This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Cramer's Action Alerts PLUS - See his portfolio and get alerts BEFORE every trade. Learn more NOW!

The TJX Companies, Inc. Sees Strong Momentum Continue; Reports Above-Plan Third Quarter EPS Growth; Raises Full-Year Guidance

On a reported basis, diluted earnings per share for the first nine months of Fiscal 2013 were $1.73 compared to $1.31 last year. On an adjusted basis, excluding the items detailed above, diluted earnings per share for the first nine months of Fiscal 2013 represented a 26% increase over last year’s adjusted $1.37.

For the first nine months of Fiscal 2013, foreign currency exchange rates had a neutral impact on earnings per share, compared with a $.01 per share positive impact last year.

Third Quarter Items

As previously reported, during the third quarter, the Company recorded a $.02 per share non-cash charge for the cumulative impact of a correction to its pension accrual for prior fiscal years, which was not anticipated in its original guidance. Additionally, the Company recorded a $.01 per share non-operating charge due to an adjustment in the Company’s reserve for former operations relating to closed stores, which was not anticipated in the Company’s most recent guidance.

Margins

For the third quarter of Fiscal 2013, the Company’s consolidated pretax profit margin was 11.7%, up 0.2 percentage points over the prior year. The increase was primarily driven by merchandise margin improvement, partially offset by the 0.6 percentage point negative impact of the third quarter items mentioned above. Additionally, foreign currency had a 0.2 percentage point negative impact on year-over-year comparisons.

The gross profit margin for the third quarter of Fiscal 2013 was 28.8%, 0.7 percentage points above the prior year. The increase was driven entirely by merchandise margin improvement partially offset by a negative impact from mark-to-market adjustments on the Company's inventory-related hedges.

Selling, general and administrative costs as a percent of sales were 17.0% in the third quarter, a 0.5 percentage point increase over the prior year’s ratio, primarily due to the combined negative impact of 1.1 percentage points from the following factors: the third quarter items mentioned above, increased incentive compensation accruals arising from the Company’s above-plan results, and investments to support the Company’s growth, including talent and infrastructure.

4 of 10

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Try it NOW
Only $9.95
Try it NOW
14-Days Free
Try it NOW

Check Out Our Best Services for Investors

Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
Try it NOW
Try it NOW
Try it NOW
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
SYM TRADE IT LAST %CHG

Markets

DOW 17,776.12 -200.19 -1.11%
S&P 500 2,067.89 -18.35 -0.88%
NASDAQ 4,900.8850 -46.5560 -0.94%

Partners Compare Online Brokers

Free Reports

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs