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We are North America s largest and most-enduring apparel company exclusively for babies and young children. Our core brands are Carter s and OshKosh B gosh (or OshKosh ), iconic and among the sector s most trusted names.
Operating margin is thin at 4.97%. Limited cushion if revenue slows or costs rise, not the profile of a wide-moat business.
Revenue growth slowed to 1.9%, essentially flat. Margins also contracted 4.0pp. This is a business that needs a catalyst.
Free cash flow declined 72% versus the prior year, cash generation momentum has weakened. ROIC dropped from 10.71% to 5.91%, capital efficiency is deteriorating.
Profitability & Returns
Revenue (TTM)
$2.95B
▲ +1.9% YoY
Net Income (TTM)
$91M
▼ -50.5% YoY
Op. Margin
4.96%
▼ -4.0pp YoY
ROIC
6.01%
▼ -4.8pp YoY
Cash Flow & Balance Sheet
FCF (TTM)
$127M
▼ -71.7% YoY
Op. Cash Flow (TTM)
$177M
▼ -59.1% YoY
Net Debt
$723M
Cash & Equiv.
$473M
5Y CAGR: -0.8%
5Y CAGR: -34.2%
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