Burlington Stores shares optimistic outlook after positive Q1

Off-price retailer Burlington Stores, Inc., in its first-quarter results announcement for the period ended May 3, 2025, reported a 6 percent increase in total sales to 2.5 billion dollars, with comparable store sales remaining flat.

Net income surged to 101 million dollars or 1.58 dollars per diluted share, up from 79 million dollars or 1.22 dollars per diluted share, in the first quarter of fiscal 2024. Adjusted net income also saw an increase to 107 million dollars or 1.67 dollars per share.

CEO Michael O’Sullivan highlighted that while total sales and comparable store sales were in line with guidance, adjusted EBIT margin and earnings per share (EPS) surpassed expectations, partly due to a favorable timing of expenses that will impact the second quarter.

“The environment has become more uncertain since March, especially with regard to tariffs. We anticipate that tariffs will put significant pressure on our merchandise margin, but we are confident that, as long as tariffs do not increase from current levels, we can offset this pressure elsewhere in the P&L. These offsets, together with our Q1 earnings favorability, provide a path to achieving our original guidance,” he said.

For fiscal year 2025, Burlington now projects total sales to increase by 6 percent to 8 percent, with comparable store sales rising up to 2 percent. The company plans approximately 100 net new store openings and expects adjusted EPS in the range of 8.70 dollars to 9.30 dollars.

For the second quarter of fiscal 2025, Burlington anticipates total sales to increase by 5 percent to 7 percent, with comparable store sales increasing up to 2 percent, and adjusted EPS to be in the range of 1.20 dollars to 1.30 dollars.