Gap Inc., the biggest U.S. specialty-apparel retailer, said second-quarter profit rose 25 percent as new denim and athletic products boosted sales at its namesake and Old Navy chains.
Net income for the quarter ended Aug. 3 rose to $303 million, or 64 cents a share, from $243 million, or 49 cents, a year earlier, the San Francisco-based company said Thursday in a statement. That matched the average of analysts’ estimates compiled by Bloomberg. The retailer raised its forecast for its annual profit to as much as $2.65 per share from a previous maximum of $2.60.
Chief Executive Officer Glenn Murphy has worked to improve product selections, drawing customers in with denim lines, new athletic wear offerings and low prices.