Segment Information

9 Months Ended

Nov. 02, 2019

TJX operates four main business segments. The Marmaxx segment (T.J. Maxx, Marshalls, tjmaxx.com and marshalls.com) and the HomeGoods segment (HomeGoods and Homesense) both operate in the United States, the TJX Canada segment operates Winners, HomeSense and Marshalls in Canada, and the TJX International segment operates T.K. Maxx, Homesense and tkmaxx.com in Europe and T.K. Maxx in Australia. In addition to our four main business segments, Sierra operates sierra.com and retail stores in the U.S. The results of Sierra are included in the Marmaxx segment.

All of TJX’s stores, with the exception of HomeGoods and Homesense, sell family apparel and home fashions. HomeGoods and Homesense offer home fashions.

TJX evaluates the performance of its segments based on “segment profit or loss,” which it defines as pre-tax income or loss before general corporate expense, pension settlement charge and interest expense, net. “Segment profit or loss,” as defined by TJX, may not be comparable to similarly titled measures used by other entities. The terms “segment margin” or “segment profit margin” are used to describe segment profit or loss as a percentage of net sales. These measures of performance should not be considered alternatives to net income or cash flows from operating activities as an indicator of TJX’s performance or as a measure of liquidity.

Presented below is financial information with respect to TJX’s business segments:


	Thirteen Weeks Ended						Thirty-Nine Weeks Ended
In thousands	November 2, 2019		November 3, 2018		November 2, 2019		November 3, 2018
Net sales:
In the United States:
Marmaxx	$	6,353,987	$	5,973,476	$	18,262,444	$	17,202,115
HomeGoods	1,582,411		1,463,892		4,404,112		4,060,569
TJX Canada	1,081,522		1,036,884		2,896,717		2,828,456
TJX International	1,433,414		1,351,507		3,947,242		3,754,454
Total net sales	$	10,451,334	$	9,825,759	$	29,510,515	$	27,845,594
Segment profit:
In the United States:
Marmaxx	$	820,430	$	762,911	$	2,471,622	$	2,343,682
HomeGoods	173,212		166,090		438,939		455,540
TJX Canada	170,264		182,170		385,513		446,089
TJX International	99,397		102,432		178,343		191,949
Total segment profit	1,263,303		1,213,603		3,474,417		3,437,260
General corporate expense	137,925		127,775		387,536		396,140
Pension settlement charge	—		36,122		—		36,122
Interest expense, net	3,259		3,188		6,973		10,365
Income before provision for income taxes	$	1,122,119	$	1,046,518	$	3,079,908	$	2,994,633

Segment assets as of November 2, 2019 increased from February 2, 2019 due to inclusion of operating lease right of use assets in segment assets. As of November 2, 2019, the breakdown of the Company’s operating right of use assets by segment is $4.3 billion in Marmaxx, $1.6 billion in HomeGoods, $1.1 billion in TJX Canada and $2.1 billion in TJX International.