Carter'S(Cri) Financials: Operating Profit Margin Compared To Industry Average, Plus Other Key Ratios

Company Report for CRI

Report - operating profit margin

This chart shows the historical trend of operating profit margin for CRI compared to its industry average over the recent years.

Ratio Definition and Interpretation

Name: Operating Profit Margin

Definition: Operating profit margin focuses on profits from the company’s core business — before interest payments and taxes. It reflects how well the business manages operating costs relative to sales. Strong operating margins show efficient day-to-day operations. Shrinking margins may reveal rising overhead, pricing weakness, or declining efficiency.

Interpretation:
• In '2021', CRI's operating profit margin was 14.3%, highlighting profit earned from core business operations. Industry average for Apparel in '2021' stood at 5.0%.
• In '2022', CRI's operating profit margin was 12.1%, highlighting profit earned from core business operations. The decline from '2021' may indicate some operational or financial challenges. Industry average for Apparel in '2022' stood at 6.0%. Industry average increased by 1.0% compared to previous year.
• In '2023', CRI's operating profit margin was 11.0%, highlighting profit earned from core business operations. The decline from '2022' may indicate some operational or financial challenges. Industry average for Apparel in '2023' stood at 7.1%. Industry average increased by 1.1% compared to previous year.
• In '2024', CRI's operating profit margin was 10.0%, highlighting profit earned from core business operations. The decline from '2023' may indicate some operational or financial challenges. Industry average for Apparel in '2024' stood at 5.8%. Industry average declined by 1.2% from previous year.
Overall, CRI's operating profit margin has consistently declined during the past 4 years.

Formula: Operating Profit Margin = Operating Income / Revenue

Good Range: Often 10%-30% depending on business model.