Brick-and-mortar stores are struggling to keep their doors open but T.J. Maxx is preparing to open thousands of new stores.
TJX Companies, owner of T.J. Maxx, Marshalls, and HomeGoods among other brands, has announced plans to expand by more than 50%. The company will operate 5,600 stores when it is finished expanding, up from the current total of nearly 3,700, CEO Ernie Herrman told investors Tuesday.
“We are confident that we can continue to open stores around the world,” he said.
The company added 47 new stores in the first quarter and plans to add 150 more throughout 2016.
TJX opened 219 store last year, and there are no plans to close any stores this year.
Herman believes 5,600 stores is just the start for the company.
“We believe significant opportunity exists beyond this,” said Herrman. “To reiterate, our [store opening] estimates do not contemplate the potential to expand into additional countries or open new chains in existing markets.”
The company’s plans to expand come at a time when it reported a 7% sales increase in the first quarter of the fiscal year.
TJX plans to manage its expansion by picking up buildings that have been abandoned by other struggling retailers.
To put the company’s expansion in perspective, Walmart is closing 269 stores, Sears just announced it was shuddering 10 Sears locations and 68 more Kmart stores, and Kohls is closing 18 stores. Gap announced plans to close 175 stores.