Carter's 2024 Outlook: Expects Net Sales Of $2.95B-$3.0B Vs. $2.959B Consensus; Sees Adjusted EPS Growth Of Low To Mid-Single-Digit And Operating Cash Flow In Excess Of $250M

Author: Benzinga Newsdesk | April 26, 2024 06:22am

For fiscal year 2024, the Company projects approximately:

• Net sales of $2.95 billion to $3.0 billion ($2.95 billion in fiscal 2023);
• Comparable to mid-single-digit growth in adjusted operating income ($328 million in fiscal 2023);
• Low to mid-single-digit growth in adjusted diluted earnings per share ($6.19 in fiscal 2023);
• Operating cash flow in excess of $250 million; and
• Capital expenditures of $80 million.

Our forecast for fiscal year 2024 assumes:

• Improved macroeconomic environment and consumer demand as the year progresses, with a return to low single-digit comparable sales growth in U.S. Retail in the second half;
• Continued conservative inventory commitments by some wholesale customers;
• Gross margin expansion;
• Increased SG&A, reflecting higher growth-related investments and inflation, partially offset by productivity initiatives;
• Lower net interest expense;
• Higher effective tax rate; and
• Continued return of capital.

Posted In: CRI