Gap's net earnings rise
Tuesday, 27 May 2008
Gap Inc. on Thursday released its earnings results for the first quarter of 2008 and said net earnings for the company increased 40 percent to $249 million compared with $178 million for the first quarter last year. Earnings from continuing operations for the first quarter of 2008 were $249 million
compared with $205 million last year which represents an increase of 21 percent. Earnings from continuing operations exclude the loss from the discontinued operation of Forth & Towne. First quarter net sales were $3.38 billion, compared with $3.55 billion for the first quarter of last year. The company’s first quarter comparable store sales decreased 11 percent, compared with a decrease of 4 percent in the first quarter of the prior year. The company’s online sales for the first quarter increased 21 percent to $236 million, compared with $195 million for the first quarter of last year. “We are pleased with our first quarter results, as we delivered solid earnings growth in a difficult environment,” said Glenn Murphy, chairman and chief executive officer of Gap Inc. “Looking ahead, we are focused on bringing compelling product and shopping experiences to our customers while managing costs tightly. We believe this approach is proving even more prudent given the current economic conditions.”
Earlier this month Gap introduced Artist Editions T-Shirts, a limited edition collection of t-shirts designed by 13 of today’s most influential contemporary artists.
Gap worked in close partnership with the Whitney Museum of American Art and Art Production Fund to create the collection with the 13 artists, who are all previous Whitney Biennial participants. The Whitney Biennial is a special exhibition held every two years at the Whitney Museum of American Art that features the most important contemporary art in the United States. Gap is a proud sponsor of the 2008 Whitney Biennial, currently on view at the Whitney until June 1, 2008.
Image: Stephanie Seymour in Gap Art Tee