Discount apparel and home goods retailer The TJX Companies missed analysts’ expectations in its fourth quarter and fiscal 2022 results, in part due to the spread of the omicron variant of the COVID-19 pandemic causing store closures, according to the company’s report. announcement on Wednesday (February 23).
TJX’s share price was down almost 7% in early trading on Wednesday.
Even though many of its stores were closed for at least part of the three-month period during the holiday shopping season, TJX increased its total number of stores by 117 for a total of 4,689 locations across its brands. – TJX, Home Goods and Marshalls – and saw a 2% increase in square footage year over year.
The stores of the TJX companies that remained open during the year performed well, with same-store sales open only in the United States up 17% compared to fiscal 2020. The fiscal year also saw net sales of $48.5 billion, up 16% from two years ago and up 51%. % since last year.
Net sales for the fourth quarter of fiscal 2022 were $13.9 billion, up 27% from the fourth quarter of fiscal 2021, when stores were closed for approximately 13% of the three-month period.
“Our global organization worked together as ‘One TJX,’ and through their dedication and talent, we delivered great results in 2021,” said Ernie Herrman, CEO and President of The TJX Companies, Inc. , in the company announcement.
Herrman was especially proud of TJX’s performance over the holiday season and said he sees the company hitting $60 billion in annual sales before too long.
“Our shoppers have responded to our amazing brands, great values and inspiring treasure hunt shopping experience,” he said. “While freight and labor cost pressures remain high, we are pleased that our retail pricing strategy is working very well. This gives us confidence that we will improve our profitability when the macro environment normalizes, while continuing to deliver exceptional value to our clients every day.
Related: TJX sales jump as customers return to stores
Low-cost home decor chain HomeGoods became the latest piece from TJX Companies to go e-commerce in September. Herrman said e-commerce “will leverage our strength in the home category and capitalize on our market share growth opportunities.”
In his fiscal 2022 preview, Herrman did not mention how same-store sales growth affected online sales for TJX’s brands.