Home / Knowledge / News / Apparel/Garments / Burlington Stores Q1'FY14 adjusted EBITDA ascends 16.1%
Burlington Stores Q1'FY14 adjusted EBITDA ascends 16.1%
11
Jun '14
Burlington Stores, Inc., a nationally recognized off-price retailer of high-quality, branded apparel at everyday low prices, announced its results for the first quarter ended May 3, 2014.
 
Highlights: 
-Comparable store sales increased 2.7%
-Net sales rose 5.9%
-Adjusted EBITDA increased 16.1%, or $12.8 million
-Adjusted EPS increased to $0.25 from $0.08 last year
-Comparable store inventory decreased 11.3%
 
First Quarter Fiscal 2014 Operating Results (for the 13 week period ended May 3, 2014 compared with the 13 week period ended May 4, 2013):
Comparable store sales increased 2.7% primarily due to improved execution of the off-price model.
 
Net sales increased 5.9%, or $63.3 million to $1,128.3 million. This increase includes the 2.7% increase in comparable store sales, as well as an increase of $40.3 million from new and non-comparable stores.
 
Gross margin expanded by 80 basis points to 38.1% from 37.3% last year, primarily due to improved execution. This more than offset an approximate 30 basis point increase in product sourcing costs that are included in selling and administrative expenses.
 
Selling and administrative expenses (“SG&A”), exclusive of advisory fees, as a percentage of net sales were 30.8% vs. 30.7% last year. As noted above, the Company experienced increased product sourcing expenses included in SG&A to process goods through its supply chain, as well as buying costs. This was offset by positive leverage from other expenses, primarily store payroll. The quarter also benefited from 15 to 20 basis points in expenses that will shift to the second quarter.
 
Adjusted EBITDA increased 16.1%, or $12.8 million, to $92.3 million. Sales growth along with gross margin expansion more than offset the increase in the Company’s increased selling and administrative expenses and led to a 70 basis point expansion in Adjusted EBITDA as a percent of net sales.
 
Depreciation and amortization expense, exclusive of net favorable lease amortization, decreased $0.5 million to $34.6 million.
 
Interest Expense decreased $7.8 million to $26.6 million from last year, driven by interest savings related to the principal payments over the last twelve months on the Company’s Holdco Notes and Term Loan. In addition, the Company realized savings as a result of the 2013 Term Loan refinancing.
 
Adjusted tax expense was $12.5 million compared to $4.0 million last year. The adjusted effective tax rate was 40.2% vs. 39.6% last year. The increase in the tax rate is the result of certain tax credits recorded in last year’s first quarter.
 
Adjusted Net Income was $18.6 million vs. $6.1 million last year, or $0.25 per pro forma diluted share vs. $0.08 last year. Pro forma diluted shares outstanding were 75.5 million vs. 72.4 million last year.
 
Click here to view full results.

Burlington Stores

Must ReadView All

Textiles | On 29th Sep 2016

CAI keeps 2016-17 cotton output at 336 lakh bales

The Cotton Association of India (CAI) has estimated cotton crop for...

Courtesy: Nandan Denim

Textiles | On 29th Sep 2016

Nandan Denim to raise Rs 100 crore through FPIs

Indian denim fabric producer Nandan Denim Ltd (NDL) plans to raise Rs ...

Apparel/Garments | On 29th Sep 2016

Outlook for Cambodia’s economy remains robust: ADB

Backed by 9.4 per cent growth in exports from the garment and...

Interviews View All

Pratik Bachkaniwala
Palod Himson Machines

Binoy Ravjani
Hero's Fashion

Milind Khandwe
Hindoostan Innovation Centre

Marcel Alberts
Eurofibers

Coating at a fibre level is a practice not usually seen in the...

Steve Cole
Xerium Technologies

Steve Cole of Xerium Technologies discusses the industry. Xerium is the...

Mohammad Hassan
Biax Fiberfilm

About one in every 20 patients picks up an infection while hospitalised....

Judy Frater
Somaiya Kala Vidya

Among the many honours showered on Frater, including Fulbright and Ford...

Igor Chapurin
Chapurin

"Now we can see the Russian trend in international fashion. And Russian...

Wendell Rodricks
Wendell Rodricks

"We should not compare India and the West. There are things we do that...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH
September 2016

September 2016

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

SUBSCRIBE


Browse Our Archives

GO


Advanced Search