Burlington Stores Turns To Profit In Q1, Backs Full-Year View; Stock Up - Update

(RTTNews) - Off-price retailer Burlington Stores, Inc. (BURL), Tuesday reported a profit for the first quarter, compared to a loss last year, as revenues grew with 2.7 percent growth in comparable store sales. The company issued guidance for the second quarter, and backed its full-year view. The shares are up more than 5 percent in the morning trade.

For the first quarter ended May 3, 2014, the company posted net income of $11.77 million, compared with a loss of $5.56 million in the previous year. Pro forma adjusted earnings per share were $0.25, while it was $0.08 per share last year.

On average, nine analysts polled by Thomson Reuters expected earnings per share of $0.22 for the quarter. Analysts' estimates typically exclude one-time items.

Total revenues for the quarter grew to $1.14 billion from $1.07 billion last year. Net sales increased 5.9 percent to $1.13 billion. Analysts estimated revenues of $1.13 billion for the quarter.

Comparable store sales increased 2.7 percent, on top of a 3.4 percent increase last year.

Looking ahead to the second quarter, the firm expects adjusted net loss per share in the range of $0.12 to $0.09. Net sales are expected to increase between 5 percent and 6 percent, while comparable store sales are expected to rise 2 percent to 3 percent.

Analysts estimate loss per share of $0.09, on revenues of $1.02 billion for the quarter.

For the fiscal year ending January 2015, the firm continues to expect adjusted net income in the range of $1.25 to $1.35 per share on an increase of net sales between 5.8 percent and 6.8 percent. Comparable store sales are projected to increase 2 percent to 3 percent.

Analysts are looking for earnings per share of $1.37, on revenues of $4.72 billion for the full year.

The company expects to open one new store and close one store during the second quarter, resulting in a total store count of 523 at the end of the second quarter.

Tom Kingsbury, president and chief executive officer stated, "We remain focused on delivering great value, brands and fresh product to our customers every day as well as executing our growth initiatives to improve comparable store sales, expand our retail store base and enhance our operating margins."

BURL is currently trading at $29.71, up 5.47 percent.