Carter’s Inc (CRI)

Days of inventory on hand (DOH)

		Dec 31, 2024	Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020
Inventory turnover		1.67	1.17	1.21	1.61	1.40	1.07	1.02	1.24	1.02	2.30	1.89	1.85	1.96	1.27	1.79	2.01	2.10	2.79	2.77	3.51
DOH	days	218.71	313.27	301.94	226.61	260.21	340.58	357.66	295.06	358.60	159.01	192.83	196.78	185.90	287.12	204.27	182.04	173.64	130.74	131.72	103.86

December 31, 2024 calculation

DOH = 365 ÷ Inventory turnover
= 365 ÷ 1.67
= 218.71

Based on the data provided, Carter’s Inc days of inventory on hand (DOH) has shown significant fluctuations over the periods analyzed. The DOH ranged from a low of 103.86 days on March 31, 2020, to a high of 358.60 days on December 31, 2022.

During the period from March 31, 2020, to December 31, 2024, the DOH exhibited erratic movements, indicating potential inefficiencies in inventory management. High DOH values, such as those observed on December 31, 2022, and September 30, 2024, suggest that Carter’s may be holding excess inventory, leading to higher carrying costs and tied-up capital.

Conversely, the lower DOH values seen on March 31, 2020, and June 30, 2022, indicate a more efficient inventory turnover, allowing the company to generate sales from its inventory more quickly.

Overall, the trend in Carter’s Inc DOH over the analyzed period points to potential challenges in inventory management that may impact working capital efficiency and profitability. The company may benefit from implementing strategies to better align inventory levels with demand to optimize its operations.