Jul 28, 2009
Carter's second quarter beats Street; sees growth in third quarter EPS
Jul 28, 2009
July 28 (Reuters) - Children's clothing retailer Carter's Inc (CRI.N) posted a better-than-expected adjusted quarterly profit, helped by the strong performance of its namesake brand, and said it expects third-quarter earnings to grow, sending its shares up 7 percent in after-market trade.
Carter's Inc childrenswear - Photo: www.carters.com
Carter's expects mid to high single-digit percentage rise in adjusted earnings and low single-digit percentage growth in net sales in the third quarter, compared with the year-ago period.
For the second quarter, the company earned $11.3 million, or 19 cents a share, compared with $2.8 million, or 5 cents a share, a year earlier.
Excluding items, it earned 23 cents a share.
Revenue came in at $317.9 million, with net sales at the company's namesake brand rising 7 percent to $254.4 million.
Analysts were looking for a profit of 7 cents a share, excluding items, on revenue of $302.2 million, according to Reuters Estimates.
The Atlanta-based retailer has frozen wages, suspended 401(k) contributions and reduced head count to control costs.
Carter's shares were trading up at $28.69. They closed at $26.92 Tuesday 28 July on the New York Stock Exchange. (Reporting by Mihir Dalal in Bangalore; Editing by Anne Pallivathuckal)
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