US: Carter's lifts FY outlook after strong Q3 profit
- Q3 profit up 72.4% to $59.4m
- Sales rose 4.5% to $668.7m
- Growth driven by international sales
US children's apparel specialist Carter's has lifted its full-year guidance after recording a 72.4% surge in third-quarter profits, helped by strong international demand.
Net income jumped to US$59.4m for the three months ended 29 September. The company, which operates more than 600 stores, said operating income increased 68% to 95.4m.
Net sales climbed 4.5% to $668.7m, primarily driven by international sales, which were up 16.9% to $69.4m. Net domestic sales of the company's Carter's brands grew 4.1% to $492.9m, while OshKosh B'gosh sales edged down 0.6% to $106.3m.
"We are reporting a record level of sales and earnings in our third quarter," said CEO and chairman Michael Casey.
"These results were driven by the growth of our direct-to-consumer businesses, higher sales of our Carter's and OshKosh B'gosh branded products in international markets, and an improvement in product costs.
"We believe consumers are responding to the compelling style, value, and convenience of our product offerings. To further strengthen our business, we are funding significant investments this year to support our multi-channel growth opportunities."
The company now expects full-year sales to rise 12% over the prior year, compared to earlier guidance of between 9% and 11%.
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