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
$CRI
Apparel
Consumer Discretionary
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.