Burlington Coat Factory: Reopening And Recovery

Burlington Coat Factory, now known as Burlington Stores, has been expanding its operations by moving into stores left vacant by other companies. In 2021, the company announced plans to open 100 new stores, with a long-term goal of reaching 2,000 stores in the US. This expansion comes as other retailers are closing stores and filing for bankruptcy. Burlington has a unique approach to securing inventory, buying leftover stock from designer brands and department stores, which allows it to offer a rotating selection of styles at discounted prices. While the company has faced some challenges, with sales and profits dropping in 2022, it remains optimistic about future growth.

Burlington Coat Factory is now called Burlington Stores Inc

Burlington Coat Factory, an American national off-price department store retailer, has been renamed Burlington Stores Inc. The company was previously known as Burlington Coat Factory Warehouse Corporation when it was purchased by the Milstein family in 1972.

The company has expanded its product offerings beyond coats and jackets, now selling women's, men's, and children's clothing, home goods, and footwear. With its new name, Burlington Stores Inc. aims to reflect this broader range of merchandise.

In 2006, the company was acquired by Bain Capital and went private. In 2008, Tom Kingsbury became president and CEO, and the company went public again in 2013. As of 2013, Burlington Stores Inc. operated over 500 stores in 44 states and Puerto Rico under various names, including Burlington Coat Factory, Cohoes Fashions, Baby Depot, and MJM Designer Shoes.

The company continues to grow and evolve, with plans to expand its physical stores and adapt to the changing retail landscape.

The company has over 750 outlets and is worth $3.3 billion

Burlington Coat Factory, now known as Burlington, is an off-price department store retailer with a large physical store presence across the United States. The company has over 750 outlets, with plans to expand further. In 2021, Burlington announced its intention to open 100 new stores, bringing its total number of outlets to over 850. The company's long-term goal is to reach 2,000 stores in the US.

Burlington has a unique business model, with an opportunistic buying approach to securing inventory. The company buys leftover inventory from designer brands, allowing it to offer a rotating selection of styles and fashions at highly competitive prices. This strategy has contributed to its treasure hunt appeal, attracting bargain hunters seeking deals on clothing, home goods, and footwear.

The company's physical stores are a key part of its business strategy, as it does not sell products through its website. Instead, the website serves as a guide for customers planning their next trip to a Burlington store. This focus on physical retail outlets has allowed Burlington to capitalise on the decline of traditional brick-and-mortar retailers, with the company moving into locations previously occupied by now-bankrupt businesses.

While the company experienced a drop in sales and profits in 2022, CEO Michael O'Sullivan remains optimistic about future growth. He attributes the decline to execution mistakes and believes that these issues have been addressed. With a strong performance in the final quarter of fiscal 2022, Burlington is well-positioned for expansion.

In terms of financial performance, Burlington reported $4.35 billion in sales for the 12-month period ending August 3, 2013. The company's stock rose over 40% on its first day of trading in October 2013. While more recent valuation figures are not available, the company's sales and expansion plans indicate continued financial growth.

In summary, Burlington's expansive network of over 750 outlets and its unique business model have contributed to its success and valuation. The company's ability to capitalise on industry trends, such as the decline of traditional retailers and the shift to online shopping, positions it well for future growth and expansion.

Burlington Stores Inc. has an opportunistic buying approach to securing inventory

The company's CEO, Michael O'Sullivan, has expressed optimism about Burlington's future growth, particularly in light of the challenges faced by traditional retailers. In a conference call with analysts, O'Sullivan noted that Burlington aims to capitalise on the ""opportunity presented by accelerating retail disruption and industry-wide store closures." The company plans to open 100 new stores in 2021, bringing its total number of outlets to over 750, and has doubled its long-term goal for potential stores to 2,000.

Burlington's opportunistic buying strategy is closely tied to its unique business model. Unlike traditional retailers, Burlington does not sell products through its website. Instead, the website serves as a guide for customers to plan their in-store shopping trips. This approach ensures that customers visit the physical stores, creating a "treasure hunt" experience as they browse through the ever-changing inventory of discounted designer brands.

To further enhance its competitiveness, Burlington has also announced plans to open smaller stores. These smaller locations will carry less inventory, resulting in lower operating costs. This strategy not only reduces occupancy costs and increases operating margins but also expands the pool of potential real estate sites for new stores. By thinking small, Burlington aims to grow larger and capture a significant market share in the off-price retail channel.

Despite a drop in annual sales and profits in 2022, Burlington remains confident in its ability to bounce back. O'Sullivan attributed the decline to execution mistakes and assured investors that the issues have been addressed. With a focus on driving sales and chasing trends, Burlington expects to see improvements in the coming quarters. The company's ability to adapt to market changes and its opportunistic buying approach position it well to capitalise on industry disruptions and store closures.

The company's sales and profits dropped in 2022

Burlington Stores Inc., formerly known as Burlington Coat Factory, has reported a drop in annual sales and profits in 2022. The company's sales fell by 7% to $8.6 million, and net income dropped by 44% to $230 million, or $3.49 per share. However, the company's CEO, Michael O'Sullivan, remains optimistic about future growth. He attributes the drop in sales and profits to poor execution in 2022, specifically citing decisions that led to depleted inventories for items most sought by consumers.

O'Sullivan noted that the company corrected these mistakes in the latter part of the year, resulting in improved performance. In the fourth quarter that ended on January 28, Burlington Stores saw a 5% increase in sales and a net income rise to $185 million, or $2.83 per share. This positive momentum has continued into 2023, with the company reporting Fiscal 2023 net sales of $9.7 billion.

To improve sales and profitability, Burlington Stores plans to focus on driving sales and expanding its physical stores. The company expects comparable-store sales to rise by 5 to 7% in the current quarter and by 3 to 5% in fiscal 2023. Additionally, Burlington Stores expects to add 70 to 80 new stores in fiscal 2023, bringing its total store count to over 1,000.

The company's strategy to drive sales includes its "`opportunistic buying` approach, where it purchases leftover inventory from designer brands and department stores. This allows Burlington to offer trendy and fashionable items at discounted prices, creating a "treasure hunt" appeal for bargain hunters.

In summary, despite the challenges faced in 2022, Burlington Stores Inc. has taken corrective actions and is optimistic about future growth, with a focus on sales performance and expansion. The company's unique approach to inventory procurement and its ability to capitalise on industry-wide store closures position it for potential success in the coming years.

The company's store timings vary depending on the day of the week and the location

Burlington Stores, formerly known as Burlington Coat Factory, has varying store timings that depend on the day of the week and the location. Typically, on weekdays, most stores tend to follow the same hours:

• Monday: 9:30 am – 11:00 pm
• Tuesday: 9:30 am – 11:00 pm
• Wednesday: 9:30 am – 11:00 pm
• Thursday: 9:30 am – 11:00 pm
• Friday: 9:30 am – 11:00 pm

However, these timings can vary significantly depending on the specific store location. For instance, the Burlington store in Baltimore is open from 8 am to 10 pm on Monday through Thursday and extends its hours until 12 am on Fridays. In contrast, the Las Vegas store is open daily from 8 am to 12 am, while the Fargo location opens at 9:30 am and closes at 10 pm Monday through Thursday, with a later closing time of 11 pm on Fridays.

On Saturdays, most Burlington stores open at 9:30 am and close at 10 pm, while Sunday hours are usually from 10 am to 9:30 pm. It is always recommended to check the hours of your local store, as Burlington emphasizes that actual timings may differ based on location.

Additionally, Burlington's holiday hours differ from their regular schedule. For example, on Christmas Eve, stores may open earlier and close earlier, at 7 am and 9 pm respectively, to accommodate last-minute holiday shopping while allowing staff to return home for the holidays. On certain holidays, like Thanksgiving Friday and New Year's Day, some Burlington stores may be closed altogether.

To find the hours of operation for a specific Burlington location, customers can visit the company website and use the store locator feature, which provides addresses, phone numbers, and individual store hours.

Frequently asked questions