Gap's 2Q profit up 28 percent

Associated Press + More

By ANNE D'INNOCENZIO, Associated Press

NEW YORK (AP) — Gap Inc. is reporting a 29 percent increase in second-quarter net income as the fashion retailer's moves to spice up its fashions are attracting shoppers back to its stores.

Gap, which operates stores under its namesake, Old Navy, Banana Republic and Athleta, also said Thursday that it's raising its full-year profit guidance.

The San Francisco-based retailer earned $243 million, or 49 cents per share, for the three months ended July 28. That compares with $189 million, or 35 cents per share, in the year-ago period.

Revenue rose 6 percent to $3.58 billion. Revenue at stores opened at least a year was up 4 percent.

Analysts expected a profit of 46 cents per share on revenue of $3.57 billion, according to FactSet.

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