TJX, parent company to off-price leaders like TJ Maxx and Marshalls, reported 4% sales growth during its full-year fiscal 2025 meeting on Wednesday.
“For the full year, overall sales surpassed $56 billion and we opened our 5,000th store, a milestone for our company,” Ernie Herrman, CEO and president of The TJX Companies, said during Wednesday’s earnings call.
In total, TJX reached $56.4 billion in sales for its fiscal 2025. This included a consistent holiday selling season through its fiscal fourth quarter, which included $16.4 billion in flat year-over-year quarterly sales.
“I am very pleased with our outstanding fourth quarter. Our sales profitability and earnings per share were all well above our expectations,” Herrman said. “Clearly, our great values, gifting assortment and freshness of our mix resonated with our shoppers during the holiday season.”
The executive team also used the opportunity to share its 2025 expansion plans, which include expansion into Spain and expanded partnerships in the UAE and Mexico with Brands for Less and Axo, respectively.
TJX currently operates across nine countries with retailers TJ Maxx, Marshalls, Home Goods, Sierra, Winners, Homesense and TK Maxx in Europe. As previously reported by Glossy, the off-price beauty and wellness categories continue to be a successful part of TJX’s merchandising strategy, with mass, prestige and luxury brands quietly selling into the channel at 30-70% off MSRP. For example, brands like Laneige, Clinique, Kate Somerville, Laura Mercier, Murad, CosRX, Coola, Philosophy, St. Tropez, It Cosmetics, Clarins, Shiseido, Peter Thomas Roth, Kopari, Anastasia Beverly Hills and NARS were spotted in TJX stores in Los Angeles. Glossy also saw fragrances from Byredo, Calvin Klein, Ariana Grande, Viktor&Rolf, Versace and Moschino at TJX locations.
“We plan to add about 130 new stores, which will bring our year-end total to over 5,200 stores,” said TJX CFO John Klinger. “This would represent a store growth of about 3% in the U.S.”
TJ Maxx and Marshalls will take the lion’s share with 30 net new stores, followed by 20 Sierra stores and nine Homesense stores. International locations will see growth with 22 new European stores, 12 new Canadian locations and six new stores in Australia. The plan for Spain includes 100 stores but the timeline, and how many of these would fall in 2025, is unclear.
Outside of Spain, “the opportunities in Europe are largely in Germany, although we’d have opportunities in Austria, in the Netherlands, in Poland, in the U.K., and in Ireland, as well, but the large majority of them are in the U.K.,” said Klinger.
As the retail landscape shifts, and big box chains undergoing bankruptcy vacate large retail stores, TJX is prepared to pounce. It plans to relocate around 40 stores and remodel around 500 stores in 2025, as well.
The team is also keeping a close eye on smaller retail opportunities for curated brick-and-mortar locations. “We’re seeing some smaller markets and smaller footprint stores as an opportunity,” Herrman said. “There are other areas in the country where we can put in a smaller format store … or a grouping of [smaller] stores, where we can have all five brands [and] they all work [well together to be] extremely profitable.”
As previously reported by Glossy, Herrman expects to add more beauty to the company’s assortment in 2025 thanks to ongoing preparation for President-elect Donald Trump’s proposed tariffs. The team believes that many brand owners have ordered products and packaging components from China ahead of the possible tariffs, which creates difficulty in forecasting. The executive team pressed the same talking point during Wednesday’s meeting: Tariffs will help boost off-price.
“The silver lining [of the tariffs] is, with consumer confidence down and a bit of a rocky environment out there, the way our buyers operate [is an advantage],” Herrman said. “Their strategy is not to factor in tariffs or any other costs that actually can play into the picture here.”
Direct imports from China are a very small percentage of TJX’s business, said Herrman, and it does not anticipate feeling the economic pinch. “Remember, we’ve been to this movie before, a few years ago with the extreme inflation. And we navigated right through that, just as we will on this,” Herrman said. “It’s a different headline but the same approach.”
