Summary
Burlington Stores, Inc. (BURL) reported its fiscal year 2022 results, highlighting a 13% decrease in comparable store sales, impacted by economic pressures on its core customer base and broader retail promotional activity. Despite this sales decline, the company continued its expansion strategy, opening 91 new stores to reach a total of 927 locations by the end of the fiscal year. Net income decreased to $230.1 million from $408.8 million in the prior year, primarily due to lower sales and a reduced gross margin rate, which was affected by higher markdowns and increased freight costs. The company remains focused on driving profitability through initiatives like chasing sales trends, optimizing inventory levels, investing in merchandising capabilities, and challenging operating expenses. Burlington's long-term strategy includes expanding its store base to a target of 2,000 stores, leveraging a smaller store prototype. Financially, the company maintained a strong liquidity position with $872.6 million in cash and cash equivalents at year-end and $795.7 million available under its credit facility. BURL also continued its share repurchase program, buying back $302.7 million of its common stock during the fiscal year. The company's long-term debt stands at $1.46 billion. While facing macroeconomic headwinds and competitive pressures, Burlington is investing in its store experience and operational flexibility to navigate the current retail landscape and pursue its growth objectives.
Financial Highlights
25 data points| Revenue | $8.70B |
| Cost of Revenue | $5.17B |
| Gross Profit | $3.53B |
| SG&A Expenses | $2.88B |
| Operating Expenses | $8.40B |
| Net Income | $230.12M |
| EPS (Basic) | $3.51 |
| EPS (Diluted) | $3.49 |
| Shares Outstanding (Basic) | 65.64M |
| Shares Outstanding (Diluted) | 65.90M |
Key Highlights
- 1Comparable store sales decreased by 13% in Fiscal 2022, impacted by economic pressures on consumers and increased retail promotions.
- 2The company expanded its store footprint, opening 91 new stores, bringing the total to 927 by the end of Fiscal 2022.
- 3Net income for Fiscal 2022 was $230.1 million, a decrease from $408.8 million in Fiscal 2021, largely due to lower sales and reduced gross margin.
- 4Gross margin percentage declined to 40.4% from 41.6% in the prior year, primarily due to higher markdowns and increased freight costs.
- 5Burlington plans to open 70-80 net new stores in Fiscal 2023 and maintains a long-term store target of 2,000 locations.
- 6The company ended Fiscal 2022 with $872.6 million in cash and cash equivalents and $795.7 million available under its credit facility, indicating a solid liquidity position.
- 7Burlington repurchased $302.7 million of its common stock during Fiscal 2022, continuing its share repurchase program.