Carter’s, Inc. ,the largest branded marketer in the United States of apparel exclusively for babies and young children, reported its first quarter fiscal 2013 results. “We exceeded our sales and earnings goals, and made good progress with our growth initiatives in the first quarter”
“We exceeded our sales and earnings goals, and made good progress with our growth initiatives in the first quarter," said Michael D. Casey, Chairman and Chief Executive Officer.
“Our sales growth was driven by our retail and eCommerce businesses. We also made good progress extending the reach of our brands into international markets, which we expect will provide new opportunities for growth in the years to come. We continue to have a positive outlook for our business and are expecting good growth in sales and earnings this year.”
First Quarter of Fiscal 2013 compared to First Quarter of Fiscal 2012 Consolidated net sales increased $39.3 million, or 7.1%, to $591.0 million. Net domestic sales of the Company’s Carter’s brands increased $29.9 million, or 7.0%, to $456.6 million. Net domestic sales of the Company’s OshKosh B’gosh brand decreased $4.7 million, or 6.0%, to $73.5 million. Net international sales increased $14.2 million, or 30.3%, to $60.9 million.
Operating income in the first quarter of fiscal 2013 was $66.9 million, an increase of $13.1 million, or 24.4%, from $53.8 million in the first quarter of fiscal 2012. First quarter fiscal 2013 pre-tax income includes expenses totaling approximately $9.5 million related to costs associated with the office consolidation, the revaluation of contingent consideration associated with the acquisition of Bonnie Togs in 2011, and costs associated with the previously-announced closure of the Company's Hogansville, Georgia distribution center in fiscal 2013.
First quarter fiscal 2012 pre-tax income includes expenses totaling approximately $1.8 million related to the Hogansville distribution center closure and revaluation of the Bonnie Togs contingent consideration. Excluding the facility consolidation and closure-related costs and the acquisition-related expenses noted above, adjusted operating income in the first quarter of fiscal 2013 increased $20.8 million, or 37.4%, to $76.4 million. This compares to adjusted operating income of $55.6 million in the first quarter of fiscal 2012. Net income in the first quarter of fiscal 2013 increased $9.1 million, or 28.3%, to $41.4 million, or $0.69 per diluted share, compared to $32.3 million, or $0.54 per diluted share, in the first quarter of fiscal 2012. Excluding the facility consolidation and closure-related costs and the acquisition-related expenses noted above, adjusted net income in the first quarter of fiscal 2013 increased $14.0 million, or 41.7%, to $47.7 million, or $0.79 per diluted share. This compares to adjusted net income of $33.7 million, or $0.56 per diluted share, in the first quarter of fiscal 2012.
