3 Takeaways From Gap's Earnings
Gap's (NYSE: GPS) first-quarter (ending May 2) earnings report was disappointing, negatively impacted by the temporary closure of 90% of its global store base due to COVID-19. First-quarter revenue was $2.11 billion, a drop of 43% year over year, and below analyst expectations of $2.3 billion. The company did not provide comparable sales results for the quarter due to the temporary closures. As the retailer is now reopening its stores and shoring up its finances, here are three takeaways from the quarter.
Image Source: Gap.com.
Gap's online business performed well during the quarter, with April online revenue up 40% and May online revenue up 100%. The company's e-commerce segment is the second-largest apparel e-commerce site in North America, with $4 billion of annual revenue prior to the COVID-19 pandemic. Gap's rollout of multichannel strategies will continue to help drive growth in the online segment.
Source Fool.com
