TJX to accelerate store openings as off-price continues its hot streak

TJX Companies is also targeting an overall, long-term global base of 7,500 stores within existing countries, up from its previous goal of 7,000 stores. That extra 500 stores will consist of 300 stores for TJ Maxx and Marshalls, and 200 stores for HomeGoods.

The news comes as TJX is “exceeding [its] expectations” on new store openings, CFO John Klinger said on the earnings call. TJX opened 23 new stores in the last quarter, including a second TJ Maxx store in Spain.

“We’re seeing opportunities in rural markets, where we see department stores are closing,” Klinger said. “We’ve experienced strong comp growth for so many quarters that we’re seeing the ability to put stores closer together than we thought before. And then, [we want to build] the small-format store that allows us to expand in a lot of densely populated urban areas, as well.”

This week, TJX reported net sales of $15.2 billion in the second quarter of fiscal 2027, up 5% year over year. Net sales for the first half of fiscal 2027 were $29.5 billion, up 7% from the same period a year ago. TJX also reported receiving $331 million in tariff refunds in the second fiscal quarter.

TJX is now raising its full-year pretax profit margin and earnings-per-share outlooks. For the quarter ending Aug. 1, sales at Marmaxx U.S. — a division that includes TJMaxx, Marshalls and Sierra — were up 1% on a comparative basis but “below our expectations,” Herrman said in a press release. The other divisions — HomeGoods U.S., TJX Canada and TJX International (Europe and Australia) — delivered comp sales increases of 7%, 6% and 7%, respectively.

On the earnings call, Klinger attributed Marmaxx’s underperformance, in part, to a “small decrease in customer transactions.” Going forward, the company is focused on bringing “shoppers the right assortments at the right values,” Herrman said.

TJX calls itself the largest off-price home fashion retailer in the U.S. In a note on Aug. 19, Telsey Advisory Group said the company’s earnings “highlight the strength of its value-focused proposition” in an “increasingly price-sensitive environment.” The analysts, led by Dana Telsey, added, “A favorable off-price buying landscape continues to enable TJX to effectively meet traffic and demand.”

The last few years, in general, have been strong for off-price retailers like TJX. Many customers, especially Gen Zers, are looking for ways to stretch their dollars amid inflation and tariffs. Foot-traffic data shows this isn’t slowing down. In the first quarter of 2026, visits to Ross Dress for Less rose 17.7% year over year, while visits to TJ Maxx were up 2.6%, and visits to Marshalls were up 3%, per Placer.ai. Meanwhile, visits to traditional apparel stores were down 4.8%.

Numerous off-price retailers have stepped up their store counts amid the boom. In July, Ross Stores, Inc. announced it’s on track to open approximately 110 new locations in 2026. Nordstrom Rack is adding 25 new locations between Aug. 20 and Nov. 5. And Burlington is set to open 12 stores across eight U.S. states and Puerto Rico in August, as part of its quest to have more than 1,000 locations.

Ultimately, at this time, TJX is “confident consumers will continue to look for value” in the months going forward, Herrman said.

“We believe we have a large and deeply passionate customer base, a strong brand perception, and an offering that resonates across many age and income brackets,” he explained on the earnings call. “We’re convinced that we remain a very attractive option for shoppers who want great brands and fashions at excellent value, and believe they will seek out our retail banners this fall and holiday season.”