798 million and paid $529 million in shareholder
dividends. During the six months ended August 1, 2026, the Company returned $2.4
billion to shareholders, repurchasing and retiring 8.9 million shares of its
common stock at a cost of $1.4 billion and paid $1.0 billion in shareholder
dividends. During the second quarter of Fiscal 2027, the Company completed the
$1.1 billion that remained as of January 31, 2026 from the previously announced
stock repurchase program. In February 2026, the Company announced that the Board
of Directors had approved a new stock repurchase program that authorizes the
repurchase of up to an additional $3.0 billion of TJX common stock from time to
time. Under this program, TJX had approximately $2.7 billion available for
repurchase as of August 1, 2026.
14