Revenue during the quarter grew 6.94 percent to $8,291.69 million from $7,753.50 million in the previous year period. Gross margin for the quarter expanded 55 basis points over the previous year period to 29.52 percent. Total expenses were 88.12 percent of quarterly revenues, up from 87.69 percent for the same period last year. That has resulted in a contraction of 42 basis points in operating margin to 11.88 percent.

Operating income for the quarter was $985.24 million, compared with $954.20 million in the previous year period.

Ernie Herrman, Chief Executive Officer and President of The TJX Companies, Inc., stated, “We are extremely pleased that our strong momentum in customer traffic and sales continued in the third quarter. Our consolidated comparable store sales increase of 5%, over 5% growth last year, our net sales increase of 7%, over last year’s 5% increase, and our earnings per share all significantly exceeded our expectations. Again this quarter, our comp store sales growth was primarily driven by customer traffic. We are convinced that we are gaining consumer market share across all of our divisions! Further, our merchandise margin was up strongly. We have numerous initiatives underway to drive customers to our stores this holiday selling season and keep them coming back. We will be offering consumers eclectic gift selections from around the world, all at exciting values, and shipping fresh assortments to our stores right through December and beyond. We remain laser focused on achieving our goals for 2016 and are passionate about surpassing them. We are on our way to becoming a $40 billion-plus company!”

The company expects diluted earnings per share to be in the range of $0.96 to $0.98 for the fourth-quarter. For fiscal year 2017, the company expects diluted earnings per share to be in the range of $3.39 to $3.41. For fiscal year 2017, the company expects diluted earnings per share to be in the range of $3.46 to $3.48 on adjusted basis.

The company has spent $871.30 million cash to meet investing activities during the nine month period as against cash outgo of $848.80 million in the last year period.

The company has spent $932.70 million cash to carry out financing activities during the nine month period as against cash outgo of $1,564.60 million in the last year period.

Cash and cash equivalents stood at $2,375.50 million as on Oct. 29, 2016, up 37.85 percent or $652.20 million from $1,723.30 million on Oct. 31, 2015.

Working capital increases
The TJX Companies, Inc has recorded an increase in the working capital over the last year. It stood at $3,047.80 million as at Oct. 29, 2016, up 16.41 percent or $429.72 million from $2,618.08 million on Oct. 31, 2015. Current ratio was at 1.62 as on Oct. 29, 2016, up from 1.55 on Oct. 31, 2015.

Cash conversion cycle (CCC) has decreased to 1 days for the quarter from 32 days for the last year period. Days sales outstanding were almost stable at 6 days for the quarter, when compared with the last year period.

Days inventory outstanding has decreased to 34 days for the quarter compared with 68 days for the previous year period. At the same time, days payable outstanding went down to 39 days for the quarter from 41 for the same period last year.