The Gap, Inc. (GAP) SEC Filings & Earnings Calls

Insider selling pressure

“On October 6, 2026, a trust of which William S. Fisher is a trustee and has sole voting and dispositive power sold 500,000 shares.” · word for word

Tariff and trade policy uncertainty

“Given the continued uncertainty surrounding global trade policy and broader macroeconomic conditions, we will continue to evaluate potential impacts on our business.” · word for word

Consumer demand weakness

“Net sales for the second quarter of fiscal 2026 decreased 2 percent compared with the second quarter of fiscal 2025.” · word for word

Old Navy CEO departure and underperformance; sales decline at Old Navy requires targeted actions.

“We have work to do at Old Navy, but we have a clear understanding of the factors that impacted performance and are taking targeted actions that are already driving improved results.” · word for word

No new financial metrics disclosed; credit facility amendment is a routine liquidity management action.

“No new debt incurred; facility used for working capital and general corporate purposes.”

Tariff cost pressure on gross margin

“Cost of goods sold increased 1.0 percentage point as a percentage of net sales in the first quarter of fiscal 2026 compared with the first quarter of fiscal 2025, primarily driven by an estimated impact of approximately 2 percentage points from tariff costs net of related mitigation efforts.” · word for word

Athleta brand continued weakness

“Athleta Global comp sales (11)% for the 13 weeks ended May 2, 2026, worsening from (8)% in the prior year period.”

Tariff impact on merchandise margin; Athleta brand weakness; gross margin decline.

“Merchandise margin -100bps incl. ~200bps tariff impact; Athleta comp -11%.”

Tariff cost pressure on gross margin

“For example, higher tariff rates imposed by the United States increased cost of goods sold during fiscal 2025.” · word for word

Sourcing concentration in Vietnam and Indonesia

“Approximately 27 percent of our fiscal 2025 purchases, by dollar value, were from factories in Vietnam. Approximately 21 percent of our fiscal 2025 purchases, by dollar value, were from factories in Indonesia.” · word for word

Uncertainty around future tariff policy and refunds

“There is currently significant uncertainty about the future relationship between the United States and many other countries with respect to tariffs and trade policies, as well as the ability to recover any tariff refunds that may be owed.” · word for word

Tariff impact on merchandise margin: estimated 200bps in Q4, 120bps for full year.

“Merchandise margin declined 90 bps versus last year primarily due to an estimated net tariff impact of approximately 200 basis points.”

Athleta brand underperformance: comparable sales down 10% in Q4, 9% for full year.

“Athleta: Fourth quarter net sales of $354 million were down 11% compared to last year. Comparable sales were down 10%.” · word for word

Tariff cost pressure on gross margin

“The higher tariff rates increased cost of goods sold during the third quarter of fiscal 2025 and are expected to impact our gross margins in future quarters.” · word for word

Athleta brand weakness

“Athleta Global (11)% comp sales growth in Q3 2025.”

Macroeconomic uncertainty affecting consumer behavior

“The macroeconomic environment has had and may continue to have an impact on consumer behavior, and we anticipate continued uncertainty related to the macroeconomic environment during fiscal 2025.” · word for word

Tariff impact on merchandise margin estimated at 190 bps; inventory up 5% due to higher tariff costs.

“Merchandise margin decreased 70 basis points inclusive of an estimated net tariff impact of approximately 190 basis points. Ending inventory of $2.5 billion was up 5% compared to last year primarily as a result of higher cost due to tariffs.”

Athleta brand continues to underperform with comparable sales down 11%.

“Athleta comparable sales down 11%.”