Carter's Q2 net sales up 5% to $615M; adjusted EPS $0.26 vs $0.17 (+53%)

CARTERS INC

Net sales $615M (+5% YoY); U.S. Retail comparable sales +5.1%.
GAAP operating income $140M includes $132M import duty recovery; adjusted operating income $18M (+54%).
Adjusted diluted EPS $0.26 vs $0.17 (+53%); GAAP EPS $2.87 includes duty recovery.
Returned $18M to shareholders via dividends in H1 2026; full-year outlook updated.
CEO cites improved marketing, productivity initiatives, and Baby segment progress.

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