Burlington Stores’ made a strong showing on its top line in its second quarter.
The off-pricer’s net income rose 51% to $71.0 million, or $1.03 a share for the period ended Aug. 4. Analysts had estimated earnings per share of 96 cents.
Total revenue increased 9.9% $1.50 billon, in line with estimates. Same-store sales grew 2.9%, just shy of analyst estimates of 3.0%.
Burlington expects its third quarter total sales to increase in the range of 11% to 12%; and same store sales to increase in the range of 2% to 3%, on top of a 3.1% increase during the third quarter of fiscal 2017. The company also anticipates an adjusted EPS in the range of $1.00 to $1.04.
“We are pleased to continue our strong earnings momentum in fiscal 2018 with solid second quarter results, driven by our overall 9.9% sales growth and an 80 basis point adjusted EBIT margin improvement,” said Tom Kingsbury, CEO. “Our 2.9% comparable store sales increase was up against our most difficult multi-year quarterly comparison. These sales and margin results enabled the company to drive a 51% increase in adjusted EPS in the second quarter, well ahead of our guidance. I would like to thank our store, supply chain and corporate teams for contributing to these strong results.”
The retailer said it plans to open 43 net new stores, and invest net capital expenditures of approximately $275 million.
Burlington operates 651 stores in 45 states and Puerto Rico, principally under the name Burlington Stores.