The Gap (GPS) Profit Up 40%, Guidance Disappoints

The Gap Inc GPS announced on Thursday after the market closed that it beat consensus Wall Street estimates. The Gap Inc reported that its 1st quarter net income climbed 40% to $302 million, or 45 cents per share, up from $215 million, or 31 cents per share, a year earlier. According to a survey of analysts by Thomson Reuters, the average Wall Street estimate called for earnings of 43 cents per share. The company increased its full-year earnings forecast to $1.77 to $1.82 per share but that still fell short of the $1.83 that analysts had forecast. Shares of The Gap Inc were down nearly 2% to $21.25 per share in after hours trading.