Gap Inc., in its second positive showing in a month, reported Monday that net sales for the four weeks ended Jan. 28 increased 2 percent to $828 million, from the $813 million seen in the corresponding period a year ago.
For the fourth quarter, net sales increased 1 percent to $4.43 billion, compared with $4.39 billion for the fourth quarter a year ago.
“Against a challenging retail backdrop, we’re pleased to report growth in our top-line and comp sales during the critical holiday quarter,” said Art Peck, the retailer’s chief executive officer. “We remain focused on actions that will strengthen our brands and recapture market share.”
In January, Gap Inc.’s comparable sales were up 1 percent compared with a decline of 8 percent last year.
By brand, comp sales during January rose 2 percent at Old Navy Global, fell 4 percent at Banana Republic Global and were up 3 percent at Gap Global.
For the fourth quarter, Old Navy’s comps were up 5 percent, Gap was flat and Banana Republic was negative 3 percent.
Gap Inc. raised its full-year outlook for adjusted earnings per share to $2.01 to $2.02, from last month’s guidance of modestly above $1.92.
Adjusting earnings exclude costs from store closures and streamlinings of about 41 cents a share, which include the impact from a higher tax rate; a non-cash goodwill impairment charge of about 18 cents related to the Intermix division; an insurance gain of about 11 cents related to a fire at the company’s Fishkill, N.Y., distribution center, and a non-recurring tax benefit of about 15 cents.
On a non-adjusted basis, the company expects reported diluted earnings per share to be in the range of $1.68 to $1.69.
For the fourth quarter, the company expects diluted earnings per share to be in the range of 54 cents to 55 cents, or about 50 cents to 51 cents on an adjusted basis.
At the end of December, the retailer reported that net sales were up 1 percent and comparable sales were positive 2 percent for the November and December 2016 holiday season, compared with the 2015 holiday season.
For the five weeks ending Dec. 31, Gap Inc.’s net sales increased 3 percent to $2.07 billion, from net sales of $2.01 billion during the corresponding period a year ago.