TJX Companies Inc
Q2 2026 Earnings
Market Reaction
S&P 500 over the same 30 days: +4.50%.
Did TJX Beat Earnings? Q2 2026 Results
TJX Companies posted a decisive beat in its fiscal second quarter of 2026, reporting earnings per share of $1.10 against a Wall Street consensus of $1.01 — an 8.45% positive surprise — while revenue of $14.40 billion topped estimates by 1.66% and grew 6.9% year-over-year. The standout driver was a pretax profit margin of 11.4%, which landed 0.9 percentage points above the high end of management's own plan, aided by lower-than-expected tariff costs, expense leverage on above-plan sales, and favorable expense timing. Consolidated comparable sales rose 4%, with all four divisions posting positive growth and TJX Canada leading the way at 9%. Analysts have grown more constructive on the name in the aftermath, and the stock's post-earnings move reflects a broader view that <a href="https://247wallst.com/investing/2026/02/25/lowes-stumbles-on-weak-guidance-while-tjx-climbs-on-broad-off-price-beat/">off-price retail held firm</a> where others wavered. Management raised full-year guidance, now targeting diluted EPS of $4.52 to $4.57, up 6% to 7% year-over-year, assuming current tariff levels hold and the company continues to offset their pressure.
- Consolidated comparable sales increased 4%, above plan
- Customer transactions up at every division
- Pretax profit margin of 11.4%, 0.9 percentage points above the high-end of plan
- Lower-than-expected tariff costs
- Expense leverage on above-plan sales
- Favorable timing of certain expenses
- SG&A costs as a percent of sales decreased 0.3 percentage points driven by operational efficiencies
- Gross profit margin up 0.3 percentage points primarily due to favorable hedges
- Merchandise margin flat despite higher tariff costs
- Foreign currency provided $0.02 positive EPS impact and 1 percentage point positive net sales growth impact
“I am extremely pleased with our second quarter performance. Sales, pretax profit margin, and earnings per share were all above our plan. As we have seen through so many different retail and economic environments, consumers were drawn to our excellent values and brands. Customer transactions were up at every division as we saw strong demand at each of our U.S. and international businesses.”
TJX Companies CEO, on the earnings call
Forward Guidance & Outlook
For Q3 FY26, TJX expects consolidated comparable sales up 2% to 3%, pretax profit margin of 12.0% to 12.1% (down 0.2 to 0.3 percentage points YoY), and diluted EPS of $1.17 to $1.19 (up 3% to 4% YoY). For full year FY26, the company raised guidance: consolidated comparable sales expected up 3%, pretax profit margin of 11.4% to 11.5% (flat to down 0.1 percentage point YoY), and diluted EPS of $4.52 to $4.57 (up 6% to 7% YoY). Guidance assumes current tariff levels as of August 20, 2025 remain in place for the remainder of the year and that the company can offset the significant pressure from tariffs. The company expects to repurchase approximately $2.0 to $2.5 billion of TJX stock during FY26.
TJX YoY Financials
TJX Revenue by Segment
TJX Revenue by Geography
Figures from SEC filings and company reports. Not investment advice.