TJX beat earnings and revenue expectations for its quarter and raised full-year guidance, while taking a 35% stake in Dubai-based Brands for Less.
TJX Companies (NYSE:TJX) shares rose more than 6% on Wednesday thanks to expectation-beating financial results for its second quarter.
The retailer, which owns the TJ Maxx brand in the United States (or TK Maxx in the UK and Europe), reported $13.47 billion of revenue
Earnings per share (EPS) came in at $0.96, both above analysts' estimates.
Comparable sales grew by 4%, with the company pointing to strong demand for its cut-price merchandise.
TJX raised its full-year guidance, as it expects earnings per share between $4.09 and $4.13, up from its prior forecast of $4.03 to $4.09. It also projects a 3% rise in comparable store sales for the fiscal year.
Also, the retail has announced a strategic investment in Brands for Less, a Dubai-based discount retailer via a $360 million deal for a 35% stake.
TJX highlighted steady market share gains, taking from competitors in an price-conscious consumer environment.
