Framingham, Mass. – TJX Cos.’ HomeGoods division in the U.S. added more than $780 million in sales last year, raising total sales to a benchmark high.
The division, whose results include revenues from the U.S. Homesense chain, generated $10.2 billion in sales for the fiscal year ended Jan. 31 – up 8% year-over-year.
Ernie Herrman, TJX CEO and president, said the growth occurred over multiple categories. He noted that brick & mortar retail consolation also contributed to the growth.
“For bedding, sheets, towels, blankets, comforters – there’s less competition out there,” he told analysts during this morning’s Q4 review call. “Things like picture frames, candles, stationery items – we’re kind of a one-stop shop for fashion and crazy values.”
Herrman also credited collaboration among the company’s home buyers in the U.S. and European markets for delivering an eclectic merchandise mix. “We are the most impulse-driven home goods store to shop,” he added.
Home now accounts for more than 36% of TJX Cos.’ total business – a combination of dedicated home store banners in North America as well as home category sales generated by its apparel/home store locations.
During the recent fourth quarter, sales at HomeGoods U.S. rose 8% to $3.1 billion. Comp rose 6% on top of a 6% increase in the prior-year quarter. Most of the lift came from higher traffic, with transactions essentially flat.
The company plans to open 24 new HomeGoods U.S. stores and 11 U.S. Homesense stores this year. In addition, U.S. openings will include 45 TJMaxx/Marshalls stores and 11 Sierra Trading Post locations.
