Gap Inc (NYSE:GPS) announced plans to split into two independent publicly traded companies. Gap also reported a fourth-quarter earnings beat.
Due to the 53rd week in fiscal 2017, comparable sales for the fourth quarter and fiscal year 2018 are compared with the 13-week and 52-week periods ended February 3, 2018. On this basis, the company’s fourth quarter comparable sales were down 1% compared with a 5% increase last year.
The company reported fourth-quarter fiscal year 2018 diluted earnings per share of $0.72 compared with fourth quarter fiscal year 2017 reported diluted earnings per share of $0.52, or $0.61 on an adjusted basis.
Please see the reconciliation of adjusted diluted earnings per share, a non-GAAP financial measure, from the GAAP financial measure in the tables at the end of this press release.
The company reported fiscal year 2018 diluted earnings per share of $2.59, compared with fiscal year 2017 reported diluted earnings per share of $2.14, or $2.13 on an adjusted basis.
CEO Art Peck said, "We’re pleased that progress on our productivity goals and operational discipline allowed us to deliver our earnings per share guidance even in the face of macro headwinds and softer trends."
Shares in the chain started out Friday and the month of March up $4.74, or 18.7%, to $30.14.
