Gap had a good April in terms of sales, and a large part of the reason is the company’s Old Navy banner.
The company reported that April net sales increased 10% to $1.33 billion for the four-week period ended May 3, versus $1.21 billion last year. Gap’s comparable sales for April 2014 were up 9% versus a 7% increase last year.
For the first quarter so far, Gap’s net sales have increased 1% to $3.77 billion versus $3.73 billion last year. The company’s comparable sales so far have decreased 1% versus a 2% increase last year.
“We are pleased with our execution overall in April, especially at Old Navy,” said chairman and CEO Glenn Murphy.
For the month, comparable sales by global brand were as follows:
- Gap Global: up 3% versus an 8% increase last year
- Banana Republic Global: up 7% versus a 1% increase last year
- Old Navy Global: up 18% versus a 9% increase last year
The company expects diluted earnings per share for the first quarter to be in the range of $0.56 to $0.57. It also expects gross margins for the quarter to decline less than the year-over-year decline in the fourth quarter of fiscal year 2013. In addition, the company expects first quarter fiscal year 2014 operating expenses to be slightly above last year.
Gap will release its complete first quarter earnings results May 22, and will report May sales June 5.