TJX Reports In Line - Analyst Blog
22 2월 2012 - 10:47PM
Zacks
TJX Companies Inc. (TJX) reported adjusted
earnings of 62 cents per share for the fourth quarter ended January
28, 2012. Although earnings were in line with the Zacks Consensus
Estimate, they shot up 17% from the year-ago level. The growth was
fueled by newer assortments of apparels that increased customer
traffic in its stores.
Earnings for the 52-week fiscal year 2012 were $1.99 per share.
Although earnings were in line with the Zacks Consensus Estimate,
they shot up 14% from the year-ago level. The earnings also
exceeded the estimates of $1.19 - $1.23 provided by the management
provided.
Although foreign currency movement did not have any effect on
fourth quarter fiscal earnings, it contributed 1% to the earnings
of the fiscal 2012.
Based on the quarterly earnings, the company updated its outlook
for fiscal 2013 to a range of $2.21 to $2.31 per share, which
represents an 11% to 16% increase over the prior year’s adjusted
earnings per share from continuing operations of $1.99. As per
Zacks Consensus estimate, the fiscal 2013 earnings are expected to
be $2.27.
For the first quarter 2013, the company expects diluted earnings
per share on a GAAP basis to be in the range of 45 cents to 47
cents, a 15% to 21% increase over 39 cents per share last year. As
per Zacks Consensus estimate, the fiscal 2013 earnings are expected
to be 47 cents.
Quarterly Details
Total net sales during the quarter grew 6.0% year-over-year to $6.7
billion, which were in line with the Zacks Consensus Estimate.
Total net sales for the fiscal year 2012 grew 6.0% year-over-year
to $23.2 billion, which were in line with the Zacks Consensus
Estimate.
TJX's consolidated same-store sales increased 4.0% in the
quarter driven by same-store sales growth at Marmaxx (+5.0%) and
Home Goods (+6.0%) and TJX Europe (+2.0%), partially offset by a
decline of 1.0% in TJX Canada. Sales in Canada and Europe were
impacted by unfavorable foreign currency exchange rates.
TJX's gross margin expanded 30 basis points from the prior year
quarter to 27.4%. The margin expansion was mostly due driven by
buying and occupancy leverage. However, this was partially offset
by flattish merchandise margins.
Selling, general and administrative costs as a percent of sales
increased 20 basis points from the prior year to 15.8% in the
fourth quarter.
Cash Flow, Balance Sheet and Share
Repurchase
TJX exited the quarter with cash and cash equivalents of $1,507.1
million, compared to $1,741.8 million in the year-ago period.
Quarter-end long-term debt was flat at $774.5 million with
shareholders equity of $3,209.3 million. The company generated
$1,915.9 million of cash from operations.
During the reported quarter, the company repurchased shares worth
$12.5 million (adjusted for the two-for-one stock split) of its
common stock at a cost of $402 million. For the full year, the
company repurchased 49.7 million shares (adjusted for the
two-for-one stock split) of its common stock at a cost of $1.4
billion.
Our Take
We are encouraged by the company’s flexible off-price business
model is flexible, allowing it to react to market trends. TJX has a
low cost structure compared to many other traditional retailers. It
focuses aggressively on expenses throughout its business.
However, the highly competitive nature of the business is a matter
of concern. Stiff competition from Kohl’s
Corporation (KSS) and Target Corporation
(TGT) coupled with slow recovery of the U.S. economy are matters of
concern.
Currently TJX holds a Zacks #2 Rank, implying a short-term Buy
recommendation. On a long-term basis, we maintain a Neutral
rating.
KOHLS CORP (KSS): Free Stock Analysis Report
TARGET CORP (TGT): Free Stock Analysis Report
TJX COS INC NEW (TJX): Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
TJX Companies (NYSE:TJX)
과거 데이터 주식 차트
부터 6월(6) 2024 으로 7월(7) 2024
TJX Companies (NYSE:TJX)
과거 데이터 주식 차트
부터 7월(7) 2023 으로 7월(7) 2024