The TJX Companies saw sales grow at the fastest pace in nearly two years during the fourth fiscal quarter, as the retailer’s focus on value continued to resonate with consumers in the current environment.

Net sales for the quarter ended January 31 jumped 9 per cent to $17.7 billion, with comparable sales up 5 per cent. This follows the 7 per cent increase in the third quarter.

“Even during a time when the consumer economy was robust, the lift in revenue would be impressive; but to produce it at a time when discretionary spend is under pressure is exceptional,” commented GlobalData MD Neil Saunders.

“At the heart of what TJX gets right is value – something that consumers are chasing more than ever. 

“But value is about much more than just low prices. It’s about having compelling products, an interesting and relevant shopping experience, and prices which are surprisingly good,” Saunders said.

By segment, HomeGoods recorded an 8.5 per cent increase in sales, supported by a 5 per cent lift in comparable sales. Though low housing transactions and weak consumer confidence eroded some demand, the business still thrived thanks to its focus on value and dominance in decorative accents and home accessories, the analyst said.

Another significant component of HomeGoods’ success is leaning into occasions like Halloween and the holidays in a major way, he added.

At TJMaxx and Marshalls, total sales grew 6.9 per cent and comparables increased 5 per cent. 

“A consumer focus on somewhat dressier styles was evident this holiday season, but with budgets under pressure many turned to TJMaxx to help them get maximum bang for their buck,” Saunders said.

On the bottom line, net income rose 27 per cent to $1.7 billion.

For the full year, net sales were up 7 per cent to $60.4 billion and comparable sales up 5 per cent. Net income rose 13 per cent to $5.5 billion. 

The company expects comparable sales to be up 2-3 per cent in the new fiscal year.