Carter's (CRI) came out with quarterly earnings of $2.39 per share, beating the Zacks Consensus Estimate of $1.72 per share. This compares to earnings of $2.76 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 38.95%. A quarter ago, it was expected that this maker of children's apparel and accessories would post earnings of $1.29 per share when it actually produced earnings of $1.64, delivering a surprise of 27.13%.Over the last ...

Financial Performance - Fourth quarter fiscal 2024 net sales were $860 million, a slight increase of 0.2% from $858 million in Q4 2023[2]. - Fiscal year 2024 net sales totaled $2.844 billion, a decline of 3.4% from $2.946 billion in 2023[2][19]. - For the fiscal quarter ended December 28, 2024, consolidated net sales reached $859.7 million, a slight increase from $857.9 million in the same quarter of the previous year[45]. - For the fiscal year ended December 28, 2024, consolidated net sales totaled $2,844.1 million, down 3.4% from $2,945.6 million in the prior year[63]. - International segment net sales for the same quarter were $128.1 million, showing a 2.0% decline year-over-year[63]. - International segment net sales for the fiscal year were $405.6 million, representing a 5.5% decrease compared to $429.2 million in the previous year[63]. Profitability Metrics - Operating margin for Q4 2024 decreased to 9.7% from 15.9% in Q4 2023, while adjusted operating margin was 13.4% compared to 15.9% in the prior year[2][15]. - Diluted EPS for Q4 2024 was $1.71, down 41.0% from $2.90 in Q4 2023; adjusted diluted EPS decreased to $2.39 from $2.76[2][17][18]. - Operating income for fiscal 2024 decreased by 21.2% to $254.7 million, with an operating margin of 9.0% compared to 11.0% in 2023[2][21]. - The company's net income for the fiscal year ended December 28, 2024, was $185.5 million, down from $232.5 million in the previous year[52]. - For the fiscal quarter ended December 28, 2024, the company reported net income of $61.5 million, with diluted EPS of $1.71, reflecting a 9.7% operating income margin[54]. - The fiscal year ended December 28, 2024, showed a net income of $185.5 million and diluted EPS of $5.12, with an operating income margin of 9.0%[54]. Cash Flow and Shareholder Returns - The company generated operating cash flow of $299 million in fiscal 2024, with total liquidity exceeding $1 billion at year-end[2][5][25]. - The company returned $167 million to shareholders through dividends and share repurchases in fiscal 2024[2][26]. - The Company paid a cash dividend of $0.80 per common share totaling $28.8 million in Q4 fiscal 2024, and $116.2 million for the entire fiscal year 2024[30]. - The Company repurchased approximately 0.7 million shares for $50.5 million in fiscal 2024, representing about 2.0% of common shares outstanding at the beginning of the fiscal year[30]. Future Outlook - Fiscal year 2025 outlook projects net sales between $2.780 billion and $2.855 billion, with adjusted diluted EPS expected to range from $3.20 to $3.80[2][28]. - For fiscal year 2025, the Company projects net sales between $2.780 billion and $2.855 billion, compared to $2.844 billion in fiscal 2024[31]. - Adjusted operating income is expected to be between $180 million and $210 million, down from $287 million in fiscal 2024[31]. - Adjusted diluted earnings per share are projected to be between $3.20 and $3.80, a decrease from $5.81 in fiscal 2024[31]. - In Q1 fiscal 2025, net sales are projected to be between $615 million and $625 million, down from $661 million in Q1 fiscal 2024[34]. - The outlook for fiscal year 2025 excludes pre-tax expenses of approximately $8 million to $9 million related to the retirement of the previous CEO[32]. Operational Insights - U.S. Retail comparable net sales declined 6.9% in fiscal 2024, while U.S. Wholesale net sales grew by 0.7%[19][21]. - The company is focusing on improving merchandise assortments and inventory positions to enhance profitability in 2025[6][7]. - The company anticipates a mid-single-digit decline in U.S. Retail sales and a high single-digit decline in U.S. Wholesale sales for Q1 fiscal 2025[33]. - The company's SG&A expenses for the fiscal year ended December 28, 2024, were reported at $1,099.7 million, representing 38.7% of net sales[54]. Asset and Liability Management - Total assets increased to $2.43 billion as of December 28, 2024, compared to $2.38 billion at the end of the previous fiscal year[49]. - Total liabilities increased to $1.58 billion as of December 28, 2024, compared to $1.53 billion at the end of the previous fiscal year[49]. - Cash and cash equivalents at the end of the fiscal year were $412.9 million, an increase from $351.2 million at the end of the previous year[52]. Impairment and Restructuring - The company incurred a non-cash impairment charge of $30 million related to intangible assets during the fiscal year[52]. - The company incurred a non-cash impairment charge of $30 million related to intangible assets during the fiscal quarter ended December 28, 2024[59]. - The organizational restructuring expenses for fiscal 2024 amounted to $1.8 million, impacting the operating income[59]. - The company experienced a benefit from a credit card settlement, which resulted in a reduction of $5.3 million in net income for the fiscal year ended December 30, 2023[59]. Currency Impact - The company evaluates net sales on both an "as reported" and a "constant currency" basis to exclude the impact of foreign currency fluctuations[63]. - The constant currency net sales for the fiscal quarter were $865.6 million, indicating a 0.9% increase from the prior year[63]. - The constant currency net sales for the fiscal year were $2,851.5 million, reflecting a 3.2% decrease compared to the previous year[63]. - The impact of currency translation for the fiscal quarter was a negative $5.9 million on both consolidated and international segment net sales[63]. - The company consistently applies its approach to net sales for all countries where the functional currency is not the U.S. dollar[63].

Core Viewpoint - Carter's, Inc. is expected to report a decline in both revenue and earnings for the fourth quarter of 2024, influenced by various economic factors and increased operational costs [1][4][6]. Revenue and Earnings Estimates - The Zacks Consensus Estimate for fourth-quarter revenues is $828.5 million, reflecting a 3.4% decrease from the previous year [2]. - The consensus estimate for quarterly earnings is $1.72 per share, indicating a significant drop of 37.7% compared to the same quarter last year [2]. Performance Factors - The anticipated decline in performance is attributed to inflation, high interest rates, and the cessation of pandemic-related stimulus payments, leading to reduced demand for products [4]. - Increased selling, general and administrative expenses (SG&A) are expected to further strain operating margins, driven by fixed cost deleverage from lower sales and rising distribution and transportation costs [4][5]. Sales Projections - Management projected net sales between $800 million and $840 million for the fourth quarter, down from $858 million in the previous year [6]. - Comparable sales in the U.S. Retail business are expected to decline by 9-12%, with a predicted overall sales drop of 9.3% in the U.S. Retail segment and 5.5% in the International segment [7]. Strategic Initiatives - To counteract these challenges, Carter's is focusing on improved pricing strategies, optimized inventory management, and enhancing e-commerce capabilities [8]. Valuation Perspective - Carter's is currently trading at a forward 12-month price-to-earnings ratio of 10.76x, which is below its five-year high of 21.14x and the industry average of 28.1x, presenting a potentially attractive investment opportunity [12]. Market Performance - Over the past three months, Carter's shares have increased by 0.5%, while the industry has seen a growth of 4% [13].

Core Insights - Carter's, Inc. (CRI) has reached a new 52-week low of $49.65, closing at $52.21, reflecting a 68% discount from its 52-week high of $88.03, indicating a challenging year for the company [1] - The stock has been trading below both the 200-day and 50-day simple moving averages (SMA), reinforcing a bearish outlook [2] - Over the past six months, CRI shares have lost 15.9%, underperforming the Zacks Shoes and Retail Apparel industry, which declined by 4.4% [4] Company Performance - CRI is facing challenges from inflation and high interest rates, which have pressured consumer spending and impacted overall performance [7] - The company has reported declining sales in recent quarters, with notable declines in U.S. Retail and International segments [8] - Higher selling, general and administrative (SG&A) expenses as a percentage of net sales are being driven by fixed-cost deleverage from lower sales and rising distribution costs [9] Future Outlook - CRI anticipates a decline in net sales and profitability for the fourth quarter of 2024, with U.S. Retail sales projected to decline in the high single to low double digits [10] - For 2024, the company expects a decline in net sales, adjusted operating income, and earnings per share compared to 2023 due to ongoing macroeconomic pressures [11] Strategic Initiatives - Carter's is implementing pricing strategies to enhance profitability and has seen favorable customer responses to its product offerings [12] - The company is utilizing omnichannel capabilities effectively, with 38% of digital orders fulfilled through stores, improving margins [14] - Investments in AI-driven marketing personalization are strengthening e-commerce performance and boosting key sales metrics [15]

Core Insights - Churchill Resources Inc. has provided an update on its 2024 fieldwork results at the Florence Lake nickel project, highlighting significant findings related to the Seahorse Lake Intrusive and Baikie Sub-belt [1][2][5] Group 1: Seahorse Lake Intrusive - The Seahorse Lake Ultramafic Intrusive has been confirmed to span approximately 7.5 km by 1 km, with historical grab sampling indicating nickel assays in the range of 0.2% to 0.4% Ni [2][5] - Recent sampling confirmed nickel-cobalt potential, with a notable grab sample grading 756 ppm Co (0.076%) [3][5] - The 2024 results showed consistent nickel grades of 0.2% to 0.32% Ni and cobalt grades ranging from 100 to 756 ppm, with the cobalt value significantly improved over historical results [5][6] Group 2: Baikie Sub-belt - The Baikie Sub-belt has been prioritized for detailed follow-up, with sampling of 43 high-grade targets based on VTEM survey results and soil sampling [4][8] - The volcanic package in the Baikie Sub-belt is encouraging for nickel discoveries, indicating potential for more primitive, nickel-enriched units [9][10] - The collaboration with the Geological Survey team is expected to enhance the exploration efforts in the Baikie and Seahorse Lake areas [10] Group 3: Project Economics and Infrastructure - The Florence Lake project is strategically located about 70 km from the deep-water port of Postville, with proposed infrastructure improvements that could enhance project economics [5] - The presence of nearby hydro-electric power potential is also noted as a significant advantage for the project [5]

Core Insights - Carter's, Inc. (CRI) is currently trading at a discount compared to its historical and industry benchmarks, with a forward 12-month P/E ratio of 11.15, below its median of 11.49X and significantly lower than the industry average of 26.32X, indicating potential undervaluation and investment opportunity [1] Financial Performance - In the third quarter of fiscal 2024, Carter's reported a 4.2% year-over-year decline in sales, following a 5.9% decline in the previous quarter, impacted by macroeconomic challenges and adverse currency rates that reduced net sales by $3.1 million [10] - The U.S. Retail segment experienced a 5.8% decline in sales, with comparable net sales down 7.1%, while the U.S. Wholesale segment saw a marginal decline of 0.5%, and the International segment reported an 8.6% drop in sales [11] - For the fourth quarter of 2024, Carter's expects net sales to be between $800 million and $840 million, indicating a decline from $858 million in the same quarter last year [11] Growth Strategies - Carter's has implemented a revised pricing strategy to better align with market conditions, which has been positively received by consumers [3] - The company has seen success from its OshKosh back-to-school campaign and its sustainable brands, Little Planet and PurelySoft, which appeal to environmentally conscious consumers [4] - The U.S. Wholesale business achieved an operating margin above 21%, benefiting from leaner inventories and strong demand for exclusive brands, alongside lower product costs and an efficient supply chain [5] Omni-Channel and Digital Strategies - Carter's is leveraging its omni-channel capabilities, with nearly 38% of digital orders fulfilled through stores, up from 35% the previous year, which has helped reduce shipping costs and improve margins [7] - Investments in AI-driven marketing personalization have led to improved conversion rates and mid-single-digit growth in key metrics like units per transaction [8] Market Challenges - The suspension of pandemic-related stimulus payments to child-care centers has negatively impacted families with children, leading to reduced demand for Carter's brands [10] - The company's shares have fallen 19.6% over the past three months, contrasting with a 1% decline in the industry [12]

Core Viewpoint - The event hosted by Habitat for Humanity of Greater Los Angeles celebrated the life and legacy of President Jimmy Carter, highlighting his significant contributions to affordable housing and social justice [1][2][3]. Group 1: Event Highlights - The event featured tributes from key speakers, including Supervisor Janice Hahn, who emphasized President Carter's dedication to social justice and his transformative impact on communities globally [2]. - Jose Tobar, a Habitat homeowner, shared his personal story about the opportunities provided by affordable housing, which was made possible through President Carter's efforts [4]. - Erin Rank, President and CEO of Habitat LA, noted that President Carter's legacy is reflected in the lives of over 4,400 families who benefited from his commitment to affordable housing [5]. Group 2: Memorial Activities - Attendees signed a memorial book for the Carter family and 2x4 wooden beams that will be used in Habitat LA's next development, symbolizing the ongoing impact of President Carter's work [6]. - Guests also signed a commemorative door, representing the many opportunities President Carter helped create for families worldwide [6]. Group 3: Future Initiatives - Habitat LA plans to continue honoring President Carter's legacy by building homes, communities, and hope across greater Los Angeles [7].

Core Points - The article discusses the funeral events for former US President Jimmy Carter, who passed away at the age of 100 on December 29, 2023, in Plains, Georgia, surrounded by family [1][2][10] - A motorcade carrying his flag-draped coffin began from the Phoebe Sumter Medical Centre, with former Secret Service agents serving as pallbearers [1][3] - The funeral procession included family members and was marked by tributes from the public, including flowers and commemorative pins [5][6] Summary by Sections Funeral Events - Six days of funeral events are being held for Jimmy Carter, with a motorcade traveling through Plains and past his childhood home [1][2] - The National Park Service rang a bell 39 times to honor his presidency [4] Public Tributes - Members of the public lined the procession route, expressing their respect and admiration for Carter's contributions [5] - Notable figures, including former presidents and current leaders, paid tribute to Carter's legacy and humanitarian efforts [14][15] Final Arrangements - After the procession, Carter's body will be taken to Atlanta for a moment of silence and a ceremony at the Carter Presidential Centre, before lying in state at the US Capitol [6] - His state funeral is scheduled for Thursday at Washington National Cathedral, followed by a private funeral in Plains [6][7]

Growth Drivers - The company has capitalized on its pricing strategy, efficient inventory management, and enhanced product offerings, positioning itself as a value-driven option for budget-conscious consumers, especially during inflationary times [1] - Investments in pricing and marketing of nearly $60 million for the second half of 2024 highlight its commitment to driving demand and market relevance [2] - The company's focus on competitively priced essential core products, with an average retail price of around $11, strengthens its value proposition and maintains a competitive edge [3] - The U S Wholesale business has been a key contributor to growth, with an operating margin exceeding 21% in Q3 2024, supported by leaner inventories and reduced product costs [4] - The company anticipates U S Wholesale sales to grow in the mid-to-high single digits year over year for Q4 2024, with full-year sales expected to surpass $1 billion, reflecting a low single-digit increase [5] Omni-Channel and Digital Strategy - The company has leveraged its omni-channel capabilities, with nearly 38% of digital orders fulfilled through stores in Q3 2024, up from 35% last year, enhancing operational efficiency [6] - Investments in advanced marketing personalization technology powered by AI have improved performance metrics, with higher conversion rates and increased units per transaction year over year [7] - E-commerce has seen mid-single-digit growth in key metrics, driven by these digital initiatives [7] Retail Footprint Optimization - The company opened 40 high-margin outlets and closed around 30 low-margin stores in declining traffic areas, strengthening its retail footprint [6] Challenges and Risks - The company faces challenges due to inflationary pressures, high interest rates, and the cessation of pandemic-related stimulus payments, which have reduced demand for its products [9] - Q3 2024 sales dropped by 4 2% year over year, following a 5 9% decline in the prior quarter [9] - Adverse currency fluctuations reduced net sales by $3 1 million in Q3 2024 [10] - The U S Retail segment reported a 5 8% decline in sales, with comparable net sales down 7 1%, while the U S Wholesale segment saw a marginal 0 5% decline, and the International segment experienced an 8 6% drop [10] - For Q4 2024, the company expects net sales of $800-$840 million, indicating a decline from $858 million in the year-ago quarter [11] - Full-year 2024 net sales are expected to be $2 79-$2 83 billion, compared to $2 95 billion in 2023 [12] Stock Performance - The company's shares have lost 19 7% in the past three months, compared to the industry's decline of 7 8% [12]

Group 1 - The stock of Carter's, Inc. (CRI) is experiencing significant attention due to high implied volatility in the options market, particularly for the Dec 20, 2024 $45.00 Call option [1] - Implied volatility indicates the market's expectation of future price movement, suggesting that investors anticipate a significant change in Carter's stock price, potentially due to an upcoming event [2] - Currently, Carter's holds a Zacks Rank of 3 (Hold) in the Shoes and Retail Apparel industry, which is in the top 12% of the Zacks Industry Rank, but analysts have not increased earnings estimates for the current quarter, leading to a decrease in the Zacks Consensus Estimate from $1.90 to $1.72 per share [3] Group 2 - The high implied volatility surrounding Carter's stock may indicate a developing trading opportunity, as options traders often seek to sell premium on options with high implied volatility to benefit from time decay [4] - The strategy of selling premium is commonly employed by seasoned traders, who hope that the underlying stock will not move as much as initially expected by expiration [4]