Revenue Performance
Burlington Stores delivered solid top-line expansion in the fourth quarter of fiscal 2025, with total sales increasing 11% year-over-year to $3,643 million. This growth was supported by a 4% rise in comparable store sales, building upon a 6% increase from the prior year. For the full fiscal year 2025, total sales grew 9%, while comparable store sales experienced a 2% increase. Management highlighted that this performance represented a robust 10% two-year comparable stack for the fourth quarter.
Profitability and Margins
The company demonstrated significant profitability improvements, reporting fourth-quarter net income of $310 million, or $4.84 per diluted share. Adjusted earnings per share for the quarter surged 21% to $4.99. Margin expansion was a key driver, as the fourth-quarter gross margin rate increased by 80 basis points to 43.7%. Furthermore, the adjusted EBIT margin expanded by 100 basis points compared to the prior year’s fourth quarter. For the full fiscal year, net income reached $610 million, with the adjusted EBIT margin expanding 80 basis points to 8.0% despite the negative impacts of tariffs implemented earlier in the year.
Balance Sheet and Liquidity
Burlington ended fiscal 2025 with a strong liquidity position, comprising $1,233 million in unrestricted cash and $926 million available on its asset-based lending facility, totaling $2,159 million. Total outstanding debt stood at $2,082 million. The company effectively managed its inventory, with merchandise inventories increasing 5% to $1,312 million by the end of the fourth quarter. Notably, reserve inventory accounted for 40% of total inventory, down from 46% in the prior year. During the quarter, the company actively returned capital to shareholders, repurchasing approximately $59 million of its common stock.