The TJX Companies 6 percent rise in H1 net sales

REPORT_ The TJX Companies has announced sales and earnings results for the second quarter ended August

2, 2014 with net sales increasing 7 percent to 6.9 billion dollars, and consolidated comparable store sales increased 3 percent over last year's reported 4 percent increase. Net income for the second quarter was 518 million dollars and diluted earnings per share were 0.73 dollars. Excluding a debt extinguishment charge of 0.02 dollars per share, adjusted diluted earnings per share were 0.75 dollars, a 14 percent increase over the prior year.

For the first half of fiscal 2015, net sales were 13.4 billion dollars, a 6 percent increase over last year. Consolidated comparable store sales for the first half of fiscal 2015 increased 2 percent over last year's reported 3 percent increase. Net income for the first half of fiscal 2015 was 972 million dollars and diluted earnings per share were 1.37 dollars. Excluding the second quarter debt extinguishment charge, which rounded to a 0.01 dollar per share impact for the first half of fiscal 2015, adjusted diluted earnings per share were 1.38 dollars, an 8 percent increase over last year's 1.28 dollars.

Commenting on the results, Carol Meyrowitz, Chief Executive Officer of The TJX Companies, said, “I am very pleased with our second quarter performance. Consolidated comp store sales were up 3 percent over 4 percent growth last year, at the high end of our plan, and adjusted earnings per share of 0.75dollars were up 14 percent over last year's 18 percent increase, exceeding our expectations.”

For the third quarter of fiscal 2015, the company expects diluted earnings per share to be in the range of 0.81 dollars to 0.85 dollars compared to 0.86 dollars per share last year. Excluding the 0.11 dollars per share tax benefit in the third quarter of fiscal 2014, this would represent an 8 percent to 13 percent increase over last year's adjusted 0.75 dollars per share. This outlook is based upon estimated consolidated comparable store sales growth of 1 percent to 2 percent.

The Company is raising its guidance for adjusted diluted earnings per share for fiscal 2015. On a reported basis, for the fiscal year ending January 31, 2015, the company expects diluted earnings per share to be in the range of 3.08 dollars to 3.16 dollars versus 2.94 dollars in fiscal 2014. On an adjusted basis, this guidance would be 3.10 dollars to 3.18 dollars. This adjusted EPS guidance would represent a 10 percent to 12 percent increase over the prior year's adjusted EPS of 2.83 dollars, which excludes the 0.11 dollars per share tax benefit. Further, this outlook is based upon estimated consolidated comparable store sales growth of 1 percent to 2 percent.