Gap Inc. has recently released its 10-K report, revealing a decrease in net sales for fiscal 2023. The company, which operates as an apparel retail company, offers products for men, women, and children under the Old Navy, Gap, Banana Republic, and Athleta brands. The report states that net sales for fiscal 2023 decreased by 5 percent to $14.9 billion compared with $15.6 billion for fiscal 2022.
The report also highlights a decrease in store and franchise sales for fiscal 2023 by 3 percent compared with fiscal 2022, along with a 7 percent decrease in online sales for the same period. However, gross profit for fiscal 2023 increased to $5.8 billion compared with $5.4 billion for fiscal 2022, with a gross margin of 38.8 percent compared with 34.3 percent for fiscal 2022. The company also reported an operating income of $560 million for fiscal 2023 compared with an operating loss of $(69) million for fiscal 2022.
The 10-K report also mentions a decrease in merchandise inventory as of the fourth quarter of fiscal 2023 by 16 percent compared with the fourth quarter of fiscal 2022. Additionally, the report outlines the company's strategic priorities for the near term, including maintaining and building upon the financial and operational rigor, reinvigorating its brands, and evolving with a digital-first mindset.
As a result of these announcements, the company's shares have moved 2.4% on the market, and are now trading at a price of $25.28. Check out the company's full 10-K submission here.
