FRAMINGHAM, Mass. (AP) -- The TJX Companies Inc., which operates chains such as Marshalls and T.J. Maxx, raised its earnings forecast for the year on Monday and indicated that it expects sales at its chains to increase.
The retailer increased its guidance because of a brighter outlook in its fiscal third quarter, which runs through October.
TJX anticipates earnings between 84 and 85 cents per share for the period, reflecting a tax benefit that was not included in its earlier guidance. On an adjusted basis, the company expects earnings of 73 to 74 cents per share for the period. Analysts polled by FactSet were anticipating earnings of 72 cents per share for the quarter.
The company now anticipates earnings of $2.89 to $2.93 per share for the year, which runs through Feb. 1, or $2.78 to $2.82 on an adjusted basis. Analysts were anticipating earnings of $2.84 per share for the year, and the company had previously predicted $2.74 to $2.80 per share.
TJX, based in Framingham, Mass., has benefited from strapped consumers seeking deals in the past few years. It said Monday that it will raise its estimates for long-term store growth potential at an investor meeting on Tuesday. The company predicted that it can add more T.J. Maxx and Marshalls in the U.S. than previously thought based on its recent success. It also expects profitability to improve at some of its chains in Europe.
The company anticipated growing its earnings per share by 10 to 13 percent annually over the next three years.
TJX owns the T.J. Maxx, Marshalls, HomeGoods, HomeSense and Sierra Trading Post brands.
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