Gap (GAP) Q2 2026 Earnings Call Transcript
Gap raised full-year earnings guidance amid mixed quarterly results.
Monday, August 31, 2026
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Gap raised full-year earnings guidance amid mixed quarterly results.
Saxdor integration drives 42.7% sales growth and record profitability.
Comparable sales surged past guidance as emerging tech categories more than doubled.
Adjusted EPS surged 38% as margin expansion and tariff refunds fuel growth.
Water park EBITDA doubled as same-store sales faced weather and sports headwinds.
AI cloud revenue surged to $70.5M as company pivots from Bitcoin mining to GPU infrastructure.
AI security ARR tripled while net new ARR hit record levels.
North America growth and backlog expansion offset supply chain headwinds.
ARR crossed $500M for first time as net retention stabilized at 98%.
Net income surged 44.6% as Argentina's improving outlook supports credit growth.
Net loss of $77 million offset by record $8 billion backlog and U.S. manufacturing milestone.
Revenue fell 7.2% as traffic softened and summer products underperformed.
Revenue hit $2.05 billion, up 16%, with MaintainX acquisition fueling growth.
AI infrastructure demand drives record revenue and raised full-year guidance.
Record $6.0B net income driven by wealth and capital markets strength.
AI solutions drive record high-value customer additions and 15% revenue growth.
CEO Steelman discusses $3.04B in sales, raised guidance, and TikTok Shop momentum.
Tariff refunds and positive traffic drive margin expansion and raised guidance.
Margins expanded despite revenue decline as inventory health improved.
Gap brand drives 22% revenue growth as Baozun raises AI-powered profitability targets.
Overseas revenue reached 27.3% of total amid international expansion offsetting China headwinds.
CEO Levchin shifts focus to next-gen products as card adoption accelerates.
Medical revenue surged 9.6% while management raised full-year profit guidance.
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