Retailers wondering where their market share went would do well to look to The TJX Cos. Inc.
The off-pricer, which continued to roll on in the second quarter with a double-digit earnings increase, said it is on track to log more than $25 billion in sales this year. The corporate parent of TJ Maxx and Marshalls is gunning to eventually hit $40 billion, which is the equivalent of adding Gap Inc.’s total sales to its current business.
“All of our businesses in the U.S., Canada and Europe are on track and delivering excellent results,” said Carol Meyrowitz, chief executive officer, on a conference call detailing second-quarter results. “Customer traffic was up significantly over increases last year, which we believe speaks to the strength of our brand, fashion and value…. The numbers speak for themselves.”
Net earnings rose 20.9 percent to $421.1 million, or 56 cents a diluted share, from $348.3 million, or 45 cents, a year earlier. Profits beat analysts’ earnings per share expectations by 1 cent. Sales for the three months ended July 28 rose 8.7 percent to $5.95 billion from $5.47 billion on a 7 percent comparable-store sales gain.
TJX boosted its annual profit projection by 1 cent to a range of $2.39 to $2.45. That projection was seen as conservative by analysts and is well ahead of last year’s earnings of $1.93.
“With our broad U.S. and international reach, we believe our demographic audience is the widest in retail,” said Meyrowitz, who highlighted the company’s offensive prowess.
“We are convinced we will continue to attract more U.S. and international customers with our value,” she said. “Our customer traffic is up midteens over the last three years and continues to increase. While we have made significant market share gains, enormous opportunities remain. Our customer reach indicates that our U.S. penetration is still well below [that of] most U.S. department stores.”
Meyrowitz also noted that TJX is scooping up more real estate, attracting younger customers and has a global span.
Marmaxx, the company’s largest division, has 1,896 doors under the TJ Maxx and Marshalls banners and is seen internally as able to add another 500 stores.
“Marmaxx has been very successful in moderate-income markets and in both densely populated urban markets and rural areas,” Meyrowitz said.
@fearofgod and @maxfieldla have teamed up on a pop-up installation. The store, located in the gallery space across from Maxfield’s Melrose Ave location, is the site of the brand’s House of God pop-up in which Fear of God founder @jerrylorenzo has created a church-inspired installation. A dozen vintage church pews sit in front of an LED screen playing 90s gospel singers in an effort to re-create an environment akin to a Southern Baptist Church, Lorenzo explained. Read more about the pop-up on WWD.com #wwdfashion (📷: Jennifer Johnson)
Known for his sleek, sophisticated American glamour, Norman Norell is the subject of an upcoming exhibition at @fitnyc. “Norell: Dean of American Fashion,” which runs from February 9 through April 14, will feature approximately 100 ensembles and accessories. His best work is exemplified by the designer’s glittering “mermaid” gowns frosted with thousands of hand-sewn sequins – like the one pictured. (📷: William Helburn) #wwdfashion
For pre-fall 2018, @balmain didn’t let go of the glitz. A crystal embroidered baseball jacket priced at around $40,000 hangs in the “couture” section of the brand’s first men’s pre-collection. Sporting the words “Balmain Army” across the back, the item took around two months to make. “When it was completed, it was like Christmas, it was like, ‘It’s done, it’s exactly what I wanted,’” said Balmain’s creative director @olivier_rousteing during a tour of the collection in a Paris showroom on Monday. #wwdfashion
Eighty degree temperatures and outdoor installations at the annual Art Basel Miami Beach called for bright, elevated beachwear. See more street style pictures on WWD.com. #theyarewearing #ABMB (📷: @lifeinreverie)
Following September’s emotional tribute to her brother Gianni, Donatella Versace wanted to bring the spring show’s deep sense of intimacy to her @versace_official pre-fall collection. Donatella found inspiration in Versace Palazzo in Milan and from Gianni’s opulent apartment. Archival patterns and new motifs were splashed on silk shirtdresses and fitted jersey frocks. See the rest of the photos on WWD.com. #wwdfashion
Demna Gvasalia continues to shake up the Paris fashion calendar — and experiment with new runway timetables for his @vetements_official brand. WWD has learned that Vetements plans to stage its next coed show for the fall 2018 season on January 19 during Men’s Fashion Week in the French capital. Details about the timing and venue have not been confirmed — stay tuned on WWD.com to catch the latest. #wwdnews (📷: @giovanni_giannoni_photo)
@zacposen's go-to holiday gift? Cookies! "I'll usually bake cookies and send them as a gift," said the designer, who recently released his cookbook "Cooking With Zac: Recipes from Rustic to Refined." Get the recipe for his Brown Butter-Chocolate Chip Cookies via link in bio 🍪🍪🍪 #wwdeye #cookingwithzac
For @monsemaison’s pre-fall 2018 collection, Fernando Garcia and Laura Kim honed in on the brand’s many signatures — men’s wear, which was tweaked and feminized through deconstruction, proportion play and lots of bare shoulders. See the rest of the photos on WWD.com #wwdfashion (📷: George Chinese)
On Friday night, @yohjiyamamotoofficial received the Design for Asia Lifetime Achievement Award in Hong Kong. The 75-year-old designer has been celebrated for many years and is best known for his dark and avant-garde tailoring. “In my long career, in design, architecture, [I’ve been to] so many parties, this is the very first time that I have such a warm feeling, I really appreciate this,” Yamamoto said. #wwdfashion (📷: @dominiquemaitre)