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Gap’s October Sales Dip
A fire in Gap Inc.’s Fishkill, N.Y., distribution center proved devastating to the retail giant. Because of the Aug. 29 fire, Gap’s October 2016 same-store sales declined 1 percent, according to a statement from the San Francisco–headquartered company.
Investigators from the Bureau of Alcohol, Tobacco, Firearms and Explosives said the fire was intentionally set. No one was harmed by the flames, which destroyed one-third of the 1.3 million-square-foot facility, according to media reports.
Gap Inc. released its October sales on Nov. 7, a few days after Nov. 3, when many public companies released reports on their October business. For the entire company, its comparable-store sales declined 1 percent for October compared to a 3 percent decrease in October 2015.
For its net sales, Gap reported that it made $1.2 billion, which was even compared to its performance in October 2015.
Gap Inc. also broke down its divisions’ performance. Its Gap Global division declined 7 percent for its same-store performance during the month. Its Banana Republic global division declined 4 percent in its same-store performance. Its Old Navy global division increased 1 percent in same-store sales.
“As we close out the quarter, we are pleased to see a continued positive customer response to our Old Navy product collections,” said Sabrina Simmons, Gap Inc.’s outgoing chief financial officer. She announced her departure earlier this month and will continue working at the company until the end of the 2016 fiscal year.
