The TJX Companies CEO Carol Meyrowitz touted the company’s performance in the fourth quarter and fiscal 2014, calling it a successful year despite a competitive retail environment and generally unfavorable weather in many of its regions during the first and fourth quarters.
For the 13-week period ended Feb. 1, net sales were $7.8 billion, a 1% increase over the 14-week prior-year period. Consolidated comparable store sales increased 3% over the prior year on a 13-week comparable basis. Net income was $582 million and diluted earnings per share were $.81 compared with last year’s $.82 per share. Diluted earnings per share increased 9% over last year’s adjusted $.74, which excludes the approximately $.08 benefit from the extra week in the fourth quarter of fiscal 2013.
Net sales for the 52-week fiscal year were $27.4 billion, a 6% increase over the 53-week fiscal period last year. Consolidated comparable store sales increased 3% on a 52-week comparable basis. Net income for the 52-week fiscal year was $2.1 billion, and diluted earnings per share were $2.94, a 15% increase over $2.55 last year. Excluding a third quarter tax benefit of $.11 per share, adjusted diluted earnings per share were $2.83, a 15% increase over the prior year’s adjusted earnings per share of $2.47, which excludes the approximately $.08 benefit from the 53rd week in fiscal 2013.
“We achieved EPS growth of 15% over last year’s adjusted 24% increase, and consolidated comp sales increased 3% over last year’s 7% increase,” said Meyrowitz. “In the U.S., Marmaxx and HomeGoods continued their excellent, consistent performance. We also successfully launched tjmaxx.com, which, along with the smooth transition of Sierra Trading Post into TJX, gives more consumers the ability and convenience to shop our great values 24 hours a day, seven days a week. TJX Canada was in line with our plan for the year and continued to expand Marshalls across that country. TJX Europe delivered another outstanding year, and we could not be more excited about our international growth opportunities! We believe this speaks to the resiliency and flexibility of our off-price model, as we exceeded our long-term plan of 10% to 13% compound annual EPS growth for the fifth consecutive year.”
Meyrowitz said the company has opened the new fiscal year in an excellent position to pursue its near- and long-term opportunities.
“Our inventories are extremely lean, which affords us enormous flexibility to buy into the plentiful opportunities we see in the marketplace for branded merchandise. We have many exciting initiatives planned this year, and above all, will continue to offer consumers amazing values on great fashions and brands. As we approach $30 billion in annual sales, we continue to see tremendous global growth potential for TJX,” she added.