Sales soar at Burlington Stores

Burlington Stores Inc. CEO Tom Kingsbury reported an unexpected sales spike in the third quarter, prompting the company to enthusiastically boost its outlook for the year.

“We are very pleased with our third quarter performance, which was highlighted by better-than-expected net sales, comparable store sales and earnings, providing a great start to the fall season. Our consistent performance reflects the ongoing success of our off-price model and the continually improving execution by our team. I believe we are very well positioned for the fourth quarter,” Kingsbury said.

For the period ended Nov. 1, sales at existing locations increased 5.2%, topping the company's September estimate for 3% to 4% growth. Net sales rose 8.7% to $1.16 billion. Overall, the company posted a loss of $34.2 million, compared with a loss of $16.9 million a year earlier. But the quarter included an income-tax charge of $24 million, compared with $7.7 million a year earlier.

Burlington operates a national chain of off-price retail stores offering ladies’, men’s and children’s apparel and accessories, home goods, baby products and coats. The company currently has 503 stores in 44 states and Puerto Rico.

Burlington has experienced a turnaround in recent years, with sales rebounding following the financial crisis and the company returning to public markets last October.