Home Helping TJX Sustain Sales Growth

Home furnishings are helping boost sales growth at TJX, which continues to drive revenues despite soft economic conditions and a recent shortfall in seasonal merchandise.
Although low summer apparel stocks hurt the company in the dog days of August, spokesperson Sherry Lange said in a conference call that home furnishings helped make up for the shortfall. TJX saw strength in its dedicated home furnishings stores and the home furnishings operation at its apparel-centered chains. Marmaxx, the TJX division that includes both T.J. Maxx and Marshalls, enjoyed a 10% comp increase in home fashions as August progressed.
“Home continued to do well across all divisions,” Lange said. “Comp store sales at HomeGoods increased by a strong 5% in August over a very strong 9% increase last year. We are very pleased to see HomeGoods’ strong performance continue.”
August top line sales were $1.7 billion, up 6% compared with the year-earlier period. The August revenue gains follow on a second quarter when net sales increased 7% to $5.1 billion, with a substantial advance in home furnishings bolstering results. For the quarter, HomeGoods comps gained 8% over a 9% increase in the year-earlier period.