US: Gap Q2 profit soars as comps rise
- Q2 net profit up 29% to US$243m
- Sales up 6% to $3.58bn
- Comparable store sales up 4%
Fashion retail giant Gap Inc has posted a 29% surge in second quarter net profit, driven by across-the-board comparable store sales increases for its main brands.
In North America, Gap, Banana Republic and Old Navy recorded comps rises for the second consecutive quarter in the three months to 28 July, while Gap Direct’s revenues were up 24% to $384m.
Sales outside North America rose 7%, with the company highlighting the opening of the first Old Navy store outside North America – in Tokyo – and the continued expansion of the Gap store base in China.
Franchise sales were up 25% as the company opened its 250th franchise store, and it also opened 11 new Athleta stores in North America, doubling its roster.
“Customers responded well to our product offerings across our brands, driving a healthy increase in sales and earnings per share during the quarter,” said Glenn Murphy, Gap chairman and CEO.
“Our continued focus on product and store execution are helping to drive positive momentum and we’re committed to sustaining solid performance for the remainder of the year.”
2013 got off to a strong start for US clothing and footwear retailers in January, with many reporting their best performance since September 2011....
The following is a general roundup of US apparel and shoe retailers' January 2013 sales results....
LeAnn Nealz, the president and chief creative officer of Fifth & Pacific's struggling Juicy Couture brand, is to leave the company....
Specialty clothing retailer Gap Inc has booked an 8% increase in January comparable store sales thanks to continued momentum in its North American businesses....
The Fair Trade Certified apparel pilot programme initiated by Fair Trade USA is making good progress, according to a report from the organisation's Multi-Stakeholder Group (MSG) for apparel....
Specialty clothing retailer Gap Inc is to close two distribution centres in Hebron, Kentucky in a move aimed at driving efficiency, but will also put 350 jobs at risk....
- Expensive US dollar hitting H&M sourcing costs
- Enthusiasm for tech in outdoor apparel on rise
- 2015: Welcome to the new fashion consumer
- Apparel industry gains traction says IAF chief
- Performance apparel set for continued growth
- Kanati pulls production out of Pakistan
- Sears Holdings cuts 115 corporate jobs
- H&M Q4 mixed but plans 400 new stores
- JC Penney to close 10 Foundry stores
- UK clothing sales see strongest rise in two years
- Myanmar's Garment Sector - Opportunities & Challenges in 2015
- Outdoor performance apparel: peaks, valleys, and green fields
- Apparel Retail: Top 5 Emerging Markets Industry Guide
- Li & Fung Limited (494) - Financial and Strategic SWOT Analysis Review
- Management briefing: Outlook 2015: Apparel industry issues in the year ahead