Carter’s Q2 FY26 diluted EPS swings to USD 2.87; net sales rise 5% to USD 615 million
CRI•Quarterly results
Carter’s Q2 fiscal 2026 net income swung to USD 105 million, with GAAP diluted EPS at USD 2.87.
GAAP operating income climbed to USD 139.8 million, lifting operating margin to 22.7%.
Net sales rose 5% to USD 615 million; U.S. Retail comparable sales increased 5.1%.
Items affecting the quarter and outlook
Results included a USD 132 million recovery of previously paid import duties and related interest; leadership transition costs totaled USD 4.7 million.
Full-year outlook calls for 2% to 3% net sales growth and operating cash flow of USD 230 million to USD 240 million.



