Summary
Burlington Stores, Inc. reported strong financial results for the second quarter and first half of Fiscal Year 2025, demonstrating robust revenue growth and improved profitability. Net sales for the second quarter increased by 9.7% to $2.70 billion, and for the first half, they rose by 7.9% to $5.20 billion. This growth was driven by a combination of new store openings and a 5% increase in comparable store sales for the quarter and 2% for the first half. The company successfully enhanced its gross margin to 43.7% in Q2 and 43.8% year-to-date, primarily due to better merchandise margins from lower shortage and reduced markdowns, coupled with decreased freight costs. Profitability saw a significant uplift, with net income increasing by 27.6% to $94.2 million in the second quarter and by 28.1% to $195.0 million in the first half. This performance reflects the company's ongoing strategic initiatives focused on driving comparable store sales, optimizing inventory and markdowns, enhancing merchandising capabilities, and expanding its store base. The company continues to execute a disciplined real estate strategy, aiming for approximately 100 net new stores annually over the next five years, while also investing in operational efficiencies and supply chain improvements. Burlington ended the period with a solid liquidity position, supported by its ABL Line of Credit and cash generated from operations.
Financial Highlights
47 data points| Revenue | $2.71B |
| Cost of Revenue | $1.52B |
| Gross Profit | $1.19B |
| SG&A Expenses | $949.93M |
| Operating Expenses | $2.58B |
| Net Income | $94.19M |
| EPS (Basic) | $1.49 |
| EPS (Diluted) | $1.47 |
| Shares Outstanding (Basic) | 63.06M |
| Shares Outstanding (Diluted) | 63.89M |
Key Highlights
- 1Revenue Growth: Net sales increased by 9.7% to $2.70 billion for the three months ended August 2, 2025, and by 7.9% to $5.20 billion for the six months ended August 2, 2025, year-over-year.
- 2Profitability Improvement: Net income rose by 27.6% to $94.2 million in Q2 and 28.1% to $195.0 million in the first half of Fiscal 2025, indicating effective cost management and sales leverage.
- 3Enhanced Gross Margin: Gross margin as a percentage of net sales improved to 43.7% in Q2 and 43.8% year-to-date, driven by better merchandise margins and lower freight costs.
- 4Comparable Store Sales Increase: The company reported a 5% increase in comparable store sales for the second quarter and 2% for the first six months, indicating strong performance in existing locations.
- 5Store Expansion: Burlington continues its strategic expansion, opening 44 new stores (including relocations) in the first half of Fiscal 2025, and maintains plans for approximately 100 net new stores annually.
- 6Shareholder Returns: The company repurchased $131.1 million of common stock in the first half of Fiscal 2025 under its existing repurchase programs, demonstrating a commitment to returning value to shareholders.
- 7Strong Liquidity: The company maintained a healthy liquidity position, with $747.6 million in cash and cash equivalents and significant availability under its ABL Line of Credit.