Gap Inc. topped Wall Street’s expectations with its second-quarter results and increased guidance for the full year, highlighting the recovery for apparel retailers from the early-pandemic slowdown.
The San Francisco-based company now sees adjusted earnings per share of $1.90 to $2.05, with net sales up about 30% compared with last year, it said in a statement Thursday. The apparel maker in May had forecast adjusted earnings of $1.60 to $1.75 a share and revenue growth in the low-to-mid 20% range.
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Same-store sales, a key retail metric, rose 3% compared with the year-earlier quarter. That’s well below the 26.4% gain expected by analysts, according to data compiled by Bloomberg. The company said comparable sales increased 12% from 2019, which many retailers have used to compare the recent period with a pre-pandemic quarter.