Carter’s Inc (CRI)

Debt-to-capital ratio

Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Long-term debt US$ in thousands 498,127 497,354 616,624 991,370 989,530
Total stockholders’ equity US$ in thousands 854,562 845,250 796,409 950,186 938,033
Debt-to-capital ratio 0.37 0.37 0.44 0.51 0.51

December 31, 2024 calculation

Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $498,127K ÷ ($498,127K + $854,562K)
= 0.37

Carter’s Inc debt-to-capital ratio has shown a steady decline over the years, decreasing from 0.51 at the end of 2020 to 0.37 by the end of 2024. This suggests that the company has been effectively managing its debt levels in comparison to its total capital, indicating a lower reliance on debt financing and potentially improved financial stability. The decreasing trend in the debt-to-capital ratio may indicate a stronger financial position and lower risk of default for Carter’s Inc.