San Francisco-based company Gap says that sales in April at established stores fell seven per cent, with total sales declining as well.
The retailer said that it is looking for ways to be more efficient and improve operations. It is also weighing options for its international Banana Republic and Old Navy stores.
The results underscore the continued challenges that CEO Art Peck confronts in turning around the business. The company has long been struggling to turn around its Gap namesake business and improve sales at Banana Republic.
First-quarter sales totaled 3.44 billion US dollar, down six per cent from 3.66 billion US dollar a year earlier. The company now expects to earn 31 to 32 per cent share for the quarter. The average analyst estimate was for earnings of 44 per cent share on revenue of 3.54 billion US dollar, according to FactSet.
