Carter's (NYSE: CRI) reported Q2 EPS of $0.54, $0.79 better than the analyst estimate of ($0.25). Revenue for the quarter came in at $515 million versus the consensus estimate of $506.12 million.

• Net sales $515 million, decline of 30%
• Diluted EPS $0.19; adjusted diluted EPS $0.54
• Results reflect significant disruption from COVID-19 pandemic
  • North American retail stores closed for much of second quarter
  • Strong online demand - U.S. eCommerce comparable sales +101%
  • Strong growth in sales of exclusive brands to Target, Walmart and Amazon
• $1.5 billion in liquidity at quarter end

“We had a strong finish to the second quarter. Thankfully, the disruption to our business due to the pandemic and related store closures was less meaningful than we expected,” said Michael D. Casey, Chairman and Chief Executive Officer. “In the second quarter, we continued to see good demand from our largest wholesale customers whose stores remained open, and we were also able to serve the needs of families with young children through our very profitable eCommerce operations.

“By the end of June, substantially all of our stores in the United States had reopened and we saw strong demand for our brands over the July 4th holiday shopping period.

“In the second quarter, we strengthened our brand marketing, improved price realization with more effective promotions, controlled spending, reduced our exposure to excess inventories and improved liquidity.

“We are now entering the largest portion of our year with respect to sales and earnings contribution. Given the strength of our brands and extensive market presence, we believe we are well-positioned to weather the current market challenges. We expect gradually improving trends in the performance of our Company, relative to the second quarter, in the balance of the year.”

2020 Business Outlook

Given the market disruption caused by the COVID-19 pandemic, recent spikes in confirmed cases of the coronavirus, and related uncertainty on timing and extent of the market recovery, the Company is not providing fiscal 2020 sales and earnings guidance at this time.

For earnings history and earnings-related data on Carter's (CRI) click here.