Update: Gap Fiscal Q2 Revenue Falls; 2026 Adjusted EPS Outlook Raised

05:06 PM EDT, 08/27/2026 (MT Newswires) -- (Updates with Old Navy CEO appointment in 8th paragraph) Gap (GAP) reported fiscal Q2 adjusted net income late Thursday of $0.52 per diluted share. Analysts polled by FactSet expected $0.48. Revenue for the quarter ended Aug. 1 was $3.65 billion, down from $3.73 billion a year earlier. Analysts expected $3.69 billion. For fiscal 2026, the company raised its adjusted EPS guidance to a range of $2.35 to $2.45 from the previous range of $2.30 to $2.40. Revenue growth projection for the fiscal year was slightly narrowed to 1% to 1.5% from 1% to 2% previously. Analysts surveyed by FactSet expect adjusted EPS of $2.32 on revenue of $15.51 billion. Shares rose past 11% in after-hours activity. Separately, the company said Michael Francis will become president and CEO of Old Navy, effective Nov. 2, succeeding Haio Barbeito, who will transition to an advisory role.