Gap (GAP) Q1 Earnings: Taking a Look at Key Metrics Versus Estimates

By Zacks Equity Research | May 29, 2025, 6:30 PM

For the quarter ended April 2025, Gap (GAP) reported revenue of $3.46 billion, up 2.2% over the same period last year. EPS came in at $0.51, compared to $0.41 in the year-ago quarter.

The reported revenue represents a surprise of +1.33% over the Zacks Consensus Estimate of $3.42 billion. With the consensus EPS estimate being $0.44, the EPS surprise was +15.91%.

While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.

As these metrics influence top- and bottom-line performance, comparing them to the year-ago numbers and what analysts estimated helps investors project a stock's price performance more accurately.

Here is how Gap performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:

  • Comparable store sales - YoY change: 2% versus the five-analyst average estimate of 1.5%.
  • Comparable Store Sales - Gap - YoY change: 5% versus the five-analyst average estimate of 3.6%.
  • Comparable Store Sales - Old Navy - YoY change: 3% versus the five-analyst average estimate of 1.4%.
  • Number of Store Locations - Company-operated stores: 2,496 versus 2,501 estimated by four analysts on average.
  • Number of Store Locations - Old Navy North America: 1,246 compared to the 1,251 average estimate based on four analysts.
  • Number of Store Locations - Banana Republic - Total: 413 compared to the 418 average estimate based on four analysts.
  • Square Footage - Banana Republic North America: 3.1 Msq ft versus the three-analyst average estimate of 3.13 Msq ft.
  • Number of Store Locations - Gap - Total: 577 versus 572 estimated by three analysts on average.
  • Square Footage - Total: 29.9 Msq ft compared to the 29.48 Msq ft average estimate based on three analysts.
  • Net Sales- Gap Global- Total: $724 million compared to the $700.37 million average estimate based on four analysts. The reported number represents a change of +5.1% year over year.
  • Net Sales- Banana Republic Global- Total: $428 million versus $437.44 million estimated by four analysts on average. Compared to the year-ago quarter, this number represents a -2.7% change.
  • Net Sales- Old Navy Global- Total: $1.98 billion versus $1.93 billion estimated by four analysts on average. Compared to the year-ago quarter, this number represents a +3.4% change.
View all Key Company Metrics for Gap here>>>

Shares of Gap have returned +29% over the past month versus the Zacks S&P 500 composite's +6.7% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term.

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This article originally published on Zacks Investment Research (zacks.com).

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