Off-price retailer Burlington Stores Inc. bested Wall Street’s estimates for its fourth-quarter, both in earnings per share and revenues.
For the three months ended Feb. 2, net income rose 91.7 percent to $240.7 million, or $3.47 a diluted share, from $125.6 million, or $1.77, a year ago. On an adjusted basis, excluding the impact of 2017 Tax Reform, EPS was $2.17 for the period. Total revenues rose 14.9 percent to $1.94 billion from $1.69 billion. Comparable store sales rose 5.9 percent.
Wall Street was expecting EPS of $2.10 on revenues of $1.89 billion.
Tom Kingsbury, chief executive officer, said, “We also passed several significant milestones in fiscal 2017, as we surpassed $6 billion in total sales, expanded our adjusted earnings before interest and taxes margin by 90 basis points to 8.6 percent, and achieved record low aged inventory and record high comparable store inventory turnover levels.”
The company said merchandise inventories at the end of fiscal 2017 were $753 million, versus $702 million last year, with the increase due in part to the additional 37 net new stores opened in the year.
For fiscal 2018, the company said it expects total sales to grow 9 percent to 10 percent, with a comps gain of between 2 percent to 3 percent. Adjusted EPS was guided to the range of $5.73 to $5.83. Burlington said it would open between 35 and 40 net new stores during the year.