Burlington Stores Inc (BURL) 2025 Q1 法說會逐字稿

Hello, everyone and welcome to Burlington Stores Inc, first-quarter 2025 earnings call. Please note that this call is being recorded. (Operator Instructions)

大家好，歡迎參加伯靈頓商店公司 2025 年第一季財報電話會議。請注意，本次通話正在錄音。（操作員指示）

Thank you. I'd now like to hand the call over to David Glick, Group Senior Vice President, Investor Relations and Treasurer. You may now begin, sir.

謝謝。現在我想將電話交給集團資深副總裁、投資者關係兼財務主管 David Glick。先生，現在可以開始了。

Thank you, operator, and good morning everyone. We appreciate everyone's participation in today's conference call to discuss Burlington's fiscal 2025 first-quarter operating results. Our presenters today are Michael O'Sullivan, our Chief Executive Officer; and Kristin Wolfe, our EVP and Chief Financial Officer.

謝謝接線員，大家早安。我們感謝大家參加今天的電話會議，討論伯靈頓 2025 財年第一季的經營業績。今天的演講者是我們的執行長 Michael O'Sullivan 和我們的執行副總裁兼財務長克里斯汀沃爾夫 (Kristin Wolfe)。

Before I turn the call over to Michael, I would like to inform listeners that this call may not be transcribed, recorded, or broadcast without our express permission. Replay of the call will be available until June 5, 2025. We take no responsibility for inaccuracies that may appear in transcripts of this call by third parties. A remarks in the Q&A that follows are copyrighted today by Burlington Stores.

在我將電話轉給麥可之前，我想告知聽眾，未經我們明確許可，不得轉錄、錄製或廣播此通話。該通話的重播將持續到 2025 年 6 月 5 日。對於第三方在本次通話記錄中可能出現的不準確之處，我們不承擔任何責任。以下問答中的言論版權歸 Burlington Stores 所有。

Remarks made on this call concerning future expectations, events, strategies, objectives, trends, or projected financial results are subject to certain risks and uncertainties. Actual results may differ materially from those that are projected in such forward-looking statements.

本次電話會議上有關未來預期、事件、策略、目標、趨勢或預期財務結果的評論受到一定風險和不確定性的影響。實際結果可能與此類前瞻性陳述中預測的結果有重大差異。

Such risks and uncertainties include those that are described in the company's 10-K and in our filings with the FCC, all of which are expressly incorporated herein by reference. Please note that the financial results and expectations we discussed today are on a continuing operations basis. Reconciliations of the non-GAAP measures we discussed today, and the GAAP measures are included in today's press release.

這些風險和不確定性包括公司 10-K 報表和我們向 FCC 提交的文件中所描述的風險和不確定性，所有這些文件均透過引用明確納入本文。請注意，我們今天討論的財務結果和預期是基於持續經營的基礎。我們今天討論的非 GAAP 指標與 GAAP 指標的對帳已包含在今天的新聞稿中。

As a reminder, as indicated in this morning's press release, all profitability metrics discussed in this call exclude costs associated with bankruptcy -cquired leases. These pre-tax costs amounted to $6 million each during the fiscal first quarters of 2025 and 2024.

提醒一下，正如今天上午的新聞稿中指出的那樣，本次電話會議中討論的所有盈利指標均不包括與破產租賃相關的成本。2025 財年第一季及 2024 財年第一季的稅前成本分別為 600 萬美元。

Now here's Michael.

現在輪到麥可了。

Thank you, David. Good morning, everyone, and thank you for joining us. I would like to cover four topics this morning. Firstly, I will briefly discuss our first quarter results. Secondly, I will talk about our forward-looking guidance. Thirdly, I will comment on the two biggest drivers of uncertainty right now, the impact of tariffs and the state of the consumer. Finally, I will share some thoughts on our longer term prospects. After that, I'll hand it over to Kristin to walk through the financial details. Then we will be happy to respond to your questions.

謝謝你，大衛。大家早安，感謝大家的收看。今天早上我想講四個話題。首先，我將簡要介紹我們的第一季業績。其次，我將談談我們的前瞻性指引。第三，我將評論目前最大的兩個不確定性因素，即關稅的影響和消費者狀況。最後，我將分享一些關於我們長期前景的想法。之後，我會將財務細節交給克莉絲汀。然後我們將很樂意回答您的問題。

Okay, let's talk about our Q1 results. Total sales grew by 6% on top of 11% growth last year. Meanwhile, our comp sales were flat on top of 2% comp growth last year. Both metrics were at the midpoint of our guidance.

好的，讓我們來談談我們的第一季業績。總銷售額在去年 11% 的成長基礎上又成長了 6%。同時，我們的同店銷售額與去年持平，年增 2%。這兩個指標都處於我們指引的中間點。

As we discussed in our Q4 call in early March, the quarter started off slowly, with the trend in February being negatively impacted by unfavorable weather and a slower pace of tax refunds versus last year.

正如我們在 3 月初的第四季度電話會議上所討論的那樣，本季開局緩慢，2 月的趨勢受到惡劣天氣和退稅速度較去年同期放緩的負面影響。

We were pleased that the sales trend picked up in the March and April period once these factors began to normalize. Moving on to Q1 earnings, our EBIT margin increased 30 basis points, and our adjusted EPS was up 18% over last year, despite a flat comp.

我們很高興看到，一旦這些因素開始正常化，三月和四月期間的銷售趨勢就會回升。談到第一季的收益，儘管同比持平，但我們的息稅前利潤率增加了 30 個基點，調整後的每股收益比去年同期增長了 18%。

There were two drivers of this ahead of plan earnings performance. Firstly, there was some timing favorability between Q1 and Q2, mostly related to receipts. We expect this favorability to slip around in Q2.

有兩個因素導致獲利表現超出計畫。首先，第一季和第二季之間存在一些時間上的有利因素，主要與收據有關。我們預計這種有利因素將在第二季出現下滑。

Secondly, in early Q1, in anticipation of the margin pressure that we are likely to feel from tariffs later in the year, we began to aggressively go after margin and expense savings opportunities across the P&L. We were able to capture some of these savings during the first quarter.

其次，在第一季初，由於預計今年稍後關稅可能會給我們帶來利潤壓力，我們開始積極尋找損益表中的利潤和費用節約機會。我們在第一季就實現了部分節省。

Okay, let's talk about the rest of the year. Our comp guidance for Q2 and for the full-year 2025 is flat to up 2%. In fact, our full-year comp sales and earnings guidance has not changed from the outlook we shared in early March. We feel good about our ability to achieve this guidance, but we recognize that the level of external uncertainty has increased over the last couple of months. So we are reaffirming our full-year guidance subject to a few key assumptions that Kristin will describe later in the call.

好的，我們來談談今年剩餘的時間。我們對第二季和 2025 年全年的業績預期持平至成長 2%。事實上，我們的全年銷售額和獲利預期與我們 3 月初分享的展望相比並沒有什麼變化。我們對實現這一指導目標的能力感到滿意，但我們認識到過去幾個月外部不確定性的程度有所增加。因此，我們重申全年指引，但要遵守克里斯汀稍後將在電話會議上描述的幾個關鍵假設。

I would now like to discuss the major drivers of external uncertainty, specifically the impact of import tariffs and the state of the consumer. I will start with tariffs. As I have said previously, disruptions in supply for the retail industry often turn out well for off price.

現在我想討論外部不確定性的主要驅動因素，特別是進口關稅和消費者狀況的影響。我先從關稅開始。正如我之前所說，零售業的供應中斷通常會帶來折扣。

Events like financial crises, disruptive weather, economic downturns, port strikes, and other forms of disruption often lead to excess supply, which off-price retailers can benefit from. That said, we think that the potential impact of tariffs is more complex and carries greater risk than other types of disruption.

金融危機、惡劣天氣、經濟衰退、港口罷工和其他形式的干擾等事件通常會導致供應過剩，折扣零售商可以從中受益。儘管如此，我們認為關稅的潛在影響比其他類型的干擾更為複雜，風險也更大。

The tariffs that were announced in early April were of a scope and a scale well beyond the expectations of most analysts. The initial effect of these tariffs was to effectively shut down the flow of merchandise from China.

四月初宣布的關稅範圍和規模遠遠超出了大多數分析師的預期。這些關稅的最初效果是有效地阻止了來自中國的商品流通。

If that had continued, then it would have been bad for consumers and bad for retailers, and that includes off-price retailers. For the past two weeks since the tariffs on imports from China were cut from 145% to 30%, merchandise vendors have been scrambling to catch up.

如果這種情況持續下去，那麼對消費者和零售商來說都是不利的，其中包括折扣零售商。自從中國進口商品的關稅從 145% 降至 30% 以來，過去兩週，商品供應商一直在爭相追趕。

This stop, start, surge volatility is likely to lead to shortages in some merchandise categories, but it might also create excess supply in others. We see both risks and opportunities in the months ahead, and we are managing our business accordingly.

這種停止、開始、激增的波動可能會導致某些商品類別的短缺，但也可能導致其他商品類別的供應過剩。我們看到未來幾個月既有風險也有機遇，我們正在相應地管理我們的業務。

In this situation, we need to be flexible and nimble. One last point, we think it is very important to look through the short-term disruption caused by tariffs. Whatever level these tariffs settle at, the vendor base will adjust. Production capacity will migrate to countries that have the lowest all-in costs, the lowest all-in costs, including the tariff.

在這種情況下，我們需要靈活、敏捷。最後一點，我們認為看清關稅造成的短期混亂非常重要。無論這些關稅達到什麼水平，供應商基礎都會進行調整。生產能力將轉移到總成本最低的國家，包括關稅在內的總成本也最低。

In some cases, vendors are already making these sourcing shifts. In other categories, it may take a year or two to adjust. My point is that the way to think about tariffs is that they are just one more thing.

在某些情況下，供應商已經開始進行這些採購轉變。在其他類別中，可能需要一兩年的時間來調整。我的觀點是，看待關稅的方式是，它們只是另一件事而已。

Yes, they are going to create uncertainty in the short term, which we will navigate, but they are not likely to affect the longer term structural trends in our industry. As we have discussed in the past, we see these longer term trends as being favorable for off price and our business.

是的，它們會在短期內造成不確定性，我們會努力應對，但它們不太可能影響我們行業的長期結構性趨勢。正如我們過去所討論過的，我們認為這些長期趨勢有利於折扣和我們的業務。

So the next 6 to 12 months could be challenging, but when we get to the other side, if we navigate this well, we should be in good shape. In fact, we expect to come out ahead. Okay, let me talk about the other major source of uncertainty, the state of the consumer.

因此，未來 6 到 12 個月可能會充滿挑戰，但當我們到達彼岸時，如果我們能很好地應對，我們應該處於良好的狀態。事實上，我們期望能夠取得領先。好的，讓我來談談另一個主要的不確定性來源，即消費者的狀況。

Clearly, we saw a deceleration in our comp trend from Q4 to Q1. Our comp growth in the first quarter was flat. This was the midpoint of our comp guidance range, but please do not infer from this that we are happy with a flat comp. We are not. We expect to do better.

顯然，我們看到從第四季到第一季的競爭趨勢有所放緩。我們第一季的銷售額成長持平。這是我們公司業績指導範圍的中點，但請不要由此推斷我們對持平的業績感到滿意。我們不是。我們期望做得更好。

To understand this trend, we have analyzed our own internal sales data. This shows that the slowdown from Q4 to Q1 was broad based across trade areas with different demographic characteristics.

為了了解這個趨勢，我們分析了我們自己的內部銷售數據。這表明，從第四季度到第一季度，不同人口特徵的貿易區普遍出現了經濟放緩。

This is just one quarter. So it is too early to say if the slowdown that we saw in our trend from Q4 to Q1 is the start of a broader pullback in consumer spending.

這僅僅是一個季度。因此，現在判斷第四季至第一季趨勢的放緩是否是消費者支出整體回落的開始還為時過早。

In addition to this trend, we are also somewhat concerned about macroeconomic indicators. Many economists have raised their probability estimates for a recession later this year. And there are also concerns that inflation will go up as tariffs work their way through the economy. The good news is that we have a playbook for these situations. It's our standard playbook. We will manage our business carefully and flexibly, and we will be ready to chase the sales trend if it turns out to be stronger.

除了這個趨勢之外，我們也對宏觀經濟指標有些擔憂。許多經濟學家提高了今年稍後經濟衰退的可能性預測。人們也擔心，隨著關稅對經濟產生影響，通貨膨脹將會上升。好消息是，我們已經為這些情況準備好了應對方案。這是我們的標準劇本。我們將謹慎且靈活地管理我們的業務，如果銷售趨勢變得更強勁，我們將做好準備去追逐它。

I would like to wrap up with some comments on the longer term prospects for our business. The two items that I have just discussed, the impact of tariffs and the state of the consumer, are front and center for us and for investors right now. They create risks and opportunities in the short term that we need to navigate. But we're also focused on driving to our full potential over the longer term.

最後，我想就我們業務的長期前景發表一些評論。我剛才討論的兩個問題，即關稅的影響和消費者的狀況，是我們和投資者目前的焦點。它們在短期內帶來了風險和機遇，我們需要加以應對。但我們也致力於在長期內充分發揮我們的潛力。

As discussed before, we believe that there are longer term structural and competitive factors that will continue to be favorable for off price versus other forms of retail. And we believe that at Burlington in particular, we have the opportunity to significantly grow our market share, sales, and earnings over time.

如前所述，我們認為，與其他形式的零售相比，折扣零售的長期結構性和競爭性因素將繼續有利於折扣零售。我們相信，特別是在伯靈頓，我們有機會隨著時間的推移大幅增加我們的市場份額、銷售額和收益。

With that as a setup, there are two aspects of our Burlington 2.0 full-potential strategy that I would like to comment on. Firstly, we have talked a lot over the last couple of years about merchandizing 2.0. The new systems, processes, and tools that we have rolled out to enable our buyers and planners to more effectively and rapidly respond to changes in the external environment.

在此基礎上，我想就我們的伯靈頓 2.0 充分潛力策略的兩個方面進行評論。首先，過去幾年我們多次討論商品行銷2.0。我們推出的新系統、新流程和新工具，旨在幫助我們的買家和策劃人員更有效、更快速地應對外部環境的變化。

These new capabilities have been very important over the past couple of months as we have made multiple revisions to our assortment plans for the fall season, aivoting from categories that may face shortages to those with stronger supply and remixing and remodeling our margin plans to find offsets to the impact of tariffs. A couple of years ago, we would not have had the transparency and the agility to make these kinds of adjustments. We expect that as the year goes on, the environment will continue to be volatile and dynamic.

這些新功能在過去幾個月中非常重要，因為我們對秋季的分類計劃進行了多次修改，從可能面臨短缺的類別轉向供應更強的類別，並重新混合和重塑我們的利潤計劃以找到抵消關稅影響的方法。幾年前，我們還不具備做出此類調整的透明度和靈活性。我們預計，隨著時間的推移，環境將繼續動盪和動態。

Our merchandizing 2.0 capabilities are going to be very important for our buyers and planners to manage through this external volatility. Secondly, I would like to comment and provide an update on our new store pipeline. Our sales guidance for 2025 is predicated on opening 100 net new stores this year.

我們的商品銷售 2.0 功能對於我們的買家和規劃人員應對這種外部波動非常重要。其次，我想評論一下我們的新店籌備情況並提供最新資訊。我們對 2025 年的銷售預期是基於今年新開 100 家門市。

We remain very confident in our ability to hit this number of openings. We have also been active over the last few months in building out the pipeline for 2026. We were recently able to acquire 46 leases through the bankruptcy process for Joanne's fabrics. We are very excited about these locations.

我們對於達到這數量的空缺的能力仍然非常有信心。過去幾個月，我們也一直在積極籌建 2026 年的管道。我們最近透過 Joanne 布料的破產程序獲得了 46 份租約。我們對這些地點感到非常興奮。

Adding these stores to the 2026 pipeline, we are optimistic about hitting our 100th net new store target for next year. The silver lining of the current volatile environment is that it is likely to drive further consolidation of bricks-and-mortar stores, and these closures should provide more opportunities to expand our store footprint. Okay, at this point I would like to turn the call over to Kristin. Kristin?

將這些門市加入 2026 年的計畫中，我們對明年實現第 100 家新店淨目標充滿信心。當前動盪環境中的一線希望是，它可能會推動實體店的進一步整合，而這些關閉的門市應該會為擴大我們的門市規模提供更多機會。好的，現在我想把電話轉給克莉絲汀。克里斯汀？

Thank you, Michael, and good morning, everyone. I plan to cover a few topics this morning. I will start with some additional color on our first quarter performance. Then I will share details on our guidance for the second quarter and for the full year. And finally, I will finish up by discussing three critical assumptions that underpin our 2025 sales and earnings guidance.

謝謝你，邁克爾，大家早安。我計劃今天上午討論幾個話題。我將首先對我們的第一季業績進行一些補充說明。然後我將分享我們對第二季和全年的指導細節。最後，我將透過討論支撐我們 2025 年銷售和獲利預測的三個關鍵假設來結束討論。

Starting with the first quarter, total sales grew 6%, while comp store sales were flat, which was at the midpoint of our guidance range. The gross margin rate for the first quarter was 43.8%, an increase of 30 basis points versus last year. This was driven by a 20-basis point increase in merchandise margin and a 10 basis point decrease in freight expense. Modest IMU pressure was more than offset by the benefit of faster inventory returns.

從第一季開始，總銷售額成長了 6%，而同店銷售額持平，處於我們指引範圍的中間點。第一季毛利率為43.8%，較去年同期增加30個基點。這是由於商品利潤率增加 20 個基點以及運費減少 10 個基點所致。適度的 IMU 壓力被更快的庫存回報帶來的好處所抵消。

Product sourcing costs for $197 million versus $183 million in the first quarter of 2024. Product sourcing costs increased 10 basis points as a percentage of sales versus last year as 10 basis points of supply chain leverage driven by productivity improvement and the timing of receipts, was more than offset by increased asset protection investments.

產品採購成本為 1.97 億美元，而 2024 年第一季為 1.83 億美元。產品採購成本佔銷售額的百分比比去年增加了 10 個基點，因為生產力提高和收貨時間推動的供應鏈槓桿增加了 10 個基點，但被資產保護投資的增加所抵消。

The timing of receipts benefited Q1 but will negatively impact Q2. Adjusted SG&A cost in Q1 decreased 30 basis points versus last year. A portion of this leverage on a flat comp was due to favorable timing of store expenses that will shift into Q2. The balance of the SG&A leverage was due to the expense savings opportunities Michael described earlier. Q1 adjusted EBIT margin was 6.1%, 30 basis points higher than last year, which was well above our guidance range of down 90 to down 50 basis points.

收款時間對第一季有利，但會對第二季產生負面影響。第一季調整後的銷售、一般及行政費用較去年同期下降了 30 個基點。這種對持平業績的槓桿作用部分是由於商店支出的有利時機，將轉移到第二季。銷售、一般和行政費用槓桿的平衡是由於邁克爾之前描述的費用節省機會。第一季調整後的息稅前利潤率為 6.1%，比去年高出 30 個基點，遠高於我們預期的下降 90 至 50 個基點的範圍。

Our adjusted earnings per share in Q1 was $1.67 which came in above our guidance range. This represents an 18% increase versus the prior year. At the end of the quarter, comparable store inventories were down 8% versus the end of the first quarter of 2024. Our reserve inventory was 48% of our total inventory versus 40% of our inventory last year.

我們第一季的調整後每股收益為 1.67 美元，高於我們的預期範圍。與前一年相比，成長了 18%。本季末，可比店舖庫存較 2024 年第一季末下降了 8%。我們的儲備庫存佔總庫存的 48%，而去年這一比例為 40%。

In dollar terms, our reserve inventory was up 31% compared to last year, reflecting the great deals we were able to make to get ahead of tariffs. We are very pleased with the quality of the merchandise and the values we have in reserve. We ended the quarter with approximately $1.1 billion in total liquidity. Which consisted of $371 million in cash and $748 million in availability on our ABL.

以美元計算，我們的儲備庫存比去年增加了 31%，這反映出我們能夠達成大量交易以避開關稅。我們對商品的品質和儲備價值非常滿意。本季末，我們的總流動資金約為 11 億美元。其中包括 3.71 億美元現金和 7.48 億美元的 ABL 可用資金。

We had $100 million outstanding in outstanding borrowings at the end of the quarter on our ABL. During the quarter, we took advantage of the volatility in our stock price and we purchased $105 million in common stock.

截至本季末，我們的 ABL 未償還借款餘額為 1 億美元。在本季度，我們利用股價波動的機會購買了價值 1.05 億美元的普通股。

At the end of Q1, we had $158 million remaining on ur share repurchase authorization, which expires August 2025. In addition, our Board of Directors just approved a new two-year $500 million share repurchase authorization.

截至第一季末，我們的股票回購授權剩餘金額為 1.58 億美元，有效期至 2025 年 8 月。此外，我們的董事會剛剛批准了一項新的為期兩年的 5 億美元股票回購授權。

In Q1, we opened seven net new stores, bringing our store count at the end of the quarter to 1,115 stores. This includes 14 new store openings, four relocations, and three closings.

第一季度，我們淨開設了 7 家新店，使本季末的門市數量達到 1,115 家。其中包括 14 家新店開幕、4 家店搬遷和 3 家店關閉。

I will now move on to discuss our outlook for the second quarter and for the full-fiscal year. Our second-quarter guidance excludes approximately $11 million of expenses associated with bankruptcy acquired leases. We expect total sales to increase 5% to 7%. Comp store sales are assumed to be flat to plus 2%.

現在我將繼續討論我們對第二季和全年財年的展望。我們第二季的預期不包括與破產租賃相關的約 1,100 萬美元的費用。我們預計總銷售額將成長 5% 至 7%。預計同店銷售額將持平或成長 2%。

We are expecting adjusted EBIT margin to be in the range of down 30 basis points to flat versus the second quarter of 2024. This results in an adjusted EPS outlook in the range of $1.20 to $1.30 versus last year's second quarter adjusted earnings per share of $1.24. Excluding the roughly $12 million pre-tax timing shift which positively impacted the first quarter. We believe second quarter earnings per share guidance would otherwise be about $0.14 higher.

我們預計調整後的息稅前利潤率將與 2024 年第二季相比下降 30 個基點至持平。這使得調整後每股收益預期在1.20美元至1.30美元之間，而去年第二季調整後每股收益為1.24美元。這不包括對第一季產生積極影響的約1200萬美元的稅前時間調整。我們認為，第二季每股收益預期將高出約 0.14 美元。

I will now review fiscal-2025 guidance. This guidance excludes approximately $33 million in 2025, associated with bankruptcy acquired leases, compared to $16 million in 2024. For 2025, we still expect total sales growth in the range of 6% to 8%.

我現在將回顧 2025 財年指引。該指引不包括 2025 年與破產收購租賃相關的約 3,300 萬美元，而 2024 年為 1,600 萬美元。對於 2025 年，我們仍預期總銷售額成長率將在 6% 至 8% 之間。

This assumes 100 net new store openings this year. We anticipate that most of these stores will open in the latter half of the year. We are still forecasting comp store sales to increase in the range of flat to 2%. And our adjusted EBIT margins to be in the range of flat to an increase of 30 basis points versus last year.

假設今年新開店數量為 100 家。我們預計大部分門市將於今年下半年開幕。我們仍預測同店銷售額將在持平至 2% 的範圍內成長。我們的調整後息稅前利潤率與去年相比在持平至增加 30 個基點之間。

All of these results in adjusted earnings per share guidance in the range of $8.70 to $9.30. This is consistent with our initial FY25 guidance. Capital expenditures, net of landlord allowances, are still expected to be approximately $950 million in fiscal 2025.

所有這些因素共同決定了調整後每股收益預期在8.70美元至9.30美元之間。這與我們2025財年的初始預期一致。扣除房東津貼後的資本支出預計在 2025 財年仍約為 9.5 億美元。

Let me wrap up by reinforcing the point that our sales and earnings guidance for fiscal 2025 is unchanged from the outlook that we provided in March. But we recognize that the level of uncertainty in the external environment has significantly increased since then.

最後，我要強調一點，我們對 2025 財年的銷售和獲利預期與我們 3 月提供的預期相同。但我們認識到，自那時以來，外部環境的不確定性程度已顯著增加。

Of course, guidance is always subject to risks and uncertainties, but it is important to call out that our FY25 guidance is contingent on three specific assumptions. First, the current tariff rates, 30% on imports from China and 10% on imports from other countries, do not increase through year-end.

當然，指導總是受風險和不確定性的影響，但必須指出的是，我們的 FY25 指導取決於三個特定假設。首先，目前的關稅稅率（對來自中國的進口產品徵收30%的關稅，對來自其他國家的進口產品徵收10%的關稅）到年底不會增加。

Secondly, that the inflationary impact of tariffs across the retail industry is modest and does not trigger a significant deterioration in retail sales trends, especially among our core lower income customers. And thirdly, that the volatility in imports does not drive a material or sustained increase in ocean freight expenses above our contracted rates. I will now turn the call back over to Michael.

其次，關稅對整個零售業的通膨影響較小，不會造成零售銷售趨勢的顯著惡化，尤其是對我們的核心低收入客戶而言。第三，進口的波動不會導致海運費用大幅或持續上漲至高於我們的合約費率。我現在將電話轉回給邁克爾。

Thank you, Kristin. Before I hand it back to the operator for your questions, I would like to summarize the main points from this morning's call. In the first quarter, our total and comp store sales growth were at the midpoint of our guidance, while our earnings were well ahead.

謝謝你，克里斯汀。在我將電話交還給接線員回答您的問題之前，我想總結一下今天早上通話的要點。在第一季度，我們的總銷售額和同店銷售額成長處於預期的中間水平，而我們的獲利則遙遙領先。

We are maintaining our full-year 2025 guidance, but we recognize that the external environment has become more uncertain. The two major sources of this uncertainty are tariffs and the state of the consumer.

我們維持 2025 年全年指引，但我們意識到外部環境變得更加不確定。這種不確定性的兩個主要來源是關稅和消費者狀況。

Tariffs are likely to create volatility in off-price supply, and we anticipate that they will pressure our merchandise margin. But at their current levels, we are well positioned to navigate these issues. Add to that, we see reasons for caution on the state of the consumer, especially if there is a slowdown in the economy or a significant pick up in inflation.

關稅可能會造成折扣供應的波動，我們預計這將對我們的商品利潤帶來壓力。但就目前的水平而言，我們完全有能力解決這些問題。此外，我們認為有理由對消費者狀況保持謹慎，尤其是在經濟放緩或通膨大幅上升的情況下。

The good news is that in these situations we have a playbook, and as the last couple of years have demonstrated, we have gotten better at executing this playbook. We're managing our business cautiously, focusing on offering great value to the customer, and we are ready to react if we see supply opportunities or stronger sales trends.

好消息是，在這種情況下我們有劇本，而且正如過去幾年所證明的那樣，我們在執行劇本方面做得更好了。我們謹慎地管理我們的業務，專注於為客戶提供巨大的價值，如果我們看到供應機會或更強勁的銷售趨勢，我們隨時準備好做出反應。

I would now like to turn the call over for your questions.

現在我想把電話轉交給你們來回答問題。

(Operator Instructions) Matthew Voss, JPMorgan.

（操作員指示）馬修·沃斯，摩根大通。

Great thanks and appreciate all the color. So Michael, maybe larger picture, I'm interested in whether you think the disruption caused by tariffs is good or bad overall for off price and separately, any initial reactions to the recent news that tariffs have been struck down by the Court of International Trade.

非常感謝，欣賞所有的色彩。所以邁克爾，也許從更大的角度來看，我感興趣的是您是否認為關稅造成的破壞對於折扣價來說是好是壞，以及對於最近有關關稅被國際貿易法院駁回的消息有何初步反應。

Well, good morning, Matt. Thank you for the question. I think I should answer the last part of your question first. I think probably like everybody else on this call, we read the news last night, that the tariffs had been struck down. It feels like another curveball that that demonstrates the importance of being flexible and and nimble.

早安，馬特。謝謝你的提問。我想我應該先回答你問題的最後一部分。我想可能和電話會議中的其他人一樣，我們昨晚讀到了關稅已被取消的消息。這感覺就像是另一個曲線球，證明了靈活和敏捷的重要性。

But candidly, we don't yet know what it means. I is the judgment temporary or permanent? Does it cover every category? Does it cover every country? It certainly doesn't feel like the end of the matter, but I guess we'll get more information in the coming days. Until we know more, it's -- I think it's probably better for me not to speculate. So for now, our planning assumption for our guidance, comments, and our answers this morning is that tariffs remain at current levels. In other words, 30% on imports from China and 10% on imports from from other countries.

但坦白說，我們還不知道這意味著什麼。審判是暫時的還是永久的？它涵蓋了所有類別嗎？它覆蓋每個國家嗎？這當然不像是事情的結束，但我想我們會在未來幾天獲得更多資訊。在我們了解更多之前，我認為最好不要進行猜測。因此，目前，我們對今天早上的指導、評論和答案的計劃假設是關稅保持在當前水平。換句話說，從中國進口的稅率為30%，從其他國家進口的稅率為10%。

Once we better understand the court decision, obviously we'll we'll adjust and update our plans. So with that said, let me move on to the first part of your question. Is the disruption caused by tariffs good or bad for off price? Our view, I think is that disruption is usually good for off price, but with tariffs, it kind of depends, and let me explain what I mean.

一旦我們更好地理解法院的判決，我們顯然會調整和更新我們的計劃。話雖如此，讓我繼續回答你問題的第一部分。關稅造成的混亂對於折扣來說是好是壞？我們的觀點是，我認為中斷通常對折扣有利，但對於關稅，這有點取決於情況，讓我解釋一下我的意思。

Yeah, until a couple of weeks ago, tariffs on imports from China were 145%. At at that tariff level, production and shipping of imports from China pretty much shut down. China is still an important source country. Across the retail industry. So if that had continued, it would likely have led to shortages in many import categories.

是的，直到幾週前，從中國進口的關稅還高達 145%。在該關稅水準下，來自中國的進口產品的生產和運輸幾乎停止了。中國仍是重要來源國。遍佈零售業。因此，如果這種情況持續下去，可能會導致許多進口類別出現短缺。

At that point, it was very difficult to see how that shutdown was going to be good for our price. Now, in the last two weeks, Things have changed. Things have changed a lot. The 90-day reduction in Paris for China from 145% to 30% has completely reversed the dynamic. There's now a huge rush on production and shipping across the industry.

那時，我們很難看出停產對我們的價格有何好處。現在，在過去的兩周里，情況發生了變化。事情已經發生了很大的變化。巴黎協定將中國在90天內的關稅削減幅度從145%降至30%，徹底扭轉了這一局面。目前，整個產業的生產和運輸都面臨著巨大的壓力。

Now the court decision last night could add to that, rush, Now as an off price retailer, This is starting to feel like much more familiar territory. Instead of shortages, this topsy-turvy stop-star surge has has the potential to create attractive buying opportunities. Now, it, it's very situation is very dynamic, so it remains to be seen if that will happen. But yes, I would say compared with two weeks ago, it's starting to look like the disruption caused by tariffs could turn out very well for off price.

現在，昨晚的法庭判決可能會加劇這種情況，現在，作為一家折扣零售商，這開始讓人感覺像是更熟悉的領域。這種顛倒的停星式上漲不但沒有造成短缺，反而有可能創造有吸引力的購買機會。現在，情況非常動態，所以是否會發生還有待觀察。但是的，我想說與兩週前相比，關稅造成的混亂似乎對折扣價格產生了很大的影響。

That's great color. And maybe just to follow up on an assumption that tariffs don't go away and remain at current levels, can you elaborate on the work that you've done and and just why you feel confident in still hitting your original guidance, despite margin pressure from tariffs?

顏色真棒。也許只是為了跟進關稅不會消失並保持在當前水平的假設，您能否詳細說明您所做的工作，以及為什麼儘管面臨關稅帶來的利潤壓力，您仍然有信心達到最初的預期？

Good, yes, yeah, let me talk through, what we've done in the last few months. The starting point was actually the initial round of tariffs on China. If you recall, I think it was in early February, the US announced a 10% tariff on all imports from China.

很好，是的，是的，讓我談談我們在過去幾個月中所做的事情。起點其實是對中國徵收第一輪關稅。如果你還記得的話，我記得是在二月初，美國宣布對所有從中國進口的商品徵收 10% 的關稅。

That was then raised to 20% in early March. Now, at that early stage, we began to look for ways that we could absorb and offset the impact of those tariffs. . Obviously, the size of the challenge grew enormously as the tariffs ramped up to 145% in April. Then two weeks ago, they suddenly dropped back down to 30%. And then based on last night's court judgment, now maybe there'll be less. We don't know for sure. Anyway, as I said, In early March, we began to identify and pursue numerous actions we could take that might help help offset the potential impact of tariffs on our merchandise margin. So let me provide, some examples of of those actions.

3月初，該比例又升至20%。現在，在早期階段，我們開始尋找能夠吸收和抵消這些關稅影響的方法。。顯然，隨著4月關稅上調至145%，挑戰的規模也大大增加。兩週前，這一比例突然又回落至 30%。然後根據昨晚的法庭判決，現在可能數量會減少。我們並不確定。無論如何，正如我所說，在三月初，我們開始確定並採取多項措施，這些措施可能有助於抵消關稅對我們商品利潤的潛在影響。因此，讓我提供一些此類行動的例子。

Firstly, as you might expect, we started by looking at opportunities to switch away from products or brands or categories that have more sourcing exposure to China. To those that have less exposure to China. Now there are limits to that, but because we Burlington directly import very little of the merchandise that we sell, we actually have a lot of flexibility. It depends on the merchandise category.

首先，如您所料，我們開始尋找機會，放棄在中國採購更多產品、品牌或類別。對於那些不太了解中國的人來說。現在這方面有限制，但由於我們伯靈頓直接進口的商品很少，所以我們實際上具有很大的靈活性。這取決於商品類別。

Now as part of that exercise, we worked very closely with our vendors. We have thousands of vendors and I would describe our vendors as being very entrepreneurial. It helps. That at Burlington, we're growing rapidly. So our vendors know that they have the opportunity to win a larger slice of our business if they work hard to absorb the impact of tariffs.

現在，作為該活動的一部分，我們與供應商密切合作。我們有數千家供應商，我認為我們的供應商非常具有創業精神。這有幫助。在伯靈頓，我們正在快速發展。因此，我們的供應商知道，如果他們努力吸收關稅的影響，就有機會贏得更大的業務份額。

Another action that we started to take in early March and Christian referenced this in her remarks. Is that we worked with vendors to to find buying opportunities in the inventory that they already had here in the United States. Now, of course, this is merchandise that did not incur any tariff. In the first quarter, we were able to make some great buys and we've packed those goods away in reserve, with a plan to release them later in the year.

我們在三月初開始採取的另一項行動，克里斯蒂安在她的演講中提到了這一點。我們與供應商合作，在美國現有的庫存中尋找購買機會。當然，這些商品沒有徵收任何關稅。在第一季度，我們進行了一些重大採購，並將這些貨物儲備起來，並計劃在今年稍後發布。

So in in addition to remixing our sales plans and working with vendors, in early March, we also began a cross-functional effort to build a war chest, that is actually what we're calling it internally.

因此，除了重新調整銷售計劃和與供應商合作之外，在三月初，我們還開始了一項跨職能的努力來建立戰爭基金，這實際上就是我們內部所說的。

And that war chest is comprised of numerous margin and expense actions. For example, we've tightened up our inventory plans looking for places where we can drive a faster turn and squeeze out some margin dollars. We've taken up plans for businesses that are naturally higher margin where we think that we may have incremental sales opportunity.

這筆資金由無數的保證金和費用行動組成。例如，我們收緊了庫存計劃，尋找可以加快週轉速度並榨取一些利潤的地方。我們已經針對利潤率較高的業務制定了計劃，我們認為這些業務可能會有增量銷售機會。

We've accelerated some of the savings initiatives that we are pursuing in our supply chain organization. We've gone after productivity and process improvements in stores, and we've pursued numerous savings opportunities in other STNA line items.

我們加快了在供應鏈組織中推行的一些節約措施。我們一直致力於提高商店的生產力和流程，並在 STNA 的其他產品線中尋求大量節省機會。

As I said earlier, we don't yet know the implications of last night's decision by the Court of International Trade. But no matter how that turns out, I think the work that we've done over the last few months has put us in a pretty good position. Even if the tariffs stay at current levels, 30% on imports from China and 10% for other countries.

正如我之前所說，我們還不知道昨晚國際貿易法院的裁決意味著什麼。但無論結果如何，我認為我們過去幾個月所做的工作已經讓我們處於相當有利的地位。即使關稅維持在當前水平，對來自中國的進口產品徵收30%的關稅，對其他國家的進口產品徵收10%的關稅。

With the offsetting margin and expense savings I've just described, we still like feel like we have a pretty good path to our original guidance.

透過我剛剛描述的抵銷利潤和費用節省，我們仍然覺得我們已經很好地實現了最初的指導。

It's a great color. Best of luck.

顏色真棒。祝你好運。

Ike Boruchow, Wells Fargo.

富國銀行的艾克·博魯喬（Ike Boruchow）。

Hey, good morning, Michael. A couple of non-tariff questions if that's okay. Curious if you could maybe dig into a little bit the cadence of the monthly comp sales trends to the first quarter of February, March, April, and also any color you can provide, maybe on the trend that you've seen May month date would be super helpful.

嘿，早上好，麥可。如果可以的話，我想問幾個非關稅問題。我很好奇，您是否可以深入了解二月、三月、四月第一季度的月度銷售趨勢的節奏，以及您能提供的任何顏色，也許您所看到的五月份趨勢會非常有幫助。

Good morning, hi, it's Kristin. I'll actually take the non-tariff question. Back in February, our comp sales were down about 2%. And as we discussed on our Q4 call in early March, we were fairly confident that the weakness in February was really attributable to two factors the disruptive weather versus last year in our key regions in the Northeast and the Midwest, and then secondly, the timing of tax refunds versus last year. Our core customers very sensitive to the timing of tax refunds, specifically as it relates to the Earned Income tax credit in in in mid late February.

早安，嗨，我是克莉絲汀。我實際上要回答非關稅問題。早在二月，我們的同店銷售額就下降了約 2%。正如我們在 3 月初的第四季度電話會議上所討論的那樣，我們相當有信心，2 月份的疲軟實際上歸因於兩個因素：與去年相比，我們東北部和中西部主要地區的天氣較為惡劣；其次，與去年相比，退稅時間有所變化。我們的核心客戶對退稅的時間非常敏感，特別是與二月中下旬的所得所得稅抵免相關的退稅時間。

But sure enough, as we got into March, our sales trend began to pick up. Our stores are closed on Easter Sunday, so with the timing of Easter this year, we had one more day in March and one less day in April. So from a comp sales perspective, we look at both months combined, and our comp growth for the March-April combined period was up 1%. So this is certainly better than February, but we would like to be doing better than that.

但果然，進入三月，我們的銷售趨勢開始回升。我們的商店在復活節星期天關門，所以今年復活節的時間安排導致三月多一天，四月少一天。因此，從可比較銷售額的角度來看，我們將兩個月的銷售額結合起來看，3 月至 4 月合併期間的可比較銷售額成長率為 1%。所以這肯定比二月好，但我們希望做得更好。

And as for the last part of your question, May month today, the trend in May has been fairly similar to that of the March and April combined trend at about the middle of our our Q2 guidance range.

至於您問題的最後一部分，今天的 5 月趨勢與 3 月和 4 月的綜合趨勢非常相似，大約處於我們第二季指導範圍的中間。

Got it, thanks Kristin. And then maybe just one more. Can you walk us through, this first quarter sources of upside, as well as the expense shift details into Q2?

明白了，謝謝克里斯汀。然後也許再來一次。您能否向我們介紹第一季的上漲來源以及第二季的費用轉移細節？

Great. Yes. So Q1, adjusted even margin increased 30 basis points despite a flat comp. Earnings per share was $1.67. That represents about a $0.30 beat to the midpoint of our guidance.

偉大的。是的。因此，第一季度，儘管同比持平，但調整後的均利潤率仍增加了 30 個基點。每股收益為1.67美元，比我們預期的中位數高出約0.30美元。

And there were two drivers of that of that beat or that higher earnings performance. First, as you said in your question, there was a timing shift between the first and second quarter. This was primarily in supply chain receipt timing, as well as in store related and SG%A expenses. This favorability will negatively impact Q2 and is worth about half of that $0.30 beat or about $0.14.

推動這項獲利表現超出預期或更高的因素有兩個。首先，正如您在問題中所說，第一季和第二季之間存在著時間上的轉變。這主要體現在供應鏈收貨時間以及店內相關費用和 SG%A 費用。這種有利因素將對第二季度產生負面影響，價值約為 0.30 美元超額收益的一半，即 0.14 美元左右。

And the second, as as Michael referenced just a moment ago, early in the quarter, we began to aggressively go after savings opportunities across the P&L. We did this in anticipation of the potential impact from tariffs. And we were able to capture some of these savings during the first quarter, and that makes up the balance of the Q1B. Those savings are across the P&L and will be used to help offset the the anticipated cost impact of tariffs later in the year.

第二，正如麥可剛才所提到的，在本季初，我們開始積極尋找損益表中的節約機會。我們這樣做是為了預見關稅的潛在影響。我們在第一季就實現了部分節省，這構成了 Q1B 的餘額。這些節省將計入損益表中，並將用於幫助抵消今年稍後關稅預計帶來的成本影響。

Got it. Thanks so much. It's like.

知道了。非常感謝。就像。

Lorraine Hutchinson, Bank of America.

美國銀行的洛林‧哈欽森 (Lorraine Hutchinson)。

Think, good morning, Michael. You said that the comp performance in Q1 was broad-based. Others have said lower income consumers have actually been an area of strength for them. Are you seeing this? And I'd also be interested in any other callouts in terms of comp trends for different demographic groups.

想想，早上好，麥可。您說第一季的業績表現普遍良好。其他人則表示，低收入消費者實際上是他們的一個優勢領域。你看到了嗎？我還對不同人口群體的競爭趨勢方面的任何其他資訊感興趣。

Oh good morning Lorraine. Thank you for the question. Yes, as I said that in the prepared remarks, our slowdown in comp growth from Q4 to Q1 was fairly broad-based, affecting stores in all demographic trade areas.

哦，早上好，洛林。謝謝你的提問。是的，正如我在準備好的發言中所說的那樣，從第四季度到第一季度，我們的同店銷售額增長放緩是相當廣泛的，影響到了所有人口貿易區域的商店。

Now, when we look at our stores that are in lower income trade areas. Those stores outperformed the rest of the chain in Q4 and throughout 2024, and that relative outperformance continued into Q1. In other words, yes, they slowed down from Q4 to Q1 along with the rest of the chain, but relatively speaking, their comp sales trend continued to be stronger than the chain as a whole.

現在，我們來看看位於低收入貿易區的商店。這些門市在第四季和整個 2024 年的表現都優於其他連鎖店，而這種相對優異的表現一直持續到第一季。換句話說，是的，他們與整個連鎖店一樣，從第四季度到第一季增長放緩，但相對而言，他們的同店銷售趨勢繼續強於整個連鎖店。

Now we've seen that that relative strength in lower income trade areas for a couple of years now. Now, of course, for us, this is something that that matters a lot. These are our core customers. And those these shoppers were were were badly impacted in 2022 by the loss of pandemic era benefits and by the higher cost of living. But we've seen a nice recovery with these customers in the last couple of years.

我們已經看到低收入貿易區在幾年內相對保持強勢。當然，對我們來說，這是一件非常重要的事。這些就是我們的核心客戶。而這些購物者在 2022 年因失去疫情時期的福利和生活成本上漲而受到嚴重影響。但在過去幾年中，我們看到這些客戶的情況良好復甦。

As you'd expect, we're we're watching the trend for those customers very closely. On the other part of your question, other callouts on demographics, I know that many investors have questions about Hispanic consumers. So let me talk about what we're seeing in the data there. In addition to segmenting our stores based on income of the trade area, we also analyze our stores based on the mix of households in the trade areas that are Hispanic.

正如您所期望的，我們正在密切關注這些客戶的趨勢。關於您問題的另一部分，即有關人口統計的其他問題，我知道許多投資者對西班牙裔消費者有疑問。那麼讓我來談談我們在數據中看到的內容。除了根據貿易區的收入對我們的商店進行細分之外，我們還根據貿易區內西班牙裔家庭的組成來分析我們的商店。

Again, this is a very important customer for us and again the data tells quite a similar story. In 2024, our stores in high Hispanic trade areas had a slightly higher comp trend than the chain.

再次強調，這對我們來說是一個非常重要的客戶，而數據再次顯示了非常相似的情況。2024 年，我們位於西班牙裔貿易密集地區的商店的同店銷售額趨勢比連鎖店略高。

And that slight outperformance continued in Q1. So from Q4 to Q1, those stores slowed down along with the rest of the chain, but again, their relative outperformance continued. So no specific or unique concerns based on the data at this point. Now the only exception to what I've said is actually stores along the southern border.

這種略微優異的表現在第一季依然延續。因此，從第四季度到第一季度，這些商店與其他連鎖店一樣，發展速度也放緩，但它們的相對優異表現仍然持續。因此，目前根據數據尚無具體或獨特的擔憂。現在，我所說的唯一例外實際上是南部邊境的商店。

In 2024, stores along the southern southern border, and we have quite a few had a significantly higher comp trend in the chain, but in Q1, they underperformed the chain. In other words, those border stores fell off significantly versus other stores. The same thing, I think has been repeated or or reported by by by the retailers, and I think the reasons are probably obvious and specific to the border.

2024 年，南部邊境沿線的商店，我們有不少商店在連鎖店中具有明顯更高的競爭趨勢，但在第一季度，它們的表現不及連鎖店。換句話說，這些邊境商店與其他商店相比銷量大幅下降。我認為，同樣的事情已經重複發生或被零售商報告過，我認為原因可能很明顯，並且與邊境有關。

One last point, let me just talk about, trade down customers. As I said previously, a trade down shopper for us is not necessarily, a high income customer visiting our store for the first time. They're they're just as likely you're more likely to be a middle income customer who's coming to our store more often.

最後一點，我只想談談降低顧客價格的問題。正如我之前所說，對我們來說，降級購物者不一定是第一次光顧我們商店的高收入顧客。他們很可能是一位中等收入的顧客，而且您更常光顧我們的商店。

So it's difficult to assess trade trade down activity just based upon income demographics. It's easier for us actually to see trade down activity by looking at sales trends by price points in the store.

因此，僅根據收入人口統計很難評估貿易降級活動。透過觀察商店中各個價格點的銷售趨勢，我們可以更輕鬆地了解降價活動。

So in Q1, we continue to see strong comp trends at higher price points. In other words, the customers voting for elevated merchandise, especially for key brands.

因此，在第一季度，我們繼續看到價格較高時出現強勁的競爭趨勢。換句話說，顧客投票選出高端商品，尤其是重點品牌。

And we see that data as evidence of potential trade down traffic in our stores.

我們將這些數據視為我們商店潛在的降價客流量的證據。

Thank you, Kristen, in dollar terms, reserve inventory is 31% higher than last year. Seems a little high. What's, what has driven this increase?

謝謝你，克里斯汀，以美元計算，儲備庫存比去年高出 31%。好像有點高。是什麼推動了這種成長？

Good good morning Lorraine. Thanks for that question. At the end of the quarter, so a reserve inventory was 48% of total inventory, and that compared to 40% last year. So you're right in in your question, in dollar terms, reserve was up 31% compared to last year, as you said. The increase is due to the great deals we were able to make to get ahead of tariffs. The goods we have in reserve are highly branded and include spring, back to school, and fall merchandise. And importantly, Michael referenced this earlier, these goods did not incur a tariff as they were already in the country when we acquired them.

早安，洛林。謝謝你的提問。截至本季末，儲備庫存佔總庫存的 48%，而去年同期為 40%。所以你的問題很正確，以美元計算，儲備比去年增加了 31％，正如你所說。價格上漲是因為我們能夠達成大量交易，從而降低關稅。我們儲備的商品都是品牌商品，包括春季、返校和秋季商品。重要的是，邁克爾之前提到過，這些貨物不需要繳納關稅，因為我們採購時它們已經在該國了。

So reserve is a is a very important lever we have as an off price retailer, especially in this environment. It allows us to be more flexible, acquire branded, high quality merchandise that we can pack away and release later when it's seasonably appropriate. So overall, we feel very good about the merchandise we have in reserve both from a quantity as well as a quality standpoint.

因此，作為折扣零售商，儲備是我們非常重要的槓桿，尤其是在這種環境下。它使我們能夠更靈活地購買品牌的、高品質的商品，然後我們可以打包並在適當的時候再次發布。因此整體而言，無論從數量或品質的角度來看，我們對所儲備的商品都非常滿意。

Thank you. I mean --

謝謝。我是說--

John Kernan, TD Cowen.

約翰‧科南 (John Kernan)，TD Cowen。

Good morning, Michael and Kristen. John I think that comp guidance for the full year obviously no change there flat to 2Q. I'm wondering what you see as the potential drivers of risk to this guidance. It sounds like the macro is your biggest concern.

早上好，邁克爾和克里斯汀。約翰，我認為全年的業績指引顯然沒有變化，與第二季持平。我想知道您認為該指南的潛在風險驅動因素是什麼。聽起來宏是你最關心的問題。

And are there any potential drivers of comp sales upside? Are there any categories or opportunities, buying opportunities you're most excited about?

是否有任何潛在的推動因素可以推動同店銷售上漲？有哪些類別、機會和購買機會讓您最興奮？

Oh, good morning, John. Thank you for the question. Yeah, it is the macro that we're most concerned about. But I would say in this environment, we we actually see both potential drivers of risk and potential drivers of upside. I'll I'll start by discussing the major risks. Firstly, The economy, there are numerous external indicators right now that seem to be pointing negative.

哦，早上好，約翰。謝謝你的提問。是的，我們最關心的是宏觀。但我想說，在這種環境下，我們實際上既看到了潛在的風險驅動因素，也看到了潛在的上行驅動因素。我將首先討論主要風險。首先，就經濟而言，目前有許多外部指標似乎都指向負面。

And also, many experts have raised their probability estimates for a recession. So we are a little worried about the macro environment. My view is that typically, Economic slowdowns hurt the rest of retail more than they hurt off price.

此外，許多專家也提高了經濟衰退的可能性預測。因此我們對宏觀環境有點擔心。我的觀點是，通常情況下，經濟放緩對其他零售業的打擊大於對價格的打擊。

But in the short term, they also hurt off price. Historically, again, I think the pattern is that all retailers are hurt in the short term as the trend slows down, but then the off price retailers are better able to bounce back by by moving quickly to take advantage of buying opportunities and turning those deals into great value for customers. Now if that pattern, that historic pattern holds, then an economic slowdown could hurt us later this year.

但短期內，它們也會損害價格。從歷史上看，我認為模式是，隨著趨勢放緩，所有零售商在短期內都會受到傷害，但折扣零售商能夠透過迅速採取行動利用購買機會並將這些交易轉化為對客戶的巨大價值來更好地反彈。現在，如果這種模式、這種歷史模式持續下去，那麼今年稍後經濟放緩可能會對我們造成傷害。

Then of course we would hope to bounce back in 2026. So that's the the macroeconomy, the other major risk is an increase in inflation. If tariffs continue, and it seems likely, that inflation will pick up as those tariffs work their way through the economy.

那麼我們當然希望在 2026 年實現反彈。這就是宏觀經濟，另一個主要風險是通膨的上升。如果關稅繼續徵收，而且這似乎是可能的，那麼隨著關稅對經濟產生影響，通貨膨脹將會上升。

Of course, there's there's a lot of uncertainty here. We don't know what the tariffs will settle at. But we do know that our core customer is very sensitive to inflation. We saw what happened when inflation spiked in 2022.

當然，這裡存在著許多不確定性。我們不知道關稅最終會定在多少。但我們確實知道我們的核心客戶對通膨非常敏感。我們看到了 2022 年通貨膨脹飆升時發生的情況。

Our customer, our core customer does not have savings that they can use to cushion the impact of higher prices. Now our strategy is to offer great value to the customer, so we plan to resist on raising our own retails.

我們的客戶，我們的核心客戶沒有儲蓄來緩解價格上漲的影響。現在我們的策略是為客戶提供巨大的價值，因此我們計劃抵制提高自己的零售額。

But even if we keep our own prices low, our sales trend could still be impacted if a higher general cost of living squeezes the discretionary income and spending of lower income households. Okay, so those are the risks, the economy and inflation.

但即使我們保持低價格，如果整體生活成本上升擠壓了低收入家庭的可支配收入和支出，我們的銷售趨勢仍然會受到影響。好的，這些就是風險，經濟和通貨膨脹。

Let me -- I think there also are some potential sources of optimism and, 3 things that I think could drive upside to sales. Firstly, let me go back to the point on inflation. Our focus and our strategy are to find ways to offer great value to customers. If prices rise across retail because of tariffs, then I would expect the price differentiation between us and the rest of retail to grow in our favor. And if that happens, then it might drive higher traffic to stores or it might in some cases give us an opportunity to adjust our own retails. Secondly, and I hesitate to bring this up, but there are items in the bill that's currently working its way through Congress that could help our customers and and be a tailwind for our trend. In particular, no taxes on tips and overtime income would be a would be a nice benefit for our customers.

我認為也存在一些潛在的樂觀因素，有三件事我認為可以推動銷售的成長。首先，讓我回到通貨膨脹的問題。我們的重點和策略是尋找為客戶提供巨大價值的方法。如果由於關稅導致零售價格上漲，那麼我預計我們與其他零售企業之間的價格差異將對我們有利。如果發生這種情況，那麼它可能會為商店帶來更多的客流量，或者在某些情況下可能會給我們一個調整自身零售的機會。其次，我不太願意提起這一點，但目前正在國會審議的法案中有一些內容可以幫助我們的客戶，並成為我們趨勢的順風。特別是，小費和加班收入無需納稅，這對我們的顧客來說是一項很好的福利。

Let me add a third point, the macro environment is very important, but yeah, we know that our success does not just depend on the macro environment. We have agency too. We're doing things at Burlington that should help to drive our sales trend, for example, we continue to go after opportunities to elevate our assortment in merchandizing.

我再補充第三點，宏觀環境非常重要，但是的，我們知道我們的成功不僅取決於宏觀環境。我們也有代理商。我們在伯靈頓所做的事情應該有助於推動我們的銷售趨勢，例如，我們繼續尋找機會提升我們的商品種類。

We are, we're pleased with the progress we're making to improve the localization of our our assortment at the store level, and we're very excited about the initiatives that we're rolling out to improve our customer experience and service levels in our stores.

我們對在商店層面改善商品分類本地化方面取得的進展感到非常高興，並且我們對正在推出的改善商店客戶體驗和服務水平的舉措感到非常興奮。

So let me wrap up by reiterating, we feel good about our flat 2% comp guidance for the year. We see some risks to that comp range, but we also see some potential tailwinds. And right now, I think those risks and those tailwinds feel fairly well balanced.

所以，最後讓我重申一下，我們對今年 2% 的平穩成長預期感到滿意。我們看到該比較範圍存在一些風險，但我們也看到一些潛在的順風。現在，我認為這些風險和順風感覺相當平衡。

Understood, maybe just a quick follow up question about freight. Kristen. In the prepared remarks, I think you mentioned your full year guidance is contingent on being able to hold ocean freight costs to contracted rates. Can you just expand on that? And how much of a swing factor is this in your guidance? And then any commentary in the domestic freight cost pictures are also helpful given there's been some volatility there as well.

明白，也許只是一個關於運費的快速後續問題。克里斯汀。在準備好的評論中，我認為您提到過，您的全年指導取決於能否將海運費控制在合約費率範圍內。能詳細闡述嗎？這對您的指導有多大的影響？鑑於國內運費成本也存在一些波動，因此任何有關國內運費成本的評論也是有幫助的。

Good morning, John. Thanks for that question. It, it's a good question. Maybe I'll take the last part first on domestic freight. We recently secured truck and intermodal capacity at rates we feel very good about.

早安，約翰。謝謝你的提問。這，這是個好問題。也許我會先處理國內貨運的最後一部分。我們最近以非常滿意的價格獲得了卡車和聯運運力。

In addition, diesel fuel rate could potentially be an expense tailwind, but that's obviously hard to predict or or count on. On international freight, to the crux of your question, this is primely captured in our merchandise margin. We've locked in our contracted ocean rates through the first quarter of 2026, and we feel good about those rates and our ability to meet our capacity needs.

此外，柴油價格可能成為成本的順風，但這顯然很難預測或依賴。關於國際貨運，對於您問題的關鍵，這主要體現在我們的商品利潤中。我們已鎖定截至 2026 年第一季的合約海運費率，我們對這些費率以及滿足運力需求的能力感到滿意。

However, given the potential volatility of shipments and potential spikes, as China comes back online, there is potentially a risk of spot market exposure. And so, as I mentioned in the prepared remarks, our guidance assumes we do not see an increase in ocean freight expense above our contracted rates.

然而，考慮到出貨量的潛在波動和潛在的峰值，隨著中國恢復正常運營，現貨市場可能存在風險。因此，正如我在準備好的評論中提到的那樣，我們的指導假設我們不會看到海運費用超過我們的合約費率。

Alex Straton, Morgan Stanley.

摩根士丹利的亞歷克斯·斯特拉頓。

Thanks a lot. I just have a couple for Kristen. Maybe first, can you just walk through first quarter comp performance by region, as well as address it if weather impacted performance at all. Then I have a just quick follow up after that.

多謝。我只想給克里斯汀一些。首先，您能否按地區介紹第一季的業績表現，並說明天氣是否對業績產生了影響。然後我會快速跟進。

Great. Good morning, Alex. In terms of regional performance, the Southeast region was outperformed the chain, was above the chain, while the Midwest region trailed the chain. This was likely due to the unfavorable weather in that region. In the first quarter, weather certainly had an impact on comp and traffic, particularly in February. And it had a significant impact in February on two important regions of ours, the Northeast and the Midwest. But once we got into the March-April time period, weather, pretty much normalized and was neutral to our March and April trend.

偉大的。早安，亞歷克斯。從區域表現來看，東南地區較上季成長，高於季比，中西部地區較上季落後。這可能是由於該地區的天氣惡劣所致。在第一季度，天氣確實對銷售額和客流量產生了影響，尤其是在二月。它在二月對我們的兩個重要地區——東北部和中西部——產生了重大影響。但一旦進入三月至四月期間，天氣就基本恢復正常，與三月和四月的趨勢持平。

Great, maybe just secondly, can you also discuss comp performance in the quarter by category if any were were weaker or stronger?

太好了，其次，您能否按類別討論一下本季的業績表現，看看哪些表現較弱或較強？

Great. Yeah, it's a good question. Although performance across categories was fairly broad-based in the first quarter, the only real call out I'd make is that the best performing category in the quarter was our beauty business. Thanks so much. Thanks, Alex.

偉大的。是的，這是個好問題。儘管第一季各個類別的表現相當廣泛，但我唯一真正要說的是，本季表現最好的類別是我們的美容業務。非常感謝。謝謝，亞歷克斯。

Brooke Roach, Goldman Sachs.

高盛的布魯克·羅奇。

Good morning and thank you for taking our question, Michael, in response to an earlier question you talked about some of the actions you're taking to drive continued comp momentum on an idiosyncratic basis along those lines, can you provide an update on your marketing programs?

早安，感謝您回答我們的問題，邁克爾，在回答之前的問題時，您談到了您正在採取的一些行動，以獨特的方式推動公司持續發展勢頭，您能否提供有關您的營銷計劃的最新信息？

Sure. Good morning, Brooke. Thank you for the question. Actually, I'm really glad that you asked that question. It gives me a chance to describe some of the things that are going on in marketing. I would say that over the last few years, Our marketing programs have evolved to play a really important role in supporting Burlington 2.0. Our marketing and strategy teams are are much more integrated now in driving our business than they they ever used to be.

當然。早上好，布魯克。謝謝你的提問。事實上，我很高興你問了這個問題。它讓我有機會描述行銷中正在發生的一些事情。我想說，在過去幾年裡，我們的行銷計畫不斷發展，在支持伯靈頓2.0發展中發揮了至關重要的作用。我們的行銷和策略團隊現在比以往任何時候都更加緊密地合作，共同推動我們的業務發展。

Maybe the best way for me to illustrate that is to talk about a few things. Firstly, our marketing message, secondly, I'll talk about external marketing, and then thirdly, our in-store marketing. Let's start with our marketing message.

也許對我來說，說明這一點的最好方法就是談論一些事情。首先，我們的行銷訊息；其次，我將談論外部行銷；第三，我們的店內行銷。讓我們從我們的行銷訊息開始。

Our marketing message is now focused on one thing, value. I would say it used to be that our marketing message was broader, more more diffuse and less clear, but our marketing team has done a really nice job building excitement around and really focusing the message on great value. Now if you see any of our marketing, it's all about deals, brands, wow. Secondly, external marketing, we know, that our customers are passionate about finding a great deal.

我們的行銷訊息現在集中於一件事，那就是價值。我想說的是，我們的行銷訊息過去比較廣泛、比較分散、不太清晰，但我們的行銷團隊在營造興奮感和真正將訊息集中在巨大價值上方面做得非常出色。現在，如果你看到我們的任何行銷活動，你會發現全是相關交易、品牌、哇。其次，外部行銷，我們知道，我們的客戶熱衷於尋找優惠。

When when our when our customers find a great brand, great fashion, a great deal in ours. They don't keep it a secret. They tell all their friends, and that's much more powerful and traditional broadcast advertising. Our marketing team again has found some really great ways to encourage and amplify this word of mouth advertising, in social media and elsewhere.

當我們的客戶在我們這裡發現一個偉大的品牌、偉大的時尚、偉大的優惠。他們沒有保守這個秘密。他們會告訴所有的朋友，這比傳統的廣播廣告更有影響力。我們的行銷團隊再次找到了一些非常好的方法來鼓勵和擴大社群媒體和其他地方的口碑廣告。

Thirdly, let me talk about in-store marketing. If you walk into one of our new or recently remodel stores. You will see an environment that's very different to historic Burlington, and we call this store experience 2.0. And about half of our stores have now been converted to store experience 2.0. The other half will be converted by the end of 2026. So instead of a difficult to navigate an endless sea of racks, you'll find a store layout that's that's much more welcoming, inviting, exciting, and off price, a layout that's much more deals brands, well, our stores, our store team. Our merchandizing team and our marketing teams all collaborated on this new layout and design for our stores. We're really excited about it. It reinforces who we are, it reinforces Burlington 2.0.

第三，我來談談店內行銷。如果您走進我們的新店或最近裝修的商店。您將看到一個與歷史悠久的伯靈頓截然不同的環境，我們稱之為「商店體驗2.0」。目前，我們大約一半的門市已轉型為「商店體驗2.0」。另一半將在2026年底前完成轉型。因此，您不再需要面對難以駕馭的無盡貨架，而是會發現商店的佈局更加熱情、誘人、令人興奮，而且價格更加優惠，這種佈局更有利於品牌交易，更有利於我們的商店、我們的商店團隊。我們的商品銷售團隊和行銷團隊共同合作，為我們的商店打造新的佈局和設計。我們對此感到非常興奮。它強化了我們的身份，它強化了伯靈頓 2.0。

Great. And then just one follow up for you, Michael, as you contemplate in mitigation actions for current tariffs, are there any useful lessons from 2018 when tariffs on China were initially introduced during the first Trump administration?

偉大的。邁克爾，我想問您一個後續問題，當您考慮採取緩解當前關稅的措施時，2018 年特朗普政府首次對中國徵收關稅時，您是否吸取了什麼有益的教訓？

Yeah, it's it's a good, it's a good question. I remember living through that. And actually, I remember being quite worried at the time, but, as it turned out, those tariffs really had very little impact on the supply or the cost of off-pre-merchandise.

是的，這是一個很好的問題。我記得經歷過那件事。事實上，我記得當時我非常擔心，但事實證明，這些關稅對非成品的供應或成本影響甚微。

The key difference, of course, is that those tariffs were on a much smaller scale than the tariffs we've been contemplating over the last couple of months. And they covered, I want to say that the tariffs back then ran from 10% to 25%, that order of magnitude. And they were on a limited number of categories, mostly in the home business. Now for sure, they were a big headache for the merchants in those categories. But overall, the impact was fairly modest and and we were able to find offsets.

當然，關鍵的區別在於，這些關稅的規模比我們過去幾個月一直在考慮的關稅要小得多。他們談到了，我想說當時的關稅是 10% 到 25% 左右。而且它們涉及的類別有限，大部分都是家庭業務。現在可以肯定的是，它們對於這些類別的商家來說是一個很大的難題。但總體而言，影響相當小，而且我們能夠找到抵消措施。

Now, in contrast, the tariffs that were announced in April were on everything from everywhere all at once. Again, last night's court judgment, we don't know if the tariffs will continue or not, but clearly that potential based upon the rates that were set in in April, is much more significant than it was in 2018. That said, there's a lesson from back then. I think it's that as an off-price retailer, we have a level of flexibility that other retailers do not have.

相較之下，今年 4 月宣布的關稅是同時針對所有地方的所有商品。再次，根據昨晚的法庭判決，我們不知道關稅是否會繼續，但顯然，根據 4 月設定的稅率，這種潛力比 2018 年要大得多。話雖如此，但當時還是有教訓的。我認為，作為一家折扣零售商，我們擁有其他零售商所不具備的彈性。

So tariffs are are likely to -- if tariffs continue, they're likely to be a challenge for all retailers. But we are in a better position to react and adjust and, we really need to play to those strengths in this environment.

因此，如果關稅繼續存在，這可能會對所有零售商構成挑戰。但我們更有能力做出反應和調整，我們確實需要在這種環境下發揮這些優勢。

Great thanks so much I'll pass it on.

非常感謝，我會傳達的。

Dana Telsey, Telsey Advisory Group.

達娜‧特爾西 (Dana Telsey)，特爾西顧問集團 (Telsey Advisory Group)。

Hi, good morning, everyone. As you think about real estate and Michael, that's exciting about the new layout. Kristen, when will the 100 stores in 2025 open spring versus fall? And given the landscape where you acquired, I believe, around 46 stores from Joanne's, how are you thinking of those openings and will they be in the new layout also?

大家好，早安。當你想到房地產和邁克爾時，新的佈局令人興奮。克里斯汀，2025 年的 100 家商店將在春季還是秋季開業？考慮到您從 Joanne's 收購的約 46 家門市的現狀，您如何考慮開設這些門市？它們是否也會採用新的佈局？

Thank you.

謝謝。

Good morning, Dana. Yeah, thanks for the question. For 2025, we still have a lot of confidence in our 100 net new stores. That assumes 100 net new and about 130 or so gross new store openings. We expect about 25% of stores to open in the first half of the year and 75%, or the majority will be opening in the second half, but those will almost all be in the third quarter in 2025.

早安，達娜。是的，謝謝你的提問。對於2025年，我們仍然對淨增加100家門市充滿信心。假設淨新開店 100 家，總新開店數約 130 家。我們預計約有 25% 的門市將在上半年開業，75% 或大多數將在下半年開業，但這些門市幾乎都會在 2025 年第三季開業。

And then you mentioned your question, yes, we're excited. We recently acquired the leases of 46 former Joanne stores. Because we recently acquired those leases, we're paying rent on those stores now, so we're focused on getting them open as quickly as possible. Right now we're expecting those stores to open in spring of 2026, and most will likely open in the first quarter of next year.

然後你提到了你的問題，是的，我們很興奮。我們最近獲得了 46 家前 Joanne 商店的租約。因為我們最近獲得了這些租約，所以我們現在正在支付這些商店的租金，所以我們專注於盡快開業。目前，我們預計這些商店將於 2026 年春季開業，大多數商店可能會在明年第一季開業。

Thank you so much. I would now like to hand the call back to Michael O'Sullivan for final remarks.

太感謝了。現在我想將電話交還給邁克爾·奧沙利文，請他做最後的發言。

Let me close by thanking everyone on this call for your interest in Burlington stores. We look forward to talking to you again in August to discuss our second-quarter 2025 results. Thank you for your time today.

最後，我要感謝電話會議中大家對伯靈頓商店的關注。我們期待 8 月再次與您交談，討論我們的 2025 年第二季業績。感謝您今天抽出時間。

Thank you for attending today's call. You may now disconnect. Goodbye.

感謝您參加今天的電話會議。您現在可以斷開連線。再見。