TJX Companies has forecast current-quarter profit below Wall Street expectations, signaling that spiraling costs were weighing on the off-price retailer’s margins even as it saw steady demand from bargain-hungry customers.
Along with a number of other American retailers, the company has been burdened by increased labour and supply chain costs, despite a decline in freight-related prices from their peak.
TJX experienced an 18 per cent increase in selling, general, and administrative expenses during the third quarter.
But in the face of a rising cost of living crisis, the company increased its full-year sales and profit projections as a result of customers switching to less expensive options.
“Customer traffic was up across all divisions,” CEO Ernie Herrman said, adding that the fourth quarter was “off to a strong start.”
The company now expects fiscal 2024 comparable store sales of between 4 per cent and 5 per cent, up from its earlier forecast of between 3 per cent and 4 per cent.
Bharat Tex Special Report 2026 
