Burlington Stores reports increase in Q3 sales and profit

Burlington Stores, Inc., for the third quarter ended November 2, 2019 reported total sales increase of 8.6 percent to 1,775 million dollars, while comparable store sales increased 2.7 percent. Net income for the quarter increased 26 percent to 96 million dollars or 1.44 dollars per share vs. 1.12 dollars last year, and adjusted net income increased 25 percent to 104 million dollars or 1.55 dollars per share vs. 1.21 dollars last year. The company’s adjusted EBITDA increased 19 percent or 31 million dollars higher than last year’s third quarter, while adjusted EBIT increased 23 percent or 27 million dollars above the prior year period to 141 million dollars.

Commenting on the third quarter trading, Michael O’Sullivan, the company’s CEO, said in a statement: “We are pleased with our third quarter results, driven by a solid 2.7 percent comparable store sales increase, which was up against our most challenging comparison of the year, a 4.4 percent quarterly comparable store sales increase in fiscal 2018.”

Burlington Stores’ nine months sales increase 8.8 percent

Total sales at Burlington Stores increased 8.8 percent over the first nine months of fiscal 2018, which included a comparable store sales increase of 2.2 percent on top of last year’s 4 percent comparable store sales increase. Net income increased 12 percent over the prior year period to 259 million dollars or 3.84 dollars per share vs. 3.35 dollars last year. Adjusted EBIT increased by 11 percent or 38 million dollars above last year to 377 million dollars, representing a 20 basis point increase as a percentage of sales vs. the prior year period. Adjusted net income of 281 million dollars was up 13 percent vs. last year, while adjusted EPS was 4.17 dollars vs. 3.62 dollars in the prior year period.

For fiscal 2019, the company now expects total sales to increase in the range of 8.8 percent to 9.1 percent, which assumes comparable store sales to increase in the range of 2 percent to 3 percent for the fourth quarter, resulting in a full year comparable store sales increase of 2.1 percent to 2.4 percent. Adjusted EBIT margin is expected to be up approximately 10 to 20 basis points vs last year. The company plans to open 51 net new stores.

Based on third quarter results, the company expects adjusted EPS in the range of 7.28 dollars to 7.33 dollars compared to fiscal 2018 net income per share of 6.04 dollars and fiscal 2018 adjusted EPS of 6.44 dollars. For the fourth quarter, the company expects total sales to increase in the range of 9 percent to 10 percent; comparable store sales to increase 2 percent to 3 percent; adjusted EPS in the range of 3.12 dollars to 3.17 dollars.

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