The Gap, Inc. (NYSE:GAP ) Q1 2025 - Earnings Conference Call May 29, 2025 5:00 PM ET Company Participants Whitney Notaro - Head of IR Richard Dickson - President and CEO Katrina O'Connell - CFO Conference Call Participants Alex Straton - Morgan Stanley Adrienne Yih - Barclays Matthew Boss - JPMorgan Lorraine Hutchinson - Bank of America Dana Telsey - Telsey Group Paul Lejuez - Citigroup Ike Boruchow - Wells Fargo Simeon Siegel - BMO Capital Markets Operator Good afternoon, ladies and gentlemen. I would like to welcome everyone to the Gap, Inc. First Quarter 2025 Earnings Conference Call.

Gap (GAP) came out with quarterly earnings of $0.51 per share, beating the Zacks Consensus Estimate of $0.44 per share. This compares to earnings of $0.41 per share a year ago.

Gap Inc.'s stock drops after the retailer called for flat current-quarter sales.

Gap Inc (NYSE:GPS) fell more than 15% in after-hours trading on Thursday as a flat revenue forecast for the second quarter and ongoing tariff concerns overshadowed better-than-expected first-quarter results. The apparel retailer reported Q1 revenue of $3.5 billion, above estimates of $3.42 billion and up 2% year-over-year.

Gap kept its annual forecasts intact after beating Wall Street expectations for first-quarter sales on Thursday as more customers shopped for its Old Navy and namesake brands following a style refresh over the past few quarters.

Gap delivered another strong earnings beat but President Donald Trump's trade war is weighing on its turnaround. The company is expecting tariffs to cost $250 million to $300 million, without mitigation efforts.

Net sales increased 2% versus last year with comparable sales up 2% 9th consecutive quarter of market share gains Operating margin of 7.5% improved 140 basis points versus last year   Cash, cash equivalents and short-term investments of $2.2 billion up 28% versus last year SAN FRANCISCO , May 29, 2025 /PRNewswire/ -- Gap Inc. (NYSE: GAP), the largest specialty apparel company in the U.S. with a portfolio of brands including Old Navy, Gap, Banana Republic, and Athleta, today reported financial results for its first quarter ended May 3, 2025. "Gap Inc. delivered strong first quarter results, exceeding financial expectations and gaining market share for the 9th consecutive quarter," said President and Chief Executive Officer, Richard Dickson.

The Gap, Inc. GAP will release its first-quarter earnings results after the closing bell on Thursday, May 29.

Gap Inc. stock (NYSE: GAP) is set to announce its fiscal first-quarter earnings on Thursday, May 29, 2025, with analysts forecasting earnings of 45 cents per share and $3.42 billion in revenue. This would indicate a 7% year-over-year rise in earnings and a 1% increase in sales compared to the previous year's figures of 42 cents per share and $3.39 billion in revenue.

GAP expects modest Q1 growth, margin expansions and brand momentum, with cost controls helping offset macro and tariff headwinds in the upcoming report.