The FINANCIAL — Gap Inc. on February 8 reported that net sales for the four- week period ended January 30, 2016 were $813 million compared with net sales of $888 million for the four-week period ended January 31, 2015. For the fourth quarter of fiscal year 2015, Gap Inc.’s net sales were $4.39 billion compared with $4.71 billion for the fourth quarter last year.
On a constant currency basis, Gap Inc. net sales decreased 5 percent for the fourth quarter of fiscal year 2015. In calculating net sales growth on a constant currency basis, current year foreign exchange rates are applied to both current year and prior year net sales. This is done to enhance the visibility of underlying business trends, excluding the impact of foreign currency exchange rate fluctuations, according to Gap.
“We are pleased to guide to the high end of our previously announced full-year earnings per share range,” said Sabrina Simmons, chief financial officer of Gap Inc. “As we kick-off fiscal year 2016, our brands look forward to introducing their new Spring collections to customers.”
January Comparable Sales Results
Gap Inc.’s comparable sales for January 2016 were down 8 percent versus negative 3 percent last year. Comparable sales by global brand for January 2016 were as follows:
xGap Global: negative 6 percent versus negative 9 percent last year
xBanana Republic Global: negative 17 percent versus positive 2 percent last year
xOld Navy Global: negative 6 percent versus positive 3 percent last year
Fourth Quarter Comparable Sales Results
Gap Inc.’s comparable sales for the fourth quarter of fiscal year 2015 were down 7 percent versus positive 2 percent last year. Comparable sales by global brand for the fourth quarter were as follows:
xGap Global: negative 3 percent versus negative 6 percent last year
xBanana Republic Global: negative 14 percent versus positive 1 percent last year
xOld Navy Global: negative 8 percent versus positive 11 percent last year
Full-Year and Fourth Quarter Guidance
The company narrowed its full-year adjusted diluted earnings per share guidance range for fiscal year 2015 to $2.41 to $2.42, excluding the one-time negative impact from the previously announced strategic actions of about $0.20 per diluted share, for fiscal year 2015.
For the fourth quarter of fiscal year 2015, the company expects adjusted diluted earnings per share to be in the range of $0.56 to $0.57.