Neil DennisUS clothing retailer Gap reported after US markets closed on Thursday that it expected full-year earnings to be in excess of previous forecasts following strong sales growth in the third quarter.
Gap said it was now expecting full-year adjusted earnings per share to be between $2.08-$2.12, up from its previous forecast of $2.02-$2.10.
Third-quarter highlights
In its third quarter, net sales to $2.84bn from $3.8bn in the same period a year ago, beating analysts' expectations of $3.7bn.
Net income also beat expectations, while earnings, at 58 cents a share, beat forecasts of 54 cents a share.
The company, which operates Banana Republic and Old Navy stores, as well its own Gap-branded outlets, said comparable sales rose 3% in the July-September period - reversing the 1% decline of the same period last year and beating analysts' forecasts of 1.3% rise.
“Today, we are happy to report our fourth consecutive quarter of positive comps, reflecting the continued momentum in key parts of our business,” said Art Peck, president and chief executive (left).