Tjx Companiesreason 03 of 4it makes it for less than anyone else canderived 2026-09-11accession 0000109198-26-000048
Marmaxx segment profit margin increased to 15.6% for the second quarter compared to 14.2% for the same period last year, driven by a net benefit from tariff refunds and favorable merchandise margin due to higher markon
Cost of sales as a percentage of net sales decreased 2.7 percentage points for the second quarter, driven by a net benefit from tariff refunds and favorable merchandise margin due to higher markon
the finding
The AFTER passage now explicitly attributes Marmaxx segment profit margin increase to a net benefit from tariff refunds and favorable merchandise margin due to higher markon, consistent with the stated reason for owning.
before · MD&A · 2026-05-02 → 2026-08-01
“Segment profit margin increased to 14.7% for the first quarter of fiscal 2027 compared to 13.7% for the same period last year. The increase in segment profit margin for the first quarter of fiscal 2027 was primarily driven by favorable merchandise margin due to higher markon and expense leverage on higher comp sales.”
→ after
“Segment profit margin increased to 15.2% for the first six months of fiscal 2027 compared to 14.0% for the same period last year. The increase in segment profit margin for the first six months of fiscal 2027 was driven by a net benefit from tariff refunds and favorable merchandise margin due to higher markon”
the evidence · every sentence checkedfive sentences · whole, uncut
the claims it rests on
“Marmaxx segment profit margin increased to 15.6% for the second quarter compared to 14.2% for the same period last year, driven by a net benefit from tariff refunds and favorable merchandise margin due to higher markon”
“Cost of sales as a percentage of net sales decreased 2.7 percentage points for the second quarter, driven by a net benefit from tariff refunds and favorable merchandise margin due to higher markon”
what it was checked against
tariff refund recognition in cost of sales
“During the second quarter of fiscal 2027 , we have received $331 million of IEEPA related tariff refunds eligible under phases 1 and 2 of the CBP process, which includes an immaterial amount of interest, and recognized the benefit within Cost of sales, including buying and occupancy costs.”
incremental expense offset from refunds
“As a result of these tariff refunds, we have accrued incremental expenses of $112 million for year-end incentive compensation and discretionary bonuses for eligible Associates globally which impact both Cost of sales, including buying and occupancy costs and SG&A costs.”
net tariff refund benefit amount
“The net benefit of tariff refunds was $219 million for the second quarter of fiscal 2027 .”