Burlington Stores reported strong, better-than-expected first quarter sales and earnings and lifted its outlook for the year as consumers continue to seek out value in an uncertain economy.
The off-price retailer continued to grow its footprint during the quarter, with a net increase of 30 stores. For the full year, it now anticipates 115 net new stores for 2026, ahead of its prior guidance for 110.
Aside from its new store program, the company is continuing to “transform” its legacy store base through relocations and downsizes.
“Store relocations continue to perform well, typically delivering a sales lift of 5 per cent-10 per cent as we upgrade the physical store and move into higher traffic centres with stronger co-tenancy,” CEO Michael O’Sullivan said on the earnings call. “Our downsize program is also driving very strong results.”
Burlington’s downsize program is targeted at older, oversized stores in good locations. The company downsized 20 stores in 2025 and is on track to downsize about 30 stores this year.
