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Published
Nov 3, 2020
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Sales rise but profits fall at TK Maxx owner TJX UK

Published
Nov 3, 2020

Net profits at TJX UK in the year to February fell to £84.4 million from £103.4 million, despite revenues rising 10.3% to £3.48 billion. 


TK Maxx


The profits fall came as the cost of its sales rose and it also saw higher administrative expenses, as well as not getting the income from shares in subsidiaries that had generated £14.8 million in the previous year.

The company is a subsidiary of TJX Europe and operates the off-price TK Maxx shops and webstore in the UK, plus Homesense stores in Britain and Ireland. It continued to open stores during the period, but its sales rise wasn't only driven by new space as it said like-for-like sales also increased. Excluding e-tail, they rose 6.3%. 

A few months ago. It emerged that the TK Maxx operation in the UK now has a larger market share in fashion than Topshop. A report said it held sixth place in UK fashion.

And despite this year having been a challenging one, the company has also said it expects that there will be plenty of quality close-out merchandise available to it given the impact the pandemic has had on brands and other retailers.

 

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