Revenue: As of FY2026 Q2, the actual value is USD 3.725 B, missing the estimate of USD 3.733 B.EPS: As of FY2026 Q2, the actual value is USD 0.57, beating the estimate of USD 0.5482.EBIT: As of FY2026 Q2, the actual value is USD 296 M.<h3>Segment Revenue</h3><ul><li>Old Navy: Second quarter net sales of $2.2 billion, up 1% compared to last year. Comparable sales were up 2%.</li><li>Gap: Second quarter net sales of $772 million, up 1% compared to last year. Comparable sales were up 4%.</li><li>Banana Republic: Second quarter net sales of $475 million, down 1% compared to last year. Comparable sales were up 4%.</li><li>Athleta: Second quarter net sales of $300 million, down 11% compared to last year. Comparable sales were down 9%.</li></ul><h3>Operational Metrics</h3><ul><li>Net Income: $216 million; diluted earnings per share of $0.57, up 6% versus last year.</li><li>Gross Margin: 41.2%, decreased 140 basis points versus last year.</li><li>Operating Income: $292 million; operating margin of 7.8%.</li><li>Operating Expense: $1.2 billion.</li></ul><h3>Cash Flow</h3><ul><li>Operating Cash Flow: Net cash from operating activities was $308 million.</li><li>Free Cash Flow: $127 million, defined as net cash from operating activities less purchases of property and equipment.</li></ul><h3>Unique Metrics</h3><ul><li>Cash and Investments: Ended the quarter with cash, cash equivalents, and short-term investments of $2.4 billion, an increase of 13% from the prior year.</li><li>Inventory: Ending inventory of $2.3 billion, up 9% compared to last year.</li></ul><h3>Outlook / Guidance</h3><ul><li>Gap Inc. reaffirms its outlook for fiscal 2025 net sales growth, expecting a 1% to 2% increase in net sales for the full year. The operating margin is projected to be between 6.7% to 7.0%, including an estimated 100-110 basis points of net tariff impact. Capital expenditures are expected to be approximately $500 to $550 million.</li></ul>

GAP | 8-K: FY2026 Q2 Revenue Misses Estimate at USD 3.725 B