TJX Sales Surge 7.5%, Net Income Up 11.2% in Strong Q3

TL;DR

**TJX is crushing it with strong sales and profits, making its international expansion a smart bet for continued growth.**

AI Summary

TJX Companies Inc. reported robust financial performance for the thirteen weeks ended November 1, 2025, with net sales increasing by 7.5% to $15.117 billion from $14.063 billion in the prior year. Net income also saw a significant rise of 11.2% to $1.442 billion, up from $1.297 billion. For the thirty-nine weeks ended November 1, 2025, net sales grew by 6.5% to $42.629 billion, and net income increased by 7.4% to $3.721 billion. The company's basic earnings per share improved to $1.30 for the quarter and $3.34 for the thirty-nine-week period. Key business changes include strategic equity investments in Multibrand Outlet Stores S.A.P.I. de C.V. (MOS) and Brands for Less (BFL) during fiscal 2025, totaling $193 million and $358 million respectively, expanding its international off-price presence. Risks include foreign currency translation adjustments, which resulted in a $26 million loss for the quarter, and potential impacts from new SEC climate-related disclosure rules, currently stayed. The strategic outlook emphasizes continued growth through these international partnerships and effective inventory management, as merchandise inventories increased by $2.851 billion for the thirty-nine weeks ended November 1, 2025.

Why It Matters

TJX's strong performance, with a 7.5% increase in net sales and an 11.2% jump in net income, signals robust consumer demand for off-price retail, a positive indicator for the broader retail sector. For investors, this demonstrates TJX's resilience and effective inventory management in a competitive landscape, potentially leading to continued stock appreciation. Employees benefit from a healthy company, while customers continue to find value. The strategic investments in Multibrand Outlet Stores and Brands for Less highlight TJX's aggressive international expansion, positioning it for long-term growth against competitors like Ross Stores and Burlington.

Risk Assessment

Risk Level: medium — The risk level is medium due to significant foreign currency translation adjustments, which resulted in a $26 million loss for the thirteen weeks ended November 1, 2025, and a $15 million loss for the same period in 2024. Additionally, merchandise inventories increased substantially by $2.851 billion for the thirty-nine weeks ended November 1, 2025, compared to a $2.415 billion increase in the prior year, which could pose a risk if consumer demand softens or inventory becomes obsolete.

Analyst Insight

Investors should consider holding or increasing their position in TJX, given its strong financial performance and strategic international expansion. Monitor the impact of foreign currency fluctuations and inventory levels in future filings, but the current growth trajectory suggests continued upside.

Financial Highlights

revenue

$15.117B

net Income

$1.442B

eps

$1.30

cash Position

$4.640B

revenue Growth

+7.5%

Revenue Breakdown

Key Numbers

• $15.117B — Net Sales (Increased 7.5% for the thirteen weeks ended November 1, 2025, from $14.063 billion.)
• $1.442B — Net Income (Increased 11.2% for the thirteen weeks ended November 1, 2025, from $1.297 billion.)
• $3.34 — Basic EPS (Increased from $3.07 for the thirty-nine weeks ended November 2, 2024, to $3.34 for the thirty-nine weeks ended November 1, 2025.)
• $2.851B — Merchandise Inventories Increase (Increase for the thirty-nine weeks ended November 1, 2025, compared to $2.415 billion in the prior year.)
• $1.738B — Common Stock Repurchases (Payments for repurchase of common stock for the thirty-nine weeks ended November 1, 2025.)
• $1.371B — Cash Dividends Paid (Cash dividends paid for the thirty-nine weeks ended November 1, 2025.)
• $4.640B — Cash and Cash Equivalents (Cash and cash equivalents at the end of the period, November 1, 2025.)
• $193M — MOS Investment (Investment in Multibrand Outlet Stores S.A.P.I. de C.V. during fiscal 2025.)
• $358M — BFL Investment (Investment in Brands for Less during fiscal 2025.)
• 1,110,467,095 — Common Stock Outstanding (Number of shares outstanding as of November 21, 2025.)

Key Players & Entities

• TJX COMPANIES INC /DE/ (company) — registrant
• Multibrand Outlet Stores S.A.P.I. de C.V. (company) — equity investment
• Grupo Axo, S.A.P.I de C.V. (company) — joint venture partner
• Brands for Less (company) — equity investment
• SEC (regulator) — regulatory body
• FASB (regulator) — standard setting body
• $15.117 billion (dollar_amount) — net sales for thirteen weeks ended November 1, 2025
• $1.442 billion (dollar_amount) — net income for thirteen weeks ended November 1, 2025
• $193 million (dollar_amount) — investment in Multibrand Outlet Stores
• $358 million (dollar_amount) — investment in Brands for Less

FAQ

Risk Factors

• Foreign Currency Fluctuations [medium — financial]: Foreign currency translation adjustments resulted in a $26 million loss for the thirteen weeks ended November 1, 2025. This risk can impact reported earnings due to international operations.
• SEC Climate Disclosure Rules [low — regulatory]: Potential impacts from new SEC climate-related disclosure rules are a noted risk, although these rules are currently stayed. Compliance and reporting changes could affect operations.
• Inventory Management [medium — operational]: Merchandise inventories increased by $2.851 billion for the thirty-nine weeks ended November 1, 2025. Effective management is crucial to avoid obsolescence and maintain profitability.
• International Expansion Risks [medium — market]: Strategic equity investments in Multibrand Outlet Stores S.A.P.I. de C.V. ($193 million) and Brands for Less ($358 million) expand international presence but introduce risks associated with new markets and partnerships.

Industry Context

The off-price retail sector continues to demonstrate resilience, driven by consumer demand for value. TJX's strategy of international expansion through strategic partnerships like MOS and BFL indicates a focus on broadening its global footprint in this segment. Competition remains intense, with traditional retailers also adapting value-oriented strategies.

Regulatory Implications

The company is monitoring potential impacts from new SEC climate-related disclosure rules, which, if implemented, could require significant changes to reporting and operational disclosures. Compliance with evolving environmental, social, and governance (ESG) regulations is becoming increasingly important.

What Investors Should Do

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Key Dates

• 2025-11-01: End of Thirteen and Thirty-Nine Week Periods — Reporting period for the current financial results, showing net sales of $15.117B and $42.629B respectively.
• 2025-02-01: End of Fiscal Year 2025 — Previous fiscal year-end, used as a comparison point for balance sheet items and prior year performance.
• 2024-11-02: End of Prior Year Thirteen and Thirty-Nine Week Periods — Comparative period for the current fiscal year's results, showing net sales of $14.063B and $40.010B respectively.

Glossary

Off-price retail

A retail model that sells branded merchandise at significantly lower prices than traditional retail stores. (TJX operates primarily in this sector, and its international expansion through MOS and BFL reinforces this strategy.)

Equity method of accounting

An accounting method where an investment in another company is initially recorded at cost and then adjusted to recognize the investor's share of the investee's earnings or losses. (Used for TJX's investments in MOS and BFL, indicating significant influence but not control.)

Foreign currency translation adjustments

Gains or losses that arise when a company's financial statements are translated from a foreign currency into the reporting currency. (A direct impact on TJX's comprehensive income, as seen with the $26 million loss in the current quarter.)

Merchandise inventories

The cost of goods held by a retailer for sale to customers. (A significant asset for TJX, with an increase of $2.851 billion year-to-date, highlighting the need for effective inventory management.)

Year-Over-Year Comparison

TJX Companies Inc. reported a strong increase in net sales for the thirteen weeks ended November 1, 2025, up 7.5% to $15.117 billion from $14.063 billion in the prior year. Net income also saw a healthy rise of 11.2%. Year-to-date, net sales grew 6.5% to $42.629 billion, and net income increased 7.4%. Merchandise inventories have increased significantly year-over-year, and the company has made substantial strategic investments in international markets.

Key Financial Figures

• $1.00 — ich registered Common Stock, par value $1.00 per share TJX New York Stock Exchange

Filing Documents

• tjx-20251101.htm (10-Q) — 1344KB
• tjx-20251101xex311.htm (EX-31.1) — 14KB
• tjx-20251101xex312.htm (EX-31.2) — 14KB
• tjx-20251101xex321.htm (EX-32.1) — 5KB
• tjx-20251101xex322.htm (EX-32.2) — 5KB
• 0000109198-25-000061.txt ( ) — 7218KB
• tjx-20251101.xsd (EX-101.SCH) — 37KB
• tjx-20251101_cal.xml (EX-101.CAL) — 58KB
• tjx-20251101_def.xml (EX-101.DEF) — 133KB
• tjx-20251101_lab.xml (EX-101.LAB) — 497KB
• tjx-20251101_pre.xml (EX-101.PRE) — 326KB
• tjx-20251101_htm.xml (XML) — 1359KB

Consolidated Financial Statements

ITEM 1. Consolidated Financial Statements 3 Consolidated Statements of Income 3 Consolidated Statements of Comprehensive Income 4 Consolidated Balance Sheets 5 Consolidated Statements of Cash Flows 6 Consolidated Statements of Shareholders' Equity 7

Notes To Consolidated Financial Statements

Notes To Consolidated Financial Statements 9

Management's Discussion and Analysis of Financial Condition and Results of Operations

ITEM 2. Management's Discussion and Analysis of Financial Condition and Results of Operations 25

Quantitative and Qualitative Disclosures about Market Risk

ITEM 3. Quantitative and Qualitative Disclosures about Market Risk 36

Controls and Procedures

ITEM 4. Controls and Procedures 36 PART II

Legal Proceedings

ITEM 1. Legal Proceedings 36

Risk Factors

ITEM 1A. Risk Factors 37

Unregistered Sales of Equity Securities and Use of Proceeds

ITEM 2. Unregistered Sales of Equity Securities and Use of Proceeds 37

Other Information

ITEM 5. Other Information 37

Exhibits

ITEM 6. Exhibits 37 SIGNATURE 38 2

- FINANCIAL INFORMATION

PART I - FINANCIAL INFORMATION

Consolidated Financial Statements

Item 1. Consolidated Financial Statements THE TJX COMPANIES, INC. CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED) IN MILLIONS EXCEPT PER SHARE AMOUNTS Thirteen Weeks Ended Thirty-Nine Weeks Ended November 1, 2025 November 2, 2024 November 1, 2025 November 2, 2024 Net sales $ 15,117 $ 14,063 $ 42,629 $ 40,010 Cost of sales, including buying and occupancy costs 10,190 9,622 29,412 27,741 Selling, general and administrative expenses 3,039 2,748 8,393 7,814 Interest (income) expense, net ( 28 ) ( 43 ) ( 85 ) ( 139 ) Income before income taxes 1,916 1,736 4,909 4,594 Provision for income taxes 474 439 1,188 1,128 Net income $ 1,442 $ 1,297 $ 3,721 $ 3,466 Basic earnings per share $ 1.30 $ 1.15 $ 3.34 $ 3.07 Weighted average common shares – basic 1,112 1,127 1,115 1,130 Diluted earnings per share $ 1.28 $ 1.14 $ 3.30 $ 3.03 Weighted average common shares – diluted 1,126 1,141 1,129 1,144 The accompanying notes are an integral part of the unaudited Consolidated Financial Statements. 3 THE TJX COMPANIES, INC. CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (UNAUDITED) IN MILLIONS Thirteen Weeks Ended November 1, 2025 November 2, 2024 Net income $ 1,442 $ 1,297 Additions to other comprehensive (loss), net of tax: Foreign currency translation adjustments, net of related tax benefits of $ 1 in fiscal 2026 and $ 1 in fiscal 2025 ( 26 ) ( 15 ) Reclassifications from other comprehensive (loss), net of tax, to net income: Amortization of prior service cost and deferred gains, net of related tax provisions of $ 0.1 in fiscal 2026 and $ 0.1 in fiscal 2025 0 0 Other comprehensive (loss), net of tax ( 26 ) ( 15 ) Total comprehensive income $ 1,416 $ 1,282 Thirty-Nine Weeks Ended November 1, 2025 November 2, 2024 Net income $ 3,721 $ 3,466 Additions to other comprehensive income (loss), net of tax: Foreign currency translation adjustments, net of related tax provision of $ 2 in fiscal 2026 and tax benefit of $ 4 in fiscal 2025 138 ( 15

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS Note A. Basis of Presentation and Summary of Significant Accounting Policies Basis of Presentation The Consolidated Financial Statements and Notes thereto have been prepared in accordance with accounting principles generally accepted in the United States of America ("GAAP") for interim financial information. These Consolidated Financial Statements and Notes thereto are unaudited and, in the opinion of management, reflect all normal recurring adjustments, accruals and deferrals among periods required to match costs properly with the related revenue or activity, considered necessary by The TJX Companies, Inc. (together with its subsidiaries, "TJX") for a fair statement of its Consolidated Financial Statements for the periods reported, all in conformity with GAAP consistently applied. All intercompany transactions have been eliminated in consolidation. Investments for which the Company exercises significant influence but does not have control are accounted for under the equity method. The Consolidated Financial Statements and Notes thereto should be read in conjunction with the audited Consolidated Financial Statements, including the related notes, contained in TJX's Annual Report on Form 10-K for the fiscal year ended February 1, 2025 ("fiscal 2025"). These interim results are not necessarily indicative of results for the full fiscal year. TJX's business, in common with the businesses of retailers generally, is subject to seasonal influences, with higher levels of sales and income generally realized in the second half of the year. The February 1, 2025 balance sheet data was derived from audited Consolidated Financial Statements and does not include all disclosures required by GAAP. Fiscal Year TJX's fiscal year ends on the Saturday nearest to the last day of January of each year. The current fiscal year ends January 31, 2026 ("fiscal 2026") and is a 52-week fiscal year. Fiscal 2025 was a 52-week fiscal year. "Fiscal 2