(Reuters) -TJX Cos Inc raised its annual profit forecast on Wednesday, banking on lower costs and resilient demand from inflation-hit consumers switching to discount retailers.
The company is starting to see expenses ease in a boost to its margins after months of grappling with sky-high costs related to raw materials, labor and freight.
TJX now expects 2024 adjusted profit per share to be between $3.39 and $3.48, compared with its previous range of $3.29 to $3.41.
The company also maintained its full-year sales forecast.
However, shares of the HomeGoods owner fell about 2% in premarket trading as it missed first-quarter revenue estimates.
The T.J. Maxx parent’s net sales rose to $11.78 billion in the first quarter, from $11.41 billion a year earlier, missing analysts’ estimates of $11.82 billion, according to IBES data from Refinitiv.
(Reporting by Granth Vanaik in Bengaluru; Editing by Devika Syamnath)