Executive Summary

• The TJX Companies reported adjusted 3Q17 EPS of $0.91 versus the consensus estimate of $0.87.
• Total revenues were $8.29 billion versus expectations of $8.22 billion. Comps increased by 5%, beating expectations of 3.5%, driven by customer traffic. Momentum in both sales and traffic continued in the period. Comps were up 5% at Marmaxx, 6% at HomeGoods and 8% at TJX Canada, and were flat at TJX Europe.
• Full-year guidance now calls for EPS of $3.46–$3.48, up from $3.39–$3.43 previously and versus consensus of $3.48. The guidance range includes a negative impact of 3% related to wage increases and 3% related to foreign exchange. Comps are expected to increase by 4% versus 3%–4% previously.