TJX Companies, Inc. Q4 and Full Year FY26 Earnings: Revenue Hits $60.4 Billion

TJX Companies delivered a blowout Q4 with adjusted EPS of $1.43 (beat the $1.38 estimate) and revenue of $17.7 billion (beat the $17.45 billion estimate), driven by 5% comp sales growth across all divisions. Full-year sales crossed $60 billion for the first time. Shares traded roughly flat on the day as conservative FY27 guidance tempered enthusiasm.

About TJX Companies, Inc.

The TJX Companies, Inc. (NYSE: TJX) is the world’s leading off-price apparel and home fashions retailer, headquartered in Framingham, Massachusetts. The company was originally established in 1976 when Zayre Corp. recruited Bernard Cammarata to develop an off-price retail concept, with the first T.J. Maxx stores opening in 1977 in Massachusetts. TJX was formally incorporated as a separate entity in 1987 and became the successor company to Zayre Corp. following a reorganization in 1989.

Today, TJX operates over 5,200 stores across nine countries through four segments: Marmaxx (T.J. Maxx, Marshalls, Sierra in the U.S.), HomeGoods (HomeGoods and HomeSense in the U.S.), TJX Canada (Winners, Marshalls, HomeSense), and TJX International (TK Maxx in Europe and Australia). The company sources merchandise from approximately 21,000 vendors, employing a team of over 1,400 buyers globally.

Top Financial Highlights

1. Q4 net sales reached $17.7 billion, reflecting a 9% year over year increase and exceeding the consensus estimate of $17.45 billion, indicating stronger than expected demand.
2. Q4 comparable sales growth was 5% on a consolidated basis, surpassing both the company’s internal plan and the Street estimate of 3.7%, demonstrating solid traffic and transaction trends.
3. Q4 net income rose to $1.8 billion, compared to $1.4 billion in Q4 FY25, reflecting improved operating performance.
4. Reported diluted EPS in Q4 was $1.58, up 28% from $1.23 in the prior year period.
5. Adjusted diluted EPS reached $1.43, increasing 16% year over year and exceeding the Zacks consensus estimate of $1.38.
6. Q4 adjusted pretax profit margin expanded to 12.2%, up 60 basis points from the previous year, supported by disciplined expense management.
7. Q4 adjusted gross margin improved to 31.1%, also rising 60 basis points year over year, reflecting favorable merchandise margins.
8. Full year net sales totaled $60.4 billion, up 7% year over year, marking the company’s first year surpassing the $60 billion threshold.
9. Full year net income reached $5.5 billion, representing an approximate 13% year over year increase.
10. Full year adjusted EPS was $4.73, up 11% compared to FY25, indicating consistent earnings expansion.
11. Full year operating cash flow amounted to $6.9 billion, reinforcing strong cash generation capability.
12. Cash on hand at the end of FY26 stood at $6.2 billion, supporting balance sheet flexibility.
13. Total shareholder returns in FY26 reached $4.3 billion, including $2.5 billion in share repurchases and $1.8 billion in dividends, demonstrating continued capital return commitment.
14. FY27 EPS guidance is projected between $4.93 and $5.02, representing expected growth of 4% to 6%.
15. Q4 segment revenue performance was led by Marmaxx at $10,655 million with 7% growth, followed by HomeGoods at $3,093 million up 8%, TJX Canada at $1,612 million up 11%, and TJX International at $2,383 million up 15%, reflecting broad based segment momentum.

Beat or Miss?

The outperformance was driven by higher merchandise margins, lower-than-expected inventory shrink expense, and expense leverage on above-plan sales. Notably, comp sales trends were running even higher before winter storms swept across North America late in the quarter, and management confirmed sales rebounded once weather cleared.

What Leadership Is Saying?

CEO Ernie Herrman on Strategy and Vision

“I am extremely pleased with our excellent performance in 2025! Thanks to the collective efforts and sharp execution of our teams, we delivered above-plan results on both the top- and bottom-line. Annual sales surpassed $60 billion, marking a major milestone for our Company! Full year comparable sales grew a very strong 5% and overall profitability and earnings per share both increased significantly. We had an excellent fourth quarter, with sales, profitability, and earnings per share all well above our plan.”​

​CFO John Klinger on Financials and Margins

“Adjusted pretax profit margin, at 12.2%, was up 60 basis points over last year’s 11.6% and well above our plan. Adjusted gross margin was 31.1%, up 60 basis points over last year’s 30.5%. This increase was primarily driven by a higher merchandise margin and expense leverage on sales, partially offset by unfavorable inventory hedges. I am also pleased to share that shrink is essentially back to our pre-COVID level.”

Historical Performance

TJX Q4 FY26 vs. Q4 FY25

TJX posted significant improvements across every metric compared to the same quarter in the prior fiscal year:

The Q4 FY25 period was a 13-week quarter versus a 14-week Q4 FY24, so the flat net sales YoY last year actually represented underlying growth. Q4 FY26 net income improved by roughly 27%, reflecting both top-line strength and margin expansion from lower shrink, better merchandise margins, and improved expense leverage.

Competitor Comparison

The off-price retail sector remains competitive. Below is a comparison of the most recently available quarterly results for TJX and its two primary competitors, Ross Stores and Burlington Stores. Note: Ross Stores and Burlington have not yet reported their Q4 results for the matching fiscal period (both scheduled for early March 2026). The table uses the most recently reported quarters.

Key context: Ross Stores is expected to report Q4 FY26 results on March 3, 2026, with consensus estimates of $1.87 EPS and $6.37 billion in revenue. Burlington Stores is scheduled for March 5, 2026, with FY25 adjusted EPS guidance of $9.69 to $9.89. TJX’s scale advantage is substantial: its annual revenue of $60.4 billion is roughly 3x that of Ross Stores (~$21 billion trailing) and 6x Burlington (~$10.6 billion FY24).

How the Market Reacted?

Despite the strong Q4 beat on both revenue and earnings, TJX shares traded roughly flat to slightly lower on the day of the announcement (February 25, 2026). The stock dipped more than 1% intraday as investors focused on the conservative FY27 guidance rather than the Q4 results. Management guided Q1 FY27 EPS to $0.97 to $0.99, below the consensus of $1.02, and full-year FY27 EPS of $4.93 to $5.02, below the $5.18 consensus, with comp sales projected at just 2% to 3%.

However, analysts note that TJX has a well-established pattern of setting conservative guidance and subsequently exceeding it, and CNBC analysts raised their price target from $160 to $180 following the report, reaffirming confidence in the company’s execution. As of late February 2026, TJX stock was trading near $158 to $162, within its 52-week range of $112.10 to $162.68, with a consensus analyst rating of “Strong Buy” and a 12-month price target of $169.00.