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CRI

Carter's, Inc.

CRI

Carter's, Inc. • NYSE
$31.91 ▼ -1.15% (-0.37)
Market Cap $1.16 B
52w High $58.13
52w Low $23.38
Dividend Yield 1.55%
P/E 12.97
Volume 381.12K
Outstanding Shares 36.44M

Income Statement

Period Revenue Operating Expense Net Income Net Profit Margin Earnings Per Share EBITDA
Q3-2025 $757.836M ▲ $312.535M ▲ $11.593M ▲ 1.53% ▲ $0.32 ▲ $35.807M ▲
Q2-2025 $585.313M ▼ $277.716M ▲ $446K ▼ 0.076% ▼ $0.006 ▼ $23.119M ▼
Q1-2025 $629.827M ▼ $264.988M ▼ $15.539M ▼ 2.467% ▼ $0.43 ▼ $42.422M ▼
Q4-2024 $859.712M ▲ $327.825M ▲ $61.517M ▲ 7.156% ▼ $1.71 ▲ $98.2M ▲
Q3-2024 $758.464M $278.974M $58.32M 7.689% $1.62 $92.538M

Balance Statement

Period Cash & Short-term Total Assets Total Liabilities Total Equity
Q3-2025 $184.19M ▼ $2.469B ▲ $1.605B ▲ $864.642M ▲
Q2-2025 $338.183M ▲ $2.456B ▲ $1.602B ▲ $853.902M ▲
Q1-2025 $320.794M ▼ $2.332B ▼ $1.485B ▼ $847.245M ▼
Q4-2024 $412.926M ▲ $2.433B ▲ $1.579B ▲ $854.562M ▲
Q3-2024 $175.536M $2.378B $1.549B $829.34M

Cash Flow Statement

Period Net Income Cash From Operations Cash From Investing Cash From Financing Net Change Free Cash Flow
Q3-2025 $11.593M ▲ $-127.972M ▼ $-16.116M ▲ $-9.289M ▼ $-153.993M ▼ $-144.088M ▼
Q2-2025 $446K ▼ $40.306M ▲ $-16.2M ▼ $-9.226M ▲ $17.389M ▲ $24.106M ▲
Q1-2025 $15.539M ▼ $-48.644M ▼ $-10.346M ▲ $-33.591M ▼ $-92.132M ▼ $-58.99M ▼
Q4-2024 $61.517M ▲ $287.468M ▲ $-16.528M ▼ $-29.743M ▲ $237.39M ▲ $270.94M ▲
Q3-2024 $58.32M $-80.372M $-15.322M $-45.716M $-141.11M $-95.694M

Revenue by Products

Product Q3-2024Q1-2025Q2-2025Q3-2025
Sales Channel Directly to Consumer
Sales Channel Directly to Consumer
 $420.00M ▲$350.00M ▼$360.00M ▲$430.00M ▲
Sales Channel Through Intermediary
Sales Channel Through Intermediary
 $340.00M ▲$280.00M ▼$230.00M ▼$330.00M ▲

Five-Year Company Overview

Income Statement

Income Statement Revenue has slipped from its recent peak, suggesting the business is past its strongest growth spurt and is now operating in a more mature, slower‑growing phase. Even so, Carter’s has remained consistently profitable, with operating and net income holding up reasonably well despite softer sales and a tougher retail environment. Margins appear to have come down from the unusually strong levels seen earlier in the decade, likely reflecting more promotions, higher costs, and a return to more normal demand after the pandemic boost. Overall, the income statement shows a solid, profitable company, but with earnings that are lower than their high point and more dependent on careful cost and inventory management than on rapid sales growth.

Balance Sheet

Balance Sheet The balance sheet looks generally sound and has been slowly de‑risking. Total debt has come down meaningfully over the last several years, which reduces financial pressure and interest burden. Equity has stayed fairly stable, indicating there have been no major balance‑sheet shocks or large write‑downs. Cash levels are lower than during the pandemic years but have recently improved, suggesting more normal cash reserves rather than the unusually high cushions built up during that period. The overall asset base has shrunk somewhat, which may signal tighter inventory management and a leaner store and distribution footprint. Taken together, the balance sheet shows a more streamlined, moderately leveraged business with reasonable financial flexibility.

Cash Flow

Cash Flow Cash generation is a relative strength. Operating cash flow has been positive throughout the period, with one notably soft year followed by a solid rebound. This shows that, even when reported earnings wobbled, the underlying cash engine of the business remained intact. Capital spending has been kept modest and fairly steady, which means most of the cash generated has flowed through to free cash flow. Free cash flow has been positive in almost every year, giving the company room to reduce debt, support shareholder returns, and invest in digital and supply‑chain improvements without stretching its finances. The key watchpoint is whether cash flow can stay resilient if sales growth remains sluggish.

Competitive Edge

Competitive Edge Carter’s holds a leading position in baby and young children’s apparel, supported by a very well‑known brand and a long history with parents. Its products are sold through many channels at once: its own stores, its website, major retailers, and large e‑commerce platforms. This broad reach, plus a portfolio of brands at different price points, creates a strong presence across the category. Exclusive product lines for big retailers like Walmart, Target, and Amazon further deepen its relationships and make it harder for rivals to displace it on those shelves. Its scale and vertically integrated supply chain add cost and execution advantages. The main vulnerabilities are the highly competitive nature of apparel, dependence on birth trends and young‑family spending, and the bargaining power of large retail partners.

Innovation and R&D

Innovation and R&D Carter’s is not a classic heavy R&D company, but it is investing meaningfully in technology, data, and sustainability. Its omnichannel platform, including “Project Connect,” ties together store and online inventory so customers can shop seamlessly across channels, while in‑store tablets and upgraded point‑of‑sale systems improve the buying experience and reduce lost sales. Behind the scenes, advanced planning tools and a mass‑customization approach to manufacturing allow Carter’s to tailor products for different retailers and manage huge product volumes with more precision. On the customer side, data platforms and marketing automation support more targeted promotions and personalization. The company is also leaning into sustainability, using Little Planet as a test bed for organic and more environmentally friendly materials, expanding takeback programs, and setting long‑term goals for sustainable cotton and reduced plastics. The opportunity is to strengthen brand loyalty and meet changing consumer expectations, while the risk is the cost and complexity of executing these initiatives effectively.

Summary

Carter’s looks like a mature, market‑leading children’s apparel company with steady, if not fast‑growing, fundamentals. Sales have come down from their peak and earnings are off their highs, but profitability remains solid and supported by disciplined cost and inventory management. The balance sheet has gradually improved as debt has been reduced and the business has become leaner. Cash flow is a key positive: despite fluctuations, the company has consistently generated enough cash to fund operations, invest in its infrastructure, and still have room for balance‑sheet strengthening and shareholder returns. Strategically, Carter’s benefits from a strong, trusted brand, wide distribution, and deep partnerships with major retailers, backed by a capable supply chain and growing digital capabilities. Its push into omnichannel technology, data analytics, and sustainability positions it to defend its leadership, but also requires ongoing investment and strong execution. Looking ahead, the main questions are whether Carter’s can re‑ignite sustainable top‑line growth, maintain its brand strength in a crowded category, and deliver on its digital and sustainability ambitions without eroding margins. Its long history and current financial profile suggest resilience, but future performance will depend heavily on consumer demand trends, competitive intensity, and management’s ability to keep adapting the model.

NEWS

November 17, 2025 · 6:45 AM UTC

Carter's and March of Dimes Partner to Support Families During Prematurity Awareness Month

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November 13, 2025 · 4:45 PM UTC

Carter's, Inc. Announces Closing of Sale of $575 Million 7.375% Senior Notes Due 2031

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November 13, 2025 · 4:15 PM UTC

Carter's, Inc. Announces Quarterly Dividend

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October 29, 2025 · 7:38 PM UTC

Carter's, Inc. Announces Upsize and Pricing of Senior Notes Offering

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October 28, 2025 · 7:37 AM UTC

Carter's, Inc. Announces Proposed Senior Notes Offering

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