Carter’s Earnings: Here’s Why Investors are Excited Now

Carter’s, Inc. (NYSE:CRI) delivered a profit and met Wall Street’s expectations, AND beat the revenue expectation. The revenue beat is a positive sign to shareholders seeking high growth out of the company. Shares are up 7.16%.

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Carter’s, Inc. Earnings Cheat Sheet

Results: Adjusted Earnings Per Share increased 23.21% to $0.69 in the quarter versus EPS of $0.56 in the year-earlier quarter.

Revenue: Rose 7.13% to $591 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: Carter’s, Inc. reported adjusted EPS income of $0.69 per share. By that measure, the company met the mean analyst estimate of $0.69. It beat the average revenue estimate of $577.54 million.

Quoting Management: “We exceeded our sales and earnings goals, and made good progress with our growth initiatives in the first quarter,” said Michael D. Casey, Chairman and Chief Executive Officer. “Our sales growth was driven by our retail and eCommerce businesses. We also made good progress extending the reach of our brands into international markets, which we expect will provide new opportunities for growth in the years to come. We continue to have a positive outlook for our business and are expecting good growth in sales and earnings this year.”

Key Stats (on next page)…

Revenue decreased 14.25% from $689.25 million in the previous quarter. EPS decreased 22.47% from $0.89 in the previous quarter.

Looking Forward: Analysts have a more negative outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings has fallen from a profit of $0.46 to a profit $0.45. For the current year, the average estimate has moved down from a profit of $3.38 to a profit of $3.31 over the last ninety days.

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(Company fundamentals provided by Xignite Financials. Email any earnings discrepancies to earnings [at]