Home / Knowledge / News / Apparel/Garments / Gap sets sights on improving business in 2012
Gap sets sights on improving business in 2012
24
Feb '12
Gap Inc reported fourth quarter and full year results for fiscal year 2011 and provided commentary on 2012. For the fourth quarter of fiscal year 2011, which ended January 28, 2012, the company reported net income of $218 million, or $0.44 per share on a diluted basis. This compares with net income of $365 million, or $0.60 per share on a diluted basis, in the same period last year.

Fourth quarter net sales were $4.3 billion compared with $4.4 billion for the fourth quarter of last year. The company's fourth quarter comparable sales, which include the associated comparable online sales, were down 4 percent compared with a 1 percent increase in the fourth quarter last year.

For fiscal year 2011, which ended January 28, 2012, the company reported net income of $833 million, or $1.56 per share on a diluted basis -- a decrease of 17 percent compared with last year. This compares with net income of $1.2 billion in the same period last year.

Net sales for fiscal year 2011 were $14.5 billion, a decrease of 1 percent compared with net sales of $14.7 billion last year. The company's fiscal year 2011 comparable sales, which include the associated comparable online sales, were down 4 percent compared with a 2 percent increase last year.

“In spite of 2011 earnings being below last year, we're pleased with the progress we made against our long-term strategic plan, including growing our online business and expanding internationally,” said Glenn Murphy, chairman and chief executive officer of Gap Inc. “There's no doubt that improving our performance, especially in our base businesses, is the top priority in 2012, and we're confident this is the right time to invest wisely to win back customers.”

In fiscal year 2011, Gap Inc. improved its performance in a number of areas, including a 20 percent increase in net sales in its Direct division and a 45 percent net sales increase in its franchise business. The company now operates stores in 39 countries having entered eight new franchise markets in fiscal year 2011. Specific initiatives also began to gain steam, with 14 Gap stores in China, on the way to a total of about 45 stores by the end of fiscal year 2012, and 10 Athleta stores on the way to a total of 50 by the end of fiscal year 2013.

Additional Fiscal Year 2011 Financial Performance Highlights
• Generated $815 million in free cash flow and reinforced its commitment to deliver value by returning $2.3 billion to shareholders through share repurchases and dividends.
• The International and Direct divisions together represented 26 percent of net sales for the year, indicating progress on the company's stated goal of reaching 30 percent of net sales from these divisions by the end of 2013.
• Delivered higher Average Unit Retails throughout the year enabled by disciplined inventory management.
• Tightly managed operating expenses while continuing to invest in long-term growth initiatives.

Must ReadView All

Courtesy: Applied DNA Sciences

Apparel/Garments | On 24th Feb 2017

SigNatureT DNA can help prevent apparel counterfeiting

SigNatureT DNA is forensic molecular tag by Applied DNA Sciences...

Textiles | On 24th Feb 2017

Pakistan's textile exports down 1.54% in July-Jan FY17

The value of textile and garment exports made by Pakistan decreased...

Courtesy: The Irish News/Christian Cowan (Google)

Fashion | On 24th Feb 2017

Google & Christian Cowan create 'really blue' jeans

Google has partnered with British fashion designer Christian Cowan to ...

Interviews View All

Anvita Mehra
Confidential Couture

‘It is going to take some time for Indian buyers to get accustomed to...

Ghanshyam Ghoghari
Kimora Fashion

Bridalwear is not about reds and whites anymore

Smarth Bansal
Colorjet India Limited

We would like to venture more companies into the Indian market

Larry L Kinn
Suominen Corporation

Larry L Kinn, Senior Vice President - Operations Americas of Suominen...

Mark Paterson
Technical Absorbents Ltd

Mark Paterson, R&D manager of Technical Absorbents Ltd talks about Super...

Suresh Patel
Sidwin Fabric

Sidwin Fabric is a manufacturer and exporter of polypropylene textiles and ...

Madhu Jain
Madhu Jain

She grew up in the walled city of Old Delhi, completed her studies, and...

Silvia Venturini Fendi
Fendi s.r.l

"Yes, my confidence and positive attitude are my strengths and should be...

Rupa Sood and Sharan Apparao
Nayaab

Nayaab, an exhibition meant to celebrate Indian weaves, is in its second...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH
February 2017

February 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

SUBSCRIBE


Browse Our Archives

GO


eNEWS
Insights
Subscribe today and get the latest News update in your mail box.
Advanced Search