Carter's Q1 Revenue of $681M Beats Expectations
Reports Q1 revenue $681M, consensus $660.8M. U.S. Retail comparable sales increased 10.5%, the fourth consecutive quarter of growth. "We saw strong demand for our brands during the first quarter across each of our U.S. Retail, U.S. Wholesale and International channels," said Richard Westenberger, interim Chief Executive Officer & President, Chief Financial Officer & Chief Operating Officer. "We posted strong results over the Easter holiday selling period which occurred earlier this year and our investments in marketing drove meaningful traffic increases in our U.S. Retail store and eCommerce businesses. Our profitability in the quarter was negatively affected by higher tariffs, investment spending and other inflationary cost pressures and higher interest costs. We expect the impact of these items to moderate as we move through the year and today we have reiterated our full year outlook for both sales and operating profit growth in 2026. As announced last week, we look forward to welcoming Sharon Price John as our new Chief Executive Officer next month. Sharon's extensive industry experience, especially in the children's space, and her demonstrated record of success position her well to lead the next chapter of Carter's transformation and growth."
