Gap shares surge more than 30% on sales, earnings beat despite muted holiday forecast
Publishing timestamp: 2023-11-17 11:23:43
Summary
Gap reported better-than-expected fiscal third quarter results, with profit and same-store sales exceeding Wall Street's estimates. However, the company remains cautious ahead of the holiday season as it works to reverse slowdowns at Banana Republic and Athleta. Gap's overall performance has been dragged down by these two brands, while Old Navy and the namesake banner have performed well. The company's holiday forecast is muted, expecting sales to be flat or slightly negative. Despite the positive results, Gap's revenue slump continues, but same-store sales were better than expected. The company's gross margin also improved, and it reaffirmed its full-year guidance. Gap's CEO, Richard Dickson, plans to use his branding expertise to turn the company around and regain relevancy.
Sentiment: MIXED
Keywords: earnings, mattel inc, business, dividends, retail industry, gap inc, business news, breaking news: earnings, breaking news: business,
Source: https://www.cnbc.com/2023/11/16/gap-gps-earnings-q3-2023.html