The Business of Fashion
Agenda-setting intelligence, analysis and advice for the global fashion community.
Agenda-setting intelligence, analysis and advice for the global fashion community.
NEW YORK, United States — Gap says sales at established stores fell 6 percent in May. That was better than the 7 percent decline forecast by Thomson Reuters.
Sales in stores open at least a year is a key metric of a retailer's health.
By division, same-store sales fell 3 percent at Gap stores, 11 percent at Banana Republic and 7 percent at Old Navy.
The San Francisco-based retailer said Thursday that the entire month was challenging, but its performance improved toward the Memorial Day weekend.
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For the four weeks ended May 30, total sales fell more than 5 percent to $1.18 billion from $1.25 billion.
Gap has long been struggling, unable to get shoppers to buy its clothes without offering big discounts. chief executive officer Art Peck, who came to the helm in February 2015, has been trying to overhaul the business.
In after-hours trading, Gap Inc. shares rose nearly 5 percent to $19.18. For the year to date, shares are down about 26 percent.
Fast-growing start-ups like Hettas, Saysh and Moolah Kicks created sneakers designed specifically for active women. The sportswear giants are watching closely.
The companies agreed to cap credit-card swipe fees in one of the most significant antitrust settlements ever, following a legal fight that spanned almost two decades.
In an era of austerity on Wall Street, apparel businesses are more likely to be valued on their profits rather than sales, which usually means lower payouts for founders and investors. That is, if they can find a buyer in the first place.
The fast fashion giant occupies a shrinking middle ground between Shein and Zara. New CEO Daniel Ervér can lay out the path forward when the company reports quarterly results this week.