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Burlington Stores’ New Stores Are Overdelivering—Is This the Start of a Powerful Sales Flywheel?

Burlington Stores, Inc.’s latest earnings call revealed a mixed performance for the third quarter of fiscal 2025, highlighting both positive achievements and persisting challenges. Total sales grew by 7% during the quarter, at the high end of the company’s guidance, which was a continuation of the upward sales trend from the previous year. However, comparable store sales growth was modest at 1%, underscoring some issues faced during the period. A significant factor that impacted this quarter’s results was unexpected warmer weather, which affected the company’s performance in its traditionally strong outerwear segment. Historically, Burlington Stores has a substantial portion of its sales rooted in cold-weather apparel, reflecting its legacy as Burlington Coat Factory. The warmer-than-expected weather led to a drop in foot traffic and sales in key outerwear categories in September and early October, although a recovery was seen as temperatures normalized later in the quarter.