TJX reports increased annual income, misses Q4 expectations

Write a Comment

By Emily Micucci

Framingham-based TJX Cos. saw net income for fiscal 2014 increase 15 percent from the prior year, though it declined in the fourth quarter, yielding earnings of 81 cents per share, compared with 82 cents a year ago.

Earnings in the fourth quarter missed analyst expectations of 82 cents per share, according to a poll by Thomson Reuters; the company generated quarterly net income of $582.2 million, down from $604.8 million a year ago.

But TJX CEO Carol Meyrowitz was upbeat about the company’s yearly results, which included net income of $2.1 billion net sales of $27.4 billion, an increase of 6 percent over fiscal 2013. Same-store sales also increased 3 percent for the quarter and the year, which ended Feb. 1.

Meyrowitz alluded to inclement weather, which may have impacted sales in the fourth quarter.

“We delivered these results in a competitive retail environment and despite generally unfavorable weather in many of our regions during the first and fourth quarters,” Meyrowitz said.

The company also announced a plan to repurchase between $1.6 and $1.7 billion in TJX stock in fiscal 2015. With $970 million in cash left over at the end of fiscal 2014, the company’s board of directors approved the repurchase program, which authorizes the repurchase of an additional $2 billion.

With the launch of the company’s new e-commerce site, tjmaxx.com, and the acquisition of Sierra Trading Post complete, Meyrowitz said TJX is looking ahead to fiscal 2015 as a year with “tremendous global growth potential.”

“Our management team is laser focused on executing on our top- and bottom-line growth opportunities and passionate about surpassing our goals,” Meyrowitz said.