$GPS (+0,24ย %)
Q3 Earnings Highlights:
๐น Adj EPS: $0.72 (Est. $0.58) ๐ข
๐น Revenue: $3.8B (Est. $3.81B) ๐ก; UP +2% YoY
๐น Comparable Sales: +1% YoY (Est. +1.2%) ๐ก
FY24 Guidance:
๐น Revenue: UP +1.5% to +2.0% YoY (Prev. "Up slightly YoY") ๐ข
๐น Operating Margin: Mid-to-high 60% growth range (Prev. 50%) ๐ข
๐น Gross Margin Expansion: ~220 bps (Prev. ~200 bps) ๐ข
Q3 SEGMENT REVENUE:
Old Navy:
๐น Net Sales: $2.2B; Comparable Sales: Flat (Est. +0.9%) ๐ด
๐ธ Commentary: Performance driven by operational rigor and brand reinvigoration, despite weather-related headwinds.
Gap Global:
๐น Net Sales: $899M; Comparable Sales: UP +3% (Est. +2.3%) ๐ข
๐ธ Commentary: Achieved its fourth consecutive quarter of positive comparable sales due to strong product and marketing execution.
Banana Republic:
๐น Net Sales: $469M; Comparable Sales: DOWN -1% (Est. -0.8%) ๐ก
๐ธ Commentary: Strength observed in menโs business; focus remains on fixing fundamentals.
Athleta:
๐น Net Sales: $290M; Comparable Sales: UP +5%
๐ธ Commentary: Brand returned to positive comparable sales, with new products and marketing resonating with customers.
Profitability Metrics:
๐น Gross Margin: 42.7% (Est. 42.1%) ๐ข; UP 140 bps YoY
๐น Operating Margin: 9.3% (Est. 8%) ๐ข; UP 270 bps YoY
๐น Operating Expense: $1.3B
Operational Metrics:
๐น Online Sales: UP +7% YoY; Represented 40% of total net sales.
๐น Store Sales: DOWN -2% YoY; Total store count: 3,603 across ~40 countries.
๐น Ending Inventory: $2.33B; DOWN -2% YoY.
๐น Cash, Cash Equivalents, and Short-term Investments: $2.2B; UP +64% YoY.
๐น Capital Expenditures: $330M.