Burlington Stores (BURL) is expected to deliver a year-over-year increase in earnings on higher revenues when it reports results for the quarter ended January 2024. This widely-known consensus outlook gives a good sense of the company's earnings picture, but how the actual results compare to these estimates is a powerful factor that could impact its near-term stock price.The stock might move higher if these key numbers top expectations in the upcoming earnings report, which is expected to be released on Mar ...

Burlington Stores, Inc. (BURL) has exhibited a decent run on the bourses in the past three months, owing to its operational initiatives, and continuous focus on marketing, merchandising and store prototypes.The company maintains a strong competitive advantage through its effective off-price retail model, innovative merchandising and streamlined supply-chain processes, proving its resilience in challenging market conditions. Burlington Stores, one of the recognized retailers in the branded apparel space, has ...

Burlington Stores, Inc. (BURL) has a robust competitive edge on its off-price retail model, adept merchandising capabilities and optimized supply-chain operations, showcasing resilience in the tough operating landscape. The company has demonstrated its ability to navigate uncertainties, capture consumer trends, and foster top-line growth and operating margin expansion.Adapting to industry changes, BURL's 2.0 initiative focuses on marketing, merchandising and store prototypes to enhance customer value throug ...

Burlington Stores, Inc. (NYSE:BURL) Q3 2023 Earnings Conference Call November 21, 2023 8:30 AM ET Company Participants David Glick - Group Senior Vice President, Investor Relations and Treasurer Michael O'Sullivan - Chief Executive Officer Kristin Wolfe - EVP and Chief Financial Officer Conference Call Participants Matthew Boss - JPMorgan Ike Boruchow - Wells Fargo Lorraine Hutchinson - BofA Securities John Kernan - TD Cowen Alex Straton - Morgan Stanley Brooke Roach - Goldman Sachs Operator Hello, and th ...

Store Operations - As of October 28, 2023, the company operates 977 stores, having opened 65 new stores and closed 6 during the nine-month period[20] - The company has committed to open or relocate approximately 61 stores and one warehouse, with an estimated cost of $605.8 million[102] - The company plans to operate 2,000 stores over the long term, focusing on market opportunities and unit economics[161] Financial Performance - For the three months ended October 28, 2023, net sales increased by approximately $248.7 million, or 12.2%, to $2,284.7 million, driven by a 6% increase in comparable store sales[42] - Net sales for the three months ended October 28, 2023, were $2,284,673, an increase of 12.2% compared to $2,035,927 for the same period in 2022[79] - Total revenue for the nine months ended October 28, 2023, reached $6,601,109, up 10.8% from $5,958,321 in the prior year[79] - Net income for the three months ended October 28, 2023, was $48.6 million, up from $16.8 million in the same period last year, primarily due to higher sales and increased gross margin rate[54] - Net income for the nine months ended October 28, 2023, was $112,191, compared to $44,923 for the same period in 2022, representing a significant increase[89] Profitability Metrics - Adjusted EBITDA for the three months ended October 28, 2023, increased by $53.0 million to $175.6 million, and for the nine months, it increased by $115.1 million to $473.7 million compared to the prior year[30] - Adjusted Net Income for the three months ended October 28, 2023, was $63.8 million, compared to $28.0 million for the same period in the prior year[28] - Adjusted EBIT for the three months ended October 28, 2023, increased by $44.5 million to $99.5 million, and for the nine months, it increased by $97.3 million to $253.9 million compared to the prior year[33] - The gross margin for the three months ended October 28, 2023, was 43.2%, an improvement from 41.2% in the same period last year[40] - Gross margin as a percentage of net sales for the nine months ended October 28, 2023, increased to 42.4% from 40.4% for the same period in the prior year[173] Expenses and Costs - Selling, general and administrative expenses increased to $826.8 million, or 36.2% of net sales, compared to $726.9 million, or 35.7% of net sales, reflecting a $99.9 million increase[44] - Store payroll as a percentage of net sales was 8.8% and 8.4% during the three and nine month periods ended October 28, 2023, respectively, compared to 8.1% for the same periods last year[37] - Cost of sales as a percentage of net sales decreased to 56.8% in Q3 Fiscal 2023 from 58.8% in Q3 Fiscal 2022, driven by increased merchandise margins and decreased freight costs[43] - Depreciation and amortization expense rose to $76.1 million in Q3 Fiscal 2023 from $67.6 million in Q3 Fiscal 2022, attributed to capital expenditures related to supply chain and new stores[45] Cash Flow and Liquidity - Net cash provided by operating activities increased to $270,196 for the nine months ended October 28, 2023, compared to $9,577 for the same period in 2022[89] - Cash, cash equivalents, restricted cash, and restricted cash equivalents at the end of the period were $615,863, up from $435,165 at the end of the same period in 2022[89] - Net cash used in investing activities was $311,284 for the nine months ended October 28, 2023, compared to $319,111 for the same period in 2022[89] - Net cash used in financing activities decreased to $222,254 for the nine months ended October 28, 2023, from $352,974 for the same period in 2022[89] Debt and Financing - As of October 28, 2023, total debt obligations included $935.5 million under the Term Loan Facility and $453.2 million of Convertible Notes[216] - The borrowing rate related to the Term Loan Facility was 7.4% as of October 28, 2023[218] - The company issued $297.1 million of 1.25% Convertible Senior Notes due 2027 on September 12, 2023, with an effective interest rate of 1.7%[117] - The ABL Line of Credit was increased from $650.0 million to $900.0 million, with $824.0 million available as of October 28, 2023[119][121] Tax and Compliance - Income tax expense increased to $18.3 million in Q3 Fiscal 2023 from $6.0 million in Q3 Fiscal 2022, with an effective tax rate of 27.4% compared to 26.4%[50] - The effective tax rate for the nine-month period ended October 28, 2023, was 26.3%, up from 20.5% in the prior year, due to higher pre-tax income and other factors[182] Inventory and Assets - Merchandise inventories increased to $1,329,129 as of October 28, 2023, from $1,181,982 as of January 28, 2023[85] - Total assets as of October 28, 2023, were $7,493,700, an increase from $7,269,597 as of January 28, 2023[85] - Inventory decreased to $1,329.1 million as of October 28, 2023, from $1,445.1 million at October 29, 2022, primarily due to reduced inventory in distribution centers[174] Shareholder Equity and Stock - As of October 28, 2023, total stockholders' equity is $850,476, with a net income of $42,386 for the quarter[98] - The company reported a net income per diluted share of $0.75 for the three months ended October 28, 2023, compared to $0.26 for the same period in 2022[79] - The total number of shares outstanding as of October 28, 2023, is 82,354,291, an increase from 82,326,476 shares in the previous quarter[98] - The company repurchased 748,720 shares of common stock for $129.3 million during the first three quarters of Fiscal 2023, with $718.0 million remaining under the share repurchase authorization[212] Market Conditions and Strategy - The U.S. retail industry faces margin pressure due to economic conditions, with consumers becoming more value-conscious amid inflation[51] - The company anticipates increased competition in the retail apparel and home furnishings markets, necessitating differentiation from competitors[68] - The company aims to enhance existing categories and introduce new categories to expand its offerings[160] - The company plans to optimize markdowns to maximize sales and gross margin dollars based on sales forecasts and sell-through targets[23]

Burlington Stores, Inc. (NYSE:BURL) Q2 2023 Results Conference Call August 24, 2023 8:30 AM ET Company Participants David Glick - Group Senior Vice President, Investor Relations and Treasurer Michael O'Sullivan - Chief Executive Officer Kristin Wolfe - EVP and Chief Financial Officer Conference Call Participants Matthew Boss - JPMorgan Irwin Boruchow - Wells Fargo Lorraine Hutchinson - Bank of America John Kernan - TD Cowen Alex Straton - Morgan Stanley Chuck Grom - Gordon Haskett Adrienne Yih - Barclays Op ...

Financial Performance - Net income for the three months ended July 29, 2023 was $30.892 million, compared to $11.966 million for the same period in 2022[22] - Total comprehensive income for the six months ended July 29, 2023 was $71.046 million, up from $46.351 million in the same period of 2022[22] - Net income for the six months ended July 29, 2023, was $63,640 thousand, compared to $28,139 thousand for the same period in 2022[28] - Net income for the period ending July 30, 2022, was $11.966 million[38] - Net income for the six months ended July 29, 2023 was $63.64 million, compared to $28.139 million for the same period in 2022[89] - Net income for the three months ended July 29, 2023 increased to $30.9 million from $12.0 million in the same period in 2022, driven by higher sales and increased gross margin rate[133] - Adjusted Net Income for the three months ended July 29, 2023 increased by $15.9 million to $38.9 million compared to the same period in the prior year[142] - Adjusted EBITDA for the three months ended July 29, 2023 increased by $30.3 million to $140.8 million compared to the same period in the prior year[146] - Adjusted EBITDA for the six months ended July 29, 2023, rose to $298.126 million, up from $235.982 million in the same period in 2022[148] - Net income for the three months ended July 29, 2023, increased to $30.892 million, compared to $11.966 million in the same period in 2022[148] - Net income for Q2 Fiscal 2023 was $30.9 million, up from $12.0 million in Q2 Fiscal 2022, driven by higher sales and increased gross margin rate[179] - Net income for the first half of Fiscal 2023 was $63.6 million, compared to $28.1 million in the same period of Fiscal 2022, driven by higher sales and increased gross margin rate[198] Cash Flow and Liquidity - Cash and cash equivalents decreased to $520.974 million as of July 29, 2023 from $872.623 million at January 28, 2023[26] - Net cash provided by operating activities was $29,826 thousand, a significant improvement from a net cash used of $152,862 thousand in the prior year[28] - Net cash used in investing activities decreased to $177,658 thousand from $186,395 thousand in the previous year[28] - Net cash used in financing activities was $210,399 thousand, down from $296,849 thousand in the same period last year[28] - Cash, cash equivalents, restricted cash, and restricted cash equivalents decreased to $520,974 thousand from $879,205 thousand at the beginning of the period[28] - Cash payments arising from operating lease liabilities for the six months ended July 29, 2023, were $282.825 million[52] - Cash and cash equivalents, including restricted cash, decreased by $358.2 million during the six months ended July 29, 2023, compared to a decrease of $636.1 million in the same period in 2022[157] - Net cash provided by operating activities was $29.8 million for the six-month period ended July 29, 2023, compared to net cash used of $152.9 million in the same period of 2022, primarily due to improved sales and gross margin[202] - Net cash used in investing activities was $177.7 million for the six-month period ended July 29, 2023, compared to $186.4 million in the same period of 2022, mainly due to decreased capital expenditures related to stores[203] - Net cash used in financing activities was $210.4 million for the six-month period ended July 29, 2023, compared to $296.8 million in the same period of 2022, driven by fewer share repurchases and increased debt repayments[204] Balance Sheet and Assets - Merchandise inventories stood at $1.161 billion as of July 29, 2023, down from $1.182 billion at January 28, 2023[26] - Total current assets were $1.917 billion as of July 29, 2023, compared to $2.284 billion at January 28, 2023[26] - Long-term debt decreased to $1.348 billion as of July 29, 2023 from $1.462 billion at January 28, 2023[26] - Total stockholders' equity increased to $825.859 million as of July 29, 2023 from $794.905 million at January 28, 2023[26] - Accumulated earnings increased to $708.055 million as of July 29, 2023 from $644.415 million at January 28, 2023[26] - Merchandise inventories increased by $20,460 thousand, compared to a decrease of $245,687 thousand in the prior year[28] - Long-term debt as of July 29, 2023, totaled $1,361.6 million, with net long-term debt of $1,347.7 million after deducting current maturities[54] - The fair value of the interest rate swap contract as of July 29, 2023, was $36.1 million, classified as other assets[68] - Working capital decreased to $273.4 million as of July 29, 2023, from $320.5 million as of July 30, 2022, primarily due to decreased inventory, partially offset by an increased cash balance[205] Debt and Financing - The Term Loan Facility interest rate increased to 7.4% as of July 29, 2023, compared to 4.4% in the previous year[56] - The company issued $805.0 million of 2.25% Convertible Senior Notes due 2025, with an effective interest rate of 2.8%[56][60] - In Q1 2023, the company exchanged $110.3 million in Convertible Notes for $133.3 million in cash, resulting in $24.6 million in pre-tax debt extinguishment charges[58] - The ABL Line of Credit was increased to $900.0 million, with $818.7 million available as of July 29, 2023[62][64] - The company amended its interest rate swap to a SOFR-based rate of 2.16%, hedging $450.0 million of variable rate exposure under the Term Loan Facility[65] - The letter of credit sublimit under the ABL Line of Credit was increased to $250 million, with scheduled reductions starting April 1, 2024[63] - Interest expense for the three months ended July 29, 2023 was $(1.61 million), compared to $2.847 million for the same period in 2022[70] - Net reclassification into earnings for the six months ended July 29, 2023 was $(2.006 million), compared to $4.921 million for the same period in 2022[70] - The company estimates $12.9 million will be reclassified from accumulated other comprehensive income as a reduction to interest expense over the next twelve months[70] - Interest expense increased by $8.8 million in the first half of Fiscal 2023 to $38.9 million, driven by higher interest rates on the unhedged portion of the term loan[191] Leases and Rent - Total lease liabilities as of July 30, 2022, amounted to $3.201 billion for operating leases and $31.495 million for finance leases[42] - Future minimum lease payments for operating leases total $3.915 billion, with $43.820 million for finance leases[42] - Weighted average discount rate for operating leases is 5.2%, and for finance leases, it is 6.0%[42] - Weighted average remaining lease term is 7.9 years for operating leases and 11.8 years for finance leases[42] - Total net rent expense for the six months ended July 29, 2023, was $389.635 million[49] - The company committed to $206.6 million for 40 additional store leases acquired from Bed Bath & Beyond[48] Stock and Compensation - The company had 64,850,028 shares of common stock outstanding as of July 29, 2023[16] - Stock-based compensation expense increased to $36,147 thousand from $33,878 thousand year-over-year[28] - Total stock-based compensation for the period ending July 30, 2022, was $17.173 million[38] - The company repurchased 399,772 shares of common stock for $77.5 million during the six months ended July 29, 2023[87] - As of July 29, 2023, the company had $269.9 million remaining under its share repurchase authorization[87] - As of July 29, 2023, the company had 5,178,607 shares of common stock available for issuance under its 2022 Omnibus Incentive Plan[92] - Non-cash stock compensation expense for the three months ended July 29, 2023 was $19.4 million, compared to $17.2 million for the same period in 2022[93] - Total stock options outstanding as of July 29, 2023 were 1,434,142 with a weighted average exercise price of $196.58[95] - The aggregate intrinsic value of stock options vested and expected to vest as of July 29, 2023 was $13.1 million[96] - Restricted stock awards vested during the six months ended July 29, 2023 had a total intrinsic value of $27.7 million[99] - Performance stock unit awards vested during the six months ended July 29, 2023 had a total intrinsic value of $5.5 million[101] Inventory and Sales - Merchandise inventories stood at $1.161 billion as of July 29, 2023, down from $1.182 billion at January 28, 2023[26] - Merchandise inventories increased by $20,460 thousand, compared to a decrease of $245,687 thousand in the prior year[28] - Inventory decreased to $1,161.5 million at July 29, 2023, from $1,266.7 million at July 30, 2022, primarily due to decreased reserve inventory[162] - Net sales improved by $186.6 million, or 9.4%, to $2,170.4 million during the second quarter of Fiscal 2023, driven by a 4% increase in comparable store sales and the net sales of 62 new stores[166] - Net sales increased by $393.7 million (10.1%) in the first half of Fiscal 2023, driven by a 4% increase in comparable store sales and the addition of 62 net new stores[180] - Sales are seasonally higher in the second half of the year, driven by back-to-school and holiday seasons[127] - Weather patterns continue to influence sales, with cold weather in Fall and warm weather in early Spring driving higher sales[128] Expenses and Costs - Depreciation and amortization expenses increased to $143,662 thousand from $134,274 thousand year-over-year[28] - Stock-based compensation expense increased to $36,147 thousand from $33,878 thousand year-over-year[28] - Unrealized losses on interest rate derivative contracts, net of related taxes, were $6.769 million for the period ending July 30, 2022[38] - The company incurred $0.1 million in fees related to the Term Loan Facility amendment, primarily for legal fees[55] - Impairment charges on long-lived assets were $2.3 million in Q2 2023, related to declines in revenue and operating results for eight stores[75] - Depreciation and amortization expense increased to $143.7 million in the first half of Fiscal 2023 from $134.3 million in the first half of Fiscal 2022, driven by capital expenditures related to the supply chain and new stores[187] - Impairment charges on long-lived assets were $5.6 million in the first half of Fiscal 2023, related to unrecoverable fixed assets at ten underperforming stores[188] - Income tax expense increased to $21.7 million in the first half of Fiscal 2023 from $5.5 million in the first half of Fiscal 2022, with an effective tax rate of 25.4% compared to 16.4% in the prior year[192] - Selling, general and administrative expenses increased by $89.8 million (13.1%) in Q2 Fiscal 2023, primarily due to higher product sourcing costs, store-related costs, and marketing costs[169] - Selling, general and administrative expenses increased by $165.1 million (12.1%) in the first half of Fiscal 2023, primarily driven by higher product sourcing costs[185] Operational Metrics - The company operated 939 retail stores as of July 29, 2023[30] - Fiscal 2023 is a 53-week year ending February 3, 2024, compared to a 52-week year in Fiscal 2022[34] - The company had purchase commitments of $1,301.2 million for goods not yet received as of July 29, 2023[104] - The company opened 22 new stores, including 5 relocations, and closed 5 stores during the six months ended July 29, 2023, bringing the total store count to 939[115] - The company plans to carry less inventory in stores to drive faster turns and lower markdowns, while improving the customer shopping experience[116] - The company aims to expand its retail store base to 2,000 stores in the long term by focusing on market opportunities and smaller store prototypes[118] - The company intends to increase operating margins by improving operational flexibility and optimizing markdowns[119] - The company plans to expand its store footprint and buying offices to capture incremental buying opportunities and realize economies of scale[120] - The company is focusing on tighter expense control and process improvements to drive operating leverage and efficiency savings[120] - Prolonged inflationary pressures are negatively impacting the discretionary spending of the company's core low-income customers[122] - The company has identified variable costs that could be reduced to mitigate the impact of potential extended declines in net sales[126] - The company faces margin pressure due to increased competition and the need to offer brand-name merchandise at discounted prices[129] Gross Margin and Cost of Sales - Gross margin as a percentage of net sales increased to 41.7% for the three months ended July 29, 2023, compared to 38.9% in the same period in 2022, driven by decreased freight costs and increased merchandise margins[154] - Cost of sales as a percentage of net sales decreased to 58.3% in Q2 Fiscal 2023 from 61.1% in Q2 Fiscal 2022, driven by decreased freight and increased merchandise margins[167] - Cost of sales as a percentage of net sales decreased to 58.0% in the first half of Fiscal 2023 from 60.1% in the first half of Fiscal 2022, primarily due to decreased freight costs and higher merchandise margins[181] - Product sourcing costs increased by approximately 50 basis points as a percentage of net sales during the three months ended July 29, 2023[154] Comparable Store Sales - Comparable store sales increased by 4% for both the three and six months ended July 29, 2023, compared to a decrease of 17% in the same periods in 2022[160] Adjusted Metrics - Adjusted EBIT increased by $25.1 million to $67.7 million for the three months ended July 29, 2023, compared to the same period in the prior year[150] Store Payroll - Store payroll as a percentage of net sales was 8.3% for the three months ended July 29, 2023, compared to 8.2% in the same period in 2022[163] Interest Rate Derivatives - Net unrealized gain on interest rate derivative contracts was $8.465 million for the three months ended July 29, 2023[22] - Unrealized gains from interest rate derivatives before taxes were $11.6 million for the three months ended July 29, 2023[69]

Burlington Stores, Inc. (NYSE:BURL) Q1 2023 Earnings Conference Call May 25, 2023 8:30 AM ET Company Participants David Glick - Investor Relations Michael O’Sullivan - Chief Executive Officer Kristin Wolfe - Executive Vice President and Chief Financial Officer Conference Call Participants Matthew Boss - JPMorgan Lorraine Hutchinson - Bank of America Ike Boruchow - Wells Fargo Alex Straton - Morgan Stanley John Kernan - TD Cowen Chuck Grom - Gordon Haskett Mark Altschwager - Baird Operator Ladies and gentlem ...

Title of each class Trading Symbol(s) Name of each exchange on which registered (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended April 29, 2023 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to . Commission File Number 001-36107 Delaware 80-0895227 (State or Other Jurisdiction of Incorporation or Organization) (I.R.S. Employer Identification No.) Se ...

These exchanges resulted in aggregate pre-tax debt extinguishment charges of $14.7 million and $124.6 million during Fiscal 2022 and Fiscal 2021, respectively. Prior to the close of business on the business day immediately preceding January 15, 2025, the Convertible Notes will be convertible at the option of the holders only upon the occurrence of certain events and during certain periods. Thereafter, the Convertible Notes will be convertible at the option of the holders at any time until the close of busin ...