Gap has continued to find trading tough, reporting a 7 per cent decline in same store sales during January. Autumn / winter sales were worse than the 0.5 per cent decline forecast by the clothing retailer.

Across the fourth quarter, total company sales were flat at $4.9bn, with same store sales own 3 per cent, with Gap US same store sales flat and Gap International sale down 8 per cent across the quarter. Banana Republic same store sales were down 1 per cent and Old Navy down 4 per cent versus positive 4 percent last year.

In 52 weeks to January 29, total group sales were up 3 per cent to $16.3bn, with comparable store sales flat compared with an increase of 7 per cent last year.