Old Navy appoints new CEO as Gap addresses underperformance in Q2

US specialty apparel giant Gap Inc. announced its second quarter financial results for the period ended August 1, 2026. The company experienced a top-line decline, with net sales decreasing 2 percent year-over-year (YoY) to 3.7 billion dollars, while comparable sales dropped 1 percent. Store sales fell 3 percent compared to the prior year across its portfolio of 2,471 company-operated retail locations. Online sales fell 1 percent YoY, representing 35 percent of total net sales.