Are T.J. Maxx Locations Closing in 2022?

Joel Eisenberg

The pandemic’s impact on most major retailers led to the advent of strategic business decisions industry-wide. When TJX, the parent company of T.J. Maxx, suffered a stock hit, speculation arose as to the fate of the popular chain.

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T.J. MaxxShutterstock

Author’s Note

This article represents the latest in a series that attempts to elucidate the truth behind internet rumors of business closures, and is based on corporate postings and accredited media reports. Linked information within this article is attributed to the following outlets: Wikipedia.org, ScrapeHero.com, Google.com, BusinessInsider.com, Forbes.com, and MacroTrends.net.

Introduction

Wikipedia features a comprehensive overview of T.J. Maxx, which it calls “one of the largest clothing retailers in the country”: T.J. Maxx is an American department store chain, selling at prices generally lower than other major similar stores. T.J. Maxx is the flagship chain of the TJX Companies. It sells men's, women's and children's apparel and shoes, toys, bath and beauty, accessories, and home products ranging from furniture to kitchen utensils. T.J. Maxx and Marshalls operate as sister stores, and share a similar footprint throughout the country.

According to ScrapeHero.com: There are 1,290 TJ Maxx locations in the United States as of June 22, 2022. The state with the most number of TJ Maxx locations in the U.S. is California, with 121 locations, which is 9% of all TJ Maxx locations in America.

By most any metric, the T.J. Maxx chain is highly successful. Why then, as a targeted Google search illustrates, have rumors again sprung as to the entity’s financial struggles?

Let us explore further.

T.J. Maxx, 2022

T.J. Maxx and its associated companies were hit hardest by the pandemic in 2020 and 2021. A February, 2022 article published by BusinessInsider.com, titled “TJ Maxx Parent TJX Stock Sinks After Profit and Sales Miss,” states: TJX Cos. stock sank 8.4% in Wednesday premarket trading after the off-price retailer reported fourth quarter profit and sales that missed expectations. Net income totaled $940.2 million, or 78 cents per share, up from $325.5 million, or 27 cents per share, last year. Sales of $13.854 billion were up from $10.943 billion. The FactSet consensus was for EPS of 91 cents and sales of $14.218 billion. TJX chains include TJ Maxx and HomeGoods. Fourth quarter open-only comp sales grew 10%, with U.S. open-only comp sales up 13%.

Though metrics increased across-the-board, expectations were considerably higher. Hence the stock drop.

Forbes.com, also in February, 2022, published “TJX Reports Strong U.S. Comp Store Sales Growth In 2022 Final Quarter,” which effectively continued the report.

As excerpted from the Forbes article: That tells half the story. Management indicated that the company was impacted by cost increases both in wages and transportation. Some of the increases will be permanent as management feels that wages will remain at a higher level. On the other hand, freight increases, which stem from higher shipping costs and overland transportation are likely to abate toward the end of the new fiscal year.

It should be noted stores closed during the pandemic, which temporarily impacted numbers. Indeed current reports, as seen below, are positive.

Conclusion

As with many social media postings and internet innuendo regarding store closures of popular and venerable chains, those who post typically have little to no knowledge of the inner workings of a given company.

Though T.J. Maxx has seen the occasional slide in stock value, the company has always recovered in response to higher-earning quarters.

Today, per MacroTrends.net, TJX — the parent company of T.J. Maxx — reported the following current revenue: TJX annual revenue for 2022 was $48.55B, a 51.07% increase from 2021. TJX annual revenue for 2021 was $32.137B, a 22.96% decline from 2020. TJX annual revenue for 2020 was $41.717B, a 7.04% increase from 2019.

The trends are positive, though for perspective it is reasonable to consider the origins of the rumors, which were due in large part to a partial 2021 decline.

Presently, despite supply chain issues and inflation, and analysts are optimistic as to the chain’s future.

For now, there are no plans whatsoever for this company, or individual locations, to close its doors.

Thank you for reading.

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I am an award-winning author, screenwriter for film and television, and producer. My mission on News Break is to share socially important perspectives on both culture and pop-culture. Member of PEN America, and the WGA.

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