Burlington Stores (BURL) Q4 2025 earnings summary

Executive summary

• Q4 comparable store sales rose 6%, exceeding guidance, driven by elevated assortment and nimble response to trends.

• FY24 total sales grew 11%, comparable store sales up 4%, and operating margin expanded by 100 basis points, tracking ahead of long-range goals.

• Opened 147 new stores (101 net new), with strong performance metrics and attractive returns on new locations; 31 relocations completed.

• Both core value-focused and trade-down shoppers contributed to comp growth, with lower-income areas leading.

• Q4 net income was $261 million, diluted EPS $4.02; FY24 net income $504 million, diluted EPS $7.80.

Financial highlights

• Q4 total sales up 10% to $3.27 billion, comp sales up 6%, adjusted EBIT margin up 10 bps to 11.1%.

• Q4 adjusted EPS was $4.13, a 12% increase year-over-year, above guidance.

• Gross margin rate for Q4 was 42.9%, up 30 bps, with merchandise margin up 10 bps and freight expenses down 20 bps.

• FY24 Adjusted EBIT margin 7.2% (+100 bps); Adjusted EPS $8.35, up 34% year-over-year.

• Ended Q4 with $1.8B liquidity, $995M cash, no ABL borrowings, and $263M remaining on share repurchase authorization.

Outlook and guidance

• FY25 guidance: total sales growth of 6%-8%, 100 net new stores, comp sales growth of 0%-2%.

• Adjusted EBIT margin expected to be flat to up 30 bps; adjusted EPS guidance $8.70-$9.30, up 4%-11%.

• Q1 FY25: total sales up 5%-7%, comp sales flattish, adjusted EBIT margin down 50-90 bps, EPS $1.30-$1.45.

• FY25 capex projected at $950M, driven by DC purchases; 75% of new stores to open in H2 2025.