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Burlington Stores, Inc. has submitted its 10-Q filing for the quarterly period ended November 2, 2024.
The filing includes financial statements for the quarter, showing an increase in net sales to $2,526,174,000 from $2,284,673,000 in the same quarter the previous year. This increase is attributed to the opening of 126 net new stores and a 1% rise in comparable store sales.
Cost of sales for the quarter was $1,418,143,000, representing 56.1% of net sales, compared to 56.8% in the same quarter of the previous year. This decrease in cost ratio is due to improved markdowns, freight expenses, and initial markups.
The company reported a gross margin of 43.9% for the quarter, compared to 43.2% in the previous year, with the improvement attributed to lower markdowns and higher markups.
Selling, general, and administrative expenses increased to $893,092,000 from $826,822,000, primarily due to the opening of new stores.
Net income for the quarter was $90,597,000, up from $48,551,000 in the previous year. The increase was driven by higher sales and improved gross margin.
Cash provided by operating activities was $320,212,000, while cash used in investing and financing activities was $535,886,000 and $148,115,000, respectively.
Burlington had a working capital of $389,000,000 as of November 2, 2024. The company plans to use cash generated from operations and its ABL Line of Credit to fund expected cash flow requirements and planned capital expenditures.
The filing also details various financial agreements, including an amendment to the Term Loan Facility and the issuance of 2027 Convertible Notes.
Burlington does not anticipate paying cash dividends to common stockholders in the near future.
The company continues to focus on expanding its retail store base and enhancing operational margins through various initiatives.
Burlington acknowledges the impact of general economic conditions and consumer spending habits on its business and highlights the importance of managing inventory and supply chain efficiency.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the Burlington Stores Inc. quarterly 10-Q report dated November 26, 2024. To report an error, please email earnings@qz.com.