Carter’s Inc (CRI)

Financial leverage ratio

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
Total assets US$ in thousands 2,433,170 2,378,380 2,355,520 2,285,520 2,378,610 2,319,810 2,288,470 2,283,330 2,439,720 2,597,950 2,560,650 2,948,080 3,188,000 3,294,260 3,315,930 3,310,470 3,392,580 3,281,620 3,412,630 3,153,500
Total stockholders’ equity US$ in thousands 854,562 829,340 811,750 841,353 845,250 785,311 775,009 797,893 796,409 788,202 820,866 915,290 950,186 1,054,870 1,097,500 1,029,610 938,033 821,881 733,278 716,002
Financial leverage ratio 2.85 2.87 2.90 2.72 2.81 2.95 2.95 2.86 3.06 3.30 3.12 3.22 3.36 3.12 3.02 3.22 3.62 3.99 4.65 4.40

December 31, 2024 calculation

Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $2,433,170K ÷ $854,562K
= 2.85

Carter’s Inc's financial leverage ratio has shown a decreasing trend over the period from March 31, 2020, to December 31, 2024. The ratio started at 4.40 in March 2020, indicating that the company had high financial leverage at that time. However, the ratio gradually declined to 2.85 by December 2024, signaling a reduction in the company's reliance on debt to finance its operations.

Overall, the decreasing trend in the financial leverage ratio suggests that Carter’s Inc has been managing its debt levels effectively and may have been focusing on deleveraging over the years. Lower financial leverage ratios typically indicate a healthier financial position and less risk of financial distress due to high debt levels.