Carter’s Inc (CRI)

Net profit margin

		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	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Net income (ttm)	US$ in thousands	232,500	206,169	204,999	218,102	250,039	266,833	286,852	321,485	339,748	341,789	338,054	274,607	109,717	135,850	114,861	150,642	263,802	269,216	280,734	274,065
Revenue (ttm)	US$ in thousands	2,921,271	2,974,223	3,000,099	3,080,086	3,150,547	3,294,716	3,361,194	3,420,196	3,425,819	3,353,810	3,345,468	3,133,951	2,993,623	3,120,152	3,196,123	3,409,921	3,519,290	3,503,790	3,484,678	3,447,489
Net profit margin		7.96%	6.93%	6.83%	7.08%	7.94%	8.10%	8.53%	9.40%	9.92%	10.19%	10.10%	8.76%	3.67%	4.35%	3.59%	4.42%	7.50%	7.68%	8.06%	7.95%

December 31, 2023 calculation

Net profit margin = Net income (ttm) ÷ Revenue (ttm)
= $232,500K ÷ $2,921,271K
= 7.96%

The net profit margin of Carter’s Inc has shown fluctuations over the past few quarters. In the most recent quarter, the net profit margin stood at 7.96%, a slight increase from the previous quarter at 6.93%. Despite the uptick, the current margin remains lower compared to the margins reported in the earlier quarters of 2022, where values were above 8% and peaked at 9.40% in March 2022.

The overall trend indicates a general decline in profitability over the past year, with a notable drop in profitability observed in the last quarter of 2020 at 3.67%. Subsequently, there was a gradual recovery in profitability throughout 2021, with margin levels consistently above 7% until a peak of 10.19% in June 2021.

It is essential for Carter’s Inc to closely monitor and manage its expenses and revenue generation to sustain and improve its net profit margin in the future. Maintaining profitability is crucial for the company's long-term financial health and sustainability.