Gap, Inc. (GPS) Tops Q1 EPS by 27c
Gap, Inc. (NYSE: GPS) reported Q1 EPS of $0.41, $0.27 better than the analyst estimate of $0.14. Revenue for the quarter came in at $3.4 billion versus the consensus estimate of $3.28 billion.
Fiscal 2024 Outlook
As a result of its strong first quarter results, the company is increasing its outlook for fiscal 2024, reflecting higher net sales and meaningfully higher operating income growth compared to its prior expectations. This outlook takes into consideration the continued uncertain consumer and macro environment.
Please note that the company's projected full year fiscal 2024 operating income growth below is provided in comparison to its full year fiscal 2023 adjusted operating income, which excludes
Full Year Fiscal 2024
Current FY 2024 Outlook | Prior FY 2024 Outlook | FY 2023 Results | |||
Net sales | Up slightly on a 52-week basis | Roughly flat on a 52-week basis | $14.9 billion | ||
Gross margin | At least 150 bps | At least 50 bps | 38.8 % | ||
Operating expense | Approximately $5.1 billion | Approximately $5.1 billion |
| ||
Operating income | Mid 40% growth range  | Low-to-mid teens |
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Effective tax rate | Approximately 28% | Approximately 28% | 9.7 % | ||
Capital expenditures | Approximately $500 million | Approximately $500 million | $420 million |
Second Quarter Fiscal 2024
Q2 2024 Outlook | Q2 2023 Results | ||
Net sales | Low-single-digit growth | $3.55 billion | |
Gross margin | Approximately 300 bps expansion | 37.6 % | |
Operating expense | Approximately 5% growth |
For earnings history and earnings-related data on Gap, Inc. (GPS) click here.