Carter's Names Build-A-Bear CEO Sharon Price John as New Chief Executive

Carter’s Names Build-A-Bear CEO Sharon Price John as New Chief Executive

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5.2.2026

Quick Facts

Carter’s appointed Sharon Price John as CEO effective June 15, 2026, replacing Doug Palladini after just one year
John led Build-A-Bear to record $252.6 million revenue in H1 2025, an 11.5% increase
Carter’s faces $200-250 million in additional annual costs from tariffs and plans to close 150 stores

Carter’s Inc. (NYSE: CRI) named Sharon Price John as its new Chief Executive Officer and President, effective June 15, 2026. John will join from Build-A-Bear Workshop, where she served as CEO for 13 years.

The appointment marks a rapid leadership transition at the Atlanta-based children’s apparel retailer. Former CEO Doug Palladini, who joined Carter’s just one year ago from Vans, departed the company effective immediately. CFO and COO Richard Westenberger will serve as interim CEO until John’s arrival.

“John’s success in revitalizing Build-A-Bear gives us confidence in her ability to accelerate the work underway at Carter’s and leverage the power of our iconic brands to drive sustainable growth and shareholder value creation,” said Gretchen Schar, incoming non-executive chair of Carter’s board.

John transformed Build-A-Bear during her tenure, delivering five consecutive years of record results through 2025. The company’s revenue surged to a record $252.6 million in the first half of 2025, marking an 11.5% increase. Build-A-Bear achieved a 17.9% return on assets for fiscal 2024 under her leadership.

She expanded Build-A-Bear’s business model beyond traditional malls, growing e-commerce with an integrated omnichannel approach and extending the brand into content-led marketing. Prior to Build-A-Bear, John held executive positions at Stride Rite, Hasbro’s Playskool business, and Mattel’s Disney and Barbie divisions.

Carter’s faces significant headwinds as John takes the helm. The company reported Q3 2025 net income of $11.59 million on sales of $757.84 million, down significantly year-over-year. Carter’s expects $200-250 million in additional annual costs from tariffs and suspended its fiscal 2025 guidance.

The retailer plans to close approximately 150 North American stores over the next three years and laid off about 300 corporate employees, representing 15% of that workforce. The restructuring is expected to generate $35 million in annual savings.

John’s compensation package includes a $1.3 million base salary, a target annual cash bonus of 175%, at least $6.5 million in annual equity awards starting in fiscal 2027, and a $6.5 million sign-on equity grant. She will also receive a $500,000 one-time cash bonus.

Needham analyst Tom Nikic called the leadership change “abrupt” and “a surprise.” Carter’s stock traded down approximately 2% following the announcement, hovering near its 52-week low.

“I am delighted to be joining a company with such a proud history and honored to be entrusted with leading it forward at this pivotal moment,” John said in a statement.