Shares of department store retailer Burlington Stores, Inc. (BURL) are down 9 percent on Tuesday's trading despite the company turning to profit in the second quarter and beating market expectations.
However, looking ahead, its Chief Executive Officer Michael O'Sullivan, said, "The environment remains uncertain, and the trend is difficult to predict. We will continue to manage our business flexibly so we can chase the trend or pull back if necessary. In addition, we are seeing a huge imbalance between supply and demand in global logistics systems. This is driving up freight and supply chain expenses and it will put significant pressure on our margins for the balance of the year."
The company posted net income of $103 million or $1.50 per share in the second quarter, compared to net loss of $46.8 million or $0.26 per share in the same period last year.
Excluding items, income was $133 million or $1.94 per share in the quarter, compared to loss of $37.2 million or $0.56 per share a year ago. On average, 20 analysts polled by Thomson Reuters expected the company to report earnings of $1.38 per share in the quarter. Analysts' estimates, usually, exclude one-time items.
Total revenues rose to $2.21 billion from $1.01 billion in the prior-year quarter, while analysts were looking for revenues of $2.05 billion for the three-month period.
Currently at $319.93, the stock has traded between $190 and $357.3 during the past 52 weeks.
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