Burlington bets on ocean contracts to combat elevated freight costs

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Dive Brief:

Burlington Stores’ transportation cost savings initiatives have helped offset higher freight costs driven by elevated diesel rates and fuel surcharges, EVP and CFO Kristin Wolfe said during a Q1 earnings call.

Wolfe said that the retailer recently locked in ocean and domestic contracts for the next year at “favorable rates.” The company expects contracted rates to help control freight costs in 2026.

“Our supply chain continues to increase cube utilization of inbound and outbound shipments, including significant loading focus in our distribution centers and taking advantage of consolidation opportunities on the inbound,” Greg Shultz, EVP and chief supply chain officer at Burlington Stores, told Supply Chain Dive in an email.