Investing.com -- The TJX Companies, Inc. (NYSE: TJX) reported better-than-expected third-quarter results on Wednesday, with earnings and revenue surpassing analyst estimates, driving shares up 2.8% in trading.

The off-price retailer posted adjusted earnings per share of $1.28 for its third quarter, exceeding the analyst consensus of $1.23. Revenue reached $15.1 billion, above the $14.84 billion analysts had expected and up 7% from the same quarter last year. Comparable store sales increased 5%, significantly outperforming the company’s internal projections.

"I am extremely pleased with our third quarter performance and the excellent execution of our off-price business model by our teams across the Company," said Ernie Herrman, CEO and President of TJX. "Sales, pretax profit margin, and earnings per share all exceeded our expectations."

The company’s pretax profit margin reached 12.7%, well above its plan and 0.4 percentage points higher than the same quarter last year. Gross profit margin improved to 32.6%, up 1.0 percentage point YoY, driven by higher merchandise margins and expense leverage on sales.

All divisions showed strong comparable sales growth, with TJX Canada leading at 8%, followed by Marmaxx (U.S.) at 6%, HomeGoods (U.S.) at 5%, and TJX International at 3%.

During the quarter, TJX returned $1.1 billion to shareholders through share repurchases and dividends. The company repurchased 4.2 million shares for $594 million and paid $472 million in dividends.

Looking ahead, TJX’s full-year comparable sales growth forecast is 4%. It increased its pretax profit margin outlook to 11.6%. For the fourth quarter, the company expects comparable sales to rise 2% to 3% with EPS between $1.33 and $1.36, slightly below the analyst consensus of $1.37.