Monday 31 August 2015

TJX report Q2 2015

TJX, Q2, 2015, front page, report

This was my latest investment from August and it is always a bit more exciting to see in the quarter report after the buy if the decision was sound or not. Already on the front page I could see that there was no cause for concern. As with almost every other company the share price have been dropping as of late.

To read the report in full please go here and to find out more about TJX then please click on analysis of TJX.

They managed to increase the amount of stores by 0.6% during the quarter which is not so good. I mean... look at H&M and Inditex as long as they keep increasing the amount of stores by 10% per year then their sales will increase by around 10% and hopefully their earnings by a little bit more due to large scale and logistics reasons. So the store increase for TJX I am not so happy with but I keep going to the stores to check and they are always full of customers so I accept the slow growth rate for now.

Looking at the financial statement below then we see that for the running half year the sales have increased by 6% which I find great and the earnings are up by 5.3% which is good but should have been better. However the EPS ended up at 1.49 USD for the half year and it is 8.8% higher than last year which comes from their running share buy back program.

TJX, Q2, 2015, financial statement

It should also be mentioned that their sales have been very good in the USA, so, so in Canada and not so good in Europe. Looking at economical recovery I guess that fits pretty well to the general picture of the worldly balance.

Conclusion: TJX is still moving forward at a speed that I find fully acceptable. This report confirmed that my investment was fully correct and that many more quarter reports and years of excellent results will be published while I remain as a shareholder, which I of course will continue to be.

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