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AI brief of an SEC Form 8-K · Carter's (CRI)

Carter's Q3 operating income falls 62% to $29.1 million on tariffs; sales flat

Negative Impact 4 of 5 earnings Written later

Carter's reported third-quarter fiscal 2025 net sales of $757.8 million, roughly flat versus a year earlier, while operating income fell to $29.1 million from $77.0 million and diluted EPS fell to $0.32 from $1.62. The company suspended its fiscal 2025 guidance because of tariff uncertainty and approved an organizational restructuring plan with $10.1 million to $11.1 million in total charges, which it says will reduce costs and improve future profitability.

Key points

  • Q3 net sales $757.8 million, down 0.1% from $758.5 million; U.S. Retail comparable net sales up 2.0%
  • Q3 operating income $29.1 million vs. $77.0 million; diluted EPS $0.32 vs. $1.62; adjusted diluted EPS $0.74 vs. $1.64
  • Fiscal 2025 guidance suspended; Q4 net adverse pre-tax impact from additional tariffs estimated at $25 million to $35 million
  • Restructuring plan approved September 16, 2025 to cut about 300 office roles (15%) by end of 2025; about $35 million annualized savings expected from 2026

The filing

CompanyCarter's (CRI)
Form8-K, current report
Filed with the SECOct 27, 2025, 6:19 AM ET
Accession number0001060822-25-000157

Items reported: 2.02 Results of Operations2.05 Exit / Restructuring Costs

Read the filing on SEC.gov ↗

Written by AI on Nov 8, 2026, 6:59 AM ET, from this filing only. Written later: this filing was briefed after the fact, when past filings were added to the site, so the brief may be read with hindsight; the filing itself is the record of what was known on October 27, 2025.

Briefs are written by AI from the filing text and can contain mistakes — open the filing before acting on anything. Impact (1-5) and tone are the AI's reading of the filing for shareholders, not a price forecast. Not investment advice.