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Gap Raises Fourth-Quarter Earnings Outlook on Better Sales

By division, Gap's namesake stores saw the key measure unchanged, while Old Navy enjoyed a 5 percent gain. Banana Republic posted a 3 percent decline.
Source: Gap
By
  • Associated Press

SAN FRANCISCO, United States — Gap Inc. is raising its earnings outlook after delivering a solid sales performance during the critical holiday shopping period.

The San Francisco, California-based company said fourth-quarter revenue at stores opened at least a year rose 2 percent.

By division, Gap's namesake stores saw the key measure unchanged, while Old Navy enjoyed a 5 percent gain. Banana Republic posted a 3 percent decline.

The clothing chain has been trying to recover from a long-running malaise.

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Gap said it now expects earnings for the fourth-quarter to be 50 cents to 51 cents per share on an adjusted base. Analysts surveyed by FactSet had been expecting 44 cents per share.

Gap's stock rose more than 3 percent in after-market trading.

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