Stimulus Checks And eCommerce Lift Carter’s

Brahm Buck

Share Tweet Share Share Share Email Carter’s, the largest children’s clothing retailer in North America, said Friday (April 30) it saw growth in each of its retail, wholesale, and international business segments as stimulus checks and progress with COVID vaccines got kids back […]

Carter’s, the largest children’s clothing retailer in North America, said Friday (April 30) it saw growth in each of its retail, wholesale, and international business segments as stimulus checks and progress with COVID vaccines got kids back to school and people shopping again.

For the three months ending April 3, the Atlanta-based operator of nearly 1,000 retail locations said its sales increased 20 percent to $787 million, reflecting strong growth in all business segments compared to losses a year ago. Carter’s said its domestic eCommerce sales increased 38 percent.

The retailer said increased traffic to its stores improved following the passage of the $1.9 trillion pandemic relief legislation.

“Our first quarter sales and earnings meaningfully exceeded our expectations, with growth in each of our retail, wholesale, and international business segments,” Carter’s CEO Michael Casey said. “We saw demand for our brands surge in March driven by the strength of our spring product offerings, and unprecedented government stimulus supporting families with young children.”

Continued Growth

After being hard hit by retail store closures a year ago, Carter’s is continuing to see a rebound in its business and in the wake of its Q1 results has raised its full year outlook.

Officially, the retailer now expects to see sales growth of 10 percent for fiscal 2021, with earnings growth of approximately 40 percent.

“Despite ongoing pandemic-related challenges, we believe the strength of our brands, unparalleled multi-channel model, depth of relationships with essential retailers, and strong value proposition will enable us to achieve our growth objectives. And, with the continued progress with vaccinations, we believe Carter’s is well positioned to benefit from a global recovery from the pandemic.”

Carter’s has about 18,000 employees at close to 900 retail locations. Its stock is up 25 percent in the past year leaving it with a market value of $4.8 billion.

——————————

NEW PYMNTS STUDY: SUBSCRIPTION COMMERCE CONVERSION INDEX – APRIL 2021

About The Study: One third of consumers who signed up for subscription services within the past year were just in it for the free trial. In the 2021 Subscription Commerce Conversion Index, PYMNTS surveys 2,022 U.S. consumers and analyzes more than 200 subscription commerce providers to zero in on the key features that turn the “subscription curious” into sticky, long term subscribers.



Next Post

How Shopping Small Makes a Big Impact in Your Community | Business

I get it. It’s easy to shop on Amazon. Running low on toilet paper? Need lightbulbs? Want a bath caddy on a whim? With two clicks and even less thought, the item you need/want/desire is at your doorstep, often in 48 hours or less. Shopping locally requires more thought. Supporting […]