Summary
Burlington Stores, Inc.'s third-quarter 2014 (ended November 1, 2014) filing indicates a challenging period marked by a significant net loss of $34.2 million, a substantial increase from the $16.9 million net loss in the same quarter of the prior year. This widened loss was largely driven by a $70.3 million loss on the extinguishment of debt due to a comprehensive debt refinancing. Despite the net loss, the company reported an increase in net sales of 8.7% to $1.16 billion, driven by a 5.2% comparable store sales increase. Adjusted Net Income (Loss) improved to an income of $11.9 million from a loss of $3.3 million in the prior year period, and Adjusted EBITDA increased by 16.1% to $72.5 million, suggesting underlying operational improvements. The nine-month period ending November 1, 2014, also saw a net loss of $28.9 million, an improvement from the $47.4 million loss in the prior year, again heavily influenced by debt extinguishment costs totaling $74.0 million. Total revenues for the nine months increased by 7.6% to $3.35 billion, with comparable store sales up 4.2%. Adjusted Net Income (Loss) for the nine months swung to a positive $29.6 million from a loss of $10.8 million, and Adjusted EBITDA grew by 18.0% to $222.9 million. The company is actively managing its debt through refinancing initiatives and continues to focus on strategic growth through new store openings and enhancing the customer experience to drive comparable store sales.
Financial Highlights
47 data points| Revenue | $1.16B |
| Cost of Revenue | $698.59M |
| Gross Profit | $458.70M |
| SG&A Expenses | $396.71M |
| Operating Expenses | $1.22B |
| Net Income | -$34.21M |
| EPS (Basic) | $-0.46 |
| EPS (Diluted) | $-0.46 |
| Shares Outstanding (Basic) | 74.22M |
| Shares Outstanding (Diluted) | 74.22M |
Key Highlights
- 1Reported a net loss of $34.2 million for the three months ended November 1, 2014, a significant increase from the $16.9 million net loss in the prior year quarter, largely due to a $70.3 million loss on debt extinguishment.
- 2Net sales increased by 8.7% to $1.16 billion for the three months ended November 1, 2014, driven by a 5.2% comparable store sales increase.
- 3Adjusted Net Income (Loss) improved to $11.9 million income for the three months ended November 1, 2014, from a $3.3 million loss in the prior year quarter.
- 4Adjusted EBITDA increased by 16.1% to $72.5 million for the three months ended November 1, 2014.
- 5For the nine months ended November 1, 2014, net sales increased by 7.6% to $3.33 billion, with comparable store sales up 4.2%.
- 6The nine-month period also saw a significant loss on debt extinguishment of $74.0 million.
- 7The company continues its store expansion strategy, opening 19 net new Burlington Stores and one MJM Designer Shoes store during the nine-month period.